COMMERCE AND FINANCE

Otago Daily Times, Issue 21356, 9 June 1931, Page 4

COMMERCE AND FINANCE

THE SHARE MARKET DUNEDIN STOCK EXCHANGE There was considerable activity in King Solomons on the Dunedin Stock Exchange yesterday and there was a decided firming in the price. Sales took place at 2s 9d, six parcels changing hands at that figure and three more transactions were recorded at 2s Bd. Sellers remained firm at that price and further offers of 2s 7d failed to attract more business. Bank of New' Zealands continued to ease, the best offer being 47s 6d. Sellers would not accept less than 48s 3d. There was a buyer of Milburn Limes at 30s, but sellers were asking 31s. An offer of 15s for Dunedin Breweries found sellers firm at I7s. Golden Progress shares were on offer at :28s, but the best buying quotation was 20s. Sales: King Solomon, 2s 9d {six parcels), 2s 8d (three parcels). The following are yesterday afternoons buying and selling quotations, which are subject to the usual brokerage:— BANKING. Bank of Australasia —Buy £8 12s. Bank of New South Wales —Sel £25 10s. Bank of New Zealand—Buy 47s 6d, sel 48s 3d.' Bank of New Zealand (long "D”) Buy 265. Commercial Bank—Sel 14s sd. « Commercial Bank (pref.)—Buy £5 4s, sel £5 10s. E.S. and A. Bank—Buy, £3 15s. National Bank of New Zealand —Sel £5. INSURANCE. National Insurance Co.—Sel 13a. New Zealand Insurance Co. —Sel 425. SHIPPING. Huddart, Parker (pref.)—Buy 17s 9d, sel 20s. 1 U.S.S. Co. (pref.)—Buy 19s 6d. " v COAL. Kaitangata—Sel Is 6d dis. Westport Coal Co. —Buy 245, sel 24s sd. LOAN AND AGENCY. National Mortgage—Sel 50s, New Zealand Guarantee Corn— Sel 6s. Wright, Stephenson (pref.)—Sel 15s 6d. MEAT PRESERVING. New Zealand Refrigerating (pd.)—Buy Hs. , ' New Zealand Refrigerating (cont.) Buy 3s Bd, sel 3s lid. ' MISCELLANEOUS. Bruce Woollen Co. (pref.)—Sel 19s. D.I.C. (pref.)—Buy 19s 6d. Dominion Rubber—Sel 12s 6d. Eclipse Petrol —Sel 10s. Kaiapoi Woollen (ord.) —Buy 7s. Milburn Lime and Cement —Buy 30e, sel 31s. . • Mosgiel Woollen Co.—Buy £6 Bs. National Electric—Sel 10s. New Zealand Drug Co. —Buy 49s 6d, eel 51s. GAS. Christchurch —Buy 255. BREWERIES. New, Zealand Breweries, Ltd., 33s 9d, sel 34s 6d, . ; New Zealand Breweries Debent. —Buy 21s. Dunedin Brewery—Buy 15s, sel 17s. MINING. Waihi—Buy 14g 6d. Mount Lyell—Buy 16s 6d, sel 17s. Mahakipawa—Sel 9d. Kildare—Sel la. Okarito—Buy 7s 9d, sel Bs. Cornish Point (pd.)—Buy 5Jd, sel 7d. Golden Progress—Buy 20s, sel 28s. King Solomon—Buy 2s 7d, eel 2s Bd. WAR BONDS. 4i per cent. Bonds, 1938 —Sel £99. 4J per cent. Inscribed, 1938 —Sel £9B Xsb. 5J per cent. Soldiers 1 Bonds, 1933—8uy £99. 5J per cent. Bonds, 1936-—Buy £99. 5J per cent. Inscribed, 1933 —Sel £99.

NORTHERN EXCHANGES . (Per United Press association.) The following business was done on ’Changes yesterday:— Auckland. —Sales: Commercial Bank of Australia, 14s 2d; Bank of New Zealand, £2 8s; South British Insurance. £2 11s; Auckland Gas, £1 3s; Waihi Mining, 14s 8d; Waihi Grand Junction, 2s lid, 2s 114 d;. King Solomon, 2s 6d. Wellington’.—Sales reported: Wellington Racing Club debentures, £lO2 5s (on ’Change). ' J . Christchurch.—Sales; Australian Bank of Commerce, 15s 4d; E.S. and A. Bank, £3 18s: Bank of New Zealand (cum div.), 48s Id: New Zealand Refrigerating (10s paid), 3s lid (two parcels); New Zealand Breweries, 34s 2d; Mount Lyell (cum div.), 16s 10d; King Solomon, 2s 6d, 2s,Bd, 2s 9d, 2s lOd (two parcels), 2s 0d (three parcels).- Sales reported: New Zealand Refrigerating (10s paid), 3s lOd: Mount Lyell (cum div.), 16s lOd.

