COMPANY NEWS VESTA BATTERY Record N.Z. Sales

Press, Volume XCV, Issue 28261, 26 April 1957, Page 19

COMPANY NEWS VESTA BATTERY Record N.Z. Sales

New Zealand sales by the Vesta Battery Company, Ltd., in the nine months ended March 31, were a record. The increase in New Zealand sales more than offset a drop in Australian sales brought about by “the general decline in the motor trade, H and total sales exceeded those for the same period of the previous year. This information is given in a circular to shareholders advising them of an unchanged interim dividend of 7J per cent. Total payment last year was 15 per cent. The company is incorporated in New South Wales and operates throughout Australia and New Zealand. Two new branches were recently opened: at Lismore, New South Wales, and Launceston, Tasmania. A new subsidiary company, Vescon Pty., Ltd., was recently formed to handle hire purchase transactions for garage equipment; also Vesta batteries and automotive parts sold by garages. “It is expected that this wholly owned finance company will soon contribute materially to profits,” directors advise. HOWARD SMITH ACCOUNTS Further Drop In Profit Consolidated net profit of Howard Smith, Ltd., Sydney shipowners and investment company, fell by 27 per cent, for the year ended December 31. The profit, £341,223, was £130,160 less than in 1955. The 1955 profit also fell by 27 per cent, from the record level of £649,628 for 1954. For the second year directors state that “operations as disclosed in the profit and loss account have not been affected materially by any item of an abnormal nature.” As in 1955, major cause of the reversal was a fall in profit from trading. The company earned a trading profit of £717,393 for 1956, a fall of £153,757 on the year. (Trading profit fell by £416,962 in 1955.) Income from investments rose by £3221 to £134,854 on the year. The balance-sheet discloses, without explanation, a jump of £1.909,932 to £5,089,120 in the book value of the company’s “steamers, collieries, mill, plant, and equipment.”

General reserve is increased, by £594,122 to £2306,160, while reserve for future capital expenditure is reduced £464,189 to £217,747. The latest group result is reached after again halving the tax provision, £83,342 (down £83,919); allowing less for depreciation, £290,499 (down £27,394); but providing more for future income-tax, £122,500 (up £69,400).

Ordinary dividend is again 8 per cent., including 1 per cent, bonus, for the third successive year, requiring £160,000. The preference charge, 6 per cent., takes £15,000. Reserve is increased by £129,073 (£75,000 last year). After writing in £34,166 —contingency provisions no longer required, the carry forward applicable to the company is £22,989 higher at £176,337.

Holeproof, Sydney, Reconstruction

Holeproof, Ltd., Sydney, plans to form a holding company to cover all Holeproof activities. Holeproof (N.S.W.), Ltd., which is a separate organisation, will be invited to join the holding company, directors state. Present capital of the parent Holeproof company is £1.791,493, including £587,000 preference.

Capital of the New South Wales company is £467,000. Of this £467,000 the public owns all the £150,000 preference capital and an interest in the ordinary shares. Holeproof, Ltd., owns a substantial part of the New South Wales company ordinary capital.

No Deficiency Payment.—The Meat Export Prices Committee advises no defiiciency beef payments will be made in the week to April 27.—(P.A.)