HLG - Hallenstein Glasson

[nztx]

Beagle - its 5432 trading days lost out of 20,700 days (26 weeks and 115 stores) they could have been open

That's 26% of the days they could have been trading lost / closed

Quite a view eh


A horrendous number of days lost !

[Beagle]

Beagle - its 5432 trading days lost out of 20,700 days (26 weeks and 115 stores) they could have been open

That's 26% of the days they could have been trading lost / closed

Quite a few eh

So...26% of all retail trading opportunity lost in the 6 month period and sales were only down only 6.2%. This at a time when consumers have had to deal with the psychological stress of the worst pandemic of our lives and we are comparing sales this period with last year's record which was up 22% on the year before. Hmmm Not sure how anyone would think that's not a highly satisfactory result in the most extraordinary circumstances.

[winner69]

F21 sales groth was a massive 22% to $351m. I've said a few times a lot of that was catchup etc etc and that F22 and F23 would 'normalise'

How has HLG gone the last 12 months (Feb to Jan) - even though some 'normalisation' to come gives a reasonable idea of performance.

Total sales up $29.9m to $339m, 9.7% growth
Store sales up $14.6m or 6.4% and online sales up $15.3m or 19% (online now 29% of sales)

Online obviously helping sales growth but the stores expense base (fixed) might become a bit of an issue

[winner69]

Have you considered that the screwers may become the screwed, should they try to screw their central ChCh landlord.?...lol.

The 'screwing' shouldn't even need to be negotiated ....landlord should just say not open no rent ..... but then negotiation will be done on an 'arms length basis' eh percy

[Beagle]

F21 sales groth was a massive 22% to $351m. I've said a few times a lot of that was catchup etc etc and that F22 and F23 would 'normalise'

How has HLG gone the last 12 months (Feb to Jan) - even though some 'normalisation' to come gives a reasonable idea of performance.

Total sales up $29.9m to $339m, 9.7% growth
Store sales up $14.6m or 6.4% and online sales up $15.3m or 19% (online now 29% of sales)

Online obviously helping sales growth but the stores expense base (fixed) might become a bit of an issue

33% of all sales now online. To the best of my knowledge that's head and shoulders above any other N.Z. retailer.
My guess in the current environment is they will take an extremely cautious approach to opening new stores.

[winner69]

Love beagles passionate posts so I wound up the word cloud generator and did this for his post earlier today

[Rawz]

Love beagles passionate posts so I wound up the word cloud generator and did this for his post earlier today

Sad that 'Peacocking' isnt in there lol

We ALL love and appreciate Beagles posts :)

[Snow Leopard]

Love beagles passionate posts so I wound up the word cloud generator and did this for his post earlier today

Strangely I got this:
13522

[Beagle]

Love beagles passionate posts so I wound up the word cloud generator and did this for his post earlier today

LOL no need for that...this encapsulates my thought process's "purrfectly" and is a great depiction of the "joys" of investment in the market in recent months ;) https://www.youtube.com/watch?v=EUV1LJKYAUc

[Waltzing]

Mr B forecast another deadly variant arriving and apparently it has..

Retail disruption might indeed continue for the next 6 to 9 months and with hospitality about to take a big hit the market might not want to chase any retail or entertainment stock for a while.

SP's could go anyway which way from here.

[nztx]

Mr B forecast another deadly variant arriving and apparently it has..

Retail disruption might indeed continue for the next 6 to 9 months and with hospitality about to take a big hit the market might not want to chase any retail or entertainment stock for a while.

SP's could go anyway which way from here.



Yes - not wrong

[Rawz]

Mr B forecast another deadly variant arriving and apparently it has..

Retail disruption might indeed continue for the next 6 to 9 months and with hospitality about to take a big hit the market might not want to chase any retail or entertainment stock for a while.

SP's could go anyway which way from here.

I agree Waltzingironmansingleskull. The disruptions.. the extra costs nztx noted yesterday.. all the feathering/nesting whatever its called done in 2021.. lower discretionary incomes for customers. A lot of headwinds for retailers. It will be very tough trading for all the nzx listed retailers for the next couple of years and i dont expect much if any capital gains to come from any of them. Hope they can at least keep up with inflation..?

[Beagle]

You guys are making the dog depressed.

Just as well I can think for myself


So...26% of all retail trading opportunity lost in the 6 month period and sales were only down only 6.2%. This at a time when consumers have had to deal with the psychological stress of the worst pandemic of our lives and we are comparing sales this period with last year's record which was up 22% on the year before. Hmmm Not sure how anyone would think that's not a highly satisfactory result in the most extraordinary circumstances.

Almost everyone told me the end of the world was coming for HLG back in August 2016 when they were $2.75. Lost count of how many huge dividends I have enjoyed since then.

[Waltzing]

Not specific to HLG but wider retail as we all know HLG seems to ride out the storms.

But it may be that the SP doesnt get a kick up for a whole.

The retail auckland business group has been making head lines last few days about retail and hospitality and it made sobering reading. Maybe the last auckland lock down over delta was a big mistake for business?

Several times MR B has commented on variants lasting longer than last xmas.

If this next variant is dealt to by vaccines maybe this whole approach to managing things is in reality far more damaging to business than can be seen in the employment figures.

It was next summer last summer but now is it next summer again...

Hate to even ask local retailers "How is Trade"?

Winner will no doubt be all over the retail numbers in NZ and AUS...

Poring over the tea leaves...

HLG and BRISC maybe the ports in a storm.

But you wont know till the next 6 months FA results.

[winner69]

There’s a film about a mutated strand of coronavirus called COVID-23 which wreaks havoc ….a world trapped in lockdown for four years, reaching 8.4 million deaths in a single year… the movie takes place in 2024. The film is Songbird.

No doubt the virus will still be with us in 2024 ….maybe it is Covid-23


But no matter what happens ….deaths, lockdowns whatever …..HLG will survive

[Waltzing]

there was that movie last year or 2020 cant remember on a COVID out break filmed back in 2011

contagion...

cant see compliance lasting, its starting to fall apart.

except in government departments, rest homes ect..

[LaserEyeKiwi]

I notice many of the loudmouth businessmen who were complaining about the lockdowns in 2020 & 2021 not letting them do business and saying “We don’t need wage subsidies, we just need to stop lockdowns and let businesses open up and just learn to live with the virus” are the same people now all complaining that the government isn’t providing monetary support now that we have stopped lockdowns and are “learning to live with the virus”.

Me thinks they failed to comprehend that for half the population “learning to live with the virus” means staying home out of an abundance of caution except for when essentials are needed.

No way in hell we will be visiting any restaurants or bars for at least a few months.

[Waltzing]

Lucky there is 4 and 5 G and someone laid fibre just in time for on line retail to save the day for HLG.

December to March 31st retail stats for AUS an NZ are the magic numbers.

[Beagle]

https://www.youtube.com/watch?v=esjec0JWEXU What I think of this weeks share price action.

[dreamcatcher]

More restriction been eased to help Australian sales

End of the surge sees COVID rules relaxed - PM - ABC Radio (https://www.abc.net.au/radio/programs/pm/pm/13749948)

[clearasmud]

We pretty well allowed ourselves to contract Omicron off our son, we had been double vacinnated and only experienced a mild illness.
Now we have a super immunity.
We are both over 60 without comorbities.

[clearasmud]

You guys are making the dog depressed.

Just as well I can think for myself



Almost everyone told me the end of the world was coming for HLG back in August 2016 when they were $2.75. Lost count of how many huge dividends I have enjoyed since then.
I know, same.
Thinking about buying more but in these interesting times would rather focus on higher risk potential 10 baggers.

[nztx]

I know, same.
Thinking about buying more but in these interesting times would rather focus on higher risk potential 10 baggers.


Likewise - have adjusted again here too :)

Why incur Capital Losses exceeding Taxable dividends (with tax credits attached or not) ? :)

[Waltzing]

Buy more at this handle? good chance it goes lower as OMI and the next "Stellar OMI" have an effect on people behaviours and people take a few naps.

No athletes will want any of these it too damaging to Max VO2.

Covid-19 Omicron outbreak: Early learning centres warn of 'mass closures' due to lack of RAT testing - NZ Herald (https://www.nzherald.co.nz/nz/covid-19-omicron-outbreak-early-learning-centres-warn-of-mass-closures-due-to-lack-of-rat-testing/27TZSKRY3FXP7I6IB6C3PDVLRE/)

On line will be the focus for many people in the next 12 to 16 months...

[Beagle]

Buy more at this handle? good chance it goes lower as OMI and the next "Stellar OMI" have an effect on people behaviours and people take a few naps.

No athletes will want any of these it too damaging to Max VO2.

Covid-19 Omicron outbreak: Early learning centres warn of 'mass closures' due to lack of RAT testing - NZ Herald (https://www.nzherald.co.nz/nz/covid-19-omicron-outbreak-early-learning-centres-warn-of-mass-closures-due-to-lack-of-rat-testing/27TZSKRY3FXP7I6IB6C3PDVLRE/)

On line will be the focus for many people in the next 12 to 16 months...

HLG already at 33% of all sales online, (best of breed by miles) and I think this will head up towards 40% very quickly. That's great because in the future they won't need to grow their store footprint much to grow sales a lot. Lot of talk on CNBC this morning about the new trend for people being sick of all the Covid crap and looking to go out, have a good time and make an impression, (AKA Peacocking).

I think we may hit peak Omricon in late March or early April and after that the numbers will begin to fade.

[percy]

HLG already at 33% of all sales online, (best of breed by miles) and I think this will head up towards 40% very quickly. That's great because in the future they won't need to grow their store footprint much to grow sales a lot. Lot of talk on CNBC this morning about the new trend for people being sick of all the Covid crap and looking to go out, have a good time and make an impression, (AKA Peacocking).

I think we may hit peak Omricon in late March or early April and after that the numbers will begin to fade.

33% of total sales online...Incredible,
Yes next goal 40%.
Wonder when it will be 50%...And that is worth thinking about.Possibly driven from USA demand.
Where to after that.?

[Waltzing]

"head up towards 40% very quickly"

it will if the next variants hits before they get a specific vaccine out for it.

They call it the Stealth Variant.

5-6 SP range would be hard not to ignore as a BUY.

As silly as META VERSE may seem advances in VR could be the new frontier for browsing fashion on line.

But rendering fashion is a why that is affordable for retailers to actually use is probably a long way off.

The current on line technologies being simple old web is here to stay for sometime to come.

[LaserEyeKiwi]

"head up towards 40% very quickly"

it will if the next variants hits before they get a specific vaccine out for it.

They call it the Stealth Variant.

5-6 SP range would be hard not to ignore as a BUY.

As silly as META VERSE may seem advances in VR could be the new frontier for browsing fashion on line.

But rendering fashion is a why that is affordable for retailers to actually use is probably a long way off.

The current on line technologies being simple old web is here to stay for sometime to come.

I have found the new direct to consumer online fashion brands are succeeding by using a very low-tech innovation: Standardized consistent sizing across styles.

Meaning when a new customer orders and works out what size they fit, they can order online with confidence from then onwards knowing the online sizing for that brand will always be the same. Generally these companies offer free return shipping, but this is generally only ever needed on the first order.

