Finance, Stocks, and Mining.

Free Lance, Volume I, Issue 10, 8 September 1900, Page 5

Finance, Stocks, and Mining.

QUITE a budget of balance-sheets have come to hand for review this week. The first to claim attention is the balance-sheet of the Union Bank for the half-year ended 28th February last. The net profit for the period totalled £92,001 17s lid, against £42,071 5s lid for the corresponding period ot last year, or a gain of £49 930 12s, or considerably more than 100 per cent. The profits of this bank have been steadily expanding, but the document now under review is the best exhibit in recent years. Taking the amount carried over from the previous half-year, the total amount available for distribution was £122,364 10s 9d and of this sum £50,000 was restored to the Reserve Fund, raising that fund to £800,000. The shareholders received a dividend of 17s 6d per share, equal to 7 per cent, per annum, and £19 864 10s 9d was then left to be carried forward to the current half-year's account The directors further decided upon investing the whole of the Reserve Fund in gilt-edged securities, and this has been done since the date of the balance-sheet. Hitherto, one-third of the Eeserve Fund, amounting to £25O,UUU, was employed in the business of the bank. The total investments in nrstclass securities is now brought up to the huge total of £1,445,746. The liquid assets of the bank, not including the investments on account of the Reserve Fund are equal to 8s 6d in the £ of total liabilities at call or otherwise. The Union Bank is exceptionally strong, and the directors have taken the common-sense course of strengthening the position while times are prosperous. They might easily have earned the gratitude of shareholders by distributing a much larger dividend than 7 per cent. ; the course pursued is more prudent and more commendable, and is entirely in the interests of the shareholders. • * • The balance-sheet of the Wanganui Meat Freezing Company for the year ended 31st July last confirmed the tale told by all the balance-sheets of freezing companies that have already been published this year — that prosperity has struck them all very hard. The net profit of the Wanganui Meat Company for the year under review amounted to £8000 15s Id, against £6351 11s 5d for the previous year. The receipts from freezing, tallow, and other sources of revenue amounted to £212,861 14s 4d, against £153,613 18s lid last year. The balance of profit available for distribution (including the amount brought forward) is £10,438 18s, which is to be distributed as follows .-—Write off £3000 for depreciation of buildings and plant, £1500 off the lighter "Thistle," place £1500 to the insurance reserve, pay a dividend of 6 per cent., also a bonus of 2 per cent, to shareholders, and carry forward the balance. * • * There was a great scene at last year's annual meeting of the Wanganui Meat Company, owing to certain charges of mismanagement being made against the directors. These charges were investigated by a specially appointed committee of shareholders, with the result that the directors came off best. There is not likely to be any trouble at the meeting on Wednesday. The balance-sheet is too good to induce carping criticism. * • • The Canterbury Farmers' Co-operative Association has had a very good year, ■which terminated on the 31st July. The net amount available for distribution is stated at £17,794 4s sd, as against £12,478 Is lOd for the previous year, a gain of over £5,000. The distribution proposed is as follows :— To pay a dividend and bonus to shareholders of 9 per cent per annum ; a bonus of 7£ per cent on all purchases by shareholders ; a refund of 30 per cent on all commissions earned by the Association ; a bonus of 7£ per cent on all salaries and wages; to write off £1,000 against freehold properties ; to add £3,000 to the reserve fund, and, after allowing for a bonus to the auditors, to carry the balance forward. • * » The balance-sheet of the Provident and Industrial Insurance Company of New Zealand for the year ended 30th June, 1900, was circulated last week. The year shows a satisfactory expansion, the premium income amounting to £9369 17s lOd, against £8914 2s sd, and the income

from interest and rent totalled £427, against £263 last year. The claims amounted to £2935 19s 2d, against £2834 19s 4d ; the expenses of management amounted to £1153 11s lOd, or 12.31 per cent., as compared with 13.59 per cent, last year ; the cost of collection totalled £1576 17s 4d, or 16.83 per cent., against 18.29 per cent, last year. The funds at 30th June amounted to £9007 19s 9d, against £8441 18s 9d at the corresponding date last year, an increase of £566 Is, and the assurance fund now stands at £4242 19s 9d, showing an increase of 17.30 per cent, for the year. ♦ * * The Grey River dredge started active work last week, and it will in all probability take quite three weeks to open up the claim. Great hopes and expectations are centred in this dredge, and if she gets the metal in sufficient quantities there will be good speculation in "West Coast dredging shares. ♦ * * Very shortly there will be at work on the West Coast the Mokoia, Dobson No. 2, Waipuna, Nelson Creek, Leviathan, Four Eivers, Maori Queen, Foley Creek, and Mahinapua dredges, and early in the new year the number of machines in operation will be about thirty. * * • The Mapourika Gold Dredging Company has let contracts for its dredge, and the job goes to Messrs D. Robertson and Co., Wellington. * * # The Gold Czar Dredging Company is to be wound up according to a resolution passed at a general meeting of shareholders held last week. The reports of the experts were not altogether encouraging, and one marvels why all this trouble was not taken to ascertain the value of the claim before the company was floated. It could and snould have been done, but it is no use whining over the mistake of the past. The right course is being taken now in voluntarily winding up the company. # * * The Maunherikia dredge did not take long to scoop up the precious metal. The first two days of work yielded 250z, and then last week there came the handsome return of 1250z. This is one of the latest additions to the dredging fleet of Otago, and is destined to add considerably to the weekly returns. • * * The Pactolus dredge is rapidly nearing completion. This is another machine for the West Coast. * * * The First Chance pontoons will in all probability be launched before this appears in print. « * • The Gold Queen dredge is meeting with a considerable amount of bad luck. Breakages seem to be ot frequent occurrence, necessitating aggravating delays. The claim, however, is a good one. # # * The Gothic claim in the same neighbourhood as the Gold Queen is highly spoken of by those who have seen the property. Some satisfactory developments may be looked for in connection with this property very shortly. * * * Thompson's Bullock Creek, after running up to 9s, eased off to 7s 6d, but have since got back to 8s 6d. This will be about top price for a little while. * • * Speculators are beginning to take in Jones's Flat shares, and sales are reported at 2s 6d with an upward tendency. The claim is alongside the Grey River, and on that account is bound to receive a great deal of attention, more especially if the Grey River dredge strikes it rich. • • • The machinery for the Enfield Gold Dredging Company is completed, and the pontoons are to be ready about the end of next week. » # • The pontoons for the Reliance dredge (Tuapeka River) have been launched. * * * The directors of the Bakery Flat Sluicing Company declared a dividend of Is per share last week. • • * Good work is being done in the erection of the machinery on the Sailors' Bend and Golden Falls dredges. * • * Messrs Spencer and Ryan have been appointed liquidators of the Nil Desperandum Company at a fee of 20 guineas. # # * The shareholders of the Golden Point Dredging Company have confirmed the resolution to amalgamate with the Enterprise Gold Dredging Company, and the company will go into voluntary liquidation to give effect to the proposal.