Record

B. P.’S Splendid

Profit Maintained for 1930-31

A FURTHER indication of the wis dom and efficiency with which the affairs of the South Seas trading companies are conducted is furnished in the annual report of Messrs. Burns, Philp & Co. Ltd. Although the opera tions of this particular company are world-wide, a very important section of its business relates to its trading in New Guinea and Papua, and the ship ping lines which run between Australia and those Pacific territories.

The company showed a profit for the year ended March 31 last, of £258,888, as compared with £256,000 in the previous year. This figure, con sidering the fact that practically the whole of the year under review was noted for chaotic economic conditions and extremely reduced commodity prices—affecting shipping services as well as general trading—is really re markable. The directors simply say, “The operations as a whole have given a result which may be regarded as sat isfactory.” The surprised and gratified shareholders may be expected to ex press their sentiments in much strong er language.

The directors, with their usual fore sight, are taking no chances so far as the current year is concerned. They have recommended that £75,000 be added to the reserve fund, making a total reserve of no less than £875,000 — a tremendously strong collateral back ing for the subscribed capital of £1,500,000. They also are carrying for ward a balance of £33,888.

The loss of the new M.V. Malabar, which occurred only two days after the termination of the financial year, is not included in this year’s accounts.

The facts and figures speak for themselves. There is no need for the planters and traders of the South Seas to worry overmuch, so long as the big trading companies, which give them such substantial backing, are conduct ed in this efficient and successful man ner.

The directors of the company are: Messrs. James Burns (chairman), R.

J. Nosworthy (managing director), Lord Inchcape, Lewis Armstrong.

Joseph Mitchell, W. A. Mackay and F. E. Loxton.