KEY POINTS:
Tower told shareholders yesterday it was on track to modestly improve this year on the 2006-07 net profit.
Chairman Tony Gibbs told around 100 shareholders that the company was tracking ahead of last year for the four months to January 31. The company is budgeting for a modest improvement on last year's $34.6 million net profit.
There was no word on whether interim dividends would be restored.
The financial services company recently paid out a 6c per share final dividend, the first in five years. Gibbs said an interim dividend would be considered when the company had established it could consistently deliver reasonable profits.
"There's some way to go, but the company is on the right track."
No policy had been set on what percentage of profits would be paid out but Gibbs said the plan was to pay out a substantial proportion.
"I would like to see it bigger than what it presently is but I make no promises," he said.
Asked about the talk of a takeover, Gibbs said such rumours were constant and he knew of no plans or offers.
"That's not to say there won't be one [a bid] tomorrow."
Gibbs assured that the company had no direct exposure to the sub-prime mortgage crisis in the US.
Tower shares closed down 5c at $2.05.
- NZPA