For instance I know every pair of Allbirds shoes I order online will always fit just as well as the last pair.

[Waltzing]

VR will and META will transform the market place into a world where the new generation of Physic students will be hired to work on the platforms.

The 12 to 16 years old wont be wanting to look at web 2 fashion product presentations.

[buy_high_sell_lo]

Hello hoping one of you can help me with a question. While browsing through the annual report of HLG I have found that on the balance sheet there is:

Current lease liability 22,991
Non-current lease liability 53,641

This all makes sense however on the cash flow statement there is a line:
interest on leases 2,430

For a business that rents its stores why is there an interest on leases?

Cheers

[Muse]

Hello hoping one of you can help me with a question. While browsing through the annual report of HLG I have found that on the balance sheet there is:

Current lease liability22,991
Non-current lease liability53,641

This all makes sense however on the cash flow statement there is a line:
interest on leases2,430

For a business that rents its stores why is there an interest on leases?

Cheers

you can thank IFRS16 for that one. bloody accountants (no offense, beagle)

[Beagle]

you can thank IFRS16 for that one. bloody accountants (no offense, beagle)

LOL Yeah, I know...some weird ones sit around in ivory towers with not enough to do and dream up new weird and wacky ways of doing things to try and justify their existence. IFRS 16 is my pet hate. I've printed it out, hung it on the wall and I often throw darts at it which is very therapeutic :D

Its disappointing to see HLG in the very low $6's. I guess the market hates uncertainty and that's exactly what omicron is serving up.

[Snoopy]

Hello hoping one of you can help me with a question. While browsing through the annual report of HLG I have found that on the balance sheet there is:

Current lease liability 22,991
Non-current lease liability 53,641

This all makes sense however on the cash flow statement there is a line:
interest on leases 2,430

For a business that rents its stores why is there an interest on leases?


You missed the offsetting 'asset' piece that completes the puzzle 'buy high sell low', an accounting construct created by IFRS16 called 'Right of Use Assets'. Likewise 'lease liability' is a part of what used to be called 'rent' under previous accounting standards.



Right of Use Assets67,223


Current lease liability(22,991)


Non-current lease liability(53,641)



You will notice that 'Right of Use Assets' do not balance the 'Lease Liability':

$67.223m-$22.991m-$53,641m = -$9.409m (over the complete time span of all lease contracts)

On a single current year basis, the 'Right of Use'/'Lease Liability' is balanced by an 'interest on leases' payment which for FY2021 was $2.430m. However under old accounting standards, and as far as day to day management of the HLG business goes, that $2.430m 'interest' (sic) payment would be thought of as part of the rent.

That is how I understand this IFRS mess.

SNOOPY

[Waltzing]

"low 6"

and westpac today releasing it "COVID BILL DUE"

sentiment is on the wain in certain sectors across the economy..

however AUS is all GO!!!

Travel will come back in the next 24 months, buy some travel.

A Horse muscle specialist from IRAN who speak in an IRISH manner went 3 times to germany last year..

Some peoples from other countries are just HARDEND to life.

They will travel no matter what.

And a clothes Horse... Shops till she drops...

[buy_high_sell_lo]

Very much appreciate this explanation SNOOPY brings about some clarity to the puzzle.

[Rawz]

Very much appreciate this explanation SNOOPY brings about some clarity to the puzzle.

Isnt Sharetrader great. So many 5 star generals always happy to help the next wave of investors coming through. Gosh we are lucky

[850man]

Isnt Sharetrader great. So many 5 star generals always happy to help the next wave of investors coming through. Gosh we are lucky

and us "next wave investors" need all the help we can get too. Very challenging times and difficult to hold one's nerve

[LaserEyeKiwi]

LOL Yeah, I know...some weird ones sit around in ivory towers with not enough to do and dream up new weird and wacky ways of doing things to try and justify their existence. IFRS 16 is my pet hate. I've printed it out, hung it on the wall and I often throw darts at it which is very therapeutic :D

Its disappointing to see HLG in the very low $6's. I guess the market hates uncertainty and that's exactly what omicron is serving up.

IFRS 16 is an extremely hostile thing done to NZ retail investors, turning something that was relatively simple to decipher into a pretzel shaped calculation that obscures the underlying financials.

[Beagle]

IFRS 16 is an extremely hostile thing done to NZ retail investors, turning something that was relatively simple to decipher into a pretzel shaped calculation that obscures the underlying financials.

Yeap, no doubt about it, IFRS 16 is a dog's breakfast. Please don't ask me to explain it in detail, I'd rather have root canal surgery on my teeth.

[Grimy]

$6.01. How far into the $5 range before it starts to get some support?
I'm certainly looking to top up, but maybe no need to hurry pressing the buy button.
Or grab a few now and then wait and see where it goes?

[Beagle]

Where it goes, nobody knows. This is a very thinly traded stock so I am sorry but I am not going to outline my plans on here before they're actioned.

[Waltzing]

market is probably pricing in the big stay away from anywhere.

Central North Island small town was fill of people eating out yesterday not a mask in sight.

No RAT A TAT TAT's or can you just walk in and buy some yet?

5 dollars a very good price.

looks about 5.80 is supported on the lower bound but if something happens in a few weeks time in europe you could see 5.

support level look to be about

5.80
4.80
3.80

but its an AUS proxy traded in NZ dollars.

Its almost listed on the wrong exchange.

Could almost do with a share split.

[Cyclical]

Well, this stock has traditionally been quite the cyclical, justifiably or otherwise. In theory the AU and online sides of the business should offer something of a buffer this time around, but there's no hiding from the fact retail's in for a pounding. I'll sit back for a while yet before rejoining the buy queue.

[fastbike]

IFRS 16 is an extremely hostile thing done to NZ retail investors, turning something that was relatively simple to decipher into a pretzel shaped calculation that obscures the underlying financials.

Yeah nah, it forces future payments that businesses are contractually bound to pay, onto the balance sheet.
Disclosure is a good thing.

Think of it as a future stream of payments for rent/leases: some due in the next accounting period so they are current liabilities, others due further out so they are long term. On the asset side of the ledger are the rights accruing from having signed those leases.

Simple really.

[Ferg]

Yeah nah, it forces future payments that businesses are contractually bound to pay, onto the balance sheet.
Disclosure is a good thing.

Think of it as a future stream of payments for rent/leases: some due in the next accounting period so they are current liabilities, others due further out so they are long term. On the asset side of the ledger are the rights accruing from having signed those leases.

Simple really.


No one is arguing against disclosure. We used to have future commitments disclosed in the notes....which was much simpler. I'm not sure of the mental gymnastics needed to say a right to occupy something you don't own through a series of future contractual payments equates to an asset...that is more complicated than recording those payments as rent and disclosing the future commitments in the notes.

[Cyclical]

Where it goes, nobody knows. This is a very thinly traded stock so I am sorry but I am not going to outline my plans on here before they're actioned.

Let me guess...trying to get back 6+ bucks before it's too late?

[Muse]

No one is arguing against disclosure. We used to have future commitments disclosed in the notes....which was much simpler. I'm not sure of the mental gymnastics needed to say a right to occupy something you don't own through a series of future contractual payments equates to an asset...that is more complicated than recording those payments as rent and disclosing the future commitments in the notes.

agree.
it was pretty common place pre IFRS16 by analysts and investors to simply apply a cap rate to rent/lease expense, adding it to the balance sheet and deducting it from earnings, if wanting to evaluate EV/EBITDA and EV/EBIT multiples treating rental expense as debt.
now its very difficult to weed through and compare historical and current financials on a like for like difference.
anyway it is what it is and it is what we got, so on with it we go

[Waltzing]

"Disclosure is a good thing."

the contamination of the ledgers with this sort of rubbish is what smashes the balance sheets into the stands as junk.

A disclosure as a NOTE is all that was required.

The Pointie heads as one ACA called them just love f^&* Up the ledgers with JUNK...

it just makes the creation of a Meta Data standard even harder and almost impossible...

This was obvious decades ago and was discussed with Hartley on RT86..

it was hopeless then and its useless now.

[Beagle]

Everyone always knew that entering into a long term lease conferred an enduring benefit and corresponding liability and I agree 100% that all that was ever required was disclosure of leases by way of note...but the "experts" in Zurich or wherever they are that came up with this genius new international financial reporting standard saw it otherwise :rolleyes: Probably being paid a million Euro's a year each and felt they needed to do something to justify their salary. I'd like to extract medieval revenge...put them all in stocks so we can throw rotten fruit at them lol

Sorry, I am not going to comment on future strategy as this is extremely thinly traded.

[Muse]

Everyone always knew that entering into a long term lease conferred an enduring benefit and corresponding liability and I agree 100% that all that was ever required was disclosure of leases by way of note...but the "experts" in Zurich or wherever they are that came up with this genius new international financial reporting standard saw it otherwise :rolleyes: Probably being paid a million Euro's a year each and felt they needed to do something to justify their salary. I'd like to extract medieval revenge...put them all in stocks so we can thrown rotten fruit at them lol

Sorry, I am not going to comment on future strategy as this is extremely thinly traded.

Could be worse - it could have briscoes liquidity

[Waltzing]

"Zurich"

thats it a rogue to confuse everyone!

those little bastard bankers and whatch makers!

Oh dear got a Cousin married to one...

ill complain at the next dinner....

Oh yes stuck here and no trips for at least another year...

Oh well at least M Faye is there waiting to rescue all those who recently got a letter from the east german tax department in new NZ.

KIP went up today!

HLG sitting on 6....

Suggestion on CNBC today that the RBNZ should have moved NZ closure to the supply chain and not moved on rates..

STAGGY FLAG soon?

[Cyclical]

...this is extremely thinly traded.

Yeah, why is that? Must be quite detrimental for some more sizable traders that like to be able to make fast moves. Anyway, guess we can look forward to the down ramping in due course... ;-)

[Waltzing]

6 about to go below...

[Rawz]

Is Beagle driving down HLG sp?

Cant be true?!?

[Beagle]

I am doing a remarkably good impression of being a possum caught in the headlights. With all the Omricon and geo political garbage going on its hard to know what to think.

[Waltzing]

"hard to know what to think."

Thinking 5 dollars would be really amazing....

[Cyclical]

Thinking 5 dollars would be really amazing....

I wouldn't consider that beyond the realm of possibility. Would certainly pique my interest if it gets south of say 5.40.

[Beagle]

I wouldn't consider that beyond the realm of possibility. Would certainly pique my interest if it gets south of say 5.40.

https://www.rover.com/blog/wp-content/uploads/2014/08/beagle-hunting.jpg

[Waltzing]

Its not that the company is worth south of 6 handle.

Its that the global markets are starting a whip saw...

Europe has changed its resolve and that means risk is starting to swing south.

The support handles on the chart look at be at about 1 dollar handles.

5.80, 4.80, 3.80.

This is a AUS PROXY.

NZ economy is not really the driver here.

[Rawz]

I certainly wouldn’t be buying now. This stock is in a downtrend since $7.70.

Retail has done its dash and HLG is trading on a lofty P/e.

$5 is coming.

[Waltzing]

BRISC may well swim through the next 12 months ok though.

