Company Notes
By LOTHBURY
BE delayed accounts of Bain and Hodge for I the year ended May 31, 1965, disclose that during the past year the company made a number of acquisitions, all of which (with the exception of Gomm's Transport) contributed to the grout) profits. The net profit, after a considerably re- duced tax charge, amounted to £200,590 as against £140,911; the forecast dividend is 221 per cent. The chairman states that the first quarterly figures for the current year indicate satisfactory growth in profitability and that he is of the opinion that profits for the current year should show an increase on those of the pre- ceding year. He is confident that with an eye to further acquisitions he will be able to strengthen the group. There have been a number of changes in the set-up of this company, not only as to its constituents but also in regard to the board of directors. The 5s. ordinary shares at 18s. 9d. offer a fair return of 6 per cent but the divi- dend is covered only 1.2 times and there is no forecast as to how future taxation will affect future profits.
Cozens and Sutcliffe (Holdings) is maintaining its dividend at 25 per cent for the year ended June 30, 1965. The company, contractual en- gineers and manufacturers of mechanical hand- ling plant, is also interested in a business of whole-
sale distributors of electrical and radio instru- ments. The difficulty confronting the company is possibly the effect of the removal of retail price maintenance on its electrical and radio division, but the other two sections of the company should continue to do well. It is understandable, there- fore, that the chairman is not prepared' to fore- cast the future, but he states he will be better able to do so in his interim statement next May. Under the circumstances, the 4s. shares at 11s., yielding 8.6 percent, indicate a little uncertainty as to the future.
The net profit before tax from Allied London Properties for the year ended June 30, 1965, has risen from £42,211 to £66,048. The company is paying a dividend of 221 per cent, which gives the 2s. shares at 7s. a yield of 6.4 per cent. Next year, it would seem that the company will attract corporation tax, which will weigh quite heavily on the profits of the group, but if it can increase its trading profit from its interest in departmental stores at Portsmouth and Havant, this situation should be taken care of...A recent issue of unsecured loan stock is not yet fully employed, so that there is a potential for in- creasing the company's revenue.
In spite of a rise in turnover by Samuel Osborn, makers of special steels and engineers' tools, rising costs (a familiar reason today) are responsible for a check on profits. The com- pany's results for the year ended July 31, 1965, are little changed from the previous year. The dividend therefore remains unchanged at 211 per cent. The company has, over a century, built up an international reputation for its products, and its overseas subsidiaries have been respon- sible for the past year's increase. The 5s. shares at 20s. 3d. yield 51 per cent.
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