MONEY MATTERS
Page 69
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The Progress of Wadhams
VVADHAM (HOLDINGS)—wholesale and retail disVV tributors of commereal vehicles, cars and so on— came to the Stock Exchange last October. The company has now announced that it is raising the interim dividend by 1% to 5%. In addition the directors propose to make a scrip issue on the bas's of one-for-four and forecasts a final dividend at the rate of 8% on the larger capital. If this rate of d:vidend is in fact made it would make the total d:stribution for the year equal to 12%, or 01% more than previously.
It is further stated that unaudled pre-tax profits for the half-year to June 30 last amounted to £225,000, compared wah £190,000 during the same per:od a year ago. Sales to tifrd parties, ex-purchase tax, were more than t61m., or Elm. more than during the same six months last year. These 5s. Ordinary shares have been attracting a fair amount of interest recently at around 14s. 14d.
From the boardroom of Sheffield-based WALTER WRAGG collies a forecast of a div'dend of 10% for the year to end October 31, 1964. This is exactly double the amount that was paid in respect of the Previous year.
Mr. E. H. Marley (cha'rman) reports that group turnover for the first 10 months of the current trading year was srghtly better than during the same period a year previously. Of equal importance, however, is the comment that the stens taken by the directors during the past year are now having the desired effect and there are ind'cations, Mr. Marley adds, that group pre-tax profits this year will show "a considerable increase" over those for the previous year.
When he reported to shareholders on the results for the year ended December 31 last, the chairman of MARTIN WALTER stated that there were apparent benefits from the group's reorganization and that profits, which had fallen during each of the three previous years. had turned upwards. These comments are now proved amply just-fled; the interim dividend is be:ng raised by 21% to 10%. In add'tion the directors forecast a final payment of not less than 124% to make a minimum total of 221% for the present year. Preliminary figures, the statement adds, show a "marked increase" in profits. After making a careful assessment based on the known facts, I feel the latest dividend forecast may well be improved upon. k restoraeon of the previous 25% level would cause little, if any, surprise in the City. Al their present price of around 13s. 9d. these 4s. Ord nary shares yield more than 64%, based on the minimum
forecast dividend. Martin Younger