THE P. AND 0. REPORT.

Otago Daily Times, Issue 19069, 15 January 1924, Page 4

THE P. AND 0. REPORT.

ADVANCE IN GROSS PROFITS. THE SHIPBUILDING PROGRAMME. UTbom Odb Own Correspondent.) LONDON, December 4. A decided improvement in profits, is shown by the report of the P. and U. Steam Navigation Company for the year ended September 30 last. After providing for depreciation and adding £105,757 to the insurance fund the profit works out at £1.013,241 (against £696,000 for the previous year, struck after providing for depreciation and £191,853 for expenses, ot debenture stock issue). Interest on the per cent, and oi per cent Debenture Stocks absorbs £297,064 (against £52,064) leaving a net profit of £716,177. The redemption fund received £125,000 (against £60,000), and the directors propose to place to the provident good service fund £IO,OOO, again paving 12 per cent for the year on the Deferred stock, tax free, leaving £lOl,BlO to be carried forward. With the above allocation the insurance fund totals £3,200,000. The company possesses a reserve fund of £1,608,000, and a contingent fund of £1,000,000. Open accounts figure for £84,100 more at £7,711,0U0. The book value of‘the ileet is £618,800 down at £12,014.500, while coal stores stand £35,000 lower at £242,200. Properties, etc., which appear at £905,900, show a rise of £188,600 and investments, cash and debts together account for £677,800' more at £12,755,100. NEW SHIPS. Although prices are still above prewar figures, the directors say they have considered it desirable to contract for four fast steamers of 16,000 tons, more p-articu-larlv for the London-Bombay mail line, and these ships are now being built. In addition, an express steamer, mainly intended for the run between Aden and Bombay is expected to bo dchevered in the summer of next year. Contracts have, also been entered into for three passenger and cargo ships of 16.000 tons each, mainly for "'the Australian line. These ships will have large capacity for cargo, and, more particularly, for the conveyance of refrigerated 'produce. The outward trade is still very poor, although the P. aud O, Company’s ships secure" their share of the business doing. The homeward trade has shown little improvement, but the passenger business has been satisfactory.