WHS - Warehouse Group

[bull....]

Joan says - Due to the continued uncertainty in the trading environment the Board does not consider it appropriate to provide guidance at this time. The Board will continue to assess this position ahead of year end.


Hey Beagle- you better do it for her

they did say in there commentary that current trading is still very strong , matches what other retailers have been saying

[Beagle]

WOW, what a stunning result !! Normalized profit before (repayment of Govt wage subsidies and restructuring costs, which will confer enduring benefits), of $111m and that includes 18.5 days of lockdowns in Auckland !

I think they're on track to do the ~ $200m net profit after tax normalized profit I have been talking about previously which is ~ 58 cents per share ( $200m / 346.8m shares).

Put a reasonable retail PE of 14 on that and we could see 58 x 14 = target price one year from now of $8 !

No reason they can't pay at least 17 cps final divvy as their balance sheet is in very good shape so that's foreseeable dividends of 30 cps annually fully imputed or 30 / 0.72 = 41.67 cps gross and on yesterday's closing price of $3.65 that's a gross forecast FY21 yield of 11.4% !

WOW - Opportunity knocks very loud and clearly !

[ratkin]

Full steam ahead. It all coming together across their divisions. Good to see Torpedo 7 doing well. It iis one shop I actually use. Much better than Katmandu.

The rise in online backs up what I have been seeing on the ground, huge rise in overnight courier items from the division. Question is how much of this is a covid benefit. Many of the usual Alibaba buyers have switched local due to huge delays from overseas, will it last? The online division does have momentum which is half the battle, and like they say click and collect more appealing than waiting months for something a bit cheaper from chyna

[bull....]

WOW, what a stunning result !! Normalized profit before (repayment of Govt wage subsidies and restructuring costs, which will confer enduring benefits), of $111m and that includes 18.5 days of lockdowns in Auckland !

I think they're on track to do the ~ $200m net profit after tax normalized profit I have been talking about previously which is ~ 58 cents per share ( $200m / 346.8m shares).

Put a reasonable retail PE of 14 on that and we could see 58 x 14 = target price one year from now of $8 !

No reason they can't pay at least 17 cps final divvy as their balance sheet is in very good shape so that's foreseeable dividends of 30 cps annually fully imputed or 30 / 0.72 = 41.67 cps gross and on yesterday's closing price of $3.65 that's a gross forecast FY21 yield of 11.4% !

WOW - Opportunity knocks very loud and clearly !

looks like div's will be more than 30cps

from there report

The Directors have undertaken a review of the Group dividend policy, including a review of our policy compared to market practice andother listed retailers, taking into account current and forecast Group operational cashflow, forecast capital expenditure and liquidityrequirements. As a result, the Directors approved a new dividend policy in March 2021.

The new policy is to distribute at least 70% of the Group's full year adjusted net profit, at the discretion of the Board andsubject to trading performance, market conditions and liquidity requirements.

so potentially 40cps of divs per year based on your 200m npat on my 220m npat forecast 44cps div per year so would be a 14 -15 % yield on current prices gross round about

[winner69]

WOW, what a stunning result !! Normalized profit before (repayment of Govt wage subsidies and restructuring costs, which will confer enduring benefits), of $111m and that includes 18.5 days of lockdowns in Auckland !

I think they're on track to do the ~ $200m net profit after tax normalized profit I have been talking about previously which is ~ 58 cents per share ( $200m / 346.8m shares).

Put a reasonable retail PE of 14 on that and we could see 58 x 14 = target price one year from now of $8 !

No reason they can't pay at least 17 cps final divvy as their balance sheet is in very good shape so that's foreseeable dividends of 30 cps annually fully imputed or 30 / 0.72 = 41.67 cps gross and on yesterday's closing price of $3.65 that's a gross forecast FY21 yield of 11.4% !

WOW - Opportunity knocks very loud and clearly !

Truly WOW

Amazing that 'why bother' and 'once bitten twice shy' was only a few months ago eh

But momentum is everything and irrespective of fundamentals and TA and all that sort of stuff one must ride the wave until it peters out

Go WHS - keep that wave going - share price over 4 bucks today -- maybe a lot over

Glas Grayston got lucky - he's an amazing CEO - double his bonus I say

[winner69]

Jeez bull says 30 cent divie ....Beagle says 40 cents ...natural progression says winner needs to say 50 cents

[ratkin]

Jeez bull says 30 cent divie ....Beagle says 40 cents ...natural progress says winner needs to say 50 cents

Will raise you 60 at which point Beagle, Winner and Bull go , I'm out

[Beagle]

WOW - I haven't had time to read the full presentation yet. Based on that new dividend policy of at least 70% of normalized profit if we stick with $200m but go with 75% that's 58 cps x 0.75 = 43.5 cps fully imputed = 43.5 / 0.72 = 60.42 cps gross which on the closing price yesterday of $3.65 gives a whopping 60.42 / $3.65 = 16.6% forecast FY21 gross yield

If they can do $220m then the gross divvy becomes as much as 66.5 cps with a 75% payout ratio and the gross forecast FY21 yield becomes 18.2% ! Oh my Goodness and all this from a company selling mostly consumer staples !!!

[winner69]

Jeez 111m in a half year ......and heading to 200m plus for full year

Previous full year record profit was 97m was way back in 2007

Last 10 years best full year was 80m

And beagles 5 year time frame average has been 70m

Remarkable turn around

[winner69]

Beagle ... your abacus gone wonky

Potential yield 18.2%?