Quill Humphreys profit up 5.3%

Press, 26 August 1986, Page 22

Quill Humphreys profit up 5.3%

The Christchurch-based liquor group, Quill Humphreys, Ltd, has lifted profit before extraordinaries by 5.3 per cent to $1,081,000 ($1,028,000 last year) for the year ended June 30. There were no extraordinaries (last year $229,000 lifting total profit to $1,257,000). Turnover was $40.2 million ($37.7 million). Tax took $976,000 ($855,000). There were no minorities ($20,000).

Final dividend will be 7.5 c a share to be paid at a date to be advised. Directors said the extra

profits generated by the increased turnover were eroded by increases in some trading expenses, notably interest on borrowing. The expanded video chain made a significant contribution to group profits. The trading year had been very competitive in all sectors traded by the company and it was most satisfying to return an improved result. The profit includes results from Hughes and Cossar and Guiness Wines and Spirits from June 3 to June 30. Directors said that with

expansion in Auckland and other North Island centres they were confident of achieving a significant increase in sales and profits this year.

However, despite the anticipated improvement, trading conditions were expected to remain very competitive.

Directors were also concerned at the additional costs and effect on working capital requirements which would result from the Government’s proposed changes to the bonded warehouse storage system.