MFB - My Food Bag

[winner (n)]

Adapted from a summary of a poll in the US but I feel very true for the economic and political state of NZ these days.

Those who consider themselves among the wealthiest classes in NZ carry high levels of concern about their current finances, the years ahead and the prospects for their children. More than 40% of NZers who call themselves upper class or upper-middle class say they haven't saved enough money to retire comfortably. Only about 40% say their financial security is where they thought it would be at this point in their lives. Nearly three in five say they are strained by high gasoline prices. And those in the wealthiest classes have lost faith that an economy that has benefited them can lift future generations,

The consequence of this is that discretionary spend is given serious thought too - like do we really need to have My Food Bag deliver to us when we could manage with a bit of effort  do it ourselves.

Basically saying that over time the future potential market for Amy Food Bag is likely to shrink. Hence 'adaptability' is a key component to the strategy.

[lorraina]

I do wonder about these sort of polls.
They do not concur with what I see at St.Martins New World.
Booze section is 4 or more times larger than pet food or frozen food sections,in fact getting close to half the size of fruit and vege section.
Still plenty of grog in customer trolleys .Not cheap stuff.
Maybe people would have more savings tomorrow if the cut back on the expensive booze today..

[Arbroath]

Polls like that are complete BS imho. It's like the worried well. Too much time to think but will still spend money anyway.

[winner (n)]

3.1 million shares to 'eligible employees' as a bonus

Hey Basil ...... no consideration so I suppose the close to $1m 'remuneration' never appears in the P&L (so profit not affected)

How do you see it?

[lorraina]

7 July 2025
NZX Code: MFB
MY FOOD BAG GROUP LIMITED – ISSUE OF PERFORMANCE RIGHTS
6,952,753 Performance Rights have been issued to certain senior employees of My Food Bag under the
long-term incentive component of My Food Bag's newly established variable reward plan. If and to the
extent the Performance Rights vest the holder may exercise an option to acquire ordinary shares in My
Food Bag. The extent to which the Performance Rights for each participant will vest depends on the
achievement of certain company performance and personal performance hurdles in respect of FY26. A
Capital Change Notice reflecting this grant accompanies this announcement. As set out in the notice,
there are now 13,274,338 Performance Rights on issue (after taking into account those Performance
Rights that have previously lapsed or been exercised).

.
.
From today's announcement ;
• (c) Number of Financial Products of the same class remaining to be converted: 7,469,953
performance rights.

[Basil]

3.1 million shares to 'eligible employees' as a bonus

Hey Basil ...... no consideration so I suppose the close to $1m 'remuneration' never appears in the P&L (so profit not affected)

How do you see it?

If I recall correctly, the effective benefit provided is recorded as an expense in the P&L.  I think the scheme is too generous.

[winner (n)]

If I recall correctly, the effective benefit provided is recorded as an expense in the P&L.  I think the scheme is too generous.

They have a Share based payment account where new issues and cost is expenses

$500k odd expenses in FY2006

At least this way leaves more cash for juicy dividends - that's good eh

[Basil]

Yeah, I think from memory the annual benefit is accrued each year so that once the shares are issued the cost doesn't hit that years P&L all at once.   Also as you say, no cash is involved so it leaves more cash for tasty dividend feeds.

[lorraina]

Only trouble is we will receive smaller slices of the cake..

[Basil]

I think the cake is getting a bit bigger each year though certainly seeing as they've been using circa $4m a year in cash flow to become debt free. 
Gosh, imagine for a minute if we're not in recession this year and the economy recovers.  Yeah, I know that's hard to imagine, its been so long since the economy did that, I've almost forgotten what its like !

[lorraina]

Yes people are more confident with a Labour Govt...................................lol.