Australia's largest stock trading and investment forum Australia's #1 stock forum

VIP

Click for more information

0.00%

0.3¢ vip gloves ltd

Ah ok, if that is how the orders work then good news, as I was...

First 28 Last

Share
Profile

Follow
Xchange

339 Posts.

7

20/07/20

12:28

Post #: 45979652
Share

Originally posted by Furnaces: ↑

Thanks for the chart. FA wise, its tough to not be able to make any profit in this business climate. Average selling price has and is increasing at a rate of 10-15% every month for normal delivery orders. Spot buys are at 300-500% the selling price of normal delivery orders.

How the glove companies currently work is they will take a deposit of 20-50% for orders but the selling price is determined only upon delivery. Which means that even though orders are filled through Q2 2021, prices are not locked in. Prices will still increase on a monthly basis till at least next year as many analysts have forecast and the net profit margin for VIP glove will only get higher as the time goes by. Looking at record high infection rate which is unfortunate, there could be a chance that price increase could last for years.

The only question left is how much profit will VIP make.

Expand

Ah ok, if that is how the orders work then good news, as I was worried they were all locked in at current prices... what a weird model, I would never agree to that as a customer. Would love to hear an update as well @Furnaces seems only fair to let us know if they have increased production lines and a forecast of revenues.

VIP Price at posting: 8.5¢ Sentiment: Hold Disclosure: Held
Upvote

0 Great analysis

Reply

There are more pages in this discussion • 7 more messages in this thread...

First 28 Last

Add VIP (ASX) to my watchlist