BGR - Briscoes Valuation

[Filthy]

Up another X percent today. As someone who missed the latest rally what would you suggest I do .... buy in now when the stock is looking heady and had a good run, or find another retail stock to invest in.

I guess this depends on your timeline... if your looking at investing long-term i.e. 10, 15, 20 years, then an entry at 5.30 vs 4.50 isn't going to matter much. if you are looking for a trade or something shorter term, then there might be better options to investigate elsewhere..... (it feels very toppy now). but only you can really answer that question.... so I hope it was rhetorical!

[bull....]

yep just got to do what your comfortable with and decide if your a trader or a investor

[nztx]

The 2 year SP graph & current Div Yield are interesting

especially when one bought pre Covid & climbed out of large unrealised notional loss
from the previous toppy 4 buck level buys and averaged out further coming into the climb out
from May to date.. something I almost didn't do, preferring to focus on straightening out
HLG & HGH positions first .. but no regrets with that


Stuck with what looked at the time to be expensive holdings - if the SP falls there is always option
to buy further @ lower SP levels averaging down


Out of this isolate how much of recent extra rise is out of the following factors -

- excess Ca$h in the system looking for a more rewarding home
- more able Retail investors easily able to buy on newer platforms on NZX
- the Special One-off div coming up & hype around it
- Seasonal - better trading months currently
- More potential investors out there at the current time of the year
- reduced pool of good companies paying dividends

IMO BGR is around where I would expect it to be given the above factors .. ;)

A year back 3.80 - 4.00 at this time before updated factors seemed a fair level
but then that's all changed since..

the trend is your friend -- if one thinks better things to follow into 2021, then
establish point to dive into the pool.. if thought too toppy - stand back & watch

Will there be even more surplus cash into 2021 looking for a better / more rewarding home ?

where does one expect BGR's trading is likely to go further into 2021 ?

consider the prospects of BGR's minority KMD position & where that may lead as well .. ;)

[bull....]

duke interview

Briscoes boss Rod Duke: Why he likes making millions more than spending it
https://www.nzherald.co.nz/business/briscoes-boss-rod-duke-why-he-likes-making-millions-more-than-spending-it/D5CYBOJNHMCUVPJSRIWT36T75Q/

i dont have a sub to the herald , if theres any good bits let us all know please

[kiora]

You might be able to find it here Bull
https://www.pressreader.com/category/business/en/nz

[CraftyBeer]

You might be able to find it here Bull
https://www.pressreader.com/category/business/en/nz

Thanks kiora. Key outtakes from my reading:
- 2021 should be a good year (Covid dependent)
- Eyeing up two NZ retail acquisitions (wonder which ones?)
- March dividend 'safe'
- Less 'sale sale sale' marketing and more promoting 'big brand names' to draw customers in
- Aware Rebel Sport 'ripe for competition' but they have a 'strategy ready to go' should a competitor step in

[bull....]

You might be able to find it here Bull
https://www.pressreader.com/category/business/en/nz

thx kiora , good read exciting to hear about the upcoming retail company aquisitions duke has planned

[kiora]

Thanks kiora. Key outtakes from my reading:
- 2021 should be a good year (Covid dependent)
- Eyeing up two NZ retail acquisitions (wonder which ones?)
- March dividend 'safe'
- Less 'sale sale sale' marketing and more promoting 'big brand names' to draw customers in
- Aware Rebel Sport 'ripe for competition' but they have a 'strategy ready to go' should a competitor step in

Do they have a shareholding in (corrected) KMD still?
What about MHJ?

[Greekwatchdog]

They still have there holding in KMD thou diluted a little after C.R

[emearg]

Do they have a shareholding in WHS still?
What about MHJ?

I wasn't aware they ever had? And I've been a holder for almost twenty years. But I may have just missed it/forgotten :scared:

[emearg]

You might be able to find it here Bull
https://www.pressreader.com/category/business/en/nz

Thanks for the link. An interesting read.

[macduffy]

I wasn't aware they ever had? And I've been a holder for almost twenty years. But I may have just missed it/forgotten :scared:

That would be news to me, too. But a bigger slice of KMD would a possibility IMO.

[Mr Slothbear]

Do they have a shareholding in WHS still?
What about MHJ?


AFAIK never held stakes in either.

new article worth a read with nice vid of Rod
https://www.nzherald.co.nz/business/briscoes-boss-rod-duke-why-he-likes-making-millions-more-than-spending-it/D5CYBOJNHMCUVPJSRIWT36T75Q/

[sb9]

I doubt Rod would be eying any listed Retail acquisitions after his experience with KMD.
He’s more likely go for small/medium ones which are more aligned to their core business.

[Mr Slothbear]

Okay just red the press reader article.

so rod is currently in discussion for two potential take over offers for other retail businesses. Now while I am happy about this I’m also feeling pretty salty this wasn’t disclosed to the market and if it wasn’t for that post and figuring out the horrible UI of the pressreader site I never would have been any the wiser.

two potential retail takeover targets though hmmm...
neither of them to compete with briscoes or rebel, wonder what they could be?

good post, sb9 I agree I do not think they will be nzx listed and believe more likely to be small to mid size

[winner69]

Okay just red the press reader article.

so rod is currently in discussion for two potential take over offers for other retail businesses. Now while I am happy about this I’m also feeling pretty salty this wasn’t disclosed to the market and if it wasn’t for that post and figuring out the horrible UI of the pressreader site I never would have been any the wiser.

two potential retail takeover targets though hmmm...
neither of them to compete with briscoes or rebel, wonder what they could be?

Probably not material ...just small bolt on outfits

Been interested in home decorating in the past ...might still be keen....one possible outfit looks a bit like some of his stores

[macduffy]

Probably not material ...just small bolt on outfits

Been interested in home decorating in the past ...might still be keen....one possible outfit looks a bit like some of his stores

Something like Guthrie Bowron? Resene?

[Mr Slothbear]

Something like Guthrie Bowron? Resene?


both those would fit well I think but I would have thought both to be of a size that would be material.

likewise could also see something like mountain warehouse fitting well with a possible future divestment of KMD later down the line.

even though it wouldn’t really fit neatly, PB tech is one retailer I would absolutely love to own. They’re the only retailer I’ve seen do bigger better sales than Briscoes and one of the few shops I actually love visiting. They’ve been growing fast, just opened the new store in Christchurch.

[JohnnyTheHorse]

NZX listed company wouldn’t surprise me. A cash + share offer, where Rod maintains over 50% control. This would increase liquidity and get it into the NZX50. Australian companies are also certainly possible. I don’t see KMD being an option after the Ripcurl purchase.

[CraftyBeer]

both those would fit well I think but I would have thought both to be of a size that would be material.

likewise could also see something like mountain warehouse fitting well with a possible future divestment of KMD later down the line.

even though it wouldn’t really fit neatly, PB tech is one retailer I would absolutely love to own. They’re the only retailer I’ve seen do bigger better sales than Briscoes and one of the few shops I actually love visiting. They’ve been growing fast, just opened the new store in Christchurch.

PB Tech would be a great buy. Another option might be Millers? Or maybe one of the garden centre chains?

[winner69]

Something like Guthrie Bowron? Resene?

Resene are a manufacturer and heavily involved in trade / building activities - Fletcher’s might have another go at buying them (were rejected a few years ago)

Guthrie Bowron are more consumer / home diy focused .....but are a franchised group which mightn’t suit Rod.

[bull....]

PB Tech would be a great buy. Another option might be Millers? Or maybe one of the garden centre chains?

pb tech would be a great buy , opp to expand all thru NZ to fill the gap left by dick smith

[Snow Leopard]

Single trade of 250,000 @ $5.29 during lunch (yours, I was on morning a coffee & dark chocolate break).

Strange day in many corners of the NZX today.

[nztx]

SP seems to be holding .. lowered in early trades before rebounding later

Available loose shares out there must be tightening on demand with Special Dividends,
good reports being released. Next Div could be interesting ..

BGR like many retailers will be benefactors from the large volumes of cash that would have
usually migrated offshore with holidays taken offshore in other years .. ;)

[JohnnyTheHorse]

Special divvy has hit the account. Looks like some people are using it to load up on some more shares.

[Mr Slothbear]

New all time high today of $5.53.

Just waiting for full year financials, should only be a week or two away and then just 8 weeks till the next big dividend

[bull....]

New all time high today of $5.53.

Just waiting for full year financials, should only be a week or two away and then just 8 weeks till the next big dividend

looking good , ride the trend

[Snow Leopard]

looking good , ride the trend

Good isn't it?

Can hardly believe how far it has come!

[Rawz]

Looking pricey right now? P/E is at a record at 19. Closest it has ever been to that was 17.8 in 2013.
Divvy yield under 3%

Love the company but wow you holders must be thinking about cashing up at these levels?

Disc. Don't hold.

[nztx]

Looking pricey right now? P/E is at a record at 19. Closest it has ever been to that was 17.8 in 2013.
Divvy yield under 3%

Love the company but wow you holders must be thinking about cashing up at these levels?

Disc. Don't hold.

Historic PE & figures may make things look that way

but let's look at NOW -- a bumper next reporting period probably on the way from recent smoke signals

this on top of the most recent extra Special Div paid 20 Jan 21


Where will the March 2021 dividend likely go on all that ? ;)

[Ltw]

Only thing that worries me a little is:
Talking to a number of retailers across a few industry's is the challenge they are having getting stock especially if its coming from over seas.
Waiting times are getting crazy and I hope the BGR team have this well covered.

Can't sell it if you don't have it and there was lots of this after Christmas

[Sideshow Bob]

No further news (or speculation) on potential acquisition??

[nztx]

Only thing that worries me a little is:
Talking to a number of retailers across a few industry's is the challenge they are having getting stock especially if its coming from over seas.
Waiting times are getting crazy and I hope the BGR team have this well covered.

