INCREASED PROFIT

Evening Post, Issue 30, 4 August 1936, Page 12

INCREASED PROFIT

LOVELL AND CHRISTMAS

(From "The Post's" Representative.) LONDON, July v 11.

Increase in the volume <of business transacted by Messrs.' • Lovell and Christinas, Limited, last year resulted in a net profit of £205,00.0 and enabled the company to pay a 10 per cent, dividend on ordinary shares. The profit was an advance of £18,000 upon last year's figure, when the dividend was 8 per cent. This fact was announced by Mr. William Lovell, chairman of directors, at the company's annual meeting. There were, said Mr. Lovell,. many difficulties with - which to ' contend Competition was keener than ever, demanding a maintenance of efficiency in organisation. Import duties, quotas, and adverse exchange rates still closed the door to international trading, or at least rendered it, in many cases; almost impossible.and dangerous. Fortunately, the bulk of the company's business consisted of selling and distributing dairy produce received from the Dominions to all parts of Great Britain," and the chairman claimed that in such work Messrs. Lovell and Christmas were better equipped and could render better service than any other existing organisation. It had succeeded in greatly extending this distribution, and it'intended to continue to do so to the utmost limits. Packing butter and cheese for delivery in packets of suitable size and shape ready for sale to the public over the counter was increasing: In addition to the company's own proprietary brands of packed butter,, it packed New Zealand and Australian butter, ■■ labelled to show the country of origin and name of factory. The new packing factory designed to meet the increased demand7 for the company's packet butter , and cheese was nearly finished. Important additions were also being; made to the Liverpool factory to supply the northern part of the country with packet butter. By intensive efforts in their respective territories, the Liverpool and Manchester branches had created a wide! demand for packet butter arid cheese.

The reserve for specific purposes had been drawn on to provide £10,807 7s 8d against losses on loan and investments. ' This reserve was created to meet requirements of this nature, and the ■ necessity of the. withdrawal of the amount in respect of the financial year under review arose from, losses .on financing business with foreign countries. For the time being and until such trading ■ could be effected oh a more secure, basis, the company did not intend: to devote its energies in that direction.

Future. international trading relations were an unknown quantity. Even; trading relations . with, one of the Dominions (New Zealand); from whom important consignments were received, were now enteri*l^ upon a new phase, but he felt confident that the company's fpolities for extended distribution of d?iry. produce would ; not b« overlooked; On the whole. Mr. Lovell felt hopeful of the outlook.