TRA - Turners Automotive Group [previously TNR - Turners Limited]

[percy]

One month ago I sold out my complete TRA holding after losing faith into the company. Looks like I managed to find pretty much the SP bottom for doing so.

However - on the bright side - I used the money to buy HGH ... and hey - I am already now 3% better off thanks to this swap than if I would have kept my TRA shares. And to be honest - I think my up chances look better as well ;);

10428

Memo: It even can be good to sell at the bottom;

I do not rate HLG's new CEO,so that keeps me away from HLG.She was never at one place for long,and that raises a "red flag' to me.
TRA are due to report in late May,so without any "real news" I am not prepared to act on "fake news",or "no news".

[BlackPeter]

I do not rate HLG's new CEO,so that keeps me away from HLG.She was never at one place for long,and that raises a "red flag' to me.
TRA are due to report in late May,so without any "real news" I am not prepared to act on "fake news",or "no news".

Hi percy - I bought (as my post states) HGH (Heartland), not HLG (Hallensteins). But yes, I know, Heartlands frequent name and ticker changes have been confusing for all of us ;);

[percy]

Hi percy - I bought (as my post states) HGH (Heartland), not HLG (Hallensteins). But yes, I know, Heartlands frequent name and ticker changes have been confusing for all of us ;);

Oh dear.!.... apologies.
Great timing with your HGH purchase.
Pleased you changed your mind on HGH.[Hope I have that right?.]

[BlackPeter]

Oh dear.!.... apologies.
Great timing with your HGH purchase.
Pleased you changed your mind on HGH.[Hope I have that right?.]

So do I ;);

[winner69]

The perfect inverse bell curve pattern not looking too good

Snow Leopard was only taking the mickey out of us.

[percy]

The perfect inverse bell curve pattern not looking too good

Snow Leopard was only taking the mickey out of us.

You may yet get another chance to top up at $2.14?

[Jaa]

Buckle up as car sales experience a bumpy ride (https://www.livewiremarkets.com/wires/buckle-up-as-car-sales-experience-a-bumpy-ride)


Around the world, car sales are declining. From the United States to China, car lots are suffering from increasing unsold inventory. In China, for example, automobile sales fell 13.9% in November from a year earlier, the steepest such drop in more than six years, and for 2018, car sales recorded their first annual fall in two decades, declining 6%.

[percy]

Buckle up as car sales experience a bumpy ride (https://www.livewiremarkets.com/wires/buckle-up-as-car-sales-experience-a-bumpy-ride)

New car sales.
Turners do not sell new cars.
Maybe it should be on CMO thread,as they sell new cars..

[dreamcatcher]

New car sales.
Turners do not sell new cars.
Maybe it should be on CMO thread,as they sell new cars..

NEW cars become USED cars once sold so very relevant here. If no new cars sold then no need for Turners or maybe you are able to inform me how and where used cars are made ?

[percy]

Yes new cars become used cars.
Turners buy a lot of NZ new used cars.Have to as they do not sell new cars.
They also import a great number of used [approx 6,000 a year] from Japan,so I can't see where you get your relevance from.
They can import more or less, depending on demand.
Try to think of Turners as the finance company that owns NZ biggest used car dealer.

[percy]

Low interest rates and low unemployment,together with an expanding foot print should mean Turners are trading OK.
I expect their finance division is still growing,as is their insurance division,and end of vehicle life logistics business.
The surprise may be their property division.

[minimoke]

Low interest rates and low unemployment,together with an expanding foot print should mean Turners are trading OK.
I expect their finance division is still growing,as is their insurance division,and end of vehicle life logistics business.
The surprise may be their property division.
Worth pointing out Minimum Wage increases significantly in a few days with it rising to $20 in a couple of years. This will have the effect of applying a General Wage order - the one tide will lift many ships. Plenty of head room for people to take on additional debt to purchase car

[Baa_Baa]

Turners might still be paying a divie that attracts and holds the long term investors, but technically it's a dog and as we know management and directors have little sway over SP market sentiment. It has smashed a whole lot of investors capital, including that of some who love this company and bought up big a while ago just for the income. Assuming they don't have to sell, I guess it's all fine.

In July 2017 the SP topped at $3.97 after a two year recovery from a prior reversal. Since then it's been all downhill even recently faltering at the common resistance of the 50MA. Currently at $2.25 it's a 50%+ loss of capital. You'd have to be pretty committed to that income and safe from having to sell your shares to be dedicated to this decline in SP sentiment with no sign of a recovery anytime soon. Or have faith in the company and be patiently waiting for a low SP to buy into the income,

That's what sorts the income focused from the capital focused investors, one is immune to SP fluctuations for purposes of income, whereas the other is very sensitive to retaining and growing their capital.

[Elles]

Turners might still be paying a divie that attracts and holds the long term investors, but technically it's a dog and as we know management and directors have little sway over SP market sentiment. It has smashed a whole lot of investors capital, including that of some who love this company and bought up big a while ago just for the income. Assuming they don't have to sell, I guess it's all fine.

In July 2017 the SP topped at $3.97 after a two year recovery from a prior reversal. Since then it's been all downhill even recently faltering at the common resistance of the 50MA. Currently at $2.25 it's a 50%+ loss of capital. You'd have to be pretty committed to that income and safe from having to sell your shares to be dedicated to this decline in SP sentiment with no sign of a recovery anytime soon. Or have faith in the company and be patiently waiting for a low SP to buy into the income,

That's what sorts the income focused from the capital focused investors, one is immune to SP fluctuations for purposes of income, whereas the other is very sensitive to retaining and growing their capital.

How do you get to a 50%+ loss of capital from $3.97 down to $2.25? We're not quite below $2 yet...

[winner69]

A mate reckoned he saw this on a white board at Turners ...probably from their last strategy meeting

Maybe the thinking around how they think they could make clipping the ticket actually generate real profits

[dreamcatcher]

All this ticket clipping imo is because company cannot make ends meet by just selling USED cars so dabbles into anything to make profit...

Maybe they could add a Lunch Bar or two on the new sites

[percy]

All this ticket clipping imo is because company cannot make ends meet by just selling USED cars so dabbles into anything to make profit...

Maybe they could add a Lunch Bar or two on the new sites

Great idea.
Perhaps they should franchise "Dreamcatcher Cafes" at all Turners sites.
Watch out Starbucks.!

[dreamcatcher]

Great idea.
Perhaps they should franchise "Dreamcatcher Cafes" at all Turners sites.
Watch out Starbucks.!

Great idea percy I LOVE IT ........... wonderful to see you have GREAT HUMOR as well and can play the game ! :)

[Snoopy]

All this ticket clipping imo is because company cannot make ends meet by just selling USED cars so dabbles into anything to make profit...

Maybe they could add a Lunch Bar or two on the new sites

There is a lunch bar at the Christchurch site, and has been for many years. The on the ball Turners management are well ahead of the punters on this.

SNOOPY

[dreamcatcher]

There is a lunch bar at the Christchurch site, and has been for many years. The on the ball Turners management are well ahead of the punters on this.

SNOOPY

Hahahaha ........ :t_up: Maybe called "Dreamcatchers Cafe" with slogan "Catch a Dream Lunch Then Browse The Stock"

Clearly I am not the brainchild of Lunch Bar concept so am disappointed ;)

[winner69]

The old Turners Seaview/Gracefield site had a cafe .....very busy as not much competition for the hungry factory workers in that area

Good use for unproductive space - rent it out

Wonder how space they have is unproductive?

[percy]

Yes I thought you were ahead of them.
Perhaps the slogan will be,"Buy One [car],get one [lunch] free.!!
Just keep those ideas coming.
So property development,car sales,finance,insurance,lunch,service,and end of vehicle life logistics,debt collection,we already have some rather nice tickets to clip.

[percy]

The old Turners Seaview/Gracefield site had a cafe .....very busy as not much competition for the hungry factory workers in that area

Good use for unproductive space - rent it out

Wonder how space they have is unproductive?

Well I know Mitre 10 Mega have franchised cafes.
I see your bid there for 5,000 at $2.14.
Wonder whether that is Beagle or BlackPeter being miserible trying for 4,000 at $2.11.?
And no I am not the seller at $2.70...

[Beagle]

Beagle is fast asleep with his small holding...whatever you do don't wake him up to start more barking lol
Mrs Beagle

[percy]

I concur...........................

[Ggcc]

Well I know Mitre 10 Mega have franchised cafes.
I see your bid there for 5,000 at $2.14.
Wonder whether that is Beagle or BlackPeter being miserible trying for 4,000 at $2.11.?
And no I am not the seller at $2.70...

The idea is great with the one stop shop. it would work in areas that have a view. If you look at the Napier Branch it is always busy in the weekend, but no room for a cafe let alone a view to skip your cuppa. Plus cafes are not as easy to run as in the past due to a lot more competition and Turners have do do things official..... It always is more expensive when things are done officially IE Hawkes Bay Seafood, which has a cafe style business, but are under investigation for paying staff under the table (which we all hear is going on in many cafes)

[Snow Leopard]

The perfect inverse bell curve pattern not looking too good

Snow Leopard was only taking the mickey out of us.

It has morphed into an imperfect bell curve with orca fin , which of course is still very bullish whilst the price is at or above $2.26.

Like any good TA sort I predict that ultimately the price will either go up, down or stay the same depending upon all sorts of imaginary lines and numbers and other stuff.
I will also at some juncture come back and point out how obvious it was at this time to do what ever it was which works out the best.

But until then I hold a few of these things especially as I have now learnt that Turners have cafes on site. Though I may deny holding later if it all turns to custard.
So, if someone can go check on the availability of decent coffee and custard items on the cafe menu then we can all make better informed suppositions about the future.

[dreamcatcher]

Suggested Dreamcatcher Cafe Menu

Cappuccino....$3.25 top end of brands
Latte.............$3.00 with a2 milk
Long Black.... $2.20 slow brewing but excellent aroma
Irish Coffee....$2.00 includes 2 or 3 shots of whiskey certainly helps nerves
Flat White......$1 80 this months special with 'USED' beans only

CUSTARD Pastry free with every car sold ........................

