Member Info for Canary3

Out off at the good things we have heard over the last few months the two standouts for me are,

Moving JG out of the firing line and Sanders taking over finance, that builds on the Vivek appointment and secondly the complete closing of on-demandas that was not signposted at the start of the review.

For both of these to happen IMO that was TGL helping MM , as these are very tough decisions to make after founding a company with someone as well as closing down part of the ‘dream/vision’

I still expect relatively poor numbers, SIS had a poor 1st quarter and Imo golden doesn’t call the numbers wrong.

But as ever i am optimistic for the future, i think the business will be far more focused and it will be easier to manage with the three divisions separate.

SIH- I will check your last months posts...LOL

I had to look up what drop the mike thing is...so its not me!!

Guys a fool IMO

I just watched the video on Linked in..

I get the message about him being in control and fighting off P/E

He is not going anywhere anytime soon

I am pleased about that.

Probike is part of Ondemand..

I was thinking about On demand this morning, that seems to me to be an important decisions, 6% of revenue so not insubstantial.

I think a very positive decision, some may think the opposite and of course there will be the middle ground.

I have just had look at the last three partnerships, AND and Elasticpath are both about front end interface between the client and THG,

AND does a lot of work on getting the customer requirements into a coherent set of requirements and then building or helping to produce the technology to do the job.

Elastic Path seems to be technology focused and provides solutions that help customers build their own offerings.

Goat seems to be partnership to help them and their customers expand using THG tech.

AND and Elastic to me seem to be needed if either Ingenuity cant do it or the demand for these is greater than Ingenuities ability to supply these services.

I think the market and customer requirements are fast evolving, particularly post Covid where greater choices have opened up for end customers and so the interface with them on DTC needs to faster slicker and more customer oriented. With the ability to make fast changes to the front ends.

In the press releases you can see Ingenuity getting its own identity in the branding. hop e we hear more on Tuesday.

SIS also had an update today worth a read, nobody wanted to buy them, they had poor January and February but March bounced back and margins improved.

Thought provoking post Golden and most likely you are in the ballpark with revenues on Beauty and Nutrition. ( as you have been to now).

For me to be as optimistic as i am i think (of course don't know), is that the cost base will be shrinking to fit, 2,000 staff down at the last count and many more to come.

There have been of course new revenue opportunities coming on stream albeit small at the moment.

Ingenuity is where is see /think that a lot of progress will happen, the new arrangement with Elastic references headless commerce, Vivek has been mention headless front ends for 6 months or so, it seems that sharing back end costs between erstwhile competitors is on the cards, and of course there are opportunities for the end to end bespoke software, some think of no or limited value i think otherwise.

If on -line for beauty is getting less cost effective then consolidation is the way forward and THG looks like a good place for smaller players, but of decent size, to turn to.

I also think thats it is easy to overlook that significant changes at that have happened at the top of the company and give no value to them.

IMO THG is moving fast to re-shape the business and focus on whats good rather than trying to do it all.

I am still glass more than half full, but its not going to be plain sailing thats for sure.

Gl

IMO the heavy lifting to set the company on a better trajectory has been done, i wont list it all as we all know it.

I find it difficult to believe that the company is in any serious trouble after all the moves that have been made.

Someone posted a wee while ago, the results just need to OK, they don't have to blow the doors off.

I think they can be a bit less than OK with the moves that have been made.

Glass much more than half full.

LOL - you are witty, still waiting for your three great things about THG

Next Home, changed their strategy towards third parties on their platform, moving away from small towards medium and large, the said that they ended up taking a sofa/piece of furniture in an otherwise empty van to customers.

They said they lost money on small companies using their platform.

I think that company is run by one of the best retail managers seen in the UK for decades.

But of course THG are just rubbish.

PS I sold SOS to buy more here working out well so far.

Very good stuff I pencil, i was wondering if we would see some action on NJersey

Just under 64..i make it.

I posted this before.

He is NON exec chair at Balfour Beatty ..after more than a year there and after good results he bought 250,000 pounds worth. nicely up on them now,

Here after 4 or 5 months he bought a million quids worth at 86 and change . that was on the 27th of June

then 3 months later on the 20th September he bought 500,000 pounds worth at 41p and change.

I have never seen a non -exec buy so many in such a short time.

And he is no fool..

After the 41 p rns was released (on the 29th of Sept) , the SP was in the 30’s and fell to 31.5, most were thinking the worst i bought 8 tranches last one at 32.06.

