Supercart Plc Share Discussion Threads

[the prophet] 28/7/2009 15:15

-nicely thought out comments.....not!

-seeing as SC. have just announced a contract for $1.85m, deliverable this year, it suggests that there is money in this business!

[mr hangman] 28/7/2009 15:13

Supermarket trolleys, Looks a load of junk to me, anyone who buys this must be off theirs

[knowing] 28/7/2009 15:01

Agree there. Good luck.

[knowing] 28/7/2009 14:34

So which one of you lot is the ramper spamming over the threads?

[the prophet] 28/7/2009 14:21

Andrew James, hi there, I'm a relative new-comer to this one, do you know if there are any brokers notes or forecasts knocking about? It does look as if the US is going to be the real driver going forwards here.

[the prophet] 28/7/2009 14:20

-can now see the announcement on advfn now.....

[andrew james] 28/7/2009 14:17

Nice buys starting to roll in, the AGM should be finished by now as well so would have expected the AGM Statement today as well.

All looks to be coming together nicely for the future after a few disappointing years.

[rbcrbc] 27/7/2009 16:27

AGM Tuesday 28th July:-

Is anybody else planning to be there ?
Any questions anyone wants asked ?

[andrew james] 27/7/2009 15:24

AGM Tuesday 28th July:-

If the news is good, which I can't see any reason why not considering that all they have been working up to for the last few years has finally happened within the last 6 months then we should see a nice rise starting tomorrow.

[andrew james] 20/7/2009 08:47

Nice buys this morning ahead of next weeks Annual General Meeting, I wonder what other news they may announce!

[hyper al] 16/7/2009 07:59

Good morning all.

[hyper al] 15/7/2009 08:18

Good morning all.

[rbcrbc] 14/7/2009 16:04

I just posted this on TMF:



www.supercartplc.com is my 2009 share comp pick after I closed my short on FRR.

I did do a couple of ramping posts earlier when the share price was 4.5-6.5p :


But as the share price has now 3-bagged to 16.5-18p I thought I should try a proper write-up as I see every reason why it will multi-bag from here within 12-months.

I will try and keep this short initially and follow up later any questions/comments as I personally find that with long write ups I sometimes miss the point and get bored.

Q. So what do they do ?
A. They make and sell plastic supermarket trolleys and baskets.

Q. Where ?
A. If you had asked 4 months ago, the answer would have been South Africa and trying to break into the US and European markets.

Q. What is the size/shape of the South African Business ?
A.

In South Africa, aided by the launch of new products to the market, unit sales increased by more than 30% in 2008 over the previous year and gross profits showed an increase of 33%.

For the year ended 31 December 2008, Supercart generated turnover of £4,809,000 (2007 - £3,342,000) an increase of 44%. The strong increases in world oil prices in 2008 impacted our raw material prices and resulted in a reduction in our gross profit margin to 17.9% (2007 – 19.2%).

Operating expenses increased by 37% during the period due to the increase in staffing costs. The loss after tax is £1,207,000 (2007: £929,000). The loss per shares was 2.76p (2007 loss of 2.59p).

We sell to every major retailer in this market and this has helped us in the development of new trolley and hand basket concepts. Our share of the market in South Africa for all trolley types is now in excess of 60%.

Q. Substantial Shareholdings ?
A. As at end May 2009
Venture Holdings B.V ...............18,025,000 37.16%
Michael Castledine-Wolfe............ 7,525,000 15.51%
Philip Richards .....................7,342,500 15.13%
RAB Special Situations Fund Limited .4,240,000 8.76%
Richard Katz ........................2,624,500 5.51%

Q. The future ?
A. In the USA – In March what was essentially the acquisition of the largest trolley manufacturer in the USA for peanuts was announced.

In the last quarter of 2008 we became aware of the financial difficulties of one of our principal competitors, Rehrig International Corp. (Rehrig), who had previously been the largest manufacturer of plastic/metal hybrid trolleys in the USA. Following Rehrig's liquidation in December 2008 we were successful in acquiring certain of the mould tools, assets and business of Rehrig at an extremely advantageous price from the liquidators.

This was announced to the market on 20 March 2009.

We also recruited two senior sales managers and the senior production manager from Rehrig and this has allowed us swiftly to move the moulds from the Rehrig factory in Richmond, Virginia to our manufacturer's new facility in Detroit, Michigan and to maintain the all important contact with the Rehrig customers.

In our announcement of 20 March 2009, we estimated that it would take us until July before we could start manufacture from these moulds. I am pleased to report that we have started selling product 6 weeks earlier than we estimated and we announced this significant first order from a national retail chain on 26 May 2009.

We estimate that there may be somewhere in the region of 10 million Rehrig trolleys currently in use. The annual renewal orders for existing trolleys can be anywhere up to 20%. We therefore believe that the acquisition of these moulds and the legacy sales and retail customers that come with this purchase should
take us into a significant position in this crucial retail market.


A2. In Europe – Things are a little slower, but a major contract has been won.

European retailers have been impacted as severely as anywhere else in the world by the economic slowdown and this has resulted in a delay to decisions being made through 2008 and into 2009. Nevertheless we are in discussion with every major retailer in UK and continental Europe and progress has continued to be made with many of them. On 13 May 2009, we announced our first large order from a major Western European retailer and we are hopeful we will be able to announce further positive news later in the year.

Q. Financial situation ?
A. There was a placing announced on 26th June and passed yesterday, which should be the last, but that is a good question for The Company's Annual General Meeting will be held at 11.00 a.m. on Tuesday 28 July 2009 at the Company's offices 3 The Mews, 16 Hollybush Lane, Sevenoaks, Kent TN13 3TH.

It is difficult to separate out the South African business from the primarily investment focussed business in the rest of the world but my amateur reading of the accounts leads me to believe the underlying business I profitable.

Q. How big is the US and European Market relative to the South African market ?
I cant find any data on that but based on population:

South Africa – 47m
USA – 307m
Europe – 729m

There is enormous scope for growth and the acquisition of Rehrig has assured a great start to the process.

Details of the placing approved yesterday can be found here:


We now have 63.5m shares in issue giving a mkt cap of £11m.

[rbcrbc] 14/7/2009 14:50

My 30k is still the biggest buy today ;-)

[hyper al] 14/7/2009 14:35

nice 25k buys

[hyper al] 14/7/2009 13:39

Andrew James

agree.

[andrew james] 14/7/2009 13:33

If you check my other posts you will see that they now have a global market, they picked up a top 6 European Grocer (who are in the top 15 World Wide), they have the 2 Rehig Sales Staff and have already received orders, so have America covered and South Africa continues to grab a bigger market share.

They also have many trials on going through Europe and the UK, all the information is above is public, anyone who is interested just read all the RNS releases, doesn't take much working out where this company will be in a year.

[hyper al] 14/7/2009 12:48

I think SC got a bargain!

Rehrig acquisition is a very good move

I'm in.

[rbcrbc] 14/7/2009 12:34

What is driving this is the Rehrig acquisition that could easilly see turnover multiplied 10 fold (my guess). Combined with MMs keeping very little stock. The underlying SA business looks solid, the only way is up.

[8trade] 14/7/2009 12:12

Breaking into new highs, didnt think that would happen after that
placing at 10p but this is the kind of stock where stock placed for
fund-raising will stay in the hands of those who supported the company
rather than be dumped for a small profit and create a overhang in a stock
that sees very little volume.

I would imagine they were promised another contract soon to get the funds.