Posted by newbird82 > 2015-04-29 08:38 | Report Abuse

This morning listen to Myfm and heard Padini advertisement, first time ever!

Posted by hellokitty123 > 2015-04-29 17:11 | Report Abuse

really ? thats a surprise !

Posted by powerwk > 2015-04-30 07:47 | Report Abuse

wow they invest in advertisement as well. Good to know.

Posted by tc88 > 2015-05-01 11:21 | Report Abuse

Powerwk, would like to knw your average price for Padini if u wont mind?

Posted by sosfinance > 2015-05-01 18:30 | Report Abuse

Transition Phase. Stronger Balance Sheet. Wider geographical coverage. Kitchen sinking. Went through recession before.

I take it as temporary. Buy more?

Posted by cipapo > 2015-05-03 18:53 | Report Abuse

the impact of gst will be seen soon on coming quarterly report...not recommended to buy

http://www.thestar.com.my/Business/Business-News/2015/05/02/GST-effects-beginning-to-be-felt/?style=biz

GST effects beginning to be felt

THE goods and services tax (GST) has seen its fair share of hiccups since its implementation on April 1, 2015, but the storm is far from over.

Although many had earlier anticipated that the following months will bring about a slowdown in retail spending, the real impact experienced by some businesses has been a lot higher. “There has easily been a decline of about 50% in sales for our European brands in April. We have taken a hard beating,” says a spokesperson from the automotive industry.

The spokesperson added that while there is still a lot of public interest in their models, many are resisting making the decision to purchase them.

“They are taking a wait and see stance, and they’re trying to assess the actual impact of GST on themselves before making the decision to buy. I think there will be a correction eventually, hopefully by next month with Hari Raya coming up.

“Our industry is not the only one facing this phenomenon. We know it is only temporary, but the scary thing is that we don’t know how long it will last,” the spokesperson says.

In a recent report, the Retail Group Malaysia (RGM) says it expected Malaysian consumers to buy earlier in the year in anticipation of higher retail prices after April 2015.

However, retail sales performance during the first two months of the year were below expectation.

“Malaysian consumers were confused by the different public messages on the prices of retail goods and services after March 2015,” it says.

For the first three months of 2015, retail sales growth rate is estimated at 3.8% compared with the same period a year ago.

Tomei Consolidated Bhd group managing director Datuk Ng Yih Pyng tells StarBizWeek that sales were 30% to 50% down in April compared to the same month last year. In the first week of April, the jeweller recorded a 70% decline in sales.

“In some of our outlets, sales were very minimal during the first week. There was not a lot of activity in our shops,” says Ng.

This is despite Tomei’s decision to absorb the 6% GST, he adds. “We have already absorbed it. Prior to April the gold price is the same as after GST came in. We did not increase by 6% to try and attract customers so they don’t feel the pinch, but even then, sales are not at similar levels to last year,” says Ng.

He adds that sales in March were good due to pre-GST demand. Ng foresees that the next few months will not be as good as the sentiment is “not too positive”. “It is worse than we anticipated,” he says.

Malaysia Retail Chain Association (MRCA) president Datuk Liaw Choon Liang says he the impact on retail sales was expected. “The whole market is very quiet, like we expected.

“Market performance has been impacted between 10% to 30% compared with last year,” he says.

He adds that consumers are now more careful when spending. “Overall, it is not promising. We expect that sales this month won’t be much different but hopefully come June, it’ll turn around,” says Liaw.

Businesses may have to be more aggressive in advertising and promotion campaigns during this softer period.

RGM, which tabulates quarterly retail data, says retail sales will likely slow down as consumers for the six-month period after April 2015, as they assume a ‘wait-and-see’ attitude on the prices of goods and services. For the second quarter of 2015, retail sales should expand by only 3.5%.

“After three months, Malaysian consumers should return to retail shops to buy more goods. The retail industry should grow by 4.8%. Malaysian consumers will get used to the GST by the last quarter of 2015. Retail spending will return to normal again by this period. This industry is expected to recover strongly with a 6.9% growth rate,” it says.

RGM revised the projected retail sales growth of the Malaysian retail industry in 2015 downwards for the second time, from 5.5% to 4.9%.

“The greatest challenge in 2015 for the retail industry in Malaysia is consumers’ spending,” it says.

The Malaysian Institute of Economic Research’s (Mier) consumer sentiments index dropped further by 10.4 percentage points to 72.6 in the first quarter of 2015, after declining 15 percentage points to 83 in the fourth quarter of 2014.

This was the third consecutive quarter of decline and the lowest reading in six years, which indicates that consumers are unenthusiastic about spending as they are wary about their future.

The survey by Mier also reported that consumers are concerned over their financial and employment outlook.

Due to the general rise in prices of goods and services after the GST implementation, RHB Research expects consumer spending to grow at a more moderate pace of 5.2% in 2015, compared with 7.1% in 2014, as consumers take on a more cautious tone.