Can't sell it if you don't have it and there was lots of this after Christmas

A similar risk exists across many other industries & Co's I think Ltw..

[Ltw]

A similar risk exists across many other industries & Co's I think Ltw..

Totally agree mate.
Everyone I'm talking to is struggling with freight and getting stock

[CraftyBeer]

Trusting BGP’s Rebel stores picked up some of the sporting goods spend up at Christmas:

“Data captured by Paymark, which tracked retail card spending, showed a 6 per cent rise in Christmas spending, Shaw said, with big jumps in spending on liquor, sporting and camping goods.”
https://www.stuff.co.nz/business/124124557/how-families-revenge-spent-themselves-to-the-merriest-christmas-ever

[winner69]

The last update from Briscoes was really amazing

Covers the full year of covid impacts but -

Briscoes sales up 7.5% on previous year

And trading profit up 33% on previous year - and without any corporate welfare

Must be one of the best performing listed retailers on the NZX

well done Rod

[Sideshow Bob]

The last update from Briscoes was really amazing

Covers the full year of covid impacts but -

Briscoes sales up 7.5% on previous year

And trading profit up 33% on previous year - and without any corporate welfare

Must be one of the best performing listed retailers on the NZX

well done Rod

I wonder if they will have a sale to celebrate? :confused:

[bull....]

record close , one of the few places good at the moment ... retailer stocks in a down drafting nzx market

[JohnnyTheHorse]

Results announcement tomorrow. One would expect we will hear of the two acquisitions that Rod mentioned in the Herald article.

[nztx]

FY Results:

https://www.nzx.com/announcements/369213

Net profit $73,199 +17.0%

Final Dividend

Amount per share: $0.13500000
Imputed amount per share: $0.05250000

Record date: 24 March 2021
Payment date: 31 March 2021

[sb9]

FY Results:

https://www.nzx.com/announcements/369213

Net profit $73,199 +17.0%

Final Dividend

Amount per share: $0.13500000
Imputed amount per share: $0.05250000

Record date: 24 March 2021
Payment date: 31 March 2021

Well done Rod and team, great result.

[Beagle]

Augurs well for WHS and HLG's reporting later this month.

[macduffy]

Well done Rod and team, great result.

Agree completely. And met/exceeded the expectations of this hard-to-please market!

:)

Disc: Hold a few - wish it were more.

[macduffy]

Deleted - duplicate.

[LaserEyeKiwi]

Is the total annual dividend of 28.5c likely to be replicated in the next financial year as well?

[sb9]

Agree completely. And met/exceeded the expectations of this hard-to-please market!

:)

Disc: Hold a few - wish it were more.

Always had on my watchlist around mid $3 mark, somehow never got around to getting them.

Well managed company under Rod's leadership.

[nztx]

Is the total annual dividend of 28.5c likely to be replicated in the next financial year as well?


the 6.0 cps Special in Jan - I'm notionally regarding as March 2020 Div

so 22.5 cps normalised IMO for 2020/21 year

Best estimate here 23.0 cps 2021/22 maybe 0.50 ontop


Discl: Holder - but wished had more onboard

[nztx]

Always had on my watchlist around mid $3 mark, somehow never got around to getting them.

Well managed company under Rod's leadership.


Agreed - heading out of C-19 - was deep under water with these for many months

Similarly had all good intentions of adding further .. but alas .. ;)

[winner69]

Truly remarkable result - sales up 7% and profit up 35% (adjusting for no KMD dividend etc) - and achieved without benefiting from wage subsidies

Pity HLG couldn't get anyway near this type of performance in first half year.

Well done Rod

[bull....]

duke da man :t_up: results reflecting other retailer results this season. bodes well for whs i think too

[bull....]

duke da man :t_up: results reflecting other retailer results this season. bodes well for whs i think too

[emearg]

I bought more in late Feb last year...just before the market tanked. I guess it just reinforces the old adage that "time in the market" is more important than "timing the market".

[macduffy]

Is the total annual dividend of 28.5c likely to be replicated in the next financial year as well?

Who knows? Probably not if the cash is needed for the rumoured "acquisitions".

[macduffy]

Is the total annual dividend of 28.5c likely to be replicated in the next financial year as well?

Who knows? Probably not if the cash is needed for the rumoured "acquisitions".

[Habits]

From March 17 2019, exactly 2 years ago

My biggest regret is not getting Kathmandu, says Briscoe's head | Stuff.co.nz
https://i.stuff.co.nz/business/111245854/my-biggest-regret-is-not-getting-kathmandu-says-briscoes-head

Does Rod still have that loving feeling for his old flame KMD. last offer was 5 brg for 9kmd plus 20c, valuing kmd at 180 each. Today he could probably buy the company for even less. We know that as the king of discount he loves a bargain.

"A couple of years ago, we attempted to buy Kathmandu. We ended up with 20 per cent, I would have loved 100 per cent but I am not in the habit of just paying a ridiculous price because someone thought it was worth it. But that said, I regret not getting Kathmandu"

Looking for something chunky that won't compete with his existing lines so maybe...

[Mr Slothbear]

From March 17 2019, exactly 2 years ago

My biggest regret is not getting Kathmandu, says Briscoe's head | Stuff.co.nz
https://i.stuff.co.nz/business/111245854/my-biggest-regret-is-not-getting-kathmandu-says-briscoes-head

Does Rod still have that loving feeling for his old flame KMD. last offer was 5 brg for 9kmd plus 20c, valuing kmd at 180 each. Today he could probably buy the company for even less. We know that as the king of discount he loves a bargain.

"A couple of years ago, we attempted to buy Kathmandu. We ended up with 20 per cent, I would have loved 100 per cent but I am not in the habit of just paying a ridiculous price because someone thought it was worth it. But that said, I regret not getting Kathmandu"

Looking for something chunky that won't compete with his existing lines so maybe...


yes see your line of thinking but IMO still think PBtech would be a much better / perfect buy for Briscoes. They even use the exact same sale / promotional activity, would be very chunky acquisition and fit perfectly

[Jay_]

Crazy to think how little it has moved with such good news... Me thinks BGP need to launch some artillery in acquisitions to 'spice things up' a bit...
Otherwise Mr.Market think BGP are boring ;)

[emearg]

Otherwise Mr.Market think BGP are boring ;)

15 year old thread but only 28 pages of comments. I think the market thinks Briscoes is boring. As a long term holder I don't really care...do you?

[CraftyBeer]

15 year old thread but only 28 pages of comments. I think the market thinks Briscoes is boring. As a long term holder I don't really care...do you?

Around a third of those 28 pages in the past 12 months - so perhaps less boring than it used to be? Retailing duvets and saucepans is not exactly the most exciting business to be in, but I'm certainly a happy holder for the divvie and the way the business is managed.

[bull....]

sales still booming , margins still strong

https://www.nzx.com/announcements/371818

[winner69]

sales still booming , margins still strong

https://www.nzx.com/announcements/371818

....typically Rod expresses caution about the future (less travel money being spent in his stores blah blah blah) but expects this year to be much better than last year

[Habits]

Shopper pulls knife on Christchurch store attendant over fake cash
https://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=12442452

Use just some of the juicy sales and margins to beef up security

[epower]

I have a question about the lease liabilities under the non current assets. Scrolling down to the notes, it says it's an obligation to pay.

I assume this means, just they are signed up for a 5 year lease and these are the remaining 4x years of lease payments to the landlord?

From a fundamental analysis point of view, should this be considered debt?

[winner69]

I have a question about the lease liabilities under the non current assets. Scrolling down to the notes, it says it's an obligation to pay.

I assume this means, just they are signed up for a 5 year lease and these are the remaining 4x years of lease payments to the landlord?

From a fundamental analysis point of view, should this be considered debt?

Not debt. You will note that there’s a thing called Right of Use Assets which is the other side of the liability

Leases still a big future liability though.

[epower]

Not debt. You will note that there’s a thing called Right of Use Assets which is the other side of the liability

Leases still a big future liability though.

Great thanks for explaining, see the right of use assets in the balance sheet too, appreciate you pointing that out

[dibble]

I have a question about the lease liabilities under the non current assets. Scrolling down to the notes, it says it's an obligation to pay.

I assume this means, just they are signed up for a 5 year lease and these are the remaining 4x years of lease payments to the landlord?

From a fundamental analysis point of view, should this be considered debt?

Lease and Debt quite different, both obligations but latter can usually be entirely called in given certain circumstances which can cause insolvency, a landlord usually cant do that with a lease. Terms vary but typically if you move out you can try to sub-let or at worst the obligation payments will be simply spread over contracted years as rent. Hence not accurate to bung it in with debt.

[JohnnyTheHorse]

Not even a peep on here about the AGM... must be one of those boring steady performers that just keep going up in price :)

From a technical perspective we are breaking out to all time highs with very healthy uptrends in tact.

https://www.nzx.com/announcements/372503

[Snow Leopard]

Not even a peep on here about the AGM... must be one of those boring steady performers that just keep going up in price :)

From a technical perspective we are breaking out to all time highs with very healthy uptrends in tact.

https://www.nzx.com/announcements/372503

AGM's are so boring these days and if you can not attend personally to eat the sandwiches afterwards they really are a non-event.

As for breaking out I much prefer to think of it as maintaining the uptrend :mellow:.

Disc: Happy holder and we once bought a pan from them.

[JohnnyTheHorse]

AGM's are so boring these days and if you can not attend personally to eat the sandwiches afterwards they really are a non-event.

As for breaking out I much prefer to think of it as maintaining the uptrend :mellow:.

Disc: Happy holder and we once bought a pan from them.

Breaking out of an ascending triangle pattern... a continuation pattern... so yes maintaining its uptrend.

