COMPANY AFFAIRS.

Auckland Star, Volume LXVIII, Issue 133, 7 June 1937, Page 3

COMPANY AFFAIRS.

BYCROFTS, LTD. * SUCCESSFUL OPERATIONS. DIVIDEND OF EIGHT PER CENT. "Altogether the position U one which gives your directors confidence in the future of the company." This was the conclusion voicetl to shareholders in Bycrofts, Limited, at to-day's annual meeting by the chairman of directors, Mr. Geo. R. Hutchinson. The annual accounts, already summarised in the "Star," showed a slight reduction in net profit, and the directors recommend the maintenance of an 8 per cent dividend. This, the chairman pointed out, required an additional provision of £2000 as compared with the previous year, as capital had been increased ill the meantime by 'the issue of 25,000 bonus shares. Chairman Reviews Year. Reviewing the year's operations, Mr. Hutchinson said: —- "These returns cover a full year of trading under the regulations whereby wheat prices and flour selling prices are fixed. Millers arc given a profit for taking the wheat and converting it into flour and delivering it where and as instructed by the Wheat and FiourComImittee. Our responsibility is to maintain good quality flour. The committee has taken full control of the accounts and pays us less a commission for the service. Necessarily wheat quality comes into flour quality. Ido not wish to say further under this headin" than to remark that all our skill as millers has been extended in maintaining our quality during the past wheat season. Despite many difficulties, we made sufficient profit in our milling accounts to permit of our dividend being maintained at 8 per cent. "Our liiscuit business continues to grow. This department has shared with other similar industries the Mfects of restricted hours, higher wages and extended holiday payments." Tlvere had. he added, been a return on the capital invested in the factory. Two complete units of the new factory were now in operation and he had been assured by the representative of a leading British engineering firm that when completed it would be the most efficient and best equipped biscuit manufacturing factory iti Australasia. lie assured shareholders that the increase of issued capital last May had been achieved without impairing the financial soundness of the company. Five thousand pounds had been taken from profit and loss - account. £12.">00 from reserve and £7">00 from bad debts reserve. Now that the Government had taken over the responsibility of the flour accounts, there was not the need for so big a provision under this latter heading. Directors and Staff. The retiring director, Mr. Josiali La wry. was re-elected, au<l Mr. J. A. Gentles was reappointed auditor. On the motion of Mr. Colprove a vote of thanks to the directors and staff was carried, and the directors' honorarium was increased from £000 to £700. Mr> J. P. O'Connor, manager, briefly replied on Whalf of the staff.