Fernz profit drops

Press, 14 February 1986, Page 10

Fernz profit drops

PA Wellington Decreased demand for Fernz Corporation, Ltd, agricultural products contributed to the company’s 10 per cent drop in taxpaid trading profit to $4,819,000 ($5,397,000) for the six months ended November 30. The interim result reported to the Stock Exchange yesterday contains no sales figure, but pretax trading profit was $6,474,000 ($8,896,000) and tax was $1,655,000 ($3,499,000). Minority interests took $681,000 ($941,000) and equity income added $177,000 ($648,000). Extraordinary items added $22,000 (took $345,000) for a net consolidated profit of $4,337,000 ($4,759,000). The chairman, Mr J. L. B. Stevens, said that the economic difficulties facing the farming community have been, reflected in demand for the company’s agricultural products. Profit contribution from Australian investments was also down on the previous period, although this was largely a reflection of the relative currency values at the end of each period. . An unchanged interim dividend of 7c a share is payable on March 4. Bonus shares in lieu of dividend will be allotted the same day. The share price used to calculate the entitlement to bonus shares will be 198 c, being 90 per cent of the weighted average market price