WORTH CONSIDERING

Sun (Auckland), Volume II, Issue 449, 3 September 1928, Page 12

WORTH CONSIDERING

NATIONAL BANK OF AUSTRALIA ITS SHARES AS AN INVESTMENT (By “Noon Call.”) . Despite the fact that its shares have been receiving increased attention on a rising market over the past three months, scrip in the National Bank of Australasia continues to show best prospects of immediate return in the banking group. Allowing for recent appreciations in the market, investors can stilly see a return of approximately £ 5 5s per cent, for both issues, compared with under £5 per cent, for practically all other banking scrip. On the present market, compared with other banking scrip, National of Australasia shares certainly have an attraction. The bank is progressive and has the name of being well managed. Apart from getting a higher rate of interest than he would if he took up a parcel of shares in most other banking concerns, the buyer would have bright prospects of receiving additional increments from surplus profits from time to time. Early History of the Bank The National is an old-established institution, issuing its prospectus in November, 1857. It suffered in the general depression of the early ’nineties, Avhen it was reregistered and reconstructed. By 1900 it had cleared off all its old liabilities, and from then on until 1918 its progress was gradual. In that year the management embarked in a vigorous policy of expansion by amalgamations and otherwise. The Colonial Bank was welded into the business in 1918 and three years later the Bank of Queensland, itself an amalgamation of the Bank of North Queensland, and the Royal Bank of Queensland, was taken over. Since then the National’s expansion has been rapid. . Paid-up capital climbed from £2,000,000 in 1919 to £5,000,000 at the close of last accounts by six new share issues, which brought in £948,832 in share premiums. The following table gives a goo*l idea of the recent development of the bank:

The above figures speak for themselves, and, in view of the sotind administration of the l institution, and the prospect of further capital issues tp meet the growing demand on its fund#; by primary and secondary industries, the stock well merits the careful consideration of investors seeking safe, yet reasonably profitable avenues. FLAX-GRADING RETURNS Compared Avith July the figures showing the amount of flax graded at the Port of Auckland for the month of August show a big increase. An increased proportion of the higher grades continues to be a feature of the returnfe. Following are the figures for August, those for the same month last year being given in parentheses:— ■Hemp.—Good fair, 117 bales (11); high fair, 343 (143); fair, 291 (488); common, 83 (236); rejected, 24 (21). Total, 858 (899). Tow.—No. 1, 59 (—); No. 2, 125 (175); No. 3, 72 (69); condemned, 4 (IS). Total, 260 (262). Stripper Slips.—No. 2, for export, 18 ( —); condemned, (7). Total, 18 (9).

Year Net D ividend ended Profit. Ra te Amount. March £ P.C. £ • £ 1920 . . 279,781 8 160,000 1,250,015 1921 . . 316,610 9i 190,000 1,375,625 1922 . . 325,168 10 203,050 1,661,907 1923 . . 442,177 10 272,500 1,806,324 1 924 . . 498,168 10 507,972 2,148,542 1925 . 10 400,000 2,414,704 1926 . . 568,254 10 400,000 2,532,958 1927 . . 581,645 10 400,000 2,644,605 1928 . . 640,401 10 498,086 3,148,495