[JohnnyTheHorse]

Blue sky breakout :t_up:. Some big buy orders appearing on market with sellers very thin.

[bull....]

duke da man

heres performance of retailers in order of best to worst YTD

KMD
WHS
BGP
MHI
HLG

[Rawz]

duke da man

heres performance of retailers in order of best to worst YTD

KMD
WHS
BGP
MHI
HLG

Will finish the year:

MHI
KMD
HLG
BGP
WHS

[winner69]

duke da man

heres performance of retailers in order of best to worst YTD

KMD
WHS
BGP
MHI
HLG

Retail good place to be in 2021

KMD 27%
WHS 24%
MHI 18%
BGP 12%
HLG 11%


Shame that poor old HLG is the laggard

But does KMD really deserve it's current price ...only time will tell

NOTE - changed HLG from previous post

[Beagle]

HLG finished 2020 @ $6.65 and at the time of posting is $7.37. Add the 23 cent fully imputed dividend paid in April and they're up 72 cents + 23 cents = 95 cents / $6.65 = 14.3%.
HLG is my preferred retail holding but I also have a sizeable stake in WHS.
Briscoes trading at 18 times last years earnings is not my cup of tea in terms of application of fresh capital at the current price, but well done to holders.

[winner69]

HLG finished 2020 @ $6.65 and at the time of posting is $7.37. Add the 23 cent fully imputed dividend paid in April and they're up 72 cents + 23 cents = 95 cents / $6.65 = 14.3%.
HLG is my preferred retail holding but I also have a sizeable stake in WHS.
Briscoes trading at 18 times last years earnings is not my cup of tea in terms of application of fresh capital at the current price, but well done to holders.

Thank you for correcting my bad

Still seems to be the laggard ....but betting on the laggards often best way to go - like the Dogs of the Dow

[JohnnyTheHorse]

Briscoes - A prime candidate for monthly consolidation.

Just a brief one. Briscoes has set a monthly higher low for 13 (going on 14... maybe) months in a row. We just broke resistance to all time highs, but immediately got shut down. We are in a rising wedge, indicating bulls can't get much follow through on resistance breaks. This all points to a strong likelihood of a healthy pullback on the monthly timeframe. Watch for a break of $5.60 & weekly 12EMA to confirm. Still strongly bullish down to around the monthly 12EMA ~$5.00.

Given a 'best in breed' status I wouldn't expect any monthly pullback to be too large, however do expect it to trend more or less sideways for quite a period.

12668

12669

[Eden]

duke da man

heres performance of retailers in order of best to worst YTD

KMD
WHS
BGP
MHI
HLG

Look at performance over past 52 weeks and the picture changes substantially.

MHJ 149%
HLG 113%
BGP 82%
WHS 67%
KMD 41%

Not sure who can really claim best-in-category over these relatively short periods but it's clear the category has been a good place to be.

[emearg]

Look at performance over past 52 weeks and the picture changes substantially.

MHJ 149%
HLG 113%
BGP 82%
WHS 67%
KMD 41%

Not sure who can really claim best-in-category over these relatively short periods but it's clear the category has been a good place to be.

Interesting. Just had a quick look at the two year picture and it looks like BGP outperforms them all. It didn't tank as hard with Covid so the 1 year recovery isn't as pronounced.

Do the others pay good dividends? I can't say I have reviewed them for many a year. Just a long term BGP holder.

But like you noted, retail stocks have performed pretty well over the last wee while all things considered.

[winner69]

Briscoes firing on all cylinders

Those figures and positive comments about improved margins and stock on to hand to get through the year should see share price go well over 6 bucks next week

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/BGP/376811/351655.pdf

[Beagle]

Very encouraging sales figures showing the retail sector is on fire.

[Snow Leopard]

Sales only up 18% on 2 years ago.

But Rod has plenty of stock to sell you: Go Shop.

[bull....]

duke da man :t_up: bodes well for my other darling too ... the warehouse.

love the margins are staying very high boosting huge profits so expecting big div from BGR and a huge div from WHS

[LaserEyeKiwi]

Sales only up 18% on 2 years ago.

But Rod has plenty of stock to sell you: Go Shop.

“Sales Only up 18%…”

tough crowd.

[nztx]

Monday start 600 looking towards the retail moon .. ;)

[emearg]

Monday start 600 looking towards the retail moon .. ;)

Amazing! These were $2.35 last March during the Corona Sale. Anyone who bought any then really did get a great deal. Mandy would be proud.

Personally I bought some more a few weeks earlier. Typical with Briscoes to be honest, you buy thinking you're getting a good price only to see an even better price a few weeks later. :p

[nztx]

Amazing! These were $2.35 last March during the Corona Sale. Anyone who bought any then really did get a great deal. Mandy would be proud.

Personally I bought some more a few weeks earlier. Typical with Briscoes to be honest, you buy thinking you're getting a good price only to see an even better price a few weeks later. :p


I bought my first parcel pre-Covid so were underwater for quite a few months coming out of the dip.
On the upwards path, I bought more averaging down to meet the rising SP this time last year
and the Red was quickly replaced by growing SP gain.

Certainly an amazing run & continuous SP improvement .. :)

BGR's dividend payouts in the interim must make it one that it's hard to not to like

But is it fully priced yet ? .. for further SP increase & lack of any real seasonal dip, the Market may be suggesting not ..

[Beagle]

duke da man :t_up: bodes well for my other darling too ... the warehouse.

love the margins are staying very high boosting huge profits so expecting big div from BGR and a HUGE div from WHS

Fixed that for ya ;)

Congrats to Briscoes holders.

[bull....]

new all time highs. see nick scali just reported as well saying sales and margins going gang busters in aus and NZ. duke da man :t_up:

whs offers best div yield though, quite unreal to think whs is providing a double digit div yield in this environment .....

[Snow Leopard]

The cream always rises to the top.

[emearg]

But is it fully priced yet ? .. for further SP increase & lack of any real seasonal dip, the Market may be suggesting not ..

Dunno, but unless they start running the businesses badly I see no reason to sell. Trying to time the market isn't my cup of tea(any more). Been holding this one for 20 years and have no complaints. It's been a good dividend payer all that time, and I see it as pretty safe given its lack of debt/considerable bank account and the guy at the top has the most to gain as well as lose.

[nztx]

Dunno, but unless they start running the businesses badly I see no reason to sell. Trying to time the market isn't my cup of tea(any more). Been holding this one for 20 years and have no complaints. It's been a good dividend payer all that time, and I see it as pretty safe given its lack of debt/considerable bank account and the guy at the top has the most to gain as well as lose.


yes - indeed Rod has a fair slice of the action & is a very good operator.

hard to not like BGP :)

[clown]

JD sports opening at Sylvia Park this month,

https://www.nzherald.co.nz/business/competition-coming-as-british-retail-giant-jd-sports-readies-first-auckland-store/UJAJTR2DRIRJ6EOU7A7BL3V3WQ/

Paywalled.

"It's another competitor, albeit they operate in a slightly different space. But we see them as a competitor and we'll be watching them carefully," said Rod Duke, managing director of Briscoe Group, which operates Rebel Sport.
Duke said there was enough space in the market for JD Sports but it will pose some competition to Rebel Sport.
"If we were all to operate in the exact same space there would not be enough space in the market," he said.

[winner69]

JD sports opening at Sylvia Park this month,

https://www.nzherald.co.nz/business/competition-coming-as-british-retail-giant-jd-sports-readies-first-auckland-store/UJAJTR2DRIRJ6EOU7A7BL3V3WQ/

Paywalled.

"It's another competitor, albeit they operate in a slightly different space. But we see them as a competitor and we'll be watching them carefully," said Rod Duke, managing director of Briscoe Group, which operates Rebel Sport.
Duke said there was enough space in the market for JD Sports but it will pose some competition to Rebel Sport.
"If we were all to operate in the exact same space there would not be enough space in the market," he said.

Love the lingo ‘experts’ / consultants use -



They deliver real retail theatre through immersive environments that include music, high energy salespeople, video and, in many stores overseas, conveyors that bring the shoes down from upper floor storage areas, Wilkinson said.

[clown]

I don't think this will have any impact on Rebel sports anytime soon. Out of all the sports stores I've visited, I seem to be drawn to those price busting deals that Rod puts out.

But hey, if customers are after that retail experience regardless of price, who am I to judge :D



Love the lingo ‘experts’ / consultants use -



They deliver real retail theatre through immersive environments that include music, high energy salespeople, video and, in many stores overseas, conveyors that bring the shoes down from upper floor storage areas, Wilkinson said.

[Snow Leopard]

Love the lingo ‘experts’ / consultants use -



They deliver real retail theatre through immersive environments that include music, high energy salespeople, video and, in many stores overseas, conveyors that bring the shoes down from upper floor storage areas, Wilkinson said.

Usuallly an attempt to hide the fact they have nothing worth saying.

It reminds me of a day eleven years ago - gosh was it that long ago? - when me, my boss & my boss''s boss had a meeting with some HR big wig and they rabbited on for....

[Wyoming]

Love the lingo ‘experts’ / consultants use -



They deliver real retail theatre through immersive environments that include music, high energy salespeople, video and, in many stores overseas, conveyors that bring the shoes down from upper floor storage areas, Wilkinson said.

Interesting especially "Music, high energy etc"
Just bought a handful of Briscoes and would have bought much more but didn't because of about 4 recent visits.
I admit as an ex retailer I am critical of many stores.
Briscoes and Rebel stores both well laid out, wide choice and staff able to direct where products were.
Only problem was the incessant loud music in both stores, exceptionally loud mindless crap which was loud enough to impinge on any discerning customers concentration on purchasing a product.
I have concerns on management that get basics so wrong. In the long run, turnover suffers. You want customers exposed to as much as your merchandise for as long as possible. The impulse buys are where a retailers real profit is.

