Evening journal. [volume] (Wilmington, Del.) 1888-1932, 1923-02-10
du Pont Company Recouers
from Depression; Years
Earnings of 1872 900

from the depression Of 192O-1921. a
strong financial position/ and a de-
cided Improvement in Industrial
conditions generally. The report
gives for the first time a fully con-
solidated balance sheet and income
account of the parent company
and its subsidiaries IN way TO
present more comprehensive
picture Of the result Of the activ-
tiles OF all the company's interests.
The total earnings were S13.254.-
600 and after providing for interest
on funded debt there remained So
$4,000 available for dividends.
which amount was in excess OF
cash dividend disbursements.
The company earned its bond in
terest requirements more than four
times; earnings available for diW-
dends were more than twice the de-
benture stock dividend require
ments.
The total assets shown are $3.50
673,OO0. Of which current assets
amounted to $62.993. 900. Current
liabilities were S9.225.OOO; funded
debt in the hands OF the public
Gncluding bonds Of subsidiary COM
panies) S33.576.OOO; capital stock,
S163.472.OOO; minority interests in
subsidiary companies. S2.90l,000;
reserves. S12S44O0O. leaving sur
plus at the end of the year appli-
cable to parent company common
stock OF S37652.OO0.
Current assets exceeded current
liabilities by s53.70O.OOO. the ratio
being nearly seven 10 one.
of Year
During the year 50 per cent
stock dividend was paid in common
stock. thus capitalizing sS1,6S2.OOO|
" accumulated surplus. This capt.
alizing OF surplus, together with the
purchase by the company during the
year OF S3.449. 900 par value OF its
: - per cent ten-year bonds in ad-
iition 10 former purchases OF S773.-
700. and the fact that there existed
IN subsidiary ompanies at the be-
ginning Of the year nearly 100000
II surplus applicable 10 dupont stock
not so reported. furthe'
strengthens the position OF the com
lany's securities.
The balance sheet OF the company
indicates that its debenture stock is
n an exceptionally strong position. |
here being approximately $500 OF
oh n
itock.
The net sales in 1922 amounted
o S71.g56.OOO. OF which industrial
ales Of parent company were $50
100000 as against s51,5S7,O00 IN
1921 when Industries into which |
many dupont products enter as
,asic supplies were at low Old.
These figures. however. do not show
he fuil extent OF the recovery, be-
.ause OF the lower unit price level
uling over 1922 as compared with
921: also the coal strike which |
.reatlv restricted the sales 1f eN- /
,losives for coal mining purposes
delayed the revival ~
he commercial explosives business.
which business comprises sosle -
er cent OF the total sales OF the
aren't company alone for the year
General Motors Holdings
Securities held for permanent in
estment amount TO SS9,46S'OOO.
his includes the company's hold
1gs OF General Motors common
took.
Concerning this investment, the
spOrt says:
During the year 1922. your COM
any received S3.756.OSS as its por-
on OF a dividend of so cents per
lare. declared by General Motors
This represents A. e
n the total cost of your holdings.
he preliminary statement Of Cen
al Motors Corporation which was
ade public in November 1922. es-
mates thar the earnings accruing
the common stock will he up
ards or S2.25 per share for the
ar 1922. so that there has accrued
the benefit OF your company as
,mmon stakeholder. approximately
.3.I5O.OOO over and above the divi-
nd. making gotal earnings Of s16,-
Is. 900. or 21eo on your invest
ent.
Tt is interesting to note that your ,
,mpany now owns, directly and in
rectly. an aggregate total of T. /
.3,345 shares of General Motors
1rporation common stock. OF this,
3,516 shares are owned by the
trent company and 6,9sS, $50 ,
ares by dupont American Indus
les. Inc. while the remaining !
1853 shares represent your COM /
.ny's equity in General Motors
,rporation common stock held by I
ievrolet Motor Company and Ca {
ldian Explosives. Ltd. Your {
mpany has outstanding 950,6O9
ares OF IT'S own common stock. r
Jus IL will be seen that its direct :
d indirect holdings OF. and equity I
General Motors Corporation a
mmon stock amounts to approx ?
ltely eight shares for each share r
dupont common stock"
The market value OF these Gen u
al Motors holdings based on cur {
Mt quotations is now about s1O5.- fl
0. 1000 O
The depression in business, o
lich was so forcibly brought to c
eryone's attention during the lat
p part OF 1920 and 1921. continued
r your company into the earlier b
1nths OF 1922. as is shown by in h
strial sales OF the parent COM {,
ny alone for the first half OF 1922. a
lich aggregate t25. $50. O53.11. as D.
impaired with corresponding sales v
r the first half OF 1921.rof SEA- C.,
5. 1866. Conditions improvet s.;
lterially during the last half OF tc
%, which is shown by the sales OF y,
i.449.53S.76 of the parent com e,
ny alone, compared with cor-e- e-
]