More of the same I guess Gamesinvestor1: Lots of analysts pre results +ve and down we go again as soon as the results released. OK small increase in revenue, but the C&H is still poor. I guess it is down to shut as many C&H shops as possible in the foreseable and drive a smaller possibly more profitable arm and sell it off and just keep the food. It seems to be taking them a looong time to reach what looks like an obvious conclusion. Yes, Games, at least some were probably too optimistic, too early ahead of this update. I didnâ€™t think it read too badly, in terms of where I think expectations should have been. Food is fine, and has responded well to a bit of management care and attention - the rest is a case of managing the decline as they work through the structural challenges. I actually think theyâ€™ve known for a while what needs to be done, it takes time to change the all of the shape, size and culture of the business. But the signs are there that they are heading in that direction - too slowly for some, sure, but this is not one for the impatient. Meanwhile, any help from the wider macro backdrop wouldnâ€™t go amiss - and in that regard, I think we will get a better 1-2 years from here (albeit that will also take time to develop). On balance, I would rather be in something like this than the â€œfast fashionâ€ players, for whom easy come, easy go might prove to be adage. And I think the long-term winners will be the omnichannel players who use their store estate wisely (as Lord Wolfson keeps telling us), rather than the pure online merchants for whom the best days may already be behind them. But we do need management to get it right, in due course.
More of the same I guess You have to be a patient investor, Games, to stick with M&S. I gave up retail sveral years ago after I saw the inroads made by Aldi, Lidl and Amazon etc. It seems to me that with M&S their selling point is quality and that there will always be a space for this. What does strike me about their stores is their sheer size. Perhaps they should cut their ranges and floorspace? Cheers, Frog in a tree
More of the same I guess Lots of analysts pre results +ve and down we go again as soon as the results released. OK small increase in revenue, but the C&H is still poor. I guess it is down to shut as many C&H shops as possible in the foreseable and drive a smaller possibly more profitable arm and sell it off and just keep the food. It seems to be taking them a looong time to reach what looks like an obvious conclusion. Games
Where to go from here? Bill, Still think MKS looks like a good investment? It seems to be turning into a total disaster - Archie Norman or not. So far Iâ€™m 50% down on this munter â€“ Oh and I kept the faith â€“ silly me! Games
Final Results Look at rights issue price. And the rights issue is to fund an investment in Occado. Really, their website is actually worse than /waitrose which takes some doing. Miles behind Tesco. In reallity though it is hard to see how M&S have the width of offer to make a go of on line grocery. I buy there ready meals but not much else. Sell
Final Results [link] Revenue down 3% Profit before Tax and adjustments down 9.9% Free Cash Flow up 25% Dividend slashed 25.7% from 18.7p to 13.9p Ouch â€“ share price down again 4.46% as I type at 259 Games â€“ Remarkably Iâ€™m still in this - silly me!
Ocado Joint Venture Hard to see Ocado being the right fit for MKS. SP now at new 2019 low. Results next week - weâ€™ll see if earnings are still going down.
Ocado Joint Venture Thanks for that
Ocado Joint Venture Not sure anyone in home delivery groceries is actually making any cash. In my case if the delivery offer is right [read cheap] then I would buy more from M&S with Waitrose the biggest looser To get investment back over 5 years seems like M&S need an additional Â£700M of sales at 35% per year. That number is after recovering delivery costs that are likely to be very high for M&S on start up. Sound s like a lot of ready meals tp me. Best avoid in my opinion Deep
Lead Balloon Normally I would agree but it quite possible Waitrose will be the big loosers from this. Somrthing they royally deserve for an overpriced offering and dreadful customer service Deep
Ocado Joint Venture To buy or not to buy that is the question.
Lead Balloon The deal seems an expensive way getting m&s food online with no easy way of extricating themselves if it doesnâ€™t work out. They might just end up cannibalising sales from stores.
Lead Balloon Have dumped all my shares today. The thought of some jam(maybe!) well down the line, together with a 40% divi cut is no good to me at my stage of investment life!
Lead Balloon Is this new hole in the balance sheet (Â£750Million) adequate justification for selling food online? It. I assume rightly or wrongly, is likely to take a long time to recover that cost given the first shipments wonâ€™t take place until the Waitrose deal with Ocado expires some time late 2020. Anyone know when M&S starts to hand over the cash, and in what installments? I hope they were not stupid enough to pay upfront. Games
Lead Balloon Oh well, the euphoria was short lived. The stocks been hammered down 8.81% as I type Games