[dodgy]

Suggested Dreamcatcher Cafe Menu

Cappuccino....$3.25 top end of brands
Latte.............$3.00 with a2 milk
Long Black.... $2.20 slow brewing but excellent aroma
Irish Coffee....$2.00 includes 2 or 3 shots of whiskey certainly helps nerves
Flat White......$1 80 this months special with 'USED' beans only

CUSTARD Pastry free with every car sold ........................

Sign me up Scotty !!
-dodgy

[Joshuatree]

Throw in that massage with a happy ending for any car sitting on the yard longer than a month, purchased ,and we have winning strategy.

[JohnnyTheHorse]

Should be getting a dividend announcement and market update today Percy? Hopefully not one of those 5pm announcements.

[winner69]

Should be getting a dividend announcement and market update today Percy? Hopefully not one of those 5pm announcements.

Year hasn’t finished yet

Everybody working flatout this weekend doing deals to get to budget / target

Good deals this weekend I’m told ....EOFY discounts

[minimoke]

Year hasn’t finished yet

Everybody working flatout this weekend doing deals to get to budget / target

Good deals this weekend I’m told ....EOFY discountsMassive price reductions on 500 vehicles doesn't sound good

[JohnnyTheHorse]

Massive price reductions on 500 vehicles doesn't sound good

All good as long as they get finance and insurance too... so I'm told anyway.

[winner69]

Massive price reductions on 500 vehicles doesn't sound good

Pressures on the sales guys big time .....will work to late Sunday if necessary to do a deal....in some cases the salesman’s job depends on a good weekend.

[Beagle]

https://www.trademe.co.nz/motors/used-cars/mercedesbenz/auction-1948527698.htm?rsqid=3525bc5fca074833ab17af41052dd 7ef
I would say all the various marques through their respective dealerships are on serious sale this weekend.

[percy]

Talking of different marques,how is your new motor performing.?

[Beagle]

All good thanks. I think all brands suffer from the occasional manufacturing error.

[percy]

Good.
Yes agreed.

[Beagle]

Even Rolls Royce can make dud engines lol

[Beagle]

Every man and his dog's dealership is having a massive end of year financial sale this weekend.
Now we know this is much more than a vehicle retailer I think we can apply a different PE to the amalgam of their business units.
I think a PE of 10-11 is fair and reasonable and if they can make ~ 26 cps in FY20 that's suggests a significant recovery in the share price is possible.

[LAC]

All good thanks. I think all brands suffer from the occasional manufacturing error.

What happened? Anything electronic?

[Beagle]

What happened? Anything electronic?

Faulty head gasket...coolant got into the engine oil and caused massively accelerated wear and the engine seized at just 850 km's.

After significant pressure, (plenty of vigorous barking was required, just as well I get plenty of practice on here, lol) Holden supplied me a brand new 2019 Holden Calais V replacement car for my 2018 one and the new one comes with an extended 5 year warranty, something I insisted on. They fitted a new engine to my first car and it only took them 2 days to resell it, (Rioja Red, really metallic burgundy, Holden Calais is a popular colour).

Dealer was good and supplied a good quality loan car while this mess was cleaned up. New one seems to be running like a well oiled Swiss watch and is a good bit of kit.
I am philosophical. Shyte happens from time to time.

[Ggcc]

Faulty head gasket...coolant got into the engine oil and caused massively accelerated wear and the engine seized at just 850 km's.

After significant pressure, (plenty of vigorous barking was required, just as well I get plenty of practice on here, lol) Holden supplied me a brand new 2019 Holden Calais V replacement car for my 2018 one and the new one comes with an extended 5 year warranty, something I insisted on. They fitted a new engine to my first car and it only took them 2 days to resell it, (Rioja Red, really metallic burgundy, Holden Calais is a popular colour).

Dealer was good and supplied a good quality loan car while this mess was cleaned up. New one seems to be running like a well oiled Swiss watch and is a good bit of kit.
I am philosophical. Shyte happens from time to time.

The car My partner bought from Turners a few weeks back had a boo boo and needed a new transmission. Thank goodness it happened within a few days after the transaction took place. Turners were really good with dealing with it and so were the lease company as the bill to replace the transmission was over $13,000

[winner69]

The car My partner bought from Turners a few weeks back had a boo boo and needed a new transmission. Thank goodness it happened within a few days after the transaction took place. Turners were really good with dealing with it and so were the lease company as the bill to replace the transmission was over $13,000

Not much profit on that sale eh ...but they’ll get it all back when the clip the ticket at the end of its life

[Ggcc]

Not much profit on that sale eh
The lease company paid for it not Turners

[LAC]

Faulty head gasket...coolant got into the engine oil and caused massively accelerated wear and the engine seized at just 850 km's.

After significant pressure, (plenty of vigorous barking was required, just as well I get plenty of practice on here, lol) Holden supplied me a brand new 2019 Holden Calais V replacement car for my 2018 one and the new one comes with an extended 5 year warranty, something I insisted on. They fitted a new engine to my first car and it only took them 2 days to resell it, (Rioja Red, really metallic burgundy, Holden Calais is a popular colour).

Dealer was good and supplied a good quality loan car while this mess was cleaned up. New one seems to be running like a well oiled Swiss watch and is a good bit of kit.
I am philosophical. Shyte happens from time to time.

Whoooh pretty significant damage, it’s good that Holden sorted it out though. Yup **** happens every now n again, previous Toyota never skipped a beat for 4 years, Mercedes thereafter never skipped a beat for 9 years, then the current bmw had a mechatronics issue on 2nd day of owning it😱 like u say, **** happens

[Beagle]

Whoooh pretty significant damage, it’s good that Holden sorted it out though. Yup **** happens every now n again, previous Toyota never skipped a beat for 4 years, Mercedes thereafter never skipped a beat for 9 years, then the current bmw had a mechatronics issue on 2nd day of owning it�� like u say, **** happens

It sure does and more often than you would think...an interesting study from some years back about how often https://www.telegraph.co.uk/motoring/news/9815860/German-cars-lose-out-in-reliability-survey.html
Turners are on to it with their Autosure warranty insurance and have been reviewing claim rates for the different marque's especially the Euro's with their "legendary" spare parts prices and I understand have been making some big changes to what they insure and the pricing.

[winner69]

The lease company paid for it not Turners

....and claimed back from Turners?

[Ggcc]

....and claimed back from Turners?
Of course I don't know the finer details, but I was made to believe that the cost was not Turners. They were surprised the lease company paid for it as well, as normally the vehicle would have been written off.

[percy]

Of course I don't know the finer details, but I was made to believe that the cost was not Turners. They were surprised the lease company paid for it as well, as normally the vehicle would have been written off.

Sounds to me as though Turners were selling on behalf of the lease company,and the new owner was also one of the lease company's clients.
Turners sell cars for a number of lease companies.

[Marilyn Munroe]

Holden have a large stock on hand due to a maket perception particularly across the ditch they are no longer dinky die true blue Aussie and other munfacturefs offer better value than the badge egineered Puegots and Daewoos they sre cuurntly flogging.

Giving a replacement to buyer of a lemon car a least gets one vehicle out of the paddock.

Check the make year.

Boop boop de do
Marilyn

[Brain]

I think you may need a new Keyboard Marilyn

[JohnnyTheHorse]

Wow still nothing. The guys must be really busy counting all the sales from the weekend. No news is good news, don't ya reckon Winner?

[BlackPeter]

Wow still nothing. The guys must be really busy counting all the sales from the weekend. No news is good news, don't ya reckon Winner?

Too busy to count or too busy to scratch the bottom of the barrel to find another sale?

Don't think though, they are required to make an announcement unless they find out that they did materially undershoot their amended target or that they did overshoot their original one (yeah, right). Just relax, enjoy the next couple of months and give them time to count their beans ;);

[blackcap]

I'm not too sure what you guys are waiting on? Last year they did announce the dividend on the 31st March, but there was no profit upgrade/downgrade type announcement anywhere near the date. They only do those if they are material and under NZX rules have to inform the market. Their next profit result should be announced within 2 months after 31 March, so probably towards the end of May.

[winner69]

Divie due next week ....cool .....a bit of a reward waiting for the share price to get back to 3 bucks

Percy, Todd Turner told you what’ll the divie be?

[percy]

Divie due next week ....cool .....a bit of a reward waiting for the share price to get back to 3 bucks

Percy, Todd Turner told you what’ll the divie be?

Turners announcement 8th October 2018.
Expected dividends.
4 cents January.
4 cents April.
5 cents July.

NB.Divies are paid at the end of the month.

[winner69]

The vehicle fleet in NZ increased by another 140,000 last year while population up 82,000

NZers lover their cars

More ticket clipping ahead for Turners

That divie might just be 4.5 cents next week ...that would be cool

[percy]

The vehicle fleet in NZ increased by another 140,000 last year while population up 82,000

NZers lover their cars

More ticket clipping ahead for Turners

That divie might just be 4.5 cents next week ...that would be cool

Perhaps,however I expect it will be 4 cents.

[winner69]

Perhaps,however I expect it will be 4 cents.

That would be a 11% pay cut from last year’s 4.5 cents

Can’t have pay cuts ....esp when minimum wage has gone up 7% odd and even the super has gone up 2.6%

[Balance]

Perhaps,however I expect it will be 4 cents.

2018 - dividend announced 29 Mar

2017 - dividend announced 23 Mar, followed by trading update on 28 Mar

2019 - It's April so should market read anything into it?

[winner69]

2018 - dividend announced 29 Mar

2017 - dividend announced 23 Mar, followed by trading update on 28 Mar

2019 - It's April so should market read anything into it?

Off course not Balance

It would be catastrophic if they didn’t pay this dividend in April

Expect a profit upgrade and increased divie ...he says hopefully!

