2 JUNE 1939, Page 40


That tower of financial strength, Boots Pure Drug Com- pany, has added another few feet to its battlements in the year ended March 31st. Net profit for that period, as already announced, was £776,292, an increase of £13,666 over the previous year. The usual dividends of 29 per cent. (of which 5 per cent. is tax free) have already been declared. The special distribution of 31 per cent. paid a year ago out of investment profits is naturally not repeated since it arose only as a result of the liquidation of the investments.

The actual amount added to reserves in the present accounts is no less than £313,548, and as this exceeds the amount kept back out of the year's earnings by nearly Doo,000, the balance to be carried forward is reduced from £346,730 to £248,724. In the previous year the amount added to reserves was £172,132. This year's appropriations include one of £265,000 for the contingencies account, bring- ing that account up to £500,000. General reserve is left unchanged at £2,000,000, and the total of Boots' reserves and the undivided profit balance is now no less than £3,933,649, which compares with an issued capital of £3,000,000 and with

fixed assets of £5,2o6,92o. J. D. M.