CMI $3.7M profit

Press, 29 August 1986, Page 10

CMI $3.7M profit

PA Wellington Consolidated Metal Industries, Ltd, has reported a profit before extraordinaries of $3,697,000 for the year ended June 30. Profit for the previous trading period, 15 months long, was $5,059,000. A final dividend of 12.5 c a share, or 25 per cent, has been recommended, the company directors said in a statement to the Stock Exchange. This compared with last year's total of 16c, 32 per cent, for the 15 months ended June 30, 1985. CMI is 81 per cent owned

by Brierley Investments, Ltd, and its balance date was changed to June in line with Brierley policy. Extraordinary deductions of $769,000 ($693,000) took the final profit down to $2,928,000 ($4,366,000). The deductions relate to writing off the difference between the price paid for subsidiary companies and the book value of their net taxable assets acquired, partly offset by profits on sale of land and buildings. The tax-paid profit for the year of $3,697,000 was 8.6 per cent below last year on an

annualised basis, the directors said. But in view of the increasingly difficult trading conditions which appeared in the second half of the financial year, the over-all result for the year was satisfactory, they said. "During the second half there was a significant downturn in demand, particularly from the rural sector which normally accounts for about a third of our group turnover,” the directors said. “We are continuing our policy of reducing our dependence on manufacturing.”