MARKS AND SPENCER RESULTS
The chain store groups competing in the lower-priced section of the retail trade are less immediately affected by changes in the economic outlook than some of those shops which cater for the higher-priced trade. The bulk of their customers are not frightened by a fall in security values ; they may even gain some customers from the expensive shops in times of moderate recession. Thus 1938, which was a dis- appointing year for the West End stores, was a good one for some other sections of the retail trade. Marks and Spencer, who have the additional advantage of being a very progressive undertaking, show profits which are easily a new record. Net earnings for the year ended March 31 amounted to £1,781,958, against £1,602,450. The company are again distributing a final dividend of 271 per cent., making 421 per cent. for the year, and a capital bonus of one new " A " ordinary share in respect of every ten ordinary or " A " ordinary shares held. This leaves an ample sum to be ploughed back into the various reserve funds ; general reserve receives £342,203, against £324,730, properties £93,022, against £64,598 ; deben- ture redemption fund £12,495, against £11,760 ; and staff fund again receives £25,00o. The balance to be carried forward is raised from £85,641 to £98,596.
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