DAIRY FINANCES

Waikato Times, Volume 127, Issue 21194, 17 August 1940, Page 9

DAIRY FINANCES

RECORD TURNOVER BALANCE-SHEET REVIEWED DETAILS AND COMPARISONS The balance-sheet analysed at the annual meeting of shareholders of the New Zealand Co-operative Dairy Company, Limited by the general manager, Mr C. J. Parlane, disclosed that the gross turnover this year was a record at £9,836,227, compared with £8,882,662 lor the previous financial year, an increase of £953,565. Nominal capital stands at £1,500,000 and unallotted shares at £107,634, the total paid-up capital being £1,210,682. Reserves total £65,626, a decrease of £l5O, while the insurance reserve is £6306, this figure being unchanged since the amalgamation. Suppliers’ contra account stands at £103,462, a decrease of £18,095. Sundry creditors are owed £298,848, an increase of £100,520, while sundry depositors are shown ai £164,213 (£70,596).

Land and Buildings Land and buildings, less depreciation and including additions made during the year, are valued at £455,665, compared with £452,048 last year. The value of plant is placed at £398,104 as against £411,308. Shares in subsiduary companies, at cost, account for £200,994 an increase of £1 on last year, while shares held in other companies stand at £144,012, an increase of £1285. The purchase of supply under the zoning scheme, less amounts written off, totals £2155 as against £8450. Sundry debtors are shown at £392, 612, an increase of £106,522 on last year’s figure of £286,089. Value of Stocks The value of stocks held, with the comparative figures of last year in parenthesis, is as Butter, £1,440,041 (£780,134); cheese, £318,763 (£196,364); casein, £1077 (£35,927); other produce, £80,930 (£35,787); requisites of manufacture, £127,947 (£157,461); trading, £8375 (£6819); totals, £1,977,133 (£1,212,492). Dealing with the operations of the butter department, the accounts show that advances to suppliers this year amounted to £5,467,596, an increase of £392,193. Butterfat increased by 8,178,84541 b. The advance average price a lb butterfat was 14.089 d, compared with 14.341 d last year. Cream collection costs, less the amounts received from suppliers, amounted to £128,297, as against £114,255 last year, an increase of £14,041. Butter Department Costs Wages in the butter department declined from £92,042 last year to £90,356 this season. The decrease was £1685, while the cost a lb was .233 d, compared with .2601 d the previous year. Materials increased in cost by £14,640 to £211,262. The fuel costs rose by £4472 and amounted to .0448 d a lb butterfat, the total cost being £17,369. Costing .0353 d a lb butterfat, the power costs rose from £11,947 last season to £13,907 this season.

Laboratory and sundry factory expenses stand at £12,094, a decrease of £1238, while depreciation in this department amounting to £14,473 was a decrease of £707 on the previous year. Repairs and maintenance amounted to £31,826, a decrease of £26,170, but cartage and railage at £83,782 increased by £10,284. Freezing and storage costs also increased, the rise being £11,855 up to a total of £72,204. Grading cost the company £6601, a decrease of £1333. The cost a lb butterfat was .017 d, compared with .0224 d the previous year. The grading cost per box of butter remained constant at Id. Administration Costs Down An increase in the levy made by the Dairy Board was also paid by the company this year, the amount being £9235, an increase of £5005. Administration and office costs decreased by £2085, standing at £25,161, compared with £27,245 14s last season. The administration and office expenses a lb of butterfat amounted to .0648 d, compared with .077 d the previous year. Fire insurance and rates decreased in cost by £197 to £3878. Insurance on dairy produce to f.o.b. decreased by £lll to £4639. Farm dairy instruction this year cost £3040, a decrease of £123. Directors’ fees and expenses amounted to £l§6B, a decrease of £747. Sales Increase Sales and stocks, both export and local, were valued for the year at £7,041,835, compared with £6,415,051 the previous year, an increase of £626,785. Buttermilk sales increased by £4120 to £8556, while milk and cream sales increased by £IBO2 to £21,357. Rent, interest and dividends are shown on the accounts as £20,119, an increase of £2OOB. The all-in cost to f.o.b. of manufacture amounted to £l2 0s 3.5 d a ton, not including cream cartage, compared with £l2 17s 6.1 d the previous year. Including cream cartage the cost this season was £l4 11s 0.4 d a ton, compared with £ls 7s 0.5 d a ton the previous year. The cost a lb butterfat this year was 1.8969 d, as against 2.0019 d last year. Box Factory Returns The Frankton box factory manufactured 1,908,020 boxes of all types, slightly fewer than in the previous i year when 1,923,195 boxes were j made. In addition 373,205 boxes were purchased from the box pool, compared with 137,700 last season. The total of boxes used this season, I therefore, was 2,281,225. The com- j pany used 9,734,326 superficial feet j of timber as against 9,793,265 last \ year. j The output of the tin factory was i 185,725, compared with 175,595. The j factory herd testing returns showed that 2369 cows were tested twice or more, compared with 2174 cows last year. The number of herds represented in these tests was 118, com- 1 pared with 104 the previous season. The charge for testing w r as Is 6d a | cow.