BANK OF N.Z.

New Zealand Times, Volume XLVI, Issue 10608, 5 June 1920, Page 6

BANK OF N.Z.

A SUCCESSFUL YEAR PROFITS FOR YEAR £490,245. INCREASED DIVIDEND AND BONUS. The annual report of the directors of. the Bank of New Zealand, to be presented to the general meeting of the proprietors, to be held on Friday, the 18th inst., shows that the past year has been a successful .one. The profits for the year amounted to' £400,245. After making necessary deductions, the. balance of profit available amounts to £419,043 16s (id, which added to the balance (£146,224 5s 9d) brought forward from tho previous year,' gives a total of £5(55,270 2s 3d. .

The dividend declared and bonus to be paid 021 shares show increases. Tho dividend for amounts to 13i per cent.,-and the bonus to -i per cent, (a total of 171- per cent.), against a dividend of 12" per cent., and bonus of 3 per cent, (a' total of 15 per cent.) for tho previous year. DIRECTORS' REPORT.

The report of the directors is as follows : The directors submit herewith the balance-sheet and profit and' loss statement of the bank for the year ended March 31st last.

Tho profits, after providing- for expanses of management, all bad and doubtful debts and other contingencies, and after -making proi ision fo) tlie annual donation to the Provident Fund and for a special grant thereto, also for bonus to staff are £490,245 7s 4d. From this has to be deducted:—Interest on guaranteed stock, £'21,199 10s 10d—£469,045 16s 6d. Of this sum the directors have allocated in reduction of bank premises an<J furniture, £50,000. Leaving balance of profit for the year, £119,045 16s 6d. To which has to be added:—Balance brought forward from last year, £I4G,» 224 os 0d—£565,270 2s 3d. From which there has been paid:— Interim dividend at 6 per cent, on "A" and '*B" preference shares, £45,000; interim dividend at 6 p'er cent, ojt ordinary * shares, £60,000; leaving available 9for distribution, £160,270 'is 3d; this the directors propose should be disposed of as follows: Dividend at the rate of 4 per cent, on "A" preference shares, £20,000; dividend at the rate of- 7J per cent, on "B" preference shares, £18,750, dividend at the rate of 7J per cent, on ordinary shares, £75,000; bonus at the rate of 4 per cent, on- ''B" preference shares, £10,000; bonus at the rate, of 4 peir cent, on ordinary shares, £40.000; transfer to reserve fund,£150,000 (making reserve fund £2,500,000); Iwn ing balance, to be carried forward, £146,520 2s 3d—£460,270 2s 3d.

' During the year branches have been opened at Murchison and Sydenham, and the agencies at Bluff, Clinton, Huntly, Matamata, Mataura, Ohakune, Pongaroa, Takapau, and ,Warkworth have been mado daily branches.

Agencies have be«n opened at Kaipara Flats, Little River, Ohaeawai, Pajtetohgai, "Crehui, Waitakaxuru, and AVaitoa.

HAROLD BEAUPHAJDP,'

Chairman, THE BALANCE-SHEET.

Liabilities. —Capital: 4 per cent, guaranteed stock, £529.95t> 10s 6d; "A" preterciice shares, i'ully paid, issued to the New Zealand Government, £500,000; ''B" preference shares, fully paid, issued to the New Zealand Government, £250,000, ordinary shares, 150.00L' at £6 13s -id—£l,ooo,ooo—paid up to £3 Gs'Sd ner share. (£500,000), call of £3 Cs 8d per share payable April Ist, 1920—amount paid in advanco (£347,453 6a »d>, £a47,453 6s Bd, new ordinary shares, 75,000 ivt £6 13s 4d, fully paid. £500,000. Total, £2,627,441 17s'2d. Reserve Fund, £2,350,000; notes in cirbulaitkir £5,5 65,337 10s; deposits, £37,661,610 15s 6d bills payabio and other liabilities (jnoluduiji , provision for doubtful debte and for depreciation in investment securities, also contingencies), £3,708,305 Os lid; reserve for taxes, £340,000; balance of profit and lots, £460,270 '2s 3d. Grand total, -£52,912.965 5s lOd. ' Assets. —Coin and cash balances at bankers £5,371,535 lis; Government Notes.—Commonwealth, Fijian and faanioan Administration. £2977,12: ; notes, of other banks (legal tender), £06,3i0; bullion on hand and in transit. £46,tob 7s sd; money at call and short notice. Government securities and other securities in London £19.622,410 -15 s Id and bills receivable m London and in 'transit £661,230 19s. lid, £20,283,641' 15*. ! investments ■ m the Dominion- New Zealand Government securities' £3,497,553 10s, and municipal securities £327,210 10s, £3.824,764; Commonwealth and Fijian Government securities, £239,316 13s 4d; bills discounted £1,502,233*98 10d; other advances and securities and debte due to tho bank, £17,929,615 0s lid; landed oropertv, premises, etc., idbl,loa Ss Id grand total, £52,912,965 5s lOd. PROFIT AND LOSS.

Dividend at the rate of 4 per cent, on £500,000 "A" preference shares, issued to the New Zealand Government in terms of the Batik of New Zealand. Act, 1903, £20,000, dividend at the rate of 0 per cent, on £250,000 "]>" preference shares,, issued to tho .Vow JSoaland Government in terms of tho Bank of New Zealand Act, 1913, £15,000. bonus at tho rate of 3 per cent, on "U" preference shaxes, £7500, dividend «<t the rate of 6 per cent, on ordinary share capital, £60,000, bonus at the vate of 3 per cent, on ordinary share capital, £30,000. amount transferred to Reserve Fund, £150,000 • £282,500; balance carried down. £146,224 5s 9d; total, £428,724 5s 9d. Twelve months' interest on guaranteed stock, £21,199 10s lOd; amount written ott hank promises and furniture £50.000; interim dividend paid December 13th, 1919'; 6 per cent, on "A" preference shares (£500,000), £30,000. 6 per cent, on "B" prefernnco shares (£250,000)', £15,000, 6 ner cent, on ordinary Bharcs (£1,000,000), £60,000—£105,000; balance, lx>ing 'net profit for year, £419.045 lGs Gd • amount brought forward from last year, £140,224 5s 9d; £565,270 2s 3d; less interim dividend paid, a.s above, £036,469 13s Id. ' Balance at March 31st, 1919, £428,724 5s 9d; balanco brought down, £140.224 6s 9d; profits for year ended March 31st ; , 1920, including recoveries, and after payment of, and provision for, all interest due and accrued on deposits, provision for bad and doubtful debts, and other contingencies, for the annual donation to tuc provident fund.'and for a special grant thereto, also for bonus to staff,

£1,376,838 6s id—less salaries and allowances at head office and 5212 branches and agencies (£308,301 ,16s 8d); directors' remuneration, including London board (£4650); general expenses, including rent, stationery, telegrams, postages, travelling, repairs to premises, etc. (£114,397 3a 6d) ; audit expenses account ($2700 Is'fid) : rates and taxes (£450,483 17a 0d)—£886,592 10s 3d, £490,243 7s -Ul, Grand'total, £030,409 13s Id. RESERVE PITND. Balance of reserve fund, £2,350,000} amount to be added from profits for vcar ended .March 31st, 1920, £160,000. Total. £2,500,000.