UNITED DOMINIONS TRUST
There seems to be no limit to the expansion of turnover which has been a feature of the history of the United Dominions Trust, the bank of which Mr. J. Gibson Jarvie is chairman. For the year ended June 3oth profits, before tax, have established a new high record level at £217,496, and in spite of last year's 20 per cent. scrip bonus, the 171- per cent. dividend rate is covered with an ample margin. General reserve, which now appears in the balance-sheet at £1,350,000, against a total capital of £1,100,000, gets another £25,000, another £5,000 goes to Dominion and Colonial Development Account and £12,500 to Pensions and Staff Development Account. The various subsidiaries have done well, and the company is following up its success with United Dominions Corporation (South Africa), which has now completed its second full year as an operating com- pany, by starting a new subsidiary in Southern Rhodesia.
In the consolidated balance-sheet there is plenty of evidence of growth. Bills receivable and notes on hand are again higher, at £7,902,184; there are fairly sharp increases in the smaller items of loans against security and advances, while the cash balance is slightly higher at £1,058,333. This institution is carrying on a progressive business on sound lines, specialising in financing the distribution of capital and semi-capital goods by means of medium and long-term credits. While it would be foolish to look for a continuation of expanding profits at the same rate as in recent years, I see no reason why the upward trend should not be maintained. The Et ordinary shares, at 74s., yield- ing nearly 44 per cent., are a sound investment.
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