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Tim Warrillow expecting further margin deterioration in the second helf - "we continue to manage these challenges and anticipate gross margins of c.43%, delivering an EBITDA margin of c.20% for 2021"
On 30th June 2021, Supreme acquired the brands and stock of Sci-MX Nutrition Limited, a leading sports nutrition and supplements business, for £2.3 million. The Acquisition added a number of well-known brands (including Sci-MX and PRO2GO) to the Group's growing Sports Nutrition & Wellness category.
My take, why take the risk for the rebranding phase. Its going to cost McColls £27m (£90k for 300 stores). Surely let McColls go through the pain and prove concept.
Also Morrisons are already involved in the profitable part of the chain - the wholesale.
My thoughts, why would they take the risk at the minute. Still don't know who's buying Morrisons.
Large risk with converting estate. The 300 stores is costing £27m (£90k per 300 stores). Let McColls take the risk
Morrisons is already part of the profitable proportion of the chain - the wholesale supply
£500m raise on its way 'at an appropriate time'
If the rumours are true then 888 are going to need to raise some serious cash
Only 60% take up and lets not forget it was at a 43% discount.
Also general talk of de-stocking in supermarkets is getting any better. This was flagged as a real risk to McColls in their prospectus
Another big Big profit upgrade for the year to Feb 22. Now £50-55m. Share buyback announced and a return of dividends.
That would be insider trading but let's see. I'm certainly hoping for an upswing in the share price - like everyone else
Gross profit yes, but operating profit is £6m. (Was £10m 5 years ago before the co-op acquisition).
Net loss of £2m.
And net debt increased by £20m in 6 months.
And also add the fundraise taking place at a 43% discount to the share price right before the first noise of a fundraise. But no doubt a few will be saying they are grateful of the opportunity to buy an undervalued share at a cheaper price
In the detail regarding current issues with supply chain:
"If these challenges to trading do not materially improve in the second half of the financial year, the performance in the full year is likely to fall short of management expectations"
"However, if a reasonable worst case downside scenario were to occur and the Firm Placing were not to proceed, and no other mitigating actions were able to be taken, then the Company's liquidity headroom would be £8.9 million lower than the required level in its financing documents which will breach the financial covenants contained in such financing documents."
"The Directors believe that successful completion of the Capital Raising is imperative for the long term sustainability of the business as the Group rapidly completes the transition to being a grocery-led business, reducing its reliance on long term declining categories such as tobacco and newspapers."
Net debt £20m worse than 6 months ago.
Interim results show a net loss - business rates relief still being claimed in period
Operating profit has reduced since the Co-Op acquisition, despite the much larger estate and larger purchasing power
wrong board sorry
It depends on the price the buyers are paying.
Rumours of large equity raise is on its way, to reduce debt and accelerate the roll out of morrisons rebranding
At the current bid value:
Silchester 15.14% not inclined to support
M&G 1.08% does not reflect true value
JO Hambro 1.9% price too low
L&G 2.8% no
Schrodes 4.81% Considering position
Columbia Threadneedle 9.2% unknown
Blackrock 9.9% Unknown
Brandes 1.65% Unknown
State Street 3.27% unknown
Morrisons family c.5% unknown
Shareholder views can change and so can their holding sizes, but 21% currently pushing for higher price
Thanks both, I understand how to calculate but I can't find any confirmed gas / oil split from any announcements / circular.
Anyone who's been to the pub in the last year will have used a QR code to order drinks. Pretty well known, open camera, point at QR code, phone does the rest