TRADERS’ FINANCE CORP

Sun (Auckland), Volume I, Issue 221, 7 December 1927, Page 12

TRADERS’ FINANCE CORP

NO ORDINARY DIVIDEND Net profits amounting to £12,576 Ss 7d for the year ended September 30, 1927, are shown on the balance sneet of the Traders Finance Corporation, Ltd. Offsetting this, however, is the fact that owing to the unsatisfactory position of one of the accounts, the directors have decided to write off £12,000 of it in the meantime. Wjth the addition of the balance of £576 Ss 7d, the balance in the appropriation account is £2,475 7s Id. Out of this the directors recommend the payment of a dividend of 7 per cent, per annum on the preference shares for the six months ended September 30, which will absorb £1,143 3s sd, leaving £1,332 3s Sd to be carried forward. As there will not be a dividend on the ordinary shares, do not, propose to accept any se.es for the past year. The company’s first report showed a net profit of £4,880, of which £2,535 was appropriated to pay dividends of 7 per cent. In the second year the net profit was £13,058, of which 7 per cent, dividends absorbed £6,251. Income tax for the two years absorbed £3,098, and directors’ fees £SOO, leaving a balance of £5,554. With the net profit of £576 for the last year, the amount available is £6,130. Out of this has been paid a dividend for the half year ended March 30, amounting to £3654, and presumbaly at the rate of 7 per cent, per annum on both classes of shares. The preference capital is now to receive a dividend for the second half year. The paid-up capital at September 30 amounted to £108,514 15s, an increase of £4,900. Deposits total £8,514, a reduction of £593, while bank overdraft is £17,174, an increase of £4,579. Assets include advances £123,389, which is £538 less than the amount shown in the previous balance sheet, and formation expenses £14,279, an increase of £279.