Company Notes
ANSELLS BREWERY of Birmingham has a most progressive profit record; figures for the year ended October 2, 1960, reflect an in- crease of 224 per cent, in the trading profit at £3.73 million. This is only a part of the benefits which are expected to result from the £1.9 mil- lion spent on capital account last year. The chairman, Mr. A. E. Wiley, reports that the company's brewing capacity is to be further in- creased to satisfy the demand for `The Better Beer'; he is also very satisfied with the wine and spirit side of the business recently developed, which is operating a number of new shops known as 'My Cellar.' Ansells is co-operating with Mitchells and Butlers (through Asso- ciated Midland Brewers) in building public houses on new estates in and around Birming- ham, and also has a reciprocal trade agreement with Ind Coope., The company's field of interest now stretches far into the West Country. Indus- trial activity in the Midlands is now slowing down, and this may affect the company's profits in the current year; but the chairman is confident that the company's liquid resources are adequate to meet all known and foreseeable develop- ments. The net profit is up from £1,222,820 to £1,493,693 and the dividend (covered twice by earnings) from 19 per cent. to 20 per cent. on the capital increased by a 20 per cent. scrip issue. The £1 ordinary shares now 84s. are to be split into 5s. units, which will create a better market. At the present price the yield is 4.7 per cent.
Last June M. J. Gleeson, civil engineers and building contractors, offered to the public 30 per cent, of their issued capital in 2s. units at 9s. 9d. At that time profits of £500,000 were forecast; these are now shown to be £518,000 for the year to end June, 1960, and the fore- cast dividend of 171 per cent. is to be paid. The directors forecast as good results for 1960-61 and intend to pay a dividend of 35 per cent., which on last year's figures would be covered 2.75 times. The company has a most progressive ten-year profit record and at the present price of 12s. 9d. xd. the 2s. ordinary shares yielding 5.5 per cent, look a sound in- vestment.
Anglo Auto Finance, the Cardiff hire-purchase business, which now includes Hodge Industrial Securities, has issued figures for the year to October 31, 1960, which are accompanied by a full statement from the chairman and managing director, Mr. Julian S. Hodge. The trading profit of £418,862 includes seven months' profits of Hodge Industrial, and is subject to a very small tax charge, which is due to substantial tax relief in regard to investment and initial allowances which the chairman states should be of continuing benefit. Allowing for this special situation it is possible to justify the payment of a 30 per cent. dividend. The chairman says that through a subsidiary company they have planhed further 'safe development' of caravan holiday sites in South and West Wales and also a caravan site near Newport for the benefit of the steel- workers in Richard Thomas and Baldwins, which no doubt will prove to be profitable. Total assets of the Group now exceed £6 million and the reserve position is exceptionally strong in that for every £1. of issued capital borrowings are only £2 4s. The 2s. ordinary shares at 12s. 9d. yield 4.8 per cent, which is attractive. At this time of the year there are relatively few companies announcing their past year's results, but this slack period does embrace the affairs of the big banks. Martins Bank was the first of them to announce their preliminary figures on New Year's Day, and very excellent they were. Net profits were up (after all provi- sions for tax and reserves) by 22 per cent. from £1,161,411 to £1,420,261. The chairman, Sir Harold Bibby, pleases shareholders by announc- ing a final dividend of 8 per cent., making a total of 15 per cent.-this is two points more than forecast at the time of the interim dividend, and is payableon the capital as increased by a one- for-two rights issue. The dividend absorbs £908,947 against £646,362 last year. His annual statement to stockholders is awaited with interest. The 5s. ordinary stock units at 19s. 3d. yield 3.9 per cent.
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