COMMERCE AND FINANCE

Otago Daily Times, Issue 24450, 8 November 1940, Page 2

COMMERCE AND FINANCE

THE SHARE MARKET DUNEDIN STOCK EXCHANGE BRUCE WOOLLENS FIRMER The result of the American elections might well have been expected to be followed by a general firming In the investment, market, but although some firming was noticeable on the Dunedin Stock Exchange yesterday, u applied only to isolated lines, and the majority of listed stocks remained steady. Australian mining scrip was firmer all round. Electrolytic Zincs were up by 2s to 2s 6d on buyers' quotation, and the quotations for Mount Morgans were up a little less than Is. Government loans had very restricted inquiry, and there was no demand whatever for banks. For the first time, the bid for ordinary Bruce Woollens exceeded th,at for the preference issue, the former having a buyer at £1 0s 3d, while the offer for the preference shares was unaltered at £l. G. J. Coles moved up a little to £3 8s 6d, bat sellers would not come below £3 10s 6d. Ordinary Mac Duffs were again to the fore with a sale at 10s IOJd, and both issues continued steadily in demand. New Zealand Breweries were a little firmer at £1 12s (buyer) and £1 13s YESTERDAY'S SALES DUNEDIN Sales Reported

AUCKLAND Sales on 'Change.—Bonds, 1952-55, 4 per cent., £lO5 ss; Stock, 1946-49, 4 per cent., £103; Stock, 1953-57, 3J per cent., £101; Auckland Harbour Board, 1948. 4J per cent., £105; Auckland Harbour Board, 1944, 4\ per cent., £lO3 10s; Commonwealth Bonds. 1948, 3 per cent., £9B; Commercial Bank o£ Australia, 15s Id; Bank of New South Wales (late sale), £3O; Bank of New Zealand (late sale), £2 Is; New Zealand Insurance, £3 Is; South British, £2 8s 6d; Newton King (pref.), 9s; Auckland Gas (cont., 2), 2s lOd; Dominion Breweries (2), £1 9s; New Zealand Breweries, £1 12s 6d; Australian Alloy Steel, 6s 6d; Broken Hill Pty. (2), £2 5s 9d; Consolidated Brick, 7s sd; Dunlop Perdriau," £1 0s 7d; G. J. Cole?, £3 10s; Wilsons Cement, 19s 3d; Woolworths Properties, £1 5s 3d; Mount Lyell, £1 10s; Emperor, 10s 6d. WELLINGTON Sales on 'Change.—4 per cent. Stock 1949, £103; 4 per cent. Stock, 1955 (2), £lO5 ss; 3J per cent. Stock, 1957 (2), £101; Timaru Woollen, 15s 6d; Felt and Textiles (rights), 12s (id;.. Bartholomew Timber, 14s 6d; British Tobacco, £2 9s 6d; 4 per cent. Bonds, 1955, £lO5 ss; 4 per cent. Stock, 1946, £lO2 15s; Wilsons Cement, 19s 3d. CHRISTCHURCH Sales on 'Change.—4 per cent. Stock, 1952-55,; £lO5 10s; Union Bank of Australia, £7; Kaiapoi Woollens (pref.), 17s; British 'Tobacco, £2 9s 6d; Broken Hill Pty., £2 5s 7d. Sales Reported.—Bank of New South Wales (cum div., late sale Wednesday), £3O; Union Bank of Australia, £7; New Zealand Insurance, £3 Is; Union Shipping (pref.), £1 6s 9d; Kaiapoi Woollens (pref ), 17s Id, 17s; New Zealand Breweries (2) £1 12s 3d, £1 12s 4d; Australian Consolidated Industries, £2; D.I.C. (pref.), £1 3s 6d.

