Is Slater & Gordon going Broke?

Discussion in 'Living Room' started by RPI, 27th Nov, 2015.

Join Australia's most dynamic and respected property investment community
Page 5 of 7
  1. larrylarry

    larrylarry Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    5,392
    Location:
    Sydney
    There goes my investment. Is it too big to fail?
     
    larrylarry, 27th Feb, 2017
    #81
  2. Perthguy

    Perthguy Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    11,767
    Location:
    Perth
    Looks like it might fail :(
     
    Perthguy, 27th Feb, 2017
    #82
  3. BarneyRubble

    BarneyRubble Well-Known Member

    Joined:
    20th Jun, 2015
    Posts:
    283
    Location:
    Brisbane
    Results just released, don't look too promising:

    1H17
    Revenue $322.7M -33%
    Net Loss $425.1M ($350M impairment charge in UK assets)
    Net cash flow -$11.4M
     
    BarneyRubble, 27th Feb, 2017
    #83
  4. RPI

    RPI SDA Provider, Town Planner, Former Property Lawyer

    Joined:
    18th Jun, 2015
    Posts:
    2,025
    Location:
    Brisbane
    I agree with Morningstar's assessment, although the UK investment was a disaster, the entire underlying business was based on using shares to purchase existing businesses at over inflated prices and then using either the acquisitions cash, increased valuations or combination thereof for cashflow.
     
    RPI, 28th Feb, 2017
    #84
    mrdobalina likes this.
  5. larrylarry

    larrylarry Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    5,392
    Location:
    Sydney
    If it does, I will be welcoming their clients coming over. ;) They are about 100m away from me.
     
    larrylarry, 28th Feb, 2017
    #85
    Perthguy likes this.
  6. Perthguy

    Perthguy Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    11,767
    Location:
    Perth
    Closed out the day at 0.10, down another 21.60% in one day.
     
    Perthguy, 28th Feb, 2017
    #86
  7. BarneyRubble

    BarneyRubble Well-Known Member

    Joined:
    20th Jun, 2015
    Posts:
    283
    Location:
    Brisbane
    We will know in the next 90 days, if they cannot pay the interest on debt when due. Cashflow does not point to it being possible.
     
    BarneyRubble, 28th Feb, 2017
    #87
  8. S0805

    S0805 Well-Known Member

    Joined:
    3rd Jul, 2015
    Posts:
    476
    Location:
    VIC
    lost my investment as well. out of curiosity, can i carry forward the losses to future fin. years or it has to be offset against gains this year only....
     
    S0805, 28th Feb, 2017
    #88
  9. KDP

    KDP Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    481
    Location:
    Melbourne
    It can be carried forward.
     
    KDP, 28th Feb, 2017
    #89
  10. Perthguy

    Perthguy Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    11,767
    Location:
    Perth
    You would have to check with @Terry_w or @Paul@PFI but as far as I know you can carry forward losses. Not advice.
     
    Perthguy, 28th Feb, 2017
    #90
  11. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

    Joined:
    18th Jun, 2015
    Posts:
    41,891
    Location:
    Australia wide
    Has the company been wound up yet? If so it may be a capital loss and it may be able to be carried forward to offset future capital gains.
     
    Terry_w, 28th Feb, 2017
    #91
    S0805 and Perthguy like this.
  12. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

    Joined:
    18th Jun, 2015
    Posts:
    41,891
    Location:
    Australia wide
    Oh and if you had borrowed to buy the shares you may also be able to claim the interest going forward under certain conditions.
     
    Terry_w, 28th Feb, 2017
    #92
  13. Ted Varrick

    Ted Varrick Well-Known Member

    Joined:
    21st Jun, 2015
    Posts:
    1,941
    Location:
    No Mans Land
    Hopefully a bunch of the usual suspects will not start posting lawyer jokes in this thread as that would be a little disappointing....
     
    Ted Varrick, 28th Feb, 2017
    #93
  14. 158

    158 Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    1,275
    Location:
    Brisbane, Qld


    pinkboy :D
     
    158, 28th Feb, 2017
    #94
    mrdobalina and Perthguy like this.
  15. mrdobalina

    mrdobalina Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    1,959
    Location:
    there's more to life than working
    What do you get when you cross a lawyer with a...
    ... Oh never mind.
     
    mrdobalina, 1st Mar, 2017
    #95
    Ted Varrick likes this.
  16. Perthguy

    Perthguy Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    11,767
    Location:
    Perth
    This is not good. Down another 27.55% today to $0.071 :(
     
    Perthguy, 1st Mar, 2017
    #96
  17. Ted Varrick

    Ted Varrick Well-Known Member

    Joined:
    21st Jun, 2015
    Posts:
    1,941
    Location:
    No Mans Land
    PG, have a look at their half yearly report they just put out.

    Hopefully you don't have a reaction similar to the last time you woke up with an awful hangover, and then accidently drank a lukewarm tuna milkshake with a hair in it...
     
    Ted Varrick, 1st Mar, 2017
    #97
    158 and Perthguy like this.
  18. Perthguy

    Perthguy Well-Known Member

    Joined:
    22nd Jun, 2015
    Posts:
    11,767
    Location:
    Perth
    I don't own any of their shares but I don't take any joy in investors losing their money. People put their faith in S&G and were completely let down IMO.

    P.S. vegetarian and I have never had a hangover so unlikely scenario :D
     
    Perthguy, 2nd Mar, 2017
    #98
    Ted Varrick and 158 like this.
  19. RPI

    RPI SDA Provider, Town Planner, Former Property Lawyer

    Joined:
    18th Jun, 2015
    Posts:
    2,025
    Location:
    Brisbane
    Victorian barristers have now been advised to get money up front before working for slater's because of the risk they are going under. - under headline "get cash first, briefs warned" in Herald Sun.
     
    RPI, 5th Mar, 2017
    #99
    Perthguy likes this.
  20. au contraire

    au contraire Well-Known Member

    Joined:
    30th Dec, 2015
    Posts:
    128
    Location:
    Melbourne
    Oh dear this is sounding worse and worse by the day.

    I have a few dealings with the firm in my line of work and there has been a huge exodus over the last year, with the remaining staff not really seeming to have their hearts in it anymore.

    Sad to see such terrible decisions at the management level leaving the futures of those who actually bring in the money very uncertain.
     
    au contraire, 5th Mar, 2017
    #100
Page 5 of 7
Paying too much CGT or tax – Or not enough ?

Not all tax advisers are property focussed specialists and DIY errors will always cost you. We know property taxes and will advise and get it right. Even a second opinion. Contact us for an obligation free initial consult (conditions apply).