“The volatility in retail fuel prices with an

Posted by Ven Felix > 2015-05-04 19:23 | Report Abuse

I suggest Padini to enlightening consumer through its Premium range and made reachable to those can afford at prices range frim $100/ to $150/. Out fit brand for its design I like are JEEP jean; SANTA BARBARA, or the management may conduct a survey nearby their centre. Coz if Padini still can capture consumer appetite, Sure boleh.

Posted by Ven Felix > 2015-05-04 19:25 | Report Abuse

I'm not Royalty to certain brand, but if it can capture mt appetite, I'll stick to them, till find one which could enlighten me.

Posted by tc88 > 2015-05-04 22:28 | Report Abuse

Expected weak earning in next few quarters....buy below RM1.2...............

Posted by newbird82 > 2015-05-05 10:44 | Report Abuse

I doubt the weak earning for PADINI. Last sat went to Mid Valley, only know that Padini was moved to New Corner and now become concept store. Terrible crowded and long queue from entrance to pay the bill, some more 6 Cashier counters opened. GST affected the business? Can't trust at all!!

Posted by skyz > 2015-05-05 15:50 | Report Abuse

Went to to Padini outlets in both Aeon shopping centre in Ipoh. crowded due to 4 days sales. Got some great bargains myself. Happy as a customer but slightly worried as an investor. At the rate of discounts, like I mentioned earlier, revenue growth in the expense of profit margin shrinking.

Posted by mcwong > 2015-05-05 17:03 | Report Abuse

Revenue sure will grow , only the profit margin is low. As long is company winning the market. Sure for future the price share will slowly grow up. I believe that , every company their got vision and mission. Customer feel comfortable with the price and affordable .

Posted by Jeremy Loi Fuang Suu > 2015-05-05 17:04 | Report Abuse

On weekend only especially holiday..

Posted by mcwong > 2015-05-05 17:15 | Report Abuse

i believe price share will drop, margin is drop. coming soon report (o_ O ) hahaha...

Posted by walau2u > 2015-05-05 17:22 | Report Abuse

RM1.3 soon?

Posted by BABIHUTAN8 > 2015-05-05 17:26 | Report Abuse

Im waiting 1.2Rm, else dun buy

Posted by matakuda > 2015-05-05 17:34 | Report Abuse

I get out from Padini today, suffer some 6% losses. Though I have ceased holding any shares of Padini today, I will continue to become Padini's customer. This company kind of losing its direction.

Posted by mcwong > 2015-05-05 17:52 | Report Abuse

Cut cut cut ...+ 6% losses. i see.

Posted by sob8 > 2015-05-05 22:18 | Report Abuse

I went padini concept shop in non sale weekend. it was empty v fitting rooms almost vacant. while I went uniqlo. I hv to queue up for fitting n paying. it was a contrast. I doubt that padini price will sustain or increase anymore.

Posted by bsngpg > 2015-05-05 22:38 | Report Abuse

non sale weekend at Padini: fitting rooms were almost vacant- maybe true.

non sale weekend at uniqlo: queue up for fitting n paying-hard to believe
if you are making a fair apple to apple kind of comparison where both outlets are located in the same mall.

Posted by davidkkw79 > 2015-05-05 22:45 | Report Abuse

I m waiting 0.5...

Posted by bsngpg > 2015-05-05 22:48 | Report Abuse

Me too. But when is the next asean financial crisis as 1998 ?

Posted by tc88 > 2015-05-05 22:52 | Report Abuse

Bsngpg, are u buying more? Ur average price is?

Posted by Tsuto > 2015-05-06 00:07 | Report Abuse

Are you sure about Uniqlo? H&M MAYBE... but if not mistaken Uniqlo is equally having less people like Padini.

Posted by shinado > 2015-05-06 12:01 | Report Abuse

WingTai Q report came out last night. Have a look at the poor performance from Uniqlo and you will understand that retail sector will not be doing well in the near future. All will operate with lower profit margin at least up to a year post-GST.

Posted by shinado > 2015-05-06 12:02 | Report Abuse

The only difference between Padini & Uniqlo is the higher revenue from Padini while Uniqlo is suffering from less sales. Both are operating with lower profit margin.

Posted by newbird82 > 2015-05-06 16:51 | Report Abuse

Check it out, http://windscopo.blogspot.sg/2015/05/3-5-2015.html, Gain back some confident of PADINI.

Posted by sosfinance > 2015-05-06 16:53 | Report Abuse

Padini, according to its management is in transition (clear old stock), with a better balance sheet (compared with previous recession they went through), will be back. Return of Equity is low vs past few years, if take away the net cash balance, it is quite respectable.

