BANKING PROFITS.

Auckland Star, Volume LXIX, Issue 3, 5 January 1938, Page 4

BANKING PROFITS.

j YEAR'S SLIGHT RISE. INCREASE IN DIVIDENDS. Returns given by the "Australasian Insurance and Banking Record'' showthat net profits announced during 1937 by the 11 ordinary banks trading in Australia and New Zealand amounted to £3,115,285, compared with £2,840,763 in 1936, an increase of £274,522. Compared Mith 1934 the increase is £461.439The proportion of net profits to average shareholders' funds employed during the past year is still only 3% per cent, while the proportion of dividends declared to shareholders' funds is 3 2-5 per cent. Aggregate net profit** and dividends and the proportion for the past six years compare as folloM-s:— Net profits. Dividends. Ratio £ £ p.c. ' 1932 2,572,771 2,937.758 — 1933 2.685,013 2.541.425 94.03 1934 2,653.846 2.487,988 93.75 1935 2.632.990 2.482.841 94.30 11*30 2,840.7«3 2.4.03.651 ill.(15 11(37 3,115,285 2,807,042 90.10 The highest profits were earned in 1928, when they reached £6,404.418, and dividends amounted to £5,213,456. Including paid capital of £45,464,487 •the total of shareholders' funds is £82,716,832, against £82,612,588 a year ago, an<l £82,564,474 tM-o years ago. Reserve funds, including exchange and currency reserves, amount to £35.540,000 and undivided profits to £1,712,345.