NORTHERN STEAMSHIP COMPANY.

Press, Volume LXV, Issue 19624, 21 May 1929, Page 10

NORTHERN STEAMSHIP COMPANY.

NET PROFIT, flS.lfl>. The annual b»lanc*-«heet »ad aoeoont» of the Northern Steamship Oomp» n T ino'c*** ft net profit approximately equal to **»»* **~ sealed in each if the last three year*. Details of the part six year* *** *" fol * low :

Year ended. Net profit. Vvt. »•*:«•••. March t o.c. * 19i3 13 * 56 7 57.457 1924 .; 7i 81,814 1*25 . .. w'i-4 8" W.WI 1920 . 133 a, * 35,130 »27 .. ls'.llfi 8 M.T2* 19* .. 13215 S *,2?7 1923 .. 13,161 3 85.960 The 7 per cent, dividends with which the table optns stretch back to 1991. Following are the Drincipal items from the balance-sheets of the last three years: 1327. IM6. 1929Ijiabilities — £ £ ■*' Paid capital .. 161,412 161,412 161.412 Insurance account 53,820 55,407 5,351 Insurance account No. 2 .. 19,412 20,072 20,342 Boiler and repairs account .. 10,505 10,505 Sundry liabilities 57.02S 52,621 71,593 Bills payable .. 1.220 552 83 AssetsVessels, plant, etc. 165.028 193,163 195,367 Premises .. 11,697 11.432 11,167 Coal and stores .. 10,829 *?,747 14,779 New vessel building account .. 12,275 Investments £4,918 73,008 77,716 Book debts, etc. 29,993 26,573 25.549 Annnal Meeting. The serious effect that motor traffic has had on coastal passenger trainc waa referred to at the annual meeting held in Auckland on Friday. The chairman, Mr Charlea Rhodes, alter commenting on the financial position of the company, which he said was unfortunately, not quite as good as usual, added: "We have to confess that, for the first time for some years past, we find ourselves unable to make the full depreciation of 6 per cent., which is the amount common on shipping companies' fleets. We are short by about £4OOO, which is duo entirely to the altered condtiionso f our Tauranga service. No company can afford to igvore the requests and desires of its clients, but the truth is that we persisted too long in ou rresponse to their wishes, and in our efforts to revive a languishing passenger trade to Tauranga. The result was not only an absence of any profit but also a substantial actual loss on sailings to that port. It forced us to abandon that passenger trade alter Easter ol this year, and limit the service to carrying cargo only. I remarked last year that motorear passenger sprvices generally were attracting travellers, both from our boats and from railway trains, and that we anticipated a time when freight carrying in oil scows would be our chief objective. I can certainly add now that the change we have effected, freed from the costly service of catering for passengers, has already changed a steady loss into a result of some profit. We cannot refrain from again alluding to the unfair competition of the railroad, wherever it runs to seaports. The directors are quite optimistic about the company's future as a coastal cargo carrier. They see every reason to believe that a sound and payable business lies before us as shareholders, one in which they can continue to serve Auckland province and aid m it 3 advancement, whilst earning a dividend on capital most usefully employed in a public service. To those who wonder what we will do with the paaaenger steamers laid up, and their effect upon our assets. I say that the present asset ol £324 878, representing our fleet and wharves, is thoroughly aound and need not call for anxietv on any shareholder's part. It would be impossible to replace the equicment we have at the cost in our balance-sheet. The report was adopted.