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

[Rawz]

Why not if they start thinking like u ...lol :D

Long term growth stock.. yes :t_up:

[alokdhir]

Long term growth stock.. yes :t_up:

I rest my case ...lol :cool:

PS : Hopefully u are out of HLG on inclusion pop or maybe u have become super long term holder for yield !!!

Thats also growth stock as per some Gurus !!!

BRM has Carsales.com in top 5 ...so why not here car selling company ...possible if they believe in management

[Rawz]

I rest my case ...lol :cool:

PS : Hopefully u are out of HLG on inclusion pop or maybe u have become super long term holder for yield !!!

Thats also growth stock as per some Gurus !!!

BRM has Carsales.com in top 5 ...so why not here car selling company ...possible if they believe in management

I know you think I'm some dumb Beagle lacky that is lured by his posts into positions that I don't understand... rest assured I am a free thinker and can analyse a company's financial statements, their industry and look at the price movements to make my own decisions. Ill keep at it for awhile yet and if i cant beat the market ill probably just do what you do and invest in KLF and their top holdings MFT/FPH

[Ggcc]

I know you think I'm some dumb Beagle lacky that is lured by his posts into positions that I don't understand... rest assured I am a free thinker and can analyse a company's financial statements, their industry and look at the price movements to make my own decisions. Ill keep at it for awhile yet and if i cant beat the market ill probably just do what you do and invest in KLF and their top holdings MFT/FPH

I do hold a substantial amount of these, but a growth stock....... No.

They will grow slowly but it's going to take a while and interest rates will need to fall. I have spoken to few in the industry that agree that Todd and a couple of others is the reason this share has reached its heights.

Love a company but do not marry it is what I have been told on all investments. It is a stable company for now, but I would be cautious as to who is at the helm.

[alokdhir]

I know you think I'm some dumb Beagle lacky that is lured by his posts into positions that I don't understand... rest assured I am a free thinker and can analyse a company's financial statements, their industry and look at the price movements to make my own decisions. Ill keep at it for awhile yet and if i cant beat the market ill probably just do what you do and invest in KLF and their top holdings MFT/FPH

Looks like I touched a raw nerve ...I shud keep quite and not try to educate myself ...Good luck with your process ...we all have !!:cool:

[toddhunter]

Good question.

As indicated - my confidence in the board is somewhat limited.

Todd though might have a succession plan (all really great leaders do :) - not sure, though whether it would be appropriate to ask him to share that here.

Might be a good question though, for the next AGM :)

One of my goals for FY24 is to turn you into a TRA supporter Black Peter!

We have a very capable team of people here. Aaron Saunders (Group CFO) and I have worked together for 16 years...he started a couple of months after me at Turners Auctions in 2006. Aaron is exactly what you want in a CFO, asks the hard questions, can be pretty tough...but very very commercial. Greg Hedgepeth (ex BMW and Armstrong Motor Group) has done a super job of taking some initial momentum we created around the wholesale to retail transition from 2013-2017 and built from there. The growth he has achieved and the quality team he has built since running Auto is impressive. James Searle who runs our Insurance Division again a very experienced and super capable guy. Our business performance is very much a team effort, and I can assure you none of that is dependent on me. Mostly I am getting things out of the way or getting myself out of the way of a very talented and ambitious group of people who want to achieve and grow a business.

I think the board work very well with our management team as well. Despite a few comments on these threads they actually 1) really care about this business and 2) get involved "hands on" where they can add value. These are not a group of people who attend 11 meetings a year and an AGM, "hold management to account" and job done. A good example of this is "Tina" from Turners...John Roberts, Grant Baker and 3 of us from management were involved in a small project team who came up with the strategy and execution. No ad agency involved although we did use one of John's old ad mates Kim Thorpe to come up with the concept. A great example of how management and the board worked together on delivering a critical piece of work. We view the line between management and the board as a flexible line and directors are welcomed into the business to contribute where they can add value or they have an interest to understand. It works well from my perspective as a CEO and as a shareholder.

On the Roadmap to $5 slide...yes this may haunt me! We got a bit of flack about the title for the slide, but plenty of kudos from the analysts and insto investors for actually calling out a target and the building blocks for how we would achieve it. I am still pleased we gave the insight (and used the title) and happy to be judged on our performance against what we said we would do.

[Snow Leopard]

One of my goals for FY24 is to turn you into a TRA supporter Black Peter! ....

You just stick to that $5 target and leave the difficult stuff alone :p

All the best

[Muse]

Great comments and refreshing engagement with the investment community....thanks so much Todd.

[sb9]

Kudos to you Todd and Team, well articulated. Been a dream stock for me over past few years.

[Sideshow Bob]

As seen yesterday on FB......

14597

[BlackPeter]

One of my goals for FY24 is to turn you into a TRA supporter Black Peter!


How would you measure that ;) ?

Anyway - cheers for your reply ... and I certainly appreciate your engagement with the investor community. I think that's best practise ...

[IAK]

Brilliant!! Lol

[IAK]

Brilliant! lol
As seen yesterday on FB......

14597

[sb9]

Strong trading today from bid side, might pop $4 by results day..

[winner69]

Strong trading today from bid side, might pop $4 by results day..

Yep, 362 is 26 week high

And 4 bucks soon and then heading to all time high

Nothing like a CEO.doing a good rave and getting punters excited

[Rawz]

Still trading on a 9% gross yield at these levels. Will easy go to $4

[ronaldson]

Going gangbusters. The only star of my 2023 competition picks! More to come I think.

[alokdhir]

As per ASB Securities data ...TRA at current price has 17.24 p/e adjusted ...while MFT is on 15.91 p/e adjusted ...

I am wondering which is a better GARP stock ...maybe some Legend will enlighten me soon ...lol :p

[winner69]

As per ASB Securities data ...TRA at current price has 17.24 p/e adjusted ...while MFT is on 15.91 p/e adjusted ...

I am wondering which is a better GARP stock ...maybe some Legend will enlighten me soon ...lol :p

Goodness knows where that 17.24 comes from

I reckon it’s about 10

[alokdhir]

Goodness knows where that 17.24 comes from

I reckon it’s about 10

From ASB securities quote details .

.https://www.nzx.com/instruments/TRA

NZX says 16.87

[Rawz]

As per ASB Securities data ...TRA at current price has 17.24 p/e adjusted ...while MFT is on 15.91 p/e adjusted ...

I am wondering which is a better GARP stock ...maybe some Legend will enlighten me soon ...lol :p

Ill be your legend :)

NPBT going to be $45m so NPAT say $32.4m. 86.7m shares= 37.4eps. At todays SP of $3.75 its a P/E of about 10 like Winner says.

But Alokdhir i agree with you mate. Deserves a P/E of 17.24 so SP of $6.44 here we come

[alokdhir]

Ill be your legend :)

NPBT going to be $45m so NPAT say $32.4m. 86.7m shares= 37.4eps. At todays SP of $3.75 its a P/E of about 10 like Winner says.

But Alokdhir i agree with you mate. Deserves a P/E of 17.24 so SP of $6.44 here we come

OK....I didnt know u were counting your eggs as chickens already ...Good luck with your valuations mate

[Muse]

3 brokers cover TRA (CIP, Forbar, Jarden).

Average FY23 estimates (March YE): EPS 36.7, DPS 23
Average FY24 estimates: EPS 35.4, DPS 23
Average FY25 estimates: EPS 40.0, DPS 26.5

[alokdhir]

3 brokers cover TRA (CIP, Forbar, Jarden).

Average FY23 estimates (March YE): EPS 36.7, DPS 23
Average FY24 estimates: EPS 35.4, DPS 23
Average FY25 estimates: EPS 40.0, DPS 26.5

Thanks buddy for highlighting the dip expected in FY24 ....

[Rawz]

Thanks buddy for highlighting the dip expected in FY24 ....

same dip MFT will see according to the brokers. see what happens eh..

[alokdhir]

same dip MFT will see according to the brokers. see what happens eh..

But MFT is already discounting that dip in its price and ratios ...at least to big extent ...where as TRA is going gung ho ...but U like it so its all good ...I dont as I will any day prefer MFT a large cap bluechip of 20 years record of growth over a small cap TRA ...personal choice based on long experience mate ...maybe one day u will appreciate that ...

[Muse]

lol pleasure.

as always lets see how the result comes out and understand the implications for the new current financial year, FY24, and how analyst forecasts change.

not implausible there could be a dip this year if FY23 included some cyclone induced over trading, together with macro headwinds. Wouldn't rule out rule out holding steady or slight growth this year either (company has good initiatives under way). I don't have a feel either way and look forward to reading the result to better inform my own perspective.

I likewise agree with the consensus that MFT's profit will fall in FY24 from FY23.

I hold good sized holdings in both for different reasons. TRA for it's strong quarterly yield with the possibility of modest capital appreciation over the next 5 years, and MFT for the possibility of much more modest yields but strong capital appreciation over the long term.

One can have it all and hold both lol

[Rawz]

But MFT is already discounting that dip in its price and ratios ...at least to big extent ...where as TRA is going gung ho ...but U like it so its all good ...I dont as I will any day prefer MFT a large cap bluechip of 20 years record of growth over a small cap TRA ...personal choice based on long experience mate ...maybe one day u will appreciate that ...

TRA current P/E of 10 is a safe bet imo. Solid dividend and clear growth ahead of it with the branch network expansion.

MFT is obviously a proven compounder and trading on good ratios as you say

Both are good investing right now. Both should be in ones portfolio.

[alokdhir]

lol pleasure.

as always lets see how the result comes out and understand the implications for the new current financial year, FY24, and how analyst forecasts change.

not impassable there could be a dip this year if FY23 included some cyclone induced over trading, together with macro headwinds. Wouldn't rule out rule out holding steady or slight growth this year either (company has good initiatives under way). I don't have a feel either way and look forward to reading the result to better inform my own perspective.

I likewise agree with the consensus that MFT's profit will fall in FY24 from FY23.

I hold good sized holdings in both for different reasons. TRA for it's strong quarterly yield with the possibility of modest capital appreciation over the next 5 years, and MFT for the possibility of much more modest yields but strong capital appreciation over the long term.

One can have it all and hold both lol

Agree with your thoughts ...but I prefer large caps and liquid stocks ...yes ...in next 5 years MFT will outpace TRA in absolute returns imho

[Muse]

I wouldn't bet against you being right.

None the less for my own personal objectives in the way I've structured my portfolio I want some equities with strong, regular dividends, and some long term growth stocks. If I was younger I'd probably have a greater concentration of growth stocks. But from where I sit here today, the mix I've got is right for me (or so I tell myself anyway lol).

and I continue to think TRA has good capital appreciation potential over the next 5 years but I don't necessarily expect the journey to be a linear one.

[alokdhir]

I wouldn't bet against you being right.

None the less for my own personal objectives in the way I've structured my portfolio I want some equities with strong, regular dividends, and some long term growth stocks. If I was younger I'd probably have a greater concentration of growth stocks. But from where I sit here today, the mix I've got is right for me (or so I tell myself anyway).

and I continue to think TRA has good capital appreciation potential over the next 5 years but I don't expect the journey to be a linear one

I am comfortable with your plan ...for regular income I prefer KFL quarterly distributions ...tax efficient and great portfolio at a discount ...as me already retired so it keeps pressure low to keep hunting for yield ...small caps tend to fade very quickly ...need keep track ...which I dont want to ...so KFL helps ...but as u are more hands on and very well informed participant ...it works well for u .

[Rawz]

I am comfortable with your plan ...for regular income I prefer KFL quarterly distributions ...tax efficient and great portfolio at a discount ...as me already retired so it keeps pressure low to keep hunting for yield ...small caps tend to fade very quickly ...need keep track ...which I dont want to ...so KFL helps ...but as u are more hands on and very well informed participant ...it works well for u .

Your portfolio must be pretty concentrated with MFT and FPH if your 3 main are KFL, MFT and FPH (given that MFT and FPH are top 2 for KFL).
Does that ever concern you?

[Muse]

just you wait alokdhir - forbar are saying TRA has a shot of getting into the NZX50...just wait for all the ramping to start and the index pop to happen (lol) - boy are you going to get FOMO (for a few weeks lol)

[alokdhir]

just you wait alokdhir - forbar are saying TRA has a shot of getting into the NZX50...just wait for all the ramping to start and the index pop to happen (lol) - boy are you going to get FOMO (for a few weeks lol)

I didnt participate in the pop and bust of HLG ...neither I want to take TRA ride ..its too scary for a oldie ...lol

But I know and have seen wonders of low cap illiquid stocks ...Good luck with your ride UP ...hopefully u will get out near the TOP ..lol :p

[alokdhir]

Your portfolio must be pretty concentrated with MFT and FPH if your 3 main are KFL, MFT and FPH (given that MFT and FPH are top 2 for KFL).
Does that ever concern you?

