Purplebricks Share Discussion Threads

[hillofwad] 04/10/2016 09:12

Prewar It is isnt it! Proof is in the pudding Septembers instruction still below target for hitting aprofit

[prewar] 04/10/2016 08:46

The share price manages to hold it's level despite those .0001% of iffy reviews that Hill trawls through to find! Staggering!

[larva] 30/9/2016 06:43

Woodford and Barnett take £200m hit on Capita crash
Star fund managers see Capita stakes lose quarter of their value as outsourcing group issues shock profit warning.

[hillofwad] 29/9/2016 05:19

hxxps://uk.trustpilot.com/users/57ea99960000ff000a4839d6

Read this review .They have been particuarly silent on the turnover of experts .One very concerning fact emanting from this articuate review is that some of their experts have feet in more than one camp

[the prudent student] 26/9/2016 11:05

Wasn't at AGM so not sure what the answer was but their 77% Sales conversion figure at FY Results doesn't make much sense to me. This is sold/instructions in period. But the sales can also come from prior period Available for sale (Afs est 2,668) therefore their sales conversion would drop to 68%. However, if you remove the instructions that are still Afs at the end of the period then their Sales conversion would jump to 95%. A 95% sales conversion is unheard of in the industry and makes no sense.

Sold = 77% x 20,649 instructions = 15899
15899/ (20649+ Afs @ Start 2668 (my est))= 68%
15899/ (20649+2668-Afs @ End 6568 (my est))= 95%

[johndee] 25/9/2016 19:00

Purple Bricks work much harder selling properties than most other agents.

[bamboo2] 25/9/2016 12:09

............total/inc sold
27 June 2016 7869/14089
27 July 2016 8747/15612
Balances..... 878/ 1523

07 July 2016 8206/14796
06 Aug. 2016 8918/15843
balances..... 712/ 1047

Post brexit figs to today

10 July 16 8300/14924
13 Aug. 16 9057/16129
balances... 757/ 1205

28 Aug. 16 9259/16561
06 Sept 16 9456/16961
12 Sept 16 9722/17307
25 Sept 16 9830/17801

[hillofwad] 16/9/2016 11:22

Oxon The Jeffries analyst at the AGM challenged Bruce on actual figures sold which he refusd to answer apart from saying they are selling more properties. The Hardman report came out with a very interesting telling point that bricks business model is not contingent on selling but taking instructions.Perhaps we can accept why Bruce was less forthcoming as joe public wont be very happy unless the conversion rate is high and the real message is probably Thanks for your the money lets hope the house sells itself

They have been an excellent disrupter their future profits forecast only work if they arent challenged .The gauntlet has been thrown and no doubt major cahllenges will take place Certainly going to be an interesting time Lets hope we back the winner

[the oxford whale] 16/9/2016 10:55

We can argue until we are blue in the face about the various figures. However what doesn't lie is the share price Despite this supposedly incredibly "bullish" trading statement and AGM the share price is now dropping. Would be interesting if anyone could reveal what was actually said at the AGM - one would hope they gave a bit more info than what was in the trading statement, which seems to be devoid of quite a lot of information imo.

[hillofwad] 16/9/2016 07:20

Bricks yesterday at the AGM laid down the challenge to the industry announcing that it plans to take a 10% share of the market here and in Oz . Bricks at shareholders expense have proved the hybrid formula works . Savills and ,Countrywide in a limited way have responded isen to the challenge. The bigger beasts about to stir.Exciting times ahead Who is going to be the Daddy?

