more than $1 million, up 5.5 percent on 1999.

The company announced net income of $1,053,597 or 0.91 cents per share for the year ended January 31, 2001, compared with $998,671 or 0.85 cents per share last year.

Sales for the year increased by $393,752 or 3.4 percent to a total of $12,171,848. The total gross margin (the sales minus the cost of sales) increased by $112,378 or 2.49 percent to a total of $4,613,468.

A release issued by the company said it had to promote heavily in order to attain the sales growth, "hence the slight slippage in margin''.

Rental income accounted for more than 50 percent of the year's profit, bringing in $665,579 during the year. This was equal to last year's rental income.

The company said the board of directors recognised the pressures on retail businesses and had held the rents at reasonable levels in order to ensure that good tenants were retained on a long-term basis.

Income from investment in an affiliated company rose to $538,030 compared with $495,853 a year ago.

Masters said staff and operating costs for the year increased by $157,012 or 3.89 percent to $4,184,571 compared with $4,027,559 for 1999.

Depreciation, amortisation and interest totalled $578,909 compared with $636,293 a year ago.

All expenses associated with the rental income and those expenses incurred directly by the company in connection with the investment in the affiliated company are included in the staff, operating, depreciation and interest expenses of the total company and are not segregated, the company said.

Total assets at January 31, 2001, amounted to $16,364,739 and shareholders equity has increased from $12,386,028 or $10.59 per share to $13,007,389 or $11.28 per share.

The company said in view of these results the board of directors has continued with the current dividend policy of $0.20 per share per annum, payable in equal instalments, 0.10 cents per share in April and 0.10 cents per share in October.

The April dividend will be paid to shareholders of record on April 20, 2001 and will be payable on April 25, 2001.