Is anyone earning out of this crisis?
I give up, been thinking about it for five minutes and that's as far as it goes. There must be someone to whom this turns out to be good for business, it peeves me that I can't think of one.
Every listed business has had their valuation seriously brought down, supermarkets had a bit of a spike to claw some back but their trading is affected overall. People may have cleaned up on toilet rolls but won't go out to buy more for as long as they last. Businesses that make PPE and all other equipment required to deal with this emergency will make more of it but the disruption to their overall activities puts into question whether they make much of an unexpected profit for the year.
Undertakers will have more customers but their business will be impacted in some other ways, there could be a mark-up on prices but that could also be bad for business. Not enough deaths to make much difference to their sales either, thankfully. Drug companies have already been revalued and that is all we need to know, they make money out of long-term medication that everybody is persuaded to spend the rest of their lives on, not a product that may be used once and for which there may be no need ever again.
Any ideas?
Every listed business has had their valuation seriously brought down, supermarkets had a bit of a spike to claw some back but their trading is affected overall. People may have cleaned up on toilet rolls but won't go out to buy more for as long as they last. Businesses that make PPE and all other equipment required to deal with this emergency will make more of it but the disruption to their overall activities puts into question whether they make much of an unexpected profit for the year.
Undertakers will have more customers but their business will be impacted in some other ways, there could be a mark-up on prices but that could also be bad for business. Not enough deaths to make much difference to their sales either, thankfully. Drug companies have already been revalued and that is all we need to know, they make money out of long-term medication that everybody is persuaded to spend the rest of their lives on, not a product that may be used once and for which there may be no need ever again.
Any ideas?
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Papa John, this was all his doing, we should have heeded his warning, this is his day of reckoning.
+ security companies--bouncers
And porn sites.
You only missed one. Oh, and apparently divorce filings are up, so family lawyers too. lol
I wonder if the two are correlated.
You only missed one. Oh, and apparently divorce filings are up, so family lawyers too. lol
I wonder if the two are correlated.
I'll pick just one example because it pretty much applies to all others, what they all lose in other areas. Electricity companies are not selling as much because industrial activity is all but mothballed, most of it is used in the business sector. Hand-gel makers may be selling more of it but they make a lot more things they're selling less of. Their stockmarket valuations are the best measure of it, before you add toilet rolls to the list.
(edited 4 years ago)
Original post by Drewski
Funerals, the upsurge in business more than makes up for any limitations they're encountering.
Dignity shares are at a five year low....
Edit
2004 seems to be the last time their shares were this low.
(edited 4 years ago)
Original post by Drewski
Funerals, the upsurge in business more than makes up for any limitations they're encountering.
It's not that much of an upsurge, specially divided by all funeral agents. There are restrictions in place to the number of people attending them, they'll lose money by not being able to sell as much of a sending off otherwise. I suppose, I don't know one.
Original post by Quady
Dignity shares are at a five year low....
Edit
2004 seems to be the last time their shares were this low.
Edit
2004 seems to be the last time their shares were this low.
Death rates have been low the last couple of years, but this is going to put a lot of them well back into the black.
Co-op funeralcare - biggest in the country - are twice as busy at the moment as they have been in any week for the last 2 years.
Original post by z-hog
It's not that much of an upsurge, specially divided by all funeral agents. There are restrictions in place to the number of people attending them, they'll lose money by not being able to sell as much of a sending off otherwise. I suppose, I don't know one.
It's better to do 4 funerals at £1000 than 1 at £3500
Original post by Drewski
Death rates have been low the last couple of years, but this is going to put a lot of them well back into the black.
Ok, doesn't really explain their share price halving over the last month.
Original post by z-hog
It's not that much of an upsurge, specially divided by all funeral agents. There are restrictions in place to the number of people attending them, they'll lose money by not being able to sell as much of a sending off otherwise. I suppose, I don't know one.
Original post by Drewski
Funerals, the upsurge in business more than makes up for any limitations they're encountering.
The funeral directors i work with are losing money. People dont have the money to spend on premium headstones and packages.
The restrictions are in place but you can attend the memorial service. But obviously people arent a d its a short sharp affair where upselling cant take place.
To answer OP, companies selling gym equipment and hire are doing very very well.
Original post by hezzlington
The funeral directors i work with are losing money. People dont have the money to spend on premium headstones and packages.
The restrictions are in place but you can attend the memorial service. But obviously people arent a d its a short sharp affair where upselling cant take place.
The restrictions are in place but you can attend the memorial service. But obviously people arent a d its a short sharp affair where upselling cant take place.
