Company Notes
MR. J. M. LAWRENCE, chairman of Thomas Brown and Sons, general merchants, manufacturers, warehousemen and rum distil- lers, reports increased profits (after tax) of £104,970 against £92,860 for the year ended January 31, 1961. During 1960 the company acquired two subsidiaries, Hulsums and Mana- han's, which do not reflect a whole year's trading profit in the accounts. It is sound finance for the company to fund some of its bank indebtedness of £387,710 by a rights issue which it is intended to make in the early autumn, on the basis of one for every three stock units. The fortunes of this company are entirely based on the development of the State of Queensland in Australia. Pros- pects, taking a long view, are promising, as the £1 ordinary shares at 35s. yield 4.7 per cent. on the dividend of Is. 7d. per share.
Mr. Angus J. A. Kennedy, chairman of Ault and Wiborg Ltd., reports record profits for the year ended March 31, 1961. Increased sales were partly offset by increased costs, but the group has spread its wings widely to cover not only printing inks, rollers and sundries, for which it is famous, but also marine paints, industrial and decorative finishes, resins and varnishes, etc. The company has consistently ploughed back profits and has consequently been able, from time to time, to make free scrip issues. It is now proposed to make a free issue of one for one ordinary share. The gfowth over the past ten years has been remarkable, trading profits having risen from £400,619 to £956,278. This year the dividend has been increased from 25 per cent. to 30 per cent. The 5s. ordinary shares at 30s. 6d. x.d. arc well worth buying to keep; they yield 4.9 per cent.
Mrs. Estella Phillips-Marder, chairman and managing director of Board Manufacturing, gives a mixed blessing in her report to share- holders. The trading year ended October 31, 1960, discloses that the second half of the year was disappointing. The first half was sufficiently encouraging for the board to pay an interim dividend of 2+ per cent.; this has been followed by a final of 11 per cent. This company manufac- tures lace, hair-nets, silks and textile sundries. The chairman is alive to the fact that the funds avail- able are not fully employed. It is hoped that in the near future an outlet will be found to expand the business, whose 2s. ordinary shares are now quoted at 2s. 41d.
Lord Luke, chaiman of Bovril Ltd., does not make any prediction for the coming year, as Argentine politics and the British weather can so easily affect profits. Profits for 1960 were a little down, at £1,358,823, on 1959 but the net available surplus increased from £518,281 to £599,701. This provided earnings of 31.9 per cent. for the maintained dividend of 12 per cent. on the increased capital. Bovril is known to all, but it also covers a wide field of other products, such as Ambrosia creamed rice, Virol, Gold Cup Jaffajuce and Marmite, and, of course, has large estates in the Argentine. The £1 ordinary shares at 60s. to yield 4.0 per cent. are one of the best long-term grgwth stocks.
In last week's Spectator the prices and yield of United Drapery were incorrectly given. These should have read: 'the 5s. ordinary shares are now 72s. to yield 3.1 per cent.'
Previous page
