Good debut by Allisons Freight—despite market gloom
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As.. was pointed out in this column recently, the prevailing market climate is hardly ideal for successfully launching a new issue. Nevertheless, the debut by the 2s. Ordinary shares of Allisons Freight was indeed quite good. Opening out at 3s. lfd., they hardened to 3s. 3d. and this is their current price. I repeat my earlier forecast: I expect to see a good deal of interest in these shares when the present market gloom lifts.
There was unpleasant news for the shareholders of Peterborough Motors. Because of the current trading atmosphere and the "great uncertainty" in the motor 'industry the directors have decided to cut the half-way stage dividend to 7 per cent-1 per cent less than was paid the previous year. The statement describes the present period as "likely to be one of the most difficult in the history" of the company.
Turnover during the first-half of the year was well up to the level of the same period a year ago, but margins took a knock from pressures such as higher overheads. This pull resulted in pre-tax profits slumping to £68,511 from £81,881 in respect of the same period a year ago. But the company is well placed to take advantage of the trading upturn when it comes-9n the not too distant future" is the hope expressed in the statement. • Henleys had a rough ride during the year that ended on August 31. Pre-tax profit fell to £1.12 million from £1.24 million the previous year. The proposed final dividend of 12f per cent makes the year's total 20 per cent—a cut-back of 5 per cent compared with the 1964/65 trading period.
It was a similar story that came from Attwood Garages. During the first half of the current trading year sales were maintained, but margins suffered at the hands of the Jobs Tax and the continued upswing of operating costs. These adverse factors have caused the directors to forecast an "inevitable" reduction in profits for the year that terminates on January 31. They mention a balance in excess of £100,000. For the previous year the pre-tax profit amounted to £137,098. Meantime the interim dividend is repeated at 3f per cent.