Innovaderma Share Discussion Threads

[boonboon] 25/2/2020 18:55

Why do you think that 123? That would be a p/e of around 2

[kenmitch] 25/2/2020 18:04

As posted the other day, the packaging is awful. Pastel colours for key reduce hair loss heading AND hidden away on bottom shelf too.

[tallprawn] 25/2/2020 17:32

Suggest you do a bit more research first and read the balance sheet properly, take a look at the directors renumeration and understand the different products. You'll find all of your answers. Frustrating day but I can assure you it's nothing to do with the BOD taking money out of the company.

[boonboon] 25/2/2020 17:03

They are profit making just not in the first half due to seasonality and investment in future growth.

[boonboon] 25/2/2020 17:02

I think you're the one who doesn't get it.What public money are they using?What money are they taking out? Director renumeration is very reasonable compared to other companies. Their main incentive is their options which won't be worth much till the price is 150p.They make a profit at year end. They generally run at a loss in the first half due to the seasonality of the business.This year they spent £500k on a brand that will provide returns in the coming months and years. It's called investing in future growth.They could easily just focus on SkinnyTan and make more money in the short term, but I as an investor, want to see future growth.Yes there have been disappointments with IDP. Roots being one of them, but if I look at what they're actually achieving overall I'm happy.800 additional Boots stores and 718 tesco stores seems to be getting lost in the rest of the results. In the end I think value will out.

[boonboon] 25/2/2020 16:39

They spent at least £500k on the new brand without any return(so far) so without that they would have been in profit.

[solarsurfer] 25/2/2020 16:37

So........
After all the hipe since xmas, this is the result, after posting a 6 months bulletin

Turnover increased by about 25%
Gross Profit increased by almost 50%

Good numbers, BUT it seems someone has been spending the profits, cus Net profit is AGAIN a loss ! Not good news for investors ! No wonder people are selling shares !

[boonboon] 25/2/2020 14:46

And I wonder why superdrug are matching marketing spend £ for £.

[boonboon] 25/2/2020 14:45

Luckily we are cash flow positive and I doubt you'd be able to get a product listed in 800 superdrug stores.

[anony mous] 25/2/2020 14:35

I doubt it will be HC overhang.That would have cleared ages ago.Looks like a seller clearing and should be done shortly.Another rns in holdings soon probably.I really have no idea on what will move this up especially with such positive updates.

[pugugly] 25/2/2020 14:28

Virtually any fool can get a brand listed in any outlet provided they pay enough for listing and shelf space - some even have to offer S or R but the critical factor is ultimate consumer repurchase at list rather than at a discounted price; otherwise the manufacturer will never become cash flow positive and go bust or (if thre is any intrinsic value in the products) be taken out by a vulture.

Price action suggests to me that Mr Market is uncertain that success will be achieved .

[matt] 25/2/2020 13:36

I was never impressed with Roots packaging vs the price. Looks too much like an anti-dandruff brand in the white.

Can see it being sold in Asda, ebay and Amazon with a quick google.

[mad foetus] 25/2/2020 13:29

Well, I was clearly wrong buying in earlier but I see a lot of upside from here. Nuthing looks good, Roots is disappointing but overall there are a lot of potential upside catalysts. I wish they'd get rid of the head helmet and prolong though, and focus on cosmetics

[connor23] 25/2/2020 13:16

Have to question why they uplifted from 15.3m to 15.7m earlier in the year as well... Despite my frustrations I think the £14.7m is prob where I would place the bottom of my FY range so it's not crazy. The Prolong overseas revenue feels like a binary event on receiving the necessary approvals. This should happen, but if it didn't, and the other products only grew revenues marginally, then that is where we would likely end up.My higher end is closer to the original target so plenty of scope to beat this revised target for sure.

[boonboon] 25/2/2020 11:46

Sounds sensible, but doesn't help that they've had to downgrade to do this. I agree it's conservative. They've taken a hit on Roots perhaps understandably so. However they're not upgrading skinny tan despite it's outperformance in the first half and the additional retail listings.

[matt] 25/2/2020 11:43

Having a range of brands spreads the risk like having a range of investments. Not all will excel but those that do should cover the others.

[mad foetus] 25/2/2020 11:24

Hotel quarantined in Tenerife. That's got to give a boost to the fake tan market

[mad foetus] 25/2/2020 11:07

FWIW I aside they have asked brokers to downplay prospects so they can get into a cycle of beaten expectations

[boonboon] 25/2/2020 10:35

I expect even if people don't reorder they'll have a minimal value if we're allowed to contact them for new brand launches.

[boonboon] 25/2/2020 10:34

Not many other places have the level of dtc business we do. They're capitalised at under £4 per customer which I don't think is too high. Repeat business is between 25% and 45%. With the highest numbers in the UK which is also the largest customer database.

[deanowls] 25/2/2020 10:22

It’s how much they are spending to get that shelf space and for me the intangible assets accounting. How do we know if customers without follow up orders are being wrote down, after all they say 47 % reorder so the people that stop ordering are then wrote off?

If anyone goes tonight I would love more detail on this as it’s a practice I don’t particularly like. I don’t see this happening anywhere else.

[jonny_five111] 25/2/2020 09:47

And also SkinnyTan being stocked in 700+ Tesco is big news.