SOUTH WEST AFRICA COMPANY
DIVIDEND AND BONUS AGAIN 15 PER CENT.
THE annual general meeting of the South West Africa Co. Ltd. was held on December 6th at Southern House, Cannon Street,. E.G. - Sir Edmund Davis, J.P., chairman and managing director, Who presided, said : The unsold freehold land stands in our books at nothing under " Damaraland Concessions which is the last item on the credit side of the balance-sheet. The undisposed of freehold land remaining to the company is still in excess of r,000,000 acres. Cash, £23,954, compares with a corresponding amount of £31,418 at June 30th, 1936; this item naturally is a fluctuating one. Invest- ments and shares in other companies at or under cost stands at £644,83o. Last year we gave " investments " and "shares in com- panies operating in Germany" separately, the former representing .C518,525, and the latter £70,094, together £588,619. I may mention that the corresponding figure today is increased to £706,307.
The following information may be of some interest : Consolidated Main Reef Mines and Estate Limited has an issued capital of £1,247,602 and paid for the year ended June, 1937, 274 per cent. Daggafontein Mines Limited his an issued capital of £1,750,000 and paid 231 per cent. in June, 1936,.25 per cent. in December, 1936, and 25 per cent. (interim) in June, 1937.
Durban Roodepoort Deep Limited has an issued capital of £1,000,000 and paid ro per cent, in July, 1936, sat per cent. in January, 1937, and 121 per cent. in July, 5937.
New Kleinfontein Company Limited has an issued capital of £1,351,540 and paid 71 per cent. in June, 1936, 8f per cent. in December, 1936, and to per cent. (interim) in June 1937. -
Rand Leases (Vogelstruisfontein) Gold Mining Company Limited has an issued capital of £1,500,000 and paid 5 per cent. in January, 1937, and 7i per cent. in July, 1937.
Robinson Deep Limited has an issued capital of £775,00o and paid 261 per cent. in July, 5936, 331 per cent. in January, 1937, and 331 per cent. in July, 1937.
West Rand Consolidated Mines Limited has an issued capital of £2,150,000 and paid to per cent. in June, 1936, 15 per cent. in December' 1936, and to per cent. (interim) in June, 1937.
On the basis of recent dividends paid, these seven Rand mining companies would return upon the book value of our holdings about 6 1-3 per cent.
Turning to profit and loss account, the expenditure in South West Africa, £95,271, compares with £93,004 at June 30th, 1936, against which, on the credit side, there is an ore sales account of £176,773, comparing with £173,047, which shows that our mining and our trading activity have been well maintained during the last year. "Expenditure in Europe" at £8,681, shows a slight increase over £8,568 in the preceding year, and "Loss on exchange" accounts for £2,095 against £2,501 last year ; this loss arises from the. realisation of dividends on the German investments which, as 1:01.1 know, are only encashable in this country at a large discount. There remains a balance profit of £99,185, to which we have added
Reserve for income tax not required, £14,859," and deducted the percentage of profit due to directors, £3,184. This leaves a profit of £110,861 carried to the balance-sheet. This profit figure is about X;r2,00o in excess of the profit earned in the preceding year, if we make allowance for the reserve of £25,00o which in that year was carried to profit and loss account.
At the last general meeting I stated that it was our hope that we should be able in our next accounts to show sufficient profit to warrant again the declaration of a dividend of 5 per cent, with a bonus of to per cent., and that the carry-forward would probably. be a few thousand pounds larger than the accounts which we were then pre4enting. Your directors have been gratified to see that forecast fulfilled, inasmuch as, in addition to distributing the same dividend and bonus as last year, we are carrying forward not less than £r17,856, compared with the last carry-forward of £86,766. I feel fairly confident in stating that our profits for the current financial year should be sufficient to warrant our again suggesting the payment 'of a dividend of 5 per cent. and a bonus of to per Cent.
The report. and accounta were unanimously adopted.