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When you have to borrow from a Director to keep the lights on, you know things are bad. The new CEO must be thinking I've been stitched up here.
Out of loyalty I purchased some Skinny Tan for my daughter this Christmas. Soooooo expensive compared to the other products in Boots. Should have realised then that their pricing is all wrong.
Placing at 30p or bust seems the way forward from here.
really disappointing and agree a placing looks inevitable now.
Can also see Life Sciences being sold off at a big loss
Dire update. Not even a mention of Sales at Boots. Dumped my shares this morning. Placing on the way.
I expect a savage market reaction to today's RNS. This may well provide an opportunity for the brave.
big 50k purchase reported late yesterday.
Probably a H1 2020 trading update next week.
Think we did £5.1m rev last year. Anything similar will be ok IMHO as retail must still be quite low. Cash position also important so all eyes on that.
With new CEO in place strategic direction going forward will be interesting.
My original investment thesis (i.e a relatively achievable runway of cross promoting their brands across all their distribution channels (AUS/UK etc) remains intact.) Expecting a big hit from COVID and the lockdowns and given what I've read about the UK (I'm AUS based), I'm not expecting a great xmas selling period. Even in AUS, the sales from the myer/DJ/Priceline stockists would have been impacted by the lockdowns in Syd/Mel during the key periods.
So:
Short term - I'm expecting it was a bad xmas selling season - and continued pressure on every brand to move products via D2C which makes it more expensive to sell via this method, so not much from this side either. On top of this, I'm sure the management changes will have had a few eyeballs focused on things other than developing/branding/selling our products.
Medium term - investment thesis holds and I'm happy to continue to see it out
Long term - overall I'm happy with the new management, time will be the biggest test of course, but I like that the new director has a key stake (15%), skin in the game, and the CV's of the other new director/CEO read very well. I think the medium term runway gives opportunity to reinvest back into more brands/extend the distribution so the long term can hopefully come to fruition (i.e the flywheel of new brands/distributors/products).
Overall I see a business with more upside than downside, but it will be key to sail through the corona storm safely. They still rely on one brand for 80% of revenue and a few key stockists at that (superdrug/boots), so not much left all said and done to reinvest in new initiatives each year. That said, if they can keep the ship tight and hoist their sales - plenty of blue skies lie just over the horizon. Biggest risk is they need to raise more capital (can't sell stock etc and need more working capital) - I like that it's not overly diluted and has been kept debt free/capital light)
I did speak with the chairman before christmas, one of the key questions I put was "what will Blake be able to do that Kieren wasn't" and he seemed to intimate that one of the key things they were looking for (when appointing the CEO) was someone with a good marketing nose and who will be able to drive the brands etc. Reading his CV (haven't had the chance to speak to him yet unfortunately) and I think he fits the bill. They say that the key to a successful journey is ensuring you have the right crew - I think we have it - lets set sail!
Other than a few dips and spikes , we seem to have been stuck around 60p for the last 6 months.
How do people see this going this year? I'm still holding, but hope to see sales growth continuing
https://www.boots.com/skinny-tan-wondertanned-gift-set-10289324
this has sold out online at Boots
once Bayer retires the whole BOD will be UK based which has to be a positive IMHO.
New CEO appears to have the right experience, hopefully, he will be able to update on short/medium term priorities in January as part of the H1 update. in Nov they said H1 was 3% up on 2019. If this has been maintained with hopefully lower marketing spend i'll be reasonably happy.
Nothing happened really although all resolutions were passed [EGM and AGM]. Trading update in the first couple of weeks of January as usual.
The AGM was this morning at 10am. The company has not issued any trading statement or update. Has anyone been following the meeting? Hardly any reaction in the share price so assume nothing significant came out? Thanks
Sorry meant for another bb
The exit of Barder as Chairman is the last piece of the jigsaw in terms of restructuring the BOD. Mark Ward, Innovaderma’s largest shareholder, also a Non exec Director is driving these changes, I believe. The path is now clearer for the new CEO and BOD to outline their strategy and start delivering on the huge growth potential this company has to offer. The AGM, in a couple of weeks time, will be a rubber stamping exercise for all the changes. Expect may be a trading update & possible kitchen sink exercise (get the « bad » news out) and then we’re off! Very positive moves. GLA
Onwards and upwards with a UK based Board, hopefully this is the beginning of a positive journey it needs some positive energy back in the SP
so Joe Bayer is stepping down. I wonder if this is partly to offset issues at the AGM. If it was always planned why did he force the ex CEO out only a few months ago? Anyway, a more UK centred BOD with the right experience seems the way forward.
I have no issue with Joe, but couldn't understand how his location in Australia could be helping when UK is our biggest market by far.
Of course TickeLad. Mark Ward has patiently built a 15% stake in the business over the past few months, with an average price of between 50p-60p, I guess. Hence, he still has to reap the reward of his investment. As a new Non Executive Director on the BOD, he will have much more influence on the future strategy of Innovaderma. From what I have read on the RNS when he became a Director, he has a great track record of building tech/digital/B2C businesses and creating value for himself and other shareholders. I am happy to see his interest aligned with mine and other shareholders.
Agreed Brumm, Mark Wood's investment / involvement shouldn't be underestimated here I think, some quick astute decisions have been made. AGM should be very interesting and when this moves it moves.
AGM to be held on 16th December. I expect an update on current trading and outline of future strategy. With a new CEO & refreshed Board of Directors, there is a clear runway for the share price to take off. Remember, the shares used to trade between 80p and 120p back in 2018-19. My first target is 80p so about 15% upside in the short term. Longer term, who knows but with a market cap of less than £10m for annual sales of £13m and profit of £1.5m (pre covid) the potential is huge. The business should be a big beneficiary of the gradual reopening of the UK & US economies once people get vaccinated late 2020/early 2021. Fill your boots!
seems a good addition. Excellent experience and UK based.
Governance has been poor over the last year or so and Joe B being both Chairman and CEO was never acceptable IMHO.
Notice new NED is part of the remuneration committee - last year Joe B's remuneration increased by almost 35%. Not bad during a period when IDP made a loss and the share price performance has been shocking.
Are we all in this together?? No wonder Edale want changes
yes, encouraging appointment. Has experience in both skincare and haircare which is ideal.
Had to be UK based too as over 80% of revenue is generated here.
I'm sure Mark Ward would have been involved in this appointment too
Good to have some positive news to get this share moving, been in the doldrums for a long time.
Fantastic appointment & UK based!
Looks a strong appointment!!
Onwards!
Nice1 shandy that 30% off code worked,wanted to try some Charles &lee heard their really good for blokes