COMPANY MEETING
BRITISH-AMERICAN TOBACCO CO., LTD:
SUBSTANTIALLY INCREASED PROFITS SIR HUGO CUNLIFFE-OWEN'S STATEMENT THE thirty-fifth annual general meeting of the British-American Tobacco Co., Ltd., was held on January loth at Westminster House, Millbank, London, S.W.
Sir Hugo Cunliffe-Owen, Bart., said : Taking the assets side of the balance-sheet first, you will observe that the item of real estate and buildings at cost less provision for amortisation of leaseholds, £827,311, shows a net increase of £5,877 as compared with last year, due to the cost of additional freehold and leasehold buildings.
Turning to the liabilities side of the balance-sheet, the issued capital of £4,500,000 5 per cent. Preference stock and £6,000,000 6 per cent. Second Preference stock remains the same, but the issue of Ordinary stock is increased from £23,681,761 to £23,687,761, an addition of £6,000 stock. This is due to the issue of shares under a resolution passed at a meeting held on June 21st, 1926.
This brings me to the last item, viz., profit and loss account. The accounts show a net profit for the year, after deducting all charges and expenses and providing for taxation, of £5,760,449, an increase of £218,694, which, under present conditions, I trust you will find satisfactory.
Last year we carried forward a balance of £2,428,280 15s. 6d. To this must be added the profits for the year as previously mentioned, £5,760,449 13s. 5d., less the dividend on the 5 per cent. Preference stock of £225,000 on the 6 per cent. Second Preference stock of £360,000, and the four interim dividends paid on the Ordinary stock for the year, amounting to £3,947,710 3s. 4d., leaving a disposable balance of £3,656,020 5s. 7d., out of which the directors recommend the allocation of a sum of £zoo,000 to the employees' benevolent fund, bringing that fund up to £362,965 xis., the distribution on January 17th, of a final dividend (free of United Kingdom income- tax) on the issued Ordinary stock of 8d. per Ex of stock, amounting to £789,592 os. 8d., and a bonus (free of United Kingdom income tax) on the issued Ordinary stock of 3d. per LI of stock, amounting to £296,097 OS. 3d., leaving £2,470,331 4s. 8d. to be carried forward.
We have had a difficult year. Our sales and those of our subsidiary and associated companies show a satisfactory increase over the previous year, but there have been many difficulties to overcome.
The directors have declared for the year 1937-38 an interim dividend of iod. per Li of stock, free of United Kingdom income
tax.
The report was unanimously adopted.
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