FREEZING INDUSTRY

New Zealand Herald, Volume LXXI, Issue 21396, 20 October 1934, Page 15

FREEZING INDUSTRY

GISBORNE SHEEPFARMERS \ NET PROFIT OF £10,033 ORDINARY DIVIDEND PAYABLE [by telegraph OWN correspondent] GISBORNE, Friday A substantial decrease in the killings of stock tor export during the past year both at Kaiti and Tokomaru IJay is referred to in the annual report of the Gisborne Sheepfarmers' Frozen Meat and Mercantile Company. Limited. However, the company's freezing department was able, in spite of a falling-off in killings at both works, to show a small profit, while in the mercantile section the firm had a reasonably good year. Killings at the Gisborne works tytalled 521,341 freight caicases, a decrease of 49,332 011 the previous year, while the total at fokomaru liav was 10(5,337 freight carcases, a decrease of 28,151. Sheep killings at both works show a big decrease and the lamb totals are also lower. The Tokomaru Hay cattle figures are higher than last year, and the pig killings at both works show an increase.

Freezing charges at Tokomaru Bav were reduced to bring them more into line with other works and to maintain a reasonable turnover, but the latter did not eventuate. The report states that producers will have to take stock of the position and endeavour to keep the killings at Tokomaru Bay up to a level which will justify the works carrying on.

After writing off £12,716 for depreciation and making provision for income tax, the net profit for the year is £10,033, to which is added the balance carried forward from last year. £1719, making a total balance in the appropriation account of £11,752. It is proposed to deal with this as follows: —Pay two years' freezing and mercantile preference share dividends (bringing these up to date), £1776; pay 2 per cent dividend on all ordinary freezing and mercantile shares, £3971; transfer to general reserve, £3000; transfer to reserve for bad and doubtful debts, £2200; and carry forward £BOS.

The dividend of 2 per cent on the ordinary share capital of the company is the first since 1920. In the balance-sheet, paid capital is shown unchanged at £213,919, while debenture liability still stauds at £300,000.

In 1933 the net profit was £13,571 and in 1932, £3145 was earned. In the previous year, a loss of £6189 was shown.