Ann: Half Year Ended 31 December 2023 - Investor Presentation, page-5

Here's the problem:




The stock had been priced for the first five arrows on that chart, had ignored the 6th arrow, but following on from that 6th arrow, it cannot ignore the 7th arrow as well.

(Of course, some might reasonably suggest that to avoid sales going backwards, in a period of the most rapid increase in interest rates in generations, is a credible achievement.)

Of course, part of the sluggish top line growth would be due to BRG management not yielding on pricing, witnessed by GP Margin which is at a decade-high:




Which, as a shareholder, I feel is the right thing to do in order to reinforce the product cachet and brand value.  You don't want to get into a discounting cycle with premium products, because it is hard to recover from that once the consumer senses cracks in the brand.

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