GRAMOPHONE PROFITS.

New Zealand Herald, Volume LXV, Issue 20111, 23 November 1928, Page 11

GRAMOPHONE PROFITS.

H.M.V. COMPANY'S YEAR. .. DIVIDEND OF 55 PER CENT. A further large increase in profits was announced in the annual report of the Gramophone Company, the net amount being £1,104,099, as against £752,216 for tho previous year and £309,649 for 26. Including the interim dividend ot 10 per cent., the dividend for tho year was 55 per cent., as against 40 and 20 per cent. >in the two preceding years, Tiio amount distributed was £664,279, including £SOOO in preference dividend, and the * amount carried forward was increased from £593,827 to £1,033,647. Tho directors' report stated that tho assets of tho company (irrespective of patents, trado marks and goodwill), and of the foreign branches and factories, amounted to £4,160,348, from which arc deducted liabilities and debenture stock totalling £810,723, leaving net tangible assets of £3.349,625. The profits shown are again largely in excess of those of tho, previous year,, which themselves were the largest in tho history of tho company.. These profits are derived from progressive trading and have not been helped by any unusual credit items. During tho year the company have expended on extensions of factory accommodation and equipment, at home and abroad, over £400.000. Further important extensions have become necessary and aro partly in course of construction. In the past tho company has dealt individually with such cases as have arisen requiring" grants of pensions or relief to employees. The number of employees who have completed 25 years' service with tho company is increasing rapidly, and tho directors have decided to allocate out of profits £75.000 to constitute a nucletfs for a pension scheme. The amount, of 'the ordinary dividend was proportionately greater than last year, for while the ordinary share capital, remains at £750,000, tho B shares (helcl by the Victor Talking Machine Co.) now rank as 12s paidjnstead of only 8s paid as on the last occasion. Tho American company, through its holding of B shades, has a powerful voico in the control of tho Gramophone Company. Twelve months ago tho chairman of the latter stated it was desirable to conserve the company's cash resources and a call of 4s a share, plus 23 premium, was made upon the B shares. This produced £212,500,' of which £42,500 went to share premium account.

BRITISH MOTOR INDUSTRY. IMPORTANCE OF HOME TRADE. Reference to the development of tho motor industry in Britain was made by Mr. Douglas Hacking, Minister for Oversea Trade, at the annual, banquet of tho Society of Mdtor Manufacturers and Traders in London. "While it is. true that tho owners of motor-chrs are highly taxed," he said, "statistics .prepared by the Ministry of Transport show that this additional taxation has not had the effect of checking tlio phenomenal increases in tho number of motorists, which is ono of tho most remarkable feature of the postwar era. "This beneficent Government has not only protected the British motor-car from foreign competition that post-war circumstances had rendered it almost incapable of meeting, but it has, in addition, protected the British :motor-tyre manufacturers. Tho great problem before the British motor manufacturers is that of extending their market. In the export business you have made progress, for in 1927 you exported 35,000 vehicles, as against 6000 in 1923. but the 35.000 was only 17 per cent, of your output. Over 80 per cent, of tli« cars sold in this country are British, and with the help of the McKenna duties there is no doubt that for tho homo market you can challenge the world in every model, from what the Americahs are pleased to call the 'bug' car up to tho most sumptuously-appointed limousine." Referring to the opportunities abroad, Mr. Hacking said:—"l know the problem is' bristling; with difficulties, and I dislike • making suggestions, but could not British manufacturers come together and pool their resources" at the marketing end, so that there may bo showrooms, service depots and the like where several makes of British cars may bo shown, and whom spare parts may be obtained ? Some form of commercial agreement • and a ' greater combination of effort appear to bo tho lines upon which the solution will run."

MAGNESIUM CHLORIDE TRADE. GERMAN-TRUST AND INDIA." Australian Press Association—United Service (Deceived November 22, 5.5 p.m.) , CALCUTTA. Nov. 21. Tie startling. allegation is mado that a German trust, having failed in negotiations., is attempting to strangle the Indian magnesium chloride industry. Statements to this effect have been made before the Tariff Board. AUSTRALIAN PRODUCE. Australian and N.Z. Press Association. (Received November 22, 11.15 p.m.) SYDNEY, Nov. 22. The following are to-day's quotations on the Sydney produce market:— Wheat. —At country sidings, 4s lid; ex Trucks Sydney, 4s B|d. Flour. —£12. ' Bran and Pollard.—£6 ss. Potatoes.—Clarence River (new), £11; Tasmanian, £lO. Oats.—Algerian or white, 4s 6d. Onions. —Victorian Globe, £l2; Brown Spanish. £lO. Adelaide prices are Wheat.—Growers' lots. 4s BAd. Flour. —Bakers' lots, £ll 15s. Bran.—£6 ss. v , Pollard. —£6 12s 6d. Oats.—3s.