[Rawz]

Even king Duke may see BGP sales go backwards in real terms

[Waltzing]

Not expecting BGP to be impacted in the long run but supply chains may get a margin squeeze....

any big hits will be a BUY on BGP.

[Muse]

Even king Duke may see BGP sales go backwards in real terms

briscoe 1H FY22 sales will go backwards in any terms, me thinks.
gravity gets even the best, like bricoes and HGH

[see weed]

Horrible company to trade. I can't sell because it will push sp down to $5 and when buying back in pushes sp back up to $7. Good if you are doing little trades. So will just hold and catch the div.

[Waltzing]

"1H FY22"

did not everyone get hit on this Half year.

But notice how fast the last 2 years flew bye while grounded...

2 years time you wont even remember H1 22 except to smooth the data out.

under 6 already ..

[winner69]

rag trade going gangbusters in Aussie as people return to work and heck the Melbourne people “.....are embracing a joyful explosion of colour normally associated with their northern neighbours.” (I think that means peacocking - male and female)

All looking for HLG ...... share price back to 7 bucks soon .... no need to worry about the 'noise' in the market place

https://www.smh.com.au/national/rules-are-out-the-window-clothing-sales-are-up-as-covid-19-transforms-office-attire-20220223-p59yze.html

[Beagle]

rag trade going gangbusters in Aussie as people return to work and heck the Melbourne people “.....are embracing a joyful explosion of colour normally associated with their northern neighbours.” (I think that means peacocking - male and female)

All looking for HLG ...... share price back to 7 bucks soon .... no need to worry about the 'noise' in the market place

https://www.smh.com.au/national/rules-are-out-the-window-clothing-sales-are-up-as-covid-19-transforms-office-attire-20220223-p59yze.html

Good link mate...this caught my eye

Data from Mastercard shows retail sales increased 4.9 per cent in January compared to the same time last year and were up 14.4 per cent on pre-pandemic levels two years ago. Clothing sales were up 8.5 per cent over the last 12 months, and 20 per cent on pre-pandemic levels.

There was a 20 per cent rise in online shopping sales over the past 12 months, according to the Australian Bureau of Statistics.

[winner69]

Good link mate...this caught my eye

Data from Mastercard shows retail sales increased 4.9 per cent in January compared to the same time last year and were up 14.4 per cent on pre-pandemic levels two years ago. Clothing sales were up 8.5 per cent over the last 12 months, and 20 per cent on pre-pandemic levels.

There was a 20 per cent rise in online shopping sales over the past 12 months, according to the Australian Bureau of Statistics.

And HLG will be doing better than those growth rates as they are gaining market share and have a much superior online model than others in the sector

[winner69]

Wonder if ‘peacocking’ is the not so well off persons ‘dopamine dressing’ - ” It’s a trend all about embracing bright, happy colours cut in fun, vibrant shapes. It’s about feeling great in what you have on. It’s about harnessing colour therapy to boost mood and outlook in the hope that this triggers the reward centre in our brain and increases our pleasure hormones. “


https://businessdesk.co.nz/article/the-life/dopamine-dressing-colour-yourself-happy-in-this-seasons-most-stylish-hues

Nothing from Glassons featured but heck that Maggie Marilyn body scarf at $325 looks really cool but might clash with the $982 Valentino Garavani shoes …wow

[Beagle]

Cool article mate. Goodness, don't we all need the help at the moment with feeling good with everything that's going on in the world !

[Waltzing]

first support level coming up.

[Rawz]

first support level coming up.

where will it end Waltz?

Below $5??

[oldtech]

first support level coming up.

What is the support level Waltzing?

[winner69]

What is the support level Waltzing?

I reckon $7.25 or there abouts ;)

What you reckon it is oldtech

[oldtech]

I reckon $7.25 or there abouts ;)

What you reckon it is oldtech

I'd actually picked $4.50-ish so reckon I might have some rework to do :( as I doubt that's what Waltzing had in mind.

[nztx]

$4.75 even would be good - oldtech :)

[Waltzing]

Stated 3 support levels.

580, 480 and 380.

those are roughly what you get if you have a large A4 chart and plot the lows using your tech drawing tools.

Super imposed over a printed chart on top of graph paper.

some of you will use FIB retracements.

yes we have some software classes coming for the job.

For those who dont write software a class is a container or grouping of code methods and properties that can manage information , display information , move it between applications or devices on your phones, computers or internet IOT devices.

[oldtech]

Stated 3 support levels.

580, 480 and 380.

those are roughly what you get if you have a large A4 chart and plot the lows using your tech drawing tools.

Super imposed over a printed chart on top of graph paper.

I've been trying to do similar using Yahoo charts :D but think I need to work on my TA skills a bit more ...

[Snow Leopard]

....For those who dont write software a class is a container or grouping of code methods and properties that can manage information , display information , move it between applications or devices on your phones, computers or internet IOT devices.

Object orientated is SO dated. I would have thought a chap like you would have been into full on functional by now and interspersing 'monad' into you posts with regular abandon.

[Habits]

where will it end Waltz?

Below $5??

Warehouse has support at 3, it did drop below for a couple days and quickly re-gathered... one of the players giving us a scare I guess. Anyhow whs is now coming back and rallied today. I would not be panicking over the HLG price and selling out unless you need the funds for something fancy, like a car or boat. HLG is worth at least double WHS

[Joshuatree]

ps ,I am not a snob,simply a devine feline.......:cool:

[Baa_Baa]

Object orientated is SO dated. I would have thought a chap like you would have been into full on functional by now and interspersing 'monad' into you posts with regular abandon.

Oh you teaser, I resisted commenting but thanks for filling the gaps. Fancy graph paper over a printed chart? - get out of here, Lol

[Waltzing]

It depends on what your doing.

Is Csharp dated?

Ok its true we dont actually use A4 graph paper. But if you go back O Neil he talks about the early days of charting..

really amazing what they achieved.

really we have moved on from functional to a IOT like engine that doesnt even need to know what if there is a syntax tree.

Must try the A4 graph paper.

Sub 5 is possible.

Right now the world is very a strange place.

[Baa_Baa]

It depends on what your doing.

Is Csharp dated?

Ok its true we dont actually use A4 graph paper. But if you go back O Neil he talks about the early days of charting..

really amazing what they achieved.

really we have moved on from functional to a IOT like engine that doesnt even need to know what if there is a syntax tree.

All components are bindings that are executed like a factory floor automated factory.

Now this time im not joking.

If you wrote in English we'd undertstand you, this is just gibberish. If you want early days of charting you'd look into why some clever Chinese chap figured out candle sticks, or maybe more contemporary Bullkowski's charting patterns, indicators etc. All of which are just basic features of extraordinarily good free Charting software.

All of these show HLG as a cyclical, when it's hot it's hot and when it's not it's not. Surf the wave, know when to get off. imho.

[Waltzing]

I dont think you will find they had charting software when O Neil started out...all drawn on Graph paper

The post was a reply to SNL.

That snow cat knows his stuff.

SNL .....Saturday Night Live..

im sure many investors have surfed the HLG wave...

Well pastels anyone? and where is the A4 Graph paper.

http://scihi.org/william-playfair-and-the-beginnings-of-infographics/#:~:text=On%20September%2022%2C%201759%2C%20Scotti sh,pie%20chart%2C%20and%20circle%20graph.

[LaserEyeKiwi]

https://i.stuff.co.nz/business/industries/127929921/covidhit-new-zealand-couriers-delivering-only-critical-items-to-auckland-as-covid-bites

FYI - looks like Auckland online orders will cease to be filled for the time being. Couriers only delivering critical items now.

[winner69]

Sometimes measuring the amplitude of cyclical swings in the changes of a share price is a guide where HLG share price is heading

HLG share price in the past when it's gone down has turned (up) when it the share price has fallen about 40% from where it was 6 months prior and/or about 50% from where it was 12 months prior.

Believe that HLG is a cyclical stock and this time its different and that there's some sense in me using amplitudes then the HLG share price could be around the 380 - 420 mark in a month or two

[Waltzing]

winner(n) != AUS

surely with the AUS dollar backing that would be worst case.

William Playfair must have seemed like a da vinic when he came up with those graphs.

[Waltzing]

Market showing a lot of support from 5.8 to 6 here; very impressive.

[LaserEyeKiwi]

Change since start of last year (14 months ago):

13602

[winner69]

So Foodstuffs / Progressive make huge ‘excessive’ profits …’excessive’ based on returns over cost of capital.

I think clothing retailers need to come under ComCom scrutiny ….jeez HLG with their 36% ROE and thus returns of say 25% to 30% allowing for cost of equity is truly ‘excessive’ …..daylight robbery and several times the return of those awful supermarket chains.

Not $1m a day but more than $60,000 a day if calculated the ComCom way

Never mind shareholders …more important NZers can afford decent clothes.

[Snoopy]

So Foodstuffs / Progressive make huge ‘excessive’ profits …’excessive’ based on returns over cost of capital.

I think clothing retailers need to come under ComCom scrutiny ….jeez HLG with their 36% ROE and thus returns of say 25% to 30% allowing for cost of equity is truly ‘excessive’ …..daylight robbery and several times the return of those awful supermarket chains.

Not $1m a day but more than $60,000 a day if calculated the ComCom way

Never mind shareholders …more important NZers can afford decent clothes.

For those on tight budgets, there still exists the option of second hand clothing. The second had food market, however, is not so buoyant.

SNOOPY

[Walter]

Fast fashion makes shopping for clothes more affordable, but it comes at an environmental cost. The fashion industry produces 10% of all humanity's carbon emissions, is the second-largest consumer of the world's water supply, and pollutes the oceans with microplastics.

[LaserEyeKiwi]

So Foodstuffs / Progressive make huge ‘excessive’ profits …’excessive’ based on returns over cost of capital.

I think clothing retailers need to come under ComCom scrutiny ….jeez HLG with their 36% ROE and thus returns of say 25% to 30% allowing for cost of equity is truly ‘excessive’ …..daylight robbery and several times the return of those awful supermarket chains.

Not $1m a day but more than $60,000 a day if calculated the ComCom way

Never mind shareholders …more important NZers can afford decent clothes.

HLG isn’t one of only two dominant clothing retailers, who use threats against their clothes suppliers to prevent new clothing retailers from starting.

[Rawz]

Is this at $4 yet?

Remember $4 before Beagles $10

[Beagle]

Is this at $4 yet?

Remember $4 before Beagles $10

In your dreams mate...and in mine as well lol.
I'd be using my truck and be looking to be borrowing the neighbors truck and trailer unit at $4 too !

[dreamcatcher]

Still in profit @$4 so probably add more but everyone buying then who's selling ?

[nztx]

In your dreams mate...and in mine as well lol.
I'd be using my truck and be looking to be borrowing the neighbors truck and trailer unit at $4 too !


I'll let you know if I see the balloon go up - from a lofty height - but I may already have a few
trucks in the queue :)

[nztx]

Still in profit @$4 so probably add more but everyone buying then who's selling ?


bound to be odd loose hand wanting to stem the flow of red, especially if they jumped in at high 6's 7's ;)

[winner69]

Stats NZ Card spend February month

Spending down 8% from January (seasonally adjusted)

They commented that apparel,was down $50 million (14.4%)

Not a good start for second half sales for HLG in NZ

[Waltzing]

hope its terrible as it seemed to want to stay above the 5.80

need some shock to send it to 4.80

sales of late summer swim wear might be up there though.

