BANK OF NEW ZEALAND.

Oamaru Mail, Volume XLIV, Issue 14707, 7 June 1920, Page 4

BANK OF NEW ZEALAND.

(Per.Press Association.) WELLINGTON, June 4. The balance-sheet of the Jjarik of New Zealand for the past year, which was circulated to-day, shows a net; profit of £469,045, after deducting interest on the 4 per cent, guaranteed stock, which is about £30,Q00 more than was earned in the previous year. To this must be added £146,225 5s 9d, making a total of £615,290 2s 3d, which is the actual amount available for distribution. The dividend for the year absorbs £268,750, or a'little more than a third. The ordinary shares receive in dividend and bonus 17-J per cent., of which 6 per cent, was distributed as an interim dividend. The sum of £150,000 is added to tho reserve fund, bringing that fund up to £2,500,000. and £50,000 has been written off premises and furniture. These amounts total £468,750, leaving a. balance of £146,520 2s 3d to be carried forward.

The note circulation totals £5,765,337 as compared with £3,728 5 249 a year ago: Deposits total £37,661,611, against £31.716,353, advances £17,929,615 against money and credit in London £20,283.642 against £13,818,056. investments in the Dominion £3:824,764 against £3,276,162, _ and coin and cash balances £8,371,535 against £5,918,456. It will be noted that there is a substantial increase in the deposits, amounting to ! nearly six millions, due. no l doubt, to the freer shipment. and quicker realisation of accumulated products. The. advances, however, show an expansion of less than - £600,000, which is the natural result of the great expansion in deposits. The investments in London .have increased -by approximately £6,07)0,000, or the same as the deposits, .which seems to indicate that the bank is finding profitable investment in London, rather than iii New Zealand.

There is a substantial growth in the circulation, the increase being about two millions, and,a. further expansion may be expected when the Government loan of ten millions is floated. . This loan will have- the effect of continuing the war prosperity and inflation, which everyone desires to see ended. At the meeting of shareholders on the 18th inst., the~chairniart will, as usual, comment on general,* commercial,, arid economic topics, and it will be surprising if he does not utter a. particularly, strong warning.