Member Info for Okehurst1

Boo won the vote on the first leg of this knockout competition but Bob pulled out a wonder goal in the 97th minute but looks like he is still celebrating and took his eye off the ball and in the first minute of the 2nd leg has scored an own goal with the forthcoming AGM resolution that has been sent out - in effect backing Boo to remove himself and Liz

Am sure Bob will want to turn this around but the old boy has dropped the ball and needs to get back in the game and telling the market tomorrow the BoD made the wrong recommendation

Looks like he needs the 2 ex players he let go vote with him for the 2nd leg otherwise he’s out the door unless he’s got

another wonder goal up his sleeve.

Anyway all to play for but Boo are edging ahead and are 1 -0 up

Looks like bottom in @ NAV level

If big Mike wants to go to 10% he’s going to have to pay a bit more

Debenhams

Karen Millen

Pretty Littie Thing

Appear to be gems in the Boo portfolio

RevB stake a bit of bunce on top

Thanks Wolf - even better from Plt

# $75M

E-commerce DB .com has Plt in for $300M not that far away from your ££ below

Profit before tax of £75M was a decent contribution to the group.

Thanks Wolf handy data

Broke

Think your right on the NAV point re Boo share price

looks like a strong support level

Hi PP

Just on PlT, mute point ,e-commerce DB.com has then in at $300M USA revenue excluding Amazon and other platforms, it looks to me that PlT makes up the vast majority of the $400M

Put that $400M into context @ 58% gross it’s 10% higher margin than the ROW sales, it’s decent cash

I agree EBITDA is what you call it, as you know I just look at it as line of £cash to work from - capex / interest / tax to come off and what will the business ROI be?

For example last year this year Boo will spend almost £180M on capex and the m/cap today is £400M, annual revenue for 2024 could be close to £2B @ 6%

Boo could generate £120M of cash, less maintenance capex of £20M, potentially no debt and tax losses to utilise for a number of years

Nb one eye on phase 2 USA capex so this could be lower

At that point my initial (cash ) investment inside Boo I am getting a 25% internal return of cash on my shares based on current £m/cap - hope that makes sense

Boo is 50% plus upside to a bagger from here, just need patience

Nb didn’t realise you are neither long or short Boo and you only post here as a kind of free public personal opinion advise service, no problem with that, on my side I am Long Boo and like making money, only reason I am here, I will make 50% to 100% on Boo within next 12 months, if it’s the latter I will sell half and move on from this BB

Personal thoughts

We know the USA Rev number $400M @ 58% gross

The new 1M sq/ft automated centre has capacity for £2B

95% of USA delivery within 3 days, many cities 1 day

Guatemala / Mexico for manufacturing to remove tariffs and test repeat lead times ‘ soft ‘ opening over summer and Start of Q4 PLT marketing drive in LA drive followed by other brands into Xmas and Q1 2024

Test repeat model alongside staples

Overlap for each brand phase out distribution from Sheffield

Q 2024 fully operational but not without execution risks but a gamechanger for Boo. - Gist of what they told us in May on conf call

If they can automate pick & pack 850,000 items a day like at Sheffield and they remove tariffs/ distribution costs slashed and ditto deliver times then Boo should see a ROI on the £Millions invested , near on £160M USA and Sheffield last year and this year alone, big $$

Boo get this right and they have serious operation in the USA, not without risk but the market gets a sniff this is going in the right direction it will be too late to buy in at 30p to 35p, you take your chances, am comfortable at these levels.

Sooner Boo get that 1M sqft fulfilment Centre in USA open the better

58% margin out there as well

Looks that way PP

I posted below this morning

Just on USA, bit of interesting data

USA mortgage owners take 30 year term fixed interest since 2008

23% locked in below 3%

62%. 4%

82%. 5%

Can’t see USA having a big recession ?

Housing market frozen though

They will spend on holidays / stuff?

Wow!

USA ADP payrolls up nearly 500,000 in June vs 220k est

Decent size UT at the close

Looks like an order got filled today ?

but dan somebody had to buy them ?

it’s a neutral transaction unless your the buyer, same amount of shares before and after today

the company bought the shares and this cost was charged through the p/l account as a form of remuneration

back of the *** paper it’s cost the company £8m - agree no free lunch but it’s not for the employees who have a tax bill on the award put aside the gain if there is one in 3 years

could be argued the beneficiaries now have skin in the game

- the cash element of the tax on this benefit

My take - stand corrected

Boo bought via the EBT which was funded through the P/L and awarded today but can’t be vested for 3 years

It’s another form of senior management remuneration? No dilution but aligned with shareholders upside.

I guess they pay tax on the 31p whatever it closes as today it’s not a complete free lunch?

31 May 2023 16:23

RNS Number : 2226B

boohoo group plc

31 May 2023

For Immediate Release 31 May 2023

boohoo group plc

("boohoo" or the "Company" or the "Group")

Purchase of Shares by Employee Benefit Trust

boohoo (AIM: BOO), announces that the Trustee of the Group's Employee Benefit Trust ("EBT") has purchased 12,606,970 ordinary shares of 1 pence each ("Shares") at an average net price of 42.12 pence per share.

These purchases are intended to satisfy future awards of shares under the Group's employee share plans and will be held by the Trustee in the Group's EBT.

Following this transaction, a total of 59,783,627 Ordinary Shares are held by the EBT, representing approximately 4.71 per cent of the Company's total voting rights.

Boo have a plan, looks like key management are onboard but lose out if they leave within 3 years, makes sense in todays world

They need to deliver ….

Just on USA, bit of interesting data

USA mortgage owners take 30 year term fixed interest since 2008

23% locked in below 3%

62%. 4%

82%. 5%

Can’t see USA having a big recession ?

Housing market frozen though

They will spend on holidays / stuff?

Fully agree PP

PP,

I used THG as an example as it’s current and few posters on here will know me from there so there was gravitas to my point ,ideally I don’t wish to list all my previous investments but pretty much everything I invest in now is influenced by FCF +

Nb all my bad bets- and I have had a few - over many years had been in shares I’ve punted and not stuck to watch the cash, learnt the hard way