GUARANTEED FINANCE

Evening Post, Volume CXIV, Issue 89, 12 October 1932, Page 10

GUARANTEED FINANCE

A CORPORATION'S YEAR

Directors of the New Zealand Guarantee Corporation report for the year ended 31st August that, "owing to existing, conditions business has been very difficult, and the board has continued its policy of making adequate provision for all likely contingencies." Net profit, after providingfor income tax, is £4490 19s 9d, compared with £1110 6s 8d for 1931. The volume of motor vehicle and other forms ot chattel security business has fallen very considerably, >but other forms of business have been.,found .which have already proved profitable, and which the board teels sure will, show stM further capital improvement'in future. Called-up capital ?SffSSi £W^ a? d »n?a»ed. capital is £285,585. The. bank: overdraft has been extinguished, and there is now a credit balance at the bask of £8278. "The possibility of calling up further capital is even more remote than ever." Interim dividends at the rate of 7 per cent, per, annum- on preference shares 5d per share on fully-paid ordinary shares,' and 2d_ per share- on' the remainder amounting to ..£4749 15s lOd for the six months ended* 29th February, 1932, have been paid. Balance of profits carried forward from last year were £1488 10s 9d, and, in view of .the. provisions and special investments made, plus the -' fact that liquid cash is available in excess of present requirements, the directors recommend a transfer of. £5000 from reserves and payment.of the following dividends: At the rate of 7 per cent, per annum on preference shares; a further dividend of 5d per share on- the fully-paid .ordinary shares, making: a' total of lOd per share for the year; and 2d per share on the 'balance of the ordinary shares allotted making a total 6i 4d per share for the year. These dividends will absorb thp sum of £4749 15s lOd, leaving a balance 2,,-Z ™rrl e(V^ fo£ward to next year of £1479 18s lOd.