Member Info for Peoplepower1

For me, Mahmud Kamani has bought no shares in Boohoo even before the closed period. This suggests to me the end of year results will be worse than the profit warning trading update of 16 December 2021. You can make all the excuses you want for Mahmud Kamani not buying Boohoo shares. I think it's too telling that he hasn't bought any Boohoo shares since the profit warning trading update of 16 December 2021.

More herd mentality at THG. Chasing something that may never happen.

The herd mentality is too obvious on here. All chasing what Boohoo was and may never be again.

Too much competition now for the Boohoo label with Shein and so many others, hence why growth is going down in USA, Europe and Rest of World.

Yes I think the end of year results will be poor. I think Boohoo will have known on 16 December 2021 that Christmas wasn't good hence why they did the profit warning trading update on 16 December and nothing further until beginning of March 2021.

CEOs have to make things sound better than they are, that's their job, hence why you need to read between the lines, think about when they released the trading update and the fact they're not releasing another until end of year results early March 2022.

They got their items wrong for Christmas 2021, too many dresses, what's that going to do to their stockpile plus the cost of too many dresses for them.

£70m net cash in the bank isn't a lot of money. £170m liquidity needs to be used for paying the bills.

High freight costs will easily eat into the £70m, a US court case that's going to cost at least £20m, raw material prices going up, wages going up, energy prices going up, inflation going up, interest rates going up, marketing expenditure, brand restructuring, Shein taking away the growth of the Boohoo label. Boohoo have a lot of work to do to trun this around and it's going to take years and not months to do it.

Boohoo have lost their credibility hence why no UK institutions are buying Boohoo shares.

Norway's sovereign oil fund buy shares in every listed company so buying Boohoo shares was simply one of the buys they'd make anyway.

So sorry, that should read a total of £65m and not £75m.

So far, Boohoo's inbound freight cost inflation was approximately £20 million and outbound freight cost inflation was approximately £45 million. A total of £75m

If freight costs like these continue for Boohoo, then Boohoo may well have to borrow money. Boohoo only have £70m net cash in the bank as of the profit warning trading update of 16 December 2021.

Boohoo may have to borrow money because they only had £70m net cash in the bank as of their profit warning trading update of 16 December 2021.

£70m won't go far because at least £33m is already needed for warehouse and new brand restructuring, a US court case settlement which will be at least £20m and maybe even much more, plus any other headwinds, freight costs, marketing, and the warehouse needed for the USA.

As the saying goes, do your own research.

Don't know about that. With Shein, the concern is that Boohoo label won't grow anymore. This leaves Debenhams which is only UK based and needs loads of money spent on it for marketing and infrastructure.

Bringing in a new CEO for Debenhams suggests that Debenhams wasn't doing so well.

The concern is that it's not transitory hence why no UK institutions are buying Boohoo shares.

The shorters know that the end of year results will be poor for Boohoo so they won't be closing any shorts.

US growth was down, Europe growth was down, Rest of World growth was down, all down in the profit warning trading update of 16 December 2021 hence why the Boohoo share price is down.

The end of year results due early March 2022 will be poor and anyone who thinks otherwise is kidding themselves.

It's so obvious, Boohoo bought in too many dresses for Christmas 2021 which were returned and not sold hence a large inventory still not sold or maybe even sold at a loss.

There will be even less than £70m net cash in the bank which means Boohoo have even less money for headwinds, marketing, infrastructure, warehouse automation, US court case settlement, etc., etc.

The fear is that it will happen and so this affects the Market and sends share prices lower.

Wages go up means higher inflation which means higher interest rates affecting customers and businesses.

https://www.industryleadersmagazine.com/global-supply-chain-crisis-to-continue-to-2023/

Supply chains are expected to impact businesses into 2023.

Boohoo have net cash of £70m at the last profit warning trading update of 16 December 2021.

Yes £70m net cash in the bank. Not a lot to pay for those headwinds, marketing and infrastructure that's needed to project Debenhams.

Plus supply chain problems are expected to last into 2023.

We have inflation, interest rates going up, wages going up which will affect customers and businesses. There is also a concern that there is no more liquidity to buy shares. Share prices are expected to go down because of all these which will include Boohoo.

Too many things to go wrong and not enough to go right.

Guidance and Outlook from the Profit Warning Trading Update of 16 December 2021

The concern is that Boohoo won't get back to the growth they had in the past and that future growth will be 10%. That's a huge concern and why no UK institutions are buying Boohoo shares.

For the year ending 28 February 2022, the Group now expects net sales growth to be 12% to 14%, compared to previous guidance of 20% to 25% growth. This reflects our expectation that the factors impacting our performance in the Period persist through the remainder of the financial year, and recent developments surrounding the Omicron variant could pose further demand uncertainty and elevated returns rates particularly in January and February.

Adjusted EBITDA margin for the year is expected to be 6% to 7%, compared to previous guidance of 9% to 9.5%, implying adjusted EBITDA of between £117 million to £139 million. This is due to significantly higher returns rates impacting net sales growth and costs, with continued extended delivery times impacting international demand, consequently driving lower returns on marketing expenditure, and significant ongoing pandemic-related inbound freight cost inflation.

The Group expects to incur cash exceptional items for the year of around £33 million, compared to £22.5 million previously guided, primarily due to warehouse and new brand restructuring.