MHJ - Michael Hill International.

[winner69]

LEK - you weren't too far off with your A$580m sales forecast

You just didn't allow for changes in AUD

That 'boosted' the $A figure by about $8m so without that sales would have been $584m ... see you weren't too far off

[Waltzing]

next job will be to run store P&L to see what the profit per store is.

they need to run stronger discounts in AUS and NZ as the next 6 months Reserve banks will be upping their games.

[Rawz]

OK - on reflection a really good result for a business that's struggling in AU and NZ buy buoyed by Canada .... and hopefully Canada sales will grow even faster next year than the 36% they did this year

ANZ going backwards and Canada growing just reinforces the need to use the $100m to get more growth ..... else when Canada starts maturing they'll be back to where they were a couple of years ago (like going nowhere)

Any hope market sees it as a tremendous effort and rewards them accordingly

I agree Winner, they must use that cash or give say $50m of it back to shareholders. They cant just say they are "maintaining an elevated focus on capital investment opportunities"..
ANZ doing it tough on face value. But its also hard to get a true feel for how ANZ is performing with the new strategy. Have to trust management, the business is after all on a 36 month performance bull run.

Canada and Aus economies are roughly the same size ay. Could potentially see Canada double sales from here. Its performance has great momentum and clearly they are winning market share.

[Waltzing]

"potentially see Canada double sales "

over what time frame... certainly something very unusual is happening in canada...

[LaserEyeKiwi]

There were more than 10,000 lost store trading days in these FY figures (from Covid shutdowns) - which across 280 stores is the equivalent of over one month closure per store. So assuming there will be much less lost trading days in the new FY, we should see some growth from that without needing any additional store expansions.

I wouldn’t expect the equivalent of one month increase in sales of course (during those closures people were still buying online or delayed purchases until stores reopened) - but will help buffer headwinds.

encouraging that in the quarterly figure revenue growth was still solid in Australia (5.1%) and amazing in Canada (72.2%).

[Waltzing]

Good points LEK....

150 >= 170 over next 24 months easy.

deserves a high P/E except for inflation outlooks.

organic growth is better if you can do it else you end up paying to much for growth.

[Rawz]

"potentially see Canada double sales "

over what time frame... certainly something very unusual is happening in canada...

Over 3 to 5 years would be good.

Meanwhile ANZ holds ground.

And the bucket of cash is used to enter USA or Europe?

[percy]

A very credible result.
Although online sales are up 23% to 7.1% of total sales, I think there is still plenty of growth in this channel.
Perhaps up to over 30% of total sales.
I own shares in ATP in Aussie and I find this comment may be of interest.
"The online platform will continue to be the primary medium for the sale of pearls whilst increasing customer reach."
[And yes ATP's PE of 1.39 is extremely modest..lol.]

[Waltzing]

well you guys certainly picked it... and that means this stock is very under valued.

as they are saying this morning on CNBC .. the gucci and poochi trade is still going strong ...

gucciandpoochi.JPG

[winner69]

Market likes result …yes waltz it’s undervalued

Next week will be a very good one for the MHJ share price