THE W.F.C.A. LTD.

Wairarapa Times-Age, 8 September 1943, Page 2

THE W.F.C.A. LTD.

REPORT ON TRADING YEAR INCREASED NET PROFIT. DIVIDEND TO PREFERENCE SHAREHOLDERS. Following is the annual report of the Wairarapa Farmers’ Co-operative Association Ltd., for the year ended July 31 last:— Your directors have pleasure in submitting to shareholders the fifty-second annual report and balance sheet for the year ended July 31, 1943. The gross profit upon the operations of the various departments amounted to £114,878, compared with £112,036 the previous year, and £106,854 in 1941. General expenses amounted to £69,362, a reduction of £863 from last year.

After paying interest upon debentures, amounting to £3OOO, depreciating plant and fittings £1568, depreciating buildings by £2206, the net profit amounted to £33,272, compared with £27,318 last year. The net profit, together with £1857 brought forward from last year, gives a sum of £35,129 to be dealt with. The directors recommend that the amount available for allocation be appropriated as follows: —

Payment of Income Tax, War Tax, Social and National Security Taxes 23,382 Transfer to General Reserve Account 2,000 Palment of a Dividend to Preference Shareholders at the rate of 3 per cent, absorbing 7,500 And to carry toward the balance, namely 2,247

£35.129 The board thanks the shareholders and clients for valuable support, also our bankers, and also the management and all members of the staff for their loyal co-operation. Earthquake Rehabilitation. — The item appearing in our balance sheet, to which will be added a sum during the present financial year, represents cost of earthquake repairs referred to in last year’s report, and which may total £lO,OOO altogether. The company could not pay the £lO,OOO involved in earthquake loss out of its profits, without earning an additional £33,000 net profit, of which £23.000 would go'to the Government in additional taxation. As earthquake repairs is not a deductible item for income tax purposes, the amount is carried forward, in the hope that some measure of relief will be given by the Government. Directors. —The directors retiring by rotation are Messrs J. G. Brechin (representing the preference shareholders) and H. G. Williams and W. Howard Booth (representing the ordinary shareholders), and in the absence of othe.v nominations, will be declaredelected.

Auditors. —Messrs Sellar and Sellar, retiring auditors, offer themselves for re- election.

The report is signed by Mr V. E Donald (chairman of directors).