Part 8: Status January 1910
Opponent still idling in the background. Sooner or later we'll have proper competition.
Overall, looking good. News from abroad is that a number of manufacturers have successful research and development programs and new technology should reach these shores in the next few years.
Trains are bringing in the majority of our profits. Our logging trains carry 100t of wood per trip at the moment. We will have to spend money next year on replacement locomotives because reliability will start to affect delivery times. Think of it as a refurbishment because we'll won't change the configuration of the trains. Steam trains are the least reliable type of vehicle, and consequently have the shortest life.
Our new Hunua service shows a monthly loss, but this is not alarming as records show it's still delivering regularly and makes enough deliveries to cover it's cost long term.
Our truck service is too new to be stable, and disruptions late last year affected the month-to-month profitability of the line. Stable conditions should improve the outlook of these services next year. A typical truck trip brings in $22, well in excess of the cost to run the truck for the month.
Our trams, with reliable passenger sources, little running cost and few breakdowns, are continuous small scale money earners, giving us good will in two major towns in the region.
Our Oneroa service needs modification. Clearly, waiting for full loads is impractical because the towns on the island do not produce enough passengers. We will consider changing to a more frequent service from a town nearer than Auckland, allowing the ships to transport small loads regularly, improving ratings and growing the towns. We also hope to strike out for the towns on Great Barrier Island (Okiwi and Tryphena) soon, with either a intra island service or a service to the mainland.
Our influence is spreading through the region.
Our Income supports an expansion of our network each year. Our biggest cost is easily construction, followed by vehicle purchases.
Inflation raises our payment rates.
Company performance is based on a mixture of Cargo x Distance and Monthly Profit.
Good to see that we are now delivering something every month.
The large spikes are likely when the Henderson and Pokeno Logging trains reach their destination in close succession.
Return of value to shareholders would be good, if we had any. That'll happen over Scrooge's dead body.
The region has experienced spectacular growth in the last decade. Virtually every town in the region is a viable passenger market, and with proper service, mail, food and goods deliveries will be made possible too.
We're barely scratching the surface of all the money we could be making through industry.
Most stations are reasonably efficient at clearing their cargo regulary.