[Balance]

Off course not Balance

It would be catastrophic if they didn’t pay this dividend in April

Expect a profit upgrade and increased divie ...he says hopefully!

Business so good at year end that they are still busy updating the books to upgrade and increase dividend?

Be a nice surprise and sp will be $3.00 for sure!

[Beagle]

LOL I for one would be pleased to see it back to $2.50.

[couta1]

LOL I for one would be pleased to see it back to $2.50. The stock owes me about 70k so $2.50 won't cut the mustard.

[percy]

Business so good at year end that they are still busy updating the books to upgrade and increase dividend?

Be a nice surprise and sp will be $3.00 for sure!

For sure.!!.....lol.

[RTM]

The stock owes me about 70k so $2.50 won't cut the mustard.

Be a good start tho.

[minimoke]

I grew bored with the ever decreasing SP tied to the Share buy back - so lost interest in it. See there haven't been any announcements lately. Are they still buying back

[Beagle]

Don't blame you mm. Lots of people underwater by heaps with this one.
Buy back finished on 31 March 2019 to the best of my knowledge but this is Percy's baby so he would know for sure.

[JohnnyTheHorse]

I believe the buyback is stopped before announcements are made... or directors sell shares.

I am very surprised we are yet to see anything from the company given the uncertainty around performance. I suspect something must be in the works, whether good or bad.

[minimoke]

Don't blame you mm. Lots of people underwater by heaps with this one.
Buy back finished on 31 March 2019 to the best of my knowledge but this is Percy's baby so he would know for sure.
Last announcement on 22 March, buying back another 17,500. They must have been well short of original target (but as I say, I lost track of the incremental buys)

[percy]

Don't blame you mm. Lots of people underwater by heaps with this one.
Buy back finished on 31 March 2019 to the best of my knowledge but this is Percy's baby so he would know for sure.

Well as far as I know the buy back has not finished.
Total brought back so far is 2,686,999.
No notices since 22nd March.
i have been expecting Turners will announce some time they will be extending it.

[Beagle]

https://www.nzx.com/announcements/327416 Dug out the original announcement seeing as there's a bit of interest in this subject.
I would have expected a trading update and dividend announcement by now and like JohnnyTheHorse feel something is in the works.
My sense is the share price has been telling us for quite some time that trading has been tougher than expected. Whether that's already factored into the current share price is the (thankfully a lesser amount for me) $64,000 question.

[minimoke]

From that annopuncment "Turners is in a strong financial position and the buyback is seen as an efficient use of capital while the share price remains below the intrinsic value of the business." So maybe at $2.25 intrinsic value is met.

[minimoke]

On 29/3 last year they had their Divi announcement. On 4/4 a Shareholder newsletter went out. I have a feeling in my waters no news is bad news.

[Beagle]

On 29/3 last year they had their Divi announcement. On 4/4 a Shareholder newsletter went out. I have a feeling in my waters no news is bad news.

Agreed but already priced in ?
Snoopy reckons there's still good eps growth if you strip out all the one-off's and extraordinary items that jacked up last year's profit and I am sure Percy would agree lol.

[winner69]

Market share gains = more clipping the ticket = greater profits

Ticket collectors busy ......

.......But I think there are too many Fat Controllers

[percy]

No Fat Controllers at Turners.
All wear running shoes,and have large biceps [from ticket clipping].

[bull....]

NEW VEHICLE REGISTRATIONS FALL IN MARCH AS MARKET SOFTENS FURTHER
http://www.sharechat.co.nz/article/fc98116c/new-vehicle-registrations-fall-in-march-as-market-softens-further.html

[winner69]

NEW VEHICLE REGISTRATIONS FALL IN MARCH AS MARKET SOFTENS FURTHER
http://www.sharechat.co.nz/article/fc98116c/new-vehicle-registrations-fall-in-march-as-market-softens-further.html

I’m told Turners don’t sell new cars

[bull....]

I’m told Turners don’t sell new cars

its a reflection of the whole market being soft. if your not buying new cars your not selling your old car

[winner69]

its a reflection of the whole market being soft. if your not buying new cars your not selling your old car

Ah so ..I get it now

[Balance]

Another day and still no announcement re dividend unlike previous 2 years.

Seriously, NOT a good sign.

[winner69]

Another day and still no announcement re dividend unlike previous 2 years.

Seriously, NOT a good sign.

Even if not required to ‘disclose’ anything you’d think they would behave like real used car salesmen and put out something that sounds good ...nothing like a bit of self promotion is there

And Percy wants to hear about the buyback being extended and of course how big the divie is going to be

Maybe staying quiet because final stages of the scheme of arrangement being worked on which will put us all out of our misery at $2.60

[Beagle]

Even if not required to ‘disclose’ anything you’d think they would behave like real used car salesmen and put out something that sounds good ...nothing like a bit of self promotion is there

And Percy wants to hear about the buyback being extended and of course how big the divie is going to be

Maybe staying quiet because final stages of the scheme of arrangement being worked on which will put us all out of our misery at $2.60

Misery is a good choice of word. Seriously wondering if these guys have a clue ? Don't they realise that if you leave a vacuum of information negativism grows like mushrooms.

[JohnnyTheHorse]

Maybe staying quiet because final stages of the scheme of arrangement being worked on which will put us all out of our misery at $2.60

Geez... hopefully the 3rd and 4th quarter dividends are on top of that.

[winner69]

Misery is a good choice of word. Seriously wondering if these guys have a clue ? Don't they realise that if you leave a vacuum of information negativism grows like mushrooms.

What do you expect from a self centred delusional Board and Management Team?

Mind you they seduced a few punters last year ..,sucked them in good and proper

OMG ...my be nice to everybody day has just ended

[Balance]

Even if not required to ‘disclose’ anything you’d think they would behave like real used car salesmen and put out something that sounds good ...nothing like a bit of self promotion is there

And Percy wants to hear about the buyback being extended and of course how big the divie is going to be

Maybe staying quiet because final stages of the scheme of arrangement being worked on which will put us all out of our misery at $2.60

If I am a shareholder, I would be most unimpressed with $2.60 - given that the sp was $2.72 when they announced the share buyback!

[Beagle]

Maybe the unofficial company spokesman on here should give his mate a call and find out what's going on ?

[bull....]

probably in a meeting to decide what mth they will do the downgrade and div slashing

[Beagle]

What do you expect from a self centred delusional Board and Management Team?

Mind you they seduced a few punters last year ..,sucked them in good and proper

OMG ...my be nice to everybody day has just ended

You taking about the national roadshow where they preached relentless positivity all the time knowing they had just experienced a really slow Q1 that they outright flat refused to disclose despite a certain dog asking them straight out how Q1 had gone ?

[BlackPeter]

That's what they said in last years inaugural March 2018 newsletter (published 4/4/18):

10440

They do realise that it is important to keep shareholders up to date. I am sure the update must come now any day (any hour?) ...

[RTM]

Surely...as we know Todd also keeps an eye on this forum.

[percy]

Turners announcement 8th October 2018.
Expected dividends.
4 cents January.
4 cents April.
5 cents July.

NB.Divies are paid at the end of the month.

The January 4 cents dividend has been paid.Went into my bank account on 30th January.
I expect "anytime" Turners will announce the details of the April dividend.
I also expect that Turners will announce their full year result in late May.

[Balance]

That's what they said in last years inaugural March 2018 newsletter (published 4/4/18):

10440

They do realise that it is important to keep shareholders up to date. I am sure the update must come now any day (any hour?) ...

Something simply does not add up with the lack of update from TRA imo.

(i) Share price has fallen 17% since the share buyback was announced.

(ii) Fall could conceivably be more if the share buyback was not in place.

(iii) Why has TRA only bought 60% of the share buyback if it is so undervalued (by the directors' reckoning).

(iv) One of the directors actually decided to sell a few of the 'undervalued' shares into the share buyback! Joining Milford who decided to take advantage of the share buyback to unburden themselves of a few of said 'undervalued' shares!

(v) No dividend announcement post 31 March vs previous years.

Old timer cautioned me years ago to be wary of companies who are quick to announce 'good' news but tardy when there is bad news!

[minimoke]

Hmm Add to that For Bar introducing them as an Emerging Company when they have been around for years. Seems like a bit of dressing up. Was mentioned at the time. Ducks are lining up for an ugly result.

Stop loss now in place and ready to be triggered

[Balance]

Hmm Add to that For Bar introducing them as an Emerging Company when they have been around for years. Seems like a bit of dressing up. Was mentioned at the time. Ducks are lining up for an ugly result.

Stop loss now in place and ready to be triggered

Glad did not get into this one but been obviously keeping an eye on this stock after making a few $$$ off the Baker Boys efforts in 42 Below and Trilogy.

One thing I must admit I was wary of is this business of 'clipping' the ticket many times - the finance and insurance industries have had a habit of blowing the gasket from time to time, especially when the 'growth' machine stalls. Bad debts have a nasty habit of emerging when hard times strike.

And the car industry is certainly going backwards after enjoying good growth over the last 5 years - let's see how TRA handles the reverse cycle, especially with the acquisitions they have made in recent years.

[bull....]

Import rules for cars and shipping containers could be tightened even further as the Ministry for Primary Industries

https://www.stuff.co.nz/business/farming/111791084/mpi-planning-even-stricter-import-rules-to-keep-stink-bug-out

[percy]

Import rules for cars and shipping containers could be tightened even further as the Ministry for Primary Industries

https://www.stuff.co.nz/business/farming/111791084/mpi-planning-even-stricter-import-rules-to-keep-stink-bug-out
Another big hurdle for small independant importers.
Most probably work to Turners advantage.

