Scs Upholstery Share Discussion Threads

[latestarter] 04/1/2008 12:14

ouch if you held

[cockneyrebel] 04/1/2008 10:49

Bet you wish you'd bought WAGN @ 29p when you were knocking it Frauddy, rather than this sack of cak.



CR

[ydderf] 04/1/2008 07:19

tanners - you suggested manipulation of credits and debtors to generate cash in an earlier post, as far as I can see any imrpovement here is due to the improved logistical systems being put in place, your view is suspiciously apocalytic, do you have an axe to grnd? the ceo recently spent £500,000 on shares, do you think he is mad?

crookney - tried to buy more yesterday, but the best bid I put on rhw board was quickly capped by a competitor bidder - draw your own conclusions, I have!

[tanners] 03/1/2008 15:53

Freddy - if you glanced more just occasionally you probably wouldn't have bought it in the first place.

The management ackknowledged that the market place is extremely tough at present, so instead of being prudent with their cash, they decide to carry on opening new stores and mainatin a dividend that is in excess of post tax profits!

It's a red herring when they keep spouting on about the strong balance sheet.......this comprises solely of property, fixtures and fittings, now we know they don't own anything much in the way of property so I would guess taht the majority of it is F & F, which is usually worth SFA to anyone but the Company itself.

Hardly an inspiring bunch this lot!

[philjeans] 03/1/2008 14:11

Falling away again - no support at all - the Dixons group profit warning hurting most retailers too.

Stand well back from this for a while.

[ydderf] 31/12/2007 08:41

the share price will go nowhere until L and G get rid of their holding...as to LGD - no, just a loss in a year which ended in overall profit - SUY is an INVESTMENT crookney, i.e you buy a wad of the shares and carry on with your life (if you have one outside of footsballs), glancing occasionally over the next 3 years or so at the share price until it reaches your target of a fiver, whereupon you sell and buy a house in the Cote with the profits........

[cockneyrebel] 28/12/2007 17:33

yep, chart failed to bounce - reckon this one has distemper Frauddy - buy a gun and shoot it imo :-)

If it looks like a dog, smells like a dog and barks like a dog you know what it probably is!

Tell me Frauddy - was LGD a 'life changing' investment?

CR

[8trader] 28/12/2007 14:28

Philjeans.

So will that rule apply to your holding in Amu then ?

[typo56] 28/12/2007 14:14

I wouldn't take it too seriously CR. It's normal for people to buy dogs at Christmas. The novelty will wear off when they realise the amount of attention they need.

[cockneyrebel] 28/12/2007 12:52

Well the chart looks like it's moving in your favour Frauddy.

I'm currently out but tempted to have a longer term trade if this tick up a couple of pence.

CR

[typo56] 28/12/2007 11:30

Freddy, it's an interesting concept that depreciation is real cash flow. No store refurbishment costs to consider?

About £5.2m of the net cash inflows for the 10 months to 28 July 2007 were due to decreased inventories, trade and other receivables, and an increase in trade and other payables. Are you also expecting to also rely on these to help cover the divi?

[dcomd99] 28/12/2007 09:40

Traditionally, cyclicals make excellent profits in the good times, and losses when it really gets nasty. So far, we have only reached the stage where people think it could get nasty. So we have a few more stages yet:

We know it will get nasty
It is nasty, and empty shops/offices are everywhere
It's still nasty, but the brave start buying

If SUY survive to stage three, it will probably be a bargain. I suspect we could be 2 years away from stage 3.

[philjeans] 28/12/2007 09:28

They are extremely cheap.......................for an extremely good reason.