MOTOR VEHICLES PURCHASE OR HIRE Attention is directed to a Government advertisement in these columns inviting from owners of motor vehicles information concerning sound trucks of lOcwt to 40cwt 'capacity, and also of motor cars and motor cycles which may, if required, be immediately transferred to the Government foi purposes of National Defence and Army training. In addition to particulars regarding availability, the Government requires information of owners willingness to sell or hire their vehicles. Urgency is the keynote of the appeal. NEON LIGHTS, LTD. DIVIDEND OF 5 PER CENT. (Special ro Daily Times) AUCKLAND, Nov. 7. The directors of Clause Neon Lights of New Zealand, Ltd., have decided to recommend to the shareholders a dividend of 5 per cent, for the year ended September 30. A dividend was omitted last year following the distribution of 7 per cent, in 1938. WAR FINANCE COMPULSORY LOAN OVERSUBSCRIBED iJ-Ef. United Press Association) WELLINGTON, Nov. 7. The announcement that, although he had no precise figures, the information he had received indicated that the compulsory war loan of £8.000,000 would be over-subscribed was made by the Minister of Finance, Mr W. Nash. He expressed pleasure at the response, and recalled that £7.500.000 had been in sight when he announced a progress total recently. AUSTRALIAN STOCK EXCHANGES (United Press Association i (B.v Electric Telegraph—Copyright) SYDNEY, Nov. 7. (Received Nov. 8, at 0.15 a.m.) The Stock Exchange to-day was strong and extra busy. The following were the sales:— Bank of New South Wales, £1 9s 10d; Colonial Sugar, £49: British Tobacco, £2 10s 3d (New Zealand delivery £2 10s 3d): Woolworths. 18s; Adams, 15s (id: Felt Textiles, £1 17s Id; Broken Hill Pty., £2 6s 9d- Kuala Kampur (paid; New Zealand delivery). £1; Austral Amalgamated, 7s 3d (New Zealand delivery, 7s Id, 7s Id, 7s 2d); Emperor, 10s 6d. MELBOURNE. Nov. 7. National Bank (£5 paid), £6 2s; Cox Bros., 7s; Felt Textiles, £1 17s: Felt Textiles (rights), 14s 9d; Australian Paper Manufactures (pref.), £1 5s 9d; Dunlop Perdriau, 19s lid; Electrolytic Zinc, £2 12s 3d- Mount Morgan, 10s 6d; Loloma, £1 4s lid.

LATEST QUOTATIONS NEW ZEALAND BREWERIES IMPROVE The following are yesterday afternoon's buying and selling quotations on the Dunedin Stock Exchange, which are subject to the usual brokerage:—

DIVIDENDS AND CALLS The following is a list of shares on which dividends will shortly be payable : Trustees, Executors—lnterim, 3 p.c Nov. 3 N.Z. Paper Mills—lnterim, 3 p.c. Nov. 15 Westport Coal—Final, 6d .... Nov. 21 National Bank of Australasia — Interim, paid and contrib., at rate of 6 p.c. p.a Nov. 27 Bank of N.Z.—lnterim, ord. Is, long D.. 32 p.c Dec. 7 THE BANK RATE SEA AND AIR MAIL TRANSFERS The Bank of New Zealand advises that the following buying rates came into force on November 4: — London on New Zealand Basis £IOO London T.T. £125

CEREAL CROP ACREAGES LOWER ESTIMATE FOR WHEAT (Per United Press Association) WELLINGTON, Nov. 7. The returns of wheat, oats and barley supplied by the Census and Statistics Department are published in to-night's Gazette. In the 1939-40 season 258,672 acres of wheat were harvested, 212,493 acres of oats and 25,786 acres of barley. The estimated totals for the 1940-41 season arc 244,000, 297,000 and 40,200 respectively. Last year 20.033 acres of potatoes were planted throughout the Dominion and the estimated area this year is 18,000 acres. AUSTRALIAN MARKETS (United Press Association) (By Electric Telegraph—Copyright) SYDNEY, Nov. 7. (Received Nov. 7, at 11.45 p.m.) Wheat is slow. Silo grain is quoted at 3s Hid, and bagged at 4s 2jcl. Flour. £l2 10s. Bran and pollard, £6. Potatoes: Tasmanian, to £ls; New Zealand Whiteskin, £l2; Dakotas, from £B. Onions: Victorian Brown, £l2. Maize: Yellow, 6s.

COMPANY BALANCE SHEETS THE DRAPERY AND GENERAL IMPORTING COMPANY OF NEW ZEALAND, LTD.

An increase of £3575 over that of 193839 has brought the net profit for the past year to £41,674. The recommendation is to distribute 7 per cent, to ordinary shareholders, when the customary 5 per cent, is paid on preference shares, and add £9970 to general reserve. After an allocation of £IOOO is made for patriotic funds, a sum of £llß4. is left to swell the floating balance. The proportion of net profit distributed in dividend and otherwise is equivalent to 73.24 per cent., and the proportion retained in the business to 26.76 per cent. On this occasion, the amount of social and national security taxes on the preference share dividend has not been, or will not be, deducted before payment. While gross profit at £347,187 does not show as large an increase as during the previous year, it is £26,156 higher. On the other hand, expenditure, the amount o.f which, with the exception of directors' fees (£1575) is grouped at £303,963 also shows a smaller growth. With larger profit, and heavier taxation rates to swell expenditure, economy would seem to have been effected in other directions. Inclusive of transfer fees, the relations of expenditure to gross profit, have been as under:—

