Disappointing Year for Western Welsh
Page 37
If you've noticed an error in this article please click here to report it so we can fix it.
FINANCIAL results of the Western Welsh Omnibus Co. Ltd. for the year ended March 31 last were very disappointing, said the company chairman, Mr. E. L. Taylor, at the 43rd annual general meeting held last week.
The company's net profit of £74,915 was only slightly up on the previous year, despite the fact that no provision was required for income tax or profits tax. Jt has been the practice of the company to set aside a provision to supplement the depreciation charge, to meet the increasing cost of new vehicles in the future, and in this connection the chairman said that the £10,000 transferred to the general reserve this year was less than the calculated requirement, leaving a shortage to be made good in future years.
Gross revenue at £2,914.000 fell short of that estimated by more than £160,000, despite fare increases in February and July, forced on the company by eonstantly increasing costs of operation.
In April, 1962, train services in East and West Monmouthshire were withdrawn and Western Welsh provided additional journeys on existing routes and jointly with Red and 'White Services Ltd.. provided a new service. In every case, the revenue obtained was far less than expected. . To replace further rail services withdrawn at the end of 1962. another two bus services were introduced. Traffic on these had been very light and they were both subsidized by the Railways Board, said the chairman, so the widely held belief that the Beeching Plan would prove a blessing to the bus industry had not been supported by the experience of Western Welsh.
Additions to the company's fleet during the year under review included 24 doubledeckers-19 Leyland Atlanteans and five A.E.C. Regents—and also 18 Ley land Leopard single-decker saloons.