Mr B's fav category.

[winner69]

hope its terrible as it seemed to want to stay above the 5.80

need some shock to send it to 4.80

sales of late summer swim wear might be up there though.

Mr B's fav category.

Maybe Lehman going broke again from default on Russia debt could be catalyst for driving markets down hugely and you'll get your 4 bucks for HLG

[Rawz]

Not good but not unexpected. Downward pressure on SP will continue

[nztx]

Maybe Lehman going broke again from default on Russia debt could be catalyst for driving markets down hugely and you'll get your 4 bucks for HLG


Interesting seeing the Funds exposed to Russian markets

Think some Vanguard funds are fairly well up the list in for billions too

Of course Russia have suspended any interest payments as well

[Waltzing]

4.90 handle would do... also a 4.90 on bris...

sales of surf boards will be up on last week...

[nztx]

4.90 handle would do... also a 4.90 on bris...


4 buckses for both would be even better :)

mind you there's still the odd undiscovered gem on NZX for those
handy with a spade & knowing where to uncover the top soil ..

[Waltzing]

AUS travel stocks took off today.

[nztx]

AUS travel stocks took off today.


Did they show any interest in some AIR ? ;)

Someone must want to take this problem child off Robertson's hands - surely ? ;)

[Beagle]

Did they show any interest in some AIR ? ;)

Someone must want to take this problem child off Robertson's hands - surely ? ;)

Anyone wanting more than 10% needs crown approval, besides that who wants a "hospital pass"

[Waltzing]

ive been pushing for more travel stock in AUS but due to the global risk havnt been given a green light for lots...

still promising start .

might leave AIR off the new database..whats the point?

[Grimy]

Meanwhile, back to HLG. Has held around the current price reasonably well the past few days. I bought a small amount a few days back and happy to add more if if tracks down further.
Catching a falling knife, or dollar cost averaging. Call it what you will...

[Beagle]

Meanwhile, back to HLG. Has held around the current price reasonably well the past few days. I bought a small amount a few days back and happy to add more if if tracks down further.
Catching a falling knife, or dollar cost averaging. Call it what you will...

Smart long term thinking.

[Waltzing]

depends on how AUS has done this qtr.. retail stats for AUS will be what Winner as everyone will be waiting for.

dont see much point till then..while to go to the interim.

highly likely they will not be increasing the DIV this time around.

without doing the maths would it get to 20 cents?

[nztx]

Meanwhile, back to HLG. Has held around the current price reasonably well the past few days. I bought a small amount a few days back and happy to add more if if tracks down further.
Catching a falling knife, or dollar cost averaging. Call it what you will...


and a catapult up the other side whenever that happens .. worked well 18 months or so ago
but no Russian tantrums were being thrown back then :)

[nztx]

depends on how AUS has done this qtr.. retail stats for AUS will be what Winner as everyone will be waiting for.

dont see much point till then..while to go to the interim.

highly likely they will not be increasing the DIV this time around.

without doing the maths would it get to 20 cents?


I think Oz will be ahead of us here with retail recovery and climb out the other side

Look at what others in the game over yonder are reporting .. KMD comes to mind
then factor in HLG's usually doing their retail job better IMO

If MYR can climb out of the mire and front with 1.5cps div .. then
that's saying something for the times across the ditch :)

[clearasmud]

I think Oz will be ahead of us here with retail recovery and climb out the other side

Look at what others in the game over yonder are reporting .. KMD comes to mind
then factor in HLG's usually doing their retail job better IMO

If MYR can climb out of the mire and front with 1.5cps div .. then
that's saying something for the times across the ditch :)
Myr has been a turnaround for years and in fact could have paid a dividend a year ago.
Premier Investments now owns 20% of Myr and has been annoying the MYR board.
They need to keep the shareholders happy or Solly will be taking over at a cheap price.
We can still expect a takeover offer.

[Waltzing]

this fab summer last few weeks has been some of the best beach weather ever.

dusted off some classic high voltage boards and its shop at assault.

just seen a whole new generation out surfing last week at the mount and some amazing board riding from young generation of both.

some classics looking rip curl potential models out their not being recruited for those Rip Curl and HLG summer range photo promo's.

MYR worth noting its operating ratios for comparison to HLG and KMD.

[winner69]

Myr has been a turnaround for years and in fact could have paid a dividend a year ago.
Premier Investments now owns 20% of Myr and has been annoying the MYR board.
They need to keep the shareholders happy or Solly will be taking over at a cheap price.
We can still expect a takeover offer.

Be funny if Solly thought Glassons were doing ‘too well’ and offered a billion for HLG

[LaserEyeKiwi]

this fab summer last few weeks has been some of the best beach weather ever.

dusted off some classic high voltage boards and its shop at assault.

just seen a whole new generation out surfing last week at the mount and some amazing board riding from young generation of both.

some classics looking rip curl potential models out their not being recruited for those Rip Curl and HLG summer range photo promo's.

MYR worth noting its operating ratios for comparison to HLG and KMD.

I doubt many Australians living on its east coast would have described the last few weeks as some of the best beach weather ever.

I’m a little worried also that there appears to be a possibility that a 2nd Omicron wave is now hitting NSW, just when we thought the worst was over for OZ impact from it.

13607

[Waltzing]

wont stop them going to the beach if the weathers good.
safest place to be..

[fastbike]

I was speaking to a young relative yesterday who has landed a sales job at Glassons, who says they are required to wear Glassons clothes. Apparently there is no clothing allowance so they end up handing back their first two weeks to buy their "uniform".

[Grimy]

Hopefully they get a staff discount at least?

[allfromacell]

Hopefully they get a staff discount at least?

I know someone who works there too and they get half price off everything from both Hallenstines and Glassons

Most of the retail workers fit firmly in the target demographic and I think youll find they quite like the arrangement.

[Grimy]

Sounds more than reasonable. I've worked at a couple of places where company clothing was either required, or encouraged with a similar arrangement. Keeps everyone happy.

[Beagle]

I know someone who works there too and they get half price off everything from both Hallenstines and Glassons

Most of the retail workers fit firmly in the target demographic and I think youll find they quite like the arrangement.

Sounds fair and reasonable to me. With Glassons clothes already priced reasonably its hard to imagine anyone having to spend the "claimed" two weeks wages @ half price to be dressed nicely for work and its not like Glassons can afford the image of having their staff dressed right down with for example second hand stuff from an op shop.

Since Adam was a boy, certainly all my career its costs money to look professional at work and to present an appropriate image...its simply a cost of earning income just like getting to and from work is a cost people have to wear.

[Habits]

"a cost people have to wear"

Punny

[Waltzing]

another stunning week coming up with people in the gold triangle seeking shelter at the beaches.

on line sales of beach wear should be up.

paddle boards at T7 and beach wear at HLG.

whole new generation of beginner boards.

Tax cuts coming at the pump.

[winner69]

HLG one of the stars on the NZX today…..up 4%

That’s pretty good

[Grimy]

Dividend announcement in 9 days.

[Waltzing]

NO chance winner(n) of beating Bris. :eek2:

The Dana Carvey joke.. red necks in maine.. "Come and get some".

https://www.youtube.com/watch?v=h4bZsz1rnIw

[Balance]

Sp trending upwards ahead of the results.

Can't wait!

[Muse]

Sp trending upwards ahead of the results.

Can't wait!

aye bid up strongly - people love paying up & more for their dividend.
would be nice if they'd release some full year guidance - ~75% of the financial year is now complete, and the summer trading season has come to a close so they will have probably secured close to 90% of full year sales they will achieve by now

[winner69]

Sp trending upwards ahead of the results.

Can't wait!

and always spikes up by a bit more than the dividend when it's announced so could see $6.80 or there abouts next week.

[winner69]

aye bid up strongly - people love paying up & more for their dividend.
would be nice if they'd release some full year guidance - ~75% of the financial year is now complete, and the summer trading season has come to a close so they will have probably secured close to 90% of full year sales they will achieve by now

Half year on Friday .....will be a sales update but profit guidance unlikely

And only 66% of way through year (July year end) and last 4 months about 30% of annual sales

[Waltzing]

hit 4.80 and bounced...what a performance.. AUS dollar proxy.

[Beagle]

Opps sorry, forgot to mention, I rounded a few up the other day at $6.12

[850man]

hit 4.80 and bounced...what a performance.. AUS dollar proxy.

The dip and the bounce, both tiny volumes traded. Not much in it since it was $7

[Yeet_Shares]

It'll Probably tank with the current market weakness on top of a profit downgrade. Find out on Friday I guess.....

[LaserEyeKiwi]

hit 4.80 and bounced...what a performance.. AUS dollar proxy.

I presume you mean $5.80?

[Grimy]

I hope he did LEK, otherwise I really took my eye off the ball! Thought I was doing okay buying at 5.85.........

[Rawz]

Maybe he meant if the half year result is poor then it will fall to 4.80 and bounce from there :scared:

[Waltzing]

yup, spello , 5.80

3 bands of pastel A4 chart paper support..

3.80, 4.80.5.80

hate it when the pastel chart works!!!

is there something in the TAAA TA after all?

a chartist at NZ capital once said over drinks, its all Charts...

bit like the classic flat earth comment to Prof Feynman...https://en.wikipedia.org/wiki/Richard_Feynman

"the earth is flat young man, its turtles ALL the way down"!!

yes some person actually said it to the prof... they are out there people.. be warned...:eek2:

looking for a new supplier of pastels...wet afternoons nothing to do but play with colouring in tools while whatching arts channel ....

https://www.youtube.com/watch?v=rShGfsRY5m8

come on NZ .... you may end up the last place on earth for culture..

imagine the responsibility you will all bare on your shoulders in your gumboots...

https://www.youtube.com/watch?v=5tAWwqKNI7g

[winner69]

Much reduced profit announced tomorrow but I hope they say the balance sheet remains strong so they can give us a 23 cent divie again

[Waltzing]

test of 5.80 coming up again then winner(*n) ?

[Beagle]

Yes...I doubt there will be any surprises in tomorrow's announcement but the dividend announcement will be something we're all watching closely.
I am hoping for 20 cps fully imputed but Tim Glasson and the team have my upmost respect so if they choose to retain more earnings in the company to ensure they're extremely well positioned going forward I'm totally fine with that.

[see weed]

Yes...I doubt there will be any surprises in tomorrow's announcement but the dividend announcement will be something we're all watching closely.
I am hoping for 20 cps fully imputed but Tim Glasson and the team have my upmost respect so if they choose to retain more earnings in the company to ensure they're extremely well positioned going forward I'm totally fine with that.
Was thinking the same. I'm happy with 18c to 20c div. this time around. Have also been topping up in the last week or so. Am very happy with HLG sending me 20 to 30k in divs the last few years and would like to get another 20,000 before next div if anyone wants to match my bid:)

[Beagle]

Was thinking the same. I'm happy with 18c to 20c div. this time around. Have also been topping up in the last week or so. Am very happy with HLG sending me 20 to 30k in divs the last few years and would like to get another 20,000 before next div if anyone wants to match my bid:)

Happy to give you 20,000 of mine @ $10 each. Get in quick before I change my mind :)

[winner69]

The most important part of tomorrows announcement is what is X ….. Group sales for the first 7 weeks of the Winter season are X% ahead of the same period last year.

