RECORD TURNOVER

Otago Daily Times, Issue 27499, 20 September 1950, Page 9

RECORD TURNOVER

Whakaiane Board Mills Dally Times Special Service AUCKLAND, Sept. 19. A record turnover and the second highest production to date were achieved by the Whakatane Board Mills, Ltd., during the year ended June 30, the company’s third year since its reorganisation. The new profit for the year as announced in the preliminary statement was £17,912. This result was reached after providing £36,000 more for taxation at £115,750 and £lll9 more for depreciation at £48,400, and after writing £6550 off shares in subsidiary companies. Dividends are unchanged at 5 per cent, on both preference and ordinary snares. Capital payments require a total of £50,671, leaving a balance of £24,982 to increase the carry-forward to £47,525. Gross profits increased by £75,085 to £320,785, but the income from investments, etc., was £4058 lower at £4394. x General expenses, including directors’ fees, expanded by £9446 to £78,826.

The directors state that production was 501 tons higher than the previous year. In spite of this, the demand exceeded the mill's present capacity and had caused the re-introduction of rationing the output. Record sales of £978,127 reflected not only the results of the increased tdnnage, but also .the higher selling price due to the general wage increase and higher costs of raw materials. Delays in the arrival of sawmilling equipment for the subsidiary of Whakatane Timber Mills, Ltd., postponed the start of operations, but partial production has been started and will be Increased as plant becomes available. During the year additional preference capitall was paid up, the total issued preference capital now standing at £250,000.