TARANAKI OILFIELDS, LTD,

(Pee United Press Association.) WELLINGTON, June 8,

The Omata No. 1 bore drilling report for the week ended June 6 is as follows: - “ Drilling with fishtail bit in packed mud at 2757 ft.” - FROZEN MEAT MARKET

The Otago Farmers’ Co-operative Association of New Zealand, Ltd., is in receipt of the following cablegram from .the Overseas Farmers’ Co-op. Federations, London: — , ~ , 'Lamb, firm and slightly advancing. Mutton, short supply; values appreciating. Current prices; Twos. 74d, 8cl; eights. 7jd to 7|d; fours, 7|d to 7|d; seconds, C|d to 7d; wethers, 4|jd to 5 4 d; ewes, 3.Jd to 4Jd.

CORNISH POINT GOLD MINING COMPANY. LTD;

The secretary of the Cornish Point Gold Mining Company reports that, according to latest advice from Cromwell, the mine is now drained, although a slight mishap to one of the pumps had delayed matters. During the time the mine had been dosed several runs of silt and gravel had occurred. It is anticipated that only two of these runs now remain to be cleared before the face ’is reached. The river is still at the low-water mark.

Scott Bros., produce merchants and commission agents, agents for the Dunedin Egg Suppliers’ Association, report:— Eggs: Fresh, market rates subject to fluctuation, preserved Is 4d to •Is sd. Butter: Dairy pats BJd to 9d per lb. Honey: Bulk 5d to sid per lb, 101 b tins 5s Od'each, slb tins 3s. Beeswax Is 6d to Is 7d. Fat 7s 6d to 8s per cwt. Poultry: Hens 2s 9d to 3e 3d per pair. Ducks Is 6d to 2s each. Geese 3s to 5s each. Turkeys: Hens 8d to 9d per lb, gobblers 10d to lid per lb. Pigs; Prime baconers to s|d per lb. porkers 6d to 61d per lb. Potatoes: Oamaru and Taieri £4 to £4 5s per ton. Onions; Canterbury 7s 6d per cwt, Australian 7s 6d per cwt. Swede turnips, 2s 6d to 3s per cwt. Carrots ss. Parsnips 5s 6d per cwt. Beetroot 7s 6d per cwt. Chaff: Prime oaten sheaf £4 10s to £4 15s per ton, bags extra, ex store; oaten straw chaff £3 15s, bags extra, ex store. Partridge peas 5s 3d to 5s 6d per bushel, sacks extra. Whole fowl wheat 5g 3d to 5s 6d per bushel, sacks extra. Australian barley 11s sack (included), for use stock food. Barley pollard 8s per bag. Lucerne bay £6 per ton. Clover and ryegrass bay £5 per ton. ex store. Maize 7s per bushel. Oats: Gartons 2s 0d to 2s 9d. Sparrowbills 3s per bushel, sacks extra. Pressed wheaten straw £3 15s, oaten £4, ex store. Please Note.—Pigs and poultry must arrive not later than Thursday of each week. We also stock the following lines: Meat meal, grit mills, charcoal, leg rings, oyster grit, chicken food, egg ■ crates (quotations on application), Dunedin, June 8.

LOCAL AND OVERSEAS MARKETS.

COMPANY BALANCE SHEETS THE PERPETUAL TRUSTEES. ESTATE, & AGENCY COMPANY OF NEW ZEALAND, LTD.

Paid-up Gross Net MvlAprll 30 Capital. Reaarres. Profit. Profit, dend.