Last year X was 17.8% ….hope this year is about the same.

[Waltzing]

https://tradingeconomics.com/australia/retail-sales

not all sales are recorded in those stats.

[pierre]

The most important part of tomorrows announcement is what is X ….. Group sales for the first 7 weeks of the Winter season are X% ahead of the same period last year.

Last year X was 17.8% ….hope this year is about the same.
No announcement yet.
Either they've got so much cash they havent finished counting - or they're desperately hunting for a few more cents to boost the bottom line. :)

[Rawz]

Maybe they do a 4.30pm Friday special

[Rawz]

HALLENSTEIN GLASSON HOLDINGS LIMITED
UNAUDITED RESULTS FOR 6 MONTHS ENDED 1 FEBRUARY 2022
The Company advises that Group sales for the six months to 1 February 2022 were $170.63 million, a decrease of 6.2% over the corresponding period last year ($181.98 million). Net profit after tax was $11.91 million (unaudited), a decrease of 40.0% over the corresponding period last year ($19.84 million). The result is in line with the guidance announced to the NZX on 17 February 2022.
Gross margin on sales was 57.9% compared with 56.5% in the prior corresponding period. The improvement came with better prices negotiated with suppliers and more favorable exchange rates, but partially off-set by increased freight costs resulting from the ongoing global impact of COVID-19. During the financial period additional cost controls were implemented, reducing operating costs and inventory levels were well managed to preserve liquidity.
During the half, trade continued to be disrupted by COVID-19 resulting in 5,432 lost trading days due to the various lockdowns across the New Zealand and Australia store network. Where stores were unable to trade due to the various lockdowns, the Group has entered negotiations for rent relief support from landlords. While some negotiations have been resolved, others are ongoing.
Segment Results
Glassons
Sales in Australia were $71.89 million for the six-month period, which were up 5.1% against the prior corresponding period. During the season a new store was opened in Marion, Adelaide. This is the first store in South Australia and has been very successful since its opening. A new store in Penrith, Sydney has opened this week, and a new store in Canberra, ACT is due to open in April 2022. The store in Burwood, Sydney was closed in March. There are currently a number of sites being reviewed for potential openings in Australia to further expand the business.
Sales in New Zealand were $53.44 million, which was down -13.6% against the same period last year. The lockdowns in New Zealand significantly impacted the results of the in-store performance. There is continued focus on technology and the effectiveness of being omni channel with an increase in investment to support the digital strategy.
Glassons continues to bring the latest trends that customers want to the market through stores and online. The team have found new ways of working to ensure they are agile as well as maintaining a focus on sustainability. Glassons carries on the focus on putting the customer first by using digital solutions to engage and listen. This helps Glassons to maintain a strong brand position in both established markets and new markets.
Hallenstein Brothers
Sales were $45.30 million for the six-month period (including Australia), with sales declining -12.4% against the same period last year. As noted above, the New Zealand lockdowns had a significant impact on the store performance for the brand.
It was pleasing to see growth in casual categories, which largely offset the move away in menswear from more formal dressing. Covid-19 has been the trigger for a significant shift in consumer habits with a far more casual approach taken to what would traditionally be worn in the office and events, and the business has been able to pivot and adapt accordingly. Casual categories continue to outperform over the financial year with the team continuing to focus on current trends and ‘must have’ products.
E-Commerce
Digital sales have increased to 32.8% of total Group sales for the six-month period, up from 23.8% in the same period last year. There is an increased focus on digital marketing across the Group to drive engagement across all channels. The Glassons App continues to be very successful with more than 500,000 downloads, while significant work has been undertaken on the Hallensteins web shop to improve the look and the customer experience.
Dividend
The Directors have declared an interim dividend of 18 cents per share (partially imputed) (last year 23 cents per share) to be paid on 15 April 2022. The balance sheet continues to be strong and inventories well controlled.
Future Outlook
The trading environment for the first seven weeks of the winter season has remained challenging, with the Omicron outbreak in full swing in New Zealand, and still present but appearing past its peak in Australia. Group sales for the first seven weeks of the winter season are +0.5% ahead of the same period last year.
The business remains hopeful that the worst of the Omicron outbreak will soon be behind us and is looking forward to a stronger finish to the financial year. We will continue to focus on building digital engagement with our customers, enhancing the store experience whilst maintaining cost control and delivering the latest on trend product with a focus on sustainability.

[LaserEyeKiwi]

https://www.nzx.com/announcements/389503

UNAUDITED RESULTS FOR 6 MONTHS ENDED 1 FEBRUARY 2022

The Company advises that Group sales for the six months to 1 February 2022 were $170.63 million, a decrease of 6.2% over the corresponding period last year ($181.98 million). Net profit after tax was $11.91 million (unaudited), a decrease of 40.0% over the corresponding period last year ($19.84 million). The result is in line with the guidance announced to the NZX on 17 February 2022.

Gross margin on sales was 57.9% compared with 56.5% in the prior corresponding period. The improvement came with better prices negotiated with suppliers and more favorable exchange rates, but partially off-set by increased freight costs resulting from the ongoing global impact of COVID-19. During the financial period additional cost controls were implemented, reducing operating costs and inventory levels were well managed to preserve liquidity.

During the half, trade continued to be disrupted by COVID-19 resulting in 5,432 lost trading days due to the various lockdowns across the New Zealand and Australia store network. Where stores were unable to trade due to the various lockdowns, the Group has entered negotiations for rent relief support from landlords. While some negotiations have been resolved, others are ongoing.

Segment Results

Glassons

Sales in Australia were $71.89 million for the six-month period, which were up 5.1% against the prior corresponding period. During the season a new store was opened in Marion, Adelaide. This is the first store in South Australia and has been very successful since its opening. A new store in Penrith, Sydney has opened this week, and a new store in Canberra, ACT is due to open in April 2022. The store in Burwood, Sydney was closed in March. There are currently a number of sites being reviewed for potential openings in Australia to further expand the business.

Sales in New Zealand were $53.44 million, which was down -13.6% against the same period last year. The lockdowns in New Zealand significantly impacted the results of the in-store performance. There is continued focus on technology and the effectiveness of being omni channel with an increase in investment to support the digital strategy.

Glassons continues to bring the latest trends that customers want to the market through stores and online. The team have found new ways of working to ensure they are agile as well as maintaining a focus on sustainability. Glassons carries on the focus on putting the customer first by using digital solutions to engage and listen. This helps Glassons to maintain a strong brand position in both established markets and new markets.

Hallenstein Brothers

Sales were $45.30 million for the six-month period (including Australia), with sales declining -12.4% against the same period last year. As noted above, the New Zealand lockdowns had a significant impact on the store performance for the brand.

It was pleasing to see growth in casual categories, which largely offset the move away in menswear from more formal dressing. Covid-19 has been the trigger for a significant shift in consumer habits with a far more casual approach taken to what would traditionally be worn in the office and events, and the business has been able to pivot and adapt accordingly. Casual categories continue to outperform over the financial year with the team continuing to focus on current trends and ‘must have’ products.

E-Commerce

Digital sales have increased to 32.8% of total Group sales for the six-month period, up from 23.8% in the same period last year. There is an increased focus on digital marketing across the Group to drive engagement across all channels. The Glassons App continues to be very successful with more than 500,000 downloads, while significant work has been undertaken on the Hallensteins web shop to improve the look and the customer experience.

Dividend

The Directors have declared an interim dividend of 18 cents per share (partially imputed) (last year 23 cents per share) to be paid on 15 April 2022. The balance sheet continues to be strong and inventories well controlled.

Future Outlook

The trading environment for the first seven weeks of the winter season has remained challenging, with the Omicron outbreak in full swing in New Zealand, and still present but appearing past its peak in Australia. Group sales for the first seven weeks of the winter season are +0.5% ahead of the same period last year.

The business remains hopeful that the worst of the Omicron outbreak will soon be behind us and is looking forward to a stronger finish to the financial year. We will continue to focus on building digital engagement with our customers, enhancing the store experience whilst maintaining cost control and delivering the latest on trend product with a focus on sustainability.

Stuart Duncan
Group CEO

[bull....]

The most important part of tomorrows announcement is what is X ….. Group sales for the first 7 weeks of the Winter season are X% ahead of the same period last year.

Last year X was 17.8% ….hope this year is about the same.

barely registered that increase and facing a uncertain future with rising costs. lucky they are being prudent and reducing the div under these circumstances

[Rawz]

For me the results are of a great company trading in very tough times. And i think it wont be getting any better. Glassons Australia still the shining light. E-commerce continues to perform very well. Hallensteins still hurting by carrying their formal wear but good on them moving more to casual.

Could be 2-3 years of tough times and SP will come under pressure.

[winner69]

The most important part of tomorrows announcement is what is X ….. Group sales for the first 7 weeks of the Winter season are X% ahead of the same period last year.

Last year X was 17.8% ….hope this year is about the same.

At least X was positive ...... just

[Arbroath]

barely registered that increase and facing a uncertain future with rising costs. lucky they are being prudent and reducing the div under these circumstances


The Dividend is effectively a 33% cut because it is not fully imputed this time (that should be a temporary issue given there clean earnings).

A very well run company in a very difficult environment....might be tough in 2022 but worth keeping on the watchlist as online sales continue to grow significantly.

[777]

Interesting they state that the dividend will be paid on Easter Friday. Can't see that happening.

[Rawz]

Could test Waltz $5.80 again?

[LaserEyeKiwi]

At least X was positive ...... just

I actually found that quite remarkable considering the last 7 weeks of Omicron in NZ, Australia must have rebounded quite nicely.

[pierre]

For me the results are of a great company trading in very tough times. And i think it wont be getting any better. Glassons Australia still the shining light. E-commerce continues to perform very well. Hallensteins still hurting by carrying their formal wear but good on them moving more to casual.

Could be 2-3 years of tough times and SP will come under pressure.

HLG are smart operators and Im sure we can look forward to an improved outcome from the next 6 months.
The growth in digital sales is impressive and will help insulate them from the negative impact of Covid.
Hopefully freight costs will at least stabilise if not reduce and new store openings in Oz will also assist the result.

[winner69]

For me the results are of a great company trading in very tough times. And i think it wont be getting any better. Glassons Australia still the shining light. E-commerce continues to perform very well. Hallensteins still hurting by carrying their formal wear but good on them moving more to casual.

Could be 2-3 years of tough times and SP will come under pressure.

WTF ---- Glassons AU sales UP $3.5m (+5%) but profit DOWN $2.7m (-27%)

And that's with improved margins ..... bloody heck

[Beagle]

A few initial thoughts.

eps came in at just on 20 cps and looks to be about 40 cps for the year so the FY22 PE is 16.5 but this is based on trough year earnings.
Growth in online sales to ~ 33% is impressive and provides a solid platform for further expansion without incurring significant overhead.

