NEWTON KING PROFIT

Dominion, Volume 30, Issue 255, 24 July 1937, Page 14

NEWTON KING PROFIT

Deficit Wiped Out A net profit of £20,281 is shown in the annual accounts of Newton King Ltd., merchants, stock and commission agents, New Plymouth, for the year ended April 30 Income tax will absorb about £lO,OOO, and after wiping off the ‘deficit on the profit and loss appropriation account last year, amounting to £13,473, there will remain a surplus in the profit and lose appropriation account of £2566 to be carried forward. The directors’ report states that the improvement which has marked the company's accounts for the past few years has been continued. Full allowance has been made for depreciation of fixed assets to the extent of £BOB2. As a consequence of Government legislation and other causes, expenses have shown a substantial increase for the year, and the directors consider that the trend in this direction has not yet been checked. The balance-sheet shows that paid.capital is unchanged at £204,529. In liabilities sundry creditors are £37.718 higher at £103,502, and there is a rise of £1263 in the secured debt to the banks to £103,498. The amount owing to the estate of the late Mr. Newton King has been slightly reduced, and stands at £45,302. Reserve for taxation has been increased from £5495 to £lO,OOO. Among the assets, buildings and plant are £Bl5l higher at £83.179. Stocks at £73.805 show an increase of £19,994, while sundry debtors at £318.299 are £28.669 higher. The balance-sheet total is £44.416 higher at £481.237. The net profit of £26.281 shows an increase of £7498 over the previous year’s figure. This is the largest in the company's history, the previous highest having been £20,543 earned in 1930. No dividends have been paid since then, and there are seven years’ arrears of dividend on preference shares.