Gillette Razors

In the field of specialty manufacturing, few U. S. concerns can equal the extraordinary success of the Gillette Safety Razor Co., as the Company's 1924 statement goes to show. Last year, the Company's net profits after taxes, reserves, etc., amounted to $10,122,473. compared with $2,427,174 in 1915. The sales of Gillette razors last year totaled 8,438,576, against 451,861 in 1915, while the sale of extra blades aggregated 42,604,498 tens, against only 5,928,117 dozens in 1915.

This steady and very great expansion has resulted from manufacturing and selling efficiency and world-wide advertising, rather than from patent protection. One advantage in this business is that every owner of a Gillette razor becomes a steady customer for Gillette blades.

The prosperity of the Gillette Co. has been shared in by its stockholders. Until 1917, the Company was a rather close corporation. In that year, however, it offered to the public its common stock at $80 per share. In February, 1920, stockholders were offered the right to subscribe to new common at $100, on the basis of the new share per ten old shares. On Nov. 1, 1924, a stock dividend was declared and, on Dec. 1, the company was recapitalized. For an investment of $8,000 in September, 1917, and $1,000 more in February, 1920, the investor's holdings of the stock at a recent date would have possessed a market value of $59,087--an appreciation in principal of 555%. In addition, cash dividends meanwhile would have totaled $9,673, or about 14% on the cash investment.