Hellaby lifts interim profit, dividend

By Phil Boeyen, ShareChat Business News Editor

Wednesday 20th February 2002

Diversified group Hellaby Holdings (NZSE: HBY) has lifted its half-year net surplus by a third citing increased profitability at a number of its subsidiaries.

The company's net profit for the six months ended December increased to $5.74 million from $4.3 million previously with sales rising to $201.1 million from $177.5 million.

Directors noted that the result was bolstered by improved profitability at its larger operating subsidiaries of Brake & Transmission, AB Equipment, and shoe group Hannahs, and a healthy contribution from start-up life insurance subsidiary, Club Life.

The result includes $300,000 transactional profits compared with $1.2 million the previous year.

"Recent divestments have further strengthened the financial structure and cash position of Hellaby, and the company is well placed to implement its previously announced share buy-back programme and to pay higher levels of dividend without restricting the company's ability to fund further acquisitions that may arise," Hellaby says.

"Trading conditions since 31 December have remained strong for most of Hellaby group companies and if these conditions continue Hellaby expects its earnings for the full year to exceed last year."

The company says the latest result represents a 14.9% annualised return on average shareholders funds, up from 12.8% previously, with annualised earnings per share increasing to 23.1 cents from 17.3 cents.

An interim dividend of 8 cents per share fully imputed, up from 7 cents previously, will be paid on April 12.

Comments from our readers

No comments yet