Games Workshop Share Discussion Threads

[santr0] 30/1/2019 08:21

A small article about expansion in US operations.
English company Games Workshop is set to invest another $3.4 million in its Memphis distribution center. The company will be expanding and updating the distribution center at 6211 E. Holmes in Southeast Memphis and enlarge it by 50,000 square feet.
Full article here: hxxps://dailymemphian.com/article/2693/Maker-of-miniature-war-game-products-plans-big-expansion-in-Memphis

[nod] 30/1/2019 05:40

A nice article in Seeking Alpha, which I have long rated quite highly for its contributor reviews

A Successful Licensing Model: The Games Workshop Way
Jan. 28, 2019 11:21 AM ET

Karl Ahlstedt

Summary

* Games Workshop continues to experience high growth.

* While it's taken over 40 years, Games Workshop is finally capitalising on its world leading sci-fi and fantasy IP.

* There remains (almost) limitless opportunities for very high margin growth via IP licencing and partnerships.

* Acceleration of IP profit in recent years should inspire confidence and retain experience for further expansion while robustly minimising the teething problems we have seen in the last 24 months.

Full article (seven pages)

[nod] 29/1/2019 22:43

From my distant memory, I thought the factory expansion was using new land. I had hoped this would not disrupt the existing factory much. I guess some of the most experienced (most costly) factory staff would be delegated to the important task of testing and approval of new equipment, which temporarily erodes margin.Some Office staff will have been involved as well.

[cockerhoop] 29/1/2019 10:13

It was the short physical expansion I was primarily referring to Nod, I suspect the ERP upgrade will run & run.

[nod] 29/1/2019 00:07

You know the old saying: "The last 20% of a project takes 80% of the time."My experience of ERP systems is that it takes years to reach the end. Sometimes requiring a "simplification" project to remove some of the complexities and high support costs resulting from the initial project.

[cockerhoop] 28/1/2019 08:06

Always get slightly frustrated at the 'expensive at xx times fwd earnings' line when the forward E is based on a single very conservatively guided analyst.

[nod] 28/1/2019 00:27

A couple of mentions in the Investors Chronicle. In an article looking back at 2018 and congratulating us for being in GAW and an article looking forward:

"The outlook for retail is incredibly difficult to call, but hobby outlet Games Workshop (GAW) is better characterised as a leisure goods business. The company is expensive, with a rating of 19 times forward earnings, but a well-covered dividend yield of 3.7 per cent and a stellar record of ROCE, makes this company – which is free of debt and pension deficit and has a unique brand and incredibly loyal customers – in some ways a defensive play."

[nod] 25/1/2019 23:28

"This channel [Retail] showed growth in all territories with exception of Australia and New Zealand." New Zealand is poorly served for hobby centres compared with 2007. Auckland has a population of 1.6 million and only has one relatively small GW store, which is hard to get to for a large part of the population. The Australian cities are much better off. Sydney has around 11 GW stores spread around the city and suburbs. Melbourne has 7 GW stores plus indies. Sydney and Melbourne are about three times Auckland population. Auckland is an isthmus so it really needs a GW hobby centre North and South to grow the hobby.

[nod] 25/1/2019 23:08

Fred, there's no whispering grass here.

[shanklin] 25/1/2019 18:49

Blimey, Nod would need good ears to hear from NZ what is going on in GAW HQ :-)

[flatoutfred] 25/1/2019 15:08

Any whispers on when and how much next divi will be Nod ?

[cockerhoop] 25/1/2019 10:33

They certainly appear to be utilising every recruitment channel they can think of to provide long term growth.

[nod] 25/1/2019 01:08

Good idea. Worth a try.

[cockerhoop] 24/1/2019 11:36

Interesting initiative, free samples of Warhammer Adventure books for Young readers



Five chapters and the kids are hooked for life. #learning from the street!!

[nod] 23/1/2019 21:55

New Zealand is very safe compared to Britain and many countries. We have been losing the war on drugs which are mostly coming in from China nowadays. This leads to a growth in organised crime and drug users are also dangerous. That group of obnoxious tourists hawaly refers to claimed to be Irish but I saw they had purple passports. They were to be deported this week. They ripped off my local restaurants (doing runners and/or refusing to pay) and stole from local shops before heading south, where the Police and Immigration caught up with them.

[hawaly] 23/1/2019 16:22

The advance guard aren't winning too many friends....😂

hxxps://www.newshub.co.nz/home/new-zealand/2019/01/new-zealanders-culturally-insensitive-against-rowdy-tourists-sean-plunket.html

[daijavu] 23/1/2019 14:31

And to think that many Brits are considering New Zealand as a safe place to live after Brexit.

[nod] 23/1/2019 10:23

The post was about GAW having some products made in China.Counterfeiting of GAW products is another issue. In Auckland, where I live, 1 in 4 people are officially Asian, the majority being Chinese with Koreans being the next largest group. However, there are thousands of Chinese visitors who are working but not officially registered, especially in the building trades. Chinese are building half our houses. New Zealand has long had a free trade agreement with China, which means counterfeits flood into New Zealand, from football shirts, to chainsaws, to storm troopers.

[daijavu] 23/1/2019 09:11

Nod.

"It's like discovering that Rolls Royce engines are Made in China."

Unfortunately, the Chinese have their own rules when it comes to competing with products developed and made in other countries.

Whatever is sold to China ends up being copied or counterfeited.

[nod] 22/1/2019 12:17

It seems confusing for a high spec manufacturer that sells itself as being "Made in Britain".It's like discovering that Rolls Royce engines are Made in China.

[cockerhoop] 22/1/2019 12:00

It potentially means expansion could be greater than the doubling of capacity in Nottingham suggests.

Maybe it's a technical reason due to the coloured plastic or size of mould - seemed to be larger coloured items. Maybe it's a temporary resolution while investment occurs in Nottingham.

[nod] 22/1/2019 11:56

What does it mean?
Is it the end of the World as we know it?

[cockerhoop] 22/1/2019 11:52

Pretty sure Nod, it was in a Games Workshop store!!

I went through a few items with the manager, seemed to be items in coloured plastic manufactured in China, designed in UK. Grey plastic figures I looked at were all Nottingham manufactured.

I will ask the question at the Agm.