KFL is a fund of 13 stocks ...so its diversified enough ...Top up is pure growth long term stuff like MFT / FPH / IFT /EBO/ SUM etc ....currently overweight MFT and out of FPH ...so it's not that concerning ...also all these are large cap bluechips ....they doing WHS ...chances are less ...still can do ATM ...but I never liked ATM as it was one country wonder ...also a country which can change overnight ...need see diversified streams of revenue and profit centres

[ronaldson]

Rawz (#7722) has appreciated perhaps the most significant comment in the presentation - that TRA is presently the 54th largest company on the NZX by free float market cap.

When you look at the effect of being admitted to/removed from the NZX 50 Index (eg HLG/ERD recently) then the potential for an upward realignment of the share price in this instance is quite high given TRA's ongoing expansion and underpinned by a regular dividend regime.

I would say some will start positioning for this stock to be included in the NZX 50 later this year or early next. It is inevitable if TRA is assessed as the most likely candidate this will drive the price higher this year which in turn fast tracks the possibility of inclusion.

And I believe the next results announcement is on Tuesday - so do you dare wait and see, or buy now?

[BlackPeter]

3 brokers cover TRA (CIP, Forbar, Jarden).

Average FY23 estimates (March YE): EPS 36.7, DPS 23
Average FY24 estimates: EPS 35.4, DPS 23
Average FY25 estimates: EPS 40.0, DPS 26.5

Always amazes me that analysts, while not able to (correctly) predict the share price in a year, not able to forecast whether interest rates will go up or down over the next year, whether we will have a recession and how severe it will be, having no clue what the petrol price will be in 6 months, a year or two or three, and not knowing about the future of traffic, still seem to be able to work out an earnings forecast three years ahead down to the first decimal of a cent:);

Amazing, indeed ;)

[Muse]

Always amazes me that analysts, while not able to (correctly) predict the share price in a year, not able to forecast whether interest rates will go up or down over the next year, whether we will have a recession and how severe it will be, having no clue what the petrol price will be in 6 months, a year or two or three, and not knowing about the future of traffic, still seem to be able to work out an earnings forecast three years ahead down to the first decimal of a cent:);

Amazing, indeed ;)

Indeed. But that is quite literally their job.

As always consensus (whether you grab that via marketscreener which often doesn't include all the brokers or you obtain yourself from the relevant latest reports) should be taken with a grain or two of salt.

But it's a useful place to start and get the broad strokes of the financial metrics (both historic and prospective).

I often read the reports with interest - not so much with a focus on the TP's or financial forecasts - but on the underlying operational drivers and trends that make the business work. Can learn a lot about what makes a business tick from the reports that might not otherwise occur to you.

And there is a decent amount free floating around.

For instance, on TRA, you can read a 37 page initiation of coverage report of TRA (dated 8 February 2023) authored by Forbar, and a report updated for its recent trading update dated 8 March 2023, by visiting MST Access.

Some interesting stuff in there...how used car volumes faired through the GFC, trends in TRA's sales and marketshare, overviews of its volume channels and margins per vehicle, interest rate cover and NIM considerations, insurance net loss ratios, etc.

Some analysts are better on certain companies than others and worth following whereas some are not. I've seen many reports that weren't worth the paper they were written on. But there are some great analysts out there who are extremely proactive in doing their research, have integrity, and write balanced and thoughtful research.

The ASX has a lot of research made available and it's worth getting on their broker research mailing list.

In the end you have to make your own financial decision but they are a great starting place in efficiently gaining knowledge.

[alokdhir]

As per my recent study of TRA vs MFT investment option ....TRA 9 years average PER is 10.2 so valuations based on 35 Cents FY 24 eps = NZD 3.57 ...fully priced at current SP with some exuberance over NZX50 inclusion event possibility

MFT 13 years average PER is 21.2 and expected FY24 eps is 3.72 thus SP valuations = $ 78.86 ...still some place left to grow !!

This simple analysis based on market screener data is self explanatory ...TRA is currently trading over its historic valuations while MFT is trading below same parameters . Hype can take it anywhere but can hype sustain it there is another question .

[Muse]

As per my recent study of TRA vs MFT investment option ....TRA 9 years average PER is 10.2 so valuations based on 35 Cents FY 24 eps = NZD 3.57 ...fully priced at current SP with some exuberance over NZX50 inclusion event possibility

MFT 13 years average PER is 21.2 and expected FY24 eps is 3.72 thus SP valuations = $ 78.86 ...still some place left to grow !!

This simple analysis based on market screener data is self explanatory ...TRA is currently trading over its historic valuations while MFT is trading below same parameters . Hype can take it anywhere but can hype sustain it there is another question .

Quite different companies and investment propositions - apples and oranges, no? Be like comparing FPH with Meridian

Your point still well made.

TRA having a nice rally & sitting on a nine month high. Bit of NZX50 hype, bit of a good NZX Virtual presentation last week, but also the full year result next week & people buying in advance of the dividend (never ceases to amaze me how people eagerly line up to pay for their dividend). I also know of two people who had their cars written off in the rain a fortnight or so ago so wonder if there is a bit of that in the background. How enduring these will be I don't know, and as I'm neither a buyer or a seller, not fussed either way.

I would like my MFT holding to be larger & last time I purchased was in july 2020 and it's been a long time between drinks for such a high class company. I have my eye out for forecast EPS downgrades as some data I've seen together with my gut tells me they might be coming.

Low multiples for a company (relative to its LT history) may signal value but they may also signal the market has doubts about the maintainability of current year earnings and the achievability of forecast earnings, particularly for cyclical companies like retailers, banks (yes, incl. HGH), logistics companies. So something that looked like (say) a 10 PE on forecast earnings, may well have wound up implying something much more when the actual earnings are released.

Will continue to sit on the sidelines for a while. Not buying anything until after the debt limit issue is known in America and likewise sold a few shares (aussie ones). The macro pictures & recent movements in interest rates are giving me some pause for thought - a lot recent froth in the market that I'm not sure reflects the outlook so happy to sit on a tad bit more cash.

[alokdhir]

Quite different companies and investment propositions - apples and oranges, no? Be like comparing FPH with Meridian

Your point still well made.

TRA having a nice rally & sitting on a nine month high. Bit of NZX50 hype, bit of a good NZX Virtual presentation last week, but also the full year result next week & people buying in advance of the dividend (never ceases to amaze me how people eagerly line up to pay for their dividend). I also know of two people who had their cars written off in the rain a fortnight or so ago so wonder if there is a bit of that in the background. How enduring these will be I don't know, and as I'm neither a buyer or a seller, not fussed either way.

I would like my MFT holding to be larger & last time I purchased was in july 2020 and it's been a long time between drinks for such a high class company. I have my eye out for forecast EPS downgrades as some data I've seen together with my gut tells me they might be coming.

Low multiples for a company (relative to its LT history) may signal value but they may also signal the market has doubts about the maintainability of current year earnings and the achievability of forecast earnings, particularly for cyclical companies like retailers, banks (yes, incl. HGH), logistics companies. So something that looked like (say) a 10 PE on forecast earnings, may well have wound up implying something much more when the actual earnings are released.

Will continue to sit on the sidelines for a while. Not buying anything until after the debt limit issue is known in America and likewise sold a few shares (aussie ones). The macro pictures & recent movements in interest rates are giving me some pause for thought - a lot recent froth in the market that I'm not sure reflects the outlook so happy to sit on a tad bit more cash.

Apples and Oranges got levelled by much different historic PERs ...after all for an investor it doesn't matter from where the moolah comes from ...10.2 vs 21.2 has built in difference of pedigree and market behaviour and track records and what not ...Russel2000 always trades at much lower PERs then maybe Dow or S&P etc

Main point being whether one shud try to join the hype or not ...me is saying better to avoid the hype exuberance ...one is better off buying MFT at current SP then TRA ...but thats me always trying to miss some action then getting caught on the wrong foot ...one in hand is better then two ....lol

[Muse]

They've different capital profiles...Turners on one hand have a large finance book with huge assets employed where debt is raw consumable & an operating rather than a capital item. Freight forwarding on the other hand is a relatively capital light business - capex for new sites and DCs, but not nearly as capital intensive as turners who in addition to the book have to buy the cars as stock (MFT just forward other people's stock). Hence MFT has higher ROA's and ROE's than TRA and all things equal ought to command a higher PE.

Low PE doesn't necessarily mean good and a high PE doesn't necessarily mean bad, particularly when you compare businesses in different industries with different business mechanics, but they become more interesting to compare & understand why they differ for businesses in the same sector.

Anyway always enjoy our back and forths. and you can be assured that if TRA get closer to included in the NZX50, the hyping won't be coming from me....

[alokdhir]

They've different capital profiles...Turners on one hand have a large finance book with huge assets employed where debt is raw consumable & an operating rather than a capital item. Freight forwarding on the other hand is a relatively capital light business - capex for new sites and DCs, but not nearly as capital intensive as turners who in addition to the book have to buy cars (MFT just forward other people's stock). Hence MFT has higher ROA's and ROE's than TRA and all things equal ought to command a higher PE.

Low PE doesn't necessarily mean good and a high PE doesn't necessarily mean bad, particularly when you compare businesses in different industries with different business mechanics, but they become more interesting to compare & understand why they differ for businesses in the same sector.

Anyway always enjoy our back and forths. and you can be assured that if TRA get closer to included in the NZX50, the hyping won't be coming from me....




Many HMVs here but doesn't matter as long as participants know what they getting into ...I do try my bit to place other side of the story too ...rest is up to people to decide and do their own research

Good luck with your TRA holdings and hopefully u will get another chance at your price to get more of MFT ...me is not looking to add anymore ...already my MFT holding is causing concern to dear friend Rawz ...so I must not add more even if goes below $ 65 ...but I will be hoping it doesn't ...lol

[Muse]

Whats a HMV?

[alokdhir]

Whats a HMV?

Dont u remember the old English records company ? :p

[Snow Leopard]

Dont u remember the old English records company ? :p

I started my working life with EMI who owned the 'His Master's Voice' label.

Occasionally got involved in the music side of things and the production of good old vinyl records.

Disc: hold TRA and have done for years.

[sb9]

All set for drum roll tmrw...hopefully they can smash the numbers out of park, no pressure Todd :p

[Louloubell]

There will be no surprises. The expected eps will be 37 cents and the final divvie of 7 cents.
One of the things I'm interested in is the market share, I think this will have continued to increase and to be close to 10%.
Also, are they planning to establish more local outlets?

[Rawz]

Hope there is another SP roadmap in the presso somewhere. I like it.. lol. even if the analysts poo poo it

[Muse]

There will be no surprises. The expected eps will be 37 cents and the final divvie of 7 cents.
One of the things I'm interested in is the market share, I think this will have continued to increase and to be close to 10%.
Also, are they planning to establish more local outlets?

Well there we go…37.7, 23dps, full year contributions from new sites in 2h F23 in FY24, and new sites in Q4 fy24. And hello DRP. Smidge under 9% quarterly mktshare. Even got a fy25 pbt roadmap for rawz (could slip a year and that’d be understandable)

[winner69]

I’ll get in first ….We’ll done Todd and the team

[Muse]

I’ll get in first ….We’ll done Todd and the team

You beat black pete

[winner69]

You beat black pete


I think they have their secret mutual admiration society and Peter not keen on disclosing his big holding …..after all Turners meets all his criteria for it to be a great investment ….even a garp one

[bull....]

good result .... cyclone helped ?
i dont agree with there prediction on pg 43 of OCR down cycle commencing 2nd half this yr therefore have to question there chances of achieving 50m target by 25 if there forecasts are based on lower rate cycle. Also rbnz forecasting after this wed may show much higher for longer forecast throwing into doubt even more there senario's

i brought tra as disclosed on black monday thread around 330 mark

[LaserEyeKiwi]

Good result - continues to be a very well run business.

[Muse]

good result .... cyclone helped ?
i dont agree with there prediction on pg 43 of OCR down cycle commencing 2nd half this yr therefore have to question there chances of achieving 50m target by 25 if there forecasts are based on lower rate cycle.

i brought tra as disclosed on black monday thread around 330 mark

cyclone probably helped some in Q4.

re the roadmap and interest rate risk, & the original FY25 target set in FY22, that's why they now updating to suggest a scenario where "OCR peaks higher than 5.5% & increasing cycle continues into 23/24 then more likely to achieve $50m target by FY26". Broker consensus already assumed the $50m target could take a bit longer than FY25 - consensus prior to today sat at 48 in FY25. Will be interesting to watch how it changes.

