directorate comprises new activities in the fields of real estate and
the durable joint ventures;
Mr. A. C. van Uchelen as manager social affairs;
Mr. G. J. van Zadelhoff as controller.
- The management of the real estate business was strengthened
by the appointment of Mr. W. Schön as financial assistant
manager.
- The field of responsibilities of Mr. W. Kaufmann as assistant
manager was changed; as assistant manager marketing he is,
among other things, responsible for the sale of completed real
estate.
On August 1,1975, Mr. H. Groenendijk, adviser social affairs, left
our company on account of his retirement on pension. On the
same date Mr. W. J. Vermoen, holder of proxy at our Amsterdam
office, reached the pensionable age after having been in our
employment for more than 45 years.
We wish to express here our appreciation of the way in which both
gentlemen have fulfilled their duties in our company.
During the past financial year the production of mortgage loans
rose by 7 148 million as compared with 1974, redemptions
remaining almost the same. The growth of the mortgage portfolio
of 7346 million resulting from this led to an increase in the interest
and commission income of 78.4 million, or upwards of 21.5%. The
increase in expenses (including past service pension
contributions) lagged behind relatively and amounted to 72.6
million or almost 20%. On balance, the gross profit, including
dividends received from subsidiaries, amounting to 71,008,000 (in
1974 7840,000), rose from 726.8 million in 1974 to 732.8 million
in 1975, so an increase of 76 million (22.4%).
Pre-tax profit of our real estate business advanced from 76.9
million in 1974 to 712.3 million in 1975. In so far as the sales
result represented book profits on sale of old real estate (730
million), it was added to the replacement reserve. An amount of
74.5 million was withdrawn from this reserve and transferred to the
provision for deferred taxation. Operating results rose by 72.5
million to 711.3 million. An amount of 74 million was charged
against the result and added to the provision for non-occupancy.
In 1975 an amount of 71.8 million was needed to cover non
occupancy, which amount was withdrawn from the provision.
The securities business scored a positive result of 71.1 million in
1975 against a loss of 70.4 million in the previous financial year.
This recovery in profitability is for a considerable part to be
attributed to the favourable climate on the Stock Exchange during
part of the financial year. In addition, the reorganisation carried
through in this business in the course of 1974 had a positive effect.
financial report and operating income
