NEW ZEALAND AND AUSTRALIAN LAND COMPANY.

Otago Witness, Issue 2859, 30 December 1908, Page 8

NEW ZEALAND AND AUSTRALIAN LAND COMPANY.

A PROSPEROUS PERIOD, <Fsox Ora Own Co^espohdent.) LONDON, November U. •■ On the 17t3i inst. the meeting is to bfli held in Edinburgh of , the New Zealand . and Australian liand Company. The report which is issued by the directors is for the year ended March 31. It je stated that the sum brought forward Is £3301. which, with the net profits from working the estates during the year, after charging interest in the debenture debt, amounts to £267,017, making the balance at credit; of revenue account £270,318. The directors recommend a dividend, on fhe ordinary stock of 7 per cent, and a bonus of 5 per cent., both free of income tax, to carry to contingency fund £80,000, and to reserve fund £80,000, leaving to be carried forward 1 £4318. The year under review, though not eoprofitable as were the two previous yeare; may be included 1 with these as one of the most prosperous years in the company's history. Haying in view, from past experience, the risks attaching to pastoral business in the districts of Australia in which the company's estates are situated, the. directors deem it essential again to recommend a substantial addition to the contingency fund, with the yiew of meeting the losses and expenses incident to droughts which are certain to occur from time ta time. In New Zealand, remark the directors', the year has, on the whole, been favourable as regards weather, but since theclosing of the books on March 31 last, aa unprecedentedly heavy fall of enow ha» caused serious losses of sheep on the Hakateramea and" Moeraki Estates. The wool 'clip, amounting to 24,593 bales, exceeded that of the previous year by 625 bales, this, increase being mainly due to the inclusion for the first time of the clip from tihe Marathon run. The net return per Bale was £14 14s 2d, which is a reduction of £1 7s lid /per bale on the average priceof £16 2s Id, realised for th© two pre-

Tipus years, but 14s 8d per bale In excess of the average obtained for the past 10 years. The sum received under the head of sheep amounts to £88,306, or £28,793 less than in the previous year, due to the patchy ibeason, which increased the mortality in the flocks and caused a considerable reduction in the numbers of lambs reared- Ix>wer jxrices had also to be accepted for large lines of store surplus stock, but, on the other hand, values for fat stock continued abnormally high in consequence- of the drought in thesouthern parts of New South Wales and Victoria. The lambs bred on the estates numbered 326,782, being 36,031 fewer than in 1907. Cattle fetched exceptionally high prices in New South "Wales during the year, the total net return from the company's herds being £33,746, which exceeds that of the previous year by £13,294-. Agriculture yields a profit of £1361, Cultivation on an extensive^ soaie -being now restricted to the Moeraki and Hakateramea Estates, which are the only agricultural properties left to the company. "With regard to revenue and expenditure account, there is am apparent shortage of £80,175 in wool money, as compared with the previous year, which arises from aii alteration in the^ method of stating the account. This year the shearing expense*, amounting; to- £58,151, are for the first time charged directly against wool account, instead of, as heretofore, against working the properties, so that tho actual reduction in the -amount received for wool i* only £22,024-. This alteration jn accounting, on the .other hand, reduces tfrte.- amount for working the properties, but it %he" expense of shearing is included, as in previous years, the cost of working would show an increase of £2957, which is entirely attributable to the handling of the- new leasehold properties lately acquired. The revenue account has been charged "with £37,581 to meet depreciation and repairs, and in this amount is included' the sum necessary to provide for the reduction in the value of improvements and of the runs consequent on the lapse of tenure. The tota-1 capital expenditure amounts to £114-, 023. At March 31 last tho terminable debentures amounted to £68,900, and the debenture stock remains at £677 s 4oor, making a total debenture debt of £746,300. Arrangements for the transference of headquarters to Sydney have been made instead of working through an Agency.