Anyone notice the exratordinary volumes yesterday? (10/5/2004)

48 million!!!

Many more buys than sells.

That and the price held out only losing a fraction of a penny.

No Easter Eggs in sight in my local store.

May be one reason but............

Any ideas people?

Tell,him 599 is way over the top just now.

Knock them out at 399 and they may sell.

Leave electronics to PC World and Co.

That explains that!

The Company really should stick to basics.

Looks like WLW is in for a rough ride then, how far down before rebound I wonder?

Agree SWW - Or better still John Lewis who will match (and normally better) any price and give you a better guarantee

Woolworths Group PLC
04 January 2005

Woolworths Group Plc


Post-Christmas Trading Statement


4 January 2005



Woolworths Group plc is today providing an update on its trading performance
over the Christmas period and for the 48 weeks to 1 January 2005.


In the four weeks to 1 January 2005, like-for-like sales in Woolworths Mainchain
were flat against last year. This followed a weak November in which sales of
entertainment products and toys were disappointing. In entertainment, there was
a shortage of electronic games hardware and key DVD releases underperformed
market expectations. In toys, the overall market was difficult and the sales
uplift in the Mainchain did not fully reflect the increase in space given to the
category.


In the four weeks to 1 January 2005, like-for-like sales at Woolworths big W
declined by 8.0% and at MVC by 4.7%. The performance at Woolworths big W
reflects the impact of the phased exit from a number of non-core categories in
preparation for the disposal or cut down of a number of sites. MVC was impacted
by an unusually high number of competitor openings in over two thirds of its
catchments.


In the 48 weeks to 1 January 2005, total Group sales, including share of joint
ventures, rose by 2.9%, with the Entertainment Wholesale and Publishing
businesses up by 31.6% and the Retail fascias down by 3.3%. Like-for-like sales
in the Mainchain were down by 1.5%, Woolworths big W was down by 4.1% and MVC
was down by 5.3%.


The gross margin for the combined Mainchain and Woolworths big W businesses has
continued to improve and subject to the year-end store stock counts, it is
anticipated that for the year as a whole it will be approximately 30 basis
points ahead of last year.


Despite the weak retail sales, the Group maintained a tight control over costs
and stock. As a consequence, it is anticipated that at the year-end, seasonal
stocks will be at a comparable level to last year. Throughout the year, the
Company has performed well operationally and has delivered a high level of
in-store availability together with improved levels of customer service.


At the 58 refurbished 10/10 stores, sales and margins continue to perform ahead
of the rest of the Mainchain. This performance, combined with second year growth
and reduced capital expenditure per store continues to evidence a sound
investment case.


Good progress continues to be made with the restructuring of Woolworths big W.
Contracts have been exchanged for the complete disposal of seven sites subject
to receipt of landlord approval. Interest has been shown in the excess space in
a number of the remaining stores and two stores were cut down in October and
traded through Christmas. The net exceptional cost of the big W restructuring is
not anticipated to exceed the guidance given last March, although it will be
spread across two financial years and the cash impact is expected to be
substantially lower. A more detailed update will be given within the preliminary
results announcement.


Entertainment UK has performed well over the Christmas period and despite the
pressure on its gross margin the increased volume from new customers will result
in its profits for the year being marginally ahead of last year.


2entertain, our joint venture with BBC Worldwide, has enjoyed a particularly
strong Christmas with three titles ('Little Britain-Complete First Series', '
That Peter Kay Thing' and 'Jeremy Clarkson-Hot Metal') all being in the top 20
DVD chart in the week before Christmas. As a consequence, the full year profit
contribution to the Woolworths Group from video and music publishing will be
ahead of last year.


The Board anticipates that the Group profit for the year, before tax,
exceptional items and goodwill, will be similar to last year.


Commenting on the Christmas trading performance Trevor Bish-Jones, Chief
Executive said:


'Although we are disappointed with the sales performance in our Retail business,
we have made good progress on improving the gross margin and remain confident
about the potential of Woolworths and our Entertainment businesses. Woolworths
has responded well to investment in systems and stores, which has resulted in a
better store environment, an improved product offering and has made us
significantly stronger operationally. Using our strong positive cash flow we are
confident that continued investment in our stores will underpin future growth.'


The Group intends to announce its preliminary results for the year to 29 January
2005 on the 23 March 2005.

Woolworth struggles
MoneyAM
Woolworths Group expects its full-year group profit before tax to be similar to last year.

The group reported a difficult Christmas trading period.

In the four weeks to January 1st 2005, like-for-like sales in its Woolworths mainchain stores were flat against last year, following a weak November in which the company said sales of entertainment products and toys were 'disappointing.'

During the same period like-for-like sales at its home entertainment retail business MVC fell by 4.7%, which the company attributed to 'an unusually high number of competitor openings.'

Now this will be interesting to see what happens during the week!

36

Or less.......

This is without doubt a profits warning, WLW depend on Christmas for the rest of the year so they would seem to be in trouble.

Who next?

Dave I think this will hold around 37 - 39p now till the trading statement which will rehash this.

That will be the day I see it going sub 35p for most of the spring and summer.

If they fail to hold up then, it will be a very difficult year for Woolworths with everything being pinned on next Christmas.

Probably not the best time to invest in them!

All imho etc.

Pick your own off the floor,and not from the shelf,could be a nice pay day in the future,still no position yet.

This trading update according to the forward diary on text should have come on the 14th - I wish it had frankly, as other retailers would have also given
out figures by then and it could have been put into a better perspective.
As it is these were - I think - the first announced following the Xmas
period and frankly that ain't a good move unless you're going to report
something more positive - at least it's recovered a bit from earlier
when it dipped to 36 odd pence.....Bit like the Titanic now, just holding
on to the wreckage....
:>(

KBC Peel Hunt says buy Woolworths (WLW.L) (on weakness).

Panmure says hold Woolworths (WLW.L) (reducing the target price to 40p from 45p).

Cheers SWW - and a happy new year to you - here's to a profitable 2005!!
The sun certainly isn't shining in Woolies Winter Wonderland today.

I would agree with that sw,{on weakness}.

By: Gavin Lumsden, Editor in Chief
07:41 Tue 04 January 2005

Woolworths shares slide 3p to 37p following the poor Christmas trading statement.

Confirming fears of a bad Christmas for many retailers Woolworths (WLW) said like for like sales at the main chain were flat in the 4 weeks to 1 January, fell 8% at Big W and fell 4.7% at MVC.

In the 48 weeks to 1 January total sales gained 2.9% helped by the entertainment wholesale and publishing business. However, like for likes at the main chain fell 1.5%, Big W was down 4.1% and MVC slid 5.3%.

Seymour Pierce notes that gross margins improved by 30 basis points but says this is well below the 150 point improvement that management was seeking. Seymour Pierce says its decision before Christmas to cut 2005 pre-tax profit forecast to 68 million looks justified. For 2006 the broker has cut forecasts from 89 million to 76 million. It has maintained its underperform stance on the stock.

'A poor performance from the group, though we are sure that Woolworths will not be the last to disappoint,' it says.

Begining to look like 35p may be on the cards imo.

but not today..........

Come on wlw,come to your uncle dave!!

lol

Morning Dave and don't jinx my tiny profit young man! ;>)
As it stands now there's about enough in my WLW pot left to
get me a pot of Pick-n-Mix
:>)

Morning bunny,sorry to here that,young man theres hope for us 40 year olds yet then,missed it early on that 36,i feel it will be here again,,anybody want a buy a time pc 599,but i can get it for 299,i now a man at woolworths,,and theres a camera.
I have been to see my guy at wlw,this morning,still 18 left.