[Ggcc]

good result .... cyclone helped ?
i dont agree with there prediction on pg 43 of OCR down cycle commencing 2nd half this yr therefore have to question there chances of achieving 50m target by 25 if there forecasts are based on lower rate cycle. Also rbnz forecasting after this wed may show much higher for longer forecast throwing into doubt even more there senario's

i brought tra as disclosed on black monday thread around 330 mark
I agree that the 50M by 2025 could be challenging, but I feel that it will be more challenging for the little guys who are continuing to fall. This is where Turners have the strength to endure and pick up sales off other business failures. I am ok if they make 50M in 2026, at least they have a 2025 goal that seems moderately achievable. Im guessing this is where you sell and wait for a clearer picture?

I also spoke with a local dealer that says the Cylone will help their (TRA) business for approximately 6 months as they help insurance companies sell the usable parts of vehicles that were written off.

EDIT: only roughly 50% of all cars written off

[Muse]

FYI bull...about 1.2cps from the floods.

[Jonette]

Great to hear their answer on new cars. Turners is THE used car brand. A new car business comes with a new brand and picking up risks from the supplier. Imagine the damage potential of a major recall!

great expansion plans but still timid, eg Lower Hutt but not yet Wellington. The only presence in the region remains Porirua after they pulled from central Wellington

[percy]

Developing their own sites Turners [insurance] get to keep the development margin.A good earner.
• Property, plant and equipment increase due to
development of sites in Rotorua, Nelson, and
acquisition of sites in Tauranga, Napier, and
Christchurch.

[Louloubell]

Yep, I particularly like their expansion plans.

[winner69]

Don’t anybody tell Sailer Rob about the Turners insurance float that Percy mentioned

[Sideshow Bob]

Hold none myself, but been buying in my daughters Sharsies account for the past 6 months.

When I last went through it with her the other day, normally her eyes glaze over when I explain what companies she has money invested in and what they do. But then I said Turners Automotive was one of her largest holdings.

Not expecting her to know who they are she said: TINNNNNNAAAAAAA FROM TURNERS

The power of advertising!!

She is a happy holder!! :)

[bull....]

FYI bull...about 1.2cps from the floods.

thx
i will see what the rbnz do tomorrow to get a better idea on the road ahead for tra

[peat]

I'll be up for the DRP!

[Onemootpoint]

Yep, I particularly like their expansion plans.

Agreed. Looking good long term.

[Jonette]

"A dividend reinvestment plan (DRP) will be a feature of the final dividend with a 2% discount applied for those taking up the DRP"

The DRP may be good or not so good, it depends on TRA price variability and the rules applying to DRP (Todd says they will be released shortly). I have been applying my own DRP for mine as well as my grandchildren's shares for the last year and found that if I stick to buying between announcement and payment there is often a very low point in price and the 2% discount may not be enough (about 7¢ per share) to beat that strategy.

The downside of DRP is that it is dilatory, ie as I understand it, these shares will be issued as new, which means the dividend can be applied to increase equity, reducing dividends in future by a tiny amount.

I will wait for the rules before committing.

[peat]

The DRP may be good or not so good, it depends
well yes one can argue the minutiae of entry points and opportunity costs but if income is not required then its a good way to set and forget for capital appreciation. sure you might judiciously purchase at better prices (or not) so yeh, unless the rules are horrendous - and 2% discount sounds generous to me - then let it (D)riP

[RTM]

well yes one can argue the minutiae of entry points and opportunity costs but if income is not required then its a good way to set and forget for capital appreciation. sure you might judiciously purchase at better prices (or not) so yeh, unless the rules are horrendous - and 2% discount sounds generous to me - then let it (D)riP

2% doesn't sound anywhere enough to me. I got sick of being stung on Heartland......so I now take the div and make my investment decisions when I want to. An advantage of this is I will buy a decent quantity of shares, rather than a dividend amount.
But yeah...automatic compounding, set and forget...not all bad.

[Habits]

2% doesn't sound anywhere enough to me. I got sick of being stung on Heartland......so I now take the div and make my investment decisions when I want to. An advantage of this is I will buy a decent quantity of shares, rather than a dividend amount.
But yeah...automatic compounding, set and forget...not all bad.


Any reason it can't be ten percent. Unless the NAB is above market price

[Snoopy]

Any reason it can't be ten percent. Unless the NAB is above market price



I can think of a couple. Turners Automotive don't need new capital that much, to warrant a discount that high. And a 10% discount on new DRP shares would be stealing future returns from other shareholders who elect to take the cash dividend.

SNOOPY

[RTM]

I can think of a couple. Turners Automotive don't need new capital that much, to warrant a discount that high. And a 10% discount on new DRP shares would be stealing future returns from other shareholders who elect to take the cash dividend.

SNOOPY

I thought there also might be some tax or other rules associated with a large discount ?
Not sure tho.

[Snoopy]

I thought there also might be some tax or other rules associated with a large discount ?


Well if you bought shares cum dividend, with the specific intention of getting DRP shares, that you would then unload quickly for a profit then 'yes'. Any gains you made on selling those new shares -once sold- would be taxable. And sure a 10% discount might give some a better incentive to do this than if the DRP shares were dished out at a 2% discount. But what you have to remember is that the business does not fundamentally change at the ex dividend date. All that happens is that the same earning capacity is distributed over more shares. That means no value overall is created by the DRP, with the gain in value of any new shares being issued under the DRP exactly matched by an equivalent loss in value spread over the existing shares. IOW no gain overall. Nothing to tax.

SNOOPY

[billkiapi]

Never thought I would invest in a car dealer, but invest I shall- I like their expansion plans and they've done well in a difficult market

[Onemootpoint]

DRP announced in case anyone missed it:

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/TRA/412311/395629.pdf

[percy]

https://stockhead.cmail19.com/t/d-l-vlhlhut-yupddjlly-m/

[Rawz]

https://stockhead.cmail19.com/t/d-l-vlhlhut-yupddjlly-m/

Nice article thanks for sharing

[BlackPeter]

One of my goals for FY24 is to turn you into a TRA supporter Black Peter!


Just to keep my (voluntary) disclosure up to date ...

It took me some time, but I managed by today to buy a M-sized parcel for a price I was prepared to pay.

Promise however to keep pointing out any risks I can see with the company - we certainly have already enough other cheer leaders on this thread.

Does this qualify me as supporter?

[Muse]

Good on you for disclosing BP!

Nothing wrong with pointing out the risks - that's what any objective person ought to do. There are many associated with this share.

You are well qualified as an objective holder.

I actually bought some as well. I wasn't intending too at all...I've bought TRA shares I think 7 or 8 times over the years. But after selling down a ridiculously priced lithium holding I had some spare dosh I split the winnings up and bought more TRA, GNE, CEN, and SKC over the last 2 days. Don't like this will have been my 2nd highest parcel (price per SP) that I've purchased in TRA, but wanted to convert some non dividend paying shares into divy yielding shares and thought TRA fit the bill. Was pleased the debt limit got raised so spent some that I had been holding back.

Keep us honest BP. No harm in that.

[Rawz]

Yooooooo welcome aboard BP

Good on ya.

[Ggcc]

Just to keep my (voluntary) disclosure up to date ...

It took me some time, but I managed by today to buy a M-sized parcel for a price I was prepared to pay.

Promise however to keep pointing out any risks I can see with the company - we certainly have already enough other cheer leaders on this thread.

Does this qualify me as supporter?

Nice one. I hope it lives up to your expectations. It certainly has done well for me over the last couple of years. Welcome on board

[Onemootpoint]

No, Tina from Turners didn’t die.

https://www.stuff.co.nz/entertainment/tv-radio/300897291/no-tina-from-turners-didnt-die

[toddhunter]

Just to keep my (voluntary) disclosure up to date ...

It took me some time, but I managed by today to buy a M-sized parcel for a price I was prepared to pay.

Promise however to keep pointing out any risks I can see with the company - we certainly have already enough other cheer leaders on this thread.

Does this qualify me as supporter?

I will take that as a win Black Peter!

[Louloubell]

Isn't it fully appropriate that Tina has some cheer leaders, doesn't that fit well with her image?

[777]

She should have got a Grand Dame gong today, ahead of the one that got it.

[Jonette]

NZAI recently changed their company name to 2 Cheap Cars. An extremely odd marketing move, emphasising cheap will not work well.

However they also just closed their Hawkes Bay yard, they may have been washed out but they no longer have a presence. It was performing badly for a long time before they closed, with only 30 cars on their lot at most. Interestingly their Wellington yard looks similar with only 20 cars on the poorly located lot (on a busy roundabout), reducing inventory over recent weeks.

Since the owners listed the company and sold shares, the share value has plummeted from $1.30 at launch just 2 years ago to now $0.27. And they appear to be exiting the market.

Glad I could see that coming!

[percy]

NZAI recently changed their company name to 2 Cheap Cars. An extremely odd marketing move, emphasising cheap will not work well.

However they also just closed their Hawkes Bay yard, they may have been washed out but they no longer have a presence. It was performing badly for a long time before they closed, with only 30 cars on their lot at most. Interestingly their Wellington yard looks similar with only 20 cars on the poorly located lot (on a busy roundabout), reducing inventory over recent weeks.

Since the owners listed the company and sold shares, the share value has plummeted from $1.30 at launch just 2 years ago to now $0.27. And they appear to be exiting the market.

Glad I could see that coming!

I can not comment on Hawks Bay or Wellington,however ChCh branch had 70 cars on their site and sell approx 50 a month.Yes 8.57 stock turns.
Their balance sheet is strong with an equity ratio of 55.07%,an excellent cash flow from operations..Intersting to note 41% of their sales are electric or hybrid.
Happening on 26th June NZA to new ticker 2CC.
Makes sense .
"This change marks a new beginning. A reset was needed and that is what has happened. It's now about accelerating performance to new heights. The new board and CEO are well established now and working exceptionally well together. We've made tremendous progress in the recent months with the appointment of new Auditor UHY Haines Norton Sydney, successfully changed over trade finance providers to strengthen our access to funds. There is almost an entirely new leadership team in place and their progress on results over the last quarter in particularly is a great start. We've done a reset, the past is past and we want to be judged on our performance from this point forward," Stiassny says.

[winner69]

Deleted ….Bubbah is one nice person

[Sideshow Bob]

Annual Report

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/TRA/413843/397411.pdf

[Rawz]

Found TRA on page 3. Not much going on.

Just realized im heavily exposed to NZs used car market. Between TRA and 2CC it makes up 40% of my portfolio. Suppose used cars is just as good as any place to hide in a recession..

[ronaldson]

A Q&A with Todd and Aaron Saunders (Group CFO) has been arranged for Auckland Branch members of NZSA next Wednesday. This sort of happening/company visits are a real benefit of membership of NZSA, and always interesting.

[Snoopy]

Found TRA on page 3. Not much going on.

Just realized im heavily exposed to NZs used car market. Between TRA and 2CC it makes up 40% of my portfolio. Suppose used cars is just as good as any place to hide in a recession..


It could be worse. If you actually owned a used car, your exposure would increase again.

SNOOPY

[BlackPeter]

It could be worse. If you actually owned a used car, your exposure would increase again.

SNOOPY

Doesn't anybody own a used car? Any new car is only "new" until it rolls off the dealers car yard.

[Snoopy]

Doesn't anybody own a used car? Any new car is only "new" until it rolls off the dealers car yard.


Some of us get different jokes at different speeds. Good you got there eventually BP.

SNOOPY

[nztx]

https://www.nzherald.co.nz/business/how-the-tina-from-turners-ad-paid-off-in-a-month/LAJ7NQFB4ZAKFJ3I6OEVSLL2J4/

How the ‘Tina from Turners’ ad paid off in a month



Tina from Turners has helped Turners Automotive Group buy and sell more used “cars, cars, cars” - so many that it paid off the company’s $300,000 ad campaign within one month.

The award-winning campaign, starring comedian Sieni Leo’o Olo as ‘Tina’, encouraged New Zealanders to sell their cars for cash through the re-seller Turners, instead of independently through platforms such as Facebook Marketplace.

“It has been unbelievably successful,” Turners chief executive Todd Hunter told Markets with Madison.

“We can see it in the business metrics. That campaign paid for itself in month one, which is pretty unheard of.”

The initial advertisement cost $300,000 to create and air in media - more advertisements were in the works.

[ronaldson]

Just back from the Turners presentation to the Auckland Branch members of NZSA. A good business on a very solid footing in my opinion.

This share is not currently included in the NZX 50 index BUT is now the 47th largest company on the NZX by free float market cap as at 20 June 2023. Not sure where Todd sourced this particular statistic but I have no doubt he will be correct as management will be following this circumstance. Previously TRA has been reported as being just outside the index inclusion cut off so I imagine TRA is now next in queue when the Index is up for the regular quarterly rebalance.

So if you have been agnostic about this share in the past but are persuadable then buying in doesn't seem to have a lot of downside risk just now.

[Ricky-bobby]

Thanks Ronaldson, would they have the liquidity to be in the nzx50?

[winner69]

Just back from the Turners presentation to the Auckland Branch members of NZSA. A good business on a very solid footing in my opinion.