Its clear that their growth is going to come from Australia and they're targeting that. (This half ~ 63% of profit was from Australia)
There appear to be implications for the level of imputation that will be attached to future dividends.

Nice to see the gross margin improvement so they are managing the supply chain challenges very well.

A very well managed company that will rebound and grow nicely over time, especially when Covid finishes but who knows when that might be ?

I can't help noting that WHS provides a superior yield 9.1% gross (based on 21 cps for the year 100% imputed) and their dividends are fully imputed. HLG is 6.3% Gross yield, (based on 2 x 18 cent dividends 50% imputed) FY22 PE is about 11 on WHS...is HLG worth another 5.5 PE for a current year 16.5 ? compared to WHS is this tough market ? Hmmm and can HLG maintain a ~ 50% imputation credit level going forward with only 37% of their profit coming from N.Z. which might reduce even further in the coming years ?

Long term HLG has better prospects but in the short term the yield difference for income investors is quite stark and definitely favors WHS.
In addition in tough times, (cost of living crisis), are WHS basic products more in demand or HLG ? You folks be the judge, I don't know.

[Waltzing]

The Beagle is Bang on the Bones !

But HLG has still got strong growth potential and one wonders if in fact its better own in AUS dollars for the future.

Aus still has a ECO set for growth and its banking sector is not going to be constrained by T1 at 16%.

It just going to have a higher velocity of money in its ECO.

[percy]

A few initial thoughts.

eps came in at just on 20 cps and looks to be about 40 cps for the year so the FY22 PE is 16.5 but this is based on trough year earnings.
Growth in online sales to ~ 33% is impressive and provides a solid platform for further expansion without incurring significant overhead.

Its clear that their growth is going to come from Australia and they're targeting that. (This half ~ 63% of profit was from Australia)
There appear to be implications for the level of imputation that will be attached to future dividends.

Nice to see the gross margin improvement so they are managing the supply chain challenges very well.

A very well managed company that will rebound and grow nicely over time, especially when Covid finishes but who knows when that might be ?

I can't help noting that WHS provides a superior yield 9.1% gross (based on 21 cps for the year 100% imputed) and their dividends are fully imputed. HLG is 6.3% Gross yield, (based on 2 x 18 cent dividends 50% imputed) FY22 PE is about 11 on WHS...is HLG worth another 5.5 PE for a current year 16.5 ? compared to WHS is this tough market ? Hmmm and can HLG maintain a ~ 50% imputation credit level going forward with only 37% of their profit coming from N.Z. which might reduce even further in the coming years ?

Long term HLG has better prospects but in the short term the yield difference for income investors is quite stark and definitely favors WHS.
In addition in tough times, (cost of living crisis), are WHS basic products more in demand or HLG ? You folks be the judge, I don't know.

Excellent summary.
Online exciting .Aussie Glassons super exciting.
WHS vs HLG.I can not see young fashion following dudes and dudesses, who are huge spenders ,being seen dead in WHS apparel or shoes.
No mention of US online sales.
I very much feel HLG's business model is excellent,while WHS are still trying to find theirs.Would point out they have been trying for years,and are still very trying...lol

[Beagle]

Excellent summary.
Online exciting .Aussie Glassons super exciting.
WHS vs HLG.I can not see young fashion following dudes and dudesses, who are huge spenders ,being seen dead in WHS apparel or shoes.
No mention of US online sales.
I very much feel HLG's business model is excellent,while WHS are still trying to find theirs.Would point out they have been trying for years,and are still very trying...lol

LOL yeah its no secret that I have the upmost respect for how HLG manage their business and as the oldest listed company on the NZX its weathered all sorts of challenges.
Fabulous long term growth opportunity in Australia with Glassons and a total dressable market more than 5 times that of N.Z.
On the other hand WHS has plenty of room for improvement and a much better yield and much lower metrics. WHS has been beaten down really hard and in my opinion is likely to outperform from here in 2022 compared to HLG. Long term, I am sure it will be the other way around.

[percy]

LOL yeah its no secret that I have the upmost respect for how HLG manage their business and as the oldest listed company on the NZX its weathered all sorts of challenges.
Fabulous long term growth opportunity in Australia with Glassons and a total dressable market more than 5 times that of N.Z.
On the other hand WHS has plenty of room for improvement and a much better yield and much lower metrics. WHS has been beaten down really hard and in my opinion is likely to outperform from here in 2022 compared to HLG. Long term, I am sure it will be the other way around.

Yes you have to decide whether you buy fresh chaff, or chaff that has been through the horse.One comes a little cheaper..lol.
Agree one would suit a trader while an investor would hold the other.

[Yeet_Shares]

Excellent summary.
Online exciting .Aussie Glassons super exciting.
WHS vs HLG.I can not see young fashion following dudes and dudesses, who are huge spenders ,being seen dead in WHS apparel or shoes.
No mention of US online sales.
I very much feel HLG's business model is excellent,while WHS are still trying to find theirs.Would point out they have been trying for years,and are still very trying...lol

wow!!......40% downgrade on net profit, never saw that coming.

[Rawz]

SP doing quite well. I thought it would have been punished based on the outlook provided.

[Habits]

On the other hand WHS has plenty of room for improvement and a much better yield and much lower metrics. WHS has been beaten down really hard and in my opinion is likely to outperform from here in 2022

Good tip. What should be the price target for buying Whs

[Yeet_Shares]

don't know this is HLG, please use the appropriate thread for questions like this. HLG would be a good buy when it gets down to $5 IMO.

[Beagle]

I see it in somewhere in the mid $3's a year from now. Still trades cum a 10 cent fully imputed interim dividend through to 4 April.

Fair game to compare the two, I hold both.

[winner69]

My full year profit forecast is $20m - eps of 33

Based on full year sales estimate of $330m. Last year Mar/July were HUGE (like about +40% on pcp) and not 'normal' so wont be repeated this year. Sales are down ytd March and last 4 months will be less than last year

I've allowed for improved Gross Margin % but expenses are still growing and reverting to a more normalised level (like no wage subsidies etc)

That's how I see it anyway

Must be wrong because that would put it on a PE of about 20

[Rawz]

My full year profit forecast is $20m - eps of 33

Based on full year sales estimate of $330m. Last year Mar/July were HUGE (like about +40% on pcp) and not 'normal' so wont be repeated this year. Sales are down ytd March and last 4 months will be less than last year

I've allowed for improved Gross Margin % but expenses are still growing and reverting to a more normalised level (like no wage subsidies etc)

That's how I see it anyway

Must be wrong because that would put it on a PE of about 20

WOW that is grim. And W69 you are rarely wrong. You have called a lot right so far this year. 20 P/E. No way. I might see that $4 sp after all.

[Beagle]

My full year profit forecast is $20m - eps of 33

Based on full year sales estimate of $330m. Last year Mar/July were HUGE (like about +40% on pcp) and not 'normal' so wont be repeated this year. Sales are down ytd March and last 4 months will be less than last year

I've allowed for improved Gross Margin % but expenses are still growing and reverting to a more normalised level (like no wage subsidies etc)

That's how I see it anyway

Must be wrong because that would put it on a PE of about 20

I don't like the sound of that old boy. Surely not ! :scared:
Gosh at that rate they won't even pay a final dividend of 18 cps this year :(
What worries me is you got the interim result pretty well spot on. Probably better off in the WHS in 2022 with the PE only ~ half that and dividend yield probably nearly twice as high !

[nztx]

I don't like the sound of that old boy. Surely not ! :scared:
Gosh at that rate they won't even pay a final dividend of 18 cps this year :(
What worries me is you got the interim result pretty well spot on. Probably better off in the WHS in 2022 with the PE only ~ half that and dividend yield probably nearly twice as high !


Me neither .. but I'll go out on a limb & suggest perhaps another one or two halves going ahead before
the normal normalises into something more positively normal ;)

I'll be waiting at the bottom of the hill for passengers wanting to offload before jumping off ;)

I fully expected patchy results going forward but think HLG do patchy times as well, if not
better than most and come up with the best of the roses .. look no further to KMD's recent report :)

Let me know Winner when you want to exit @ 3 or 4 buckses ;)

[Rawz]

Me neither .. but I'll go out on a limb & suggest perhaps another one or two halves going ahead before
the normal normalises into something more positively normal ;)

I'll be waiting at the bottom of the hill for passengers wanting to offload before jumping off ;)

I fully expected patchy results going forward but think HLG do patchy times as well, if not
better than most and come up with the best of the roses .. look no further to KMD's recent report :)

Let me know Winner when you want to exit @ 3 or 4 buckses ;)

I want in at 4 dollars too but maybe it will never get there.. seems like HLG shareholders are either very loyal or see through this part of the earnings cycle and dont care. I thought the gloomy outlook would have surely sent the SP down 5% or so.
But no.. solid as a rock. What a company!!

[Beagle]

...............Edited, see below

[Beagle]

Me neither .. but I'll go out on a limb & suggest perhaps another one or two halves going ahead before
the normal normalises into something more positively normal ;)

I'll be waiting at the bottom of the hill for passengers wanting to offload before jumping off ;)

I fully expected patchy results going forward but think HLG do patchy times as well, if not
better than most and come up with the best of the roses .. look no further to KMD's recent report :)

Let me know Winner when you want to exit @ 3 or 4 buckses ;)

Oh my goodness Winner has scared the living daylights out of me, so much so I had to get the FY21 report out and give it a little cuddle to make myself feel better and tell myself its all going back to normal soon but then I had a look at it and noticed that after abnormal one off gains from the property sale last year they actually made $40.7m and now me ol mate Winner says its going to be half that in FY22 :scared: Surely not...better stop reading that report and get back to cuddling it and Im sure I will feel more normal after that.
Of course normally I don't engage in abnormal conduct like cuddling up to annual reports but these are not normal times so I tell myself its okay to behave abnormally to help myself feel normal and hopefully everything will be back to normal in FY23. Just put that wonderful FY21 report on my bedside table tonight and tell myself everything will be nice and normal in due course. Okay, now I am off to my next therapy session lol
I just really wish another MAFS episode was on telly again tonight because I definitely feel more normal after watching that circus lol

[winner69]

Miserable day in Wellington today so heaters on and watching the races on TV ....doing OK

In between the action updated a few HLG things ..... like Glassons AU share of clothing retail (ex ABS)

Stlll going OK

Remember AU is a $19 billion market for Glassons .... and they only have 30 odd stores and their sales are about $137m at the moment

[winner69]

............................

[Beagle]

Miserable day in Wellington today so heaters on and watching the races on TV ....doing OK

In between the action updated a few HLG things ..... like Glassons AU share of clothing retail (ex ABS)

Stlll going OK

Remember AU is a $19 billion market for Glassons .... and they only have 30 odd stores and their sales are about $137m at the moment

Thanks, I feel a bit better now.

[Snoopy]

In between the action updated a few HLG things ..... like Glassons AU share of clothing retail (ex ABS)

Stlll going OK

Remember AU is a $19 billion market for Glassons .... and they only have 30 odd stores and their sales are about $137m at the moment


Oh no, looks like sales in the great Glasson's growth engine in Australia have stalled! Or as the respected stock analyst Dr Ashley Bloomfield might say, "It is looking like sales have peaked." But then what is the lifetime of the Glasson's App virus?