[LAC]

One thing that Turners have is scale, so in whatever they do it should be at scale. I am looking fwd to seeing what Oxford finance is growing at. I think that part of the business will do well over time, regardless of whether we buy cars from their sites or not. The other area that will be interesting to watch is the Mechanical insurance part, for most people who buy 2nd hand - the fear is there to include mechanical insurance. Before everyone jumps down my throat, yes I know new cars are quite reasonably priced these days....but you cant beat buying the same car with a few kms on the clock at a fraction of the new car price - its just human nature to find a deal. Anyways only time will tell how Turners will do.

[Snow Leopard]

Not a good day for Turners on the ASX, down 24% :eek2:

[bull....]

Not a good day for Turners on the ASX, down 24% :eek2:

downgrade must be coming sometime this yr lol , waiting for the stock slaughter might buy around 1 - 1.50?

[couta1]

downgrade must be coming sometime this yr lol , waiting for the stock slaughter might buy around 1 - 1.50? Lol back to your downramping best after a few days of an unusual display of positivity as the power companies evangelist.

[minimoke]

Not a good day for Turners on the ASX, down 24% :eek2:You forgot to mention it dropped AUD$0.69 to AUD $2.20.

However, given there was actually a trade The Board will no doubt have to visit Australia to investigate this virtually un-heard of event.

[bull....]

Lol back to your downramping best after a few days of an unusual display of positivity as the power companies evangelist.

down ramping ? my analysis suggests it is envitable a downgrade must come , cant fudge the car down turn for ever.

[Balance]

You forgot to mention it dropped AUD$0.69 to AUD $2.20.

However, given there was actually a trade The Board will no doubt have to visit Australia to investigate this virtually un-heard of event.

Bizarre!

Last trade was in January 2019 and there's hardly any trading there.

Guess the Baker boys were trying to do a Trilogy? List on ASX and while the sp was trending upwards, place shares over there to the ever eager Ozzie instos?

Guess the Ozzies are a bit shy after getting the Trilogy shares from them at $3.70 so that's why nothing has happened on that front?

[blackcap]

Bizarre!

Last trade was in January 2019 and there's hardly any trading there.

Guess the Baker boys were trying to do a Trilogy? List on ASX and while the sp was trending upwards, place shares over there to the ever eager Ozzie instos?

Guess the Ozzies are a bit shy after getting the Trilogy shares from them at $3.70 so that's why nothing has happened on that front?

The ASX listing is purely cosmetic. Many ASX funds and insto's require in their mandate that if they wish to purchase stock it must be listed on the ASX. Having the listing means that TRA are open for Australian fund managers to purchase TRA stock. They do so on the NZX because that is where the liquidity is. This has been discussed on this forum before.

[Balance]

The ASX listing is purely cosmetic. Many ASX funds and insto's require in their mandate that if they wish to purchase stock it must be listed on the ASX. Having the listing means that TRA are open for Australian fund managers to purchase TRA stock. They do so on the NZX because that is where the liquidity is. This has been discussed on this forum before.

Thanks, BC!

Appreciated!

[percy]

Not a good day for Turners on the ASX, down 24% :eek2:

400 shares traded at au $2.20.!!!.???????????????//

[percy]

The ASX listing is purely cosmetic. Many ASX funds and insto's require in their mandate that if they wish to purchase stock it must be listed on the ASX. Having the listing means that TRA are open for Australian fund managers to purchase TRA stock. They do so on the NZX because that is where the liquidity is. This has been discussed on this forum before.

Facts.Thank you.
Makes a nice change from the "Fake News" ,from posters who should know better.
Perhaps if they owned shares in the company,or had bothered to read the thread, they may have been able to make a sensible contribution.

[minimoke]

They do so on the NZX because that is where the liquidity is. This has been discussed on this forum before.Liquidity must surely be a function of demand. ATM / A2M seem to have no problem with liquidity on the ASX. It is quite clear Australians dont see TRA as a sound investment opportunity.

(wonder if we will get a post market close announcement on reduced divvy today?)

[blackcap]

Liquidity must surely be a function of demand.

Potentially. I do not think there are many available shares on the ASX or they are tightly held. No point in having a bid in that never gets hit and no offers to take. So the default is to trade on the NZX.

[minimoke]

Divi announcement4.0 cents per share. The record date will be 23 April 2019 with a payment date of 30 April 2019.This brings the total dividends paid or declared for the 31 March 2019 financial year to 12.0 cents per share. The Board advises that it also expects to declare a fully imputed final dividend of 5.0 cents per share payable in July 2019.

[winner69]

Quite a few shares held by Aussie investors Byrnes said at the AGM .....heaps actually

[winner69]

Awesome news about the divie.

Hope it’s not fake news eh Percy

No news about profit is awesomely good news as well .....$34m npbt on way

[percy]

Liquidity must surely be a function of demand. ATM / A2M seem to have no problem with liquidity on the ASX. It is quite clear Australians dont see TRA as a sound investment opportunity.

(wonder if we will get a post market close announcement on reduced divvy today?)

EBO is also listed on ASX.The majority of their over $7 billion turnover is in Australia.Their CEO and CFO are in Australia.Look at the depth of orders.
Liquidity is in NZ.
As Blackcap pointed out ,Aussie intos buy in NZ,however they can only buy if they are listed on ASX.So it does not make any difference if none are ever traded in Aussie.
Well the divie announcement is as expected,so again the "Fake News" has been just that !..
No surprises there.!

[percy]

Awesome news about the divie.

Hope it’s not fake news eh Percy

No news about profit is awesomely good news as well .....$34m npbt on way

Not awesome,just confirming what they said last October.Also confirmed last October's statement they expected to pay a 5 cents dividend in July.
.
Not sure what I expect the NPBT will be.
Oxford Finance revenue will be up,helped by extra deals from Turners [good margin] and increased number of originators.
MTF non -recourse impairement loans most probably still a drag.
Buy Right Cars.Hopefully most of the old stock has been cleared.
Turners vehicle sales may be steady helped by relocated and new sites.
Autosure Insurance will be very profitable.
End of Life vehicle logistics will also be very profitable.
EC Credit.I am not sure about.
Property sales/development.Could be another very large profit ticket.
I also expect they will announce an extension to the share buy back.
What will be really interesting to me will be their outlook statement,as I feel everything is coming together nicely.

[Brain]

Would a rerating of Turners be too much to expect? I will not hold my breath

[Balance]

Divi announcement4.0 cents per share. The record date will be 23 April 2019 with a payment date of 30 April 2019.This brings the total dividends paid or declared for the 31 March 2019 financial year to 12.0 cents per share. The Board advises that it also expects to declare a fully imputed final dividend of 5.0 cents per share payable in July 2019.

Todd definitely keeps a close eye on this forum! :t_up:

[percy]

Todd definitely keeps a close eye on this forum! :t_up:

And tells us useful "Facts".

[Beagle]

Must be on track to meet earlier guidance so that's good. Possibly reasonable buying at the current heavily beaten down level.

[oldtech]

Still a long way off from a reversal of the downtrend - I personally wouldn't be risking it myself, but I guess those who dare, win (sometimes)

[steveb]

would the TRA buyback of shares not apply to the ASX as well as the NZX? Not that there are any shares for sale on the ASX at the mo!

[SCOTTY]

Still a long way off from a reversal of the downtrend - I personally wouldn't be risking it myself, but I guess those who dare, win (sometimes)

Are you waiting for someone to flash a green light in your face? :)

[winner69]

And tells us useful "Facts".

He does ...but I wouldn’t nominate him for Business Communicator of the Year

And some would say that some are only ‘Half Facts’

And of course the biggest ‘Fake News’ of the year came from Todd saying Turners shares were worth way north of $3 ...but that’s not really a ‘fact’ but just sonebody’s opinion

[percy]

would the TRA buyback of shares not apply to the ASX as well as the NZX? Not that there are any shares for sale on the ASX at the mo!

I would suggest you read Turners 27 November announcement,which states the buy back will only be on the NZX "and may occur until 31st March 2019."

[BlackPeter]

He does ...but I wouldn’t nominate him for Business Communicator of the Year

And some would say that some are only ‘Half Facts’

And of course the biggest ‘Fake News’ of the year came from Todd saying Turners shares were worth way north of $3 ...but that’s not really a ‘fact’ but just sonebody’s opinion

Aren't you mixing up value ("worth") and price? They well might be worth more than $3 ... it is just that one can buy them cheaper ;);

[oldtech]

Are you waiting for someone to flash a green light in your face? :)

Nah mate, just getting headaches from all the RED lights flashing :scared:

[percy]

He does ...but I wouldn’t nominate him for Business Communicator of the Year

And some would say that some are only ‘Half Facts’

And of course the biggest ‘Fake News’ of the year came from Todd saying Turners shares were worth way north of $3 ...but that’s not really a ‘fact’ but just sonebody’s opinion

Can't recall Todd saying that.
I seem to remember it was the board.
And yes I agree with them.
Perhaps you would appreciate Todd's communication skills had you attended Turners Wellington Shareholders presentation.

[LAC]

Aren't you mixing up value ("worth") and price? They well might be worth more than $3 ... it is just that one can buy them cheaper ;);

Yup that sounds about right:)
I once told a friend when I bought into Facebook at $16 a share that it is valued at a lot more in the years to come, he responded by saying the price is too much .....well in the years that followed the value was apparent.

[Balance]

Yup that sounds about right:)
I once told a friend when I bought into Facebook at $16 a share that it is valued at a lot more in the years to come, he responded by saying the price is too much .....well in the years that followed the value was apparent.

You must have been friends with Mark Z and got the shares before IPO?

I told a friend the same thing about Aquaria 21 when I bought the shares at 15c. It came true only because the market got excited about Eric 'Tax Evasion' Watson using it as a backdoor list for 'Flying Pig' so I doubled my money!

[percy]

You must have been friends with Mark Z and got the shares before IPO?

I told a friend the same thing about Aquaria 21 when I bought the shares at 15c. It came true only because the market got excited about Eric 'Tax Evasion' Watson using it as a backdoor list for 'Flying Pig' so I doubled my money!