This share is not currently included in the NZX 50 index BUT is now the 47th largest company on the NZX by free float market cap as at 20 June 2023. Not sure where Todd sourced this particular statistic but I have no doubt he will be correct as management will be following this circumstance. Previously TRA has been reported as being just outside the index inclusion cut off so I imagine TRA is now next in queue when the Index is up for the regular quarterly rebalance.

So if you have been agnostic about this share in the past but are persuadable then buying in doesn't seem to have a lot of downside risk just now.

Hope so

Help get the share price to 5 bucks ….going to be a struggle without boosts like NZX50 inclusion

[Rawz]

Hope so

Help get the share price to 5 bucks ….going to be a struggle without boosts like NZX50 inclusion

Its okay where it is at. Better buying at these levels out of the monthly pay pack.

Never sold TRA. Only ever added

[Alekhine]

Yes, excellent presentation today by Todd and the team. I spoke to Todd about index inclusion and he doesn’t think liquidity is an issue. I think it is a matter of when not if. They have done well given the current environment and when the economy turns, I think that they will catch a significant tailwind. In my view there is very little down side to this business, as long as interest rates don’t move higher. They have indicated that they are performing ahead of expectations for the current financial year and I think that we will all look back at $3.60 per share in a year or two and feel that it was an absolute bargain.

Disc: substantial holder

[ronaldson]

Thanks Ronaldson, would they have the liquidity to be in the nzx50?

Agree with Alekhine's post above. I believe index inclusion criteria takes account of "free float" only and that all shareholdings in Turners qualify as such.

The last Annual Report, for FY23, indicates a spread of over 4800 shareholders. The Chairman, Grant Baker, has 7.44% via Montezmolo Holdings Limited, Director Alaister Petrie 12.24% via Bartel Holdings Limited and Director Mathew Harrison 7.47% via Harrigens Trustees Limited and other family interests. These shareholdings may be both beneficial or as trustee. Even Todd Hunter, CEO, has almost 1% so there is plenty of skin in the game.

[winner69]

Another lot of Directors jumping on the gravy train craze and wanting big pay increase

That Strategic Pay outfit must be creaming it these days …….changing a few numbers in a standard template at regular intervals and no doubt charging an arm and a leg for ‘coming up’ with a good number

Another NO vote from me ..but they won’t care

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/TRA/415114/398950.pdf

[Sideshow Bob]

Another lot of Directors jumping on the gravy train craze and wanting big pay increase

That Strategic Pay outfit must be creaming it these days …….changing a few numbers in a standard template at regular intervals and no doubt charging an arm and a leg for ‘coming up’ with a good number

Another NO vote from me ..but they won’t care

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/TRA/415114/398950.pdf

Sounds like they are taking a page from the McKinsey playbook......

First thing they say are the board/senior management are underpaid and behind the market etc.

So they keep getting employed and those hiring them know what they are going to say.

No, no, no, I'm not a cynic! :huh:

[Rawz]

did us shareholders get a payrise this year? i dont really follow the dividends tbh, its just money that turns up in my account.

[Sideshow Bob]

did us shareholders get a payrise this year? i dont really follow the dividends tbh, its just money that turns up in my account.

Last 4 quarterly divvies were 23c total. 4 quarters before that was 22c total. That's about a 4.54% increase....

[winner69]

did us shareholders get a payrise this year? i dont really follow the dividends tbh, its just money that turns up in my account.

No pay rise for this year rawz …they used word ‘flat’

And the 40% increase they after is greater than dividend increase from when they last increased their pay

[ronaldson]

I read the 17 page report from Strategic Pay. I don't begrudge some increase but will vote against the proposal for a 38.3% increase to $920k in total.

While I have proxied to NZSA under all hats for holdings I manage I will take back the proxy in this instance and vote NO. Of course, I don't know what NZSA are intending to do currently so that may not be necessary. I will wait and see.

[Sideshow Bob]

Might be different if Tina was getting a 38.3% payrise too......

[winner69]

When they sent the notice of ASM in 2018 saying they need a pay rise the TRA share price was $2.91

Share price up 24% since then ….and they want a 38% pay rise …whose kidding who

NO from me

[winner69]

Trusty old RBNZ inflation calculator says $665k in Q3 2018 is now $799k

Using the Wage Inflation bit it $824k

And they want $920k

Somebody mention greedflation or similar term the other day

But Strategic Pay say they deserve it and of course top calibre people as well

[Sideshow Bob]

DRP Launched....

https://www.nzx.com/announcements/415399

[Antipodean]

A nice DRP day for shareholders, 3.60/3.54 = 1.7% brokerage free return for clicking a few buttons is not too shabby.

TRA have shown in the past they are capable of applying capital for good value - so hopefully the uptake of 420,981 shares, not paying that ~$1.5m will grow the company well into the future.

[Muse]

A nice DRP day for shareholders, 3.60/3.54 = 1.7% brokerage free return for clicking a few buttons is not too shabby.

TRA have shown in the past they are capable of applying capital for good value - so hopefully the uptake of 420,981 shares, not paying that ~$1.5m will grow the company well into the future.

yes & hope they put the reinvested capital to good use as it is quite dilutive otherwise - if DRP participation rates continue (BOE ~25% elected the DRP), and all else equal, that equates to an annualised increase of shares of about 1.9% (0.48% for this quarterly dividend). 25% a strong take up of the DRP. I'm sure they will put it to good use but its something they should watch and flick off if they can't generate a return on it for whatever reason in the future, IMO.

[ronaldson]

Agree with Alekhine's post above. I believe index inclusion criteria takes account of "free float" only and that all shareholdings in Turners qualify as such.

The last Annual Report, for FY23, indicates a spread of over 4800 shareholders. The Chairman, Grant Baker, has 7.44% via Montezmolo Holdings Limited, Director Alaister Petrie 12.24% via Bartel Holdings Limited and Director Mathew Harrison 7.47% via Harrigens Trustees Limited and other family interests. These shareholdings may be both beneficial or as trustee. Even Todd Hunter, CEO, has almost 1% so there is plenty of skin in the game.


Wonder whether the holders itemised above took the DRIP or cash. Need to wait a day or so to see if any SPH notices filed by these parties.

[winner69]

Turners ROE has ben reasonably consistent over the years

From FY16 to F23 shown below (calculated on avverage equity over year)

FY16 12.4% 11.7% 12.1% 10.3% 9.3% 11.8% 12.9% 12.4% (FY23)

[Jaa]

Turners ROE has ben reasonably consistent over the years

From FY16 to F23 shown below (calculated on avverage equity over year)

FY16 12.4% 11.7% 12.1% 10.3% 9.3% 11.8% 12.9% 12.4% (FY23)

Yet the share price is the same as 6 years ago..

[blackcap]

Yet the share price is the same as 6 years ago..

They do pay out a huge amount in dividends.... that does impact the SP.

But noted, its not really climbing to where they would like it to be.

[winner69]

Yet the share price is the same as 6 years ago..

and directors want a 38% pay rise

[ronaldson]

My family trust finally commenced an initial small holding today with a fill at $3.57. It has been ex the quarterly dividend since 10 July, but the market today has treated it as if the actual payment needed to be reflected.

Time will tell if share price growth can be achieved, but meantime happy with the tax paid yield.

[Jaa]

My family trust finally commenced an initial small holding today with a fill at $3.57. It has been ex the quarterly dividend since 10 July, but the market today has treated it as if the actual payment needed to be reflected.

Time will tell if share price growth can be achieved, but meantime happy with the tax paid yield.

Bought my first parcel in Aug 2017 for $3.49. So you are getting 6 years of growth and inflation for free.

Yield has been good and there has been no dilution until now (a concerning change). After inflation the real return doesn't look as good.

[Jaa]

They do pay out a huge amount in dividends.... that does impact the SP.

But noted, its not really climbing to where they would like it to be.

Wasn't it supposed to be $5 by now?

No way have they earned a director fee increase.

[blackcap]

Wasn't it supposed to be $5 by now?

No way have they earned a director fee increase.

To be fair to them, it has been 5 years since they reviewed their fees and during covid they voted for a three month fee cut.

I see the NZSA have come out and said they will support this resolution.

[Jaa]

To be fair to them, it has been 5 years since they reviewed their fees and during covid they voted for a three month fee cut.

I see the NZSA have come out and said they will support this resolution.

Why is it always more than shareholders earn though?

EPS

2018: 29.30
2023: 37.64

= 28% increase in EPS

[blackcap]

Why is it always more than shareholders earn though?

EPS

2018: 29.30
2023: 37.64

= 28% increase in EPS

You have only taken 2 data points. What was it compared with 2013?

Also you are comparing apples with oranges. Is your wage award linked to the EPS of your firm or the complexity of your task and the skillset your provide?

P.s I am not here to defend them to the death, just being as pragmatic as I can be. I have little skin in the game, am a shareholder, but have only a small holding now as I switched to 2cc a few months ago.

[Jaa]

You have only taken 2 data points. What was it compared with 2013?

Also you are comparing apples with oranges. Is your wage award linked to the EPS of your firm or the complexity of your task and the skillset your provide?

P.s I am not here to defend them to the death, just being as pragmatic as I can be. I have little skin in the game, am a shareholder, but have only a small holding now as I switched to 2cc a few months ago.

In 2013, they were a finance company called Dorchester so not that comparable. I matched the time period you used which seemed reasonable, 5 years.

Surely long term EPS growth is the best way to measure director results? They are employed to sustainably grow the company over time with good judgement not for any specific skillset.

I think they have done pretty well btw as the growth in EPS shows, but a 38% increase is excessive.

I also own both 2CC and TRA. Was surprised by Todd's claim (https://www.nzherald.co.nz/business/how-the-tina-from-turners-ad-paid-off-in-a-month/LAJ7NQFB4ZAKFJ3I6OEVSLL2J4/) that "It wasn’t seeing a significant shift to purchasing electric vehicles in the second-hand market because it had few on hand - Hunter said imported EVs were difficult to source [from] Japan" when 2CC are doing exactly that and EVs are already 50%+ of 2CC sales.

With the July 1 increase in tax subsidy for second hand EVs you could argue that Turner's directors were asleep at the wheel while the market was changing. Their strategy of relying mostly on the NZ market to supply cars to sell is starving them of EVs.

[sb9]

Happy to bank another juicy qtr divvy, very handy in current climate of rising costs

[ronaldson]

Wonder whether the holders itemised above took the DRIP or cash. Need to wait a day or so to see if any SPH notices filed by these parties.

Two notices filed so far, showing directors Roberts and Petrie (via Bartel Holdings) took the DRIP. That's a vote of confidence. We may see others filed today.

[Jonette]

I also own both 2CC and TRA. Was surprised by Todd's claim (https://www.nzherald.co.nz/business/how-the-tina-from-turners-ad-paid-off-in-a-month/LAJ7NQFB4ZAKFJ3I6OEVSLL2J4/) that "It wasn’t seeing a significant shift to purchasing electric vehicles in the second-hand market because it had few on hand - Hunter said imported EVs were difficult to source [from] Japan" when 2CC are doing exactly that and EVs are already 50%+ of 2CC sales.


Lets look at facts;
Turners say they have 7% of the market and they currently hold 5% of market inventory (about 3500 cars) while 2CC hold just 500 cars.

Lets also put some actual numbers to this using inventory of cars today
NZ Market; 3.4% EVs 2418/71218
Turners; 2.8% or 101/3636
2CC; 3.7% or 21/574

BTW, 3.4% market inventory should be termed "few on hand". Turners need ~120 vehicles to match the market while 2CC need just 16, they have 21, so 5 EVs are very few cars to change the stats.

2CC have recently increased their total inventory from 430 just 2 weeks ago to 574 today, so may have taken a new delivery of 21 EVs, ie their numbers are too small to be reliable for a detailed comparison.

This shows no significant difference between the NZ market, Turners or 2CC

[winner69]

Two notices filed so far, showing directors Roberts and Petrie (via Bartel Holdings) took the DRIP. That's a vote of confidence. We may see others filed today.

So it wouldn’t be a good look if Todd didn’t participate in DRP eh

[winner69]

One of those car carrying ships came into Wellington the other ….probably full of new cars

Another 3 due in August

[Jaa]

Lets look at facts;
Turners say they have 7% of the market and they currently hold 5% of market inventory (about 3500 cars) while 2CC hold just 500 cars.

Lets also put some actual numbers to this using inventory of cars today
NZ Market; 3.4% EVs 2418/71218
Turners; 2.8% or 101/3636
2CC; 3.7% or 21/574

BTW, 3.4% market inventory should be termed "few on hand". Turners need ~120 vehicles to match the market while 2CC need just 16, they have 21, so 5 EVs are very few cars to change the stats.

2CC have recently increased their total inventory from 430 just 2 weeks ago to 574 today, so may have taken a new delivery of 21 EVs, ie their numbers are too small to be reliable for a detailed comparison.

