Updates & Ideas

musicMagpie - Rental now £4m+ of gross profit

April 2023

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

Circular economy specialist musicMagpie (MMAG; 25.5p) has reported results for the year to end November, with sales flat at £145m. There was good volume gains for refurbished mobile phones (+£10.5m to £96.6m), which has grown into the dominant category (67% of total revenues) whilst sales of books and refurbished disc media declined by almost the same amount (-£10.8m to £48.7m). Gross margin was 26.3%, reflecting a change in mix. Loss before tax was £0.9m. During the year, more of musicMagpie’s refurbished smartphones were being rented to customers rather than being sold outright to them and this is the real gravy. Here musicMagpie is selling refurbished phones to consumers who go and arrange their own airtime. Active rental subs ...

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Altitude

Luceco

musicMagpie (January 2024)

musicMagpie (December 2023)

musicMagpie - “Buy more” gets a leg up with start of shopping centre rollout (September 2023)

musicMagpie (August 2023)

musicMagpie (July 2023)

musicMagpie - Starts selling on Walmart.com (February 2023)

musicMagpie - Rental metrics awaited (December 2022)

With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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