Company Notes
EEK AND MOORLANDS BUILDING [,SOCIETY have had a busy year. During 1960 the assets and liabilities of the Nalgo Building Society and the Stockport Atlas Build- ing Society were transferred to them. The society have made a careful selection of their borrowers of owner-occupied houses; the demand for mort- gages has been great and they have been able to satisfy this, in part, to an amount of £8 million. Reserves have now increased by £2,930,000, while investments in trustee securities and cash amount to £10,650,000. The accounts of Pataling Rubber Estates for the year to October 31, 1960, include the profits of Jugra Land and Carey Ltd., acquired in that year. The chairman, Mr. H. B. E Hake, reports a net profit of £756,050 and this excellent figure is after charging as much as £426,000 for taxation. The dividend of 60 per cent, absorbs practically the same amount as paid in tax. The cost of rubber production was only up by Id. per lb., but the average price realised for the crop was 4d. better than in the previous year. This is a very well-managed com- pany with about a third of the total planted acreage in immature rubber. The chairman states that the demand for all rubber is growing rapidly; he is not frightened by the increasing use of synthetic rubber. The contribution from Jugra oil palms to the profits of the company this year will be valuable, as rubber is now selling at a considerably lower price than last year. The 2s. ordinary shares at 7s, 9d. x.d. are worth putting away. Investors can obtain a good dividend income of 15.4 per cent.
The earnings of Messina (Transvaal) Develop- ment have risen by 26 per cent. (£1.38 million) for the year to September 30, 1960, due to the increased price of copper and in spite of rising costs. The company has still a considerable hold- ing (about 62 per cent) in MTJ (Mangola), hav- ing sold some of their interest during the year. This accounts for a drop in profits from investments from £457,000 to £160,000. Dur- ing the year the issued capital was increased, by a capitalisation of reserves, from £492,500 to £2,462,500. The net profit for the Group, after all deductions, was £1,579,168 against £1,077,240. Copper prices have fallen sharply this year; therefore the same high level of profits cannot be expected for 1961-62, so that a lower dividend than 44 per cent. paid for the past year should be expected. At the current price of 16s. 3d. the 5s. ordinary shares yield 13.5 per cent. Shareholders will look forward to hearing from their chairman, Commander H. F. P. Grenfell, as to the current year's pros- pects of their company, which is situated in an uncomfortable political area, but has done well for them in the past and no doubt will do so in the future.
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