This shows no significant difference between the NZ market, Turners or 2CC

Turners strategy is to buy their cars in NZ from fleet/rental sales and from the public (thanks Tina). TRA's size and scale give them an advantage here. Kiwis prefer NZ new cars so this has been a successful strategy and worked even better over COVID when importing and travel was expensive and difficult.

2CC strategy is to source their cars in Japan and import them. 2CC have built up their own operation both in Japan and at the port to select, buy, import and process these cars as efficiently as possible. 2CC's co-founder is Japanese which obviously is an advantage.

Both are good strategies that work best at different times.

As Todd says a very small % of NZ's car fleet is electric so Turners naturally have very few cars to choose from. This will improve in 3-5 years time.

In the meantime, 2CC EV sales is already over 50% of that 574 car stock, say 300 cars. This will continue to increase until competitors both fellow importers and those reliant on NZ sourced cars catch-up.

The government's July 1 EV subsidy change (https://www.nzta.govt.nz/vehicles/clean-car-programme/clean-car-discount/clean-car-discount-1-july-2023-changes/summary-of-1-july-2023-changes/)provides rocket fuel to the 2CC strategy and is a headwind for Turners. Why not get a 3.5k discount off a second hand car?

A quick look at the cars for sale on both companies websites confirms 2CC sourcing strategy is winning for the most in-demand market segments (EVs and Hybrids) and likely will continue to do so for 1-3 years.

[Waltzing]

What is going to happen to all those petrol engine cars in the next 1o years? The crusher?

what is the life cycle of a petrol or DS car in the next decade? Not a car expert. Got 3 push bikes... and all in this tribe have push bikes...

[Ggcc]

What is going to happen to all those petrol engine cars in the next 1o years? The crusher?

what is the life cycle of a petrol or DS car in the next decade? Not a car expert. Got 3 push bikes... and all in this tribe have push bikes...
I really don’t want an electric car due to personal reasons. I don’t believe I’ll be the only one. I won’t be one without a petrol car unless the government make it impossible to own one. I will be one person sourcing a combustion engine car for the next 20 years.

[Fortunecookie]

I really don’t want an electric car due to personal reasons. I don’t believe I’ll be the only one. I won’t be one without a petrol car unless the government make it impossible to own one. I will be one person sourcing a combustion engine car for the next 20 years.

Ford's EV strategy didn't go to plan. So they are diverting to a hybrid strategy. Personally I blame it on the mustang that looks like a homer mobile. On a serious note, extra weight severely impacts the range. So the E150 can't be considered a serious work ute unless people are assured of the range.

[Waltzing]

Oh, Hybrid is therefore the big mover in the Car and UTE category?

Some country's have already introduced or are looking to float the idea of only EV by such and such a date. This likely to be a failed approach then? And the hybrid likely to be the goto for the next decade and more...

[Fortunecookie]

Oh, Hybrid is therefore the big mover in the Car and UTE category?

Some country's have already introduced or are looking to float the idea of only EV by such and such a date. This likely to be a failed approach then? And the hybrid likely to be the goto for the next decade and more...

Don't know what the future holds. Just observing what has recently happened to Ford. Perhaps hybrid is a stop gap measure until EV technology is more robust.

Personally I would like to see a world moving away from fossil fuels. But the difficult thing is how much of a compromise to cost, benefits, productivity, lifestyle etc are we prepared to accept. I say it is difficult. The EU have convinced themselves gas is a green fuel and we saw what happened when it was switched off. The choice between order and anarchy. Each country has the same dilemma. Note Sweden has backtracked on their climate strategy. Apologies I am going on a tangent but it feels like a prisoner's dilemma amongst nations.

[iceman]

I really don’t want an electric car due to personal reasons. I don’t believe I’ll be the only one. I won’t be one without a petrol car unless the government make it impossible to own one. I will be one person sourcing a combustion engine car for the next 20 years.

There are always a few troglodytes, with all new technologies. That’s life

[Snow Leopard]

There are always a few troglodytes, with all new technologies. That’s life

Surely you mean Luddites, I thought.
But I looked them both up and Troglodytes works well.

[Ggcc]

There are always a few troglodytes, with all new technologies. That’s life

It will be nice to see some actual new technology in this sector.

[ronaldson]

Idea of the week - Turners should license Tina to the National Party for election advertisements - no change of clothing required, just the logo.

"You know what I like - Votes Votes Votes "

Would be brilliant!

[blackcap]

Hey Todd, if you are reading, can you please clarify why directors are seeking to get their directors increases backpaid to 2013? In the NOM explanatory notes it says:

Resolution 5
This resolution proposes to shareholders that the pool for Directors’ fees be increased from $665,000 to
$920,000 per annum per financial year, with effect from the financial year commencing 1 April 2013.

[Rawz]

Hey Todd, if you are reading, can you please clarify why directors are seeking to get their directors increases backpaid to 2013? In the NOM explanatory notes it says:

Resolution 5
This resolution proposes to shareholders that the pool for Directors’ fees be increased from $665,000 to
$920,000 per annum per financial year, with effect from the financial year commencing 1 April 2013.

Whaaaat? that cant be true

[777]

Whaaaat? that cant be true

Sounds like a typo.

[Rawz]

Sounds like a typo.

Oh yeah of course must 1st April 2023...

[blackcap]

Whaaaat? that cant be true

I presumed it is a typo, but they could make an amendment to the notice...

[777]

Post was in error.

[Snoopy]

Hey Todd, if you are reading, can you please clarify why directors are seeking to get their directors increases backpaid to 2013? In the NOM explanatory notes it says:

Resolution 5
This resolution proposes to shareholders that the pool for Directors’ fees be increased from $665,000 to
$920,000 per annum per financial year, with effect from the financial year commencing 1 April 2013.


Under my copy of the explanatory notes, for Resolution 5, my NOM states the date as from 1st April 2023. Mind you I get mine 'the old fashioned way' sent by post. Did the e-mailees get an earlier version that wasn't proof read?

SNOOPY

[Sideshow Bob]

Under my copy of the explanatory notes, for Resolution 5, my NOM states the date as from 1st April 2023. Mind you I get mine 'the old fashioned way' sent by post. Did the e-mailees get an earlier version that wasn't proof read?

SNOOPY

Probably slipped it in and held their breath....!! :p

​Just kidding.

[Snoopy]

I read the 17 page report from Strategic Pay. I don't begrudge some increase but will vote against the proposal for a 38.3% increase to $920k in total.


Like you ronaldson, I don't begrudge the directors some increase. But I will also be voting 'NO'.

The particular bit I didn't like in the 'Strategic pay' report was on page 10.

"Strategic Pay Limited's annual NZ Directors Fees Survey of February 2023 continues to indicate that between 25% and 40% of larger commercial companies pay separate committee fees (Among large Australian companies this is the norm). We support this unbundling practice as a means of tracking and rewarding actual workload and responsibilities and providing greater accountability and transparency."

This sounds like Strategic is thinking of directors as 'employees' of the company. They are not. They independent professionals who are already being paid very handsomely for their contracting work putting their wide work history experience to use in governance matters. If they don't like their pay rate they can leave (curiously in my decades of following the market, I cannot recall a single director leaving any board for that reason).

Australia is a different environment where the highly paid are on higher tax rates than in NZ (45% for incomes of $180k or more, vs 39% for NZ). So we could argue that Australia is just 'equalising' for that. Nevertheless, I am happy for NZ companies to use Australian directors fees as a reference for pay rates, provided they do the same for their own company workers within NZ (which I think puts an end to that argument).

Unless things go very wrong, a governance roll is normally ticking boxes that have already been filled in by other professionals who have already been highly paid in their own right. IMV, governance should be about 'the big picture', not shuffling through the minutiae of business deals on a 'paid per hour' basis. Let the employees of the business do that job.

I notice the StrateicPay review also said on p12:
"Finally since our recommendation involves large percentage increases, you may choose to stage the increases over two years rather than adopting the full adjustments immediately."

The board seems to have gone tone deaf on that suggestion.

SNOOPY

[ronaldson]

Idea of the week - Turners should license Tina to the National Party for election advertisements - no change of clothing required, just the logo.

"You know what I like - Votes Votes Votes "

Would be brilliant!

Even thou I am an ACT supporter in real life I was very disappointed no one responded to my post above. The possibilities are almost endless!

Snoopy - Yes, agree. I have now proxy voted all three holdings over which I have control (including the shares acquired under #7869, now vested) against the motion to increase the director fees. No remorse here.

[Muse]

Agree I'll be voting against the director fee rise as well.

[Snoopy]

Agree I'll be voting against the director fee rise as well.


I should add I also voted against the resolution to do away with the postal voting option at future AGMs, and force all votes at future AGMs to be cast over the net.

SNOOPY

[Jaa]

I also voted against the director fee increase. Am tired of directors and management thinking they deserve returns greater than those they generate for shareholders.

Using shareholder money to pay outside consultants to come up with whatever ridiculous rationale they can think of to increase the fees just makes it worse. Comparing to Australia is not appropriate for Turners.

[Rawz]

Management deserve market rates.... great performance deserves bonus remuneration.

[toddhunter]

Hey Todd, if you are reading, can you please clarify why directors are seeking to get their directors increases backpaid to 2013? In the NOM explanatory notes it says:

Resolution 5
This resolution proposes to shareholders that the pool for Directors’ fees be increased from $665,000 to
$920,000 per annum per financial year, with effect from the financial year commencing 1 April 2013.

Hi all

I can confirm that 2013 was absolutely a typo as most have assumed. Director Fees are not being backdated by 10+ years!

Apologies if there was any confusion caused as a result of this. The legal advice was that we didn't need to make an announcement as it was a manifest typographical error and the resolution was correct.

Certainly not ideal, but I think most people would realise it was supposed to be 2023 not 2013.

[blackcap]

Hi all

I can confirm that 2013 was absolutely a typo as most have assumed. Director Fees are not being backdated by 10+ years!

Apologies if there was any confusion caused as a result of this. The legal advice was that we didn't need to make an announcement as it was a manifest typographical error and the resolution was correct.

Certainly not ideal, but I think most people would realise it was supposed to be 2023 not 2013.

Hi Todd, thanks for getting back to me.

Just a general query, would it not have been easier (and cheaper, thus benefitting shareholders) to make a simple announcement rather than get legal advice and give $250+ to the lawyers?

[Rawz]

Hi Todd, thanks for getting back to me.

Just a general query, would it not have been easier (and cheaper, thus benefitting shareholders) to make a simple announcement rather than get legal advice and give $250+ to the lawyers?

$250??? lol, what do you reckon? guess its a few sausage roll morning teas.

tough decisions at tra HQ lol

[winner69]

I have that feeling there’s going to be a bit of profit downgrade cum ASM time

[Grimy]

But on the upside Tina is in the new series of Taskmaster (starting next week). Turners might get a few mentions........

[toddhunter]

Hi Todd, thanks for getting back to me.

Just a general query, would it not have been easier (and cheaper, thus benefitting shareholders) to make a simple announcement rather than get legal advice and give $250+ to the lawyers?

There is always a lot of sensitivity around Directors Fees, hence the advice...but you are probably right, should have just made the correction. But if you can find me a lawyer that charges $250 per hour please let me know!

I think in this case everyone knew it was clearly a typo. If every listed business had to put an announcement out to correct every typo that was found there would be a lot more announcements out there.

[blackcap]

There is always a lot of sensitivity around Directors Fees, hence the advice...but you are probably right, should have just made the correction. But if you can find me a lawyer that charges $250 per hour please let me know!

.

I take your point around sensitivities. Oh no, I assumed it was a 15 minute job, hence the comment of $250+.

[bull....]

good result .... cyclone helped ?
i dont agree with there prediction on pg 43 of OCR down cycle commencing 2nd half this yr therefore have to question there chances of achieving 50m target by 25 if there forecasts are based on lower rate cycle. Also rbnz forecasting after this wed may show much higher for longer forecast throwing into doubt even more there senario's

i brought tra as disclosed on black monday thread around 330 mark

ocr out and as xpected by me anyway ocr tracking by rbnz for when cuts in rates will occur has pushed out further in future. so stick by my view tra forecasts of 50m look over optimistic

[ronaldson]

Just a reminder to everyone that the ASM is on Wednesday at 10.30am at PWC Tower, Commercial Bay, in Auckland. Parking building very handy and a good time to avoid heavy morning traffic, so I will be in attendance.

The extent of the vote against the proposed Director Fee increase will be interesting. This is a Company where the current Board control quite a significant proportion of the voting shareholding. Does anyone know if they are able to vote those shares towards (a) their own re-election if they are standing, and (b) the intended increase in Director Fees?

Or, if it is legal to do so, if the Institute of Directors/NZSA consider it ethical to do so?