[hillofwad] 16/9/2016 06:49

hxxp://www.propertyindustryeye.com/hybrid-agent-yopa-gets-set-to-launch-new-advertising-campaign/

Competition is hotting up. Savills now there,s a class act

[hillofwad] 16/9/2016 06:35

Nicky . What an extraordinary statement . A pitiful 332 instructions a success thats almost 1 each for their LPE."The majority of landlords dont live in proeprties" You are bang on the money -very difficult. You have just identified one of the main carved in stone obstacles why bricks are going to struggle with the lettings side and therefore unlikely to increase the number of instructions and turn a profit. This can only be remedied by buying out one of the main players who offer a more hands on heavily managed service .This his in turn will chew into their £28m cash precipitating a cash call which will dilute the share price .Coupled with the fact that their fees are similar to the High Street unlike the Sales side this has been very ill conceived

[nickg2] 15/9/2016 20:53

"Do you really think 332 letting instructions after 12 months full on is a success?"Yes. Have you any idea how difficult it is to obtain a lettings instruction? It's not like a sales instruction. The majority of landlords don't live in the properties they're renting!

[hillofwad] 15/9/2016 14:35

I feel a bit like whack a mole on here!!!The lone protesteth too much!!

[hillofwad] 15/9/2016 14:31

Prewar Instructions in August a blip!!! One swallow doesnt make a summer the average number for May ,June and July were no more than April They choose not to be transparent knowing that the monthly figures paint a different picture!!

[hillofwad] 15/9/2016 14:20

Prewar Get it on but Purplebricks more like a Black Swan that a White one Dont forget dinosaurs can become lions Do you really think the whole of the agency world are going to sit back and lose all their custom to a couple of chancers from Birmingham . Hybrid is definitely here to stay and a place for Bricks They hold no monopoly. If history has taught us nothing else its not normally the first major disruper who will claim the prize.Rightmove must be watching Bricks with interest If they decided to make their move into this area it will reduce purple to a pile of bricks

[larva] 15/9/2016 13:47

It costs £1000 advertising to collect £200 of fee income
Suggests going broke soon

Larva

[the prudent student] 15/9/2016 13:45

hill, I am not sure 300 agents qualifies as blanket coverage and that incremental LPEs are marginal. NB Connels >1500 and Countrywide >2300 agents. I wouldn't consider London to be marginal. Their website is not working so I cannot see For Sale available in London but RMV say they have 25 agents (8% of total ) within 20 miles of W1 yet when I look at their properties they are all outside London. London accounts for 14% of UK transactions and has the greatest incentive to pay less in EA fees given the 2x House Prices. Also the hardest to recruit given the cushy life selling <2 properties pcm @ 1.5%. Bottom line- they are underweight London possibly by much more than RMV agent count suggests. London fees are also £300 higher giving a nice little bump to the avg.fee.

[prewar] 15/9/2016 12:48

Hill - keep clutching at straws, instructions for August (normally a quiet month) over 3,150, I thought they had plateaued?

Got a feeling you are a reincarnation of a T-rex - "I know it's getting cold here and that wall of ice seems to be approaching us but it'll never reach us!"

PB here to stay, eating up mkt share from the dinosaurs on the High Street, the only real risk is now Hills well known "Second mover advantage" and Rightmove "flicking a few switches" overnight - PMSL.

[hillofwad] 15/9/2016 12:21

The areas they are now seeking to fill with experts are more likely to be marginal. Maybe an extreme example but they are recruiting in Porthmadog in N Wales and to the west of to Abersoch alrge rural area OTE £45k They currently have 38 instructions within 20 miles of Porthmadog ome of which to the east will be someone elses patch will a new appointee substantially increase instructions to 120 per annum?They would be doing well to double it?

[the prudent student] 15/9/2016 11:41

They have added LPEs at 20 pcm since April. With 7 months left they would get to 440 vs their target of 360. They gave Apr and Aug instructions and from the charts in the FY pres and the +20pcm I can estimate they were at an avg of 275 LPE in August. Therefore instructions per LPE are 11.5 pcm in Aug vs 14.3 in April of -20%. However, this is only -6% vs H116 and flat vs H216. Lets say they get to 360 LPEs by SApril then avg H2 is 340. At 11.5 per LPE = 23.5k in H2- bang on target ( i reckon they are doing 18.5k in H1). If they keep hiring and beat the LPE target they will do better than the 23.5k in H2.