The volume coming is going to be a factor.
They're going to be screwed next year, though, so it's only a temporary thing.
Original post by Drewski
It's better to do 4 funerals at £1000 than 1 at £3500.
It isn't, it costs a lot more to organise four instead of one. The number of deaths we've had has to be put into context to the overall trade, an extra couple of thousand customers a year is hardly going to cause a stir. There are swings in the numbers of people dying yearly, probably bigger than that. There could be some contractors on what looks like extra business but they would be doing one at a time without the virus anyway. There must be other funerals being delayed to deal with the most urgent.
Original post by Drewski
The volume coming is going to be a factor.
They're going to be screwed next year, though, so it's only a temporary thing.
They're going to be screwed next year, though, so it's only a temporary thing.
Its not my industry so i can only speak based on the interaction with my client, but its one of those industries where an immediate surge in volume doesnt work quite well for them. Theyre working remotely and simply cant deal with the enquiries as effectively. I suppose thats virtually every business but at least e commerce / online retailers are in a better position to adjust to demand given they have large seasonal variations for example.
I would have thought they would do better next year. When this is all over they'd want to give their relatives a proper sending off so THEN people will spend the money, maybe.
Original post by z-hog
It isn't, it costs a lot more to organise four instead of one. The number of deaths we've had has to be put into context to the overall trade, an extra couple of thousand customers a year is hardly going to cause a stir. There are swings in the numbers of people dying yearly, probably bigger than that. There could be some contractors on what looks like extra business but they would be doing one at a time without the virus anyway. There must be other funerals being delayed to deal with the most urgent.
I work in the industry. I've seen the numbers. We'll be better off for a while.
Original post by hezzlington
Its not my industry so i can only speak based on the interaction with my client, but its one of those industries where an immediate surge in volume doesnt work quite well for them. Theyre working remotely and simply cant deal with the enquiries as effectively. I suppose thats virtually every business but at least e commerce / online retailers are in a better position to adjust to demand given they have large seasonal variations for example.
I would have thought they would do better next year. When this is all over they'd want to give their relatives a proper sending off so THEN people will spend the money, maybe.
I would have thought they would do better next year. When this is all over they'd want to give their relatives a proper sending off so THEN people will spend the money, maybe.
No, because next year all the people that 'should' die (based on life expectancy) will have died this year, so the death rate will most likely fall even lower.
And you'd be surprised at the ability of some to be able to scale up and deal with bigger numbers. Yes, local independents might not cope, but bigger national businesses are in the right place to succeed. But nobody cares about that because the only one that can isn't a PLC so nobody else can profit from them.
Anyway, I'm sure there are others doing better.
(edited 4 years ago)
Original post by hezzlington
To answer OP, companies selling gym equipment and hire are doing very very well.
Selling it to whom, gyms?
Original post by z-hog
Selling it to whom, gyms?
No, people who want to work out at home. The prices have gone up by more than 100% for simple equipment like dumbells.
Treadmill & concept 2 erg hire have seen huge surges in business and im struggling to find a place to hire a decent treadmill for an affordable rate, just in case i need it.
Companies that make kettlebells, powerbands, exercise matts are killing it too.
Original post by hezzlington
No, people who want to work out at home. The prices have gone up by more than 100% for simple equipment like dumbells.
Treadmill & concept 2 erg hire have seen huge surges in business and im struggling to find a place to hire a decent treadmill for an affordable rate, just in case i need it.
Companies that make kettlebells, powerbands, exercise matts are killing it too.
Treadmill & concept 2 erg hire have seen huge surges in business and im struggling to find a place to hire a decent treadmill for an affordable rate, just in case i need it.
Companies that make kettlebells, powerbands, exercise matts are killing it too.
I thought that was what you meant, weight gain and loss is up there in the list of concerns for many people, but the question that posed was: is the home market where the bulk of their trade lies or is it with the gyms that won't be buying anything at the moment. They could be fooling everyone into paying silly money for stuff they have sitting in the warehouse but still losing overall.
I dont think gyms will do too badly
A lot of their staff will be self employed personal trainers so payroll wont be a huge expense. Gyms rely on people NOT going to the gym anyway, albeit not all at the same time.
When this is over it will be like January again, full of all the New Years resolutioners.
@z-hog
A lot of their staff will be self employed personal trainers so payroll wont be a huge expense. Gyms rely on people NOT going to the gym anyway, albeit not all at the same time.
When this is over it will be like January again, full of all the New Years resolutioners.
@z-hog
(edited 4 years ago)
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