Follow-up on DEB and NXT; plus MTC

Six months ago, I wrote about hight-street retailers DEB (Debenham) and NXT (Next). I had made a note to myself to write a six months follow-up. Hence this post.

DEB was 42.75p, is now 29.56p.

NXT was 3890p, is now 4953p.

I was bearish on both of them. So I was half-right.

DEB seems to have gotten itself in a bit of a financial mess.I have always thought DEB merchandise to be too pricey.

MTC (Mothercare) announced its results today, causing its shares to drop 28%. Obviously not a good sign. I do not really see how MTC  has any reason to exist. Its UK L4L sales declined 7.2%. Its online sales also declined, as did international sales. It seems on a long, slow, painful decline to irrelevancy.

I just read that MTC has introduced in-store cafes. This is not new, though. The idea goes back to 2012. A quick Google revealed that in 2015, the Telegraph reported:

Mothercare scraps yoga studios to put in play areas

I recall that HMV introduced cafe stores in a bid to keep punters in the store longer. Perhaps setting up cafes in-store is a sign that a chain is reaching. Yoga studios seems just bizarre. It is a sure sign of utter desperation.

MTC must surely be toast. It’s just a question of time.

UNDIES.jpg

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About mcturra2000

Computer programmer living in Scotland.
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One Response to Follow-up on DEB and NXT; plus MTC

  1. Pingback: MTC – Mothercare – All-Share top faller | Mark Carter's blog

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