Tag: MYR

Solomon Lew’s paper losses on his 10.8% stake in Myer grew with yesterday’s 4% plus drop in the retailer’s shares after CEO, Richard Umbers slashed sales growth and return targets under his New Myer strategy.

From the fruitless defence of Spotless against Downer EDI, to another under performer in the Myer department store chain – businessman Garry Hounsell seems to be a bit of a sucker for the fruitless in corporate performance.

The stupidity of the Australian investment analyst and many investors knows no bounds – their combined capacity to ignore the blinding obvious and look for the faint or non existent positive when it suits them is legendary – and the latest results of Myer are another example.

Bad News Thursday: The profit reporting season is just starting, but even before we get to the pointy end next month, there’s been a flood of red ink, and a deputy CEO departing without explanation, which is always a bad sign, and a CEO departing with the reasons quite obvious from the company’s statements.

Myer’s (MYR) shares weakened yesterday after the company surprised with a weak third quarter trading update.

Bad luck for Solomon Lew, or decision time for an assault on Myer (MYR)?

Melbourne retailer Solomon Lew has confirmed he acquired a 10.8% stake in Myer (MYR) for $101 million through his listed investment company, Premier Investments (PMV).

We will probably find out today if Melbourne businessman, Solomon Lew was behind the raid on Myer (MYR) on Monday that netted someone a 10% stake in the faltering retailer.

Someone raided Myer (MYR) yesterday, snapping up 10% of the retailer’s issued capital and driving the share price up 18%.

Once again the market got it right – shares in department store retailer, Myer (MYR) have fallen 18% from their most recent high of $1.39 on December 23, to $1.13 on Wednesday. In the same time the ASX 200 has edged up just over 2%.

Investors gave the full year figures from department store chain, Myer (MYR), a very cautious reception. In fact you could go so far as to describe the reception as sceptical as some key measures fell short of target in the retailer’s turnaround strategy.

There’s something going on in Australian department store retailing – after years of underperformance, there are signs of life as the latest sales report from Myer (MYR) revealed yesterday.

Like OrotonGroup (ORL), Myer (MYR) chose the right day yesterday to release what were on the whole not bad interim results.

Myer (MYR) shareholders have given a conclusive thumbs down to the retailer’s share issue, and presumably the $600 million revamp plan by saying they do not want to finance it.

Once again some local business media and excitable brokers have gotten well ahead of themselves after Myer (MYR) shares fell sharply yesterday after trading in the shares resumed on the ASX.

Struggling department store group Myer (MYR) is going to make yet another attempt to maintain its relevance to Australian shoppers, spending $600 million over the next four years in store revamps and other changes, plus downsizing stores and staff numbers.

Myer (MYR) management promised a “strategy update in due course” yesterday after confirming that it was shutting its store in the Top Ryde shopping centre in Sydney and closing three stand alone trial outlets in Melbourne.

Fairfax Media claimed yesterday that Solomon Lew and unnamed private equity firms were crunching the numbers on a bid for Myer (MYR) to be ready to move in the next six months, or earlier.

If Myer (MYR) shareholders want to get an idea about what it will take to restore the department store to health, take a look at Metcash (MTS) which is in the midst of a lengthy, five year turnaround attempt.

Investors have given yesterday’s senior management changes at Myer (MYR) a big thumbs down – not because they are opposed to the departure of long time CEO Bernie Brookes, but because they seem to think it means there are undisclosed problems at the retailer which will need clearing up.

Analysts from JPMorgan got it horribly wrong yesterday when, according to the morning business media, they forecast Myer would lift topline sales in the September quarter by 3.5% and like for like sales (comparable or same store sales) by a solid 2.1%.

A ‘can do/should do better" reaction from investors yesterday to the weak full year result from Department store Myer (MYR) which revealed a 22% slide in net profit for the year to July 26.

More moaning from Myer (MYR) CEO Bernie Brooks yesterday about the impact of high wages, rents, taxes, online purchases and utility costs on the retailer as he tried to explain an unexpected 8.7% fall in net profit, to $127 million for the year to July 27.

Caution, yes in Myer’s (MYR) third quarter sales update yesterday, but none of the bad news we have seen from fellow retailers, Target and Fantastic about weak sales, falling profits or a lack of buyers.

After a brief flurry of optimism that saw the shares rise yesterday in the wake of the expected fall in interim earnings, Myer shares closed the day down 9c or 3.3% at $2.28.

As expected, department store group Myer Holdings has produced a smaller profit on lower sales for the 2011 year, and warned of flat sales and a 10% drop in earnings for the current year.

Department store chain Myer Holdings has lowered its guidance for net profit in 2010-11, saying it now expects profit to be up to 5% below that of 2009, following a first half characterised by "fragile consumer confidence".

Shares in department store chain, Myer, took a pounding yesterday, hitting a new all time low after it unveiled what was seen as a lacklustre sales update.

A thumbs down from the market for Myer Holdings’ first interim profit as a listed company for near 25 years.

No joy for holders of Myer shares (especially those who have held from last year’s float, or who bought in soon after).