Nichols Share Discussion Threads

[essentialinvestor] 03/3/2021 22:43

They will ultimately need to change packaging.

Are they making any inroads in to recycled plastic bottles?.


Multiple BOD members appear to hold very few shares - that's being polite.

[disneydonald] 03/3/2021 21:39

Yeah, as expected steady as you go apart from OoH. As we emerge from lockdown OoH will recover and I would expect that that recovery will have legs as the UK gets out and about (staycation, day trips for children, theme park visits etc.). Could well be a good year, as long as no more lockdowns.

I sometimes wonder if management are briefed / guided by the dominant family shareholders to just focus on a steady and increasing dividend payment, and not to get too ambitious. If you stand back and look at the global penetration of Vimto, albeit a small footprint in many nations, maybe a dose of ambition would turbo charge future prospects.

For example the US market is potentially huge, with a large Middle Eastern and African diaspora to target, I would have thought there was a solid opportunity to go for growth. Of course you need a US distributor who is prepared to get the bit between his teeth. Think of the similarity to Coke, similar heritage and original temperance beginnings. I have personally come across Vimto in an upmarket specialist food store in Houston, totally different branding and Arabic labelling.

Maybe we need Private Equity, or a global drinks business to get a hold of them. Of course, we might get squeezed out and all the potential goes to an acquirer. That would only happen if the Nichols family chose to acquiesce , as they hold ~35% of the outstanding shares.

[energeticbacker] 03/3/2021 14:51

This was a really challenging year for what had been such a steady performer for many years. While the Vimto brand remains a great asset with significant growth potential in overseas markets, other parts of the business appear to need a re-think. Thankfully, with plenty of cash in reserve they are well-placed to rise gain.

More on the Investor's Champion website.

[philanderer] 03/3/2021 14:36

Current temporary 5% rate of VAT on food and soft drinks, hotel accommodation and leisure attractions will be extended until September 30

[deanowls] 03/3/2021 13:47

I was hoping for a bigger drop. Tightly held and big spread. Will correct itself over the next 18 months.

[philanderer] 03/3/2021 12:53

Ghost town , just 6k traded shares printed

[philanderer] 03/3/2021 09:59

'Nuff said

"... Out of Home (OoH) significantly impacted by the pandemic with revenues down 61.4% and fixed costs weighing heavily on overall financial performance"


...the final dividend proposed is 8.8p, which will become ex-dividend on the 25 March and paid subject to shareholder approval on 6 May 2021.

[philanderer] 03/3/2021 01:07

Results this morning.

Shareprice reaction will all be down to OoH performance and dividend payment I would have thought.

[philanderer] 01/3/2021 11:02

Morning dD , tumbleweed blowing along here.

Thanks for your thoughts :-)

[disneydonald] 28/2/2021 16:17

Seems a lonely BB. I have held NICL for 20+ years, although the last few years they have lost their way a little. Growth slowing, and "fragmented" approach to building the OoH business. IMHO, the OoH business has yet to prove its worth, its ties up capital, leads to regular write downs of goodwill, and it is not clear to me whether they are primarily acquiring brands for development, or acquiring brands to access their infrastructure and operations for the wider Vimto distribution channel. Either way, I would like management to publish their mid term strategy so we have a little more clarity.

OoH is dragging down the return on capital from the main Vimto brand and royalty business. Any other thoughts on the subject appreciated.

Finally, when watching share buys and sells in recent months it does seem that there is a persistent seller, although it is hard to confirm for sure as most sales are off book.

Finally, finally, interesting to note that both previous CFO and CEO have moved on in 2020, and another family member has taken a non exec role. Maybe the family are concerned at their consistently declining wealth over the last few years. Also interesting to note James pledged around £7M of his shares to the bank (which will likely be assessed at around 70% collateral), meaning he has borrowed around £4.75 / £5M cash. That seems to have been done at around £12.5 per share, so James will have had to meet his margin calls with cash top ups as the share price declined since to below £11. Wonder if he has been selling some shares to get the cash, although no RNS declarations issued.

[philanderer] 26/2/2021 16:18

Bought a few at 10.95

[philanderer] 23/2/2021 13:25

Industry alliance hoping to run Scotland’s deposit return scheme revealed


If approved by the Scottish government, the company will collaborate with the entire supply chain to eventually collect more than 90% of drinks containers in Scotland

The companies and trade associations that initially comprise Circularity Scotland are:

Producers

A.G. Barr plc, AB InBev UK Limited, Accolade Wines Limited, Asahi UK Ltd, Britvic Soft Drinks Limited, Coca-Cola European Partners Great Britain Limited, Danone Waters UK & Ireland, Heineken UK Limited, Highland Spring Ltd, Lucozade Ribena Suntory Ltd, Nestlé Waters UK, Refresco Beverages UK Limited and Tennent Caledonian Breweries UK Limited.

[philanderer] 10/2/2021 15:28

2 litre bottle of cordial on offer at Sainsbury's today for £2.00 :-)

[philanderer] 01/2/2021 14:19

Pack overhaul for Vimto range

NICHOLS PLC has given its Vimto range a facelift, with new packaging rolling out across its entire portfolio.

The new design is available now and includes a new Vimto logo which flags the brand’s heritage with a ‘since 1908’ flash.

Becky Unwin, senior brand manager for Vimto, said: “We have worked hard to create a new visual identity for such an iconic and well-loved brand.

“We are confident that we’ve created something that not only speaks to our target market but also celebrates and communicates Vimto’s personality. As one of the leaders in healthy hydration, the new modern design stands out on shelf and enables us to highlight more of our product benefits, such as real fruit ingredients and added vitamins – all helping consumers to navigate the options available and make Vimto the obvious choice.”

[philanderer] 22/1/2021 12:22

HSBC RAISES NICHOLS PRICE TARGET TO 1,550 (1,500) PENCE - 'BUY'

[philanderer] 19/1/2021 14:10

'Nichols relaunches Feel Good Drinks'

[philanderer] 19/1/2021 13:54

As pointed out and following on from last weeks trading update, Iceland's shelves were cleared out of Vimto cordial this morning.

[philanderer] 18/1/2021 19:22

Detailed analysis of prospects from earlier this month

'Can Nichols bounce back?'

[deanowls] 20/11/2020 13:15

It’s a one off year. I’d love a steep drop down.

[energeticbacker] 20/11/2020 12:22

Management currently expects adjusted profit before tax for the year ending December 2020 to be between £11m and £13m, a whopping 66% decline on the prior year.

According to Investor's Champion the emphasis on ‘adjusted̵7; suggests the reported number will be even worse.

[philanderer] 19/11/2020 14:14

Vimto-maker Nichols reveals jobs at-risk as pandemic hits revenues

[3800] 31/10/2020 12:37

Yesterdays 20% price increase was rather out of character too for a company which is usually very boring.

[disneydonald] 30/10/2020 23:26

Well, I’ve been watching the trades over the last couple of months. Seems someone has been reducing, however last week more activity albeit with lots of small trades, which is unusual. Lots of “off book” trades also caught the eye.

Maybe they will now build towards next trading statement, expected early January.