Member Info for Peoplepower1

T4g - What do you think are the reasons for Boohoo to take a revolving credit facility of £325m?

Scb - What do you think are the reasons for Boohoo to take a revolving credit facility of £325m?

T4g - it looks like Boohoo don't agree with you so took a revolving credit facility of £325m

What do you think are the reasons for Boohoo to take a revolving credit facility of £325m?

T4g - the fact is Boohoo had £5.6m net cash. Don't you think they might need more or do you think £5.6m net cash was enough for Boohoo's financial year 2024?

T4g - you think £5.6m was going to get them through the 2024 financial year. That's your opinion.

T4g - that's your opinion and it's an opinion only. I have my opinion which differs to yours.

Oke - that's what it's about. Finding a strategy which works best for you. Some you'll win, some you'll lose. So it's worth looking at the ones you lose because you can learn more from them and tweak your strategy to see if it works any better.

As the saying goes, we learn from our mistakes and we all make mistakes.

OKe - fair comment. It's one you've made some money on, what others have you made money on from free cash flow?

WolfofWarks - Stockopedia is to help many investors make decisions. It's not algorithmic junk. You may disagree with how Stockopedia calculate net debt. That's your choice.

You've never used Stockopedia, so I take what you say about it with a large pinch of salt.

Oke - thg's rise was from a bid approach which came to nothing. The rise wasn't on free cash flow, was it?

Oke - have you made money from shares by working on free cash flow for your investment decisions?

oke - i believe boohoo's guide for 2024 for your ebitda margin is 4% to 4.5% and not 6% to 8%.

as you know many investors call ebitda nonsense and bull**** earnings.

Okehurst1 - so how much net profit/loss do you see Boohoo making for end of year 2024?

Scb - you have to learn to be a nicer person. Everyone makes mistakes, even you.

Hexam - thank you. Yes, I mean "to have covered their lease liabilities"

In the past Boohoo were making nearly 10% net profit from their revenue

£5m net profit in 2025 from revenue of about £1.8bn is less than 1%. I think it's about 0.3%.

The lease liabilities relate to leasehold properties.

Hexam - thank you. Yes, my mistake. Net Profit after everything is paid.

However, it shows how much Boohoo needs to make in profit each year to cover their lease liabilities.

Scb - we know now, you must have hundreds and hundreds of thousands of Boohoo shares bought at £2 and less because you're hoping to make £850,000 clear profit at a extremely hopeful share price of £3.50.

We know you can't stand to look at anything negative about Boohoo because of your massive shareholdings in Boohoo.

Net Debt like the calculations by Stockopedia of £133m for Boohoo have to be paid from somewhere, hence the £325m revolving credit facility Boohoo have had to take.

It's of the utmost importance to consider Stockopedia's way of calculating net debt for Boohoo of £133m

Stockopedia have an estimated loss of over £17m for end of year 28 February 2024 and a small estimated profit of just over £5m for end of year 28 February 2025.

Where's Boohoo going to get the money for lease liabilities net debt of £133m with a loss next year 2024 and a small profit for 2025.

Yes, there is the US Distribution Centre, however, this may take two years to get it profitable. Using the likes of Naomi Campbell and other forms of advertising costs millions and millions too.

Naomi Campbell has 15m followers, however, they won't be just from the US.

Naomi Campbell will have cost many millions for Boohoo.