COMPANY MEETINGS
PHILIP HILL AND PARTNERS
INCREASED INCOME
Tim seventh ordinary general meeting of Philip Hill and Partners, Limited, was held on July 18th at The May Fair Hotel, London, W.
Mr. Philip E. Hill (Chairman and Managing Director) said that their profit for the 15 months under review amounted to £638,357, compared with £498,456 for the previous year. If for comparison they reduced their present figure by one-fifth to cover the extra three months, they found that their annual income had increased by some £12,000. Following their conservative dividend policy, they recommended a final dividend of 6-4- per cent., making 31+ per cent., less tax, for the 15 months, which was at the rate of 25 per cent. per annum. Actually their revenue for the period was equivalent to 54 per cent. on their on-finny share capital.
The quotations for their investments had followed the general trend, the market value at June 30th being £269,826 less than the book value. While the directors believed that the setback was purely temporary, they had deemed it prudent to create an investment depreciation reserve account, totalling £355,434, the deduction of which brought the book value of the investments to some £85,000 below the market value at June 30th. The general reserve stood at £I,000,000, and the dividend equalisation account at £200,000, those two items exceeding the issued ordinary capitaL
The earning capacity of their holdings had increased, revenue from that source for the period totalling £363,215, being over half their total revenue. He estimated that they should receive from that source in the current year sufficient, after paying all expenses and the preference dividend, to allow the payment of a satisfactory dividend on the ordinary shares. As to the new issue side of the business, the fact that they had raised over £20,000p00 during a period of such extreme difficulty called for no comment.
As to their prospects for the present year, he had already referred to the income which they should receive from their investments. That could be estimated ; the unknown quantity was the revenue they would derive from their financial and new issue business. The political situation, together with Government borrowing, the proximity of a General Election, and a controlled money machine, didnot afford a background for optimism, but on the other hand increased industrial prosperity, coupled with a much larger interest by the public in the country's wealth, undoubtedly afforded great possibilities for suitable industrial and general business issues.
The report was unanimously adopted.
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