The Hour Glass

[Pursuitofknowledge]

I much prefer management to use the cost of opening Laudree stores to pay down debts and strengthen their balance sheet as the luxury industry is quite cyclical. Laudree has the culture of opening 1-2 stores in each country to preserve their luxury status which implies that even if THG wanna increase their outlets, it will be hard to do so. source:http://en.wikipedia.org/wiki/Ladur%C3%A9e and like what dzwm87 has noted, the novelty effect will decrease and eventually this will become a stagnant, slow grow business. It might provide good margin or some additional cash for the company but I rather the management focus their attention on the luxury watch business.

[crabcrab]

Seems that there is an opposition force among dissent shareholders that are against the investment in Lauduree. I beg to differ on the view. I hv not known that there is such confectionery called 'Macarons' until I was introduced to it some 2years ago as a high class confectionery of a French culture... Unknowingly, a western culture has started to find its roots in the last 5 years especially globalisation rapidly took place... The culture and demand of Macarons had somehwat already an in thing in the upper class in Singapore.. Lauduree is a v famous brand among the Macarons industry - like the Rolex in the watch industry.. In France, chamselysse, the queue for lauduree Macarons are always there.. The hour glass, as a luxury watch retailer, are seen to repositioned itself as a luxury retailer (taking out the watch). If successful, would definitely bring itself to a new line of revenue and income... It is a foresight that could bring hr glass to a next level to being a luxury retailers in Asia.. I hv no qualm of hr glass to invest in this new venture. As entrepreneur, I am always forward looking, sometimes only with the just do it attitude that we could hv a chance to reap the fruit of success, else be stagnant always. As a shareholder of thg, I wish them all the best and looking forward for more new and exciting venture in the luxury sector...

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Hopefully lauduree chairman is interested to invest in thg following the jv. The We should be able to see hr glass hitting more than $2 soon..

[lazyplane]

(Vested)

I think there is quite a bit of discussion with Lauduree joining HG.

My 2 cents comment is this :
a. Is Singapore the right market for lauduree
b. Is it the right time ?

a. i feel SG is the right market. Look at Orchard road.. The transformation for SG Orchard road shows the trend for such luxury items. I think we have more and bigger brand names coming over.So why not food choices as well ? Margins r really high in food biz.

b. Right time ?
Well, This one is really subjective. I think this where the bet is most uncertain. I cant be sure that the feel good feeling is going to run forever. It doesnt seem to stop, but it cant run forever...

When it hits, prepare to run fast
Even in mild downturn , Retail companies cant cover the NAV not to mention trade over NAV. HG is now around 30% over NAV. This will evaporate very fast when such a down turn hit. The reason is due to inventory write downs.

Finally, , i think HG mgt has delivered over the past few years. So give them the benefit of the doubt.

Seems that there is an opposition force among dissent shareholders that are against the investment in Lauduree. I beg to differ on the view. I hv not known that there is such confectionery called 'Macarons' until I was introduced to it some 2years ago as a high class confectionery of a French culture... Unknowingly, a western culture has started to find its roots in the last 5 years especially globalisation rapidly took place... The culture and demand of Macarons had somehwat already an in thing in the upper class in Singapore.. Lauduree is a v famous brand among the Macarons industry - like the Rolex in the watch industry.. In France, chamselysse, the queue for lauduree Macarons are always there.. The hour glass, as a luxury watch retailer, are seen to repositioned itself as a luxury retailer (taking out the watch). If successful, would definitely bring itself to a new line of revenue and income... It is a foresight that could bring hr glass to a next level to being a luxury retailers in Asia.. I hv no qualm of hr glass to invest in this new venture. As entrepreneur, I am always forward looking, sometimes only with the just do it attitude that we could hv a chance to reap the fruit of success, else be stagnant always. As a shareholder of thg, I wish them all the best and looking forward for more new and exciting venture in the luxury sector...

---

Hopefully lauduree chairman is interested to invest in thg following the jv. The We should be able to see hr glass hitting more than $2 soon..

[georgelee]

As the populations gets more involved in luxury watches. I believe no matter who step in in Hour Glass. It will still be gaining good results.
My 2 cents worth~

[crabcrab]

The Hour Glass ($1.80) - Stabilized at this price level. Any selling seems to be well absorbed. Maybe ready for another round of fresh surge any time soon...

[dydx]

Share price wise, THG - despite being an illiquid stock! - has consistently out-performed the STI since 2Jun11.....
http://finance.yahoo.com/echarts?s=E5P.S...=undefined;
In fact, THG has out-performed the STI by a whopping 80% in the last 2 years! And mind you, this is before counting the dividends, which totalled $0.11/share in the last 2 FYs.

Would THG be able to continue providing its shareholders a superior return? I guess there are quite many shareholders - me included - betting on just that!

[crabcrab]

Hr Glass ($1.85) - getting higher and higher recently. New support established at $1.82.. Breaking out above $2.00 soon likely...

[Boon]

Just when THG is setting up its second shop in Hong Kong, its competitor, Emperor Watch, has made its foray into Singapore - please refer to page 23 and 24 of EW Retail Network dated 08-April 2013:

http://www.emperorwatchjewellery.com/wpa...r-2013.pdf

(Vested)

[WolfT]

Hmmm... I thought those shops at Hilton are there for quite some time liao?

[Boon]

Hmmm... I thought those shops at Hilton are there for quite some time liao?

From page 20 of FY2012 Result of Emperor Watch:

"The Group believes that Southeast Asia will become a new revenue contributor. In early 2013, the Group has successfully expanded the coverage from Greater China to Southeast Asia by initiating a presence in Singapore. The Group will continue to look for other expansion opportunities in Southeast Asia in order to fully capture the luxury consumption growth momentum."

http://www.emperorwatchjewellery.com/wpa.../e0887.pdf