Supercart Plc Share Discussion Threads

[the drewster] 04/2/2011 13:55

Well, it's probably enough to justify a nice director's bonus. Well done boys.

[masurenguy] 04/2/2011 13:30

"The increase in unit sales was achieved together with a significant improvement in gross margins. As a result the Company will announce an improvement in both revenues and margin retention for the 12 month period compared to the previous year. These results will also include the initial benefits of the cost reduction measures announced at the time of the fund raising. The combined impact of these trading and cost control improvements result in a significant reduction in losses before taxation."

Last year sales were £7.4m, gross margins were 11.5% (the lowest in their history), operating expenses were 38.3% of sales (their highest ever) and losses were £2.2m (their worst ever). If they were not able to improve on that then they might as well have given up and gone home. As it is they acknowledge that they'll make their 7th consecutive loss but their is no indication at what level this might be.

[beeezzz] 04/2/2011 12:38

Bullish statement as usual, increase in sale by 17% which hopefully will reduce losses, something else that would reduce losses is reducing the pay packets of greedy management, we await March results. If the trades today are sells then some share holders have given up the ghost with this one.

[masurenguy] 03/2/2011 09:56

bristol411 - 2 Feb'11 - 523: In joburg on holiday. Every supermarket here uses plastic carts made by Supercart.

They were originally a South African company and that market has traditionally provided the nucleus of their business. So far they have failed to gain any real traction in any other market despite raising capital of almost £11m since they listed on AIM. (See post #504)



Extract from their Final Results in the year ending December 2004.

Supercart has operated profitably in the South African market for almost ten years and continues to be the dominant supplier there; we also ship to retailers in the Middle East from our base in Durban.

Sales in South Africa for 2004 were slightly ahead of the comparable figure for 2003. All of the major retailers in South Africa purchase some or all of their trolley requirements from us. In the latter part of 2004, one of the major retailers made a decision to reverse their previous 'metal trolley' only policy, to a full commitment to Supercart. We are now supplying this group with our standard trolley and in addition working with them to develop a new concept. We hope to see the benefit of this coming through in 2005 and beyond. We continue to enjoy an excellent relationship with our key manufacturer in South Africa, Venture Otto Pty Limited. Our Durban offices are within their manufacturing complex and we benefit from this proximity in the ability to provide rapid feedback and quality control analysis.

[the drewster] 03/2/2011 09:38

But given how well they have been rewarded, Management should have delivered a hugely successfuly multinational company by now. It makes you wonder where their priorities lie, and certainly keeps me from taking a position

[the drewster] 03/2/2011 09:11

bristol411 ... so they have no growth opportunity because they have the market already?

[bristol411] 02/2/2011 21:14

In joburg on holiday. Every supermarket here uses plastic carts made by Supercart.

[beeezzz] 02/2/2011 17:10

urgentclick, I hope it's the zoom up in price, rather than bust, although I don't have many in this company, simply because of it's track record. It may well have a good product, however, it needs some more orders that actually pay, if a Walmart decides that it's going over to RFI Tags this could be a major boost.

Otherwise lets just sit back and enjoy the ride whether up or down which is not far, who knows, it doesn't affect my overall portfolio which is up 187%, just hope they can get out the hole there in.

It's a bit lonely on this site

[urgentclick] 04/1/2011 14:48

The stock market is very buoyant today. If you missed out on some of the big gains, maybe consider a punt on Supercart? Since come summer it should zoom up in price or crash IMO.

[urgentclick] 29/12/2010 15:56

It's been very quiet in the shopping cart isles lately. I just threw some muppets into the basket hoping to make it to the checkout with some cash back!

[urgentclick] 16/12/2010 15:32

Today's news at least let's us know that the company should still be trading next summer.

[beeezzz] 16/12/2010 10:58

I just hope that somebody from the company reads these posts, and brings it to the attention of the Muppet's running this company.

[rkhl] 14/12/2010 16:04

Unfortunately, the Cadbury Report in my opinion requires enforced regulation. At the moment companies rely on the pressure from shareholders to enforce good governance. Without a good Chairman and business knowledgeable NED's a BOD will often do what they perceive they can get away with, human nature, most of us would do the same. In this company for example the rewards are out of line with company performance. Shareholders need to get more pro-active, lobby your MP, attend general meetings, try and get one of your own onto the BOD, in reality we know that most shareholders are in it for short term gain which is why shareholders are not an effective counter balance to the BOD. Corporate Governance is another one to be lumped in with the Dead Bodies Syndrome. Work with the system don't moan about it. Leave companies like this behind if you are an investor and be more ruthless in your stock selection.

[the drewster] 14/12/2010 08:47

But as always, execs will protect themselves with the old "salaries are set by the remuneration committee based on ... blah blah blah".

I do feel for people invested here, since it seems there has been a lack of governance or duty of care.

[masurenguy] 13/12/2010 17:59

Shares hit an all time low of 2.875p today which values the company at £4.27m. That valuation is less than 50% of the funds raised in placings since they debuted on AIM nearly 7 years ago. The highest paid director made £533,000 last year, in spite of a sixth consecutive pretax loss (£2.2m in 2009)- quite incredible really !

[the drewster] 01/12/2010 13:34

And from 2009, the highest paid director recieved £533,000. Quite incredible wouldn't anyone say?

In addition: "During 2009 an exceptional one off bonus of £240,480 was paid to the CEO Mike Wolfe for his success in acquiring the Rehrig business out of administration. It is recorded that Mike Wolfe used this bonus to subscribe for 1,410,000 shares in Supercart at 10p. This is not a recurring bonus and any future bonus remains at the discretion of the remuneration committee.

I'd say with the benefit of hinsight, that would appear to have been a blindingly good deal (for him, not so the shareholders)

[the drewster] 01/12/2010 13:29

From the 2008 report and accounts you can see the highest paid director recieved £312,000 ... up from a measly 212,000 in 2007. I would argue (as would many I would wager) that was slightly out of line with the rewards being received by shareholders while under the boards steer.

[smith99] 24/11/2010 01:22

This is a dog share, just come on my radar but boy do those directors need a good shaking.

[the drewster] 23/11/2010 08:44

And confirm cash position and future cashflow predictions.

Very few will be willing to believe there wont be a further cash call at some point.

[masurenguy] 22/11/2010 14:39

floppyhat - 508: Now all they've gotta do is make more money.

LOL - they have never made a profit in any year since they first listed 6 years ago and have actually posted cumulative losses of £6.4m during that time. Consequently, they first need to be able to eliminate losses before they can even think about making any money at all !

[floppyhat] 22/11/2010 12:21

Positive statement out of the EGM today. They're making more carts than they thought they would for the year. Now all they've gotta do is make more money.

[the drewster] 04/11/2010 10:27

Indeed, not many directors on 5% of their package 7 years ago.

[masurenguy] 04/11/2010 08:59

The Drewster: Have the directors remuneration packages been in line with their achievements

LOL - I don't really know BUT somehow I would very much doubt it !