"SOLID AND SOUND"

Evening Post, Volume CXXIX, Issue 72, 26 March 1940, Page 10

"SOLID AND SOUND"

JOSEPH NATHAN COMPANY'S

YEAR

(By Air Mai!, from "The Post's" London

Representative.)

LONDON, March 1,

Tangible evidence that the business of Joseph Nathan and Company, Ltd ; , was on a "solid and sound foundation" was the fact that both turnover and profit had been maintained despite the past year of "fears, alarms, and crises," said Mr. Alec Nathan, the chairman, at the annual meeting of the company held this week. General reserve had been substantially increased by allocation of £50,000, and now stood at £130,000. Gross earnings at £149,997 showed an increase over last year of £11,000, and reflected increased earning power. Reserve and profit and loss account balanced at £385,866, increased by £80,000. Taxation increased by £10,000 and A.R.P. had cost nearly £7000, and had been paid out of profits. "Year by year," said Mr. Nathan, "the company has gained strength ana solidarity, largely due to having a longterm policy and rigidly adhfJKjng to it —the policy of conservation of financial resources and directing them into the most profitable channels. As a result, the business is in a far better position to withstand the uncertainties and difficulties arising out of the war than, it would otherwise have been. The result of the present year would be equal to that under review. Glaxo Laboratories had a successful year. Several new products have been m The "produce businesses have had a more satisfactory and profitable year, the result of reorganisation. All these businesses are engaged in the distribution of essential foodstuffs.

NEW ZEALAND BUSINESS. Referring to New Zealand Mr Nathan said the business had had a very satisfactory year; but the possible effect of the numerous regulations and the regimentation that surrounds trading in New Zealand makes it unwise to p^phesy what will be the final result of this year's trading. . Members of the staff were being paid a bonus to meet increased cost of living; wages and salaries had been maintained at the pre-war level, and m every case where members had joined the forces, generous .Pay™ 6".* W in S being made in accordance with mdiA\dan^nxet e raordinary «energ mgtinjj it was agreed to capitalise £47,781 oi the reserves accumulated over a period nf years It was decided to issue three oSry 1? shires fully paid for each two ordinary shares at present held A dividend was declared at tne ordinary general meeting .of 10 _ per ?en on ordinary shares, m ad to to dividends on 7 per cent. A pretei ence shares and the 8 per cent, preferred ordinary shares.