RE: Prospects30 Mar 2020 10:53
Premier is fine, markets are down, that is the only current issue.
Historical issue: PFD was not good for almost decade (? negative sentiment?), while in 2019 they claimed "turnaround", so in April we are expecting good news about whole year, like further debt reduction, some income/cash.
Personaly, I do not see dividends coming in April, at least no significant amounts.
Positives: PF is experiencing demands compareable with X-mas week's peak. Warehouses are swept empty of some products and it can take weeks just to supply current demand. "Home cooking" becomes popular and expected to keep in trends at least for a half-year (what a unexpected info).
As to PF own brands - products are not going to have discount prices above already agreed with retailers (or overprices in that case) as to retail brands - pricing will depend on addional amounts ordered.
PF said that sale of branches or brands are not considered an option (after Ambrosia sale failed) in current market situation, because, everything is already functioning positively, while no one wants to give away decent sum. If the right offer comes, it will be on the board again.
Sterling value could not impact sales, because bulk of the stuff is sold in the UK. Not sure what is PF's Interantional dept doing. Tiny amounts of sales in USA and China have been detected.
Currently, if UK is getting +20% infections daily, PF sites eventually will be affected too. Officially, PF is key business, so will keep going.
As I said, PF expecting brilliant earnings in Q4 and nice year in whole, but depressed market could not notice that :)
BTW, could it be that PF sales are so small that January drop was caused by sharesave maturity and following sales?
Phew, all is my opinion and only. Invested some money in these :)