I.B.M. AUST. RESULTS

Press, Volume CVI, Issue 31096, 27 June 1966, Page 17

I.B.M. AUST. RESULTS

Profit Cut By Provisions fN.Z. Press Assn—Copyright) SYDNEY. June 26. Net profit of IBM Australia, Pty., fell by 25 per cent for the year ended December 31, after sharp increases in provisions. The profit at 1,072,494 dollars is 360,732 dollars lower than the 1964 result. Tax provision is much higher than the profit at 1,317.638 dollars (up 385,390 dollars). Depreciation is 3,422,306 dollars (up 1,001,580 dollars). In the annua] return, directors point out that profit from trading, before tax, increased (by 25,658 dollars to 2,390,132 dollars), but they give no reasons for the rise in tax provision. Earning rate for 1965 falls from 43.4 to 24.5 per cent on larger paid capital. Paid capital was increased by 1,076.000 dollars to 4,380,000 dollars during 1965, by a par issue to-the parent company, IBM World Trade Corporation of New York. Dividends paid during the year totalled 349.776 dollars (down 139,024 dollars).

Capital Call.—Directors of Ivon Watkins-Dow have called 5s capita) and 9s 6d premium on 150.000 A ordinary shares, part of the Issue made to Dow Chemicals International in January, 1964. Call Is payable on August 1, from which date the shares will rank for dividend —tP.A.)

Carter Consolidated.—Directors of Carter Consolidated. Auckland, recommend a final dividend of 44 per cent making 9 per cent, against II per cent last year. They also recommend fncreas'ng nominal capita! from £l.sm to £m. No Immediate Issue is contemplated. Ex dividend July 21.—(P.A.)