 Don't think much of the share price drop is about shipping costs - the container rate from Shanghai has halved in last 2 months.
Here is HMRC response to this question
Re: Luxembourg withholding tax on dividends
On 19th July 2023 the Luxembourg Parliament ratified the updated UK-Luxembourg Double Taxation Agreement, whereby Withholding Tax on interest, royalties and dividends was reduced to 0%, other than for REIT Property Income Distributions which the treaty reduces to 15%. With the UK government having already ratified the new treaty, this change was applied from 1 January 2024. However, the dividends in B&M European Value Retail SA that were paid to me on 12th February 2024 and 5th August 2024 have both continued to be paid net of 15% tax. Correct me if I am wrong, but I assumed that from 1st January 2024 dividends in Luxembourg listed companies would be paid gross to UK beneficiaries, and any dividend tax due would be paid at UK dividend rates and calculated in our tax returns. Am I able to reclaim the 15% tax on these dividends, as my taxable income is less than the personal allowance, and is there any way to have the B&M dividends paid gross in the future?
Many thanks.
Hi Julia Marsh,
This is a matter for the Luxembourg authorities.
HMRC will continue to apply the current tax treaty in force, until an updated version is agreed.
Luxembourg: tax treaties
Thank you.
Err so that's clear then... |
Can anyone confirm whether you still pay 15% withholding tax still?Tia! |
Stores in my local area have had their available hours cut back a lot. They flex hours based on sales. Either sales are down or they are trying to protect or improve margin (possibly because of national minimum wage increases or to fund new store openings). Knock on effect is that senior staff are leaving and they struggle to recruit and retain staff. Card factory's last results were tainted by minimum wage increase. |
At the last presentation we were given to understand that BME had freight costs covered.It will be another month before we get the interims. That may actually work for me as I am currently fully invested. However I may well have some cash by then and depending on the results and forecast I may well reinvest here. To me the company seems tightly run and I cannot understand why the share price has been falling rather than rising. But Mr Market likes to play his games and get inside people's heads. So sitting on the sidelines waiting for news seems a sensible course of action for now. |
I wonder if shipping freight charges are a concern |
went into a B&M, all shelves stocked up for halloween and christmas stuff, only a small amount of summer stuff tucked away reduced.
i cant see anything wrong in stores |
Last year we had the H1 interims in early November. Also an announcement of timing in mid-September.No announcement yet for this year but presumably the interims will still come in early November.Maybe we will learn something then. |
backmaster
Amazon is nowhere near as big a worry as Temu is. Their competition has been there for years and both BME and Dunelm have easily coped with it.
Temu like SHEIN are bankrolled by the Chinese Government via subsidies etc and so can sell far cheaper than BME and Dunelm can. Already SHEIN has ruined ASOS and BOO. Something has to be done about this Chinese undercutting of UK prices (it’s happening with electric cars too) as otherwise Chinese competition could ruin otherwise very efficient and successful UK Companies. |
TEMU impact an interesting thought. I confess to being a TEMU customer, spending £15 (free delivery) every few weeks on a variety of cheap kitchen and garden accessories and rolls of stickers for the grandchildren. I hadn't really explored their much wider range of products.Thinking about it I wonder if the likes of Amazon might be making a bigger dent as they seem to offer even more alternatives to the B&M range. |
In case this helps a bit. Two possible reasons for the continuing fall in the share price:-
1. Outlook statements this year have been vague on prospects unlike in the past. I sold for that reason on the fall in January.
2. Concern about Chinese Company TEMU muscling in on their business. BME haven’t yet mentioned this worry, but nor did BOO or ASOS before their share prices crashed.
I’ve now reluctantly sold Dunelm (a superb shop we use a lot) for that same TEMU reason. |
They have been falling for a while with no obvious reason. It was thought weather and shipping costs might have damaged Q1figures but we were told all good. The shares rebounded for a couple of days then started falling again.The only news since then has been some options giveaways that sounded a bit dodgy, but nothing on business activity.Probably won't get anything more until the Q2 update. |
It seems UBS has a sell on BME. |
Why the fall? Can't see news or big sell? |
Below £4 calling... |
Placed on "negative catalyst watch" by JPM. They probably want the shares cheaper ;-) |
The fall continues. 435 breached, and 430 isn't holding. I wonder what the news is, and how bad it is?Anyone have any ideas ? |
Given today's RNS I would suspect the recent options grant were also nil-cost. |
I don't blame you. On the basis of what has been made public BME should imho be well over 100p higher.Normally their reporting seems very clear, precise, even formal. But the reporting of those option grants - which I took to be part of an incentive package - was anything but.I watch and wait, but have no appetite for these right now, and it would seem there are many who have similar feelings as the share price continues to look sickly. |
Sold. Going nowhere. Opaque options dealing not a good sign. Took a loss of 3% |
Well I'm glad I'm not holding BME at present as I have clearly got this call completely wrong.Based on the CEO's last (and previous) presentations (which I found convincing) I'd say this company is substantially undervalued.But after a brief bounce on the results it has fallen away again.Is it something as simple as an insti deciding to dispose of a large holding that is weighing on the sp, or is it something else that hasn't yet come to light.I will continue to watch with interest. |
The RNS didn't state the exercise price of the options. So it's impossible to tell how much of a bonus each of them is really getting. If they are nil-cost AND nil-exercise then they are getting a lot, as in effect they are FREE shares. If the exercise price is the current share price then they are only getting the difference between the current share price and whatever the share price is on exercise, with no risk of loss if the share price goes down. |
Christmas gifts and gadgets out in B&M. From what I hear they are on a big cost drive and they're struggling to retain staff. |
And still going down.Fortunately I cashed in my few for break even as I wanted the cash for another play.Will be back in again soon. |
I bought a few as well. I thought they'd have been 500+ by now, following good results.It's a puzzle. |
Just bought back in on this down day. Seems perverse that it's down 25% this year. Should benefit from stretched consumers looking for bargains surely. |
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