Looks to be another "window of opportunity" steering you right in the face here too. lol

[LAC]

You must have been friends with Mark Z and got the shares before IPO?

I told a friend the same thing about Aquaria 21 when I bought the shares at 15c. It came true only because the market got excited about Eric 'Tax Evasion' Watson using it as a backdoor list for 'Flying Pig' so I doubled my money!

Nope didnt have enough cash when it IPO'd, bought when it took a dive, actually had a look now and bought the first lot at $17.86. NVDIA will be the same in teh years to come.
They had too many "customers" not to be able to make a profit in the years to come. Always felt i missed the boat with Google hence FB it was. Now they have Insta which would add more to that ongoing cash flow. My big call now is Disney, so lets see how that plays out with all the IP that they own for streaming.

Anyways back to TRA, looking fwd to the divies. In the market for a ute, might stop there and see whats for sale.

[Snoopy]

Todd definitely keeps a close eye on this forum! :t_up:

Todd keeps a fatherly guiding hand on all his employees, no matter what their place of work! It is just what good bosses do ;-P.

SNOOPY

[minimoke]

Directors should look at how Sky City does a share buy back. Started today and SP up 2.3%

[percy]

Directors should look at how Sky City does a share buy back. Started today and SP up 2.3%

Maybe SKC should look at how TRA did it,as they managed to buy back at a discount.?...lol.

[blackcap]

I'm not sure the idea of a buyback is to actually increase the SP. For mine the idea is to increase the EPS going forward of the company (thus increasing the SP). If the company can do this with as little use of funds as is possible it is all the better for shareholders. I as a shareholder would rather TRA buy back shares in the $2.30 range than say the $2.65 range. Going forward that is better for TRA as they have more cash left over for other things like dividends and future growth.
Why the shareprice is retreating after the company announces a buy back, well that is another thing entirely.

[LAC]

Directors should look at how Sky City does a share buy back. Started today and SP up 2.3%

Why would you want to buy when the price is up? Wouldnt you want to buy at the bottom and then want the share price to go up after? Reducing the number of shares at the cheapest cost to add shareholder value is the aim, I think

[winner69]

I'm not sure the idea of a buyback is to actually increase the SP. For mine the idea is to increase the EPS going forward of the company (thus increasing the SP). If the company can do this with as little use of funds as is possible it is all the better for shareholders. I as a shareholder would rather TRA buy back shares in the $2.30 range than say the $2.65 range. Going forward that is better for TRA as they have more cash left over for other things like dividends and future growth.
Why the shareprice is retreating after the company announces a buy back, well that is another thing entirely.

Yes should increase EPS but often multiples contract after buybacks (esp those not funded by surplus cash) as the market sees them as more leveraged (riskier)

[percy]

Yes should increase EPS but often multiples contract after buybacks (esp those not funded by surplus cash) as the market sees them as more leveraged (riskier)

Wonder whether the market will see it differently when TRA announce an extension to the buy back.?
Seems to me posters who are TRA shareholders are very happy with the buy back.I know I am.

[SCOTTY]

Wonder whether the market will see it differently when TRA announce an extension to the buy back.?
Seems to me posters who are TRA shareholders are very happy with the buy back.I know I am.

Me too. :)

[RTM]

Yes should increase EPS but often multiples contract after buybacks (esp those not funded by surplus cash) as the market sees them as more leveraged (riskier)

The other thing with buybacks is the amount they have to pay-out for dividends is significantly reduced.

[winner69]

The other thing with buybacks is the amount they have to pay-out for dividends is significantly reduced.

NO NO RTM .....Percy (and me) wouldn’t like that to happen .....we want them to pay out the same dollars but give us all a little more ....like sharing out the dividend those who sold into the buy back would have got.

[percy]

So very true.
An interesting project for some one good with figures.
Turners appear to borrow at approx 4.5%.
Their gross dividend yield is 10%
Dividends are paid from NPAT,while the interest TRA pay on borrowings is deductible.
Their nett interest margin NIM is over 9%.
Playing around with the above figures it is easy to agree with you,,"the amount to pay out dividends is significantly reduced."

[percy]

NO NO RTM .....Percy (and me) wouldn’t like that to happen .....we want them to pay out the same dollars but give us all a little more ....like sharing out the dividend those who sold into the buy back would have got.

No no no we want a larger slice of the cake,which in turn will give us a larger slice of the profit,which will mean increased divies.!

Glad you are seeing the errors of you ways W69.

[winner69]

No no no we want a larger slice of the cake,which in turn will give us a larger slice of the profit,which will mean increased divies.!

Glad you are seeing the errors of you ways W69.

.....and the cake will get bigger and bigger eh

Sweet as

[percy]

.....and the cake will get bigger and bigger eh

Sweet as

You are there.
Thinking like a business owner.

[percy]

Well well well where are our chartist friends?.Asleep.?
MACD positive.
Share price up through, 30 day,60 day and 90 day moving averages.
Strong buying strength.

[BlackPeter]

Well well well where are our chartist friends?.Asleep.?
MACD positive.
Share price up through, 30 day,60 day and 90 day moving averages.
Strong buying strength.

Hmm - reading your post I thought I missed something and looked at the chart:

10460

Not sure this looks like a confirmed uptrend to me (yet) ... but sure, it might turn into one at some stage.

I recon however we still will need to wait for the financials end of May (unless they announce something really positive earlier).

Anyway - happy for holders that the SP didn't further decline and even slightly improved ... though still quite content with my decision to move my funds to HGH at the time I did it;);

Remind me - what was the price of the last heavily discounted capital rise? Long way to go to reach that again ...

[minimoke]

Anyway - happy for holders that the SP didn't further decline and even slightly improved ... though still quite content with my decision to move my funds to HGH at the time I did it;);

.Its only improved on the 4 cent divi. Unless TRA come up with some positive news I expect it to fall back again ex div.

[JohnnyTheHorse]

TA looking bullish. Most importantly has started an uptrend with a higher low and higher high. 233 should now act as a support line. 240 the next point to watch.

I am positioned to take advantage of what I think will be tailwinds for high yielding companies, especially ones that have been beaten down. Remember that TRA is essentially a finance company. I see this going the same way as HGH over the last month or two.

A financial update won't be far off.

[percy]

Hmm - reading your post I thought I missed something and looked at the chart:

10460

Not sure this looks like a confirmed uptrend to me (yet) ... but sure, it might turn into one at some stage.

I recon however we still will need to wait for the financials end of May (unless they announce something really positive earlier).

Anyway - happy for holders that the SP didn't further decline and even slightly improved ... though still quite content with my decision to move my funds to HGH at the time I did it;);

Remind me - what was the price of the last heavily discounted capital rise? Long way to go to reach that again ...

What a poor chart.
Looked very positive on Direct Broking and Stocknessmonster charts.
Maybe shareholders can see the start of the new up trend better than non shareholders.?...lol.

[percy]

TA looking bullish. Most importantly has started an uptrend with a higher low and higher high. 233 should now act as a support line. 240 the next point to watch.

I am positioned to take advantage of what I think will be tailwinds for high yielding companies, especially ones that have been beaten down. Remember that TRA is essentially a finance company. I see this going the same way as HGH over the last month or two.

A financial update won't be far off.
I totally agree with your comments.
Maybe the update will be at the end of the month.?

[winner69]

What a poor chart.
Looked very positive on Direct Broking and Stocknessmonster charts.
Maybe shareholders can see the start of the new up trend better than non shareholders.?...lol.

Yep, shareholders always see things better than non-shareholders ....that’s why they are shareholders

[percy]

Yep, shareholders always see things better than non-shareholders ....that’s why they are shareholders

So very true.

[Beagle]

Not convinced to add to my small position yet. Still hasn't broken up through the 100 day moving average which I use as my benchmark TA reference point.
Still looks a little bit like an "abandoned baby" lol

[BlackPeter]

What a poor chart.
Looked very positive on Direct Broking and Stocknessmonster charts.
Maybe shareholders can see the start of the new up trend better than non shareholders.?...lol.

For sure - I think the technical terms are "endowment effect" and "confirmation bias" ... but latter might apply for non holders as well ;)

From a personal perspective - I did hold them for some time and lost a lot of money with them. From my experience - as soon as I buy back into a stock which lost me money in the past they typically start losing me money again ... i.e. it is probably better for everybody if I just stay out and confine myself to holding companies which used to make me money in the past ;) - and hey, there are some;

[percy]

Not convinced to add to my small position yet. Still hasn't broken up through the 100 day moving average which I use as my benchmark TA reference point.
Still looks a little bit like an "abandoned baby" lol

100 day ma is $2.36.
Interesting.?
Seller there with 4,000 shares.

[percy]

For sure - I think the technical terms are "endowment effect" and "confirmation bias" ... but latter might apply for non holders as well ;)

From a personal perspective - I did hold them for some time and lost a lot of money with them. From my experience - as soon as I buy back into a stock which lost me money in the past they typically start losing me money again ... i.e. it is probably better for everybody if I just stay out and confine myself to holding companies which used to make me money in the past ;) - and hey, there are some;

Always best to do what works for you.

[percy]

100 day ma is $2.36.
Interesting.?
Seller there with 4,000 shares.

Well they did not last long.
Lets see how long the seller of 3400 at $2.37 has to wait.

[couta1]

Well they did not last long.
Lets see how long the seller of 3400 at $2.37 has to wait. I know the dude selling at $2.40 hes a friend of mine.Lol

[percy]

I know the dude selling at $2.40 hes a friend of mine.Lol

5020 at $2.40.
However in the meantime just 1725 for sale at $2.37,then 5000 at @2.38 and 4772 at $239 then Couta1's dude friend.

[minimoke]

5020 at $2.40.
However in the meantime just 1725 for sale at $2.37,then 5000 at @2.38 and 4772 at $239 then Couta1's dude friend.Which site do you use to see those bids. With Direct Broking mine starts at a $5.54 sell.

[percy]

Which site do you use to see those bids. With Direct Broking mine starts at a $5.54 sell.

