Page 16 Advertisements Column 2

NZ Truth, Issue 1183, 2 August 1928, Page 16

Reviews ONBOARD THE S.S. SUCCESS , ■ . : . . . ♦ ■» — ■ • ; Northern Steamship Company, Ltd., is Forcing Ahead REGULAR AND RELIABLE TRANSPORT (By "Fiat Lux.") The forty-seventh annual report and accounts of the Northern Steamship Company, Limited, shou) improved earnings, a sound financial position and the maintenance of the regular 8 per cent dividend. ',■...- . ' ONLY a few years ago the Auckland calculated thoroughly to explain province was perhaps the poorest this aspect of the company's m the Dominion from the point of accounts: '■ view of rail and road facilities. •> Unexplained Total To ' the foresight and business Declared additions profit acumen of the late Captain McGregor, Year. profits, reserves, for year, founder of the present Northern * _ * ■ •* Steamship Company, Limited, is due 1921 ,11,417 — 11,417 l^,lsr m^™^ c -- I>ro * reß " < * the S2J ::::: Hill iSS . J!;JSJ Cheap,' regular and reliable trans- ■ JJJJ "-" ".WJ J 2 ™ .J0.266 port is— and always has been-a sine 1925 14,174. 10 ;626 24.800 qua non of the- sound development of 1926 13,328 1014 14,342 new countries, without which progress 1927 13,116- (—^6o9)* .13.116 cannot be made. = 1928 ...... 13,230 2247 15,477 It was the realization of the truth of 7T77Z ,„ 000 ~T.\ n ** : this , principle that brought the. If or- 103,617 42,383 146,000 ther.n Steamship Company, Ltd., into : ~ ' ~~ De j n g *Due to writing off loss of s.s. Manaia. Perhaps it<-was the good sea service From these figures it would appear rendered by the company which ac- that the profits made by the company counted for the long-delayed roadlng for > the eight years amounted to arid railing of the '.'Roadless North." £146,000. Aucklanders had a good transport Actually they would have been higher service, albeit sea only," but other parts but part of the 1927 profits no doubt of New Zealand had neither; arid so went into the insurance accounts, and roads and railways were given them were used to meet the "Manaia" loss, first. , ■ '■ ' The l amount of But m the last' , ■ such credit transfew years this has r^ rwif /»/•. fer, however, canall i been changed HCLSS6HOCY ITQItIC not be ascertained and the Auckland ••* . vo VV''. l p v ' f ,aiujji\* from the published province has now ; . accounts. co m c into its ■ " — '. ! " Against this preown for land transport services. sumed profit of £146,000, the declared To-day one reads m the daily papers profits were only £103,617, thus the that "the Tauranga- Auckland express Insurance accounts or reserves, aa was held up for four hours at Eureka, "Fiat Lux" prefers to call them, beneowing to floods," and that "the Whan- flted during the period to the extent of garei-Aiickland, express is to run daily £42,383. x • .' •• ■ . from May 1." Quite a nice little nest-egg, too, and The, road and rail services, with it is very pleasing to see that the retheir-' greater speed, comfort and re- suits of the year under review would gularity, must inevitably win from indicate that the affairs of the cornshipping the preponderance of passeh- pany are m such a satisfactory state ger traffic alongside their respective that future years should be able ,to routes, but from this Vriter's intimate provide further substantial accretions knowledge of Auckland's picturesque to these accounts. coast, extending over a period of more Creditors, which appear at £52,621, than thirty years, it is clear that the include provision for income-tax as Northern Steamship iCompany, Limit- well as for all other liabilities, of tne ed, or 'B,ome other shipping concern, company, and," compared with the 1927 will always find profitable employment figures, show a reduction of £.4406. m serving with small steamers the In-, Banking accommodation will also be numerable coastal settlements of the included m this item, province. ", . . i „ Regarding the qjltlook for cargo ser- ;&• Bills payable are shown at the vices! these should continue t6 r expand W7yery modest total of £552 and djswith the development; of the province i v a reduction on the year of . neither road nor Taiir should. ever proved^j;£66Bi Evidently the company bea really serious: competitor if economic 'V'lieves m the sound policy of payrates are charged by. both services, but ?•> meht on the 20 follpwing, less it is always possible that the railways 2j^ per cent, discount. ' NORTHERN STEAMSHIP COMPANY LIMITED. Condensed Balance-Sheet, March 31, 1928. LIABILITIES ... ..ASSETS '■ ; ■ £ ■ £ '-. ■.-'. '■• ';• ; :.'■<■■■■ ■ ■:;-■£ . £ , Capital, paid-up .. 1.61,412 — Vessels, ■ wharves, Insurance funds ... 75,479 *2247 sheds, etc., less de- „ Repairs funds .. 10,505 ' — .preciation .. 193,163 *25,135 pSflt and "foss „-• ..- 15,761 * 317 Property .... 11,432 J 86J t , _ — — -■ Investments ... 73,008 tll.?10 Shareholders' fu rids 263,157. •2564' New vessel building -„'„„, Unclaimed dividends 60 f 65 ■ account .....,..— t12,275 Preditors' . ./ 52,621 f4406 ■ Stores and coal •.. . 8,7.48 t 2,081 ; Bills payable" >. 552 f 668 Debtors ;.. •*,.-.■ 28,573 t 1,319 - . i . Unexpired Insur- , . arices ... ... 