WRIGHT, STEPHENSON

New Zealand Herald, Volume LXXVI, Issue 23430, 21 August 1939, Page 5

WRIGHT, STEPHENSON

DECLINE IN PROFIT SAME ORDINARY DIVIDEND FURTHER SPECIAL DISTRIBUTION A net profit of £42,863, a decline of £5148 oil tlio previous year's record earnings, is shown in the accounts of Wright, Stephenson and Coiii])any, Limited, for the year ended June HO. The directors recommend that nfter the fixed payment on preference shares a filial dividnd of 2J per cent should ho paid on ordinary shares, making 5 per rout, unchanged, for the year. it is also proposed to repeat tho special distribution which was made last year to ordinary shareholders in Wright, Stephenson and Company of Abraham and Williams, Limited, debenture stock Tii. proportion of £1 of stock for every 20 ordinary shares, making tho total distribution on these shares equivalent to TO per cent. This stock can only bo issued in multiples of I.os and it is proposed to ltiake tho distribution of odd amounts and to all holders of less than 200 ordinary shares in the form of cash. After the proposed payments and., distributions of stock are made £58,296 will remain to be carried forward; against £57,950 brought in. Taxation on Dividend With regard to taxation it is pointed out, in tlio .accompanying report, that tho amount of debenture stock received will be treated iii the same way as tho amount of cash dividends, that is,, for income tax purposesf .it will bo treated*as tax-paid inco'mef but must be added to other ihco/ho ill order , to "arrive at the rate of tax that applies to a shareholder's taxable income. Socirtl security tax on the amount of stock and the cash dividends, should not, however, be paid by shareholders, as that is payable by the company. „ The retiring directors, Messrs. H. A. Pried and W. M. Shand,--are available for -re-election. Ee,suits for the past three years compare as follows: .. ' . , V 1037 1038 1030 £ £ -C Brought forward 37,144 52,455 57,5)50 Net profit . . 42,815 48,011 42,8(53 70,059 100,400 300,813 Dividends— ! Pref., 5 pic. . 12,402 32,<192 12,402 Orel., 5 p.c. . 15,012 100,024 130,025 Carried forward . '52,455 ,'"57,050 58,200 tlncludes special dividend* of 5 per cent issued in debenture stock and cash, debited to appropriation account Balance-sheet Charges Movements in the balance-sheet over the year are as follows: —

LIABILITIES Variation £ ' £ Capital . . .. 650,082 Same General reserve .. 28,133 Same Dob, stock .. .. 000,732 -11,725 Fixed deposits . v 08,178 +1,513 Owing to subs. . . 1 12,155 +15,882 Clients' current A/cs. "181,009 +03,580 Creditors .. .. 301,301. —71,008 Bills payable . .. 3,072 -04 Staff pensions .. 51,042 +14,745 Bank 5,478 +1,042 P. and L. account. . . 87,000 +340 ASSETS Property and plant .• 250,212 +4,000 Invest, in subs, and assoc. companies .. 403,502 +13,005 Stocks . . . . 245,005 -18,503 Advances (produce) . (>5,000 - 50,001 Advance accounts .. 000,330 +05,418 Debtors .. . 314,000. -17,5^0 Bills receivable • .. 113,0:20 +18,323 Advances to directors 0,013 -2,507 Investments .. . . 42,884 +350 Cash . .. : ... 13,170 +5,133 The balancing- total _at £2,456,633 shows an increase of £17,231. , The accounts - are discussed in a comprehensive report issued in conjunction with the balance-sheet. With reference to. an increase of £16,817 in the premises, it is stated that these havei been increased mainly through tho erection of new premises at Hamilton and Lower Hutt. Investment shares comprise scrip of leading financial, insurance and industrial concerns, nil readily . saleable and forming a: liquid investment. • • Reference is also made to the rise that is occurring in farming costs and tho urgent need for an adjustment between export prices and internal costs.

NELSON DUNITE TRIAL SHIPMENT PLANNED POSSIBLE NEW INDUSTRY [by TELEGIUriI—OWX CORItESrOXDEXT] NELSON, Saturday The taking out of a trial shipment of 100 tons of 'dunite, a mineral containing copper, from Dun Mountain by an Australian company, lias been agreed to by the Nelson City Council. It was explained that there was a probability of the company establishing a quarry to take at. least 12,000 tons of dunite annually. „ During the discussion it was stated that it seemed possible .that an industry of some value to .Nelson would result, and it was estimated that the preliminary work of establishing the scheme would cost £15,000. It was understood that the company was also considering an area of dunite iu South Westland.

. -A—i—--1 ~ DAIRY PRODUCTION TOKOROA OUTPUT REDUCED The Tokoroa Co-operative Dairy Company, ; (Limited, reports an output of 489 tons of cheese, a decrease of 21 tons for tho year ended June 30. The decline was due to tho difficult production season. Advance payments to Juno 30 on tho total season's butter-fat averaged 15.926 d per lb. butter-fat. A balance of £1976 is available, making the total estimated return 17.012 d per lb butter-fat, irrespective of grade. Charges to f.o.b. at 3.874 d aro higher than tho previous season's figuro by 0.466x1 per. lb butter-fat. Nearly £BOO has been spent on new plant. In tho previous season tho actual season average pay-out was 16.115 d per lb. butter-fat. v . ' COTTON, RUBBER, COPRA, ETC. (Received August 20, 5.5 p.m.) LONDON. Aug. 19 (Quotations on August 12 in parentheses.) Cotton.—Spot, G.l4d (5.22 d) a ]bi; September delivery, 4.47x1 (4.51 d). 11 übber. —Para, 7gd (7gd) a lb.; plantation 1 and smoked, 82d (83d). .Tute.—September - December shipments, £2O 10s (£2O 12s Gd, August-September,)-a ton. Copra.—September - October shipments,. South Sea, sun-dried £9 2s Cd to London and Rotterdam (£9 6s) a ton £ South Sea, smoked, £9 to Mnr- 1 seilles and Genoa (£9 2s Gd); plantation, Kabaul, hot-air dried (£lO 2s 6xl to London and Kotterdam (£lO ss). Linseed 0i1.—£27 os (£27 ss) a ton. , Turpentine.—32s 9d (32s .9xl) a cwt.