First NZ Capital Group Ltd [nz]htttps://www.directbroking.conz
The $2.37 have gone

[Yoda]

That will be Beagle....over his magic 100

[winner69]

Percy ... For a buy and hold long term investor you sure look at the depth a lot

Think like a business owner ...forget about the minute by minute gyrations of the stock market

Bored today are we.

[percy]

Percy ... For a buy and hold long term investor you sure look at the depth a lot

Think like a business owner ...forget about the minute by minute gyrations of the stock market

Bored today are we.

No not bored.
Just having fun making sure our TA Chartists are wide awake.
LOL Beagles 100 day ma has been broken.[made my day] And no I did not buy any today.!!
What will interest me is Turners outlook when they announce their result late May.
Perhaps their trading update in a few weeks will be of interest.
That said I expect next year Turners will start delivering ,as all their ducks are lining up very nicely..
1884 avaliable at $2.38.

[Beagle]

Haven't closed for business yet. A close above the 100 day MA and holding there for three working days would be a good TA sign.

[percy]

Well looks as though I will miss the close tonight.

However, I expect the HGH presentation our "Jeff" is putting on will, as always, be full of little gems.

[Beagle]

Nice little run on HGH lately. Look forward to your report tomorrow.

[percy]

You may get it tonight.5.15pm for 5.30 start should mean I am home to take the daughter's dog home at 7.30pmish.So I should be online again at approx 8pm.
Funny first time I can remember I have no questions for Jeff, other than asking how they are progressing with my suggestion they make a take over for TRA.Would nab Oxford Finance and TRA's MTF holding.! At today's price it must be a steel.?..lol.

[winner69]

You may get it tonight.5.15pm for 5.30 start should mean I am home to take the daughter's dog home at 7.30pmish.So I should be online again at approx 8pm.
Funny first time I can remember I have no questions for Jeff, other than asking how they are progressing with my suggestion they make a take over for TRA.Would nab Oxford Finance and TRA's MTF holding.! At today's price it must be a steel.?..lol.

Take the dog to the meeting ...could pretend it’s Beagle

[Beagle]

Take the dog to the meeting ...could pretend it’s Beagle

:lol: :lol: Vigorous barking is mandatory :D

[winner69]

:lol: :lol: Vigorous barking is mandatory :D

Probably fail the diversity criteria for a Heartland meeting ....but would be ok if surrounded by older white (grey haired) gentlemen (presenters and audience)

[Yoda]

Lock in the divi before the 23rd ..
I've doubled my holding , selling a few OCA, as that was a bit top heavy anyway and need to spread. Cant go wrong with 7.35% and a very low SP......or can you !!! so now 12% of portfolio.
see how she goes..

[Yoda]

ASB has Morningstar pdf as SP of 3.88 on 5th April 2019 in their header ????
is that a miss-print ?

[percy]

ASB has Morningstar pdf as SP of 3.88 on 5th April 2019 in their header ????
is that a miss-print ?

Take care as I think Couta1 may have written that report for them....lol.

[JohnnyTheHorse]

Looking at buy side orders it looks like there's at least two large accumulators.

[percy]

I know the dude selling at $2.40 hes a friend of mine.Lol

I see "the dude" has gone.

[Beagle]

Percy keeps reminding us about all the growth in the years ahead, just in case we temporarily forget for one day lol... and now that TA is supportive with a clear break above the 100 day MA I "hounded" up a few more. What could possibly go wrong lol

[winner69]

Percy keeps reminding us about all the growth in the years ahead, just in case we temporarily forget for one day lol... and now that TA is supportive with a clear break above the 100 day MA I "hounded" up a few more. What could possibly go wrong lol

Jeez I’m glad I didn’t panic like a several leemings did around the 215 mark

To rephrase a common saying about cricketers or racehorses who are out of form .....price is only temporary but outstanding fundamentals are permanent

[couta1]

I see "the dude" has gone. Yeah he got $2.41 and reckons he's better off taking the money and running rather than getting a 4c divvy.Lol

[BlackPeter]

Jeez I’m glad I didn’t panic like a several leemings did around the 215 mark

To rephrase a common saying about cricketers or racehorses who are out of form .....price is only temporary but outstanding fundamentals are permanent

Actually - being one of these lemmings who swapped their TRA into HGH I still feel quite smug ;); While TRA went up by a respectable 10% since end of February - HGH went in the same time period up by 16% ... and gives me on top of that some peace of mind!

[Beagle]

HGH up from $1.31 in mid Feb to $1.68 now + 3.5 cps fully imputed dividend.
Total shareholder return for those canny investors who bought at $1.31 = 30.92%, call it 31% since we're among friends :)
TRA up from $2.14 to $2.41 in the same period with no dividends = 12.6%.
Cool how banks and finance companies have gone up at the same time eh....even some of the Australian banks with their scurrilous business practices have staged a bit of a recovery lately.

[winner69]

Actually - being one of these lemmings who swapped their TRA into HGH I still feel quite smug ;); While TRA went up by a respectable 10% since end of February - HGH went in the same time period up by 16% ... and gives me on top of that some peace of mind!

Not as good as you BP .....I’m only ‘smug’ because I didn’t crystallise my losses at that time :(:(:t_up::D:eek2::t_down::p

Hopefully it’ll get back to 260 odd ....might be in love with Turners by then :t_up::t_up::t_up::t_up::t_up:

No idea what those smilie things mean but using them might be the secret to success punting

[percy]

It is not easy "keeping the faith" when the market says you are wrong.
I have had to do it twice with HGH and one "big long time" with TRA.
Six months ago TRA,HGH and my other big holding, were either doing down the drain, or just going sideways.I could not believe I had all three wrong,after spending so much time attending all three's ,presentations ,attending/watching their agms,and keeping in contact with them.I reread all their results, and presentations and could not find anything to make me think my research was flawed.
Added to this "fake news" on sharetrader was not helpful,particularly from posters who should have known better.
But here we are today "well positioned."

[CD_CHCH]

I'm well under water with this one but have held on throughout the downward spiral and hoping it will return to previous highs and above. At least they have been paying regular dividends throughout.

[minimoke]

The SELL side of TRA (hopefully) looking like their car lots after the End-of-Year sales. Six sellers of 40,000 shares vs 22 buyers for 135,000 shares.

[couta1]

The SELL side of TRA (hopefully) looking like their car lots after the End-of-Year sales. Six sellers of 40,000 shares vs 22 buyers for 135,000 shares. But are the buyers willing to pay more than $2.43?

[percy]

But are the buyers willing to pay more than $2.43?

The Moose is waiting to buy between $2.50 and $2.55.....................lol.

[couta1]

The Moose is waiting to buy between $2.50 and $2.55.....................lol. He can buy some off me right now at that price, no need to wait.Lol

[percy]

He can buy some off me right now at that price, no need to wait.Lol

I will leave the selling to you.
None of mine are for sale under $4.00.

[Beagle]

I will leave the selling to you.
None of mine are for sale under $4.00.

Because they're easily worth $4.00 eh :D

[couta1]

I will leave the selling to you.
None of mine are for sale under $4.00. Haha love your enthusiasm and of course a very nice price target.

[percy]

Haha love your enthusiasm and of course a very nice price target.

Yes I thought your $3.81 price was a bit light......lol.

[percy]

Because they're easily worth $4.00 eh :D

Agreed....
Just need those non performing MTF non recourse loans out of the way,and BuyRight Cars back on track.

[minimoke]

But are the buyers willing to pay more than $2.43?Well, now prepared to pay $2.43. Onward and upwards to break even (maybe before Christmas)

[blackcap]

Well, now prepared to pay $2.43. Onward and upwards to break even (maybe before Christmas)

Getting close to Moose's buy price. That could be interesting when the might of the Moose weighs in on the bid.

[winner69]

Getting close to Moose's buy price. That could be interesting when the might of the Moose weighs in on the bid.

Yep watch out...Moosie is a guru

[peat]

Yep watch out...Moosie is a guru
You will need to clarify whether you are being sarcastic or not
I believe you are - didnt Moosie go under?

[couta1]

You will need to clarify whether you are being sarcastic or not
I believe you are - didnt Moosie go under? Moosie as good as owns

[winner69]

You will need to clarify whether you are being sarcastic or not
I believe you are - didnt Moosie go under?

He’s still going strong ...just doesn’t post here any more, and you can guess why

[couta1]

He’s still going strong ...just doesn’t post here any more, and you can guess why Now which lifeline should l use to guess right? oh I know I'll ask the audience.

[peat]

He’s still going strong ...just doesn’t post here any more, and you can guess why

Yeh I can guess
did I hurt his fweelings?

lol couta is still here

[couta1]

Yeh I can guess
did I hurt his fweelings?

lol couta is still here You probably did but his leaving was due to locking antlers with the Mods once too often.PS-My skin has grown considerably thicker since days of old.

[peat]

You probably did but his leaving was due to locking antlers with the Mods once too often.PS-My skin has grown considerably thicker since days of old.
cool, glad to know it’s not all my fault
we all have brain farts occasionally and I got stern telling off and learned to be more respectful

[winner69]

Still no news but no news is good news

Npbt of $33m / $34m to be reported next month ...that’s nearly 10% up on last year

[sb9]

Still no news but no news is good news

Npbt of $33m / $34m to be reported next month ...that’s nearly 10% up on last year

So far so good me thinks. Last day today to get in for divvy seekers.

[Beagle]

https://www.harbourasset.co.nz/research-and-commentary/harbour-macro-research-day/

Value stocks, (brown line on chart) look very cheap to me especially considering interest rates are at lifetime lows.
TRA must be a value stock, surely and therefore must be cheap, what could possibly go wrong lol

[Joshuatree]

I will leave the selling to you.
None of mine are for sale under $4.00.

