Comvita - CVT

[Balance]

Off course the story keeps getting better.
"Our David" is the best story teller in the country.
Learnt his trade well at Methven.
Why do a one page presentation when "our David" can pad it out to over 50 pages.!.
And it really works.......................lol.

And the good story gets an additional chapter :

https://www.nzx.com/announcements/378586

Excerpt : "Comvita, global market leaders in Mānuka Honey, are delighted to announce a strategic partnership with Caravan, a Joint Venture with entertainment and sports agency, Creative Artists Agency (CAA).

Central to this partnership is the formation of a celebrity-backed lifestyle brand, using the natural healing properties of Mānuka Honey and Propolis for topical use."

Makes sound strategic sense to get more celebrity endorsements (free endorsements from Venus Williams & Novak Djokovic were great) as well as diversify market more into US & Europe.

[BlackPeter]

Sometimes it is interesting to look back in ones records.

Is it really already five years that Comvita signed this amazing MoU with China resources Ng Fung? Share Price at that stage above $10 and annual revenue (FY2016) of $202m;

https://www.nzx.com/announcements/291306

They talked at that stage (at the AGM) as well about doubling their revenue in 5 years (which would have been north of $400m in 2021). Talk is cheap, isn't it?

Well, we know how the story went. Annual revenue in 2021 actually was $192m (i.e. it did shrink, not rise over five years) and now it is the Americans who are supposed to pump the company fortunes up ... they must love these joint ventures ... just teach the Americans how they taught the Chinese ...

Lets hope this time is different, shall we :

Discl: I had recently a wee stake in Comvita, but sold out after the AGM, not convinced by the execution of their health strategy and didn't like their (Rest of - LOL) Asia strategy.

Anyway, good luck to holders.

[Rawz]

Sometimes it is interesting to look back in ones records.

Is it really already five years that Comvita signed this amazing MoU with China resources Ng Fung? Share Price at that stage above $10 and annual revenue (FY2016) of $202m;

https://www.nzx.com/announcements/291306

They talked at that stage (at the AGM) as well about doubling their revenue in 5 years (which would have been north of $400m in 2021). Talk is cheap, isn't it?

Well, we know how the story went. Annual revenue in 2021 actually was $192m (i.e. it did shrink, not rise over five years) and now it is the Americans who are supposed to pump the company fortunes up ... they must love these joint ventures ... just teach the Americans how they taught the Chinese ...

Lets hope this time is different, shall we :

Discl: I had recently a wee stake in Comvita, but sold out after the AGM, not convinced by the execution of their health strategy and didn't like their (Rest of - LOL) Asia strategy.

Anyway, good luck to holders.

CVT really did one over on Ng Fung..? 2million shares at 10 bucks. Well done CVT

[BlackPeter]

CVT really did one over on Ng Fung..? 2million shares at 10 bucks. Well done CVT

I guess this is as well a way to see it. Question is - is it sustainable to sell overpriced shares promising the moon and the sun but delivering so little?

But hey - this used to be 5 years ago ... punters have short memories :

[bottomfeeder]

And the good story gets an additional chapter :

https://www.nzx.com/announcements/378586

Excerpt : "Comvita, global market leaders in Mānuka Honey, are delighted to announce a strategic partnership with Caravan, a Joint Venture with entertainment and sports agency, Creative Artists Agency (CAA).

Central to this partnership is the formation of a celebrity-backed lifestyle brand, using the natural healing properties of Mānuka Honey and Propolis for topical use."

Makes sound strategic sense to get more celebrity endorsements (free endorsements from Venus Williams & Novak Djokovic were great) as well as diversify market more into US & Europe.

Ho hum, anything for an announcement. Has market been moved by this, up one cent.

[sb9]

Solid Q1 performance despite lockdown, well one CVT. Can we get to $4...+

[winner69]

Solid Q1 performance despite lockdown, well one CVT. Can we get to $4...+

They said ‘strong’ …better than ‘solid’ eh

[sb9]

They said ‘strong’ …better than ‘solid’ eh

For sure, could've been another $4Mln more but for lockdown..

"This was despite $4m of goods scheduled for delivery in September being impacted by Covid related shipping delays (will be invoiced in October)."

[Rawz]

For sure, could've been another $4Mln more but for lockdown..

"This was despite $4m of goods scheduled for delivery in September being impacted by Covid related shipping delays (will be invoiced in October)."

It's a bit confusing... the revenue includes the delayed shipments but the EBITDA doesnt?? Or does one assume the EBITDA growth does include the delayed shipments because the revenue does? Would they do that even though its not invoiced?

Not much growth in top line including the delayed shipments.. covid doing its best to slow them down.

This was despite $4m of goods scheduled for delivery in September being impacted by Covid related shipping delays (will be invoiced in October). Including these delayed shipments, revenue was improved by 4.5%.

[winner69]

It's a bit confusing... the revenue includes the delayed shipments but the EBITDA doesnt?? Or does one assume the EBITDA growth does include the delayed shipments because the revenue does? Would they do that even though its not invoiced?

Not much growth in top line including the delayed shipments.. covid doing its best to slow them down.

I reckon ebitda doesn’t include the $4m sales not invoiced

The sales growth does include the $4m so at face value stuff all growth ……but is compared to a ‘strong pcp’

One thing …modest sales growth but strong ebitda growth means higher margins ….that’s good


Just need to be last years amazing 11/11 sales and it is really hunky dory