[ydderf] 28/12/2007 07:24

the business model has been around for a number or years now, and is proven, the record of the last few years as a plc is available to show that even at much lower levels of sales, the business was cash generative and profitable. leasehold property is valued at market value, try telling a leaseholder in Oxford Street that his lease is a liability, or Tesco etc many leases can be sold at premia, but the real point seems to be that you are suggesting that the company's auditors are colluding with an overvaluation of the property assets? Why should the dividend be cut, the ceo has a modest salary, less in the last accounts than the previous year, whereas his dividend income will be in 6 figures, he recently bought a further 500,000 shares, why would he if what you suggest is likely? Cash is cash, deposits paid are simply part of future sales, not really debtors........etc etc - better to sell of course, if you think it more likely to go bust than be a five bagger over the next few years.......take a look at the chart and history and think again if i were you though!

[arthur_lame_stocks] 27/12/2007 18:38

The property is all leasehold freddy. More of a liability than an asset when it comes down to it.

Their problem is that sales are falling and like for like are collapsing. The business is so highly operationally geared that i'm willing to bet that if the comparitives are bad accross the whole year then they will lose a shed load of cash.

The 12 million in cash is not net cash, net current assets were only a couple of million.

The dividend will probably be cut, maybe altogether imo.

Their critical trading period is coming up. I think probably it's worth avoiding these at least until they've given an indication of how that's gone, I can't see them having a good year whatever.

I think these will go broke personally.

[ydderf] 27/12/2007 08:18

some facts:

The annual dividend costs 6.5 million, of this 4 million is covered by the cash flow from the annual depreciation charge,

Market capitalisation is 32 million but property is valued at 29 million in the balance sheet, and there was 12 million cash according to last trading statement, and of course there is no debt.

From a cash viewpoint, the dividend could be held even if profits dropped 80% -the current yield is 20%.

All imho naturally.........

[cockneyrebel] 22/12/2007 20:17

Frauddy? Remember me buying 1% of HRN from 150p-250p? Sold at a tenner when you sold @ 250p. That was pretty rewarding as was the 300% and 100% I took out of CFE in no time while you skimmed CFE for next to nowt.

No, I don't have a day job, I do this for a living. And if truth be known you are the trader - you just stay a bit more 'Koi':-) about it than I do.

Remind me about the life changing investment you made in L.Gardner.

CR

[warrenc] 22/12/2007 18:57

Totally agree with you Kirkthrust . I've worked in furniture retail for many years , to many !!!! SCS have lost it big time . There website is dull and products are still expensive even after the double discounts . The lost leaders advertised on tv are only available as single items , ie - red leather sofa £395 is fantastic price but you cannot buy matching chairs or 2 seater . So this is just advertised to pull people in and then they are switch sold onto a higher price product . Retail dosen't work like that . Customers want more and more for there money these days , higher quality products for less . They need to be competitive to survive . Also spending £4,000,000 refitting stores is shear madness . They won't survive if they have a poor January simple as that . A simple test is compare scs prices to dfs on there websites .

[kirkthrust] 22/12/2007 18:26

nice thought zakzoe....it is that or they have completely lost track of economic reality and are spending when they should be stuffing cash under the mattress...i cannot wait for the profit warning in early jan

[zakzoe] 22/12/2007 16:55

SCS must be on the way up as they have spent £4,000,000 refurbishing 4 stores at Stevenage-Milton Keynes-Beckton- Manchester--These stores all reopen on Boxing Day

[kirkthrust] 21/12/2007 18:43

carpetright bid collapse a triumph for common sense and will smack these retailers come monday ...SCS and land of leather.....in years to come they will be spoken in the same breath as Athena and Sock Shop

[ydderf] 21/12/2007 17:36

crookney had been around a few years now - and has proven to be quite a good instinctive trader, his other interests are coypu carp (they live in his pond in Alyesbury) and footballs, sad thing is, he never seems to make any life changing killings, possibly because he doesn't have enough bottle to go large, so he continues to languish living the same rather melancholy life.....let's hope he puts a big enough wad on SCS to buy himself a drum in the south of france or somewhere......I believe he has a day job still - therefore poor in time.......i feel a lump coming to my throat, better stop now before i cry.....