[winner69]

Just a reminder to everyone that the ASM is on Wednesday at 10.30am at PWC Tower, Commercial Bay, in Auckland. Parking building very handy and a good time to avoid heavy morning traffic, so I will be in attendance.

The extent of the vote against the proposed Director Fee increase will be interesting. This is a Company where the current Board control quite a significant proportion of the voting shareholding. Does anyone know if they are able to vote those shares towards (a) their own re-election if they are standing, and (b) the intended increase in Director Fees?

Or, if it is legal to do so, if the Institute of Directors/NZSA consider it ethical to do so?

Seems they can’t vote re the fees …from Notice of Meeting

In accordance with NZX Listing Rule 6.3.1, the Company will disregard any votes cast in favour of Resolution 5 by any Director and any of their respective Associated Persons (as that term is defined in the NZX Listing Rules), other than where the vote is cast by a Director or any of their respective Associated Persons as proxy for a person who is entitled to vote on Resolution 5 and in accordance with their express directions on the Proxy Voting Form to vote on Resolution 5



I don’t think they can vote for themselves to be re(elected) …stand to be corrected though

[ronaldson]

Thanks, winner69. I should have looked more closely at the Notice of Meeting.

I guess my post above marks me (correctly) as a retiree. As a frequent attendee at ASM's if they are in Auckland and I am a holder I do wonder at the prevailing situation where most/all are clearly in my age bracket. I know that most meetings are now hybrid in nature (which is good) but mid-morning/early afternoon timing still is very limiting on attendance. If you are employed hybrid is still not a realistic means of attending during working hours.

Would any listed entity be willing to trial an evening meeting? Say 7.30pm with supper/bar open after? Still hybrid, but designed to be fairer with regard to the opportunity to attend?

I expect some derision here, but wouldn't it be more appropriate?

I know you can vote via a proxy appointment but really the whole process seems designed to exclude an entire class of potential participants, being those gainfully employed.

[BlackPeter]

Thanks, winner69. I should have looked more closely at the Notice of Meeting.

I guess my post above marks me (correctly) as a retiree. As a frequent attendee at ASM's if they are in Auckland and I am a holder I do wonder at the prevailing situation where most/all are clearly in my age bracket. I know that most meetings are now hybrid in nature (which is good) but mid-morning/early afternoon timing still is very limiting on attendance. If you are employed hybrid is still not a realistic means of attending during working hours.

Would any listed entity be willing to trial an evening meeting? Say 7.30pm with supper/bar open after? Still hybrid, but designed to be fairer with regard to the opportunity to attend?

I expect some derision here, but wouldn't it be more appropriate?

I know you can vote via a proxy appointment but really the whole process seems designed to exclude an entire class of potential participants, being those gainfully employed.

I think this is a fair comment and a proposal worthwhile to investigate. Having been involved however for some years in setting meetings for shareholders and typical AGM attendents (when I used to sit in one of the regional NZSA committees) I know that it is not straight forward to find a meeting time which pleases everybody (or even to predict a favorite), and no - the preferred time is normally not in the evening. On top of that - many of the AGM attendents do this as part of their job or main occupation. Not sure, I would want to add another 20 or so evening sessions per year into my schedule - would you? Means as well that everytime you go to an AGM which is not local, you need to book not just a flight but as well a hotel room.

What I however think companies could do is just ask their share holders ... and this is something TRA could start. Why not have a poll asking shareholders what time of the day (morning, afternoon or evening) they would prefer for the next AGM?

[winner69]

Quick …..change you NO votes yo YES re payrise for Directors

They working hard delivering record results …even this financial year

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/TRA/416864/401061.pdf

[Muse]

Quick …..change you NO votes yo YES re payrise for Directors

They working hard delivering record results …even this financial year

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/TRA/416864/401061.pdf

lol I didn't proxy maybe should have a change of heart?

fy24 dividends "expected to be at least 24cps". so call it what 24.5?

DPS consensus for the 3 analysts covering TRA (Jard, CIP, Forbar) was 23.2.

nice upside surprise in a tough environment.

[Rawz]

What a great business

[Rawz]

I have that feeling there’s going to be a bit of profit downgrade cum ASM time

Curious what your feeling was re potential downgrade? Not being a dick

[winner69]

Curious what your feeling was re potential downgrade? Not being a dick

They were downplaying F24 at full year announcement and pushing out good times to F25.

And then share price fell below 350 so I thought here goes

So todays ‘expect’ better than last year is good news …and no doubt for some a relief seeing so many head winds ,… ……and share price over 370 is awesome

Could be a bit of that rumour fact syndrome eh …but one thing Todd knows how to keep punters excited

[ronaldson]

I thought it was the reference (again) to being 47th on free float market cap according to their calculations, and ahead of some companies already in the NZX 50 index.

That underpinned a recent investment decision of mine re TRA, and I am waiting for the thesis to play out.

[ronaldson]

Voting at the ASM on the resolution to increase directors fees now released to NZX.

The last Capital Change Notice (end July, after DRIP figures known) shows 87,366,288 ordinary shares on issue. Less than half took part in voting, and that is if you count the 22.75m abstentions (not sure if the abstentions include the shares associated with the Directors themselves, or not).

In any event only 16.3m voted in favour, and 3.4m against. So supported by well under 20% of the shares on issue with well over 25% abstaining, something of a message I would have thought.

[Jonette]

Voting at the ASM on the resolution to increase directors fees now released to NZX.

The last Capital Change Notice (end July, after DRIP figures known) shows 87,366,288 ordinary shares on issue. Less than half took part in voting, and that is if you count the 22.75m abstentions (not sure if the abstentions include the shares associated with the Directors themselves, or not).

In any event only 16.3m voted in favour, and 3.4m against. So supported by well under 20% of the shares on issue with well over 25% abstaining, something of a message I would have thought.

From the Notice of Meeting "In accordance with NZX Listing Rule 6.3.1, the Company will disregard any votes cast in favour of Resolution 5 by any Director and any of their respective Associated Persons"

PLUS from the annual report, directors on a quick sum look like they own over $21m shares, which are all abstentions. Message is that over 4 times as many shareholders voted for the increase as voted against.

BTW, I was very much in favour, the amount close to the change in Household Incomes over the same period (29%) including this year's extraordinary National HH Income growth of almost 10%. Further they have foregone updates for 5 years.

[Rawz]

I voted for the pay rise because of the independent report and shareholders association supporting it.

Todd said today the directors are involved in the business on a at least fortnightly basis passing on their experience, knowledge and supporting the management team wherever they can.

Valid points made including not taking pay during covid and in the very early years not taking pay for a year as the business couldn’t afford it. I got the impression of genuine approach to the business and shareholders best interest

It’s been 5 years since the last pay rise and the business is miles ahead of where it was since then and about to enter the NZX50 so fair enough imo.

Pay peanuts and you get monkeys

[blackcap]

I voted for the pay rise because of the independent report and shareholders association supporting it.

Todd said today the directors are involved in the business on a at least fortnightly basis passing on their experience, knowledge and supporting the management team wherever they can.

Valid points made including not taking pay during covid and in the very early years not taking pay for a year as the business couldn’t afford it. I got the impression of genuine approach to the business and shareholders best interest

It’s been 5 years since the last pay rise and the business is miles ahead of where it was since then and about to enter the NZX50 so fair enough imo.

Pay peanuts and you get monkeys

I voted for it as well. Another consideration to take, is that due to the nature of their business (They also do lending) there are added regulatory complexities.

[ronaldson]

Like you ronaldson, I don't begrudge the directors some increase. But I will also be voting 'NO'.

The particular bit I didn't like in the 'Strategic pay' report was on page 10.

"Strategic Pay Limited's annual NZ Directors Fees Survey of February 2023 continues to indicate that between 25% and 40% of larger commercial companies pay separate committee fees (Among large Australian companies this is the norm). We support this unbundling practice as a means of tracking and rewarding actual workload and responsibilities and providing greater accountability and transparency."

This sounds like Strategic is thinking of directors as 'employees' of the company. They are not. They independent professionals who are already being paid very handsomely for their contracting work putting their wide work history experience to use in governance matters. If they don't like their pay rate they can leave (curiously in my decades of following the market, I cannot recall a single director leaving any board for that reason).

Australia is a different environment where the highly paid are on higher tax rates than in NZ (45% for incomes of $180k or more, vs 39% for NZ). So we could argue that Australia is just 'equalising' for that. Nevertheless, I am happy for NZ companies to use Australian directors fees as a reference for pay rates, provided they do the same for their own company workers within NZ (which I think puts an end to that argument).

Unless things go very wrong, a governance roll is normally ticking boxes that have already been filled in by other professionals who have already been highly paid in their own right. IMV, governance should be about 'the big picture', not shuffling through the minutiae of business deals on a 'paid per hour' basis. Let the employees of the business do that job.

I notice the StrateicPay review also said on p12:
"Finally since our recommendation involves large percentage increases, you may choose to stage the increases over two years rather than adopting the full adjustments immediately."

The board seems to have gone tone deaf on that suggestion.

SNOOPY

TRA has a rather unusual Board composition, heavily weighted to those personally significantly invested in the business and with direct operational experience in one or other aspect.

I respect that, so not advocating change, and Todd Hunter doesn't seem uncomfortable with folk looking over his shoulder.

They have attempted to increase "diversity" by promoting Lauren Quaintance from Future Director status (a good choice thou) but remain, in my view (and like the old Sanford Board before it was shaken up by Ngai Tahu) a bit errant on the side of good old boys and who are less aware of nuances to handle a "political" matter such as a proposal to increase directors' fees. As I said earlier on this thread, I didn't begrudge an increase, although I voted against the actual resolution.

[Snoopy]

I voted for the pay rise because of the independent report and shareholders association supporting it.

Todd said today the directors are involved in the business on a at least fortnightly basis passing on their experience, knowledge and supporting the management team wherever they can.

Valid points made including not taking pay during covid and in the very early years not taking pay for a year as the business couldn’t afford it. I got the impression of genuine approach to the business and shareholders best interest

It’s been 5 years since the last pay rise and the business is miles ahead of where it was since then and about to enter the NZX50 so fair enough imo.


A couple of points.

I think entering the NZX50 is a red herring. Directors fees should be based on attracting the complementary skills necessary to oversee a business, whether it is part of the NZX50 or not.

Furthermore directors poking their nose into the business at least fortnightly sounds ridiculous to me, however well intentioned such 'nosing about' might be. Let Todd and Aaron get on with running the show. They seem to be making a pretty good fist of it. If the management team 'needs support', then hire the personnel needed to support them. I wouldn't have a problem with that. I do see the value of keeping the board, the governance personnel of the company, at arms length from the day to day running of the business.

SNOOPY

[Rawz]

A couple of points.

I think entering the NZX50 is a red herring. Directors fees should be based on attracting the complementary skills necessary to oversee a business, whether it is part of the NZX50 or not.

Furthermore directors poking their nose into the business at least fortnightly sounds ridiculous to me, however well intentioned such 'nosing about' might be. Let Todd and Aaron get on with running the show. They seem to be making a pretty good fist of it. If the management team 'needs support', then hire the personnel needed to support them. I wouldn't have a problem with that. I do see the value of keeping the board, the governance personnel of the company, at arms length from the day to day running of the business.

SNOOPY

Fair enough I don’t necessarily disagree. However if the help is welcomed which sounded like is, then no worries here. We don’t truly know the extend it was a quick sentence shared.

Regarding rhe nzx50 point I was referring to the business performance. To achieve this ranking the business must catch up and over take other businesses around its market cap so like reward for good performance is what I was meaning

[Snoopy]

TRA has a rather unusual Board composition, heavily weighted to those personally significantly invested in the business and with direct operational experience in one or other aspect.

I respect that, so not advocating change, and Todd Hunter doesn't seem uncomfortable with folk looking over his shoulder.


I realise we have Grant Baker with his 'owners eye' on Turners from his 7.44% Montezemolo Holdings stake.

Then we have Alister Petrie representing Bartel Holdings 11.70% stake (AR2023 p101), who I don't think bring any particular industry relevant skills to the table. Or is the Bartel Holdings stake 12.24% (AR2023 p31)? I wonder which figure is correct? Very sloppy to have two different representations of the Bartel Holdings Turner's stake in the same report!

Next we have Matthew Harrison, the former managing director of subsidiary EC Credit representing summed family interests of 7.47%.

The other directors shareholding interests are large enough to keep an interest, but small enough to keep their noses out of the day to day operations, which I like.

I don't see why any of the above give good reasons for the directors to interfere with the business more than 'once a month' at the board meeting though.


And on that last point ronaldson raised, Todd isn't exactly in a position to complain about the 'extra oversight' he is receiving is he? He gets to check in with the board once a month, and deserves to be given enough space to keep those 'car enthusiast' directors at arms length. Just let him get on with the job in between board meetings I say.