[jg8512]

Interesting especially "Music, high energy etc"
Just bought a handful of Briscoes and would have bought much more but didn't because of about 4 recent visits.
I admit as an ex retailer I am critical of many stores.
Briscoes and Rebel stores both well laid out, wide choice and staff able to direct where products were.
Only problem was the incessant loud music in both stores, exceptionally loud mindless crap which was loud enough to impinge on any discerning customers concentration on purchasing a product.
I have concerns on management that get basics so wrong. In the long run, turnover suffers. You want customers exposed to as much as your merchandise for as long as possible. The impulse buys are where a retailers real profit is.

provocative post given BGP's outstanding retail track record in NZ!
in your opinion, which NZ retailers are better than Briscoes or Rebel.

[macduffy]

Only problem was the incessant loud music in both stores, exceptionally loud mindless crap which was loud enough to impinge on any discerning customers concentration on purchasing a product.

I wouldn't worry. Briscoes don't set out to attract the "discerning customer"!

Disc; Holding since the IPO.
:)

[nztx]

Amazing the amount of run BGP SP has, with likely more to come .. ;)

[emearg]

Amazing the amount of run BGP SP has, with likely more to come .. ;)

You were right in my opinion. What is even more amazing is how the stock has been performing the last few days given level four. It's currently trading at $6.41. Why?

[SCOTTY]

You were right in my opinion. What is even more amazing is how the stock has been performing the last few days given level four. It's currently trading at $6.41. Why?

Their strong and growing online business powered by eStar

[bull....]

NZ retail sales data yesterday was very strong



Actual
Forecast
Previous





3.3%
2.4%
2.8%





WELLINGTON, Aug. 24 (Xinhua) -- New Zealand's total retail sales volume rose 3.3 percent in the June 2021 quarter, following a 2.8-percent rise in the March 2021 quarter, the country's statistics department Stats NZ said on Tuesday.
"Most retail industries saw increases in spending, with rises across all regions," Stats NZ said.

http://www.xinhuanet.com/english/asiapacific/2021-08/24/c_1310144998.htm

[bull....]

mthly bollingers have it over $7 , will soon be worth more than HLG

[Muse]

mthly bollingers have it over $7 , will soon be worth more than HLG

BGR’s marketcap already ~3.5x Hallensteins.

[Rawz]

Half Year Review
Briscoe Group Limited (NZX/ASX code: BGP)
Highlights for the 26-week period – 1 February 2021 to 1 August 2021:
• Total sales $358.4 million, +22.58%
• Online sales as mix of total Group sales, 16.16%
• Gross profit $166.66 million, +35.20%
• Gross profit % 46.50% vs 42.16% last year
• Net profit after tax (NPAT) $47.46 million, +69.63%
• Benefits from strategic initiatives being realised
• Interim Dividend 11.50 cps increased from 9.00 cps last year

https://www.nzx.com/announcements/379098

BGR best retailer

[Muse]

Half Year Review
Briscoe Group Limited (NZX/ASX code: BGP)
Highlights for the 26-week period – 1 February 2021 to 1 August 2021:
• Total sales $358.4 million, +22.58%
• Online sales as mix of total Group sales, 16.16%
• Gross profit $166.66 million, +35.20%
• Gross profit % 46.50% vs 42.16% last year
• Net profit after tax (NPAT) $47.46 million, +69.63%
• Benefits from strategic initiatives being realised
• Interim Dividend 11.50 cps increased from 9.00 cps last year

https://www.nzx.com/announcements/379098

BGR best retailer

You got that right

[bull....]

duke da man , we said bgp will be higher share price than hlg and it nearly is

[nztx]

duke da man , we said bgp will be higher share price than hlg and it nearly is


Aha .. but HLG still to announce yet ;)

[winner69]

What's amazing is that Q2 sales were a lot stronger than Q1 SALES

Rod said comarison to 2 years ago is more meaningful than last year

Q1 Feb thru March were 15% higher than 2 years ago

BUT Q2 SALES WERE A STAGGERING 22% HIGHER THAN 2 YEARS AGO

Staggering - outperforming Warehouse by miles

[winner69]

Aha .. but HLG still to announce yet ;)

When HLG share price collapses on an average result it will be no race

[nztx]

When HLG share price collapses on an average result it will be no race

When or IF ? ;)

[bull....]

Aha .. but HLG still to announce yet ;)

yes ill get some tissue's for that when im next in the whs

[Waltzing]

HLG will get hammered in AUS for sure... and sometime into xmas it will be a BUY..

Surely balanced portfolios will have all of them.

[nztx]

yes ill get some tissue's for that when im next in the whs


Never under-estimate HLG's prowess in it's game sitting with a large stash ;)

coming forth out of lockdowns as we have seen Retail tends to prosper

[Rawz]

Retail the place to be invested.

[bull....]

Never under-estimate HLG's prowess in it's game sitting with a large stash ;)

coming forth out of lockdowns as we have seen Retail tends to prosper

you know most of the vocal ones on the hlg thread probably sold i guess , its so quiet now

[Waltzing]

Got to be an over 8 dollar stock.

[SCOTTY]

For a good article on Briscoes online developing business, go to:

www.estaronline.com - news - eStar launches Digital Picking

[nztx]

you know most of the vocal ones on the hlg thread probably sold i guess , its so quiet now


Did they ? .. may be a signal to buy while no-one is looking


It may run away like last year & like BGP now - faster than a rat taking off up a drainpipe .. ;)


Remember HLG lead the Retail charge 12 months ago just out of lockdown

[winner69]

Interesting chart

Online sales base now 50% higher than re covid - online going from 11% of total sales to 16%

[nztx]

BGR is certainly dishing up a fairly stellar set of results & performance

That Rod man is da man :)

[emearg]

Remember HLG lead the Retail charge 12 months ago just out of lockdown

Did they?

12964

[nztx]

Did they?

12964

Yep

HLG FY Results & Div Announcement 25 Sep 2020
BGP Interim announcement came later - 6 Oct 2020

underwater for some months with BGP on the climb out of Covid dip - remember it well :)

[winner69]

This is good stuff as well “increased the wage rates for our in-store hourly-paid team by 6.4% from May 2021”

Probably because minimum wage rate increased by 5.8% on April 1st and they just maintaining some relativity with that

[Rawz]

That’s a super pay rise!! Year on year raises like that and we will have a flood of inflation.

Or did BGP not give pay rises last year due to covid and this is catch up?

[winner69]

U
That’s a super pay rise!! Year on year raises like that and we will have a flood of inflation.

Or did BGP not give pay rises last year due to covid and this is catch up?

Good story though

Market and customers like good stories

[bull....]

happy staff = happy customers

[Waltzing]

Oh NO its still going up....

[bull....]

its worth more than HLG :scared:

[Greekwatchdog]

Bull thats just crap. They are at different spectrums of the Retail world. Hardly a real comparison.

[bull....]

Bull thats just crap. They are at different spectrums of the Retail world. Hardly a real comparison.

no BGR IS WAY BETTER THAN HLG

anyway lets celebrate the new highs



https://www.youtube.com/watch?v=4ulcJCAXC4U

[Waltzing]

its gone skyward in the last month ...new zealand must have gone shopping mad ...

[winner69]

Jeez BGP share price a lot higher than HLG share price

Wasn’t that long ago HLG was nearing $8.00 (ok &7.80 odd) and at the same time BGP was only $5.80

One down $0.70 while other up $1.50

Some turn around - HLG big loser ….probably reflects financial performance (to be confirmed soon)

[Waltzing]

W(n) to be fair one is being slammed in AUS compared to the local market coming back in a few weeks time in New Zealand unlike NSW. Auckland could probably go level 2.5 next week as far as business is concerned.

[emearg]

Can somebody please explain why comparisons between the BGP and HLG share prices are being made? A meaningful comparison between the two companies is their market capitalization but share price comparisons seems completely meaningless. What am I missing?

[winner69]

Can somebody please explain why comparisons between the BGP and HLG share prices are being made? A meaningful comparison between the two companies is their market capitalization but share price comparisons seems completely meaningless. What am I missing?

Fun and maybe meaningful for some to watch the relative movements in the share prices ….easy to see whose winning or losing

Look it not I hazard a guess the comparisons will continue for a while

[Waltzing]

Retail is Retail and that why the comparison as the investor is sector based not Company based. So far HLG has always been a volatile stock. The real interest is if MR B get his 7 dollars for WHS in the longer run.

[Habits]

Market close: Rod Duke newly minted billionaire as Briscoe Group shares reach new high
https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12472292

Well done Rod you done good. The next challenge is what to do with it. "What does it profit a man to gain the whole world..."

[ThaiJohn]

testing please ignore

[winner69]

He some guy that Rod

Businessdesk story

When Briscoe was listed in December 2001, it had an IPO value of just $210 million. This was slightly ahead of the market values of Michael Hill and Hallenstein Glasson at the time, but 90% below Stephen Tindall’s The Warehouse, which was worth $2.01 billion in late 2001.

Briscoe is now the most valuable NZX retailer, well ahead of The Warehouse, and of Kathmandu which listed in November 2009. Meanwhile, Hallenstein Glasson and Michael Hill are now a long way behind.

https://businessdesk.co.nz/article/opinion/rod-duke-and-the-best-ever-briscoes-sale
Prob oaywalled

[winner69]

Like the bit in that article above

Chairman been there for years andvthere’s no lawyers or accountants on the Board

Lawyers and accountants have no idea about retailing

[Snow Leopard]

Like the bit in that article above

Chairman been there for years andvthere’s no lawyers or accountants on the Board

Lawyers and accountants have no idea about retailing

Some would say that lawyers and accountants have no ideas about anything :p

[Snoopy]

Like the bit in that article above

Chairman been there for years and there’s no lawyers or accountants on the Board

Lawyers and accountants have no idea about retailing


It is funny, I went through a phase of voting against all lawyers and accountants on any board on which I was eligible to vote as a matter of principle. That isn't because I held a grudge against lawyers and accountants. It is because I thought there should have been more diversity of occupations across any board, and some of these company boards had only lawyers and accountants!

