THE RAILWAYS

Dominion, Volume 13, Issue 304, 17 September 1920, Page 6

THE RAILWAYS

LAST YEAR'S OPERATIONS

BIG INCREASES IN TRAFFIC

REDUCED NET PROFIT

The annual Railways statement was presented to the House of Representatives yesterday by tlio Prime Minister (Mr. Jlassey). Tho paper shows that' notwithstanding the curtailment of the service brought about by tho shorlsgo of coal between July 2 and September 27, 1019, the gross receipts amounted to .£5,752,487, an increase of J2763.855 on the previous year, and X 752.157 above tho estimate. The results are summarised as follow:— 1919. 1920. .' £ £ Total earnings 4,988,632 5,752,487 Total expenditure- 3,305,575 4,105,067 Net profit on working 1,680,057 1,647,420 The net revenue, £1,G47,420, is equal to a return of 4.53 per cent, on tho capital invested in the lines open for traffic, and 4.12 per cent, on the capital U39.897.3i0) invested in the opened and unopened lines. The gross receipts per train mile for all lines amounted to ISG.OOd., as against IGO.OOd. for the previous year, an increase of 2fi.'X)d. pe rtrain mile. The receipts per train-mile from tho North Island main lino and branches. were 183.50 d., as against 161.00 for the previous year, an advance of 22.50. Tho South Island main lino and branches provided a gross return of 195.50 d., as against 159.00(1. last year, an increase • of 36.50 d. The expenditure for tho year, ,£4,105,067, was ,£796,492 more than • the uprevious year, and exceeded the estimate by .£530,067. Tho percentage of working expenses co earnings was 71.36, as against 66.32 lor ' the previous year, an increase of 5.04 per cent. Tho sum of .£160,323 was expended under tho head of "Additions to open lines" in providing additional rolling stock, tarpaulins, workshops machinery, Westinghouse brake, improvements \o workshops and engine depots, station facilities, additional dwellings, tablet installation, and purchase of land. During tho year four new heavy tank engines, three bogie cars, and 279 wagon's were built in the workshops and put into traffic. Forty. engines, forty cars, sixteen brake vans, ninety-nine bogie v and 520 four-wheeled wagons were on order or under construction at the close of the financial year. Results of Working, The following is a summary of the results of working for the year ending March 31, 1920, as compared with 1919:— 1919. 1920. Total miles open . for traffic 2,993 3,006 Average miles open for year 2,993 2,998 Capital cost of open- , ed and unopened ; ' lines .£39,260,882 £39,997,340 Capital cost of open lines r £36,167,681 £36,390,115 Capital cost per mile of open lines.,. .£12,084 £12,106 Gross earnings .... £4,988,632 £5,752,487 Working expenses £3,308,575 £4,105,067 Net profit on working £1,680,057 £1,647,420 Percentage of profit to capital in- : vested 4.65 4.53 j Percentage of work- ' ing expenses to earnings 66.32 71.36 ; ; Earnings per aver- ' age mile open £1,670 £1,923 Working expenses per average mile open £1,107 £1,372 Net earnings per average mile open £563 £551 Earnings per train mile ....: leO.OOd.' 186.00d< Working expenses per train-mile 105.97 d. 132.72 d. Net earnings per train mile ... 54.03 d. 53.28 d. Passengers, ordinary '. 11,374,521 12,760,814 Season tickets 351,124 400,621 Goods tonnage 5,238.457 5,597,232 Live-stock tonnage... 373,281 403,047 Train mileage ... 7,477,553 '7,408,608 Locomotives 620 616 Passenger cars ... 1,489 1,492 Wagons and brakevans 22,658 22,937 "Having regard to the world-wide unsettled conditions that exist as a consequence of the war, and the impossibility of forecasting when normal circumstances will 1)0 restored, prudence compels me to adopt a conservative view in respect to the railway revenue and exDenditura for the year ending March 31, 1921," adds the Minister of Railways, in the Statement. "I anticipate, however, that tho revenue will be £6,000,000, and the ex ponditure £4,612,500. It is a matter of regret that circumstances have precluded any material progress, being made with tlie important essentinl'works proposed in 1914. The lack of accommodation results in congestion of traffic, and \a a. serious obstacle to successful operations."