SNOOPY

[Muse]

Without taking a view either way on any individual Board member there is a lot to be said for an active Board with commercial acumen whose contribution rises over and above straight governance and box checking. Being an executive can be a surprisingly lonely job when you are making all the commercial calls without anyone to bounce ideas off of you, test you, and share the emotional burden in decision making. It is frustrating and value destructive for an EMT to show up to a board meeting with meaningful pivots in strategy (w/ all the attendant risk) or sudden change in market/business dynamics and all the Board wants to do is talk about ESG, audit & risk, listing requirements etc.

Good executives in my experience wouldn't bat an eye at fortnightly or even weekly engagements with the Chair or other board members so long as it was focused on 'the right stuff.' Providing mgmt teams with the confidence to make the right long term commercial calls and holding that strategic focus despite day to day gyrations is invaluable and (in my view) value accretive over the long term. Having a more active board means things get socialised and stress tested earlier and allows for more productive Board meetings.

So I was hearted to hear of the Board's engagement at the ASM. While I intended to vote no to the board fee proposal (something more in line with the CAGR in CPI from the date of the last raise in director fees was more my wish) I made a rookie mistake in thinking I could vote online and instead it was just a youtube livestream. Oh well & I've moved on (business performance certainly helped).

[Snoopy]

Without taking a view either way on any individual Board member, there is a lot to be said for an active Board with commercial acumen whose contribution rises over and above straight governance and box checking. Being an executive can be a surprisingly lonely job when you are making all the commercial calls without anyone to bounce ideas off of you, test you, and share the emotional burden in decision making.


So you are saying being a CEO is a tough job? There is no argument from me on that point. That is why CEOs are paid accordingly. In fairness I think it was even Todd himself who has mentioned that he and Aaron make a good senior management team. So I don't see a situation at Turners head office where there is no-one to bounce ideas off. However the general way these things go is that the CEO and the board at least start on the same page with a vision for the company going forwards. Then the CEO gets to execute that vision. If the business vision hangs around making deeply sensitive commercial calls every two weeks, this suggests to me there is a problem with the vision. I would have thought touching base with the board once a month is more than enough to allow a focussed CEO to get on with things.



It is frustrating and value destructive for an EMT to show up to a board meeting with meaningful pivots in strategy (w/ all the attendant risk) or sudden change in market/business dynamics and all the Board wants to do is talk about ESG, audit & risk, listing requirements etc.


'Frustrating' can still be important.



Good executives in my experience wouldn't bat an eye at fortnightly or even weekly engagements with the Chair or other board members so long as it was focused on 'the right stuff.' Providing mgmt teams with the confidence to make the right long term commercial calls and holding that strategic focus despite day to day gyrations is invaluable and (in my view) value accretive over the long term. Having a more active board means things get socialised and stress tested earlier and allows for more productive Board meetings.

So I was heartened to hear of the Board's engagement at the ASM.


You are suggesting that Todd does not have the focus and confidence to make the calls without having his hand held tightly? Time to elect his mother onto the board, perhaps?

SNOOPY

[Snoopy]

Without taking a view either way on any individual Board member there is a lot to be said for an active Board with commercial acumen whose contribution rises over and above straight governance and box checking.


There is another way.

If you really want to harness the experience of someone on the board, and you have a specific project with a defined start and an end point , then you should hire that board member 'on contract' to do that specific task. This would involve extra payment, separate to any governance board fees earned. But it would ensure the board member is laser focussed on the task at hand, and was properly rewarded for their expertise - rather than just expecting them to be a universal problem solver for nought extra payment, just because they were a board member. Having a defined task to do would also keep that board member out of other 'operational matters' that they had no business sticking their beak into.

SNOOPY

[Muse]

Maybe I haven't enunciated well enough what I mean because I'm not talking about operational matters per se...certainly not some Board member calling up and wanting to set or have a debate on that week's pricing strategy, wanting to be personally involved in setting the detail of a sales campaign, setting manhours or things like that. The ideal situation (from my perspective) is more of a two way street between the CEO and the Chair (and from time to time other directors) in between Board meetings.

[winner69]

Do we still put some cash into Liam Lawson’s career

Whatever go Liam ….wow a F1 drive and in Ricciardo’s car …good luck

[winner69]

Tina did talk to Liam in April on Instagram

And he posted this on X in April

@liamlawson30
I want to extend a heartfelt thank you to Turners Cars for their support throughout my racing journey. They were my first major sponsor when I ventured to Europe to compete in the ADAC Formula 4, and they have continued to back me as one of my naming rights sponsors ever since.

[toddhunter]

So you are saying being a CEO is a tough job? There is no argument from me on that point. That is why CEOs are paid accordingly. In fairness I think it was even Todd himself who has mentioned that he and Aaron make a good senior management team. So I don't see a situation at Turners head office where there is no-one to bounce ideas off. However the general way these things go is that the CEO and the board at least start on the same page with a vision for the company going forwards. Then the CEO gets to execute that vision. If the business vision hangs around making deeply sensitive commercial calls every two weeks, this suggests to me there is a problem with the vision. I would have thought touching base with the board once a month is more than enough to allow a focussed CEO to get on with things.



'Frustrating' can still be important.



You are suggesting that Todd does not have the focus and confidence to make the calls without having his hand held tightly? Time to elect his mother onto the board, perhaps?

SNOOPY

I can assure you my hand is neither held tightly, or needed to be held tightly, nor is my mother remotely interested in being on the Turners board... thankfully!

I my view the environment you need to foster between the board and the organisation is one of trust and openness. Our board members aren't afraid to come to us with suggestions, ideas or comments. Some of these will be valuable and some won't be. Our management team aren't afraid to give that feedback (either way) in a constructive and respectful way. No one is offended if their idea isn't taken forward...egos are very much kept in check. The most common characteristic in high performing teams is trust. Google did a huge amount of research on this in Project Aristotle if you are interested.

https://www.forbes.com/sites/forbesbusinesscouncil/2022/10/12/psychological-safety-building-high-performing-teams/?sh=1c3202384d17

From my perspective I am always encouraging of board members coming into the business and talking to a wide range of people. There is far more upside from this than downside...they understand the business challenges and opportunities more deeply, our people have a chance to connect to the board who are often just figure heads in many organisations, our people get an opportunity to voice their opinions if they choose to etc.

Like a few have said this all needs to be balanced, and I certainly feel it is at Turners. if you are clear about your priorities and strategy and everyone is aligned on this then generally it becomes pretty easy to test ideas/initiatives against this.

[toddhunter]

Tina did talk to Liam in April on Instagram

And he posted this on X in April

@liamlawson30
I want to extend a heartfelt thank you to Turners Cars for their support throughout my racing journey. They were my first major sponsor when I ventured to Europe to compete in the ADAC Formula 4, and they have continued to back me as one of my naming rights sponsors ever since.

We are very excited to see Liam fulfil his lifelong goal of racing in F1. This guy is a winner. Comes from a very humble background and is very understated, but has an absolute drive and steel to achieve. We have continued to support Liam since his F4 days more recently in a pretty minor way financially.

Tina and Liam did some co-lab earlier this year... https://www.tiktok.com/@turnerscarsnz/video/7217592571940457730

Unsurprisingly we are giving this a bit more airtime this week and next with Liam racing in Italy at Monza this weekend. We are very excited about his prospects (touch wood) given his strong performance last weekend in the Netherlands. Go Liam!

[Habits]

We are very excited to see Liam fulfil his lifelong goal of racing in F1. This guy is a winner. Comes from a very humble background and is very understated, but has an absolute drive and steel to achieve. We have continued to support Liam since his F4 days more recently in a pretty minor way financially.

Tina and Liam did some co-lab earlier this year... https://www.tiktok.com/@turnerscarsnz/video/7217592571940457730

Unsurprisingly we are giving this a bit more airtime this week and next with Liam racing in Italy at Monza this weekend. We are very excited about his prospects (touch wood) given his strong performance last weekend in the Netherlands. Go Liam!

Congrats to Turners for the support they've provided this young go-getter. Both now and in the future.

[winner69]

So Liam and Tina are just in a business partnership

https://www.nzherald.co.nz/entertainment/spy-kiwi-f1-racing-star-liam-lawsons-us-girlfriend/KA4JSVSD7VHCDPXPZL65KB4IXI/

[Jay]

So Liam and Tina are just in a business partnership

https://www.nzherald.co.nz/entertainment/spy-kiwi-f1-racing-star-liam-lawsons-us-girlfriend/KA4JSVSD7VHCDPXPZL65KB4IXI/

With the income he would earning, you would think he could afford a pair of pants without big holes in the knees. I'm sure Turners could slip an extra $100 to go down to Hallensteins and pick up a new pair :)

[BlackPeter]

With the income he would earning, you would think he could afford a pair of pants without big holes in the knees. I'm sure Turners could slip an extra $100 to go down to Hallensteins and pick up a new pair :)

You might not realise that people actually buy new jeans with big holes (they call them ripped or distressed jeans) ... and actually, they are often more expensive than the undamaged trousers. Clearly - it does cost money to rip them.

Who knows, he might be wearing new Hallenstein jeans off the shelf?

https://www.hallensteins.com/clothing/jeans/ripped-jeans

[Snoopy]

With the income he would earning, you would think he could afford a pair of pants without big holes in the knees. I'm sure Turners could slip an extra $100 to go down to Hallensteins and pick up a new pair :)


I am sure Liam will be rolling in the big Formula Apex bucks one day. But no-one gets rich racing in the junior formulas, because their expenses are so high. I think the Red Bull sponsorship covers Liam's racing expenses but not his accommodation for instance. So Liam still needs other external sponsorship to keep his career going.

You also don't get the 'ripped jeans' thing. These pants arrive at the retailer intact, whereby highly paid people called 'ripper offers' with real skill mark out where to make the rips and how to make the rips, - a process that doubles the cost base of the jeans :-P.

SNOOPY

[percy]

'ripper offers' ................lol.

[Jay]

It was a bit tongue in cheek BP, re the jeans thing hence the :)!
Mind you I'm not 25 any longer so not my style in any event, plus I want to keep my knees warm!
Hallensteins may do well if people see what Liam is wearing, perhaps he could ask them for a few dollars from therm as well!

[percy]

• With P9 for AlphaTauri, Liam Lawson secured his maiden points-finish in Formula 1 – it was also the first time this chassis has scored points in 2023 (neither Nyck de Vries nor Daniel Ricciardo scored with it).

• In his first three F1 starts, Lawson has finished 13th, 11th and ninth.

• Lawson becomes the 350th driver to score points in a Formula 1 world championship event.

[winner69]

• With P9 for AlphaTauri, Liam Lawson secured his maiden points-finish in Formula 1 – it was also the first time this chassis has scored points in 2023 (neither Nyck de Vries nor Daniel Ricciardo scored with it).

• In his first three F1 starts, Lawson has finished 13th, 11th and ninth.

• Lawson becomes the 350th driver to score points in a Formula 1 world championship event.

Amazing efforts eh percy

Turners sure can pick the stars

[percy]

Amazing efforts eh percy

Turners sure can pick the stars

I agree an amazing effort.
Next race is this coming weekend in Japan.
Lawson has been racing in Japan,so if Ricciardo is not back in the car, I expect Lawson will do well .

[Baa_Baa]

I agree an amazing effort.
Next race is this coming weekend in Japan.
Lawson has been racing in Japan,so if Ricciardo is not back in the car, I expect Lawson will do well .

I hope he does do well, he's certainly opening some eyes in the F1 world. Good on him, and good luck.

[percy]

Speaking to Sky Sports Germany, AlphaTauri chief executive Peter Bayer confirmed Lawson will continue in Formula One and will race in the Japanese Grand Prix at Suzuka this weekend.

[Grimy]

Excellent news.

[mike2020]

I heard on the radio yesterday he drives for free. it's only (us) sponsors keeping him going. Apparently it's common practice in the industry.

[bull....]

anyone think turners be added to nz50 soon

[Muse]

anyone think turners be added to nz50 soon

The brokers tend to think so in their index inclusion watchlists.

[BlackPeter]

anyone think turners be added to nz50 soon

Just ask the beagle. He is humming with this idea for the last 3 months or so.

But yes, he well might be right ... to many other NZX 50 companies left wanting.

[ronaldson]

Just ask the beagle. He is humming with this idea for the last 3 months or so.

But yes, he well might be right ... to many other NZX 50 companies left wanting.

Agree. I joined at end July at $3.57 with that thesis in mind. TRA share price has been solid since while most in the market have not, with competitor 2CC the real exception.

Not sure when the next index rebalance is announced but TRA seems the best chance for inclusion.

[bull....]

Agree. I joined at end July at $3.57 with that thesis in mind. TRA share price has been solid since while most in the market have not, with competitor 2CC the real exception.

Not sure when the next index rebalance is announced but TRA seems the best chance for inclusion.

i think index re-balancing is november ?

