Scs Share Discussion Threads

[davidosh] 19/11/2020 17:04

It works both ways....there will be some non recoverable costs in lockdown months but then larger sales in the following months and nothing increases sales better than a lockdown with everyone at home wearing out the sofas and carpets etc

I am sure post Christmas SCS will be having months where sales are 50% higher than last year especially across the quarter to March 2021.

[frazboy] 02/11/2020 08:26

So, lockdown. Probable reinstatement of store trading 2nd December in England. Wouldn't want it to go on longer than that as the cash pile will reduce due to the reversal of the negative working capital position.

[frazboy] 30/10/2020 07:58

I guess the current weakness is due to worries over a nationwide lockdown. Semi-variable (not that variable) and fixed costs were £76m last year, or, £6m a month. Sure, there's the online business, and most of it should come back on the other side of any lockdown but it's damaging in context of a modest market cap.

[eggbaconandbubble] 23/10/2020 07:21

I just heard on the news that 'retail sales' in the UK have risen for the fifth month in a row.

[davidosh] 15/10/2020 19:26

I think the reality that peeps are going to spend the whole Winter in their homes means SCS will have lots of big orders.

[mackie] 15/10/2020 15:36

Interesting today. Could we be heading for a reinstated div?

[davidosh] 01/10/2020 12:02

The panel session was very positive. It is available as a recording if you go to the Mello website and register

[eggbaconandbubble] 01/10/2020 10:58

Did the discussion at the Mello meeting come up with anything new?

[frazboy] 30/9/2020 08:35

Market may have been reacting to the slowdown in sales. I think they were 51% up for the first 6 weeks of the new financial year, and then 45% up for the first 9 weeks. So, roughly 35% up for weeks 7,8,9. That's still excellent, but jury is out on whether spending will remain elevated on big ticket household items, or, whether recessionary forces and pent up demand withering, will take their toll. We shall see.

[frazboy] 29/9/2020 07:56

No divi - but perhaps not appropriate with furloughing staff.

[davidosh] 24/9/2020 11:39

Just a reminder that SCS is one of the investments made by Tellworth who will be featured at the Mello Monday investor event on the 28th September...



All investors welcome and if you use the code MMV5 you will get a half price ticket. Great investor content and entertainment for less than a fiver

[tallprawn] 22/9/2020 16:30

Extended WFH guidance issued today should help to keep sales strong here. I'm expecting another retest of recent highs provided the wider market doesn't have any wobbles over the next couple of weeks.

[paulypilot] 18/9/2020 21:44

This still looks cheap to me, because broker forecasts for FY 07/2021 seem far too low. Strong recent Tt Ups suggest EPS more likely to be c..30p. 15-20p divis likely, tons of net cash on balance sheet. Put it on a fwd PER of say 12 (still cheap) and my price target is 360p. Im taking a 2 year view.

[tole] 18/9/2020 20:46

I’ve only got a small holding here myself which I bought in after the most recent trading update. The price never really came back afterwards to allow me to add anymore.

Share price has performed well and the price has now closed the gap on the chart back to 220p from March which was my initial target, albeit it has come round a lot quicker than I thought.

Also got a few in DFS Another which has made a late move today and performed well since its update.

[deadly] 18/9/2020 20:42

Wasn't expecting such a big 11% rise late on such a flat day. Sold a few too early but plenty left.

[robsy2] 18/9/2020 19:20

Changed my mind and sold mine out at 210p this pm. It already looks like i’ve gone a bit early.... Good luck to you all.

[robsy2] 18/9/2020 10:42

Agreed,iIt looks good. I had a price target of 200p, but i think I-ll stick around til we see the interims and take stock then.

[davidosh] 18/9/2020 09:58

I am amazed this board is so quiet as the two most recent updates have been outstandingly positive on trading. Just ten days to the results and hopefully another update to indicate whether sales are settling to a level we can count on going forward?


Here is the last update....

ScS, one of the UK's largest retailers of upholstered furniture and floorings, today issues the following trading update ahead of announcing its preliminary results on 29 September 2020.

As previously reported, post-lockdown trading was very strong both in store and online. Group order intake increased by 92.2% for the period from 24 May to 25 July 2020.

We believe current performance continues to benefit from pent-up demand and an increased investment by UK consumers in their homes. Trading since the start of the new financial year has remained strong, with like-for-like order intake growth of 51% for the six weeks to 5 September 2020. This growth, which is equivalent to GBP19m of additional revenue, has significantly exceeded our expectations and the Board continues to be encouraged by recent trading.

[davidosh] 17/9/2020 12:39

SCS is one of the investments made by Tellworth who will be featured at the Mello Monday event on the 28th September...



All investors welcome

[farrugia] 10/9/2020 12:53

mmmmm very very interesting

[eggbaconandbubble] 10/9/2020 11:36

Bit of a financial lightweight then!!!

More seriously - if they think this is a good punt which they obviously do, I for one am a very relaxed & happy holder for the long term.

[phar lap] 10/9/2020 11:25

Scion Asset Managment is a $315M hedge fund run by Michael Bury.

He was one of the first to spot the potential fallout with the subprime market(Featured in the film The Big Short). Made a reputed $100M personal profit and over $700M for his clients.

According to wikipedia he started out as a value investor in the style of Benjamin Graham.

[eggbaconandbubble] 10/9/2020 07:34

Encouraging RNS - Scion Asset Management are clearly optimistic!

[davidosh] 09/9/2020 11:36

Figures given in the last two RNSs are for 'order intake' up to September and so will not have been delivered or booked as actual sales yet. Delivery times for big ticket items can be up to 12 weeks so the best is yet to come when they convert to actual sales revenues. The interims should be cracking results with revenues potentially up 25% or more.

My only concern is if we get a second full lockdown which prevents deliveries but so much more can be done now with safe distancing etc that I doubt we will have more than local lockdowns and limits on socialising rather than business interruption.

[essentialinvestor] 08/9/2020 11:53

Available at 1.52 on the offer yesterday morning.