SNOOPY

[Beagle]

Briscoes forward PE if they make forecast is 18.3 Hmmm

[Waltzing]

not a high P/E thought in this market ? Not low and a lot higher than HLG ...

HLG hit hard for being in AUS.

Briscoes might be seen as the safer business and why a higher P/E.

[Beagle]

Its an interesting one. 18 times forward earnings is right at the very top end for Briscoes historically and for the retail sector.
Market is saying there is no risk of us yoyoing in and out of lockdown. How realistic is the market's assessment of that risk as far as Briscoes are concerned ? https://www.nzherald.co.nz/nz/covid-19-delta-outbreak-ministry-of-health-to-reveal-latest-case-numbers-good-news-for-locked-down-aucklanders/ALVAACRIDFVKQLAGEBAYTIEPKE/
On the other hand risk appears to be well and truly baked into all the other retailers.

[Rawz]

I have found Mr market can sometimes be an incoherent, drunk monkey at times

[JohnnyTheHorse]

At this level I am out. Great company (best of breed) however I can't justify the PE it's trading on vs sector peers.

[winner69]

Briscoe more highly rated than HLG at the moment because Briscoes not seen as a cyclical stock.

Cyclicals have low PE ratios at the top of the cycle and high PEs at the bottom ....

HLG relative low (perceived) PE at moment as its at a cyclical high

Market not having an incoherent drunk monkey moment - all rationale

[winner69]

At this level I am out. Great company (best of breed) however I can't justify the PE it's trading on vs sector peers.

PE ratios have a degree of relativity with in a sector

Be a boring world if there was a rule that all retail stocks shall have the same PE multiple

‘Best of breed’ seem to get rated highly …..RYM, MFT etc etc

[Beagle]

PE ratios have a degree of relativity with in a sector

Be a boring world if there was a rule that all retail stocks shall have the same PE multiple

‘Best of breed’ seem to get rated highly …..RYM, MFT etc etc

Yeah that's fair to a point but then sometimes a best of breed stock gets priced so high for perfection relative to its peers it badly underperforms for years afterwards...RYM a perfect example of that in recent years.

[emearg]

When Briscoe was listed in December 2001, it had an IPO value of just $210 million. This was slightly ahead of the market values of Michael Hill and Hallenstein Glasson at the time, but 90% below Stephen Tindall’s The Warehouse, which was worth $2.01 billion in late 2001.

WHS cap is now 1.3 billion. So it has reduced by 700 million which appears on the surface of it to be a rather bad thing. Is there other factors that mean it is not as clear cut as this? Maybe a return of capital to shareholders or ??? Rather a newbie question I know but all insights are appreciated.

[nztx]

WHS cap is now 1.3 billion. So it has reduced by 700 million which appears on the surface of it to be a rather bad thing. Is there other factors that mean it is not as clear cut as this? Maybe a return of capital to shareholders or ??? Rather a newbie question I know but all insights are appreciated.


How much of the reduction is due to Foodstuff's exit & rapid sell-down from the WHS Register ?

Things were ticking along quite nicely until that happened

How much possibly due to the other large Competitors from across the ditch & US potentially
approaching within firing range of the local retail turf ? ;)

[Rawz]

When did the supermarkets pay stupid money for 10% blocking stakes? Could be that.

[winner69]

WHS cap is now 1.3 billion. So it has reduced by 700 million which appears on the surface of it to be a rather bad thing. Is there other factors that mean it is not as clear cut as this? Maybe a return of capital to shareholders or ??? Rather a newbie question I know but all insights are appreciated.

No return of capital to shareholders - even raised over 100m to go into financial services

When Briscoe listed WHS share price over $7

Decline has come about from years and years of disappointing performance / failed acquisitions etc etc etc .... a dog of a company and the share price reflected that --- thus the decline in market cap.

The Foodstuffs / Progressive share purchases were to block WHS entry into groceries and potential takeovers.

Just as well all that's changed and this time it is truly different

[nztx]

When did the supermarkets pay stupid money for 10% blocking stakes? Could be that.

Was it stupid money at the time they jumped in ?

Possibly not - it may be just looks that way on values at end of their little ride ..

[nztx]

No return of capital to shareholders - even raised over 100m to go into financial services

When Briscoe listed WHS share price over $7

Decline has come about from years and years of disappointing performance / failed acquisitions etc etc etc .... a dog of a company and the share price reflected that --- thus the decline in market cap.

The Foodstuffs / Progressive share purchases were to block WHS entry into groceries and potential takeovers.

Just as well all that's changed and this time it is truly different


I'm listening to my favourite resident Dogs & Winners on this one ;)

[Rawz]

How much did BGR tip into KMD? Bit of a fail. Double fail not participating in KMD equity raise at $0.50 covid low.

Guess WHS fails way worse.

[nztx]

How much did BGR tip into KMD? Bit of a fail. Double fail not participating in KMD equity raise at $0.50 covid low.

Guess WHS fails way worse.

Only the initial ingoing Investment I believe plus one further investment, and they didn't take up the KMD CAP Raise entitlement last year

At a guess in bottom of the Covid dip last April, I estimated $100m revaluation write down guestimate on previously revalued
holding, which has reversed since and looks like the opposite (a surplus) now on fair valuing the holding from BGP's view ..


Note 4.1 - BGP Jan 2020 FY Financial Statements:



4.1 Investment in Equity Securities

During 2015 and 2018 Briscoe Group Limited acquired a total of 42,673,302 shares in Kathmandu Holdings Limited
(Kathmandu) for a cost of $74,250,932.

In October 2019, as part of the capital raising programmes initiated by Kathmandu in
relation to their acquisition of the Rip Curl business, Briscoe Group Limited acquired a further 5,334,163 shares for a cost of
$13,602,116.

This increased holding represented a 16.27% ownership in Kathmandu Holdings Limited as at 26 January 2020.

These shares are equity investments, quoted in the active market, which the Group has elected to designate as a financial asset
at fair value through other comprehensive income (FVOCI). An adjustment was made at period end to reflect the fair value of
these shares as at 26 January 2020 (Note 1)


1. Fair value determined to be $3.21 per share as per NZX closing price of Kathmandu Holdings Limited as at 24 January 2020 (2019: $2.39) (Level 1 in the fair value hierarchy)..

[Rawz]

Briscoes best retailer because of;

1) watch margins
2) watch market share

No reinventing the wheel. No big acquisitions. No expanding in Aussie. Very simple. Rewarded with consistent eps growth and therefore highest p/e of all the retailers.

[winner69]

Whoever Stockfox are they have. SELL, TAKE PROFITS on BGP

Beagle might be their advisor …priced for perfection he said of BGP

[bull....]

wow briscoes goes ex div and rallies , that what happens folks when your the number 1 retail stock to own on the nzx

[macduffy]

wow briscoes goes ex div and rallies , that what happens folks when your the number 1 retail stock to own on the nzx

And here I am, tempted to sell my small parcel, held since IPO, because the magical $7 was hit - but I knew I'd probably never be able to buy them back at that price!
:cool:

[Waltzing]

well on that basis where do the stats put MHJ.. lowest P/E of all. Yes its only some brightly shining stones but. Bris will go on and build from here. Only thing holding it back is freight from China. Lock downs to go on for a while another month at this rate. Its starting to leaking out a bit.

[emearg]

Nice dividend being paid soon. And another one in six months. And six months after that.

Been a pretty good payer for the 20 years I have owned her. Will it go higher? Will it drop? I gave up trying to time the market years ago...my ability to predict the future was as rubbish as the best of em. The only thing I am certain of is Rod will keep doing what Rod does very well and all will be well. If he eventually retires I will rethink my position.

I'm probably logged into the wrong site. I should be on Shareholder. But it would be very dull...sweet all would happen on it.

[bull....]

Briscoes boss: Level 3 busier this year than last

https://www.stuff.co.nz/business/126489167/briscoes-boss-level-3-busier-this-year-than-last

[CraftyBeer]

Briscoes boss: Level 3 busier this year than last

https://www.stuff.co.nz/business/126489167/briscoes-boss-level-3-busier-this-year-than-last


They seem to have been organised with their stock levels and anticipated this, but going better than they thought. I bought something online from Briscoes during lockdown - I dealt with a couple of people at my local store on the phone and they were just excellent. When I went to pick up the item from the store the person was also really good to deal with. In the past I thought their in-store customer service was a bit pedestrian (at both Briscoes and more especially at Rebel) but they seem to have put some effort into training or hiring the right staff at Briscoes at least, and it really showed during my last retail experience.

[SCOTTY]

I often buy online through Briscoes and pay the extra $5 (no matter the size of the order) for delivery. Can’t beat that as it would be a 2 hour drive plus my time and the hassle :)

[Dlownz]

I often buy online through Briscoes and pay the extra $5 (no matter the size of the order) for delivery. Can’t beat that as it would be a 2 hour drive plus my time and the hassle :)
Have they got a sale on this weekend 😂😂
But seriously they shouldn't be able to keep saying they are on sale basically if its not over 50% off your over paying

[Greekwatchdog]

Every day is sale day and don't forget Rebels 15%off. Geez maybe the Govt and Commerce Commission should do a check on the BGR Groups pricing.

[Waltzing]

good interim report out showing just how focused they are on on line logistics and plenty of stock held for xmas already.

