On The Beach Share Discussion Threads

[halfpenny] 29/5/2024 15:03

May test 140p then off to the races...towards 180p

[wburton619] 29/5/2024 14:49

Airlines are struggling? News to everyone considering how well they have been doing. If anything holidays have been taking off

[halfpenny] 29/5/2024 13:28

May test the lows as Airlines are Struggling.

140p looks a Support level as profit takers move in on recent rally after broker upgrade.

Future brighter as Sun Shines

[zam1] 29/5/2024 13:12

Yes looking good for summer.

[bigbigdave] 29/5/2024 07:07

BERENBERG RAISES ON THE BEACH GROUP TO 'BUY' (HOLD) - PRICE TARGET 180 PENCE

[alotto] 26/5/2024 12:30

Soz wrong board

[alotto] 26/5/2024 12:30

I bought shares in Dell early last year

[hamhamham1] 26/5/2024 12:09

Will look into ecel more but initially looks sound (profitable - better PE than here, no real debt, but only £400k cash EoY?), it's just the sector that concerns me, doors and windows, so many end up in administration (3 biggies in last 12 months?), whilst that's good for lower competition, it looks a hard industry to be in long term? Anyway will have another looky, and what do I know? :) and the share price will no doubt treble if I don't invest, urghhh :)

[simmsc] 25/5/2024 17:11

Hamham ... I weighed up between wix and ecel ... And went for ecel. Ecel is a much higher quality company and it's on a lower pe. Recovery potential stronger i think. (End of off topic). I hold otb too, hence watching this board..

[alotto] 24/5/2024 15:45

Thanks Ham. I'll look into it more :)

[hamhamham1] 24/5/2024 15:32

Which WIX debt do you mean?

Most their debt on the accounts is for location rents/leases?

"Net finance costs
Adjusted net finance costs were £21.8m (2022: £28.5m). The improvement in net finance costs relates primarily to the higher interest income received on our cash deposits, which is an offset to the IFRS16 interest charges due on store leases, which were little changed year-on-year."

### And last few paragraphs in below...

Cash / net debt

Net cash at year end was £97.5m (2022: £99.5m), broadly flat year-on-year. This cash balance is stated after the execution of £10.1m of share buybacks. Average cash across the year was £154.9m (2022: £153.6m).

Operating profit excluding impairment decreased year-on-year, resulting in cash flows from operations decreasing to £177.0m (2022: £189.1m). Cash flows related to working capital movements were £2.6m (2022: £(28.7)m), with the material cash outflow in 2022 driven by a large stock build. The increased interest received of £7.2m (2022: £1.9m) reflected higher prevailing interest rates available for cash on deposit. Cash outflows from financing activities of £150.4m (2022: £141.9m) include £111.7m (2022: £109.7m) related to lease liabilities, £27.4m dividend payments (2022: £31.2m) and £10.1m of share buybacks (2022: nil).

The inventory position of £195.5m (2022: £201.6m) reflects the planned reduction of stock during the year to more normal levels following the stock build in 2022. Stock turn remained healthy at 4.3x.

IFRS16 net debt reduced to £578.3m (2022: £591.8m), reflecting the maturity profile of our leasehold store portfolio. IFRS16 leverage was 3.3x (2022: 2.9x).

[alotto] 24/5/2024 15:16

When does Wix debt come to maturity/refinance?

[hamhamham1] 24/5/2024 14:44

And I have taken a postion in WIX (Wickes plc) today, time will tell :)

[hamhamham1] 24/5/2024 14:39

3% seems a good balanced target.
We not going back to 0.5% but then we not staying at 5.25%.
The low end just caused asset inflation and the high end is unworkable with the amount of state (and peeps mortgage) debt nowadays - post covid.
It still leaves a couple of percent in the tank should the BOE need it for emergencies.

And the IMF do like to poke their noses in and do like to slag off the UK, usually they have to upgrade their doomonger forecasts on the UK. It all gets a bit tedious and almost personal :)

[hamhamham1] 24/5/2024 14:35

Low interest rates put a lot more in consumers pockets, through lower mortgages, etc.

[alotto] 24/5/2024 12:09

The IMF has nothing to say on a sovereign country monetary policies

[davius] 24/5/2024 11:40

"UK interest rates should be cut to 3.5% by the end of next year, the International Monetary Fund (IMF) has recommended. Such a move could see the Bank of England cut its key rate by up to seven times from its current level of 5.25%."

[alotto] 24/5/2024 11:30

Hamham how will low rates help otb, considering OTB has virtually no debt? Lowe rate will reduce interest income.
Lower rates will not even help revitalising consumer spending considering that inflation may come back rampant with low rates. There is no easy way out.
The problem with rates and inflation is set to stay with us for half a decade as a minimum.

[hamhamham1] 24/5/2024 06:27

Central banks interest rate levels will have to halve at least quite rapidly IMO, governments just can't afford over the long term to pay their debts at these levels.

e.g. the US now pays more servicing their debts than their entire annual military budget. (And the US used to spend more on defence than the rest of the top 10 largest spenders put together.)

So it's not just consumers and businesses who need interest rates to drop, it's the governments as well.

[hamhamham1] 23/5/2024 19:53

Thanks, but I rattle on too much.
Finding the shares isn't the problem. Being disciplined sit on them, now that's the oddly tricky bit.
What's that saying, something like... Don't do something, just sit there?

[johndoe23] 23/5/2024 13:58

Interesting points ham

[hamhamham1] 23/5/2024 13:56

Anyway. Back to OTB.
Grrr. But I am happy to hold these, even if they not heading up currently, any slips will recover over time.
GLA.