The sun., 1919-04-17
NEVADA CON. GROSS
REVENUE DECLINES
Report Gives S16,787,656 for
1918 Against S2O,279,728
in 1917.

The annual report Of the Nevada Con-
solidated Copper for 1918 makes a very
poor showing in comparison with previous
| income statements The report issued yes
terday shows that the total revenues not
only declined nearly 1000, 900 but oper-
ating expenses increased almost $4,000
600, making the net revenue from opera
tons about $s.5oo.ooo less than that OF
1917 and $4,000. 900 less than In 1915.
Gross revenue for 1918 was sis.7s7,-
s6s. against sao.s7s.72s in 1917. while
expenses Of operation In 1918 were VA
making net operating revenue for 1918
only S2,3bo.376, against Ss,e6i.ats in the
preceding year and S14.a7o.26s in 1918.
The surplus after all charges was
s3.262,07o. or 31.62 a share on tho
fs,997.2s5 capital stock OF IS par value.
The surplus for the previous year was
ss,1S4,s31. or $3.50 share on the stock
A decline also Is shown In the balance
sheet for last year. which gives total
assets and liabilities on December a.
1913, OF sSo.222,1os. against $32,7s3,l3v
In the year before, a drop OF about
s2,5o0,0oo
| The reason for the poor showing is
outlined in the report which says that
the drop In profits was due to Increased
operating costs, compared with those of
1917 OF 4.92 cents pound, with a de-
crease OF 2.7 cents a pound In tho price
of copper upon which earnings were
based. The average price received for
the metal actually delivered In 1918 was
24.5I2 cents a pound.
| Net production from your company's
| min hA a.
| holderA amounted to 76,eo7, 062 pounds,
compared with s2.4o4,50s pounds for
1917. This decrease OF 100000 pounds.
nearly per cent. is due In part to
the fact that a considerable proportion
OF the mill and srnelter was given over
TO the treatment of custom ores under
contract obligations. but chiefly to lower
recoveries which obtained throughout
the year. This lowered extraction was
the result, primarily, of the effort sus-
tanned throughout the year 70 maintain
tonnage and production in face of un-
precedented operating difficulties of
every nature. especially in tho way of
inadequate and unsatisfactory working
forces and supplies
| THE increased quantity and proper
ton of unsold copper on hand at the
close OF the year and taken into ac-
count at 1875 cents as usual explains
the low average baSins price. Copper
in inventory sold but not delivered is
carried at actual sales price of 245
cents A resulting average of 1898 Is
the price at which all copper undelivered
at the end of the year Is carried into
inventory. Accumulation of this I'M
usual amount OF unsold copper began
early in 1917, as result chiefly OF traf-
no delays and failure of refineries to
make scheduled deliveries. While these
causes OF delay were remedied some
what during tho latter part Of 1918. con-
gestion was not relieved sufficiently 10
permit reduction OF the previous years
accumulation.
"A considerable increase IN the stock
Of copper In the smelter inventory ac.
crued during the year Is due TO inability
of the smeiter to keep pace with mill
production OF concentrates. The very
material increase in stocks of unsold
copper, which developed In the last tive
months of the year, was due to sudden
termination OF tho war and complete
cessation of purchases at prices fixed
under Government regulation"