[Muse]

Dividend landed to the Moose’s bank account. Always a happy day

[nztx]

bit of an uptick in recent days

possibly a bit of 'Oh Corona - have to live with it' - still need to get on with retail regardless ;)

[percy]

“The Group’s online performance has again been instrumental in minimising the potential
impact of these latest lockdowns. Online sales produced growth of 98% for the 3rd quarter and
represented 38% of all sales. We managed to maintain an incredibly high standard of service
despite the huge increase in online demand."
38% of all sales...Incredible...............Interesting noting Estar driving BGP's online platform.

[Sideshow Bob]

No doubt loving the higher dollar too....

[winner69]

BusinessDesk says

Briscoe Group managing director Rod Duke said the rebound once his Auckland stores reopen may be even greater than last year's unprecedented post-lockdown boom.

"We think it may actually be even greater, given that we're now very, very close to Christmas and Black Friday," Duke told BusinessDesk.

Black Friday, scheduled this year for Nov 26, sales are typically the largest day of the year, he said.

Briscoe will run its Black Friday promotion over three days, starting on the Friday, and expects it to be the biggest three days' worth of sales for the year.

Duke said his company is carrying about 20% more stock than last year to combat the logistics problems caused by covid "so our stock position is very, very good".

[Sideshow Bob]

They might even have a sale to celebrate......:cool:

[sb9]

He's a smart operator that Rod Duke guy..

[sb9]

These guys should benefit huge from Retail opening from tomorrow in Akl along with upcoming Xmas and summer period.

[bull....]

These guys should benefit huge from Retail opening from tomorrow in Akl along with upcoming Xmas and summer period.

yep duke saying

It won't be like any other Wednesday we've ever experienced' - Briscoes boss says as Auckland retailers reopen

https://www.stuff.co.nz/business/126931064/it-wont-be-like-any-other-wednesday-weve-ever-experienced--briscoes-boss-says-as-auckland-retailers-reopen

[Sideshow Bob]

If I'd been in lockdown forever and finally got to go to the shops, then the first place I'd go wouldn't be Briscoes. :scared:

Each to their own........

[macduffy]

If I'd been in lockdown forever and finally got to go to the shops, then the first place I'd go wouldn't be Briscoes. :scared:

Each to their own........

Depends how desparately you need that new frying pan - or whatever.

[sb9]

Looks like breakout to $7 is on the cards...

[CraftyBeer]

pb tech would be a great buy , opp to expand all thru NZ to fill the gap left by dick smith

Did anything ever come of BGP talking aobut acquiring another business? Either I missed something - or nothing.

[bull....]

Did anything ever come of BGP talking aobut acquiring another business? Either I missed something - or nothing.

we wait with baited breath for next year , isnt that saying the longer it takes the bigger it is

[LaserEyeKiwi]

Did anything ever come of BGP talking aobut acquiring another business? Either I missed something - or nothing.

Both Warehouse & Briscoes hungry for a big acquisition - good time to be a retail operator with a possibility of two big fish hungry to acquire you.

Fascinating to me at least to consider what sort of business both of these firms might be looking into acquiring, and whether they are biding their time pending the outcome of the commerce commission review of the Supermarket Duopoly. If ComCom decides the big two need to divest and/or allow others to access their supply chain, then that would be a big opening for many large players.

[DazRaz]

Fascinating to me at least to consider what sort of business both of these firms might be looking into acquiring, and whether they are biding their time pending the outcome of the commerce commission review of the Supermarket Duopoly. If ComCom decides the big two need to divest and/or allow others to access their supply chain, then that would be a big opening for many large players.

Likely to be a disaster move for them to get into the supermarket game. Low margin with a logistics nightmare. The is a reason why Aldi hasn't started here.

[LaserEyeKiwi]

Likely to be a disaster move for them to get into the supermarket game. Low margin with a logistics nightmare. The is a reason why Aldi hasn't started here.

Woolworths (who countdown are a part of) has 30% gross margins. The reason Aldi hasn’t entered NZ is due to the exact reasons the ComCom are doing their review of Countdwon and Foodstuffs: Anti-competitive behavior by a duopoly. Aldi cant open here because any of NZs food suppliers that currently supply Countdown and/or Foodstuffs have been repeatedly threatened with bad outcomes if they dare to trade with a new entrant.

[winner69]

Woolworths (who countdown are a part of) has 30% gross margins. The reason Aldi hasn’t entered NZ is due to the exact reasons the ComCom are doing their review of Countdwon and Foodstuffs: Anti-competitive behavior by a duopoly. Aldi cant open here because any of NZs food suppliers that currently supply Countdown and/or Foodstuffs have been repeatedly threatened with bad outcomes if they dare to trade with a new entrant.


Woolworth NZ GM is 25% of sales - with distribution and store costs etc being 21% of sales it has to be relatively high eh

[DazRaz]

Woolworths (who countdown are a part of) has 30% gross margins. The reason Aldi hasn’t entered NZ is due to the exact reasons the ComCom are doing their review of Countdwon and Foodstuffs: Anti-competitive behavior by a duopoly. Aldi cant open here because any of NZs food suppliers that currently supply Countdown and/or Foodstuffs have been repeatedly threatened with bad outcomes if they dare to trade with a new entrant.

Not likely. Aldi know they can't do it with the low margins. The inquiry has mis calculated the margins. Think of here in the South Island with the distances, roads and volume. How does another player make it work? And then expect it will make it cheaper for consumers and pay suppliers more. How will that work? Still this government doesn't want to listen and will push on regardless.

Still, Costco is coming and that will hurt a few different companies.

[nztx]

Both Warehouse & Briscoes hungry for a big acquisition - good time to be a retail operator with a possibility of two big fish hungry to acquire you.

Fascinating to me at least to consider what sort of business both of these firms might be looking into acquiring, and whether they are biding their time pending the outcome of the commerce commission review of the Supermarket Duopoly. If ComCom decides the big two need to divest and/or allow others to access their supply chain, then that would be a big opening for many large players.

Is it ?

At least Two big hungry overseas fish swimming close in looking to secure spots & take a large bite out of Kiwi retail isn't there ? ;)

how might that affect the larger Kiwi Fish ? :)

[bull....]

boxing day sales should be massive , have the inside word there be a 50 - 60% of sale

[Rawz]

boxing day sales should be massive , have the inside word there be a 50 - 60% of sale
So just the same as usual then lol 😂

[Waltzing]

NO doubt everyone is eagerly checking out the box day numbers ..the fearless KIWI shopper..

https://www.nzherald.co.nz/nz/boxing-day-blitz-kiwis-spend-almost-100-million-in-sales/ZI54GSH7YWIPNH2657V3INHSDQ/

[winner69]

NO doubt everyone is eagerly checking out the box day numbers ..the fearless KIWI shopper..

https://www.nzherald.co.nz/nz/boxing-day-blitz-kiwis-spend-almost-100-million-in-sales/ZI54GSH7YWIPNH2657V3INHSDQ/



Using words like 'blitz' and 'whopping' the commentators and journos have made out this is fantastic news ....but there are words like 'decline' and 'down' and 'drop down' etc

But no worrries ..... let's believe it's all hunky dory and the retail juggernaught continues to speed down the freeway

[Waltzing]

yes and now peek days not one day.. but the comments at S Park in TV 1 last night was the shoppers says we are not going to stay locked up.

they are going to go out into the great southern summer.

its a positive attitude to life even in difficult times.

[winner69]

Briscoes share price up quite a lot since WHS saying sales have been pretty poor

Punters maybe assuming that Briscoes have taken a lot of business away from the Red Sheds and T7

[winner69]

Rod said when announcing half year full year profit going to be above prior year $73m and up to $85. He repeated this in November after Q3 sales release.

So assuming still on track H222 profit will be between $26m and $37m

That will be 43% to 43% less than H221 ..... the same time frame as WHS H122 and their profit going to be 60% down in same period

Rod done a good job signalling how tough those six months are going to be without spooking the market .... I think so

If Briscoes come in a way below below that $73m Rod be slaughtered

[Rawz]

Rod said when announcing half year full year profit going to be above prior year $73m and up to $85. He repeated this in November after Q3 sales release.

So assuming still on track H222 profit will be between $26m and $37m

That will be 43% to 43% less than H221 ..... the same time frame as WHS H122 and their profit going to be 60% down in same period

Rod done a good job signalling how tough those six months are going to be without spooking the market .... I think so

If Briscoes come in a way below below that $73m Rod be slaughtered

Genuine question.. how is it that MHJ is the only NZX retailer increasing HY profits? BRG, HLG, WHS all way down.. ?

[Muse]

Genuine question.. how is it that MHJ is the only NZX retailer increasing HY profits? BRG, HLG, WHS all way down.. ?

I'm not sure thats the full picture. Briscoes runs a 31 January year end - so their 2022 financial year will be coming to a close very soon. Briscoes provide quarterly updates, so the half year is known (1HFY22 up), and Q3FY22 not surprising down on FY21, and thus 2hFY22 not yet known or completed (but we can safely assume it will be down). Regardless of half year performance, briscoes did provide full year guidance that FY22 would be up on FY21's full year (record) NPAT of 73.2m, and be as high as $85m. As far as I can tell, forsyth barr are the only broker still actively covering BGP (both jarden & macquarie have in the past). Forbar were initially forecast FY22 NPAT of $96.6m immediately prior to lockdowns and haven't yet updated (awaiting the full year results) but the analyst did comment that while it would be highly unlikely briscoes would meet forbars forecast they expected it would still exceed the upper end of their guidance. Duke has been pretty bullish (when has he not) on trading so lets just assume $85m NPAT - that's 16% year on year growth in npat - pretty impressive, and aside from MHJ probably the only nz retailer to do so (the warehouse and hallenstein glassons certainly will have declining profits year on year).