Had a good conversation with one of Turners branches recently. Very impressed with their upbeat positive sharing. And if what they said is indeed correct, that they will need to move to bigger premises soon ,well it reminds me of that great Doors song " Ive been down so long it looks like up to me". Heres hoping.

[winner69]

Last day before a long weekend (or for many a whole week off) and several profit downgrades on the NZX already

Just as well Turners keep on clipping the ticket so no profit downgrade for them on this fateful day for some

Maybe a profit upgrade ...that would be good

[sb9]

Last day before a long weekend (or for many a whole week off) and several profit downgrades on the NZX already

Just as well Turners keep on clipping the ticket so no profit downgrade for them on this fateful day for some

Maybe a profit upgrade ...that would be good

https://www.nzx.com/announcements/333543

Kind of soft upgrade.

• Guidance: FY19 NPBT guidance updated to be above $32m (excluding one off non-cash adjustment relating to Buy Right Cars rebranding), consistent with current guidance.
• 4th Quarter Trading Update: Improvements in trading performance, with positive benefits from ongoing optimisation of retail network; relocation of the Whangarei site; and two new sites performing above expectations. North Shore branch relocation remains on schedule.
• Group Strategy Review: Board and senior management have been undertaking a full and comprehensive review of the group strategy with a focus on simplicity, de-risking the business and focusing on our core capability and brand strength in Automotive Retail. The outcome of the review will be communicated to the market by the end of June.
• Brand Rationalisation for Auto Retail: An early outcome of the strategy work is that Turners will focus on a single brand direction within the Auto Retail division. Buy Right Cars branches will rebrand to Turners to leverage the high levels of awareness and trust in the Turners brand. This will result in a $4.5m one-off, non-cash write-off for the Buy Right Cars brand and signage value.
• Q3 Dividend: 4.0 cents per share, with minimum FY19 dividend of 17 cents per share expected.

[winner69]

Npbt was always going to be $33m/$34m but maybe only $33m which is still profit growth

F20 going to be a monster of a year

Pity about the $5m rebranding costs but if nothing else that will keep snoops busy normalising profit

A lot of buzz words in the announcement should give the market the warm fuzzies

Share price could be 3 bucks soon .,well done Todd Turner, he’s a good guy

[Beagle]

Move to a single brand, "Turners" makes good common sense. Update removes some uncertainty which is good and it looks like Percy might get his wish about the buy-back continuing at some stage in the future. Harbour reckon value stocks are cheap and the directors think Turners shares are cheap, maybe they are ?

[percy]

Pleasing to see that BuyRight Cars will be rebranded Turners.
Turners brand is trusted strong well known brand.
Cost of the rebranding is more than I would have expected.
Hopefully the buy back will be extended.
Also pleased with the confirmation of next year's [mimimum] 17 cents divie.

[minimoke]

Seems to me they have grossly over valued the Buy Right Brand. 4.5m is a hell of a lot for a brand that isnt trusted or the market is unaware of it.

[LAC]

The Buy Right Cars purchase for me was good in some cases but the one that didnt sit well with me was the service that they delivered. I have been there a few times and they weren't very good in my opinion, hence I never went there again. I think now with the rebrand it might get those put of BRC visiting the sites again. BRC do have good sites though. I am pleased with the guidance and very happy with previous timing of purchase:)

[sb9]

Well, one step at a time with quick recovery of 4c divvy.

[percy]

Seems to me they have grossly over valued the Buy Right Brand. 4.5m is a hell of a lot for a brand that isnt trusted or the market is unaware of it.

Agreed.
However the BuyRight cars acquisition did give them the penetration of the Auckland market they lacked.
Whether in hindsight they would have achieved the same penetration with organic growth, is hard to know.Would have taken years.
However they have penetration in the Auckland market and are now growing it organically.Northshore new site at Archers Road shoud be something, and then another new branch at Westgate openning in the not too distant future.
Still awaiting news about possible relocation of ChCh branch..

[SCOTTY]

Well done Percy. Spot on as usual. :)

[Joshuatree]

Had a good conversation with one of Turners branches recently. Very impressed with their upbeat positive sharing. And if what they said is indeed correct, that they will need to move to bigger premises soon ,well it reminds me of that great Doors song " Ive been down so long it looks like up to me". Heres hoping.

Glad i topped up after talking to a few turnrrs branches, the time paid off.. Where else can one get a good yield now and yield is King atp.

[percy]

Glad i topped up after talking to a few turnrrs branches, the time paid off.. Where else can one get a good yield now and yield is King atp.

Good on you doing your own research,and then backing yourself.
It really works.
Thanks for sharing.

[JohnnyTheHorse]

Well looks like that update will solidify and confirm the uptrend that has begun. Onward and upwards.

[minimoke]

Well, one step at a time with quick recovery of 4c divvy.Pleased to see that - It now puts me back to break even point

[winner69]

Was that 'bad news' a month or so a ploy to get the share price down to stupid levels so they could buy really cheap shares in the buyback

Sneaky as

[blackcap]

Was that 'bad news' a month or so a ploy to get the share price down to stupid levels so they could buy really cheap shares in the buyback

Sneaky as

Yeah really clever by Todd and directors. Thats the best way to use "inside information" in a legal way to benefit the company and shareholders. Well done.

(Except the ones that sold out may not think it is that clever if we are looking at all sides of the coin)

[minimoke]

All those minimum wage workers in Auckland should be getting their large pay rises by now. Must be time for a new car on favorable finance terms.

[alex f]

I'm completely unimpressed, with the Wellington car yard on the basin reserve. The site is scruffy and half of it is still in gravel.
The cars are imports and ex lease. Turners makes no effort at all to refurbish the ex lease cars (apart from vacuuming) they are covered in stone chips, scuffs and pin dents. Walk over the road to Honda or Toyota and get a signature class (as new) Toyota for only a liitle bit more. Turners also imports some really odd cars, problematic Europeans and boy racer WRXs. (3 in Wgtn) I see they still have repos in the auctions so I hope they are not from in house finance deals. They had a $120,000 Mercedes coupe repo this week in Wellington

[SilverBack]

Glad i topped up after talking to a few turnrrs branches, the time paid off.. Where else can one get a good yield now and yield is King atp.

Try SKT for yield. Hold your nose and look under the covers. SKT is not going broke and has a number of Buy recommendations based on value from outfits like MorningStar and FatProphets. SP has declined muchly but there is good value for every animal. SKT still has valuable media rights and good customer base. Hope springs eternal and new CEO might make a difference.

[Snow Leopard]

That bell-end pattern thingy I was going on about now just looking like a nice uptrend on rising volume.

https://encrypted-tbn0.gstatic.com/images?q=tbn:ANd9GcTPEs4CSlZy3j_gzXYwHQdqh_GdFWZi2 0k812qbOUiZvXbr0FLbVQ

[percy]

That bell-end pattern thingy I was going on about now just looking like a nice uptrend on rising volume.

https://encrypted-tbn0.gstatic.com/images?q=tbn:ANd9GcTPEs4CSlZy3j_gzXYwHQdqh_GdFWZi2 0k812qbOUiZvXbr0FLbVQ
Proves The Snow Leopard has better eye sight, and is faster off the mark than The Moose......................lol.

[Beagle]

Try SKT for yield. Hold your nose and look under the covers. SKT is not going broke and has a number of Buy recommendations based on value from outfits like MorningStar and FatProphets. SP has declined muchly but there is good value for every animal. SKT still has valuable media rights and good customer base. Hope springs eternal and new CEO might make a difference.

There are quite a number of better yielding companies than Turners but I think its quite clear SKT earnings are in for ongoing decline which must affect their ability to pay dividends eventually https://www.marketscreener.com/SKY-NETWORK-TELEVISION-LI-10354257/financials/
I think the market update gave us some comfort this week and its good to know that management are working hard on a comprehensive review.
The move to one brand is definitely a good one and the TV advertisements with Ollie are very good and should be continued.
I am hoping for a gradual recovery in the share price to the $2.60 - $2.70 over the next year and I think that's realistically achievable.

[percy]

I'm completely unimpressed, with the Wellington car yard on the basin reserve. The site is scruffy and half of it is still in gravel.
The cars are imports and ex lease. Turners makes no effort at all to refurbish the ex lease cars (apart from vacuuming) they are covered in stone chips, scuffs and pin dents. Walk over the road to Honda or Toyota and get a signature class (as new) Toyota for only a liitle bit more. Turners also imports some really odd cars, problematic Europeans and boy racer WRXs. (3 in Wgtn) I see they still have repos in the auctions so I hope they are not from in house finance deals. They had a $120,000 Mercedes coupe repo this week in Wellington

The sale of lease vehicles is a very steady earner for Turners,who sell on behalf of the lease companies.
The lease companies dictate the terms,and it is their choice that they are sold,basically as leased.
ex lease cars are often a good buy as part of the lease aggreement is the vehicle must be regularly serviced by an approved agent.I remember a rep had to get the lease company's approval to buy a replacement tyre.
Yes Turners sell a lot of imports,as do most used vehicle sales companies.
I can not comment on the Wellington site,other than it looked good in the photos and is trading above expectations. I also seem to recall it is more of a temporary site,and when it is redevoped, Turners will move their container buildings,and vehicles to another site.

[Snow Leopard]

Proves The Snow Leopard has better eye sight, and is faster off the mark than The Moose......................lol.

We see what we want to see.

[winner69]

Real growth in underlying eps for the year will be something on considerable interest to this hound.
Hope the other hound is being well fed because he'll need plenty of intellectual horsepower to work it out in due course with such a myriad of entangled extraordinary items to unwind. Would have a go myself but he seems to relish the challenge and someone once said "why bark when you already have a dog" ?

