l!r_>9 . . 1 »S,!>!>l 51.009 ti 8 2'J.71'.4 1030.. 14<i.r.7s 4t;.-_'til 0 7 L'!i,7C.4 P.»31 .. 1U3.4.">4 13.15M8 0 – U!t.7f.4 i".t::j .. ss.r.io ,-..«.-, i c _ uo.uoo P. 133 . . 9r..ti4G 17.0*7 •!• – 20,000 1034 . . 113.742 33.D0S C* 4 20,000 1 !t3."i . . 122.."50U 33.380 ('.* 4 20.000 I*.»:h;.. 330,033 42.f.2ti «• 4J 20,000 1037.. 171.777 C.0..V.1K (;* li 20.000 1!>38 . . 174,405 «0,254 C* <j 30,000

Auckland Star, Volume LXIX, Issue 221, 19 September 1938, Page 6

l!r_>9 . . 1 »S,!>!>l 51.009 ti 8 2'J.71'.4 1030.. 14<i.r.7s 4t;.-_'til 0 7 L'!i,7C.4 P.»31 .. 1U3.4.">4 13.15M8 0 - U!t.7f.4 i".t::j .. ss.r.io ,-..«.-, i c _ uo.uoo P. 133 . . 9r..ti4G 17.0*7 •!• - 20,000 1034 . . 113.742 33.D0S C* 4 20,000 1 !t3."i . . 122.."50U 33.380 ('.* 4 20.000 I*.»:h;.. 330,033 42.f.2ti «• 4J 20,000 1037.. 171.777 C.0..V.1K (;* li 20.000 1!>38 . . 174,405 «0,254 C* <j 30,000

•Subject to reduction to 5 per cent In terms of the National Expenditure Adjustment Act. The above record covering 10 years is on the whole eminently satisfactory. Particularly does it summarise in striking fashion three main economic stages, namely, post-war prosperity, the slump ami subsequent recovery. The excellent returns received for exports in the last few years are reflected in a definite improvement in the company's general position. Turnover has increased substantially with a corresponding increase in profits. To pay the usual dividends £36.004 is required, so that in the last couple of years there have been substantial surpluses available to swell the reserves. Expenses at £112.929 compare with £109.85! the previous year. The following table s ipolies concrete evidence of the manner in which the management has successfully grappled with the problem of blinding expenses to proper relationship with profits: — Ratio Ratio Expenses to Xet protlts to gross profits. gn»ss profits. Percent. Percent.

Last year showed the best results under this heading and the latest returns are almost as satisfactory. Strong Financial Position. It is not the profit and loss account, however, but the balance-sheet that prothe most convincing evidence of the definitely forward'• move that has been made in the last few years. For the purposes of comparison the position at July 31 over three years is shown below:— LIABILITIES. £ £ £ I<J3<T. 1037. 1938. Paid capital . .""479,953 479,953 479,953 Outside liabilities 38,247 40,140 59,590 The capital account show* £750,000 authorised; £658.267 has been subscribed, of which £405.055 are ordinary shares of £5 each. Uncalled under this head totals £178.314. Preference shares at £1 each, all called up, total £253,212. ASSETS. 1936. 1937. 1938. £ £ £ Properties .... 164,427 175,869 186,108 Machinery and — plant 4.14S 8,920 8,890 Office equipment 1,200 2,900 2,400 Sundry debtors, etc 241,473 243.683 256,346 Stocks 93,814 101,941 100,650 Investments .. 41,173 52.053 53,634 Bank N'.Z., etc. 28,607 8,307 15,718 Total assets . 547,843 594,574 623,746 Finance has always been a strong point with the company's management, and the results are easily . discernible in the balance-sheet figures. General reserves have been increased to £30,000. There is an increase in outside liabilities of £19.000, and on the assets side properties are higher by over £10.000, sundry debtors by nearly the same amount, and cash by over £7000. Total resets have increased by close on £66,000 id the last two years. Of the latest total, £623,746, fully twothirds are liquid. Against £59,000 of outside liabilities there was at balancing time over £56,000 in cash or Government 6tock, the latter for practical purposes being equal to cash. The remarkable liquid position of the company's finances is well illustrated in the following table, showing the proportion of outside liabilities to assets over a lengthy period.

It would be hard to find any trading concern of magnitude in the Dominion with such an enviable record.

1020 30.45 1930 20.09 1921 31.83 1931 ..,. 16.23 1922 27.58 1932 9.54 1923 29.98 1933 .... 7.79 1924 241.50 1934 6.95 3925 23.84 1935 C.17 1920 22.38 1930 .... 0.05 1927 10.98 1937 .... 6.75 192* 15.51 1938 9.55 1929 .... 20.37