GENERAL MOTORS-HOLDEN’S

Dominion, Volume 29, Issue 204, 26 May 1936, Page 12

GENERAL MOTORS-HOLDEN’S

Depression Losses Recovered General Motors-Holden’s. Ltd., whose shares are quoted in New Zealand, made a net profit of £673,057 during the year ended December 31, compared with £402,333 the previous year, and £134,161 in 1933. In common with many other big manufacturing concerns, the company had a disastrous experience during the depression, its losses for the two years ended .Tune 30, 1932, aggregating £SoO,000. Last year’s profit, however, was sufficient to ‘recover tlie last of the depression losses, and leave a surplus profit of £340.4-11, for the five years and a half from July 1, 1930. to December 31, lO.'j.i. During the year, preference dividends for the two years and n half to September 1. 1935, were paid, aggregating £84.520. Ordinary shares received a dividend of 20 per cent, in December, the first since the merger of General Motors and Holdens, in 1931. The directors state that no difficulty is expected in the future in paying regular preference dividends on Hie due dates. The year s distributions leave a credit of £490.618, to be carired forward, against £4962 brought forward. All the ordinary shares, except, those held by directors representing Holden interests, are owned by the General Motors Corporation. Each section of the company’s operations showed an increased volume of sales, and an increased net profit. The directors state that they haveplanned to re-invest this year about £500.000 of profits in new buildings, plant, and equipment. Of this amount, £430.000 is being spent in the establishment of central administrative headquarters for Australia, and in extensive factory and parts.operations. The new undertaking is being established at Fisherman’s Bend,. Melbourne. The first group of buildings should be completed hv the end of July. Tlie balance of expenditure is being made throughout Australia in extending . and adding new equipment for body building and chassis assembling operations. This programme was begun last year., when £60.000 was spent on the Adelaide body plant. During 1935. the report adds, the comnanv employed 7421 operatives, paid £1.374.086 in salaries and wages, and bought Australian-made material to the value of about £1.750.000.