Tandem Share Discussion Threads

[actscap] 20/9/2023 17:13

All good points...but the quality of controls around the financials is worrying. Speaks of poor control and management. We'll see. I'm holding heavy losses and will continue to hold purely on the basis that it can't get much lower?! Hopefully toys will bounce back and competitors may struggle. Although toys r us are confident enough to reopen stores so maybe this is a lost cause.

[my retirement fund] 20/9/2023 14:39

Sorry, wrong thread, lol. LOL !!!

[castleford tiger] 20/9/2023 12:06

Golf morning so unable to reply.
Ok things have not gone to plan.
The economic environment and collapse of several big companies from rivals to transport has created huge headwinds.
The amount of stock in pedal cycles has depressed prices.
Ok lots of experts on here but as an importer of 400 containers a year we use both methods.. Freight on board ( FOB ) is your stock to insure and pay for often at the point of loading ( unless you have terms) .you book transport and pay all costs.
You can buy CIF carriage inc shipping and U.K. transport.
So what they are saying are that customers are drawing smaller amounts of stock from their supplier who has to manage stock and make sure they have it available ( but get a bigger margin)
Outdoor sales inc BBQ etc have been awful.
The reduction in stock is good and that money has found its way into increasing NAV.
The 5.2 m of debt before deducting net cash means we owe about £3 m
Clearly the journey has not been smooth and the loss of the dividend removes a reason to hold the shares.
We are now in the end phase of a difficult period. Yes holding close to 3% has seen almost all my profits go.
Now is not the time to exit in my opinion.
So yes I got it wrong but I am happy with our CEO who will deliver eventually.
Back to the pool now
Tiger

[my retirement fund] 20/9/2023 11:42

FOB is the most common standard incoterm importers use to agree who's paying for shipping processes. The importer then ends up with the goods so normally has to warehouse them before the usual processes such as repackaging, quality, checking, batching, storing and selling them on.

Direct Delivery or DD is not. Direct delivery is what you do when your drop shipping. You don't need a warehouse to be drop shipping!

Drop shipping is excellent from a business point of view because you don't need any capital outlay, you take your customers money, prepay import duties and pay the supplier to produce and ship the goods directly to your customer.

Drop shipping is rarely sustainable though, and usually comes to a sticky end. Either you loose your customers as you cant keep that personal service and keep an eye on quality, delays, shortages, mistakes etc.

Or, your customer or your supplier spies the land and cuts you out of the loop to deal directly to save money and address all those inherent short comings that drop shippers create. In business, drop shippers are parasites!

Anyway, whatever really is going on there, it sounds insane. Reading todays statement sounds like they are utterly clueless.

Didn't they loose a key person recently, perhaps they lost the only person who knew how the business worked? as it reads like things are in complete chaos.

I'm surprised the share price hasn't crashed to 50 pence.

[hpcg] 20/9/2023 10:58

FoB and DD have nothing to do with warehousing, it is simply where the buyer takes ownership. With delivery the seller pays for shipping and the buyer takes ownership when the goods reach the customer. With FoB the buyer collects from the seller and makes their own shipping arrangement. Obviously if delivery bypasses and TND facility, who become simply a middle man, then warehousing is moot / redundant.

I've not read the full report, I don't have a long interest, the spread means it isn't tradeable and similarly not shortable. I'd be concerned about the technical loan breaches, and there is more downside for the business this winter. If it can survive then it may be a deep value prospect when the cycle turns.

[clanger66] 20/9/2023 09:13

I may be wrong but my understanding of Free on Board delivery is where the product is shipped direct from the manufacturer to the end client, so no need for a warehouse. Whereas Direct delivery you would need a warehouse. While this report is disappointing, it'll be interesting to see how much, if any of a second half uptick the business will see due to the change in end customers buying habits.

[charo] 20/9/2023 08:38

More likely sold at cost to recoup cash.Hence low sales value and drop in margin.
If future demand weak then stock replenishment would be delayed.

[actscap] 20/9/2023 07:57

I mean, come on - this is poor. V frustrating holding of mine.

[actscap] 20/9/2023 07:52

During the period ended 30 June 2023, the Company and its lender have become aware of technical breaches of the existing Loans which first came into being on the draw down of the majority of the balance of the Loans in 2022.

[johndoe23] 20/9/2023 07:51

Confirmation bias

[my retirement fund] 20/9/2023 07:50

Any comments from the Tiger who claims to own just shy of 3% of the shares?

[rcturner2] 20/9/2023 07:45

Castleford Tiger29 Jun '23 - 07:37 - 5647 of 5675
0 3 0
I think overall the company is doing rather well in difficult markets.
A 5% yield helps until we get some traction in the shares which remain undervalued.
Tiger

RCTurner229 Jun '23 - 09:29 - 5651 of 5675 Edit
0 2 2
CT is in too deep and has lost all objectivity.

Has been like that for a while.

[bubloo] 20/9/2023 06:34

CONCERNS ABOUT GOING CONCERN
? WILL THIS TANK TODAY

[balcony] 07/7/2023 10:23

CT-Also a buy in Investors Cronicle.

[castleford tiger] 07/7/2023 09:48

value

The 2 up /2 down actually i prefer 3 beds have had a great 2 years.

They were 100k and £7800 the average rent.
Now we are £130k average and £10800 a year rent.

Demand is very strong on the rental side. I have some of these from the 20k days.

As good a return as any of my sites ......classy Cas sits close to top of the pile.

As for TND someone sweeping up shares at such a huge discount does not suprise me.

The company is busy as i saw 2 weeks ago and things will improve.

tiger

[cwa1] 06/7/2023 11:28

Looks like someone's spending the dividend on shares!

[cwa1] 06/7/2023 11:28

Looks like someone's spending the dividend on shares!

[value hound] 06/7/2023 11:25

Divi day; might buy a bike with it! What are you getting CT - a two-up, two-down in Cas'? :-)

[castleford tiger] 30/6/2023 21:31

Stocko are being a bit harsh.
The cycle industry has been very difficult for 18 months .
Tandem were not daft giving profits away in the boom years . They banked the gains.
New customers like Costco will help increase sales this year by 10%
the tide will turn and TND will be ready to take full advantage.
They keep investing ready for this which is the right thing to do.
Till then 5% dividend ain’t too shabby.
I remain a buyer on weakness

[davidosh] 30/6/2023 15:12

Graham on Stocko also said....

I previously gave this stock the cautious thumbs up, thinking that there was enough value on offer to justify a positive view.

It remains “cheap” today with a ValueRank of 86, which is before the latest share price weakness.

My positive view was also related to the appointment of a new CEO and a management shakeup, but those factors aren’t bearing fruit yet.

I am therefore changing my stance from GREEN to AMBER on this one.

[rcturner2] 30/6/2023 10:58

The stockopedia write up on Tandem is worth a read. Not pretty.

For example: "Unfortunately, there just isn’t much quality with this one and after reading today’s statement I wouldn’t be tempted to buy back in, even at lower levels than this. Today’s statement is a stark reminder that things are always going wrong with this one and conditions are always challenging - or if they aren’t now, then they will be again soon."