Specific to MHJ - people forget what absolutely dire financial circumstances they were in. FY20 their normalised npat was only $9m, declining revenue with compressing margins, high working capital and terrible return on funds employed, had debt and net debt equivalents in the form of employee liabilities they had to square up (long story). The turn around they executed came at the right time, catching the wind, increasing margins, fixing up its balance sheet etc. So the returns have been geometric rather than just arithmetic like for most retailers. You gotta love these turn arounds - STU included - that come at the right time.

[Muse]

Briscoes have done an outstanding job of improving their business the last few years - regardless of the boom in retail spend. They got KPMG on board years ago to undertake a massive piece of work on their procurement strategy that is showing its value with impressive improvements in gross profit margins. Lots of good work refining their promotional activity, improving stock sourcing, growing margins, refitting the existing store network and steady growth in expanding the footprint. Came at the right time with the boom in retail sales. Gotta love the 100% fully imputed dividends.

I'm an admirer of HLG but as am overweight in briscoes never invested. A comment on the former thread got me thinking what my performance might have been had I split positions or invested into HLG instead. The answer was a laydown for briscoes - my return would have been half of what I have gotten in briscoes. Of course it depends on when you invested, but for the vast majority of investors at varying investment timeframes, briscoes has been a superior investment than HLG. I used sharesight to calculate the returns (including net cash dividends), and wasn't selective in choosing the dates, I ran the test for each date available in Sharesights share checker drop down menu. Haven't bothered to add MHJ (as we know it would be tops for the last year or so but pretty bad all other periods) or WHS (similar if less pronounced to MHJ).


13389


13389

Beagle thinks BGR is more expensive than HLG, which I don't agree with. Assuming last fridays close price (as did this over the weekend), using briscoes 85m for NPAT and adjusting for its $72m stake in KMD gets you to a PE of about 16.77x. Not cheap. Its a bit harder to calculate HLG as they don't provide any guidance (just up or down), we know their current FY22 year will be down. As a proxy I assume 20% down YOY - could be a lot more, or a little less. It gets you to the same answer.

note the spreadsheet snapshot a little messy - i was intending to do EV/EBITDA and EV/EBIT multiples but couldn't be bothered so just focused on good ol PE. For briscoes I looked at it net of its KMD stake which - IE briscoes marketcap less the spot price value of its KMD stake. Briscoes will likely have rec'd ~$2m in dividends from KMD so that should be adjusted out of Briscoes npat if you are trying to find a true PE ex KMD (too lazy to fix it up) - let's just say I assume briscoes will do $87m npat, less the 2m, so 85 :)

[Mr Slothbear]

Agreed fiordland moose.

i have held since 2015 and have been very happy with them and have repeatedly increased holding since then


there have been times it has looked expensive but when you look at EV to include the often strong warchest and KMD holding its often much cheaper than it appears.

there are very few companies in this country in such capable, experienced hands
where the incentives are aligned with shareholders and we can see the results

not once for a second have I doubted return of capital or earnings stability and absolutely no returns were sacrificed for peace of mind, you get both.

[bull....]

Briscoes have done an outstanding job of improving their business the last few years - regardless of the boom in retail spend. They got KPMG on board years ago to undertake a massive piece of work on their procurement strategy that is showing its value with impressive improvements in gross profit margins. Lots of good work refining their promotional activity, improving stock sourcing, growing margins, refitting the existing store network and steady growth in expanding the footprint. Came at the right time with the boom in retail sales. Gotta love the 100% fully imputed dividends.

I'm an admirer of HLG but as am overweight in briscoes never invested. A comment on the former thread got me thinking what my performance might have been had I split positions or invested into HLG instead. The answer was a laydown for briscoes - my return would have been half of what I have gotten in briscoes. Of course it depends on when you invested, but for the vast majority of investors at varying investment timeframes, briscoes has been a superior investment than HLG. I used sharesight to calculate the returns (including net cash dividends), and wasn't selective in choosing the dates, I ran the test for each date available in Sharesights share checker drop down menu. Haven't bothered to add MHJ (as we know it would be tops for the last year or so but pretty bad all other periods) or WHS (similar if less pronounced to MHJ).




13389

Beagle thinks BGR is more expensive than HLG, which I don't agree with. Assuming last fridays close price (as did this over the weekend), using briscoes 85m for NPAT and adjusting for its $72m stake in KMD gets you to a PE of about 16.77x. Not cheap. Its a bit harder to calculate HLG as they don't provide any guidance (just up or down), we know their current FY22 year will be down. As a proxy I assume 20% down YOY - could be a lot more, or a little less. It gets you to the same answer.

note the spreadsheet snapshot a little messy - i was intending to do EV/EBITDA and EV/EBIT multiples but couldn't be bothered so just focused on good ol PE. For briscoes I looked at it net of its KMD stake which - IE briscoes marketcap less the spot price value of its KMD stake. Briscoes will likely have rec'd ~$2m in dividends from KMD so that should be adjusted out of Briscoes npat if you are trying to find a true PE ex KMD (too lazy to fix it up) - let's just say I assume briscoes will do $87m npat, less the 2m, so 85 :)

nice post , was always in your camp about briscoes being better than hlg as an investment

[winner69]

Yesterday saw Briscoes share price was 10% off its recent high --- correction territory they say

Good to see it recovering today ...heading back to 7 bucks plus

[Waltzing]

not much of a day in the end for most retail... Boo..dont panic ...yet.

[Muse]

Yesterday saw Briscoes share price was 10% off its recent high --- correction territory they say

Good to see it recovering today ...heading back to 7 bucks plus

ended flat, a relative outperformance.
Nothing much will happen until announcement a early february when BGR announce 4th quarter sales/margins & pre release FY22 figures. It will be a fine result, strong growth on the prior year, expansion in margins, big cash balance, and big dividend.
devil will be in the guidance, if they give any.

I can't see a scenario where briscoes can escape the impact from rising interest interest rates (medium long term worry) & omni blues (short term worry).

Ironically - KMD, and specifically the KMD brand not ripcurl, may have the most specific upside as adventure tourism is highly linked to international travel. So that could actually disproprotionately benefit when international tourism opens up, at least in the first year or two, over and above other headwinds. But it also reflects why KMD has been stuck in such a rut compared to other retail. At least the ripcurl acquisition has been kind to them.

My biggest gripe about briscoes was they didn't take up their pro rata during KMDs rights issue, but I suppose at the time it was every man for himself.

[winner69]

I reckon Q422 sales will down quite on lot on pcp - Q421 was a real bonanza one and unlikely to be repeated. After Q3 sales being down 14% on pcp H2 sales looking pretty dismal - but in saying that just reverting to long term trend

Rod never disappoints so if he says F22 profit going to be $85m plus it will be that - up from $73m pcp .... though Rod did say somewhere between $73m and $85m .... don't think market would like $74m though.


That should keep punters happy

[Muse]

I reckon Q422 sales will down quite on lot on pcp - Q421 was a real bonanza one and unlikely to be repeated. After Q3 sales being down 14% on pcp H2 sales looking pretty dismal - but in saying that just reverting to long term trend

Rod never disappoints so if he says F22 profit going to be $85m plus it will be that - up from $73m pcp .... though Rod did say somewhere between $73m and $85m .... don't think market would like $74m though.


That should keep punters happy

Yeah i just meant f22 would be up. 2h will be well down.

[Waltzing]

surely if the market sells off Winner its one of the few NZ retail that is a BUY.

looking forward out to 31 march 2023.

NZ eco likely to cruise out to there on GDP brought forward.

[winner69]

Rod says NPAT to be between last years 73m and 85m

About this time last year BGR share price hung around the 570 mark ....NPAT 73m remember

Methinks the market is assuming that that this year will be about the 73m .... and nowhere near the touted $85m

As such the share price heading to 570 (maybe 580) - a price that reflects actual performance

Even then at 570 the of about 17 - and so could go lower .....maybe the market love affair with Rod is coming to an end

[Muse]

Rod says NPAT to be between last years 73m and 85m

About this time last year BGR share price hung around the 570 mark ....NPAT 73m remember

Methinks the market is assuming that that this year will be about the 73m .... and nowhere near the touted $85m

As such the share price heading to 570 (maybe 580) - a price that reflects actual performance

Even then at 570 the of about 17 - and so could go lower .....maybe the market love affair with Rod is coming to an end

Only a few weeks before we get a pre release. time will tell on the NPAT figure. Briscoes has been squeezing margins well, the company had excellent stock coverage. My bet briscoes will be closer to 85 than to 73.

But I think that figure is largely irrelevant - how can it not be a high watermark for several years with cost inflation and interest rate rises eating away at demand. Omni blues too when it spreads, but wonder if that impact will be as bad as the lockdowns over the year just been.

So we all will be in search of a new set of near term or maintainable NPATs to value off of. FY22 npat will be critical for one last juicy dividend.

All retail is in for headwinds and not 30 cents worth.

[winner69]

Jeez …Briscoes share price got smashed the last couple of days

Closed 600 …that’s 17% down from recent highs

500 is 50% Fibonacci retracement level (covid lows to high) …..is 500 possible ….maybe that’s the Easter special

[Beagle]

Rod says NPAT to be between last years 73m and 85m

About this time last year BGR share price hung around the 570 mark ....NPAT 73m remember

Methinks the market is assuming that that this year will be about the 73m .... and nowhere near the touted $85m

As such the share price heading to 570 (maybe 580) - a price that reflects actual performance

Even then at 570 the of about 17 - and so could go lower .....maybe the market love affair with Rod is coming to an end

PE of 17 on the back of a very strong first half seems expensive to me. Its not like anyone is realistically expecting that strong first half to repeat next year is it !

Maybe you get your Easter special ?

[Waltzing]

Another lift Div surely.

[winner69]

Sellers seem reluctant to sell sub-600 but finding the buyers aren't playing the game way

Low 590s now ...low volumev...but indicative

[Waltzing]

winner its always low Vol to No Vol on this stock..

all NZ retail has been sold off.

