WHS - Warehouse Group

[winner69]

Didn't paymark or whoever that electronic outfit is report record Christmas and Boxing day sales mate ? I know Rod Duke is reported as saying they had their best December in years.
Still...Nick knows best...that's why they're installing charging points at their warehouse stores to charge electric cars that their shopping demographic can't afford ?...go figure ?
That will be good in ten years time when electric vehicles are affordable enough for their customers to have them so I suppose you could argue that management are forward thinking...assuming the company survives another 10 years
Suppose I should try and give up my fascination with their super slow motion train wreck...

You are on to it .....Red Sheds have EDLPEV as a strategy ...with free charging for life.

[Beagle]

I have found a solution with what to do with some of the old southland red sheds when they close them down
https://www.msn.com/en-nz/news/natio...cid=spartandhp

Being a bit naughty suggesting they rationalize underperforming red shed braches but one thing I really like with another far more nimble retailer like HLG is they close down stores which don't work out. I got to wondering how they do that seeing as most landlords want a commitment to a multi year lease....I guess they must negotiate terms with progressive landlords only, saying something like basically we want to prove this location works over the first XYZ term before committing to a multi year lease ? Makes it tough for WHS who have sold a lot of their stores on a sale and long leaseback terms to ever be nimble or rationalize high lease costs doesn't it !

[JeremyALD]

Their strategy of EDLP does seem to be bearing some fruit, but again with the likes of Kmart, Amazon, Mighty Ape and simply, better retailers I struggle to see growth within the group. The days for huge and frankly ugly stores are getting behind us.

[winner69]

Like their use of the phrase ‘improving trend’

Wonder what means?

[percy]

I have found a solution with what to do with some of the old southland red sheds when they close them down
https://www.msn.com/en-nz/news/natio...cid=spartandhp

Being a bit naughty suggesting they rationalize underperforming red shed braches but one thing I really like with another far more nimble retailer like HLG is they close down stores which don't work out. I got to wondering how they do that seeing as most landlords want a commitment to a multi year lease....I guess they must negotiate terms with progressive landlords only, saying something like basically we want to prove this location works over the first XYZ term before committing to a multi year lease ? Makes it tough for WHS who have sold a lot of their stores on a sale and long leaseback terms to ever be nimble or rationalize high lease costs doesn't it !

When leases end, or come up for renewal.

[Beagle]

Exactly Percy. http://www.sharechat.co.nz/article/4...-up-to-28.html
With all my years of investing I have to say this is a first for me. The first time I have ever heard of a company putting in place an incentive scheme to "encourage specific behaviors" that costs the company as much as 28% of net profit. Surely specific behaviors should just be part of their normal extremely well paid management performance ?
Surely this isn't management effectively saying let's milk this old cow for all its worth before it gets put out for pasture and as soon as milk production looks like its seriously tailing off we'll jump ship...or maybe that's exactly what it is ?

[percy]

Makes for very sad reading.
These people are finding swimming against the tide is a losing battle.
Back to school promotions by WHS,Whitcoulls,Pak'n Save, and Paper Plus are just a competition to see which one of them is the biggest fool.
Very difficult to tell one fool from another.?
A least "our" kids get cheap school stationery,except for those who have to buy via their school stationery shop..

[winner69]

Makes for very sad reading.
These people are finding swimming against the tide is a losing battle.
Back to school promotions by WHS,Whitcoulls,Pak'n Save, and Paper Plus are just a competition to see which one of them is the biggest fool.
Very difficult to tell one fool from another.?
A least "our" kids get cheap school stationery,except for those who have to buy via their school stationery shop..

Always a good time for small business to stock up on stationery as well with cheap cheap everything.

[Beagle]

It does indeed. The one's I feel most sad for are the long term smaller mum and pop shareholders who don't have the wherewithal, the TA ability or don't belong to ST or any other forum to see through the public relations corporate speak the company keeps trotting out and actually believe the PR spiel...hanging in there hoping it comes right...clinging on like a sick terrier to an old bone that long ago gave up all its nourishment.

No doubt our kids will ensure the grandchildren will make the most of their cheap stationary and enjoy it while it lasts. They should do shareholders a favor and float off Noel Leeming as a separate entity and return the capital.

[winner69]

Warehouse Group do sell about $3 billion of stuff a year and even these days make a profit $60m odd so not all that hopeless.