The risk of investing in this stock is higher, because, if it cannot turn around, then the growth will snap, i.e. reach its maturity. If their expansion plan succeed (i.e. new store, new brand, better margin), over the next one or two year, together with DY, I believe, the CAR will be double digit.

Of course, there are other companies which are also undervalued with growth, not in transition, perhaps can do better.

If investor want to avoid this risk, they can wait to see better earnings before buying Padini, but the upside will be limited.

Posted by cipapo > 2015-05-06 23:40 | Report Abuse

wingtai is a good example on retail sector slowing down.....do not expect much from padini quarterly report....better sell on strength now....bonia also hit...next support could be 1.00

Posted by optimusprime > 2015-05-06 23:43 | Report Abuse

before 1 take an interest into retail stock.

look at the macro.

1. high household debt.
2. slow / no growth in real economy.
3. GST (less disposable income)
4. interest rate to increase (lagi less disposable income)

simple as that. unless the retail sector stock is at rock bottom price.

Posted by cipapo > 2015-05-06 23:46 | Report Abuse

richman won't buy padini....middle class will buy from factory outlet.....lower class....eat also no money...everything pay gst...who is going to buy padini??... haha...

Posted by optimusprime > 2015-05-06 23:50 | Report Abuse

padini has lost its target customer, which is middle class. as middle class in bolehland already downgrade to lower middle class.

furthermore, more cool brands like uniqlo h&m and whathaveu. all appears and selling at very competitive price. with good return policy.

Posted by newbird82 > 2015-05-08 00:17 | Report Abuse

Sometime smth are out of our prediction one, don't under estimate Padini, Let's wait and see, haha.

Posted by gungho92 > 2015-05-08 15:13 | Report Abuse

why keep bashing padini ?
Although their performance will not be as good as their previous glorious years, but at least they are not going downhill yet. Admittedly, during their glorious days, there weren't as much competitors in the fashion industry those days.

Posted by tc88 > 2015-05-08 22:21 | Report Abuse

RM1.3 by next week?

Posted by stanleysew > 2015-05-11 17:50 | Report Abuse

time to pick up ......

Posted by Activetrader > 2015-05-11 23:12 | Report Abuse

i prefer uniqlo than padini... Japan vs Malaysia? bye Malaysia...one more thing. uniqlo is much more cheaper!! with good quality

Posted by Tsuto > 2015-05-12 12:33 | Report Abuse

Uniqlo cheaper than padini? Are u kidding me?

Posted by Kent > 2015-05-12 15:09 | Report Abuse

well, whatever it is, I am officially into this counter now.. :)

It's quite unfair to compare Uniqlo with Padini as they are targeting different tier of customer. I am frequent buyer of Uniqlo and Padini AND I am sure that Uniqlo is definitely not cheaper than Padini.

Posted by wannabeinvestor > 2015-05-12 15:11 | Report Abuse

lol.. me too wondering how cheap uniqlo is..

Posted by Kent > 2015-05-12 15:15 | Report Abuse

Uniqlo is cheap only if you buy it from Japan.... at least 30% cheaper than what you are getting here. Personally after I travelled to Japan once, I find myself not easily buy any Uniqlo clothes after knowing the huge difference in price for the exact same item.

I rather save the money and then go to Japan shop Gao Gao for Uniqlo... it's just my personal preference. :)

Posted by Tsuto > 2015-05-13 18:46 | Report Abuse

The uniqlo cheaper statement almost made me fall off from my chair lol

Posted by gungho92 > 2015-05-15 22:16 | Report Abuse

wait for result this month end...

Posted by powerwk > 2015-05-18 23:52 | Report Abuse

LOL...

Posted by sephiroth > 2015-05-19 16:05 | Report Abuse

wahhh 1.35 liau, i sapu some at 1.28, below 1.20 sailang kikikiki

Posted by sephiroth > 2015-05-19 16:15 | Report Abuse

walao padini absorb 6% gst pulak, hoh seh liau

Posted by Christensen > 2015-05-19 16:23 | Report Abuse

Big volumn?
Gonna drop more

Posted by skyz > 2015-05-19 16:46 | Report Abuse

thank you Maybank for your negative writeup! when your fund managers accumulated enough, I'm sure u will use a 14 or 16 PER and give a RM1.80 TP later on when you need to dispose your stocks

Posted by bluebiznet > 2015-05-19 16:46 | Report Abuse

sephiroth: any news on padini absorb the 6% gst?

Posted by sephiroth > 2015-05-19 16:56 | Report Abuse

Padini has decided to absorb the 6% GST from 1 Apr (estimated 5- 6% revenue impact) and maintain price tags of all existing products, as the cost to facilitate GST input tax claims across all outlets could be significant (i.e. stock-take, audit). Meanwhile, Padini could be scaling down its expansion plans as only four new outlets are confirmed for opening in 2015 at this juncture.

Bluebiznet, report from maybank research dated today