Earnings, 1932

Standard Statistics Co., world's biggest figure factory, computed profits of 674 companies for 1932, found that the aggregate earnings were $325,584,000, down 68.7% from 1931. And the bulk of these profits were from utility companies whose total profits dropped only 20.8%. With the conspicuous exception of oils, shoes, drugs, foods, chain stores and tobaccos, industrial earnings practically disappeared, amounted to less than one-thirtieth of 1931 earnings. Rails, of course, showed a staggering deficit.

Biggest deficit in last week's flock of reports was Chrysler Corp.'s $11,254,000, comparing with a small profit in 1931. Directors promptly passed the dividend. Sears, Roebuck & Co.'s deficit of $2,544,000--first since the 1921 slump--was caused by losses in its retail stores, Encyclopaedia Britannica, and the home construction division. Last year Sears made $12,170,000. International Harvester, hard hit by dwindling farm income, reported a $7,583,000 deficit. American Water Works & Electric's profits dropped from $6,399,000 in 1931 to $3,692,000. Big General Electric's profits shrank from $40,957,000 in 1931 to $14,404,000. Radio Corp., which, despite its spectacular opportunities, has never paid a common dividend in its history, showed a $1,334,000 loss against a $769,000 profit the year before. Borden Co. (milk) reported a profit of $7,524,000 against $16,088,000 in 1931. U. S. Rubber reduced its $13,074,000 deficit of 1931 to $10,358,000. Low metal prices caused the Guggenheims' American Smelting & Refining to show a loss of $4,506,000 against a 1931 profit of $875,000.

But there was many a U. S. corporation last week which reported substantial earning power even in 1932 :

1932 1931 (000 omitted)

Corn Products Refining $8,762 $10,710

North American Co. 16,416 24,273

International Business Machines 6,408 7,422

Consolidated Gas Electric Light & Power Co. of Baltimore 6,153 7,197

Public Service of New Jersey 28,298 30,541

Southern California Edison 13,728 15,024

Diamond Match 2,037 2,358

Atlantic Refining 3,918 513

William Wrigley 7,096 10,148

Gillette Safety Razor 5,505 4,022

National Tea 899 716

Phillips Petroleum 776 5,576 (d)

Reading Co. 4,229 3,315

American Home Products 2,648 3,375

Coca-Cola Co. 10,713 14,024

d=deficit

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