SNOOPY

[winner69]

Oh no, looks like sales in the great Glasson's growth engine in Australia have stalled! Or as the respected stock analyst Dr Ashley Bloomfield might say, "It is looking like sales have peaked."

SNOOPY


it's market share Snoopy .... Glassons sales H1 were up 5% ..... same as market

Seems the states that Glassons aren't in grew sales faster than than the eastern states ....with result they only held market share overall

[Rawz]

How many more stores did glassons Aus have? Would hope to see it gain market share

[Beagle]

it's market share Snoopy .... Glassons sales H1 were up 5% ..... same as market

Seems the states that Glassons aren't in grew sales faster than than the eastern states ....with result they only held market share overall

Makes sense seeing as some other states that Glassons Au are not in like Western Australia were virus free for part of the 6 months in question so shoppers in Perth for example would have been out in full force. Maybe they should open a few stores in Perth ?

Where too for the share price in the short term ?....Hmmm, I don't know. I remember when I bought into this in 2016 is was on a 15% gross yield.
Now if Winner is right and they make just 33 cps this year and pay out 90% of full year earnings in line with the 90% payout ratio for first half that's an annual dividend this year of 33 x 0.9 = 29.7 cps but its only about 48% imputed so that's just 29.7 / 0.8656 = 34.3 cps gross and on the VWAP today of $6.53 that's only a 5.2% gross yield, only just on one third of the yield it was when I bought in back in August 2016 @ $2.75.

Wow, things have changed a bit this year compared to last year's record result that's for sure !

I guess we hold and hope things get better in FY23.

[LaserEyeKiwi]

How many more stores did glassons Aus have? Would hope to see it gain market share

One new store added in South Australia.
One new store opened in NSW, but one store closed as well, so no new net additions in NSW.
One new store opening in Canberra next month.

so +2 stores for the year so far in OZ.


During the season a new store was opened in Marion, Adelaide. This is the first store in South Australia and has been very successful since its opening. A new store in Penrith, Sydney has opened this week, and a new store in Canberra, ACT is due to open in April 2022. The store in Burwood, Sydney was closed in March. There are currently a number of sites being reviewed for potential openings in Australia to further expand the business

[winner69]

Glassons NZ sales down 13.6% V pcp. Hallensteins NZ probably down much the same (assumption as no country breakdown given)

Pretty big declines but the market was down. Electronic Card Spend say Apparel sales were down about 13% / Retail Watch data says down 6%)

Whether they lost or held share isn't that great, especially when you read management narrative which is all fantastic stuff.

HLG brands have gained any greater market presence (share) in NZ for years ..... probably a slow decline over time and cynically one could say fading away into obscurity

Not a good place to be

[winner69]

Updated this table which shows Total Shareholder Returns over different time periods based on buying each September (shortly have HLG profit announcement)

As expected buy 'low' great returns and buy 'high' returns are less spectacular (often negative in short term)

But if one holds long enough you'll end up with respectable returns

[winner69]

Even though the half year profit came in as expected deeper analysis of the reports has left me rather underwhelmed

I said on Friday that I reckon full year profit will be about $20m.

i've also considered F23 likely outcome and in light of continued headwinds and some normalisation of expenses I reckon F23 profit will be about $23/$24m

Chart shows profits for this century with those forecasts shown on the end, puts some context around the current performance. If nothing else it shows that F21 was not a normal year and a one off, not to be repeated for some time

that's my view for what's its worth

[Waltzing]

your saying Winner(*n) that Aussie's are just not going shopping because all those world tours they usually take are off?

or that they have feelings and are packing a SAD...

[Beagle]

Even though the half year profit came in as expected deeper analysis of the reports has left me rather underwhelmed

I said on Friday that I reckon full year profit will be about $20m.

i've also considered F23 likely outcome and in light of continued headwinds and some normalisation of expenses I reckon F23 profit will be about $23/$24m

Chart shows profits for this century with those forecasts shown on the end, puts some context around the current performance. If nothing else it shows that F21 was not a normal year and a one off, not to be repeated for some time

that's my view for what's its worth

Ouch...I suspect you are probably right. Now I am just starting to get a little bit worried that we might see a $4 handle again :eek2: , surely not ? before we see $10 eventually.

Long term this is a great story but in the short term its hard to like these compared to WHS when these are on ~ double the PE and ~ half the yield of WHS. I guess we just have to be super patient for growth in Australia to completely overwhelm the very underwhelming situation with NZ trading.

[Muse]

Even though the half year profit came in as expected deeper analysis of the reports has left me rather underwhelmed

I said on Friday that I reckon full year profit will be about $20m.

i've also considered F23 likely outcome and in light of continued headwinds and some normalisation of expenses I reckon F23 profit will be about $23/$24m

Chart shows profits for this century with those forecasts shown on the end, puts some context around the current performance. If nothing else it shows that F21 was not a normal year and a one off, not to be repeated for some time

that's my view for what's its worth

looks sensible winner

Any key assumptions made you’d be willing to share?

[nztx]

Even though the half year profit came in as expected deeper analysis of the reports has left me rather underwhelmed

I said on Friday that I reckon full year profit will be about $20m.

i've also considered F23 likely outcome and in light of continued headwinds and some normalisation of expenses I reckon F23 profit will be about $23/$24m

Chart shows profits for this century with those forecasts shown on the end, puts some context around the current performance. If nothing else it shows that F21 was not a normal year and a one off, not to be repeated for some time

that's my view for what's its worth


I'd like to see KMD's chart to compare ;)

I'm a bit concerned these Govt Subsidy funded well dressed HLG customers might suffer withdrawal symptoms
earlier and not want to go back to more normalised threads ;)

[winner69]

Last bit of HLG half year assessment is 'where could share price go over next year'

I'll let the picture answer that

The July 22 EPS is my forecast

[couta1]

Last bit of HLG half year assessment is 'where could share price go over next year'

I'll let the picture answer that

The July 22 EPS is my forecast I love it when you talk dirty, sub $4 oh yeah.

[winner69]

I'd like to see KMD's chart to compare ;)

)

Pretty uninspiring the KMD profit trends

Take it you still in love with KMD

[Waltzing]

new base line DIV for retailing could be WHS.

4.80 test would come before 4 and it would have to be very bad retail news in AUS to get there.

If WHS keeps the DIV up its more likely WHS would be repriced as MR B has indicated.

[Muse]

I love it when you talk dirty, sub $4 oh yeah.


ooooooooooooooh yeah 4 bucks thats it

[Beagle]

Last bit of HLG half year assessment is 'where could share price go over next year'

I'll let the picture answer that

The July 22 EPS is my forecast

Ouch that could go under $4...that's pretty scary. Maybe there's an element of cyclicality to this after all, surely not :scared:
No worries, Australian growth in Glassons will carry the day, huge dressable market there !

[Rawz]

Ouch that could go under $4...that's pretty scary. Maybe there's an element of cyclicality to this after all, surely not :scared:
No worries, Australian growth in Glassons will carry the day, huge dressable market there !

A lot riding on Aus.. all it takes is for the guru Glasson buyers to get it wrong for one season- which does happen to every rag trader.. they would have to dump the bad clothing on very low margins and thus turn in a terrible profit. Then this house of cards comes tumbling down.

[Waltzing]

"house of cards comes tumbling down"

its happened before and because the balance sheet has no debt it matters little. They adjust and off they go again.

[Beagle]

A lot riding on Aus.. all it takes is for the guru Glasson buyers to get it wrong for one season- which does happen to every rag trader.. they would have to dump the bad clothing on very low margins and thus turn in a terrible profit. Then this house of cards comes tumbling down.

Everything riding on Australia. N.Z. sales have effectively been stagnant on average for many, many years.
Huge market that they've only begum to scratch the surface of. I'm impressed with how well they're managing the supply chain challenges with the gross profit margin up a bit in the latest half year result. No easy feat given the widely publicized severity of the issue. Market doesn't seem too concerned so it looks like I can go back to sleep. 5% gross yield is fine for a growth company, that's what the market is saying.
Shares are up today, no worries :t_up:

[Waltzing]

Thank you MR B..

Share bounced off 5.80 support and its an AUS Proxy now. Growth with no debt; hard to beat that.

BRIS has however moved forward in NZ along with WHS. Though WHS has a lot more hard work to do than BRIS.

[nztx]

Pretty uninspiring the KMD profit trends

Take it you still in love with KMD


KMD .. have difficulty feeling enthused to fly even at a safe height over that one ;)

it did present an opportunity, like most others riding out of the Covid dip - that is for
those who didn't get too badly suckered in on the 'Get us out of a Bad Space'
Cap Raise before the upwards trail that then followed ..

I'm not sure where you got that impression - Winner ? :)


Back to HLG .. that's a whole different Kettle of Fish :)

A small drop in profit, Div or change in ratios etc in current times is not a concern IMO

I tend to view their long track record & position instead

[LaserEyeKiwi]

Everything riding on Australia. N.Z. sales have effectively been stagnant on average for many, many years.
Huge market that they've only begum to scratch the surface of. I'm impressed with how well they're managing the supply chain challenges with the gross profit margin up a bit in the latest half year result. No easy feat given the widely publicized severity of the issue. Market doesn't seem too concerned so it looks like I can go back to sleep. 5% gross yield is fine for a growth company, that's what the market is saying.
Shares are up today, no worries :t_up:

I feel like Glassons has done fairly well just remaining stagnant in NZ, considering the amount of the apparel market that KMart is gobbling up with its aggressive expansion nationwide, along with H&M doing the same over the last decade (less so now). Its the opposite in Australia where glassons is the new entrant (albeit we are talking different size fish here, but better to be the small growing fish in a much larger market)

[percy]

Everything riding on Australia. N.Z. sales have effectively been stagnant on average for many, many years.
Huge market that they've only begum to scratch the surface of. I'm impressed with how well they're managing the supply chain challenges with the gross profit margin up a bit in the latest half year result. No easy feat given the widely publicized severity of the issue. Market doesn't seem too concerned so it looks like I can go back to sleep. 5% gross yield is fine for a growth company, that's what the market is saying.
Shares are up today, no worries :t_up:


E‐Commerce
Digital sales have increased to 32.8% of total Group sales for the six‐month period, up from 23.8% in
the same period last year. There is an increased focus on digital marketing across the Group to drive
engagement across all channels. The Glassons App continues to be very successful with more than
500,000 downloads, while significant work has been undertaken on the Hallensteins web shop to
improve the look and the customer experience.

Now 32.8% of total group sales is really something.
So what sort of numbers do we get should US online sales take off.?
I would think very big ones,considering the population of California alone is more than NZ and Aussie combined..!!..lol

[Waltzing]

yes great numbers... now just need to see some share orders to match the on line...

4000 odd so far....

[LaserEyeKiwi]

E‐Commerce
Digital sales have increased to 32.8% of total Group sales for the six‐month period, up from 23.8% in
the same period last year. There is an increased focus on digital marketing across the Group to drive
engagement across all channels. The Glassons App continues to be very successful with more than
500,000 downloads, while significant work has been undertaken on the Hallensteins web shop to
improve the look and the customer experience.

