Associated British Foods Share Discussion Threads

[patientcapital] 10/11/2021 08:11

People used to be critical of Arnold Weinstock for holding significant cash on the GEC balance sheet. He retired, Simpson took over, squandered all the money and GEC no longer exists.

[philanderer] 10/11/2021 00:29

"Why Primark’s American dream won’t be as ill-fated as Tesco’s"

[philanderer] 10/11/2021 00:24

Yes, top results tuesday :-)

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"Shein: The secretive Chinese brand dressing Gen Z"

[suetballs] 09/11/2021 17:04

Well I for one am happy with cash and spread.
Suet

[m_kerr] 09/11/2021 16:10

i really like ABF, but i do have reservations. my main concern is their policy of holding excess cash, and the conglomerate structure which limits long term value growth. it's a very respectable set of figures for sure, and the business units are well managed within the parameters they operate in.

[philanderer] 09/11/2021 10:43

Primark plans more than 100 new stores worldwide in Covid rebound

[gateside] 09/11/2021 10:35

Totally agree.
The media only ever want to spin news in a negative way. Idiots!
This is an excellent set of results and Primark are doing very well, as is the rest of the business.

[farrugia] 09/11/2021 10:33

the thing most forget is that Primark is a big sugar business which will ride inflation well..

[suetballs] 09/11/2021 10:31

Headline this morning from the BBC on the results - "Primark admits struggles with rising costs" - would I expect anything less!
They should have said fantastic results - special dividend and the future looking great! Not to mention the share price increase.
Why is there so much negativity about - ok we all have had a tough time but let's see some optimism.
Suet

[martinthebrave] 09/11/2021 08:04

Decent Results today. Rev's level but EPS looks ahead. Special Divi & positive outlook. Happy to Hold these now.

[roguetraderuk] 09/11/2021 07:30

they seem to have negotiated the rising input costs and supply chains issue well once again and point to further margin improvement and rising profit going forward. looking forward they are on about 12-13 times, i dont think thats too demanding.

[suetballs] 09/11/2021 07:19

These boys certainly know how to run a business.
Very well done.
Suet

[gateside] 09/11/2021 07:05

Final dividend and a Special dividend.Let's hope for a positive Market reaction.

[andplus] 08/11/2021 18:14

Analysts have a price target of 2,600, a forecasted upside of 39.9% from its current price. I have topped up hoping for a strong bounce back.

[ptolemy] 08/11/2021 16:15

Full year results tomorrow should exceed expectations. September/October may have been weaker so will be interesting to read what ABF signal...

[m_kerr] 28/10/2021 17:48

shein is certainly a significant threat to primark. i think ASOS and boohoo will be more concerned though. primark usually makes very respectable 10-12% margins, even at rock bottom retail prices. asos makes something like a 5% margin, at higher price points, so IMO they'll be the first to know if shein make serious inroads.

[essentialinvestor] 27/10/2021 18:49

mk, Shein are now delivering from a UK distribution centre within 2 days,
a well-known retail analyst did a test and received goods within 48hrs.
Yes they are sourced from China originally.

Shein will grow exponentially in the UK unless measures are implemented.


HMG effectively robbing themselves of tax revenue - benign neglect.

[m_kerr] 27/10/2021 18:40

lots of these large department stores, the sort that primark often take over or partially takeover, are not viable even at zero rent, because the business rates are so high. i suppose the government doesnt care because they get paid whether it's occupied or not. my take with online vs physical is that business rates should be updated more often, to reflect falling and rising rents. shein take this exploitation much further by not even having any business premises in the UK, therefore contributing £0 to the UK government as they don't pay VAT either. i expect if you see continued their continued growth and corresponding bankruptcy of UK based operators that the UK gov will eventually act. remember that shipping from china means a 2 week delivery time. and shipping from china is not cheap, shein don't charge delivery over £35 so it's not sustainable without gaming our tax system.

[dope007] 26/10/2021 12:51

HMG has cut all our throats the last 50 years!!!

[essentialinvestor] 25/10/2021 22:24

ABF pay a lot of corporate tax to UK Plc, plus a truckload of money in business rates payments on their Primark outlets.

HMG are effectively cutting their own throat in a cases like this re tax revenue.

[mastey] 25/10/2021 22:09

We will see on Wednesday, however if the pre announcements are correct re no change to business rates then a very good chance there will be a change on sales for the likes of Shein . The UK changed the law re low value good consignment LVGC in 2011 from certain countries and they should expand this and include full registration in the UK for suppliers over a certain gross value where goods arrive from China direct to consumers

[m_kerr] 25/10/2021 13:41

so shein are cheaper because they don't pay taxes. apparently they ship orders directly from china, so do any returns go back to china? probably not. the UK government would probably say avoiding any tax is the 'free market', though with a big covid debt to service surely that can't be tolerated any more. i expect on the continent if their big clothing brands like inditex and h&m came under pressure, the EU would intervene.

[purplepelmets] 24/10/2021 04:47

Slavery is good when the chinese do it. Why are the left so loved up on china? its madness