La Mer of gloom and doom..

sky's falling ...

no doubt a lot of small business may not make it through if its months of no one going out. But the listed retailers are suppliers of stay at home goodies..

You moved the market Winner!!! was hoping for a complete collapse ... maybe the SHAZ are buying the DIPS!

[winner69]

Share price ended up …close 611 as bargain hunters came out?

Panic over

Might be back to 7 bucks soon

[Waltzing]

"Might be back to 7 bucks soon"

Ok!

[nztx]

"Might be back to 7 bucks soon"

Ok!


No .. I haven't decided to start buying again :)

[winner69]

No .. I haven't decided to start buying again :)

What price will get in

[Waltzing]

5.30 but it might be a case of unless something really big hits the market wont see it.

[nztx]

What price will get in


Shave another at least $1 off and I start looking ;)

Why - other retailers move earlier & in past have shown more rewarding :)

More normalised trading coming through is yet to show in retail results as well
and may not be at past levels, with economic factors now present

I see economic storm clouds still on the horizon :)

[Waltzing]

Almost have to write off the next 6 months and batten down the hatches. Focus on the backend stats databases and remember the streets will be empty but you can buy on line...

Are they back stocking up at BRISC for the winter?

[winner69]

Rod went big (huge(on the currency hedging last year (the paper says 'aggressively' buying') - says sometimes the bankers are right withtheir guesses but this time they were right

Declining NZD no worries for Rod for a while .... reading between the lines he'll keep prices down .... but no dout some will go into better margins

[nztx]

Rod went big (huge(on the currency hedging last year (the paper says 'aggressively' buying') - says sometimes the bankers are right withtheir guesses but this time they were right

Declining NZD no worries for Rod for a while .... reading between the lines he'll keep prices down .... but no dout some will go into better margins


How about the season following the one that coverage was for ?;)

[Waltzing]

well everyone will be boosted soon... nothing to worry about... its all been a big panic... aaaarh storm in a tea cup...2 sugars and you will all feel fine... big rally in stocks today after the boosted news...

get in quick and buy those retail stocks...unless you think inflation is coming... or is already here... statistics are they even real?

does your average HLG buyer even own a car ? or know what inflation is? or do they just all borrow someone else jalopy...

[nztx]

well everyone will be boosted soon... nothing to worry about... its all been a big panic... aaaarh storm in a tea cup...2 sugars and you will all feel fine... big rally in stocks today after the boosted news...

get in quick and buy those retail stocks...unless you think inflation is coming... or is already here... statistics are they even real?


as real as the Govt's Official Unemployment figures - get the idea ? ;)

[Waltzing]

"its a jerry maguire market"

show us the money BRIS....

a free market runs by itself with an automated banking retail system.

Once the shopper feels boosted and survives their trip to the super market and Brisc it should be off to the races bar a high admission price (petrol).

On Line is where the shopper will spend more time before click and collect or making a dash to the pick up.

Please lets not even mention that there is an elephant in the room.

Its gone well past the point of a joke.

[bull....]

duke does it again ... record profit

[winner69]

I apologise to Rod and will eat humble pie saying that his forecast of $85m was a bit stretched

Its going to be $87m - well done Rod

All that recent sell off in vain

[Muse]

I apologise to Rod and will eat humble pie saying that his forecast of $85m was a bit stretched

Its going to be $87m - well done Rod

All that recent sell off in vain

All good w69



- IE briscoes marketcap less the spot price value of its KMD stake. Briscoes will likely have rec'd ~$2m in dividends from KMD so that should be adjusted out of Briscoes npat if you are trying to find a true PE ex KMD (too lazy to fix it up) - let's just say I assume briscoes will do $87m npat, less the 2m, so 85 :)

hey I even called $87m exactly - bot bad eh

[DazRaz]

They have increased the dividend 8 years out of the last 10 and on a chart it looks great. My biggest holding and happy to hold for longer.

https://docs.google.com/spreadsheets/d/e/2PACX-1vRatWVC7UO0qSPJzSp3ZRAZ6tiVono1rrgF_3vEAOE9sKdM8d FkfAkDLsHqxbi4OvLDZKGzjrmRXzN7/pubchart?oid=1526757802&format=image

[Muse]

They have increased the dividend 8 years out of the last 10 and on a chart it looks great. My biggest holding and happy to hold for longer.

well deraz we are going to get another nice fat dividend in march. happy days.

[Rawz]

what an amazing company

[winner69]

Chart below shows why I got the idea that Briscoes npat wouldn't get to $85m. There was some rationale as to saying that - can't be right all the time

I assumed that the sales line would revert back closer to the pre-covid trend (like other NZ retailers). But they didn't and my sales forecast was about $25m out.

The real story behind the chart is that Briscoes have come out post lock downs etc sales wise (and thus profit wise) in a better state than prior to covid. It's looking like many retailers NZ sales have seen their sales revert back to pre-covid trend (or even below)

Concusion - Briscoes killing the competition

[Muse]

Chart below shows why I got the idea that Briscoes npat wouldn't get to $85m. There was some rationale as to saying that - can't be right all the time

I assumed that the sales line would revert back closer to the pre-covid trend (like other NZ retailers). But they didn't and my sales forecast was about $25m out.

The real story behind the chart is that Briscoes have come out post lock downs etc sales wise (and thus profit wise) in a better state than prior to covid. It's looking like many retailers NZ sales have seen their sales revert back to pre-covid trend (or even below)

Concusion - Briscoes killing the competition


the work they did in having the right stock at the right time was clearly key and I cant over emphasise how important the work they have done on this and in expanding their margins. These are such fine details but reflect the operational excellence that resides within the company.

[Mr Slothbear]

“Rod Duke said, "Having reached the end of the Group's financial year last
week and now having the benefit of certainty in relation to sales quantum, we
anticipate that the Group will exceed the $85 million upper range limit of
the NPAT guidance previously given in November. We now expect a full year
NPAT of approximately $87 million, around 20% above last year's reported
NPAT.”

outstanding

[Waltzing]

Oh bummer we might have to buy some more!!!

Thank goodness !!!

Everyone can order more bacon and eggs ...

It appears the world is not returning last week to a pre COD state not for BRISC any way, not yet.

Buy more... quick.

[LaserEyeKiwi]

Market cap of 1.36B, trading at ~15.6x $87m NPAT.

fair value? Undervalued? Overvalued?

[Muse]

Market cap of 1.36B, trading at ~15.6x $87m NPAT.

fair value? Undervalued? Overvalued?

depends on your view of future earnings :)

Also of note - 15.0x excluding the KMD stake
($1.346bn less $66.2m spot value of KMD stake) / ( $87m less $1.7m KMD dividends)

[Waltzing]

Special Div coming?


Time to reward the base.



easy fair value.. performance demands a price.



No black holes in this one.


Shes apple pie.

[NMHB]

Not a bad score

[winner69]

Briscoes online seem to be going pretty well

Higher percentage of sales than WHS it appears .... probably doesn't cost as much to run

[winner69]

Old saying in retail 'you can only sell it once'

Rod says 'If you ain't got it you can't sell it'

[Waltzing]

Winner the are knocking it out of the park.. six's into the stands..

No one is going to holidaying in Disney land any time soon from NZ.

No trips to see Paris.

Only those who need to travel farther than AUS will do so for at least another year.

Autumn is only 2 months away.

cant see BRIS sales dropping far for another 12 months.

" We expect Group gross margin percentage for the full year to close
significantly above last year's margin percentage."

[emearg]

While I have stated previously my ability to predict the future is as rubbish as every one else, I am confident in saying the Rod Duke will continue to manage Briscoes very well. It's his superpower. For this holder, that is enough.

[Rawz]

BGP might just be retail king after all. Not sure MHJ can hold onto the crown?

[percy]

Impressive.Briscoes
Full year Online sales as mix of total Group sales, 21.47%
• Full year Online sales growth, +21.01%
Not so impressive.Michael Hill.
• Sustained growth in digital – Further deployment of omni-channel initiatives delivered an increase in sales and
margin for the quarter, resulting in a 28% increase in digital sales. Year to date, digital represented 8.2% of total
sales (FY21: 6.3%).

My comment.
MHJ's online sales representing just 8.2% of total sales reminds of of my school reports."This boy does not understand the subject,and must work harder."

[Rawz]

Impressive.Briscoes
Full year Online sales as mix of total Group sales, 21.47%
• Full year Online sales growth, +21.01%
Not so impressive.Michael Hill.
• Sustained growth in digital – Further deployment of omni-channel initiatives delivered an increase in sales and
margin for the quarter, resulting in a 28% increase in digital sales. Year to date, digital represented 8.2% of total
sales (FY21: 6.3%).

My comment.
MHJ's online sales representing just 8.2% of total sales reminds of of my school reports."This boy does not understand the subject,and must work harder."

At first i thought your post was a dig at MHJ but then i realized you were highlighting the incredible unlocked potential of MHJ online sales. Thank you!!

MHJ online sales grew 41% yoy from FY20 to FY21. Its looking like growth will be 30%+ FY21 to FY22.

Keep it up MHJ, work hard boy, and you will retain your crown! BGP a very close second I must admit :)

[percy]

At first i thought your post was a dig at MHJ but then i realized you were highlighting the incredible unlocked potential of MHJ online sales. Thank you!!

MHJ online sales grew 41% yoy from FY20 to FY21. Its looking like growth will be 30%+ FY21 to FY22.

Keep it up MHJ, work hard boy, and you will retain your crown! BGP a very close second I must admit :)

Unlocked potential.......lol.
I only hope for MHJ shareholders you are right..

A company I hold in Aussie.SSG Shaver Shop Group.
• Online sales were $61.2m or 28.6% of total sales in FY21