You and snoops better come up with a convincing ‘normalised’ story

They npbt to be above $32m for F19 ....let’s be kind and say $32.5m (the year has ended and they only fine tuning the numbers and if it was going to be $33m they would have said so eh

Well, that implies second half profit will be 7%/8% LESS than last year (before the huge one off costs)

Things obviously continue to be a bit of soft / challenging side

[percy]

I have often stated there are two areas of concern to me.
1] Buy Right Cars.
2] The length of tail for the MTF bad non-recouse loans,.
Rebrading BuyRight Cars to Turners will fix that problem.
We do know Turners tightened their lending criteria for MTF and other non-recourse loans in April 2018,so that tail should be getting shorter.
So I think the result will be messy with one off rights offs, and one off property gains.
Therefore the outlook statement will be all important.

[Beagle]

I have often stated there are two areas of concern to me.
1] Buy Right Cars.
2] The length of tail for the MTF bad non-recouse loans,.
Rebrading BuyRight Cars to Turners will fix that problem.
We do know Turners tightened their lending criteria for MTF and other non-recourse loans in April 2018,so that tail should be getting shorter.
So I think the result will be messy with one off rights offs, and one off property gains.
Therefore the outlook statement will be all important.

1. Rebranding is a good idea but it does not fix old problem stock.
2. How long is the tail with those problem non recourse loans ?. I have never once seen any finance company admit to a problem and then the problem being less than first estimated, its is always much worse than first thought, Always !...this image probably best sums things up https://www.bing.com/images/search?view=detailV2&id=758B5E52270582EF7C255F1D8A159F4E6AB7588C&thid=OIP.03jqJxfuxYrTZY8_i5W0sAHaDx&mediaurl=https%3A%2F%2Fmyhindinotes.com%2Fwp-content%2Fuploads%2F2017%2F01%2Flong-tails-keywords.png&exph=285&expw=560&q=picture+of+kangaroo+with+long+tail&selectedindex=0&ajaxhist=0&vt=0&eim=1,6
Both these things will "Dog" sorry couldn't resist, the company well into FY20.
I suspect the comprehensive review they're undertaking at present is focusing among other things, the complexities of the above two matters.
No euphoria from this dog, just realism.

[percy]

There is an old saying in business;
"We appear to have a problem?."
Once you have said that and know what the problem is ,you are a long way to fixing that problem.
This is the case with Turners.
MFT did it with both Australia and Europe.EBO did it with Australia.

[winner69]

’Houston, we have a problem’ was in the film but Jim actually said ‘Houston, we had a problem’

Maybe Turners had a problem and it’s all fixed just like Apollo 13 getting back home safely was and Todd Turner is a hero

Agree with what you say about problems Percy but Turners seem to have a never ending set of problems ..wonder what the next one they tell us is.

[percy]

I have never known a business that does not have growing pains.Seems mature businesses going backwards have fewer problems.!
Like MFT the more you take on the more can and does go wrong.However the big picture remains the same.
Dorcester took over Turners.Turners retail exposure in Auckland was weak,as was their finance exposure in the South Island.Fixed by acquistions which saved years of organic growth.
MTF blocking stake acquired,and created more opportunities [not all good] for Turners.
Autosure lacked scale.
Scaling up all these businesses has come at a cost.Big set backs too.
However retail sales has bulk,and is growing with new sites and relocated sites working well.More coming on tap.
Finance now strong through out NZ and growing with not only Turners but also with more originators.
Insurance,as above.
Property .Growth has certainly given Turners great opportunities,which are looking very profitable.

[winner69]

It’s good if you can turn a problem into something that gives you a competitive advantage ...i’m sure that’s how Todd thinks ...mind you he and others didn’t give that impression when answering question about their problems at the agm.

[Beagle]

’Houston, we have a problem’ was in the film but Jim actually said ‘Houston, we had a problem’

Maybe Turners had a problem and it’s all fixed just like Apollo 13 getting back home safely was and Todd Turner is a hero

Agree with what you say about problems Percy but Turners seem to have a never ending set of problems ..wonder what the next one they tell us is.

I'd like to think after the passage of quite some time since the acquisition of Buy Wrong ? cars that the significant majority of issues of slow and problematic vehicles will be dealt with by the end of FY20 and likewise for the non recourse loans but to your latter point I agree that this is a very tough industry choc-a- bloc full of challenges. Its not without opportunity either but until they start to put eps growth runs on the board in a consistent way I can relate to the market's scepticism so will stick to a low portfolio allocation.

[percy]

The foundations for a really great business have been laid.
The next couple of years should see Turners delivering on their vertical intergrated business model strategy.
Not there yet,but getting closer [by the day].

[Snoopy]

I have often stated there are two areas of concern to me.
1] Buy Right Cars.
2] The length of tail for the MTF bad non-recouse loans,.
Rebrading BuyRight Cars to Turners will fix that problem.
We do know Turners tightened their lending criteria for MTF and other non-recourse loans in April 2018,so that tail should be getting shorter.
So I think the result will be messy with one off rights offs, and one off property gains.
Therefore the outlook statement will be all important.

I am not expecting to be able to judge much on the day the annual results are released. As per last year, we will have to wait until the full annual report is published with all of those messy one offs fully explained to truly understand how the year has panned out. It does make me a bit nervous though: That there is enough wriggle room to more or less make the headline result figure exactly what Turners have previously signalled.

With the demise of 'Buy Right cars', as a brand, I thought it was worth looking back at what was said at last years roadshow, where the outlook for 'Buy Right Cars' was a lot more positive, despite the signalled stock problems.



TurnersBuy Right Cars


Satisfaction87%88%


Likelihood to Repurchase71%77%


Stock Turn35-45 days60-90 days



Turners is the better known brand, for sure. Yet the likelihood of repeat business is less. So does this mean we will see the not so satisfied ex 'Buy Right' customers will now be 'more certain' knowing exactly what yard they wish to avoid in the future? Brand recognition I assume works both ways! The 'Buy Right' business was structured around spending more time (4 hours) with customers, as opposed to the Turners 'No Frills' (1-2 hours) approach. IIRC, this partly explains the higher satisfaction and likelihood to repurchase ratings. I wonder if this will change, or whether Turners will roll out some kind of 'Turners Premium' branding for the smaller 'Buy Right' sites in the future? Perhaps it does mean that kiwi car buyers are impulsive and cheap?

It was masterful for Todd to rebrand himself at the same time: 'Todd Turner' sounds much less desperate than 'Todd Hunter' for sure. (thanks to Winner for pointing out this little known fact). The Aaron Saunders rebranding around losing the beard was less successful. Calling himself 'Aaron Turner' would have been the way to go, and would have made for a real family atmosphere at the top.

SNOOPY TURNER (Shareholder)

[winner69]

I am not expecting to be able to judge much on the day the annual results are released. As per last year, we will have to wait until the full annual report is published with all of those messy one offs fully explained to truly understand how the year has panned out. It does make me a bit nervous though: That there is enough wriggle room to more or less make the headline result figure exactly what Turners have previously signalled.


Isn’t that how things usually work in big business ....dress things up to make it all look good ....while dismissing the good stuff.

Your normalisation exercise is going to be one huge task but as long as you get eps growth of 20% it’ll be good

So many ‘abnormals’ / ‘one offs’ every year they’re becoming the norm but if you reckon worth it go for it.

[percy]

Snoopy I think you will make a better informed judgement why Turners are rebranding BuyRight Cars to Turners, should you reread page 16 of their Forsyth Barr Investor Day presentation,noting "Turners is seen as the most trustworthy used car dealer in NZ".
Interesting noting on page 11, Operating profit FY 2018 Finance [29%] combined with Insurance [15%] totalled 44%,which was slightly higher than Automotive Retail of 41%.
I expect we will see further growth in both Finance and Insurance.
The great unknown will be property which will added further to Insurance's contributuion.
Get used to "one offs","abmormals' etc, for the next few years as Turners develop and relocate sites.
One brand Turners for vehicle retail, and one brand Oxford Finance for finance makes good sense.

[Snoopy]

Snoopy I think you will make a better informed judgement why Turners are rebranding BuyRight Cars to Turners, should you reread page 16 of their Forsyth Barr Investor Day presentation,noting "Turners is seen as the most trustworthy used car dealer in NZ".


That 'trusted dealer comparison' is not really an 'apples with apples' comparison though, is it? "2 Cheap Cars" and "Enterprise Motor Group" are the only others with any kind of national footprint. ANZA (Palmerston North) and 'Value Car Warehouse' (Christchurch) are one site dealers. So ask someone in Auckland what they think of those two and they are hardly going to trust a company they have never heard of. Put in the context of 'Buy Right Cars' being Auckland only -plus one site in Hamilton- and that 4% rating is actually pretty good. If Auckland has 1/3 of NZ's population, maybe equivalent to 12% on a national per population comparison basis.

I see the 'intangible asset brand value' for 'Buy Right Cars' is listed in the FY2018 annual report as $4.3m.

The 18th April trading update where the brand rationalization plan is disclosed says:

"This will result in a $4.5m one-off, non-cash write-off for the Buy Right Cars brand and signage value."

So it looks like all the goodwill associated with the 'Buy Right Cars' purchase ($10.860m) is still intact. No nasty surprise here is good news for the TRA balance sheet.



Interesting noting on page 11, Operating profit FY 2018 Finance [29%] combined with Insurance [15%] totalled 44%,which was slightly higher than Automotive Retail of 41%.


Remember Percy that as of EOFY2018 (p50 AR2018) the 'Automotive Segment' was still booking $5.724m of 'finance operating profit' (the old Turners Auctions Finance division I believe) . That Automotive division finance profit is being moved into Oxford Finance over FY2019. That in turn means the part of the Automotive division that is taking the gross profit on the car sales themselves is not as profitable as the segmented results - as published on cursory inspection - would indicate.

SNOOPY

[percy]

It is very much apples for apples.
Directors/management know "we appear to have a problem".
And have taken the right course of action to fix the problem.

[LAC]

Finance and insurance are what I will be looking at to be honest, the automotive retail is just too flaky in the coming couple years to make me confident in its growth. If finance and insurance number look dismal then il be out with a substantial capital loss as I was buying from mid 3.50s to 2.14 so I am quite deep in it.