Distil Share Discussion Threads

[haggismchaggis] 13/12/2017 10:40

Has anyone had any replies from the company recently? I've emailed some useful information and suggestions in 3 separate emails in the last few weeks but no reply. Prior to that I always had a reply the same day. I suspect a blackout is in place for some reason, the usual one being news on the way, like the USA launch or distribution agreement for example.

[onedayrodders] 13/12/2017 10:39

interesting posts both ..thanks for the leg work

[haggismchaggis] 13/12/2017 10:26

Berny, look at the Inventories in both results. I think they have been building up stock for the USA launch, maybe you could double check the numbers for me.

[berny3] 13/12/2017 10:21

Looking at number from last h/y (sept) a loss was made of £21,000

Cash flow was impacted through operations -£206,000 compared to previous H/Y -£99,000

I have done some digging on bottle orders and understand that there are minimum orders for unique bottles and wait times around 20 weeks.

It is highly likely that the company is restricted on credit due to it's size and therefore the cash flow from operations are weighted towards supply for Christmas and in this case extra bottling for the new vintage.

an increase of 206 over 99 suggest a 208% increase in anticipated demand over same period compared to last year. You do have to take in to account some cost for design of the bottle.

There are a number of things that this increase in cash consumption from internal operations suggest.

Christmas demand is anticipated to be substantially higher than last year
There is a big order expected (push into America - maybe)
Operationally in first h/y the company is profitable when comparing sales in the period against costs for those sales.

[onedayrodders] 13/12/2017 10:06

haggis ... ignore him, a simple check on the number of his posts will show he is probably boffster or another sad troll.

[haggismchaggis] 13/12/2017 10:03

James, I post when I have something to say, usually in reply to others, that isn't gratuitous posting of hype, it's commonly known as a conversation. If others stop posting then I won't have anything to reply to, in which case the frequency of my posts would reduce.Also, I doubt very very much that the number of posts on this BB, from me or in total, have any affect on the share price whatsoever. The number of posts would need to go up by thousands per day just for the stock to get noticed on the top BB list.

[berny3] 13/12/2017 07:48

Prices are fixed by market makers rather than order driven. Therefore during periods of no news and little volume the price will be moved to where a market is created rather than true value of the company.

I would not judge the current value/fall in the price as a reflection on the company but more as the market makers doing their job in finding a market.

That is why the stock becomes so volatile as when news is released everyone jumps in and market makers need to move the price up sharply to meet demand.

This is why it is important to get institutional buyers in. There is one large institutional buyer that is known of. There are a number of large holders who look to be holding onto their positions or increasing them.

When you feel the price is right you trade. Look at the fundamentals of the company and compare that to the price offered by the MM's.

Good luck

[jameshughes1980] 12/12/2017 22:13

Hi, I'm long on distil and have been following this board for many months. Hopeful the sales momentum year on year continues at a decent rate. Though appreciate this isn't guaranteed given all the competition. Everything else i.e. Non existent debt, variable cost model, expensed black woods development cost, improving profitability over time and value of brands all point in the right direction from an investment perspective. That said, the share price has been sliding for quite a while. I must say I find haggis' knowledge of the company / market impressive. However, the frequency of posts and bias towards the company could be putting people off buying the shares. Haggis wonder if you could try posting slightly less frequently to avoid the emotive responses which can drag the board down....just s thought

[haggismchaggis] 12/12/2017 19:43

acdc52, Don laughs at £10m offers for one Distil 'hot brand'. Think nearer £50m for RedLeg or Blackwoods, and as the sales are still increasing well ahead of the sector, that target will be rising too.

[haggismchaggis] 12/12/2017 19:41

theotrs, JD isn't a premium spirit it's mass market cheap stuff. Absolut is pretend premium, anyone that drinks premium Vodka wouldn't go near Absolut, me included. No idea about Bloom, but any company boasting premium Spirits is making their product look cheap by putting it in premix cans. Just ask Don, he'll tell you the same.

