$6/kg ebitda margin (or thereabouts). Almost triple the margin...

First 6 Last

Share
Profile

Follow
McQuade

1,662 Posts.

555

03/12/20

19:36

Post #: 49329415
Share

Originally posted by Hopeful9: ↑

It'll be interesting to see if they sell well.

One problem may be that many shoppers in supermarkets expect prawns to be in the 'service deli' section, so if the TGR Tropic Co two kg packs are in the freezer section, consumers may not even look there.

However so many look online at the WOW catalogue, plus they'll see the product displayed if a search is done for 'prawns'.

At some stage TGR may agree with WOW to offer these at a promotional price to further grow consumer awareness, but pre-Christmas is not the time for that. If I was TGR I'd have a note put on any promotion 'from the freezer section' or similar.

A huge plus for TGR wil be its ability to consistently supply WOW. Even if only one pack per week per supermarket was sold and it's in say 800 of WOW's 1000 plus stores, that's about 7000 kilograms a month in TGR sales. I don't know what the cost per kg of production (including allocating some Tasmanian head office costs) while freight is another expense, but hopefully it's a reasonably solid addition to the bottom line.

Expand

$6/kg ebitda margin (or thereabouts). Almost triple the margin of salmon.

TGR Price at posting: $3.52 Sentiment: Buy Disclosure: Held
3 Upvote

0 Great analysis

Reply

Top Stories

BDM

Burgundy plunges -20% after turning to layoffs to navigate record-low diamond prices

DRO

History repeats for DroneShield investors but carnage so far subdued

Listen: HotCopper Wire Podcast 018 – Potatoes, TACOs, and the $120M helicopter heist

STN

Saturn brings up seventh straight Apollo Hill upgrade on 'impressive' 300-hole drill run

SER

Strategic Energy extends its QLD copper-gold frontier with Diamantina acquisition

AII

A new NASDAQ listing for a key player in the global critical minerals space

HotCopper Highlights: Trigg; Droneshield; Lumos & more

Week 29 Wrap: ASX hits new all time high of 8,766pts ahead of Aug 1

SYR

Syrah jumps +19% as graphite tariff threat spurs optimism down under

PSC

Prospect's Mumbezhi Project puts it at the middle of copper's megatrend. And FQM just bought in

First 6 Last

Add to My Watchlist

What is My Watchlist?

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.

$6/kg ebitda margin (or thereabouts). Almost triple the margin...

Top Stories

Burgundy plunges -20% after turning to layoffs to navigate record-low diamond prices

History repeats for DroneShield investors but carnage so far subdued

Listen: HotCopper Wire Podcast 018 – Potatoes, TACOs, and the $120M helicopter heist

Saturn brings up seventh straight Apollo Hill upgrade on 'impressive' 300-hole drill run

Strategic Energy extends its QLD copper-gold frontier with Diamantina acquisition

A new NASDAQ listing for a key player in the global critical minerals space

HotCopper Highlights: Trigg; Droneshield; Lumos & more

Week 29 Wrap: ASX hits new all time high of 8,766pts ahead of Aug 1

Syrah jumps +19% as graphite tariff threat spurs optimism down under

Prospect's Mumbezhi Project puts it at the middle of copper's megatrend. And FQM just bought in

Featured News