Some alteration has been made in reserves. Plate glass insurance reserve at £2974 has disappeared, while contingency reserve has risen to £27,574. The general account, which has grown by £3030, will be further increased t0y573,000 if the directors' recommendation is adopted, and with the floating balance raised to £47,304 by the addition of the £llß4 unallocated of the net surplus, visible reserves will appear at £147.878. Reserves have shown steady progress in recent years, and the depletion, made by the distribution of £60,679 as a bonus issue to ordinary shareholders three years ago, is being gradually made good. Among the outside liabilities, a further £SOOO has been paid off the mortgage, which is reduced to £31,000. At £160,354, sundry creditors are larger by nearly £2o,ooo—a result which may be chiefly •ascribed to the larger taxation provision. Fixed assets at £429,931 continue to diminish. A reduction in them of £13,242 is equivalent to 3 per cent, approximately on their last year's figure apart from any capital expenditure in the interval. As they consist chiefly of land and buildings, the wastage on the depreciating portion would seem to be amply provided for, on the assumption that realisation has been nil or small. The relation of the fixed section to the total assets is now practically one-half. . Indications point to a growing turnover. The increase of over £24,000 in stock on hand and shipments afloat which has brought their figure to £255,248 is partly offset by the decline of sundry debtors from £106,747 to £92,412. A newcomer is the free-of-interest loan of £IO,OOO to the New Zealand Government, while cash on hand and on deposit at £15,472, and the bank balance of £53,589 are some £15,000 and £BOOO higher respectively. Assets, which aggregate £856.652, are faced with liabilities of £191,354. Their movements during the past two years come out as follows:

The publication of the previous ■ year's figures in red, alongside the corresponding figures for the latest year, and the crtnission of shillings and pence are innovations in the balance sheet which shareholders will doubtless appreciate.

Canterbury Meat (pref.) .. .. 6 15 0 .. 0 17 0 MacDuffs (ord.) .. 0 10 10.', Wellington Alluvials (2) .. ..045 % 0 4 5J

N.Z. GOVERNMENT LOANS Buyer. Seller. £ s d £ s . a 3J p.c. Bonds, 1953-57 100 10 0 _. 3J p.c. Stock, 1953-57 100 10 0 —■ 4 p.c. Stock, 1940-43 .., 101 0 0 — 4 p.c. Stock, 1949-52 .. — 106 0 0 4 p.c. Bonds, 1954-58 .. — 107 15 0 4 p.c. Stock, 1954-58 .. — 107 15 0 War Loan, 1953 .. 79 10 0 — MINING Big River (Is) .. .. 0 0 6 — Clutha River (2s) .. — 0 2 3 Gillespie's Beach (Is) — 0 0 6 — 0 7 5 Nokomai (5s) .. .. 0 1 0 — Okarito (5s) .. .. 0 0 8 — Sandhills (Is) .. .. — 0 0 1 BANKING New Zealand (£1) ... _ 2 1 6 E.S. and A. (£3) . J — 4 15 U Natl, of N.Z. (£2 10s) — 2 0 3 Natl, of A'asia (£10) — 12 5 0 Union (£5) • .. .. — 7 1 0 INSURANCE National (7s) .. .. _ 0 18 7 New Zealand (£1) .. 3 0 0 — South British (10s) .. 2 8 0 _ Standard (£1) .. .. 2 18 0 — SHIPPING Howard Smith (£1) .. 1 0 6 _ P. and O. Def. Stock (£1) — 1 4 3 U.S.S. Co. (pref.; £1) 1 6 3 — MEAT PRESERVING N.Z Refrig. (paid; £1) 1 0 0 1 0 6 N.Z Refrig (cont.; 10s) — 0 9 3 South. Frozen Meat (paid; £1) .. .. — 1 16 0 Waitaki Farmers (£5) 4 15 0 — LOAN AND AGENCY Natl. Mortgage (B issue; £1) .. .. 1 0 0 1 3 0 Perpetual Trustees (18s) 2 11 0 — Trustees. Executors 4 2 0 — Wright, Stephenson (ord.; £1) .... — 0 19 6 COAL AND OIL \ Westport (10s) .. .. 1 2 6 — Westport - Stockton (ord.; 10s) .. .. 0 2 0 • — Moturoa Oil (prof.; 5s) — 0 5 0 WOOLLEN COMPANIES » Bond's Hosiery (£1) 1 7 0 — Bruce (ord.; £1) 1 0 3 — Bruce (pref.; £1) .. 1 0 0 — Kaiapoi (ord.; 17s) .. 0 13 2 ■i- , Mosgiel (£4) .. .. 10 10 0 MISCELLANEOUS , Associated News (pref.; £1) .. .. — 1 0 0 Broken Hill Pty. (£1) 2 5 6 '— Brown, Ewing (pref.; £1) — 1 3 0 Chas. Begg and Co . 1 1 0 — Colonial Sugar (£20) — 53 0 0 Crystal Ice (£1) 2 2 0 — D.I.C. (ord.; 10s) 0 14 0 D.I.C. (pref.; £1) .. 1 3 6 — uui njiiion fertiliser (£1) — 1 8 0 Dominion Rubber (£1) — 1 2 6 Donaghy's Rope (£1) 2 13 0 — G. J. Coles (£1)' .. 3 8 0 3 8 6 MacDuffs (ord.; £1) .. 0 10 9 — MacDuffs (pref.; £1) 0 18 0 — Milburn Lime (£1) — 2 0 6 McLeod Bros. (£10) — 27 5 0 Natl. Electric (£1) .. 0 17 9 0 18 3 N.Z. Drug Co. (£2) 3 15 0 — N.Z. Paper Mills (£1) 1 9 3 •— Otago Daily Times (£1) — 2 0 0 Regent Theatre (£1) — 1 0 6 Southland Ice Cream (£1) .. 1 3 8 — Woolworths (N.Z.; 0 16 3 Wool worths (Syd.; —. 0 18 2 Woolworths Properties, Ltd. (6 p.c. pref.. ord.; £1) .. 1 4 9 1 5 6 BREWERIES N.Z. Breweries (£1) 1 12 0 1 13 0 Tooth's (£1) .. .. — 2 16 0 < AUSTRALIAN MINING Electro. Zinc (ord.; £1) 2 14 0 — Electro. Zinc (pref.; £1) 2 15 6 — Emperor (10s) .. .. 0 10 6 — Mount Lyell (£1) .. — 1 11 6 Mount Morgan (2s 6d) 0 10 0 0 10 6 North Broken Hill (5s) 2 0 0 — Wellington Alluvials (2s) 0 4 3 0 4 6 UNLISTED STOCKS All stocks in this section are not quoted on the official list, and transactions are subject to a different rate of brokerage — Buye r. . Sellei £ s. d. £ s. a. Dunedin Ice Cream .. 1 7 6 Otago Farmers (A — 0 19 6 Mackintosh Calcy 0 8 0 0 10 0 Selfridges (N.Z.), Ltd. 0 4 0 0 6 0

