Distil Share Discussion Threads

[waterloo01] 13/5/2016 15:19

If you have access to Neilson data you can work it out.

I agree it's not necessarily about being profitable but they need to establish sales volume and not just on discount/promotion and that continues to be expensive. If they can build the brand presence over the next 18/24 months then it might be a target.

[barnes4] 13/5/2016 15:14

miton were happy to pay a penny

[tagbot] 13/5/2016 15:06

Ok but what are our case sales then is there any way to find out.
Do the company release these numbers ?
I watched the presentation and they made it clear that it doesn't matter if Dis is profitable or not, the big players wont be buying Dis.
They will be buying a brand from Dis like Redleg and all that matters to the buyer is that Redleg is profitable.
They wont care about Dis.
This is what the CEO said.
He said their job is to make the individual brands profitable and attractive to industry buyers.
He said Redleg is profitable and is doubling each year on year and is the fastest growing brand in the industry.
Or was that just hype ?

[waterloo01] 13/5/2016 14:46

The volume is no where near those numbers and as they build the brand awareness they continue to struggle with the margins after marketing/sales costs.

I suspect the only way DIS shareholders will make a decent return will be the sale of a brand/s but at the moment they have limited visibility and traction with customers. Longer game IMO but not unattractive at <1p.

[tagbot] 13/5/2016 14:42

Is there somewhere we can see a list of current sales of the various brands Dis have ?
I mean it seems quite a high price for someone to pay for Redleg.
How does the case value get formulated?
I mean if they are selling lets say 500k cases of it and it sold for a case value of $500 thats a staggering $250m Dollars or roughly £170mill .
If thats their target ball park price and sales target then 1p seems laughable.
So Im guessing sales are not that high or anywhere near it right now.
What would be a realistic price to expect per case or does the case value increase as sales increase as it becomes more popular.
I suppose this must indeed be how it works.
If anyone knows I would be interested to hear their thoughts.
Because even 200k cases at $200 case value is still a very hefty and profitable $40m or £26mill which would be over 5 times the current value of the entire company.
So what Im really saying is, whats the catch ?

[tagbot] 13/5/2016 13:53

Yes I agree ,they will make their real money by selling brands to the big players not through selling it themselves.
they simply want to get it started so they can show the big players that it has legs.Redlegs in fact.
Their Diva Vodka is a mistake though.
Too girlie, no man will buy it and men are the larger audience for vodka and the ones who usually go up to the bar to order.
They need to re-package it.
Call it Carburettor or Smashed Face and shove it in a black bottle with metal studs on and they will quintuple sales overnight.
Diva ffs.

[berny3] 13/5/2016 11:09

tagbot: Grey Goose was at 1.8mln case sales when it was sold. it took from 1997 to 2004 to grow the brand from 100K case sales to 1.8mln. The buy out price was above $1,000 a case (2004 prices). Redleg is at a similar growth rate so should command somewhere between £500 and £1,000 a case. Look atthe case sale price of Bruichladdich that was cirac £1,000 a case.

It is not too big an assessment to work out that the value of Redleg as a brand on its own is worth more than double the current market cap.

Build into that Blackwoods Gin both large and small batch and you begin to get a picture of the potential upside here.

The company has other brands ready for a push - Diva Vodka, Jago Vanilla Vodka Cream and Blackwoods Nordic vodka. There is ample value to be driven further.

[petersinthemarket] 13/5/2016 10:42

Yes, I get the cash injection idea, although I had no idea the price could be that high. That would save us another cash call for development purposes which is always in the back of the mind whilst we continue to struggle with break-even. pete

[barnes4] 13/5/2016 10:26

Like I said everything has its price I guess

[tagbot] 13/5/2016 10:24

Grey Goose Vodka sold for $1.8 Billion Dollars
And it had far less sales in the market at the time than Redleg has.
Redleg is the fastest growing brand of spirit and is expected to continue be for some time.
Just saying.

[dante17] 13/5/2016 10:19

Pete, imagine if RedLeg was sold for say 7 million pounds cash. Imagine what the company could do with such a cash injection! The new brands it could create or buy, the promotion it could for its existing brands, etc.

[barnes4] 13/5/2016 10:17

Looks like we are getting some interest

[barnes4] 13/5/2016 09:39

I think the point was pete that they may get an offer that is too good to refuse

The market cap is ridiculously low and a single brand could be worth multiples of it!!

[petersinthemarket] 13/5/2016 09:25

Sorry to appear thick guys, but how could selling off a successful brand be construed as good news? Isn't the whole point of developing a successful brand to make the company stronger from the sales income? Don't get it. Pls debate. pete

[lanzarote666] 12/5/2016 19:44

Thanks for posting the link. A positive presentation from Don Goulding and a clear view on where we are heading.

No promises on timings, but I am happy to continue my long wait. A speculative punt that a £5.0m market cap could double with just one successful product.

These are the points that were of interest to me;

'Our long term goal is to maybe sell off one of our brands to a bigger company…

…and that really is the prize for a small company like ourselves.

You create great brands that other people want to buy.

Personally I think our company is undervalued because the price of just one of our brands is worth more than the price of the company.

All of our brands are profitable and to anyone that wants to buy a brand they will be looking at the revenue and the profit of that single brand. Multiples in our industry range between 20 and 35 times contribution.

No debt on the balance sheet with very small overheads.

Developing brands in markets that are growing i.e.gin.

Redleg is one of the fastest growing brands on the market place (off a small base). Rum is going through an explosion.

There are not many brands as healthy as Redleg in the market at the moment.

Year on year our sales have more than doubled. And they’ll continue to grow at that sort of rate for the foreseeable future.'

GLA 8-)

[lr2] 12/5/2016 16:59

Thanks for posting that video Chris.

[dante17] 12/5/2016 16:28

He did a very good job of it I think!

[chrisstanding] 12/5/2016 15:57

Don Goulding of Distil presents at UK Investor Show

[petersinthemarket] 11/5/2016 10:38

It's a pity about the dis dealing friction.
The way this is so reliably and tightly range bound 0.925 - 1.025 could make reliable small profits as it zig zags. Not sure I've seen such a clean channel lately.

EDIT: Did you see that? Amazing how £500 can move the share price

[petersinthemarket] 10/5/2016 18:52

Previous Finals 9 June 2014, 4 June 2015.
Hence, about 4wks to 2016 Finals.
At last - real figures!
I hope.

In the meantime, here's a leading question.
I'm already loaded up, but anyone confident enough to be buying?
GL, pete

[lr2] 09/5/2016 21:27

I've been keeping an eye on DIS for almost 6 months now and throughout that time there appears to be persistent buying interest at 0.95p and below. Someone needs to sell in the current price range if those buyers are to continue their accumulation. It's all just a waiting game I reckon. The patient holders will be the winners.

[barnes4] 09/5/2016 20:48

The market makers wanted shares today and seemed very unwilling to sell

[petersinthemarket] 06/5/2016 10:43

This has been a nice quiet thread - lets keep it up - filter spoilers

[barnes4] 06/5/2016 08:57

Morning terri errr sorry tracey

[tracy_moore] 06/5/2016 07:36

buoycat 5 May'16 - 19:31 - 1423 of 1425 1 0

barnes4 what are you on about?

Lol she doesn't know herself, the ladyboy is a loose cannon. Just pray you never sit next to her on public transport.