Sainsbury (j) Share Discussion Threads

[spob] 03/10/2019 20:06

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Thursday 7th November 2019

Interim Results Announcement

[muffinhead] 03/10/2019 20:01

mark to market now!

[spob] 03/10/2019 19:58

A lease liability of £5.9 BILLION for a company which owns most of its shops ?

I guess Sainsbury's doesn't own as many shops as some might think


my guess is less than 50%

[spob] 03/10/2019 19:37

The Group has performed an extensive review of all the Group’s leasing arrangements in light of the new accounting standard. The work is nearing completion and the Group estimates that, had IFRS 16 been applied in the 52 weeks ended 10 March 2018, the impact on the consolidated balance sheet as at 10 March 2018 would have been:

 Recognition of a right-of-use asset in the region of £5.1 billion disclosed within non-current assets

 The recognition of a corresponding lease liability in the region of £5.9 billion

[spob] 03/10/2019 19:35

The first reporting under IFRS 16 (with restated comparatives) will be for the Group’s
interim results as at 21 September 2019

[spob] 03/10/2019 19:25

Its research suggests that collectively, the top 350 listed companies in the UK have £180bn in operating lease liabilities which will now need to be reflected in their financial reporting, with the highest concentrations in the energy, airline, retail, telecoms and financial sectors.

LeaseAccelerator’s analysis suggests oil and gas giants Royal Dutch Shell (£18.3bn) and BP (£10.9bn) have the highest operating lease obligations according to their most recent annual reports.

In third place in the rankings is Sainsbury’s

[neilyb675] 03/10/2019 17:58

In my experience of my local.....

You need to find a hobby. You are spending a large chunk of your life telling us the same old tosh. Time after time. Zzzzzzzzzzzzzzzzzzz

[loganair] 03/10/2019 15:35

Our local Waitrose is right next door to Aldi, which opened up several years after Waitrose.

Waitrose is as busy now as it was before the Aldi opened as not only is the shopping experience in Aldi horrendous, the quality of groceries they sell is far poorer.

In my experience of my local Waitrose, Aldi are absolutely no competition to them what so ever.

[nick rubens] 03/10/2019 15:25

Yes I agree with Loganair on both businesses being low margin, groceries and electrical.

I did sell my stock on the merger announcement because
1. I got a refund after around 6-7 years of a declining share price and the dividend cut.
2. I didn't believe it would happen and it sounded a little strange also, with both supermarkets keeping their own separate businesses.

The price and Yield are tempting just like it was 7 years ago at 320p. I hope this dividend can be upheld a few years ahead.

[tardelli2] 03/10/2019 14:53

Online is s money pig ,I agree . Ok lose market share but profits will soar.

[tardelli2] 03/10/2019 14:51

At the end of the day discounters lack range , I use lidl and Sainsbury's . Lately I've found JS to be very competitive in many items. I've not found quality to be an issue in either.

[spob] 03/10/2019 14:46

I disagree

Sainsburys is not a charity, it's a business.

Ditch profitless online grocery shopping.

[she-ra] 03/10/2019 14:42

I agree with you up to a point. But I think quality across the board is falling; and its because of Aldi and Lidl (and perhaps Brexit).

You may like Waitrose but they have been selling off some stores. They are losing some customers to the German discounters. The fact is Aldi and Lidl are taking customers from all the food retailers. I don't think it is a good thing but its happening.

But Sainsburys should in no way drop internet shopping regardless of whether it is loss making.

[loganair] 03/10/2019 14:34

I know quite a few shoppers that have stopped shopping at Sainsburys due to the poor shopping experience they now have.

Sainsbury's use to be a pleasant place to shop, sadly now days its more like a zoo.

30 years ago Sainsburys had a particular customer base. Who are their customers now?

[she-ra] 03/10/2019 14:20

loganair you keep talking about you and your families shopping habits as though they are representative of UK consumers. How do I know you don't model yourselves on the Manson family.

[loganair] 03/10/2019 13:26

At least unlike many posters, I ask questions instead of saying such things as "did a little cheeky top up, had to at this price' etc.

[essentialinvestor] 03/10/2019 13:03

I like the way you answer your own questions ).

[loganair] 03/10/2019 11:04

I no longer do any shopping at Sainsbury's most is now Waitrose with a little at Tesco. Why no longer Sainsbury, becasue now days it is an appalling shopping experience.

Why Tesco? I use their free car park, only a 5 minute walk into the centre of my local town, then on the way back pop into Tesco to pick up some basic items such as milk and what fruit they may have on offer at the front of the store.

As for my local Aldi, pop in a few times a year to see what they have to offer and always come out with out buying a single item as much of what they sell is complete rubbish and often poor quality like the basic rages that Sainsbury's and Tersco both sell.

Also none of my family have ever done grocery shopping on-line as we like to see the quality and condition of the products we're actually buying.

[tim 3] 03/10/2019 10:55

There is certainly an argument for stopping online there are plenty of studies out there that say its unprofitable.

As it stands store shoppers are in a way subsidising internet shoppers would estimate delivery charges needed to cover the picking and all the other logistics involved would be closer to £20 not the few quid they currently charge.

Would be a brave move to do it though when Morrisons resisted till much later was not a popular move.

[loganair] 03/10/2019 10:49

NR - The liabilities that Sainsbury;s and Argos have is that they are both very low margin business with little prospect of significantly increasing their margins.

What I have noticed over the past 30 years is how the shopping experience has gone right down hill when shopping at Sainsbury's, one of the reasons why most of my family now shop at Waitrose.

[nick rubens] 03/10/2019 10:35

Ok, so I shop alot at Sainsbury's (for the quality), they don't need to compete with price on their own brand products as they are superior to the discounters and to the other regular supermarkets. They need to emphasize more the quality rather than the discounting IMO.

Anyway, once the Argos cost cutting is done, I can't help thinking the company wil then have two liabilities, groceries (a struggle) and then also Electrical retail (a struggle).

Is their reason to buy the stock at this level?

What can they do to turn things around. I wouldn't bother with Internet orders and delivery on groceries myself, i'm sure that's costing too much. Aldi and Lidl have not adopted this and likely for good reason.

[spob] 02/10/2019 22:47

April 18 - March 19

[spob] 02/10/2019 22:43

Actually most people did think it would go through. (myself not included)

Which is why the share price shot up and stayed over valued for a long time

Mr Coupe was singing about his share options when the share price jumped 22% in one day


" Sainsburys are a big company, so they must know what they are doing " LOL

people are so easily swayed by money/size