Carpenter & Co.

Annual Report

Very Strong Financial Position

A POSITION of marked and con tinued strength is disclosed by the report of W. R. Carpenter & Co.

Ltd. for the year ended June 30 last.

Although, during the year, it met the full force of the depression, the direc tors’ policy of conserving assets and building up strong cash reserves has borne good fruit, and the net profit of £37,712 is only £2,468 less than that of the previous year. The balance sheet figures may be thus summarised:

To minimise further the effect of de pressed copra prices, the report states, the company extended its operations successfully in other directions.

Though regarding the outlook for the ensuing year as obscure, the directors believe the indications point to a par tial revival, and express confidence that the company will maintain its position. They mention having made provision for all bad and doubtful debts.

All the items show managerial vis ion and shrewd judgment. Shipping property has been written down, branch balances have been reduced by over £20,000, stock has been drastically cut down, creditors have been much reduced, and the cash on hand has been increased from a few thousand pounds to £45,460.

It is a balance sheet that conveys a very cheery message to thousands of people in the South Seas who must, in this time of stress, lean somewhat heavily upon the big trading firms.

One may not like to have to seek assistance, but at least it is always comforting to know that the structure on which one depends is secure and safe, and efficiently controlled.

Bulolo’s Equipment

The machinery and equipment for Bulolo Gold Dredging Ltd., which is being transported from Lae to Bulolo, on the Morobe goldfields, by the two triple-engined Junkers, continues to be brought from the coast at a satisfac tory rate.

Since the service commenced, 215 flights have been made by these two planes, and the total cargo carried up to August 8 was 1,084,573 lbs.

During the last three weeks, the planes have been hampered by bad weather.

1929 1930 1931 £ £ £ Net profit 40,034 40,180 37,712 Div., 8 p.c 21,666 23,866 23,866 To reserve 15,000 25,000 10,000 To endowment fund 1,500 — — To repairs and replacement , 3,000 Forward 10,451 1,765 2,344 Gross profit 58,354 55,707 54,165

Liabilities—

Capital 291,666 301,666 301,666 Reserve 60,000 75,000 100,000 Replacement reserve 3,500 7,000 7,000 Creditors 21,903 9,654 7,333 Ventures in abeyance 1,201 — —

Assets—

Investments 115,260 115,002 118,113 Shipping property . . 23,128 18,532 16,075 Branch balances 258,282 269,826 248,829 Debtors 8,112 11,039 12,196 Stock 8,046 3,400 1,237 Cash . . . . 3,560 12,844 45,460 Ventures in abeyance — 24 748