1,466 • '140 / '"■[■-. £3167390 t2575 ; £316,390 t 2,575 Note: ♦ Indicates increase and t decrease compared with last year's figures. . _ito meet this competition— may vary Coming to the assets, the item of their rates say, to and from both "vessels, wharves, sheds, etc., less Whangarei' arid Tauranga m order to amount at the credit of depreciation get terminal trade. account,. £193,163," shows an increase It would be difficult, however, to on the year of £25,135. reduce railway rates sufficiently to From the published accounts it is not secure more than a small proportion of possible to ascertain what suiri is this long-distance trade; taking all standing to the credit of the depreciafactors into account, "Fiat Lux" be- tion account, and, therefore, the gross Heves that the Northern Steamship increase m this asset caririqt.be stated. Company, Limited; has a long and pro- It is likely, however, to be close on fltable life ahead of it. £50,000" and is no doubt represented ... by completed new tonnage added to The balance-sheet shows a num- the fleet during the year a,nd to the ber of changes when compared , acquirement of the senior foundry, with the figures of a year ago, the wit;h lts spec ial ship-repairing plant, principal change being an increase and which should prove a good investof £25*135 m vessels, etc., which men t. will be discussed later. ; rr. ne property account, representing 'The paid-up capital of the company the Quay Street premises, is this .year remains unaltered at £161,412.. Quite shown at £11,432, being a decrease, of contrary to general belief, this coni- £265, which will be due to write-off p&ny's shares are of a par value of for depreciation. . only 14/6 and the nominal .capital is ; It would appear to be highly probable £ 217 h SOO, divided into 300,000 shares of that this account contains quite a 14/6 each. handsome secret reserve. . The subscribed capital totals 276,580 The' investment account would be shares," of which 172,291 are fully paid- much more satisfactory if some mdiup and 104,289 ar ; e paid up only to 7/-, cation of the nature and class of investso the company has - : — _> — . ments were given. 23 420 shares unal- . The account now lotted and has- cap- A 7 7.,, 7'71/f stands, .at £73,008, ■SiTS'Jfittoe*.- Additional Money *«°™™°' v *£- From a survey ■ • ■ The resultant cash of the present . would be required, balance-sheet; "Fiat Lux" is of opinion qf course, to make the final payments that "the. company Is unlikely to require for the new tonnage put into commisthis additional money, unless it should sion during the year. > extend its operations, , but it is ex- ;' Stores and coal, at- £8748, show a tfertieiy useful to have such a readily decrease of £2081. . With economic realisable security available, m case of conditions somewhat . more stable, reneed. ■.-,."■• . gular supplies of aJI requiremeijts can The next items m. the liabilities are now be relied upon, thus doing away insurance accounts Nos. 1- and 2, with with the necessity to carry heavy a total of £75,479, of which £2247 has stocks of coal and stores, been added during the - year under Sundry debtors show a slight dereview.', • ; ' crease on the ,year and stand at .That these: are,, m effect, just plain, £28,573. This will include agents and everyday, genera^ ' reserve •' accounts, branch balances and seems to be about would appear to be proved-by the fact the usual amount for this item, that accretions, thereto do-not seem to The. financial position is Wry bear any definite relation to the firm s , , SO und, although the liquid position assets year by year, but rather seem has receded a s | ight |y through the to be the bulk, of the yearly surplus realization of £11,910 of invest profits after providing for an 8 .per ments which have gone into fixed cent, dividend and a small increase. m agßets | n the shape of new vessels, the carry forward of the profit and " . loss balance.. . ' • The balance-sheet shows that for : There is nothing even ethically every £ of. shareholders' money m - wrong with the practice, except that it vested, there existed net assets to the is .objectionable from every point of va ,'« e ° f . f. 1 7s - 9d - : the Prospects are view .but more particularly., does it S°pd and the shares at present market make it very difficult— if not impos r Prices, whlcfl are slightly, above par, sible— for the shareholder unversed m the return of 8 per cent, dividend on jhe intricacies of accounts to ascertain ■ 1 S* r * c | t P rice toeing equal to' about the true profits of concern each I.°s1 .° s - P® r ?^ nt " , T year ' ' ; ■ Although the declared profits for the = ■■• '■' , x ■■' . -„ . ■ . .. • year, at; £13,230, were only £318-above The following tablescoyenng the the; 8 per' cjent. dividend charge it has years 1921 t6 1928 inclusive, are to be remerribered that £2247 was r ' '■■■ ,'"■"' T' ' ' ■ ■■" • " — transferred to reserves" before the. ■■■■■'■> wai nee rwAwrPl profits were, declared; therefore, the VALUES CHANGE! „ re g U j t f^ r the year waa far • c •• • . — . satisfactory than the published ac- ■ Your dwelling, business premises, counts would indicate. and plant would cost a lot "more if .'' .*•'.' : . -i th,ey~ had to he replaced to-day. Values , • / change—so 'dp risks. . One disastrous MORTGAGES BOUGHT flre maywlpe out the 'effort and sae'rir : wm »buy or lend on Mortgages fice of -twenty years! A good, idea is Bonds, Shares, Fixed Deposit Receipts' to have you^ Fire Policies reviewed m securities any kind. Apply agents for' the "light . of present-day. 'conditions, purchaser' - - The Mercantile and G,eneral_ Insurance National Investment Co., Ltd., Co., Ltd., transact Fire, Marine, and Huddart Parker Building, Wellington.* Accident Insurance. This New Zea* '•■■■■ ■ ■ ■■■■■ - ' ; " iand-o.wned Company settles claims .•■-..• \ ■ •■■ ■. • . • . promptly. Head Office: Panama St., WANTED SELL— Renovated Uniform Wellington. Tel. 40-561. Branches and Jackets, 7/6 each at Disposal Sales Agents everywhere. Subscribed capi-i Depot. Buckle St., Wellington. Obtain tal, £260,000.* order form from Post Office.*