Supreme Share Discussion Threads

[scubadiverr] 29/11/2023 20:12

Worthy of a quick read...https://theoakbloke.substack.com/p/sup-ple-work?utm_source=profile&utm_medium=reader2

[edmonda] 29/11/2023 12:59

Investor Presentation video recording (Interim Results - Nov 2023)

Link here:

Sandy Chadha (CEO) and Suzanne Smith (CFO) of Supreme plc ran investors through highlights of strong H1 results which included growth in revenue, EBITDA and pre-tax profit. The company upgraded profit guidance for FY24 on the back of a strong start to H2.

Management discussed each business category and highlighted the outstanding performance in Vaping, also touching on proactive measures already being taken in advance of possible legislative action from government. The team also answered investor questions in a wide-ranging Q&A session.

The full video recording is now available, divided into chapters as below:
0:00:31 Vertically integrated platform
0:02:32 Key investment highlights
0:06:08 Financial highlights & Operational summary
0:09:06 Outlook
0:11:20 Vaping
0:12:32 Branded Distribution
0:13:44 Legislation & proactive measures
0:16:02 Wellness & Sports Nutrition
0:17:28 Lighting
0:18:39 Batteries
0:19:46 Financials & Summary
0:25:44 Questions & Answers

[boonboon] 29/11/2023 08:31

This is an extract from the official government consultation."Should you raise the age of sale for vapes year on year too?There is a fundamental difference between vapes and cigarettes. There is no more addictive product that is legally sold in our shops than tobacco – a product that will kill two thirds of its users.Vapes are substantially less harmful than smoking and can be an effective tool in supporting smoking cessation. Vaping is already estimated to contribute to an extra 50,000 to 70,000 smoking quits per year in England.The evidence is clear that vapes should not be used by, or targeted at, kids and we have a duty to protect children from potential harms. So we are looking to take further action to reduce the appeal and availability of vapes to children, while ensuring they remain available to smokers as a quit tool". https://healthmedia.blog.gov.uk/2023/10/12/creating-a-smokefree-generation-and-tackling-youth-vaping-what-you-need-to-know/

[hammergaumet] 29/11/2023 08:23

For example?

[actscap] 28/11/2023 19:53

It shouldn't be included in a ban, but I'm nervous they put additional restrictions on closed pod systems beyond coloured packaging etc. If there are no restrictions on closed pod systems, then I expect most consumers will simply shift across to the pod system. They're very similar for all intents and purposes.

[actscap] 28/11/2023 18:12

I like the optimism re. ban on disposables, but short term this may have a material negative impact. Not least because of the sunk costs with the manufacturers in China etc.All depends on the extent of the ban I guess. Will refillable vape pens via the small pods get classed as disposables.Longer term, supreme should benefit from the ban, but hard to avoid short term nerves knocking the price about a bit.

[scubadiverr] 28/11/2023 16:53

As expected ST from the IC reiterates his buy recommendation...https://www.google.com/search?q=Supreme+upgrades+earnings+guidance+for+third+time+this+year&client=ms-android-xiaomi-rvo3&sourceid=chrome-mobile&ie=UTF-8

[donald pond] 28/11/2023 13:34

Could even be to Supreme's advantage. Nothing stops competition quicker than regulation

[johndoe23] 28/11/2023 12:09

Sorry disposable vaping is what I meant

[johndoe23] 28/11/2023 11:45

The only reason I'm not investing. Had great updates before ,then news of banning vapinv happens and the share price tanks. Not saying will happen again, just my thoughts

[s34icknote] 28/11/2023 11:40

Thanks dr .At least the shareholders are aligned with management !!

[bathcoup] 28/11/2023 11:24

"Management will be hosting a presentation for investors in relation to the Company's interim results on 28 November 2023 at 2pm BST."

2pm BST!?

[dr biotech] 28/11/2023 11:06

No. CEO owns too many to allow a takeover.

Great results, but the shadow of legislation will hang over this for some time

[s34icknote] 28/11/2023 10:37

Could this be a takeover target ? Base on cheap valuation ? Was thinking about hotel chocolate and its niche market ?

[donald pond] 28/11/2023 10:37

About 6 according to the Vox interview doing the rounds

[s34icknote] 28/11/2023 10:36

Think there will still be profit taking , consolidation around 1.20 before moving forward I guess

[edmonda] 28/11/2023 10:25

Just a reminder that we are hosting a webinar with Q&A at 2pm today (with Supreme's CEO and CFO) - you can sign up here to register:

[s34icknote] 28/11/2023 08:44

On Less than ten times earnings for such growth !!!Can't get that sort of growth these days !!!

[brummy_git] 28/11/2023 08:36

After releasing record H1 results today alongside upgrading FY'24 guidance.

CEO Sandy Chadha and CFO Suzanne Smith of Supreme explain in this fascinating interview what's been driving the terrific top & bottom performance.

[edmonda] 28/11/2023 08:32

"Strong H1 results raise full year outlook"

New research report here:

The H1 outcome was as indicated in the recent (18 October) Trading Update. Group guidance for the full year is now raised: from revenue of £195m - 205m to £210m - £220m (ED estimate was £204.2m); (adj.) EBITDA from £28m - £30m to £32m - £35m (ED estimate was £29.0m). From incremental EBITDA of c.£4.5m, c.£1.5m arises from core operations and c.£3.5m from the Elf distribution agreement, which supplies retailers including Tesco, Morrisons, One Stop and WHSmith.

A series of initiatives – branding and pod vape developments in particular – mean that the Group can demonstrate a realistic strategy for the potential changes in the vaping market. Supreme also reports completion of its supply and distribution centre (the ‘Ark’), noting its capacity to support both organic growth and potential M&A opportunities, with £35.3m of borrowing facilities available.

Following the Group’s increased FY24 guidance (revenue raised 7%, and (adj.) EBITDA by 14% -17%), we have raised our outlook to revenue of £221.2m, +8%, and (adj.) EBITDA of £33.5m, +16%. We expect a FY24 total dividend of c.£5.1m, with £1.7m paid at the Interim. Our Fair Value is raised to 225p/share.

[donald pond] 28/11/2023 08:19

Great figures I've dipped a toe in