1. Has it been funding it's growth from operating cashflows or has it been raising debt?
Yes, it's been funding its growth from operating cashflows. Please note that recently NCK has embarked on a shift in their property strategy, namely, they are starting to purchase strategic sites that they believe will continue to be profitable well into the future.
The properties that they own outright:
1. Alexandria, NSW, a new store purchased in FY2011 for $7m
2. Fyshwick, ACT, a new store purchased in FY2013 for $6.5m
3. Caringbah, NSW, an existing store purchased in FY2015 for $6.3m
4. Joondalup, WA, a new store purchased in FY2015 for $4.5m
5. Macgregor, QLD, an existing store purchased in FY2016 for $9.1m
6. Nunawading, VIC, an existing store purchased in FY2016 for $4.4m
Total property purchases to date is $37.8m. The current valuation of these properties is around $42m.
These property purchases were financed using a mix of debt/cash. As a result, as of December 2015, NCK's non current borrowings has increased to $18.6m and cash is $25m.
With 6 stores fully owned out of a total of 48 stores, the proportion of fully owned properties is now 12.5%. This new strategy will give NCK some degree of protection against future rental increases and future market downturn.
2. What has its dividend payout ratio been?
2005: 65.17%
2006: 74.94%
2007: 84.14%
2008: 85.96%
2009: 100.89%
2010: 64.77%
2011: 62.80%
2012: 71.81%
2013: 60.74%
2014: 73.97%
2015: 71.15%
This relatively high payout ratio hasn't precluded NCK from pursuing its growth/expansion.
3. What has it's free cashflow (operating cashflow minus capex) been like?
Column 1
Column 2
Column 3
Column 4
Column 5
Column 6
Column 7
0
Operating Cash Flows
Depreciation
Capex
Property Purchases
Capex - Property
Operating Cash Flows - (Capex - Property)
1
2004
6,784,000
664,000
625,000
625,000
6,159,000
2
2005
7,801,000
625,000
1,907,000
1,907,000
5,894,000
3
2006
7,242,000
886,000
1,164,000
1,164,000
6,078,000
4
2007
9,340,000
910,000
1,739,000
1,739,000
7,601,000
5
2008
6,659,000
1,029,000
1,055,000
1,055,000
5,604,000
6
2009
8,600,000
848,000
1,237,000
1,237,000
7,363,000
7
2010
15,520,000
927,000
1,201,000
1,201,000
14,319,000
8
2011
14,255,000
1,064,000
10,109,000
7,000,000
3,109,000
11,146,000
9
2012
12,853,000
1,327,000
2,203,000
2,203,000
10,650,000
10
2013
19,703,000
1,734,000
9,268,000
6,500,000
2,768,000
16,935,000
11
2014
22,416,000
1,947,000
2,933,000
2,933,000
19,483,000
12
2015
18,821,000
2,105,000
14,578,000
10,800,000
3,778,000
15,043,000
As you can see, NCK's capex requirements can easily be met by operating cash flows alone.
4. Does the company issue executive options?
No options at all. Since IPO, the number of shares outstanding has been constant at 81,000,000.
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)