Member Info for Madtom

They do have a strategy of sell and lease back of their property.

They sold Tamworth distribution last year amongst others and others up for sale, so not sure those assets will remain an asset for too long. I’d like to see that plan stop before investing.

They still need to plug the constant leak of cash out of the business.

Thats still the major concern.

I understand your point but that was then and they have moved on greatly from then.

At that point they had to pay circa £5million from cash reserves to complete the deal at the end of the following year and that held the SP back at that time.

A Different circumstance now I would suggest with Valley well bedded in to the organisation and a better place of leverage to grow. IMHO

If there is a potential acquisition in the pipeline that could see the turnover push past the short term target of £200m, I think the SP could fly through the 30’s towards previous high’s. 🤞

IMHO

The part that intrigued me most was - ‘The board are looking at various investment options to materially exceed the £200 million short term target’.

Possible purchase being considered ?

DYOR

The positivity continues here.

Whilst the competition continually report a drop in sales an 8.6% increase in turnover is a lot better than it looks at first glance.

Continually increasing market share whilst strengthening its infrastructure. This is very well set for a very bright future IMO.

DYOR !!

I agree.

There was an end of year update around the same time last year.

Should make interesting reading.

I think we’ll see this gradually bounce back over the next few days or so.

Seem’s to have been oversold today following a pretty good update.

So profit will not be as high as predicted but still more than previous, so can’t be all that bad in my opinion.

Another strong trading statement with continued growth and another record turnover month reported. You only need to look at VCP & HEAD for comparison to see how impressive these figures are. Definitely grabbing market share in tough trading conditions.

The level of investment in the group infrastucture will have a very positive outcome in the near & far future. 🤞

I agree William123 !!

Berenberg trying to hoodwink potential investor’s.

They clearly have their own agenda.

More selling of the ‘Family Silver’ with the Rochdale (National Carpets) property being sold (£11 million) and leased back.

Not sure where all of this ends !!

Wow .. An incredible set of facts.

The flooring/soft furnishing market is certainly facing some challenges right now.

I’m sure the market will pick up in the short to mid term as these things tend to be cyclical. It’s just the damage that is done to some of these companies in the meantime.

Another huge loss even larger than the last few reported.

This despite many redundancies and selling off of property.

Making these changes is only masking the real issues here.

A lack of confidence from their customers, mainly due to the trade counter strategy ( which works against the retailer) and the apparent lack of experienced flooring management that don’t understand it’s customer base.

A precarious investment in my opinion - DYOR IMHO.

And those same ‘rivals’ have just announced another batch of redundancies , mainly their brand managers apparently.

Serious struggles going on there.

Another raft of redundancies of mainly middle management just made.

Another confidence knock to shareholders and a ‘be wary’ sign to any potential investors.

Watch with caution IMHO DYOR

The ‘other lot’s’ results are due out next Tuesday 16/9.

It’ll be interesting to compare notes between the two sets of number’s.

Yes, as expected a great set of results and positive outlook.

The infrastructure is well set nationally now and the foundations for much more growth are in place.

It’s interesting to watch this develop whilst others flounder.

It would be great to break the 30p SP threshold and hold there in to next year.🤞

H1 interim results are announced tomorrow, so hopefully we’ll see a little boost in SP to reflect what is sure to be a positive statement to go with the positive trading numbers.

This has maintained a decent level of stability over the Summer and since the last update.

The next update is just around the corner (9/9) and is sure to be very positive for H1. Then we can maybe expect a little more growth in the SP.

This company is effectively mortgaged up to the hilt with an uncompromising interest rate that will weigh heavily on them.

An awful lot of carpet will need to be sold to make repayments let alone return to profit.