Now 32.8% of total group sales is really something.
So what sort of numbers do we get should US online sales take off.?
I would think very big ones,considering the population of California alone is more than NZ and Aussie combined..!!..lol

Have they set up a US based fulfillment center yet? (You can use a 3rd party service for this even) - that would be the sign that they are serious on the US online effort.

[percy]

Have they set up a US based fulfillment center yet? (You can use a 3rd party service for this even) - that would be the sign that they are serious on the US online effort.

No update as far as I know.
Last I heard was they were supplying via Australia.
Was disappointed there has been no update.

[Yeet_Shares]

Everything riding on Australia. N.Z. sales have effectively been stagnant on average for many, many years.
Huge market that they've only begum to scratch the surface of. I'm impressed with how well they're managing the supply chain challenges with the gross profit margin up a bit in the latest half year result. No easy feat given the widely publicized severity of the issue. Market doesn't seem too concerned so it looks like I can go back to sleep. 5% gross yield is fine for a growth company, that's what the market is saying.
Shares are up today, no worries :t_up:

its only being held buy those who want the dividend then after that it'll drop by more than dividend amount....at least down to mid fives

[Rawz]

Looking at W69s chart can you even call HLG a growth company?

[Beagle]

They've done very well with Glassons Au enjoying excellent growth over the last 5 years. N.Z. operations are no growth.

[BlackPeter]

Looking at W69s chart can you even call HLG a growth company?

Shudder - how can you ask such question?

HLG of course is always growing, it is only the direction of the growth which might change cyclically :):

[winner69]

They've done very well with Glassons Au enjoying excellent growth over the last 5 years. N.Z. operations are no growth.

Di did tremendous job getting it going and making the initial step change in growth through 2017/2018 when sales nearly doubled

Growth rate has slowed since then - maybe down to 10% pa at end of F22 since 2019

Bring back Di

[percy]

Di did tremendous job getting it going and making the initial step change in growth through 2017/2018 when sales nearly doubled

Growth rate has slowed since then - maybe down to 10% pa at end of F22 since 2019

Bring back Di

James Glasson is the bright future.

[Beagle]

Di did tremendous job getting it going and making the initial step change in growth through 2017/2018 when sales nearly doubled

Growth rate has slowed since then - maybe down to 10% pa at end of F22 since 2019

Bring back Di

Mate it seems you have a bit of a thing for Di, should we be worried :p

[percy]

Mate it seems you have a bit of a thing for Di, should we be worried :p

No, but perhaps Di should be,?

[winner69]

Mate it seems you have a bit of a thing for Di, should we be worried :p

...on a par with the others love affair with this James guy :):scared::D;)

[winner69]

HLG shareprice on fire today .... up 4% to 660

Could reach 7 bucks by end of week at this rate

Market obviously liked the half year announcement

[Balance]

Buyers must be thankful to some posters here for attempting to scare some holders to sell?

[nztx]

if this keeps up, I may have to put the empty truck back in the shed :)

[couta1]

if this keeps up, I may have to put the empty truck back in the shed :) Yeah but look at the volume, keep it idling.

[Waltzing]

TINA

NZX is a small market and because listed companies are limited in number one might suppose a higher P/E should be assigned to it.

8000 odd ?

hardly attracting investors

1.7 mil over on AIR

go figure...

[Rawz]

if this keeps up, I may have to put the empty truck back in the shed :)

Wait wait wait.. I thought when you, 'backed the truck up', it was loaded with cash and you dump the cash onto the market buying shares?

But is it actually backing an empty truck up and loading up with shares?

Never mind me

[Waltzing]

with the vol on offer you only need a Tonka Toy sized truck unless your going off market..

https://www.youtube.com/watch?v=F_Xw6SJ7pdU

[nztx]

with the vol on offer you only need a Tonka Toy sized truck unless your going off market..

https://www.youtube.com/watch?v=F_Xw6SJ7pdU


indeed .. the larger trucks are very busy across the Tasman with plenty of backloads :)

Opportunity cost - a heap of multibaggers over the way V a smallish bundle of Divs and unrealised red ink
likely immediately thereafter here ;)

I know what gut feeling is saying .. :)


A bit further down the track 5 or 10 times the number HLG could be on the radar, with a little patience
so giving away the Div mightn't be so silly :)

[Waltzing]

the chances of 5.80 are slim but you never know. Aus has changed this share performance BRIS is looking a better NZ play. HLG a Proxy AUS share.

[nztx]

the chances of 5.80 are slim but you never know. Aus has changed this share performance BRIS is looking a better NZ play. HLG a Proxy AUS share.

You might say the same with BGR too with their inhouse minority KMD exposure

Fair value changes on their KMD holding flows directly to reserve movements, if I'm not wrong

At least HLG books are clean with no minority satellite interests to fog up the picture

[Balance]

the chances of 5.80 are slim but you never know. Aus has changed this share performance BRIS is looking a better NZ play. HLG a Proxy AUS share.

I thought it is a near certainty from the postings here this morning?

[Waltzing]

All rests on the AUSSI shopper Balance?

[Balance]

All rests on the AUSSI shopper Balance?

I look at HLG quite simplistically - an excellent company with a strong & sound financial position, doing well and paying sustainably high dividends from its existing operations with Australian growth providing the kicker. In fact, I consider growth in Australia to be an embedded free option in the sp.

Fashion is a fickle industry but if you get it right, it is an extremely profitable and sustainable business. I believe HLG has it right.

[winner69]

In Aust Feb retail sales surprised on the upside ….. clothing up 18% on last year .... yes 18%. Feb/Mar Group sales about the same as last year so this indicates how depressed things are in NZ

And consumer confidence seems to be improving according to surveys

And the Fed Govt throwing heaps of cash around to boost activity …tax cuts and cheaper fuel.

All good for HLG

[nztx]

I look at HLG quite simplistically - an excellent company with a strong & sound financial position, doing well and paying sustainably high dividends from its existing operations with Australian growth providing the kicker. In fact, I consider growth in Australia to be an embedded free option in the sp.

Fashion is a fickle industry but if you get it right, it is an extremely profitable and sustainable business. I believe HLG has it right.


Agree - good points :)

[Waltzing]

"I consider growth in Australia to be an embedded free option in the sp"

wonder if retail shares on the NZX can move together to some degree.

Good results from WHS, BRIS, HLG build investor confidence.

[Beagle]

"I consider growth in Australia to be an embedded free option in the sp"

Curious, who is claiming that ? A significant majority of company sales are in N.Z. and have shown no growth for years so the majority of the comapny should be on a PE of 10.
The fact the whole company is on a forward PE of about 20 suggests to me that Glassons Australia is certainly not free or anything even remotely close to it. The group is making about 2/3 rds of its profit in Australia and Glassons Au side of the operation is on about a PE of 25 which is looks about right and a PE of 25 is certainly not free.

[Rawz]

Curious, who is claiming that ? A significant majority of company sales are in N.Z. and have shown no growth for years so the majority of the comapny should be on a PE of 10.
The fact the whole company is on a forward PE of about 20 suggests to me that Glassons Australia is certainly not free or anything even remotely close to it. The group is making about 2/3 rds of its profit in Australia and Glassons Au side of the operation is on about a PE of 25 which is looks about right and a PE of 25 is certainly not free.

This is how i see it too (after you broke it down for us many posts ago).

Balance was the OP who said Aus growth is a free option, #8233

Aus not even growing that much right now. Does it deserve p/e in the 20s?

[Beagle]

This is how i see it too (after you broke it down for us many posts ago).

Balance was the OP who said Aus growth is a free option, #8233

Aus not even growing that much right now. Does it deserve p/e in the 20s?

I like Balance. It was probably just a throw away line. I am sure he knows its not free.

[winner69]

Jeez HLG goes ex div and share price shoots up close to 670

Almost becoming a market darling

[nztx]

Jeez HLG goes ex div and share price shoots up close to 670

Almost becoming a market darling


Was it ever not that for the dedicated followers ? ;)

[Balance]

Was it ever not that for the dedicated followers ? ;)

Market waking up to the free embedded Australian growth option?

[nztx]

Market waking up to the free embedded Australian growth option?


An extra hidden value in HLG I would say :)

[Rawz]

I thought you were paying for the growing aussie business and got the flatlining nz business for free?

[Waltzing]

" flatlining nz business"

does that say something about the the two economies.

[Balance]

I thought you were paying for the growing aussie business and got the flatlining nz business for free?

That’s actually a good perspective too!

[Recaster]

Great business making high returns on equity.

My basic analysis of the annual report numbers:

https://recastinvestor.substack.com/p/basic-analysis-hallenstein-glasson

[Ferg]

Once again nice work Recaster. I like the new P&L layout which shows the lines in between sales and EBIT. The analysis of the movement in equity is also a nice summary.

The only thing I query is the dividend in the last year. I can't get the 38c for the last year to reconcile to these figures: https://www.nzx.com/instruments/HLG/dividends

Plus I think you are using the net dividend values. Ordinarily a yield is calculated using the gross dividend value, which is the net dividend plus imputation credits. The yield should be pre-tax which makes it independent of each individual's personal tax position and rate, and therefore comparable between taxpayers as well as companies and industries. Some industries typically have low rates of imputation credits resulting in greater DRWT deductions, therefore we should be looking at pre-tax dividends.

One last notable thing about HLG is the lack of external debt. Liabilities for HLG are made up solely of trade liabilities as well as IFRS items which includes the liability side of the ROU assets. Zero external debt can be interpreted two ways: 1) either an inefficient use of capital for those who focus on return on equity, and/or 2) a low risk entity with no exposure to changes in interest rates, but also has headroom available to borrow for expansion if needed.

[Muse]

Great business making high returns on equity.

My basic analysis of the annual report numbers:

https://recastinvestor.substack.com/p/basic-analysis-hallenstein-glasson

good work . any shot of getting those in an excel book lol

[Recaster]

Once again nice work Recaster. I like the new P&L layout which shows the lines in between sales and EBIT. The analysis of the movement in equity is also a nice summary.

The only thing I query is the dividend in the last year. I can't get the 38c for the last year to reconcile to these figures: https://www.nzx.com/instruments/HLG/dividends

Plus I think you are using the net dividend values. Ordinarily a yield is calculated using the gross dividend value, which is the net dividend plus imputation credits. The yield should be pre-tax which makes it independent of each individual's personal tax position and rate, and therefore comparable between taxpayers as well as companies and industries. Some industries typically have low rates of imputation credits resulting in greater DRWT deductions, therefore we should be looking at pre-tax dividends.

One last notable thing about HLG is the lack of external debt. Liabilities for HLG are made up solely of trade liabilities as well as IFRS items which includes the liability side of the ROU assets. Zero external debt can be interpreted two ways: 1) either an inefficient use of capital for those who focus on return on equity, and/or 2) a low risk entity with no exposure to changes in interest rates, but also has headroom available to borrow for expansion if needed.

Thanks Ferg. Appreciate the corrections and pointers.

Have updated the dividend figures to reflect the stock exchange summary. I was using the annual report notes to the accounts which omitted the final dividend.

Have made a comment about the zero interest bearing debt. Thanks for the pointer.

My analysis was a bit of a rushed job on this company I fear! :-(