WHS - Warehouse Group

[Muse]

You are a tough man to please ...

But anyway - good to see that the Red sheds and Torpedo 7 are the growth leaders. (nearly) double digit growth even when compared to Pre-Covid times.

Attachment 14301

Not sure why they still bother with the Blue sheds (or blue isles these days) - office stuff is boring.

Noel Leeming - probably worthwhile to drop as well and integrate into the red sheds ...

The FY21 comparison is interesting indeed BP particularly when you consider gross profit dollars earnt during the quarter

	Q1	Q3
	FY21	FY23
Revenue	738.5	764.7
GP %	34.9%	32.3%
GP $	257.7	247.0

$10 million less in margin earnt relative to FY21. Plus with overheads running hot hot hot that compounds the decline in EBIT.

Optically TP7 growing topline (that much not in dispute) but that's only due to an aggressive store opening programme. Average revenue per store continues to fall: $1.69m in Q1FY21, to $1.63 in Q1 FY22, to $1.56m in FY23 - and that includes inflation. TP7 stores carry the second highest overheads per store in the WHS portfolio, so its not a surprise after TP7 scrapped through to a small profit in FY21 it sunk back down into a loss making position in FY22 and with the decline in revenue per store that could well accelerate.

[jimdog31]

The FY21 comparison is interesting indeed BP particularly when you consider gross profit dollars earnt during the quarter

	Q1	Q3
	FY21	FY23
Revenue	738.5	764.7
GP %	34.9%	32.3%
GP $	257.7	247.0

$10 million less in margin earnt relative to FY21. Plus with overheads running hot hot hot that compounds the decline in EBIT.

Optically TP7 growing topline (that much not in dispute) but that's only due to an aggressive store opening programme. Average revenue per store continues to fall: $1.69m in Q1FY21, to $1.63 in Q1 FY22, to $1.56m in FY23 - and that includes inflation. TP7 stores carry the second highest overheads per store in the WHS portfolio, so its not a surprise after TP7 scrapped through to a small profit in FY21 it sunk back down into a loss making position in FY22 and with the decline in revenue per store that could well accelerate.

100% it will. People costs in retail are going through the roof, and most retail rents have some CPI component to them.

The size of the T7s they open doesn't seem to correspond to the locale (typically taking Warehouse stationary leases on)

Margin will also get hammered further as alot of buying is being done in a lower USD range (across all brands i might add)

[winner69]

Noel Leeming sales growth over the years quite interesting

Lockdowns good for them --- maybe when all the computer gear and TVs bought during lockdown will need to be replaced soon to give sales another boost. That be good for them

On the other hand might just revert to lowish growth as seen pre-covid.

But it seems JB HiFi doing better at the moment

[winner69]

Big day on NZX but WHS hardly moved after a sales update

Suppose one could assume market not that impressed with update.

[850man]

Big day on NZX but WHS hardly moved after a sales update

Suppose one could assume market not that impressed with update.

Started out with a high and a roar with a 5% jump in SP but fizzled out to nothing by end of day

[Sideshow Bob]

Started out with a high and a roar with a 5% jump in SP but fizzled out to nothing by end of day

Also goes ex-dividend next Wednesday 16/11

[winner69]

K Mart sales down 1.1% in year to June. Red Sheds sales down 4.3% in year to July

K Mart sales $713m v Red Sheds $1.727

K Mart NPBT $68m v Red Sheds $75m ,,,,,,, less than half the sales of Red Sheds but sort of same profitability

K Mart Gross Margin 40% of sales about the same as Red Sheds

So its all about efficiencies and productivity with K Mart CODB a lot better than Red Sheds

[BlackPeter]

K Mart sales down 1.1% in year to June. Red Sheds sales down 4.3%

K Mart sales $713m v Red Sheds $1.727

K Mart NPBT $68m v Red Sheds $75m ,,,,,,, less than half the sales of Red Sheds but sort of same profitability

K Mart Gross Margin 40% of sales about the same as Red Sheds

So its all about efficiencies and productivity with K Mart CODB a lot better than Red Sheds

Interesting story, but slightly confused where you've got your numbers from.

This is what the Warehouse reported at HY (but I think that's to July, isn't it?):

WHS FY22.JPG

Good to see that Torpedo 7 saved the day : ) ;

[winner69]

I'm so sorry for confusing you Black Peter

My bad --- I should added 'year to July' after Red Shed sales down 4.3%

Different periods but near enough the same to make a comparison

Numbers here in FY result preso
http://nzx-prod-s7fsd7f98s.s3-websit...491/379868.pdf

On a more serious note are you OK at the moment ... you seem to be saying you are confused quite often these days.

[BlackPeter]

I'm so sorry for confusing you Black Peter

My bad --- I should added 'year to July' after Red Shed sales down 4.3%

Different periods but near enough the same to make a comparison

Numbers here in FY result preso
http://nzx-prod-s7fsd7f98s.s3-websit...491/379868.pdf

On a more serious note are you OK at the moment ... you seem to be saying you are confused quite often these days.

Just trying to be polite ; Sounds so much better than saying your statement is wrong, doesn't it ;

Remember - ... always learning ....