Member Info for kt1588

Yes ex div 37.6p 1 June payable 9 Aug

Yes the cash generation is pretty good at 2.3bn. If margins/profit increases too much they get accused of profiteering, yet the company only makes 1.5% pat as a percent of sales.
Increased competition may actually be leading to weaker margins and increased prices for consumers as buying power is split between more retailers. The share buy backs haven't worked, borrowing hasn't reduced significantly and gross finance costs are 647m and may increase as interest rates go up.

Like your posts but disagree he point about tax deduction. If its contractual business travel the director/employee will reclaim the cost via an expense claim or claim the tax back via self assessment.

Shareholders have had £12.95 in dividends in 7 years plus the 60p to come.
This year payouts will be 60p plus potentially 20p interim which equates to 6.15% yield...50% above ftse 100 average

Interest on Liv3 received today

Interest paid today

No nothing yet. This bond interest payment is around £2m. Small fry for a business that has lent £4bn and recently signed a £300m facility with Lloyds.
From a reputation point of view this is poor . I inquired about selling my bonds but was told they are not tradable. If true This would make the lse pricing on liv3 invalid.

Thanks for your posts on this...useful info. No interest for Liv3 has been paid to me as of time of writing.

I spoke with my broker and they said they have chased LendInvest several times for the interest. Very poor effort on the first payment.

Can anyone advise if they have received the first coupon payment for this bond?

LSE has this as 4.6% div yield but it is actually closer to 6%. The discount to NAV is over 30% but property values fell 15% in the last quarter.
I think the almost 100m share buy backs were a mistake. Its ok to say they were at a discount to NAV of 20% but they now represent approx. 20% premium to the current share price. IMO It would have been better to let the share price slide and dividend yield increase. Use the money to increase dividend and pay off debt.
I agree this business is competitively valued and has a good dividend (although this is still 20% below the 2009-2020 level).

The last trading/NAV update suggested a further update would follow in January. Did I miss it?

He did try do exactly that with Debenhams (save the company for all shareholders). Often there are too many parties with diverging interests....Directors, Bond holders, banks etc. Quite often a pre-pack is already agreed and no competitive tender is held.

Good to see the market recognising the potential of this business. The company provides great websites for searching for property, cars and jobs in the Baltics. I have only used the property search sites but friends use the cars/job sites. I dipped my toes in with an investment but view this as one to watch as the technology can be transferred to other countries while the sector could also consolidate.

I'm with Interactive investor to. I would expect it to arrive tomorrow. Sometimes not first thing.

These actions just play into the hands of online retailers and foreign domiciled competitors, who either don't pay business rates at the same level or can minimise their Corp tax. Consumers will head for the best value and leave these nobel businesses to suffocate themselves. Just look how much tesco pays in debt interest and Corp tax on top of these rates. Tesco needs the money to reduce debt not to give to me as an investor.

I agree this is sad news. Aldi and Lidl already pay a lot less in Corp tax and don't need anymore of a competitive advantage. Once again tesco gives away money rather than re-investing and growing the business.

I agree mags. They seem to lack ideas. The delivery business has doubled and is the market leader but needs more investment. By giving the dividends and returning cash from the sales they are then probably forced to top up the pension, which could have been done over 10 years or not as much if yields ever improve. £15bn of gross debt is a considerable weight and cost, which will continue to drag the share price down. £500m profit, £500m free cash but the net debt only reduces £100m. Last year Tesco paid £380m in corp tax on £40bn+ but Aldi paid just £9m on £12bn turnover. So Tesco are price matching to Aldi but paying a lot more corp tax.

Yes I read that too. It depends if you take the last year restated version in todays rns or what was actually published last year. I like tesco and am invested. What I don't like is the amount of finance charges £476m on £12.5bn net debt. I would prefer to see the funds from asset sales used to reduce borrowings which will reduce finance costs and boost profits and valuations.

Holland and Barret was sold for £1.7bn with EBITDA of £150m per year. DEBs has EBITDA of £250m per year but only £500m market value. The difference is mainly the sector and prospects. I have concerns over the risks you highlight but also that the intangibles keep escalating every year and will soon reach £1bn. The main hope here is for either some bid interest or that they improve efficiency and get the "up to 2,000 colleagues switching to customer focused roles" soon. The high street can fight back against the web if they offer value added/improved service and if the tax inequalities are reduced.