Turn-over Higher But Profit Lower

Press, Volume CVI, Issue 31113, 16 July 1966, Page 18

Turn-over Higher But Profit Lower

(New Zealand Press Association) WELLINGTON, July 15. Turn-over of Turnbull and Jones, Welling-ton-based electrical engineer, manufacturer and retailer, rost? 3.1 per cent in the year to March 31, but profit fell by 12.8 per cent.

As already announced, this year’s consolidated net profit of £69,898 was £10,225 down on the year before. Steady ordinary dividend of 8 per cent and 5) per cent preference requires £33,340 and is covered 2.1 times. This year the ratio of shareholders’ funds to current liabilities is 45.5 per cent compared with 49.5 per cent in 1965. The percentage of tax-paid profit to shareholders’ funds is 20 per cent compared with 23 per cent last year. Balance sheet figures show capital unchanged from the year before at £448,000“ with reserves £475,236 (£408,998) and debentures £418,302 (£343,207), making total funds £1,341,538 (£1,343,341), current liabilities £691,847 (£564,421) and fixed assets £455,738 (£454,181). Directors say that to meet the continued demand of growth, the board has negotiated a further issue of secured mortgage debentures for a term of 25 years at 6f per cent. The issue is for £90,000 and £BO,OOO was received before balance-date.

The remaining £lO,OOO has since been received. A sinking fund has been created to provide for the repayment of this issue. Directors have charged taxpaid profit with a provision of £3OOO towards the costs of conversion to decimal currency.