[winner69]

TRA in NZX50 ……..share price will get close to 5 bucks I reckon

That would be new all time high

Performance warrants 5 bucks now anyway ….even more so with a good outlook

Only risk is 2 Cheap Cars takes over as #1 and preferred stock in this sector

[percy]

TRA in NZX50 ……..share price will get close to 5 bucks I reckon

That would be new all time high

Performance warrants 5 bucks now anyway ….even more so with a good outlook

Only risk is 2 Cheap Cars takes over as #1 and preferred stock in this sector

I expect a full and frank post from Todd Hunter...lol.

[winner69]

I expect a full and frank post from Todd Hunter...lol.

Turners might need to take 2 Cheap over to keep them under control

[bull....]

I expect a full and frank post from Todd Hunter...lol.

about index inclusion or 2CC being a threat to them ?

[percy]

Turners might need to take 2 Cheap over to keep them under control

Would strengthen their supply logistics for Japanese cars their customers want,including good used EVs and Hybrids.
Keep 2CC brand for under $14,000 buyers.
Would give Turners more finance and insurance customers too.
Bit like WHS when they bought Leemings to get quality brand suppliers.

ps W69.Perhaps we better be more careful what we post.Don't want to set off the dog...lol

[silverblizzard888]

Too late for TRA to takeover 2CC without offering a huge premium. They had their chance and decided not to take it or could of had them supplying them hybrids and been a market leader in that category. 2CC’s supply chain would have been valuable for TRA.

[percy]

about index inclusion or 2CC being a threat to them ?

Both...................................
Yet I very much doubt TRA would want to buy 2CC after the fiasco they had with Buy Right Cars.
Also I would doubt David Sena would want to sell,when he can see 2CC's bright future progressing at top speed.

[winner69]

about index inclusion or 2CC being a threat to them ?

Both needs comment

Apparently Todd has mentioned the index inclusion a few times ….he’d be so rapt if it happened, like a recognition of his hard work

[winner69]

That Mondiale VGP IPO if it eventuates could upset speculation around index inclusion …they apparently automatically go in

[Sideshow Bob]

That Mondiale VGP IPO if it eventuates could upset speculation around index inclusion …they apparently automatically go in

This is the NZX.....what's an IPO??

[winner69]

This is the NZX.....what's an IPO??

One of those things that seem extinct now

[Ggcc]

I expect a full and frank post from Todd Hunter...lol.
You know how Todd feels lol

[Jonette]

TRA in NZX50 ……..share price will get close to 5 bucks I reckon

Only risk is 2 Cheap Cars takes over as #1 and preferred stock in this sector

not much risk of that. 2CC has less than 1% of the market compared to Turners 9%. Plus, 2CC closed their Hawke’s bay outlet while Turners are opening more and bigger outlets. Plus, 2CC outlets are mostly small, 6 outlets, only 1 with more than 50 cars on stock. Even their EV ratio is usually similar to Turners.

ie they have little advantage and a single major owner with the float dangerously low

[Jonette]

Would strengthen their supply logistics for Japanese cars their customers want,including good used EVs and Hybrids.
Keep 2CC brand for under $14,000 buyers.
Would give Turners more finance and insurance customers too.
Bit like WHS when they bought Leemings to get quality brand suppliers.

ps W69.Perhaps we better be more careful what we post.Don't want to set off the dog...lol

2CC is too small to be of interest. The Japan 2nd hand market is about to go through turbulent waters after the Japanese government recently banned exports to Russia. Prices for imports are going to plummet. A bias towards high import stock will make 2CC vulnerable to losses on sale, Turners could hasten that by discounting.

further, I doubt anyone would want to dilute the Turners and Tina brand with a secondary brand.

[Fortunecookie]

2CC is too small to be of interest. The Japan 2nd hand market is about to go through turbulent waters after the Japanese government recently banned exports to Russia. Prices for imports are going to plummet. A bias towards high import stock will make 2CC vulnerable to losses on sale, Turners could hasten that by discounting.

further, I doubt anyone would want to dilute the Turners and Tina brand with a secondary brand.

Your analysis is shocking. Starting with the fact Russia drives on the other side of the road. Alot of misinformation in your comments.

[Rawz]

interesting.. https://www.reuters.com/business/autos-transportation/japan-puts-brakes-lucrative-used-car-trade-with-russia-2023-10-01/#:~:text=By%20last%20year%2C%20with%20sanctions,of %20Japan%27s%20used%2Dcar%20exports.

TOKYO, Oct 2 (Reuters) - Japan's move to bar most used-car sales to Russia slammed the brakes on a trade nearing $2 billion annually that had boomed in the shadow of sanctions over Ukraine elsewhere, according to trade data and market participants.
In early August, Japan's government banned exports of all but subcompact cars to Russia, cutting off a lucrative backchannel in trade in used Toyotas, Hondas and Nissans for a network of brokers and smaller ports, especially Fushiki, an export hub on the Sea of Japan.


While wiping out Russia's biggest source of used cars, the sanctions have driven down prices for second-hand cars in Japan and left brokers scrambling to send vehicles to other regions, especially right-hand drive markets in New Zealand, Southeast Asia and Africa.
Russia's demand for second-hand cars from Japan jumped sharply after global automakers, including Toyota, pulled back from operations following Moscow's invasion of Ukraine.


By last year, with sanctions elsewhere tightening, Russia was buying more than a quarter of Japan's used-car exports for an average price of almost $8,200. That was more than double the price in 2020, when Russia took about 15% of Japan's used-car exports.
Those sales had been on track to top $1.9 billion for all of 2023 before Japan imposed its own tougher sanctions, trade data show.
More than half of the 303,000 used cars imported by Russia in the first eight months of the year came from Japan, according to figures from Russian analytical agency Autostat

[winner69]

And Switzerland going to ban the use of EVs when there’s an energy shortage

[bull....]

2CC is too small to be of interest. The Japan 2nd hand market is about to go through turbulent waters after the Japanese government recently banned exports to Russia. Prices for imports are going to plummet. A bias towards high import stock will make 2CC vulnerable to losses on sale, Turners could hasten that by discounting.

further, I doubt anyone would want to dilute the Turners and Tina brand with a secondary brand.

yep agree TRA wouldnt be interested in 2 cheap cars . dont know about prices plummeting though , demand for second hand cars is surprisingly strong still

[percy]

yep agree TRA wouldnt be interested in 2 cheap cars . dont know about prices plummeting though , demand for second hand cars is surprisingly strong still

2CC turn over their stock in a matter of a few weeks.
Cheaper Japanese used car prices will benefit 2CC.Good quality Japanese cars at even cheaper prices may see sales at 2CC sky rocket .
Cheaper used car prices will see Turners benefit too.

[Jonette]

Your analysis is shocking. Starting with the fact Russia drives on the other side of the road. Alot of misinformation in your comments.

I wondered that too, but trusted Reuters. Maybe I should have checked but I have now and there is an interesting special reason. Vladivostok is close to Japan and they buy RHD cars

https://www.neatorama.com/2019/07/10/Why-Cars-in-Siberia-Have-Their-Steering-Wheels-on-the-Wrong-Side/

[Fortunecookie]

I wondered that too, but trusted Reuters. Maybe I should have checked but I have now and there is an interesting special reason. Vladivostok is close to Japan and they buy RHD cars

https://www.neatorama.com/2019/07/10/Why-Cars-in-Siberia-Have-Their-Steering-Wheels-on-the-Wrong-Side/

Apologies for the previous outburst. No excuses.
I clearly got it wrong regarding the Japan export ban to Russia. I was aware of the ban previously, Of course my assumption was incorrect so I didn't look into it further.

How I see it used vehicles are commodity, therefore a commodity business.
Regardless of happens to supply, they simply adjust the pricing/margin accordingly.
We are small country. We have no influence therefore we are price takers. Every other used car dealer is in the same boat so to speak.
Personally the I don't think the supply issue will impact them as they will adjust their approach accordingly.

But I do question a couple things or what figures you were relying on. 2CC sold about 6 to 7% of NZ new used imports.
40% of 2CC listings are hybrids/ EVs but 52% of their sales to date have been hybrids/ EVs. This suggest they turning over hybrids/ EVs much quicker than ICE. 15% of TRA current listing are hybrids/ EVs.

TRA is essentially two businesses. Vehicle dealership and finance arm.
As I recall just over half of the NP is from the finance arm.
2CC is one tenth TRA market cap. But I find it to be abit misleading. 2CC vehicle sales make up about 25% of TRA vehicle sales.
I don't think 2CC have ruled out setting up a finance arm again. Personally I would like them to acquire an existing finance operation as opposed setting it up internally.
Probably not the right time as the current providers have been exceptional to help 2CC reestablish themselves.
But if they do I can see 2CC payoff an acquisition within 4 to 5 years and still maintain 50% dividend payout. In effect double their market cap (share price growth). But this is speculation of course.
But I fully support their strategy of creating mega sites in the main centres and satellite sites. 54K used vehicles sold in Auckland alone. This makes alot of sense.
Personally I think TRA will not be interested in 2CC, vice versa David Sena would not be interested in selling.
If anything theres probably consolidation and removal of other less established used vehicle dealers.

[ronaldson]

Very solid 5-day chart for this stock. Perhaps the narrative around forthcoming NZX50 Index inclusion is taking hold. And some further impetus may be coming from the market rerate of 2CC.

The low to middle priced used car market isn't much affected by wider economy considerations as these vehicles are essential purchases for many, even if the price of fuel acts to influence the extent of use.

[percy]

Very solid 5-day chart for this stock. Perhaps the narrative around forthcoming NZX50 Index inclusion is taking hold. And some further impetus may be coming from the market rerate of 2CC.

The low to middle priced used car market isn't much affected by wider economy considerations as these vehicles are essential purchases for many, even if the price of fuel acts to influence the extent of use.

I expect TRA will be included in NZX50 Index. Directors and management have done an extremely good job navigating the market over the past few years.Car sales,finance,insurance and very clever property deals.
Also pleased that the market is rerating 2CC.
Both have earnt good reputations, which will see them both enjoy good growth.,

[RTM]

https://www.nzx.com/announcements/419682

Happy days.

[sb9]

Nice update, should sail past 4 easily and 2CC past a buck hopefully.

[bull....]

great update , still surprised by the strenght in used cars.
they should aggressively aim to be the dominaNT NZ player in the space

[ronaldson]

Nice update, should sail past 4 easily and 2CC past a buck hopefully.

Already sailed past, with no indication when momentum will expire. This share has a great recent chart history!

[percy]

Already sailed past, with no indication when momentum will expire. This share has a great recent chart history!

Solid fundamentals.

[iceman]

Solid fundamentals.

And steady profit & dividend growth

[Sideshow Bob]

My daughter doesn't understand much about shares and has little interest in ETF's etc.

But she understand Tina from Turners, and is 15% of her Sharesies portfolio (and growing).

Beep beep!! :p

[winner69]

Jeez, 5 bucks here we come

Hope Todd keeps pumping out those raves …does the trick eh

[Alekhine]

It is nice to see Turners get some appreciation from the market. Todd and the team have done an excellent job over the last few years. Congratulations to those who showed some patience and a long-term mindset. I think TRA still has a lot of upside.

[Rawz]

Good stuff. Glad i voted for the board to get a pay rise :cool:

[Fortunecookie]

Well done to everyone. Solid result.

[Rawz]

great update , still surprised by the strenght in used cars.
they should aggressively aim to be the dominaNT NZ player in the space

they already dominate the NZ sourced vehicle market. Cant see that ever changing

[ronaldson]

And remember the boost in share price escalates the market cap, hence increases the probability of NZX 50 inclusion.

Given the number of shares offered for sale at any time is generally not large any index fund seeking to build a holding will need to bid the market up further in my opinion. So price is a positive indicator for momentum here.

[777]

Ex dividend today as well.

[bull....]

they already dominate the NZ sourced vehicle market. Cant see that ever changing

Market share growth on track to exceed 10% in the near-term
The highlight of the period has been the sustained market share growth in Auto Retail, which now exceeds 9%, a more than doubling of Turners retail market share over 5 years.

quicker growth is possible i reckon

[percy]

Todd Hunter will be speaking at 11 am today on
NZX Virtual Investor Event | 11 October 2023

[winner69]

Todd Hunter will be speaking at 11 am today on
NZX Virtual Investor Event | 11 October 2023

Always a good rave ….will get a few new punters excited while wowing the loyalists

[bull....]

whats the talk from the webinar

[percy]

whats the talk from the webinar

As always Todd Hunter presents well.
Auto retail growing both number of branches and market share.
Timaru new branch looks the goods, and will open shortly.More branches in Christchurch too.
All divisions operating well.Lower interest rates will benefit their Oxford finance.Dividend growth continues.
NZX 50 inclusion looks close.

[Sideshow Bob]

In the meantime, up another 3% today.