Radio Otago loss

Press, 1 June 1989, Page 47

Radio Otago loss

Radio Otago, the Dunedin-based private radio broadcaster, has incurred $1,283,000 loss after writing off $1,787,000 in goodwill and investments in its latest year to March 31. However, a final dividend of 5c a share is recommended, making a steady annual rate of 10c a share (40%), payable on August 31, ex dividend on August 18. The directors said that the dividend rate was covered two times by the net profit, before extraordinaries. The $1.7 million write-off included a deduction for goodwill because of the impending deregulation of the broadcasting industry, the company said in a statement to the Stock Exchange. Radio Otago said it had not equity accounted its share of earnings from Arthur Barnett Properties, in which it holds a 20% stake. The company’s annual meeting will be held on August 22.

Radio Otago unaudited annual result to March 31 1989 $000 1988 $000 Change % Turnover 5568 5322 +4.6 Pre-tax profit 771 712 +8.3 Taxation 201 (47) —- Trading profit 570 759 +2.3 Minorities 66 53 — Group net profit 504 707 -28.7 Extraordinaries (1787) 861 — Total profit (1283) 1568 —