Retailers took a bit of hit just now... |
I agree and in fairness price has recovered since this morning suggesting buyers are about.
Christmas rarely disappoints for Currys. |
I think so too,who was going to buy so close to Black Friday Barclay saying card sales up 9% so far on Black Friday last year all gone into December figures I suggest |
Probably reason for drop. |
Unfortunately its not that easy, the price they charge is dictated by the market, margins on most products are tiny (most of their profit comes from services) if they could charge more they already would.
There may be some room to increase if others do too but they don't have the same amount of staff so costs are lower. |
Tim would you notice £10 on a tv or appliance of that value. I think it'll be a mix of many,wages bonuses prices |
Not helping the shares though. |
Not all bad news though.
"Meanwhile, electricals performed well as people continued to upgrade their tech with the latest models." |
Problem with option one, rising prices is Currys prices are dictated by a fiercley competitive market unless everyone raises prices which is unlikely they will lose sales. |
It’s another nail in the coffin for high street retailers. The online only retailers employ less people so will take less of a hit. |
They have to raise pay as they currently pay £11.50 an hour and this is increasing to £12.21 next year and the under 21 minimums are going up a lot too. |
It is driving inflation higher as businesses need to increase prices to remain profitable... |
Trader all it means is limited if at all pay rises next year probably following into 2026 which in turn will bring down inflation just depends on whether labour will want more money. |
trader.
They say the cost to their business of the national insurance and the national minimum wage increases is around £750,000 per year.
Based on Marks having around 250-300 employees and Currys having around 20,000 plus your estimate of it costing Currys around £50,000,000 is not far off in fact it could be even more.
Whatever way you look at it Labour made it considerably harder for UK companies to grow and make profits. So much for them being pro business! |
Marks Electrical swings to loss as costs increase |
Xmas could be reasonable,there are multiplicity of factors at work from minimum wage increases to absence of OAP fuel allowances to fluctuating energy prices.Its not sales growth that have been driving Currys margin improvement,its cost control.£260m of cost savings were made in the three years to April 24.Reeves budget pretty much assures that the drive for a leaner retail machine isn't going to end anytime soon.Perhaps the resumption of dividends might be deferred as a result of the tax grab but throwing the group into losses strikes me as overly bearish.The bid from Eliot at 67p probably provides a realistic downside price if things seriously deteriorate. |
When do the new tax rules kick in?
I’d say we still have a good Xmas to look forward to
Damn I said the C/X word!
D |
Steeplejack: Indeed the Nordics: If this was "Brucies play your cards right" - most punters would say HIGHER than where it is now.... |
Consensus eps forecast on LinkedIn Curry site.I don't know,maybe people out there,retail analysts etc have a different take on events,are factoring different eventualities and corporate strategy to your own.Of course,then there's always the possibility of a bid.Things are rarely as straightforward or as cut and dried as investors would like. |
Good luck with your negative view.
You'll need it.
😀 |
They’ll need to sell an awful lot of laptops and drones to make up for the huge extra costs.
The wage rise and extra NIC costs amount to about 50% of last years profit, which was only achieved through cost cuts. |
Unfortunately for would be shorters AI laptops are flying out the window this Christmas:
As are drones - the new must have gadget for amateur movie makers |
“growth of around 10% in eps is currently forecast”
By who? Certainly not me.
And how would they achieve that given the continual declining sales and now the £50 odd million in extra wages and NIC costs? |
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