I think you have a laser eye Kiwi.
Spot on.Impressive.
Not easy with Covid for any business,but all the ingredients are there.:
Expansion into more bricks and mortar stores in Aussie.
Online sales are brilliant,and the excitement builds with them adding the USA to their digital foot print.
The trust I am a trustee of will continue to hold its HLG shares.
Can you please just let the dooms merchants do their worse first?
Pleased played this one as if it was still very volatile.
Perhaps a play later on.
Price relativity on an earnings basis HLG ~ $7.40 to WHS ~ $3.30 a little while back made no sense to me so was a great switch and I am sure you would have picked that up in my frequent posts about the relative attractiveness of the two.
Price relativity makes more sense now especially considering HLG's disinclination to bow to political pressure regarding Covid support. Hope negative sentiment blows this down to $6 so I can load up properly again. Long term this is a Winner !!
Last edited by Beagle; 30-09-2021 at 12:51 PM.
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
Price relativity on an earnings basis HLG ~ $7.40 to WHS ~ $3.30 a little while back made no sense to me so was a great switch and I am sure you would have picked that up in my frequent posts about the relative attractiveness of the two.
Price relativity makes more sense now especially considering HLG's disinclination to bow to political pressure regarding Covid support. Hope negative sentiment blows this down to $6 so I can load up properly again. Long term this is a Winner !!
Well done, Beagle!
Need the dooms merchants to write more doom and more negatively for us to get more stock at close to $6.00.
Always good to know how increased NPAT of $5.5m came from
Selling heaps ($63m more) more generated $37.1 of Gross Margin but the lower GM% had an adverse impact of $5.1m (so Gross Margin in toal was up $32.0m)
Expenses were up a whooping $21.7m - wages about $15m of that
And they paid $5.5m more tax than F20
So the $63m increase in sales ended up increasing NPAT by $5.5m
That expenses a bit of a worry though
“ At the top of every bubble, everyone is convinced it's not yet a bubble.”
Operating expenses as a percentage of sales are down nicely by 2.2%. Gross profit percentage is still very good at 57.4% despite the extra freight costs.
HLG a very good company, always has been,...its just that we all underestimated the effects of the extended lockdown's in Australia. Once this Covid nightmare is behind us watch this puppy fly !!
Last edited by Beagle; 30-09-2021 at 02:20 PM.
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
Operating expenses as a percentage of sales are down nicely by 2.2%. Gross profit percentage is still very good at 57.4% despite the extra freight costs.
HLG a very good company, always has been,...its just that we all underestimated the effects of the extended lockdown's in Australia. Once this Covid nightmare is behind us watch this puppy fly !!
Operating expenses as a percentage of sales are down nicely by 2.2% -- seems good.
Sales up 22% (GM up 19%) - selling costs up 15% and distribution costs up 32% - combined up 17%. If I had the owners eye I'd be saying 'what the heck, that's not doing heaps more with a little more guys. Get your act together'
Yes, margins remain relatively high but this is the third year in a row of declining margins. Maybe strategic but they keep giving reasons so you'd have to assume they want margins to be higher. Maybe the owners eye has take the eyes of the ball.
“ At the top of every bubble, everyone is convinced it's not yet a bubble.”
Good news for retail stocks: government says Auckland could drop to level 2, but with the border control around Auckland remaining in place. I think this signals an intent to drop to level 2 soon, but in a way that keeps Covid ringfenced to just Auckland (and so doesn’t create the impression that they are endangering rest of country by letting Auckland exit level 3 lockdown)
I would guess Oct 11th 11.59pm will be end of level 3.
Originally Posted by percy
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