[acdc52] 12/12/2017 15:05

Considering risk involved in penny shares, imo Distil Plc is still the safest. It sure has potential to hit double digits at least if not triple in due course. Sale of it's brands as mentioned by it's CEO repeatedly in the past should send share price in double digits. DYOR.

[boffster] 12/12/2017 11:43

Yet again haggis spouting off his opinions as if they are fact. This oracle of investing was shouting the virtues of Distil at 3.5p+. Its very possible that Distil could get the begging bowl out again to invest in the brands / increased advertising etc. Current cash burn rate is irrelevant

[theotrs] 12/12/2017 10:00

Haggis: Cans/Premix. Blooms Gin has a bottled premix Fentimans tonic/lemonade, Jack Daniels comes with cola in cans, Absolut vodka canned mixes.

[berny3] 12/12/2017 07:53

Interesting to read Amazon reviews - knocking again on the door of the much larger Rum brands again.
The Gin is moving up the scales as well.

Observing the sale rates in Amazon gives you a fair idea of what consumers are picking for their favourite. Gin is high up but Rum is becoming more and more favourable too.

[haggismchaggis] 11/12/2017 23:50

It was early days when I bought in below 1p, now it's a big 2018 ahead.

[malcontent] 11/12/2017 22:03

this is a recovery play- early signs are encouraging- but it's early days.

[haggismchaggis] 11/12/2017 17:46

P.S - there won't be any money spent on rum and coke in cans, DIS products are premium Spirits, not alcopops, and DIS will want to maintain the premium image, cans (regardless of how much money they might bring in) do not fit the company up market image.

[haggismchaggis] 11/12/2017 17:43

theotrs, there won't be any placings, the company has enough cash at the current burn rate to last 16 years. As said above, the cost of the new packaging has already been paid absorbed, and DIS will be profitable in H2. RedLeg is growing ridiculously fast already, as proven (it's a fact!) by it growing faster than the fast growing Rum sector.

[darkdogs] 11/12/2017 17:01

Am a big fan of Redleg, so after tasting the rum, bought shares. The wifes' nickname is gin-face lol and I recently got her a bottle of blackwoods2012, unfortunately she thought it too sweet, so hopefully the new mix in the excellent looking bottles will be dry-er and more to her taste. Hate making her drink stuff she's not that keen on.

[berny3] 11/12/2017 15:01

If you spend the time to look at the 6 month results you will see in the cash flow analysis that Cash used in operations increased from 65K in 2016 to 206K in 2017.

I would make the assumption that this increase is related to cost of new vintage for Blackwoods. If that is the case then the cost of producing the new vintage has already been absorbed in the business. The outcome of this is likely that margins will increase in the second half of the year. January we will see restocking of off an d on licence retailers in the Uk for Blackwoods. Hopefully we have increased outlets. Maybe that is when we hear about a US distribution agreement which is also being stocked in January with both Redleg and Blackwoods.

[theotrs] 11/12/2017 14:06

My approach for the co., might be to have a small placing £1-2m. In order to have a ramp up of Red Leg. Advertising etc., plus possibly launching small cans of rum and cola.

[petersinthemarket] 11/12/2017 13:20

Possibly still a slight feeling of jam tomorrow on this one, but that tomorrow must be getting much much closer now and an easy rise of only around 1.25p per share will bring a nice 50% return. Personally, I'm sure there is much more than that to come. The only question is when? We should know more after xmas.

This is a news driven share, so yet again further recent quiet lows on which the committed can top up, so I have been taking advantage.

I am enjoying all the stuff about buying quality booze chaps, pls keep buying but, for now at least, I'm spending my cash on the shares.
GL all, pete

[berny3] 11/12/2017 13:05

The other thought about the new Gin and Vodka vintage. Red Leg Rum now has it's own momentum. With the Gin and Vodka they may be diverting more attention to promoting these brands. They have done a fantastic job with Redleg Rum. the same advances on the Gin and Vodka and the company jobs forward again.

[suneday] 11/12/2017 10:19

The 12 weeks before Christmas make up 27% of spirit sales
hxxps://www.betterretailing.com/thats-the-spirit