Company Notes
By LOTHBURY
IN recommending a final dividend of 23 per cent for the year ended April 30, 1963, making a total of 38 per cent against 35 per cent, the chairman of George Nott Industries is confident for the future. In fact, he states that after the one-for-two scrip issue, now proposed, he hopes to recommend a dividend of not less than 30 per cent on the larger capital for the current year. The company's cross-Channel ferry ser- vice provided by Townsend Bros. Ferries is building up to a peak. The new steamer, the Niv Enterprise, carrying cars and passengers, came into service in the summer of 1962. Another ship to carry 180 cars is now being built in Holland and will be in service in 1965.. There are sub- sidiaries-Townsend Bros. (Shipping), forward- ing agents in the Midlands, P. and A. Campbell, operating shipping services in the Bristol Chan- nel, also companies manufacturing electrical control gear and fittings, and another, Townsend Construction, building houses in the lower price range in conjunction with local authorities. The price of the shares at 70s. 6d. is looking quite a way ahead, as on the equivalent dividend fate-
cast of 45 per cent the yield is only 3.2 per cent. But in time this price may be justified.
The booming motor-car industry has enabled Jessups (Holdings) to increase its dividend from 12.5 per cent to 14 per cent for the year ended August 31, 1963. The trading profit jumped from £60,970 to £85,847 and pre-tax profits from £41,548 to £65,337. The increased turnover and profit went some way to offset the loss on stock by the reduction in purchase tax at the beginning of the year. The larger turnover was greatly due to the new range of Vauxhall models which have been selling so well and for which the company are main dealers. The chairman reports that after ten years of frustration with the local planning authority, the new Gants Hill premises at Ilford will be opened next March—this will mean a big increase in turnover. The company should go well ahead in the current year. The 2s. shares at 5s., yielding 5.5 per cent, are good to hold.
Quite a substantial profit recovery has been achieved by Burco Dean, the wash-boiler manu- facturers, for the year ended September 30, 1963. After years of declining profits, the interim divi- dend was raised from 2.5 per cent, and now the final is up from 7.5 per cent to 9 per cent, making a total of 12.5 per cent. After a higher tax charge, the net profit has risen from £75,654 to £110,814. The chairman's report will no doubt throw some light on the future. The 5s. shares are now 13s., yielding 4.8 per cent.
Peachey Property, with a final dividend of 12 per cent, is maintaining the dividend at 18 per cent for the year ended June 24, 1963. There is little change in the pre-tax profits at £1.1 million against £1,264,000. Owing to fears that the company may suffer from a change in Government, the shares have slipped back. The fall looks overdone. The 5s. shares can be bought at 13s, to yield 7 per cent.
With a 1 per cent increase in the final divi- dend, Bass Mitchell and Butlers is raising the total dividend for the year to September 20, 1963, to 13.5 per cent against 12.5 per cent. The net profit after tax of £4.9 million compares with £4.6 million. There were hopes of a larger in- crease in the dividend, as on the preliminary figures the 12.5 per cent payment is twice covered by earnings. But the 5s. shares at 17s. 6d. give a good yield of 4 per cent.
Formica International Limited has been granted an exclusive licence for laminated plastic materials in Great Britain for the `Rovie process by Messrs. 'Rognoni,' Di Virgilio Rognoni and CSNC of Milan, Italy. `Rovie is a photo-chemi- cal process for producing tnulti-coloured prints upon a variety of supports and bases, including wood, paper, glass, ceramics, vitreous enamels, textiles, metals, laminated plastics and other materials. Britalian Steel Construction Company of London arranged the negotiations.
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