Kirkcaldie&Stains Ltd, operator of the upmarket department store in Wellington, has reported a 10.2 percent fall in annual pre-tax profit to $1.37 million.The company had earlier forecast a pre-tax profit between $1.53m and $1.3m for the year ended Au
Kirkcaldie&Stains Ltd, operator of the upmarket department store in Wellington, has reported a 10.2 percent fall in annual pre-tax profit to $1.37 million.
The company had earlier forecast a pre-tax profit between $1.53m and $1.3m for the year ended August 31.
The ink was red when a deferred tax liability of $3m was taken into account - Kirkcaldies reported an after-tax loss of $1.86m compared to a profit of $1.02m in the previous year.
It was also revealed today that H&G Ltd, a company associated with the family of businessman Sir Selwyn Cushing, has increased its stake in the retailer to 12.62 percent from 11.59 percent via onmarket purchases on a range of dates this year.
Kirkcaldies said the tax liability was a one-off accounting adjustment associated with a change in government tax policy and the pre-tax profit was a clearer comparison with previous years.
The retail company reported a $737,000 pre-tax loss, which was 62 percent down on last year and occurred on a 4.6 percent fall in retail sales.
"Trading remains difficult with shoppers extremely cautious about spending in the current economic climate. Management has remained focused on keeping operating, selling and administrative expenditure tightly controlled," the company said.
Kirkcaldies declared a five cent a share final dividend, unchanged from last year, which is payable on November 19 to shareholders on the register on November 12.
