KPG - Kiwi Property Group Limited

[LaserEyeKiwi]

Take my hat off to you doing hundreds of hours of work, but if instead you'd spent those hundreds of hours on a decent company with good economics and located outside a banana republic, your net worth would be far better off.

These companies are average at very best, if you can get cheap enough it compensates.

All you can do is earn a pittance on invested capital and to earn more you need to put more up.

Actually agree with this to some degree. I have made most of my money from large wins on US based names over the last 20 odd years. (I would be far richer if I hadn’t taken wins far too early however). Still have most of my portfolio in US names, but also want a decent amount in NZ equities, but as you say slim pickings on NZX.

[SailorRob]

Just love the way SR approaches everyone from a base position of scorn and superiority. Aside from this trait, he has some good points, particularly on this thread about the difficulty in finding something on the NZX with serious prospects of out performing.... 8-10% is goodish I guess....

Come on... There is also some pity in there as well.

Yes the high quality companies are priced accordingly. And you're right 10% is pretty good depending on the rate of inflation over time.

[SailorRob]

Actually agree with this to some degree. I have made most of my money from large wins on US based names over the last 20 odd years. (I would be far richer if I hadn’t taken wins far too early however). Still have most of my portfolio in US names, but also want a decent amount in NZ equities, but as you say slim pickings on NZX.

Yes and it sounds like you've done the work and are under no illusions at all. You will have your head around the future earnings from recent investments etc and if earnings are stable and predictable then 10% is pretty damn good.

Excuse my ignorance but it looks like they do 100 from operations like clock work but despite putting MANY hundreds more back into the business (actually over a billion over last decade), they still only generate 100. What am I missing?

And then if they do 100 and you're paying 1300 for it... Not the best return?

[winner69]

Great recycling of capital.

And delivered a property level return from inception of 11.0%. …over 20 years I assume

http://nzx-prod-s7fsd7f98s.s3-websit...169/418516.pdf

[Rawz]

Great recycling of capital.

And delivered a property level return from inception of 11.0%. …over 20 years I assume

http://nzx-prod-s7fsd7f98s.s3-websit...169/418516.pdf

this is the link you want https://www.nzx.com/announcements/431170

LEK are you happy?

[bull....]

exceptional . glad its be used to pay debt down in this environment and they will save heaps of int cost with the debt reduction

[RTM]

“….. delivers a property level return from inception of 11.0%.”

Exactly what does this mean ? Anyone know ? If they’ve owned it for 10 years….and made just 11% over that time period…sounds pretty mediocre. Does this include all the rent, rates, finance charges, maintenance etc etc.
Sorry if this is a dumbass question, but wondering if this is good or not ?

[Rawz]

“….. delivers a property level return from inception of 11.0%.”

Exactly what does this mean ? Anyone know ? If they’ve owned it for 10 years….and made just 11% over that time period…sounds pretty mediocre. Does this include all the rent, rates, finance charges, maintenance etc etc.
Sorry if this is a dumbass question, but wondering if this is good or not ?

i was wondering the same. if i was to have a guess it would be rents - costs + capital gain= 11% p.a. since inception

[percy]

i was wondering the same. if i was to have a guess it would be rents less costs + capital gain= 11% p.a. since inception

Yes.p.a.
A good result.

[RTM]

i was wondering the same. if i was to have a guess it would be rents - costs + capital gain= 11% p.a. since inception

Thanks, yes, I am hoping that to, but we shouldn’t have to guess.
Sloppy imo.