Company Notes
By LOTHBURY
T116 chairman of Bampton Property Group kept shareholders fully informed during 1962 of new acquisitions. These have been reflected in the balance sheet by almost doubled figures for the values of properties and for the gross rents and gross profits. Capital reserves have also increased from £104,000 to £370,000, mainly attributable to the revaluation of nine of the company's completed projects. It is continuing its policy of the redevelopment of sites for supermarkets and retail shops, which ambitious programme needs new finance. There is already a bank overdraft of just over £1 million, secured on a debenture. Early this year a debenture for £1 million was arranged; now a further deben- ture for £1,100,000 is being negotiated. These loans in time will, of course, produce additional revenue. The dividend is being increased froth 8 per cent to 91 per cent and a one-for-ten scrip issue is also proposed. On the increased capital a dividend of 10 per cent is forecast for 1963. On this basis the £1 shares at 55s. yield 4 per cent, a fair return for a share with prospects.
Shareholders in Musical and Plastic Industries will be glad to see that their company made a remarkable recovery in 1962. Pre-tax profits are up from £81,000 to £176,000. Not only have the sales of musical instruments in the Selmar :shops increased, but the plastics section is now working at a profit. This is covered by Selcol Products, whose wide range of thermoplastic
articles are mostly made by Thames Valley Traders, another subsidiary of the group. The chairman reports that organ sales are improving and also exports of this instrument. In fact, he is optimistic for the future and is justified in paying a total dividend of 22+ per cent against 121 per cent. The balance sheet is looking healthier than it has done for some time, with the bank overdraft reduced from £124,000 to £12,000. The Is. shares have recovered to 4s. ?...nd yield 5.6 per cent, but are worth holding.
Lower profits were expected from Kayser Bondor, the hosiery and lingerie manufacturers, for 1962, but the final dividend of l2+ per cent maintains the total rate at 20 per cent. Net profits fell from £392,000 to £267,000. Last year a £1 million debenture was issued to pay for the acquisition of Mayfair Manufacturing, a big supplier to Marks and Spencer. There should, therefore, be some recovery in profits this year. The Ss. shares, yielding 8.7 per cent at I Is. 6d., should recover from this price.
A very satisfactory increase is shown in the net profit from Duttons Blackburn Brewery for the year to March 31, 1963—from £264,000 to £284,000. Last year the capital was increased by a rights issue, but the dividend of 11.6 per cent is maintained as forecast. The 5s. shares at 14s. 6d. yield 3.9 per cent.
The improved trading in the last quarter of the year has probably enabled John Dickinson, the paper-makers, to increase the dividend for 1962 to 25 per cent, against the 20 per cent pre- viously forecast. The group trading profit was up at £5.373 million, but the net profit was slightly down at £2.448 million against £2.599 million. The company has an income from in- vestments of £390,000. The 5s. shares at 29s. 9d. yield 4.2 per cent.
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