Elgin Annual Statement Shows Larger Net Profit
Earned surplus as of December 31, 1941, was $4,694,903.94 after deducting $1,200,000 or $3.00 per share for dividends, as compared to $4,144,182.84 in 1940, after deducting an equal amount for dividends.
The upsurge in sales of the Elgin National Watch Company, the largest in the company's history, according to Mr. Potter's report, is accounted for by the general demand for consumer goods and the carrying forward of aggressive company policies.
Government orders for the year were a negligible factor in arriving at the year's profits. Mr. Potter said. "We all must realize," he added, "that watches for civilian use are going to be materially curtailed and that in order to maintain our plant on a full production basis, it will be necessary to manufacture other products. We are making every effort to find new work which will assist the Government and keep our plant well occupied. This coming year's operations will reflect to a very large degree the success of our conversion to other operations as watch production for civilian use diminishes.
"We all realize the gravity of the war situation and how it affects our civilian business and we must adjust ourselves to the new conditions as they present themselves.