I see this as a blip not a change in business fundamentals which will still be a long term low single digit growth trend and yield stock. Continue to like brand strength and strong market share/economics for NZ domestic flights. Will continue to hold long term and potentially top up if share price over reacts.
I'm of the same opinion and can't be bothered selling out of a high yielding stock every time there's a scare ...........
The disestablishment of these hedges really expensive eh ...so previous years profits have been ‘overstated’ under of guise of lowering earnings volatility
And most of the proceeds from selling the slot at Heathrow going into restructuring the cost base ...lol
Everybody will say the $30m of restructuring will say non-recurring / abnormal but not really as they are always doing this stuff
The disestablishment of these hedges really expensive eh ...so previous years profits have been ‘overstated’ under of guise of lowering earnings volatility
And most of the proceeds from selling the slot at Heathrow going into restructuring the cost base ...lol
Everybody will say the $30m of restructuring will say non-recurring / abnormal but not really as they are always doing this stuff
inevitable if virus contagion spreads more to other countries , travel will be impacted, hence air earnings
Yeap...a fairly high percentage of people tell me they catch something on a long haul flight due to the way airlines recirculate the air within the cabin. I can see this virus really putting people off flying in quite a big way.
Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.”
Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine
Yeap...a fairly high percentage of people tell me they catch something on a long haul flight due to the way airlines recirculate the air within the cabin. I can see this virus really putting people off flying in quite a big way.
too true so unhealthy to fly with all those circulating bugs
Guidance unchanged at $350m to $450m (last year $374m)
But year ends June so plenty of time for virus impacts to hit
Mind you December looked like it was a very good month for them
Doubt the $20-$25m reorganisation costs will be the end of it by any means. Wait till Greg Foran gets on board, has his meetings with 1200 senior staff in the first 100 days and we'll see what reorganisation costs come out in FY21.
Coutts, I reckon this virus is going to hit them like a sledgehammer. I wouldn't get on an aircraft for any reason to go anywhere at present.
Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.”
Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine
Originally Posted by Mogul
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