RBD - Restaurant Brands

[Snoopy]

BRICKS says to all the OLD knockers of KFC eat your words.
Its the Mr Chips days all over again a large DIV increase should follow and just keep building in the years to come as in the past this is STOCK..

KFC - whoops sorry RBD - continues to march upwards (closed at $1.23 today) despite the market being down since I last posted. Therein lies a lesson for those who refuse to buy anything while the market is trending down. Not all shares slavishly follow the direction of the index.

I am not so sure that a large dividend increase will follow the increase in positive cashflow. The non cash goodwill writedowns will make the balance sheet look sicker and probably hasten the resolve of RBD to pay down debt.

At least the stemming of losses at Pizza Hut takes away the uncertainty around individual branches being saleable. RBD now has a choice with their debt reduction program. They can either sell Pizza Hut branches, or repay debt by diverting the improved cashflow in that direction rather than increasing the dividend (or both). Either way I think RBD will be in a substantially better position two to three years down the track when compared to now, even if sales growth stalls from now on.

SNOOPY

discl: hold RBD

[Dr_Who]

What do you guys think of Hells Pizza going into the lower end pizza sector to compete with Dominos and Pizza Hut? I personally think Hell is making a wrong move that they will regret.

Have to say Pizza Hut's pizza taste better than Dominos.

[Snoopy]

What do you guys think of Hells Pizza going into the lower end pizza sector to compete with Dominos and Pizza Hut? I personally think Hell is making a wrong move that they will regret.

I can't say I have heard of Hell Pizza going downmarket Doc. Do you have a link?
I am surprised as didn't the founders (as master franchise holder) object to cutting quality proposals by the previous owners?

I did a bit of a search and saw on Trademe by chance that Hell Taradale and Hell Whangaparoa are both up for sale. It will be interesting to follow those auctions as an indicator as to how much RBD might get selling individual Pizza Hut stores.

SNOOPY

[BRICKS]

WELL as stated by BRICKS up goes the DIV 50% to 4.5 cents and at this rate could be
10 cent year end , Well we told you all with McDuck with all his Quacking & Quacking
Snoopy take a BOW..

[beacon]

Well deserved Snoopy. And Bricks

[BRICKS]

WELL RBD cracked over $1.50 and climbing is this a $2.00 stock as when it was FLOATED..

SNOOPY`s bow is still coming only thing is he is a very modest PERSON..

[Snoopy]

WELL RBD cracked over $1.50 and climbing is this a $2.00 stock as when it was FLOATED..

Did you see all of those news releases on October 21st Bricks? Russel Creedy the MD buying more shares at $1.37 on the way up. And director and substantial shareholder Danny Diab continuing to purchase too, with some in his latest tranche purchased as high as $1.47. These guys must believe there is a lot more to come from RBD yet! The only reason I won't be purchasing more RBD myself is that I have a full hand already as far as RBD is concerned.

Even at the highest trading price today, $1.56 as I write this, RBD is on a projected PE of little more than ten. Debt has been halved in just six months, without the benefit of any asset sales still to come. I hope RBD doesn't get to $2. If it does, I might have to think about selling some (perish the thought).

What a pity you and I are the only ones who will admit to holding RBD Bricks, after the charts for so long lead many to believe it was going broke. Oh and Phaedrus now holds too I think. But he is keeping a low profile. Still smarting at telling me off for purchasing those RBD shares at around 90c when they were on the way down a couple of years ago I would guess.

When the last of New Zealand's high peaks finally sinks beneath the waves in a combination of global warming induced rising sea levels, earthquakes and tidal waves and the final obituary of this country is written, who will go down as the greatest New Zealander ever?
Will it be Helen Clark for her great United Nations humanitarian works? Sir Ed for his inspirational achievements and difference he made to so many of the mountain people of Nepal? Or will it be the man that has put more bread in New Zealand school lunchboxes than any other person ever? I refer of course to the former 6 year head of Progressive Enterprises supermarkets, the company that sold more loaves of bread to mothers of the nation than any other. And now he is our Chairman of Chicken: the grizzled and great Ted Van Arkel, otherwise known as 'the saviour' (of Restaurant Brands)!

SNOOPY

discl: hold RBD

[macduffy]

Great post, Snoopy!

Havn't felt so inspired for years!

I'm surprised that our techies havn't piled in to that uptrend. Perhaps they have?

[Nitaa]

Did you see all of those news releases on October 21st Bricks? Russel Creedy the MD buying more shares at $1.37 on the way up. And director and substantial shareholder Danny Diab continuing to purchase too, with some in his latest tranche purchased as high as $1.47. These guys must believe there is a lot more to come from RBD yet! The only reason I won't be purchasing more RBD myself is that I have a full hand already as far as RBD is concerned.

Even at the highest trading price today, $1.56 as I write this, RBD is on a projected PE of little more than ten. Debt has been halved in just six months, without the benefit of any asset sales still to come. I hope RBD doesn't get to $2. If it does, I might have to think about selling some (perish the thought).

What a pity you and I are the only ones who will admit to holding RBD Bricks, after the charts for so long lead many to believe it was going broke. Oh and Phaedrus now holds too I think. But he is keeping a low profile. Still smarting at telling me off for purchasing those RBD shares at around 90c when they were on the way down a couple of years ago I would guess.

When the last of New Zealand's high peaks finally sinks beneath the waves in a combination of global warming induced rising sea levels, earthquakes and tidal waves and the final obituary of this country is written, who will go down as the greatest New Zealander ever?
Will it be Helen Clark for her great United Nations humanitarian works? Sir Ed for his inspirational achievements and difference he made to so many of the mountain people of Nepal? Or will it be the man that has put more bread in New Zealand school lunchboxes than any other person ever? I refer of course to the former 6 year head of Progressive Enterprises supermarkets, the company that sold more loaves of bread to mothers of the nation than any other. And now he is our Chairman of Chicken: the grizzled and great Ted Van Arkel, otherwise known as 'the saviour' (of Restaurant Brands)!

SNOOPY

discl: hold RBD

Very Touching. Cinderella story in the making no question.

Snoop dog. As more of a FA person myself, even i didnt want to touch RBD (and still dont) but congrats to you and Bricksy. U coped the flak and now many of those that gave it to you are nowhere to be heard.

Well done and may the Cinderella story continue.

[Deev8]

Last month RBD had given me zero capital growth in twelve years Phaedrus. But now my capital return is +15%. Granted over twelve years that amounts to little more than 1% per year. But add that to the average gross dividend yield of 10% and I have still earned 11.3% gross per year through good times and bad times. That return is not abysmal as you put it. In fact it is slightly better than market returns.

My records show that my RBD investment has returned 10.8% per annum after tax since December 2003, which is a similar figure. It may not be a "get rich quick" spectacular type of return, but over a 6 year period it's more than acceptable.

Edit: Using today's closing price rather than last Friday's, it's 12.2% per annum after tax - even better!