Member Info for FED1

To clarify, I speak to wealthy clients who have already invested in AIM, prior to last years budget.

AIM is across the board a mess. Completely uninvestable. My point being, there are also other factors at play which have caused AIM listed companies to trade below intrinsic value.

Fortunately, day traders don’t work weekends so we are spared the vitriol for at least two days.

I don’t think many investors in this board has rose-tinted-glasses as to the last couple of years and the outlook.

The narrative on this board is not balanced.

Not going bust in foreseeable future.

The infamous “credible plan” is actually credible.

In my day job, I speak to investors who invest in AIM for tax reasons. It is, across the board, an absolute **** show.

Maybe, we should discuss the fundamental value for Boo if there was a bid? Ashley has to bid 32p until December. Is it worth more or less? Will Boo generate positive FCF if it sold PLT and closed Burnley?

Agreed SCB. We need to look at group level.

Retailers dont lay off staff in 4Q.

They have just given notice to DC workers taken on 10 years ago (3mth minimum notice that their jobs at risk).

It also ties in with Burnley shut down in early 2026. They will ram that facility with cheap stock and sell it over next four months. Then lay off workers, sell PLT, and use Sheffield for residual business.

Take a snap shot of Boo's cash position in mid-October, and you be scared of net debt figure. You need a lot of inventory to have nearly £2bn in sales - particularly during Golden Quarter.

I have to admit I didnt buy Dan's statement that the reason inventories were so low fiscal year end (AUg 2025) was because of market place. Youth Brands are not market place. Hence the RCF deal and email to suppliers that they be late paying this season.

Ultimately the goal is FCF positive in year.

There is a reason why the fiscal year for retailers is a bit odd (i.e., not calendar or tax year end).

They have two distinct seasons: Spring/Summer and Autumn/Winter.

After each bi-season, they need to invest heavily in inventory (particularly for A/W). Cash out then cash in.

The financial year end is to coincide with seasonality of retail cash flow. We wont see the heavy cash out flows now as Boo buys inventory for next season. The reason being is that is should have sold inventory buy 28 February.

There is a lot going on between report interims.

Correction: Money In less Money Out = positive

I think that's how capitalism works?

Hexam,

Why I look at cash flow.

Adjusted EBITDA is nonsense. Book Value nonsense. Granular subsidiary detail is nonsense.

Simple: Money out less money in. What's left in bank with FCF movement.

GMV is nonsense if you are not making a profit (ahem Shein, Temu business models fragile).

You need to cut cash costs quicker than revenue decline - this is not cyclical.

Boo has an issue as it seems structurally FCF negative. The business is still salvageable although I wonder if mgmt has got the memo.

Strategy is threefold:

1) get rid of expensive debt

2) cut operating expenses much faster than revenues (catch up)

3) grow revenues (not GMV)

A tactical outlook:

Negatives:

1) Read across from ASOS suggest -ve HSD revenue decline in 1H 26;

2) News vacuum until November as insider activity means no major announcements. A play thing for day traders to scalp a profit, usually by shorting.

3) Net debt probably increased

Positives:

1) Dan suggested PlT deal with a global player. This could get balance sheet to net cash;

2) it is potentially a bit early for Burnley closure cost savings announcement. Some staff need 3 months notice that job at risk. However, in conjunction with (1) above, then lower interest payments and operational efficiency could get Group to FCF positive in new competitive environment.

3) De-minimus is Budget on 26th Nov?

Cineworld went on an acquisition spree before covid taking on £5bn in debt. Covid lockdown was a death blow as it is a capital intense industry. Interest payments were over £600m.

Boo may have made some questionable decisions but to draw parallels to Cineworld is unbalanced.

SCB you called me a fool (albeit in French) simply because I said Bfd’s interest was aligned to mine (ie, being a shareholder)

You don’t have to disclose your position. This message board doesn’t belong to longs or shorts. However, I found the tone of your posting interesting when share price was rallying the other day.

An

Also liked Kacha as adding value. He left. Hope he comes back.

There is only one poster I rate as potentially professionally trained on this board.

Sit down

I don’t comment on your reaction this morning. I kept out of this. Calling me a fool in French? You were borderline deranged (not French) this morning.

SCB - your reaction this morning at a strong opening is not a reflection on me.

I like to look on next generation having fun in La Folie Douce when I go skiing.

Good night folks.

RazorsEdge will open up tomorrow’s bun fight at 7:01am.

If this popped another 5% tomorrow, and a poster reacts badly, then draw your own conclusions. T4G was before my time. Maybe Bfd is T4G. Actually don’t care. Bfd seems aligned to my interests. Yes I lost a lot of money on this. I want the share price to rise.