The gross profit comes out at nearly £6OO behind that of the prior year, but nevertheless exceeds that of all other years. Owing to increased expenditure, the shrinkage in the net profit is probably more decided; but, with income tax still to be provided for, an exact comparison is not possible. After provision for the proposed dividend—which will make the shareholders’ distribution at the customary rate of 15 per cent. —the transference of £ISOO to reserve fund, the allocation of £450 to the staff benefit fund, and the writing off of £217 from fixtures, there is a surplus of £lOl7 left to meet income tux. Judged by the previous annual allocation, that sum is expected to approximate closely the amount required for the outstanding charge. The ordinary expenditure aggregates £19,021, or equivalent to 73.98 per cent, of the revenue. In the profit and loss account, distinction is not drawn between commission and interest, so that the relation of charges to the working income cannot be ascertained. What is seen is tha't the combination of a decreased surplus with an increased expenditure has produced a result which, if not down proportionally to the extent of that of trading concerns, shows that financial stringency affects the profits of trust and financial companies as well. If the recommendation to add £ISOO to reserve fund is adopted, reserve fund will draw level with the paid-up capital, while, with each account standing at £22,500, the aggregate is practically covered by cash investments. It has been the custom in the past to transfer funds periodically from the reserve fund' to the other —a procedure which doubtless will be continued in the future—£lo,ooo having been transferred in 10 years, and, as the two grow, so do the invested funds. It seems not improbable that this company, while maintaining its trust and agency business, may develop more in the sphere of an investment company—a process which, although necessarily slow _in the earlier stages, will increase in impetus as time goes on. . Again the bank balance is a liability, but reduced on this occasion to £505. The margin between " balances due to company” and "balances due by company' has been narrowed considerably, but the former is still greater, contrary to the usual position prior to 1929-30. During the past 13 years, the relations at the closing date have been as follow': — Balances Balances

It can be understood how, at a time like the present, “balances due to company” are likely to keep above the other, necessitating some slight assistance temporarily from the bank, but the fact of their having been reduced _ during the past 12 months is a promising sign. The rest of the assets, both cash and property, represents investments. Debentures with the New Zealand Government (£10,350) and with local bodies (£9200) show the same total as formerly. Mortgages and deposits at £24,903 have increased by nearly £2OOO, but, as the respective proportions of the two are not given, it does not appear where the in-

crease lies. A sum of £44,453 held in c&sh investments of a gilt-edged nature is a sufficient indication oi the strength of the financial position. Apparently, no account is taken in the balance sheet of interest accrued. Leasehold and buildings at £4328 may not be the least profitable investment. Evidently there has been little in the way of capital expenditure during the period, so that the amount allowed for writing off, if confirmed, will reduce the book value to £4200. Office furniture, which shows a tendency to rise, will be increased to £llsO after the writing down has been applied. Roughly the allowances come to 3 per cent, and 7 per cent, of the respective capital values. As far as the buildings are concerned, the provision is possibly another form of adding to reserves, and although not so apparent is none the less effective.

£ £ £ £ p.c. 1019 . . 12.500 14,994 9,586 3,892 15 1020 . . 12,500 14,750 13,330 0,030 15 1021 . . 15.000 16,158 13,820 5,654 15 1922 . 15,000 17,510 13,804 4,630 15 1923 . . 15,000 18,040 14,600 4,684 . 15 1921 . . 17.500 17,885 15,207 0,208 15 1025 . . 17.500 19,600 20,323 0,519 15 1020 . . 17,600 22,004 21,747 6,608 15 1927 . . 20,000 20,903 23,471 6,038 15 1928 . . 20,000 22,549 24,405 5,940 15 1029 . . 20,000 22,700 20.361 0.702 15 1930 . . '22,500 24,710 27,412 0,345 15 1931 . , 22,500 *27,220 20,928 *0,550 15 • Subject to Income tux.

Due to Due by April 30 Company. Company. Difference. Ilatlo. « £ £ P,0. 1919 . 04.207 70,174 11.067 84.29 1920 .. . 08,647 77,017 8,370 80.13 1021 . 00.004 00,159 155 99.74 1022 . . 47,974 50,442 2,408 95,11 1023 . . 02,100 90,083 37,577 62,30 1924 . . 81,401 100.574 19,173 80.94 1925 , 63,542 > 82,990 19,448 70,57 1020 . . 70.014 94,424 18.410 80.50 1927 . . 91,038 92.844 1,800 08.05 1928 . . 74.180 00,200 22,089 77.05 1929 .. . 70,435 81,323 4.803 93.98 1980 . . 09,831 93,747 *0,084 M6.49 1931 . . 95,082 93.125 • 'Minus. •2.567 102.75