Air Mail Air Mail Sea via via Mail. Singapore. America. £ s. d. £ s. d. £ s. d. On demand 126 7 6 126 7 6 125 17 6 30 days .. 126 17 6 128 17 6 126 7 6 60 days .. 127 7 6 127 7 6 126 17 6 90 days .. 127 17 6 127 17 6 127 7 6 120 days .. 128 7 6 128 7 6 127 17 6 The following rates i became operative as from November 5: — New Zealand on London Buying. Per £100 London. Sea Mail. £ s. d. T.T ... 124 7 6 On demand .. 123 12 6 3 days' sight .. 123 11 6 30 days' sight .. 123 7 6 60 days' sight .. 123 2 6 90 days' sight ., 122 17 6 120 days' sight .. 122 12 6

Paid-up Net D vs. Aug. capital. netei-vet. proflt. Ord. prol 20 £ £ £ p.e p.c 1918 .. .. 241,973 83,344 22.884 8 6 923 .. .. 427,328 40,287 37,734 7 r> 928 .. .. 428,540 110,920 42,728 10 G 933 .. .. 431.283 113.722 17.120 VI 1 5 935 .. .. 431,849 110,982 27,395 5 5 936*' .. .. 432.153 156.560 31,104 6 5 937 .. .. 493,149 108,141 38,496 s 5 938 .. .. 493,149 120,843 38,389 6 5 193!) .. .. 493.149 135.606 38.099 B 5 940 .. .. 493.150 147,878 41,674 7 5

Expenditure. £ .. 184,648 Groai profit. £ ■ 212.043 Ratio 1334-35 87.08 I935-3G .. 204,623 235,727 C6.8I 1936-37 .. 236.638 275.133 86.01 1937-33 .. 245.815 284,204 86.49 1938-39 .. 282.948 321,047 88.13 1939-40 .. 305,528 347,202 . 88.00

Aug. Alscts. Liabilities. Excels. 20. £ £ £ I9C8 .. .. 839,384 204,553 634,831 1939 .. .. 827,050 176,956 650,094 1940 .. .. 856.G52 191,354 665,298