Company Notes
By LOTHBURY
Ir is a year since Quickmix Concrete became a public company when it was hived off by Hayeshaw by a rights issue at 25s. to its shareholders for a fifth of the equity. A very good profit at 40s. could have been secured last year. The 5s. shares are now only 26s. The credit squeeze, increased competition, and a shortage of cement are not factors in favour of the company's short-term outlook. Pre-tax profits have risen from £125,529 to £139,470. The dividend of 25 per cent is covered 2.2 times by earnings. A share for the very patient holder.
Ashe Chemical, operating in a highly com- petitive field, has again had a successful trading year. Pre-tax profits for 1964 were £179,495, against £151,282 and the dividend was sharply increased from 22.7 per cent to 30 per cent. Sales for the current year to date are well ahead of those of last year, particularly export sales, which is encouraging. The company's principal lines are Amplex, Sherley's pet products and Gold Spot deodorants. The ls. shares at 4s. 9d. yield- ing 6.3 per cent should prove well worth holding. Particular interest will be taken in the speech of Sir Billy Butlin, chairman of Boffins, at the forthcoming annual general meeting of this holiday camps concern. So much depends on future developments and the improvement in profits to provide for a further increase in divi- dends as the 40 per cent corporation profits tax will hit this company hard. From a net profit of £2,240,201 a 55 per cent dividend is paid as against 50.6 per cent paid on the capital doubled by a scrip issue in 1963. The Is. shares at 9s. 414. yield 5.9 per cent.
Previous page
