Bingo. I only have a tiny tiny tiny holding (say <1% of the portfolio) as i am more value. If growth rates continue with custom retention, it could become very profitable as the underlying margin is decent. Mainly as at a point the advertising spend will drop off as a percentage of sales when it ends the growth phase.
My view early stage, the results aren't "bad" but you have to have a very long time horizon for this investment to play out. Particularly when you are considering Myer is the same market cap, similar product margin and double the online sales (growing as percentage of their total revenue, but the top line is stagnate). So adore doesnt look cheap, incomparson but has an overall top line growth, just the question is how long will it compound at 18% for.
