Innovaderma Share Discussion Threads

[dave4545] 06/12/2019 10:09

Always good when glass tips a stock it always causes a price to mini spike.

The trick is to sell it before he announces he has sold, I rememeber one stock tanking and could not understand why and he had announced he had sold out and loads of his followers did the same, was a brutal day.

But right now it's happy days

[parob] 06/12/2019 10:03

Someone in the Twitter group with L2 mentioned that "FinnCap are now operating without an agenda and it looks to be regular supply/demand driven", so hopefully any overhang is now cleared and this is free to move up.

[parob] 06/12/2019 08:28

Choc range now available DTC:hTTps://www.skinnytan.co.uk/

[doc robinson] 06/12/2019 08:04

Buying already started should be a blue Friday,!

[northwards] 05/12/2019 20:02

Think that was an after close tweet? Could well see some buying 1st thing tomorrow ...

[parob] 05/12/2019 17:13

As some of you may already know this guy has a great track record and almost 4500 followers on twitter:Glasshalfull@Glasshalfull1hTTps://mobile.twitter.com/Glasshalfull1/status/1202634967056076800Added to my newbie position in #IDP following a nice little RSNNON today highlighting the company, "continue to perform well" & experienced a strong Black Friday. M/cap only £8.5m & net cash of £2m. Brokers forecast +47% EPS growth for PER of 6 in FY20... with margins rising

[muzmanoz] 05/12/2019 14:10

Jackson, what do you consider a brand building retail model to be in terms of Innovaderma? It seems to me that there does now seem to be more of a coherent strategy which was lacking before.

[kemche] 05/12/2019 12:33

jackson, Where did you do your MBA? I would ask for my money back lad.

[kaka47] 05/12/2019 11:33

Jackson/ Haris only posts on IDP

[shandypants2] 05/12/2019 11:32

Jackson - a brand building retail model is your aim, as you state.

Ok. ST now in 1,305 Boots stores (so c2,300 stores - up from 800 this time last year).
Roots - in c1,800 stores (c500 I think when it first launched)
C+L - in c580 stores (Aust & NZ) - 46 stores this time last year.

IDP is building its retail model. FACT

Additionally DTC continues to grow and accounts for over 50% of rev. I think this is a massive positive as when IDP had exclusivity with SD this restricted growth and ultimately led to 2018 profit warning when SD reduced stock in retaliation for IDP ending exclusivity. Luckily relationship has been rebuilt since.

Why would they need to raise cash? £2m in bank and just made a record profit.

The last 4 or 5 RNS have showed steady progress under the new CEO and IMHO are all positive.
Come back when H1 numbers are announced in Jan, rather than making unsubstantiated muses now

[bad gateway] 05/12/2019 11:32

Didn't want to be the first to post that muzmanoz but yes totally agree and reading through their RNS's its plainly obvious that retail is a big part of their business and their growth plan going forward which makes the above post quite perplexing imho.

[muzmanoz] 05/12/2019 11:27

Wow, that was a load of drivel.

[jackson750] 05/12/2019 11:18

As you point out, DTC makes profit, and is the strength that the company seems to be building their business model on. It's not a bad business channel - but the exit here is surely an acquisition? In which case, where does the value lie - the brand or the marketing campaigns? The former still has most of its value derived from the latter, which is replicable by a good marketing expert. The lasting value just doesn't exist unfortunately, the opportunity has slipped away because of the short-sighted DTC vision, which should only ever have supplemented a proper brand-building retail model focussed on a good exit.

They will very likely need to raise cash again at some point if there is hope of a significant uplift in value, since that won't come from DTC alone. It's not impossible and I doubt it's ship-jumping time just yet for the staff, but time is running out. DYOR and think carefully about where the £9M of value is here.

[boonboon] 05/12/2019 10:35

Jackson,Maybe you don't understand the business model?The company has made it clear it's strength is their dtc channel, which enables them to drive sales via it's websites, but also allows it to direct sales to retailers. As it is currently doing with the new chocolate SkinnyTan range.We're currently in a retail environment where lots of brands are trying to engage and sell directly to the customers. We are already doing that.Margins on both dtc and retail are similar. Dtc has the advantage that cash is there straight away so it helps working capital. Also it builds up a database that we can use to contact customers directly in the future.

[bad gateway] 05/12/2019 10:31

Wasn't it a nonrns? I din't get notification on the monitor of the news so hoping thats the case and it wasn't an advfn glitch.

[hamidahamida] 05/12/2019 10:22

Jackson750 is Haris Choudry trying to get back for being called a SNAKE

[hamidahamida] 05/12/2019 10:22

Hello bitter HARIS the snaKEor should I say Jackson

[jackson750] 05/12/2019 10:13

Shandy - you're correct, they may not have revenue data; but you must admit an RNS about website sessions over a 4 day period is also odd. The spend needed to achieve the y/y session increase should be known and without that the RNS isn't very material.

Not everyone will agree but the dependence of the current business on in-house paid-for online marketing is a growing distraction from what the company is supposed to be doing. This isn't meant to be an online retailer, or a marketing agency, yet that's become the primary business and revenue channel.

[shandypants2] 05/12/2019 09:48

Jackson - what a strange interpretation of a positive RNS.
Yes revenue would be a better barometer than sessions, however, it is possible that these numbers are not yet available (I think IDP offer 14 day money back guarantee).
IMHO RNS was issued to show H1 progress continues (after 38% rev increase for 1st 4 months) and also to show that repeat custom is increasing - after being criticised for monetising DTC custom list.

H1 finishes in 4 weeks so H1 total revenue and profit will be out probably 2nd week of Jan - so c5 weeks from now.
I would not expect details such as marketing spend to be included in a brief RNS that covers a 4 day period.

IDP is focused on both retail sales and DTC and the latter accounts for over 50% of revenues. Not sure how you perceive this as an issue, especially with pressures on retailers at the moment. Personally I think DTC puts IDP in a much better position than rivals who focus on retail sales only.

Lack of Product development?? We have a new product coming out in Feb 2020, Roots was produced in house and is only c2 years old and recent brand extensions for ST such as Wonder Serum have been a great success.

The new CEO is a safe pair of hands IMHO. If you want to criticise wait for H1 numbers before speculating on marketing spend etc.

[poacher45] 05/12/2019 09:47

Just tell me what is wrong today. They announce sales on there DTC up 42%. 54% of those sales were from returning customers. Anybody would think they had issued a profits warning. The damage done by the previous director will take time to be forgotten but when it is the share price should rise strongly.

[jackson750] 05/12/2019 09:32

No mention of sales, only "sessions", and no mention of the change in marketing spend. Not much point in getting excited about growth in website users if it took twice as much marketing cost to achieve. This business has turned into a small brand-specific retail website with the focus very much on developing online marketing strategy rather than skincare. Where next? They must move the focus away from DTC marketing, quickly, to avoid turning into primarily an agency with a few sidelines in product development. The growth value and takeover potential are fast evapourating for as long as the business model continues in such a confused direction.

[matt] 05/12/2019 09:25

I see this as one of those lulls before the media starts seeing the real story