Member Info for Srbenjo

Thanks stargate, hoping we are near the bottom of the recent fall.

I've added to my holdings this morning, 1000 shares @ 396p. Long term hold for me.

Once you strip out the Brand Architect sales, revenue is largely flat or only slight up over the last 12 months which shows a slowing of growth. That is probably why the share price has fallen today.

The future and outlook does look bright. Margins are rising and sales are expected to rise in the 2nd half of the year… it could be a good time to add to your position. The share price multiple (p/e ratio ) has fallen a bit but the fundamentals are still the same. Warpaint is a well run company and I have confidence in the management, their strategy and feel they will continue to deliver for shareholders. DYOR

Fortune favours the brave ;)

Agreed. Good to see the share price rise after the ex dividend day and hopefully it is getting on the radar of more institutional investors with money to invest.

No news recently other than oil and gas prices have risen.

Maybe a takeover could happen if Yu continues to grow and take more market share?

Thanks Barney 👍

Is there an easy way to translate the article into English?

I don’t understand it either. Maybe it is a broker changing the price to try to generate interest in the share?

Nothing to see here, just a de-ramping poster spreading fud. Give it up M1Rob!

Oil prices have fallen but production volumes have steadily risen and look to be doing well.

I bought this morning to top up my holdings @8.32am, paid 39.9999p but it shows up as a sell for some reason? Any ideas why? Quite misleading.

Patient Capital.. very appropriate IMO. I’m confident this share will come good and will be sold eventually but only once it has recovered and the outlook is bright. Sir Martin will do his best and won’t sell it on the cheap, he holds the golden shares. They are concentrated on turning this round and the share price will eventually follow.

Positive news

I’ve been struggling to keep the faith for a while now, years, but the market and share price doesn’t care for what I think. Very little mention of whoopers nowadays.

Hope this turns around soon but little sign of it despite the more optimistic tone of the last results/updates. Steady revenue and profit growth required, and pay down the debt. Anything else is just waffle imo.

Good results from Stagwell, they make S4 look poor in comparison. Hopefully we’ll get some decent growth in revenues and profits in 2025. These macroeconomic headwinds that SMS likes to use as an excuse don’t seem to be affecting all of our competitors and I’m fed up with all the excuses to be honest.

It seems to me that the post pandemic high spend on advertising is over and unlikely to return but the main disrupter of the industry is AI. Adverts can be created at a fraction of the cost and speed than before AI models. What that means for companies like S4 is clear in the share price and until it becomes clearer to the market what the cash flows and profits will be going forward, the share price will remain low. It must be very difficult to manage in that environment. Uncertainty isn’t liked by the market but things will settle down and hopefully this dog of a share can recover.

Thanks for all your replies and I hope it is nothing to worry about, this share has dished out enough misery the last few years!

In the 4th quarter trading update there was the following paragraph:

Reflecting trading conditions in the second half of 2024 and the subsequent medium term outlook, the Company expects a non-cash impairment charge to be included in exceptional items in the full year results for 2024.

Is this something to be concerned about? The lack of details and figures is a bit worrying to me. I hope it is not substantial or anything too bad.

Added at 70.8p. Hoping for a good set of results whenever they are and feel the recent 20%+ decline is due a reversal soon.

Discodave.. With respect, I think you're looking for problems that aren't there and are needlessly nitpicking. For example, £644m can easily be described as approaching £650m in my view.

It's only a quick trading update. More details will be in the full year results on March 18th.

Discodave... If you read the RNS about the trading update, they state: " FY24 revenues grew c.40% and are expected to be approaching £650m (FY23: £460m)"

So a 40% increase in revenue is forecast which equates to £644m, which is approaching £650m.

The morningstar article is incorrect.

Amongst today's RNS's was a trading update. All sounds quite positive to me, in line with expectations and a positive outlook for 2025 with further expansion into new stores etc...

Current Trading Update

In the 2.7 Announcement the Company made the following update regarding its current trading:

On 17 September 2024, the Company announced with its results for the six months ended 30 June 2024 that positive business momentum had continued post period end. Since then, the Group has seen continued strong momentum and the board expects the results for the year ended 31 December 2024 to be in line with its expectations.

Trading in the US has been particularly strong in the second half, benefitting from an initial order from Walmart for both W7 and Chit Chat products. The Company now expects to report US revenue growth of around 20% for the year (in US dollar terms) at a significantly higher margin to that achieved in 2023, following the reduced focus on deep discounters. Constructive talks are ongoing with Walmart regarding the supply of all year round and gifting ranges for 2025.

The Group’s gross margin for 2024 as a whole is expected to be comfortably above the level achieved last year (2023: 39.9%).

Looking forward to 2025, in the UK, Superdrug is expected to rollout W7 colour cosmetics into a significant number of new stores, and is in talks to roll out accessories into several hundred stores. In Tesco, confirmation of a 150-store expansion of the Group’s W7 impluse offering during 2025 has been received. Additionally, Boots has agreed to take a number of gifting products for the first time for Christmas 2025, which will be stocked in several hundred stores.

After a successful launch of W7 product into Etos in the Netherlands at the end of 2023, Warpaint has received confirmation of an expansion of the product assortment in all Etos stores, and the roll out of a ‘back wall’ fixture with an enhanced product range is now taking place.

The Company is currently in talks with other large new retailers in Europe, the US and the UK with a view to stock the Group’s products.