THE RAILWAY YEAR.

Manawatu Standard, Volume LIV, Issue 295, 10 November 1934, Page 6

THE RAILWAY YEAR.

An interesting and unusual position in the light of more recent statistics is revealed in the fourweekly period of the Railway Department ended on October 13. In that period, compared with 1933-34, expenditure increased by £92,055 and revenue by £26,367, resulting in a net decrease of £65,688. It is some time since a movement of this nature has been noted by the Department, and it is explained, as Mr Sterling states, by the payment during the period of the increase in salaries and wages w r hich became operative from April 1. The sum was £77,513, and an adjustment of the figures to allow for this amount shows an increase of net revenue of £11,825. _ This, of course, is a non-recurring charge, but it has had the effect of giving the Department on comparison with last year an adverse balance of £9903 over the period of the financial year from April 1, whereas a similar adjustment would show the increase in net revenue to be £67,610. Mr Sterling places the increase in the salaries and wages over the financial year at £175,000, and he expresses the view that the net revenue in the twelve months will not only equal last year’s, but will go a long way towards meeting the additional amount required. The Department has been making very good progress after the lean times in recent years. At September 15 the net revenue was £334,574, or £55,763 more than for the corresponding portion of 1933-34. At the same date in the previous year the net revenue showed an improvement of £48,469 over the return for the equivalent period in 1932-33. The last financial year closed with net revenue slightly more than one million pounds, the first time since 1928-29 that this -figure had been exceeded. The gain on the previous year’s results was £235,000. If the revenue is maintained as Mr Sterling hopes, and the Department is not required to meet unexpected expenditure, the working profit this year should provide a contribution towards the cost of interest even better than last year’s favourable sum, and also materially assist towards the cost of the salary increases.