I await with interest.
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I await with interest.
Almost a late afternoon end of week and hope nobody will notice announcement.
Arbrosth - will update my model later. I think the beers on you still
Outlook
Group sales for the first 7 weeks of the season are on a par with last year although there remains pressure on margin. The record temperatures in both New Zealand and Australia have not been conducive to early autumn sales and the retail environment in fashion apparel remains challenging.
On a more positive note our ecommerce business continues to outstrip growth in bricks and mortar stores, with sales for the first 7 weeks of the season up 38%. We anticipate this trend to continue and continue to put focus and investment into this part of our business.
First thing i noticed
Operating Cash Flow $0.977m - same period last year $14.687m. (And sales were flat remember)
Not much of a cash flow is it
Least they dipped into the surplus cash to pay the $9.8m dividend to keep punters happy
Took profits on this with thanks to the Reserve bank of New Zealand for boosting yield stocks. My horse looking a bit tired.
I'm not surprised, better clothes at the Warehouse (than Hallensteins) this summer IMO. Also, It seems all the big sporting brands are moving into the casual wear space (e.g., Rebel Sports).
One of the reasons seems to be that usual H1 decrease in inventories didn't happen this time around. Usually a $4m-$5m reduction occurs (the summer stock that sells over Christmas)
They now have $4m more stock than this period a year ago - and sales about the same
Overstocked - not a good place to be when the pressure is on. Might lead to aggressive discounting which won't help the already depressed margins.