So TGL is my guide...LOL

GL

Oxford- I am properly interested , i am in until TGL at least doubles his money..LOL

Ste2000

Why on earth are you invested? If that is your summary of the company.

Surely you can list three things that you think are top quality?

Not trying to be funny

Can't make a convincing forward looking statement after the 1st Q as posted by OSG then i might just might start to be a little concerned.

The key things for me will be forward focus on the three key areas,

On Ingenuity- Last weeks deal over 10 years as well as Matalan launch gives a great platform to re-launch ingenuity as a stand alone unit with great potential, building on the existing top quality companies using it i am sure we can see a case being made that the Pivot is starting to work.

I hope to see on update on the very bullish statements in the last update regarding GMV, i also hope to see how the upgraded relationship with Autstore will help drive new business and of course how the bespoke software will benefit customer and THG not forgetting Pick and Pay.

Finally we do Circa 20% of turnover in the USA what impact is the New Jersey automation going to have and what are the prospects fro new customers.

Nutrition- We have seen many small actions ( in the context of the turnover of the unit), i would like to see a good overview of these and how they intent to increase market penetration to build on the 1st quarter actions.

I think Iceland is worth a shout out, at Launch Iceland said they could see it being an 80 million business line, a la Weight watchers, what do the board think is that possibility can nutrition do better than that, a detailed update on that and a plan for taking it outside of Iceland territories will be helpful.

Beauty- Impact of the new deal, is THG going to be a destination for other companies in the space, how can they build on this deal across Europe and the US for example..

I would like to see THG owned brands being given prominence, sales number for each, and plan that they may have to increase sales of these, how do they plan to build don the opportunities that a brand like ESPA brings.

In the last statement it said that , Nutrition and beauty enjoyed goo growth in core territories and that app use continued to increase.

What are THG doing in the other territories that brought growth down , are they planning to reduce e or increase focus on the areas and what expectation do they have

Finally on costs, staffing and so on what the plan going forward , i expect to se some information on continued focus on maintain / increasing margins. What about whey, transport and so on, what about down grading reliance on the Post office

What about the other ares outside of the three main units , what is being kept and whats being shuttered, what the short, medium and long term impact of the actions that have taken place and are planned.

If we can think of this things off the top of the head them The management Team will have much more to add, personally i still discount Kelso and the other ‘activist’ if they exist outside of the times. Th future lies with THG and its own plans.

I think the future is very good..glass a bit more than half full.

I

That is 65 p of course I am not thinking ahead to next week, ...

At the end of May 2022 MM was not a billionaire, THG sure prices was 6.11 pounds At 6p today he is very considerably poorer.

https://www.business-live.co.uk/enterprise/thg-boss-matthew-moulding-loses-24000715

I can read as can many many millions that read the mail, I also read and have a subscription to the Times and the telegraph, I even read the gruinard..

But TBF i like to take information from many sources no just one Point of view.

Gl luck with your investment Knowbody

Whilst chopping wood this morning i was having a ponder and had a couple of thoughts.

Yesterday at around 12’ o’clock SIS was trading at around 13.50 by mid afternoon the lowest value sell was 5.25 recovering to finish at 7p.

Liberum are their sole broker as far as i recollect. they put themselves up for sale a while ago, and they did a placing at 15p some time prior to that run by Librium , who had reiterated a target of one pound not long before. ( tricky business)

Clearly an entity needed out for whatever reason and as they are in the nutrition business it may have had a ripple effect.

My other thought is, i have been chatting to some people that have significant investments, and they asked me what i was inserted in and i said THG of course, all there laughed at me and my choice.

When i said its not the same company the IPo'd and mentioned ViVek and D Sanders and so on they refused ( politely enough) to hear my views, just laughed it off and thought i am a fool.

Normally the changing of the FD and a new hire like Vivek would have them very interested and the loss of over 20% of the workforce would have them scrambling for the accounts, the common theme for them is that they read the TImes.

Finally Vivek talked a while ago about headless back end, bolting on of bespoke front ends for different clients and them sharing the back end and logistic costs, could yesterday announcement be the start of that?

I will try to keep away till Tuesday...

Algo- The were very clear about the massive downgrade after the July analysts meeting, where as we know targets were missed and not communicated , but the IMO it was more about the lack of numbers against the divisional split as it was kind off expected by all

They changed from SOTP to FCF. All fair enough IMO

However their behaviour around the SIS placing was disgraceful..