Australian (ASX) Stock Market Forum

MBH - Maggie Beer Holdings

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This flicked into view in my search today. Might be worth popping onto the watchlist for those who find this appealing. Volume spike, rising money flow, above the 200MAs, higher highs, higher lows from April 2020. Couldn't ask for a whole lot more.

If it hangs in above the 200dMAs it may have some more upside. The 50dsma is still above the current price levels but I am not sure it will have a whole lot of negative impact, of course, I could be wrong!

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Downgrade a week ago and the SP now sitting around 38 cents. It's actually quite a good detailed update, but the lines which caught my attention (and many others) was this:
  • The full year impact of these challenges [cost increases] is expected to decrease MBH’s FY22 trading EBITDA by $4.2m, of which the underperforming dairy assets account for approx. $2.8m
  • Price increases have been implemented across e-commerce and retail grocery to offset the cost increases with the full benefits to be realised in FY23
That leaves them with a projected EBITDA of around 10 million for the year - so a big cost increase - on a market cap of around $130 million and EV probably just above $100 million. Certainly not cheap but not too overvalued either. Cost increases are hitting everyone so this downgrade was expected and is probably indicative of what we'll be seeing from others on the ASX shortly (hence why I noted several months ago I don't like to hold shares though inflation).

MBH will surely be able to pass All all the increased costs along to the consumer by the start of FY2023, but I could also see a hit to demand across the whole sector as costs on everything go up and wages stay about the same. Suppose we'll see in a few months when the EOFY report comes out how much of a hit sales took (if at all) in the final month or two of the year but if sales are good and the consumer has absorbed the costs then 38 cents looks pretty appealing.
 
The Triangle said:
Downgrade a week ago and the SP now sitting around 38 cents. It's actually quite a good detailed update, but the lines which caught my attention (and many others) was this:
  • The full year impact of these challenges [cost increases] is expected to decrease MBH’s FY22 trading EBITDA by $4.2m, of which the underperforming dairy assets account for approx. $2.8m
  • Price increases have been implemented across e-commerce and retail grocery to offset the cost increases with the full benefits to be realised in FY23
That leaves them with a projected EBITDA of around 10 million for the year - so a big cost increase - on a market cap of around $130 million and EV probably just above $100 million. Certainly not cheap but not too overvalued either. Cost increases are hitting everyone so this downgrade was expected and is probably indicative of what we'll be seeing from others on the ASX shortly (hence why I noted several months ago I don't like to hold shares though inflation).

MBH will surely be able to pass All all the increased costs along to the consumer by the start of FY2023, but I could also see a hit to demand across the whole sector as costs on everything go up and wages stay about the same. Suppose we'll see in a few months when the EOFY report comes out how much of a hit sales took (if at all) in the final month or two of the year but if sales are good and the consumer has absorbed the costs then 38 cents looks pretty appealing.
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What intreges me most about MBH is the acquisition that she will be starting a business proposition with the newly elected Labor Party to feed the deprived age care sector. A compounded movement that could see MBH go along way if done properly...
 
Stockybailz said:
What intreges me most about MBH is the acquisition that she will be starting a business proposition with the newly elected Labor Party to feed the deprived age care sector. A compounded movement that could see MBH go along way if done properly...
Click to expand...
Sort of what Jamie oliver tried to do several years ago with schools (but think he just put his own money in). Great idea, but not convinced it can be monetized to the benefits of MBH shareholders, however it is free branding and advertising which always helps and I've felt she's fallen off the map a little in recent years. Her brand itself is what has the value in my view.
 
To up market her profile should be beneficial. I'm not sure what's she's all about but she could do with the croutons. Looking at her share price and chart for that matter she needs every crouton she can muster. Things aren't that crash hot.

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Intended Resignation of Chief Executive Officer

Maggie Beer Holdings Ltd (MBH or the Company) today announced that CEO, Kinda Grange,has indicated her intention to resign from the Company to progress her career externally.Kinda has agreed to work with the Company to assist in transitioning to a new CEO.

Chair of MBH, Sue Thomas, said: “On behalf of the Board and the Company, I wish to acknowledge and thank Kinda for her significant contribution in leading the Company since her appointment in March 2023

.“Kinda has successfully expanded the Maggie Beer brand to deliver strong growth and has step changed our B2B strategy to improve sales in our e-commerce business.“

We are pleased that Kinda has agreed to assist in an orderly transition to new leadership and we wish her every success in her future endeavours.”

Kinda Grange said: “It has been a privilege to lead a Company with such an iconic brand and long-term growth opportunities and I look forward to watching the Group’s future progress.”

The Board has commenced a transition process to a new CEO and will update the market of progress.

Ends

i do not hold this share

and do not currently has an order in the market , but that may change quickly

this came to my attention recently i am still considering my next move
 
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