FACTS FOR INVESTORS.

Auckland Star, Volume LXIX, Issue 66, 19 March 1938, Page 4

FACTS FOR INVESTORS.

CHAIN STORE FINANCE. WOOLWORTHS' BALANCE-SHEET. SUBSTANTIAL RKSF.RYES. i As already announced in these columns Wool wort lis. Limited (Sydney) earned record profits during the year ended Jannary 31. the figures being £217.717. after providing £30.000 for taxation, compared with £172,341 the previous year, when the provision for taxation was £65.000. A final dividend of 9 per cent on the ordinary shares makes 13 per cent for the year, compared with per cent the previous year. The year's ordinary dividend requires £137.502. the 10 per cent preference dividend £7500 and the 7 per cent second preference dividend £14.000. Other appropriations are £3000 to staff provident fund. £2500 to insurance and building reserves. £2500 to charities inXew South Wales, £30.204 to general reserve, and £11.361 (the residue of dividends from Woolworths (New Zealand I. Ltd.) to tax-free reserve. The transfers will increase the company** reserves (excluding depreciation reserves) to £535.832. The accounts include dividends from subsidiaries. During the year a subsidiary. Woolworths (Queensland). Ltd.. was registered. the whole of the capital being held by the parent company. The revenue now received by Woolworths. Ltd.. from Queensland trading represents dividends after provision for taxation and reserves lias been made by the Queensland company. This explains the reduction in the parent company's provision for taxation. PROFIT AND LOSS.

I lie directors report that the company's R;i:»-s have progressed favourably, ami all branches and subsidiaries are • perating successfully. During the year the New Zealand and West Australian subsidiaries paid to their directors fees amounting to £3150. The directors' fees paid by the parent company Mere £10.non, of which £4500 was contributed by the Queensland. Victorian and. South Australian subsidiaries. The decision to issue bonus ordinary shares in the proportion of one for five held has been announced already. Tins issue represents the capitalisation of £183.667 of the premium on shares reserve. The new shares will participate in dividends declared after April 30. In future, ordinary dividends will be paid half-yearly, in April and October. Subsidiaries' Accounts. Aggregate profits of the subsidiaries were £342,661. After provding £121.000 for taxation, £5000 in reduction of establishment charges, and £83.758 in dividends. there remained a credit of £152,839. ( ombined asset* of the subsidiaries are valued at £1,907.040. including £413.520 in goodwill and establishment charges.

Yr.ir rnilnl .Tnnnnrv .",1. 1030. 1037. in.". 1 ;. IJ Ij 4J I'mf'I 227.550 237.341 247.717 Tn taxation .... RO.OOO 05.000 30.000 N>t profit 117.r» 172.-Til 217.717 Dividend - Pr" f .. 10 p.I*, , 7.500 7.."oo 7.."on T'ri r.. 7 p.r. .. 11.802 1 4.000 14.0011 Ordinary. p.r. . 12} 12} 1." Uril.. anmunt . 52.7 10 105.402 137.502 Ri»nit«. p.r. ... ."» —. — Bonus, amount. 21.008 — Tn rr=orvp 50.344 42.345 30.204 To tax-frpp rp«vs. — — 11.301 "Io insurancp anil building res. . . — — 2.500 To staff funci ... 2.oon 1.000 2.500 To charities .... 2.000 l.OOO 2.50O BALANfK SHEET ITEMS. I.IARII.1TIES — Capital : Trpf.. 10 p p. . 75.000 75.000 75.000 I'ri'f.. 7 p.r. . . 2l»i.0lin 200.000 'Joo.ooo Ordinary 421.1»tl'.l R43.03R 92R.332 General ri-sprve . 14 4.R.TO 1115.183 237.532 Cap. profits rrs. . 14.1155 47.000 47 1'rrni. mi vliarrs . 73.380 73.3R0 1 !<n.*>T7 l>i'pri'cia tinn . . . 117.030 154.453 17o,887 Insiir.-nrp & bid?. 5.000 5.000 5.000 rrrditnrs 00,708 0.3.075 R1.5R.3 lies. taxation ... 150.0(57 1 5K.o_'5 11 R.S70 Rank — 30.0RR Staff fund 3.000 5.OO0 1,000 ASSETS - I-i nil and buibU inirs 100.040 22R.R37 251.735 Leasehold SO,340 87.013 91,158 Work in progress (buildings. ete.i — 15.748 SOO Furn i ? 11 rr. ti\t utps and plant .... 200.081 230.571 100.r,14 Stnrk 281.101 340.430 240.R3O 1 ipbr.irs 75.715 04.350 lull lln •'a-'i 131.881 4.748 52,507 Sharps in other companies ... 304,r,84 847.320 " 1.113.70 I fiondwill 105.227 105.227 105.227