Bottom Line: Kunick in winning form

GEARING at Kunick, the fruit machine rental company, once more than 100 per cent, is down to 27 per cent. If plans to float off its half-share in Goldsborough nursing homes materialise, it may have net cash this time next year.

Kunick is back in the black with pre- tax profits of pounds 4.8m compared to a write- off-scarred loss of pounds 11.8m last time, while underlying operating profits rose 55 per cent to pounds 6m.

The company is financially secure. But its ordinary shares, unchanged at 11.75p, are likely to be subdued until Goldsborough is sold. The attractions of preference shares are a good deal more immediate. Up 4p to 96p yesterday, they yield nearly 11 per cent.