W. Neill’s farming interests hit profit

Press, 17 June 1988, Page 18

W. Neill’s farming interests hit profit

PA Wellington Wilson Neill, Ltd, had a 10.2 per cent slide in aftertax earnings to $36,259,000 for the year ended March 31, mainly • dud to a downturn facing its goat and deer farming interests. The result included a $2,676,000 share of the losses of Wilson Neill associates Angora Corp, Ltd, and Crowe Corp, Ltd, after heavily writing down their asset values. In the year ended March 31, 1987, associate companies contributed $3,029,000 in gains, taking Wilson Neill’s result to $40,404,000. The company will pay a 3c a share final dividend on August 2, steady with the previous year. Announcing the preliminary result yesterday, directors said Wilson Neill’s liquor retailing business made further gains in market share,

particularly in quality wines. The investment banking operation of Saudicorp Capital, Ltd, a full subsidiary, were an important part of group activities, they said. The impact of the sharemarket crash was lessened by a profitable reduction in Saudicorp’s equity portfolio in the first half of the year. Full year turnover jumped 78.8 per cent to $263,838,000 ($147,502,000 previously). Profit on that was marginally ahead at $42,606,000 ($41,441,000). Wilson Neill had a reduced tax liability of $2,279,000 ($4,105,000). That took after-tax profit Ser to $40,327,000 ,336,000). Then, minority interests were a deduction of $1,392,000, contributing to the decline in the over-all result. The previous year’s minori-

ties were a $39,000 gain. The directors said 63 per cent-owned Wilson Neill Australia, Ltd, (formerly Barwon Farmlands, Ltd) and 90 per cent-owned property company, Embassy Investments, Ltd, were consolidated for the first time. Embassy is a holding company for Blackfield Hawaii Corp and the directors said offshore interests had become more important in expanding the group as domestic conditions got more difficult. Wilson Neill’s seafood and export divisions had been hit by difficulties arising from Government policies towards the primary sector generally. But the directors said progress had been made towards restructuring those businesses for an expected continuation of difficult times for exporters.