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Some say there will be a baby boom others that there will be a baby bust!? either way MTC is in much better shape now and the future looks bright.
Thought 12p had gone the other week, but sadly dipped back, so hopefully 2nd time lucky.
I agree with Nevas, I would think it has got to make financial sense to wait until the clause expires and then move on, no point in giving money away for the sake of it.
I am surprised though that there has been no mention of an impending baby boom to help the cause.
Appears to have broken 12p today, let's see tomorrow
Plus we need nov..to finish with the financial restriction and I think thats why this hasn't moved upwards quicker
Transformation is nearly complete. Main part missing is the announcement of who will be the CEO which should be soon as the were on the shortlist stage 3 months ago, the refinancing should be pretty straight forward now that these big long term franchise deals are signed with Boots and the Alshaya group. Feeling very positive about this company and I am sure there are great months ahead!
https://www.ii.co.uk/analysis-commentary/insider-time-buy-mothercare-and-rail-stocks-ii513666
Directors in two struggling sectors are backing a revival with their own money. Here’s the rationale
A year after Mothercare (LSE:MTC) stores in the UK were plunged into administration, its management team have sent a message that they believe the turmoil is now firmly in the past.
Thursday's disclosure of share purchases by chairman Clive Whiley and chief financial officer Andrew Cook is the first by directors this year, and comes a week after full-year results highlighted the potential of Mothercare's new asset light franchise model.
Without the loss-making UK stores, the baby products company has been rebuilding through its network of franchise partners in 40 countries, who operate 791 stores worldwide. Its Mothercare branded products are also soon to appear in Boots stores in the UK and Ireland.
Stockwatch: the future of Mothercare
The closure of franchise stores due to Covid-19 lockdowns frustrated progress earlier in the year, but Whiley insists the company is still in better shape than when it entered the pandemic.
It has secured a new 20-year agreement with its biggest franchise partner, Alshaya Group, and there are signs that Mothercare is becoming more established as a global brand.
While this is clearly a work in progress, Whiley believes the group has the potential to deliver annual operating profits in the region of £15 million. His optimism has the support of analysts at Shore Capital, who have reiterated their “buy” recommendation and said the company is well placed to “survive and thrive”.
Shares, which plunged to as low as 4p in March, closed on Friday at more than 11p after rallying from the 8.3p seen prior to the full-year results. The £6.4 million adjusted loss highlighted the pain of last November's restructuring and the administration process for the cash-hungry UK business, whose £30 million of operating losses had threatened the wider global business.
The UK retail arm did not make an annual operating profit in over 10 years, despite the support of a £100 million fundraising in 2014 and various efforts to restructure the business. Rather than spending more time and money on trying to fix “the conundrum of UK retailing”, the company chose to focus on building the Mothercare brand around the world.
Whiley said in last month's results:
“We estimate that there are at least 30 million babies born every year in the world, into markets addressable by the Mothercare brand, yet only 700,000 in aggregate in the UK. Hence whilst the UK is important for our brand heritage, it is certainly not the singular growth engine of the group.”
He is currently overseeing discussions on a refinancing of the group's £13.7 million of debt, while also looking for a new chief executive to succeed Mark Newton-Jones who stepped down in January. Whiley, who was appointed chairman in 2018, has overseen the running of the business with day-to-day
Yes, let's see as the markets are looking a bif iffy prior to the weekend
she holds up well even with some profit takers
Its quite normal with this one...
It did seem strange! After Ocado's shake today I was very surprised to see Mothercare drop so much. Holding though.
Think just mixing it up to get sellers impo...
Some strange price movements today .....
Another 250 000 shares bought ..
Some good chunks.
They just pratting around with spread
Pointless imo
they'll be gathering away today ..ready for next uplift..all adds up
up for me.
Often difficult with spread
It truly doesn't matter if y on y revenue down...
You can see as much as you want but if its not profitable irrelevant..
The press quock to post -39 % down...because ots so typical of attitude in the country ...
Quick to pick up on the negatives and side sweep over the real truth here !.
But then I'm in one of irritating moods so I'll shut up now..as the British media generally irritate me
The apathy is pathetic
This company has done what many many others couldn't n wouldn't.
They dug really deep...turned their business model on its head n wow made a profit against all the odds ..
From the results I know, but look at the share price with this in mind and the new franchise plan rolling out.
Sales is no good without profits.....this is an amazing result and the plan is a great way to maximise profits without bricks and mortar stores to worry about
Mothercare has reported a 14.4 million pound profit for the full year ended 28 March, compared to a loss of 97 million pounds the year before.
However, total group revenue at the maternity and babywear specialist for the period was down to 164.7 million pounds compared to 199.8 million pounds a year earlier.
For the first twenty-eight weeks of FY21, revenue was down 39 percent to 145.8 million pounds, which the company attributed to the Covid-19 lockdowns which “severely affected” the group’s franchise partners.
“We have diligently managed our way through to mitigate the impact of the Covid-19 pandemic during this period of global crisis, and we emerge in better shape than we went into it. We continue to reduce costs and improve our efficiency,” commented chairman Clive Whiley.
In August, the company announced the launch of a “more sustainable and less capital-intensive” business model from the AW20 season. It came after the company put its UK business into administration last year with all 79 of its stores closed.
“This new model results in our franchise partners contracting to pay for products directly to our manufacturing partners, thus removing the timing mismatch we were experiencing with the reduction in our payment terms and so improving the group’s working capital requirements,” the company said in August.
The retailer also recently launched its new 10-year UK and Ireland franchise deal with Boots, which was initially announced in December but was repeatedly delayed due to the Covid-19 pandemic.
Additionally, it has entered into a new 20-year franchise agreement with Alshaya, its largest partner.
https://www.fibre2fashion.com/news/retail-industry/boots-starts-rolling-out-mothercare-franchise-partnership-270154-newsdetails.htm
Boots will start rolling out its Mothercare franchise partnership soon, by launching the latter’s products on its website, the company confirmed. The Mothercare range started appearing in over 400 Boots stores from September 28. The partnership will also see Boots opening dedicated Mothercare and premium nursery zones in 10 stores by November 13.
Boots UK Limited, trading as Boots, is a health and beauty retailer and pharmacy chain in the United Kingdom and other countries and territories, including Ireland, Italy, Norway, the Netherlands and Thailand.
Mothercare finalised a 10-year deal with Boots around a month back to become its UK & Ireland franchise partner. The former will sell its goods across the healthy and beauty chain, according to British media reports.
Mothercare, which continues to trade online and through overseas stores, last year put its UK stores into administration with all 79 shops closing and 2,500 jobs lost.
Its franchise partnership with Boots was first announced in December last year but got delayed due to the pandemic.
The new Mothercare and premium nursery zones will begin to open Boots’ stores located in Trafford Centre, Glasgow Fort, Dudley Merry Hill, Fort Dunlop, Lakeside, Reading, Bluewater, Aberdeen, Cardiff and Eldon Square
Another nice day
More please
Thanks
The price rise to 12p might have been to facilitate those large purchases as they are so much over the market size. What do I know....
Also made the price dip, lol -- often does
Someone bought 140ks worth shows confidence.
70k bought 10.30.today..
Yep its happening guys n gals
actually nice to see folks buying this british brand again..
Very under stated