Ann out looks like a turn around of sorts ,revised profit as well could be another rebirth?
Printable View
Ann out looks like a turn around of sorts ,revised profit as well could be another rebirth?
Earnings Guidance 6th July 2006:
The Directors of The Warehouse Group Limited have revised upwards the expected after-tax earnings for the year ended 30 July 2006 to between NZ$95 million and NZ$99 million including profit on property divestments of NZ$1 million but before losses attributable to disposal of The Warehouse Australia. The previous range was NZ$83 million to NZ$88 million. Reported after-tax earnings are expected to be between NZ$28 million and NZ$31million.
The full year financial results and the fourth quarter sales announcements will be released on
Friday 8th September 2006.
Full text of the announcement:
http://www.nzx.com/market/market_ann...pany?id=133739
Fascinating that an upgrade of this magnitude for a company as significant as wHS hardly gets a mention. Looks like the turnaround has finally started to arrive.
Disc - Sold my modest holding to Foodstuffs the other week
Apple iPods.Quote:
quote:Originally posted by sniper
WHS is now the biggest seller of one of the hottest items in the youth market. Guess what it is and think what it means about the pulling power of The Warehouse?
That Warehouse - she has some serious pulling power. Other brands are queuing up for the Warehouse to sell their products - it is about maximum customer interface.
The hypermart set-up allows the Warehouse to stretch or shrink its product range and offering to optimise sales and margins.
You heard it here first. ;)
How many Hypermarts have the got so far? This will take some time won't it. My local WHS still sucks and they never have the bargains they advertise. Limited stock runs to tempt. Very frustrating. :( I sold to soon and its just sour grapes :( but I'll believe it when they report it. I find other stores have beaten WHS on price and quality and thats why I sold :( before the Foodstuffs buyin.Quote:
quote:Originally posted by sniper
Apple iPods.Quote:
quote:Originally posted by sniper
WHS is now the biggest seller of one of the hottest items in the youth market. Guess what it is and think what it means about the pulling power of The Warehouse?
That Warehouse - she has some serious pulling power. Other brands are queuing up for the Warehouse to sell their products - it is about maximum customer interface.
The hypermart set-up allows the Warehouse to stretch or shrink its product range and offering to optimise sales and margins.
You heard it here first. ;)
Treetops
up 10% in a week and 800,000 through today at $5.00. Something on the boil again?
Prob on the back of those takeover rumours of Coles in OZ ...... the US takes OZ and NZ by storm
Well someone is buying up large, another mil through at $5.00. And there are some happy sellers no doubt.
Volume now just tipped over 5m, 3rd biggest day in three years surely this cant go by without some market news. Great to see an SP lifting from the $3 lows.
Sense in Foodstuffs' Warehouse play
25 August 2006
By DAVID HARGREAVES
If at first, the idea is not absurd, then there is no hope for it, Einstein once said.
While nobody went quite so far as terming Foodstuffs' acquisition of a 10 per cent stake in the Warehouse "absurd", it would be fair to say a number of observers didn't really see the point.
Well, let this observer be the first to say: now I get it.
In the little over two months since Foodstuffs, the country's leading supermarket business, launched its market raid on discount retailer the Warehouse, moves have developed that could change the whole face of the trans-Tasman retail scene.
It now appears that in a short space of time Australia's two retail giants Coles Myer and Woolworths could both be in the hands of overseas owners,
with deep pockets and limitless ambition.
Putting either or both of Coles Myer and Woolworths in the hands of global players increases the likelihood of serious onslaughts on the New Zealand market.
It is clearly this possible scenario that drove the Foodstuffs decision to invest in the Warehouse rather than as was widely thought, worries about the Warehouse making inroads into Foodstuffs' 57% market share.
The Warehouse is potentially pivotal in any attack on our market from the global players.
It has a combination of excellent, large sites and a geographic spread that could not be matched by any retailer starting from scratch.
Of course, a 10% holding in the Warehouse offers no guarantees for Foodstuffs. If, and it remains a big if, the Warehouse's founder, Stephen Tindall, can be convinced to sell his 52% stake then control of the company can be seized with one stroke of a pen.
But Foodstuffs can block a full takeover, and would be assured of a seat around the bargaining table.
AdvertisementAdvertisementTindall knows the value of his business.
It would be difficult to see him selling for less than around 800c or 900c a share.
So even if Foodstuffs felt ultimately it had to sell in such a situation it might be looking at a profit of up to $125 million on an original investment of just over $150m.
That would give it a nice war chest with which to take on its new competitors.
But that starts to look like a worst case scenario.
The injection of international giants into the mix increases the possibility of a Kiwis versus the world mindset developing. It is just possible that from the very frostiest of beginnings a closer relationship may yet be forged between the Warehouse and Foodstuffs an alliance against the big bad wolves from overseas.
The possibilities are virtually limitless and even the industry participants probably don't know yet how it will all pan out.
But Foodstuffs has bought itself a little bit of insurance and shown the kind of forward thinking that means you take it lightly at your peril.