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19/03/20
18:16
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Originally posted by SteveSage:
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I guess they are expecting all the NIMA/SHAW business to be pretty much shut for 3 months (remember that generated revenues of ~10m in 6 months), and ICA to be virtually dead (or perhaps a lot to move online). NIMA/SHAW I get (so have to carry 10m in costs for 6 months with no revenues), but ICA should be able to carry itself on EBITDA flat for 6 months. They have ~35m in cash (perhaps 28m after dividends), which means they can ride this out for 6 mths easily IMO. Market discounting any/all retail with no differentiation, and with their leasing & staffing costs this is going to be challenging, but IMO they should be able to do this (and perhaps they need to hit telstra up for some extra money to maintain that retail presence)
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a large amount of the VTG Telstra stores they have are regional right? while some impact from lower traffic I would assume not as much as city based during a pandemic - what do you guys think?