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I added today, ijr1. I got 34.1p.
Now is the time to buy. The company will report next on 27th March and early results for 2018 looking very encouraging. TV advertising started, more stores opening and system sales growing. The share price has dropped but now is the time to get in before everyone else.
Thanks for the update, Witcher. You've been to a lot of stores and it's nice to hear the feedback from your own experiences on the ground! I visited one of the Warsaw stores in 2012 and the pizza was yummy, but it wasn't particularly busy at that time. I think it had only been open a few months and the chain hadn't even covered all of Warsaw.
Dont TRUST this individual in any way - this is a recent post on another BB : Look at my historical BB�s and the gains made, look at Jiddy the boy clown prince of fools. I did call 88e at about 0.4p. based upon the near 6 billion shares in issue, continual dilution, its shut from fracking 6 months of the year and in a most expensive area to produce oil of which it does not. Its a classic value trap at most and will likely crash or increase dilution to raise more funds again soon as it runs out of funds again. Still it keeps the Directors in a job. Its ramped daily by sad old bunch of which Jiddy is a key player. I only hope he adds to his 88e holdings
Anything below placing price of 43p I would think it’s a decent buy for the next 2-3 years at least although I will probably hold for longer. Sold out before as it dropped through my stop loss and was waiting until 35p or less. As soon as 100 stores are reached I think they’re aiming for 2020 then things should rapidly move ahead. Will buy on dips. 30p would be great!
In 2018 Domino's began advertising on TV and radiom. Maybe we will see profit in 2018, and the price of 30-35p is a good price to buy. I'm traveling a lot around Poland and I have eaten pizza at least 30 Domino's stores, and I see that the stores are always busy and they are in good locations.
i'd wait till it makes a profit. Until then the only way it can survive is debt or cash calls from shareholders, both of which will lose you money.
Buy now or wait for 30p?
As I understand it, the 55th was opened after the year end? I'm counting it in the 2018 store openings, which will hopefully be among those breaking even after 10-12 months and into 2019. Cheers. I'm looking forward to the balance sheet and other data for the full year results!
There are 55 stores now open not 54. Dave
According to an article on ProactiveInvestors: On average, it takes between 10-12 months for a new store to break even, so out of 54 stores there is a very high immature proportion [me:35%], Shaw said. �As we grow, we will still open new stores but those already opened will need less promotion. Right now, it is about getting sales in and customers onto the database so we can build the business ready for when we can deliver serious EBITDA [underlying profit].� My understanding was that, barring some sub-franchisee stores which broke even very quickly in Warsaw in 2013-14, new stores were previously expected to break even in 18 months and be fully mature in 36 months. It seems this time period is shortening, which is good news. It also implies that the 19 stores opened in 2017 will all be breaking even by the end of this year, getting rid of a large drag on group EBITDA and then fuelling it from 2019. Of course there'll be many new stores opened in 2018 and 2019, too, but it all continues to move in the right direction.
Now up to 55 stores. Good trading update. I don't think 80p by march unless you mean march 19.
Pretty good RNS out this morning. The cost pressures comment was a slight negative. System sales are growing nicely now over �20 million per annum. Will be looking for progress on gross margin contribution when results are published in March. I am expecting that economies of scale should be starting to show themselves. Hoping to see that cash burn from opening new stores and initial trading will not require any further share issue.
Looks like the fund raisers who invested at 43p in the book and build knew what they are doing. This has been around 80p historically and the numbers are better now than ever. This is looking like a no brainer at current pricing. Good to see the directors loaded up at 43p as well. Wouldn't it be nice if this follows the pattern of Domino UK
Yes, done very well on Domino's pizza. Who's to say they won't buy DPP. They keep on expanding
ijr1, if I understand it correctly then a 50p share price for DOM in 1999 is equivalent to about 5.21p if we account for share splits in 2007 and 2016. Therefore, at about 350p today your capital has gone up 67-fold. And that excludes dividends, which are in excess of your 1999 book cost per share every single year! I will be quite happy if DPP gets anywhere close. I first invested in 2010, topping up in 2011, 2012, 2013, 2014, piling in early in 2015 and averaging down dramatically, then topping up in early 2016 and early 2017. The long term prospects look sound IMHO, but in a few years we'll need to start thinking about the master franchise expiring - I think it does in 2026 so would need renewing.
This share has been a poor performer over the last few months. But I've been taking advantage and topping up when I could afford to. This is a long term hold for me. I bought dominoes at 50p about 1999 and it's been amazing. There will be an update next month and finals in march. Looking forward to break even next year, after that this will fly. Onwards and upwards, as ever dyor
If the newly released estimates on Digitallook are anything to go by, it looks like 'consensus' is that the company as a whole is going to be into break even in 2019-20. They show a dramatic drop in losses in 2019, which may well mean the company ends the year in a break even position. Clearly, it's taken longer than expected but then establishing a nationwide business of this sort always takes time. We always need to be wary of such forecasts but in eighteen months we may have some clarity about which way its going. Some people's (not mine) worries about dilution will be taken off the table. As a long term investor, once the group is into overall profit then that's when things will really get interesting. The benefit of this business model is it should generate strong free cash flow to invest in and grow the business, as well as generating substantial dividends later on. Let's hope, eh?
Looks like the fund raisers who invested at 43p in the book and build knew what they are doing. This has been around 80p historically and the numbers are better now than ever. This is looking like a no brainer at current pricing. Good to the directors loaded up at 43p as well. Wouldn't it be nice if this follows the pattern as Domino UK - Nothing to prevent that and we will get the currency uplift as DPP reports in GBP.
Top of my watchlist at the moment. Just trying to get up to speed.
our heads above 40p again on the bid. Dave
2017 has seen a strong store rollout. Hopefully DPP’s increased operating leverage will move it closer to monthly profitability in 2018. Obviously faster the store rollout the greater start up losses in new branches but nearer we get to monthly break even. Had a small top this week may buy some more next week if momemetum continues
Well obviously worth more than 43p B&B, next business update probably get us rolling back towards 50p. We will also crash in GBP as Brexit nears and we lose our financial centre status etc etc with earnings in Polish zlotis and Euro’s we will also get a significant currency uplift.
Good progress with the number of stores steadily increasing. And we need to bear in mind that so much of the current store estate is far from being 'tapped out': like for like sales in the mid teens continue to be strong. >>Nice to see the SP making a slight recovery the past 2 days.<< I wouldn't quite say that, Dave - a lower price would have tempted me to top up when the cash became available! Best wishes Mark.
now showing as being open in or around the Bydgoszcz area. Nice to see the SP making a slight recovery the past 2 days. Dave