RECORD TURNOVER

Otago Daily Times, Issue 27092, 28 May 1949, Page 3

RECORD TURNOVER

SUBSIDIARIES OF FLETCHER HOLDINGS

DIVIDENDS UNCHANGED Daily Times Special Service AUCKLAND, May 27. Although “ an otherwise excellent year was marred in its closing stages by the Carpenters’ Union dispute, which was fortunately confined to the Auckland area,” the turnover of the subsidiaries of Fletcher Holdings, Ltd., for the yearended March 31 was again a record at £5,600,000, an increase of £600,000 or 3.7 per .cent, for the year. The subsidiaries’ accounts show aggregate net earnings of £78,020 after full provision for taxation and ordinary andspecial depreciation. This result compares with the £78,174 in the previous year. Depreciation and amortisation written off in the accounts amounted to £143,717, against £126,636. Of the year's total earnings of the subsidiaries, £62,000 only has been transferred to the parent company. Fletcher Holdings, Ltd., to meet its dividend requirements. The balance of the revenue of the parent company’s revenue account provided £741, compared with £3219 in the previous year, the reduction being due to the increase in directors’ fees to £3700, againsf £BOO in 1948. The parent company’s revenue brought the 1 total income to £62,741, which, the directors point out, does not . represent the total profits earned by eiher the parent company or the subsidiaries. The dividend of the parent company is again 6 per cent, on both classes of shares, requiring £13,669 more because of the additional capital brought into use during the year. The report states that the supply of structural and reinforcing steel has improved during the year, and with the recent announcement of additional cement importations the prospects for an accelerated rate of commercial construction are considerably enhanced. Reference is also made to further expansion by the subsidiaries in various centres throughout the Dominion. A new plywood mill at Riccarton, Christchurch, will be in operation in two months’ time. The plant incorporates recent developments in equipment which have not previously been installed outside of the United States.