SLA - SILK LASER AUSTRALIA LIMITED

[pepee]

Vilavi in the U.S

 

https://www.vilavi.com/Viten

 

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What does it mean for a SLA shareholder?

[nipper]

Solagran .... believe it or not, Solagran SLA does not exist

 

From Delisted.com.au

 

25/01/2017 .... company is now called PRENOLICA LIMITED, the seventh name this company has had and arguably its 7th failure

 

 

delisted from the close of trading on Thursday, 31 December 2015, pursuant to Listing rule 17.12 and Guidance Note 33

 

if you are desperate for pinechips, try Leaf Resources LER or buy some Pinetarsol at your pharmacist

 

[nipper]

SILK Laser Australia Limited (SLA) is a specialist clinic networks, offering a range of non surgical aesthetic products and services. It has 53 clinics in its network throughout metropolitan and regional Australia, with 37 clinics owned by the Company or run in joint venture, typically with a leading cosmetic injectable nurse and 16 franchised clinics.

 

 

Founded in 2009, SILK is one of Australia's largest specialist clinic networks, offering a range of non surgical aesthetic products and services. It listed on the ASX in December 2020. Market cap $220 million.

 

SILK five core offerings comprise laser hair removal, cosmetic injectables, skin treatments, body contouring and fat reduction services and Owned Brand skincare products.

 

SILK's mission is to enable all consumers to have access to high quality and high efficacy treatments. SILK aims to do this by providing high quality client service, using advanced technology, at affordable prices. SILK currently has 53 clinics in its network throughout metropolitan and regional Australia, with 37 clinics owned by SILK or operated as a joint venture, typically with a leading cosmetic injectable nurse, and 16 franchised clinics.

 

SILK clinics are typically located in a shopping centre or on a high street, with all clinics across the network utilising contemporary branding and a consistent design and layout. SILK has a strong presence on the west coast of Australia and growing operations in Queensland and New South Wales..

 

 

 

as you can imagine, Covid lockdowns have not been particularly kind to business..... though it is still trading above its IPO price ($3.60?) at $4.10

 

Had a recent capital raise $20M placement, and now 60 clinics open

 

[nipper]

and looking to grow ... 18 June

 

SILK undertakes a $52 million strategic acquisition of Australian Skin Clinics and The Cosmetic Clinic in New Zealand, launches $20 million equity raising

 

Clinic footprint expands to 117 with strong foothold on Australian East Coast and scaled entry into Victorian and New Zealand markets

 

 

[plastic]

And I was led to believe Solagran would be coming back to market. I was conned by the Ruskies.

[nipper]

SILK beats FY21 Prospectus forecasts and upgrades guidance

.... Key FY21 highlights (vs FY20):

● Network cash sales up 68% to $85.1 million

● Reported revenue up 82% to $58.9 million

● Pro forma EBITDA up 180% to $17.3 million, 8% above upgraded guidance of $15 to 16 million

● Underlying EBITDA up 128% to $14.8 million

● Statutory NPAT up 123% to $5.2 million

● Pro forma NPAT up 839% to $7.5 million

● Cash flow from operations up 125% to $23.8 million

● 11 new SILK clinics opened in FY21, together with agreed $52 million acquisition of Australian Skin Clinics (ASC) / The Cosmetic Clinic (TCC) scaling Australian East Coast and New Zealand expansion efforts; takes the clinic footprint to 116

● Strong balance sheet with net cash of $44.1 million

● Average customer spend increased 28% to $605, reflecting strong growth in the injectables and body categories.

 

Surely Covid must be impacting?

The underlying business foundations of SILK are strong as demonstrated by like for like clinic performance when adjusted for lost trading days due to lockdowns. We are carefully managing the COVID 19 challenges across SILK, and at present approximately 80% of our SILK clinic network remains open. Our priority is to operate in a way that keeps our customers and team members safe. Our clinics continue to build waiting lists for clients in states where clinics are closed, to capture pent up demand in readiness for easing of lockdown restrictions. We intend to provide a further update on Q1 FY22 trading in October.

[nipper]

SLA getting a bit of traction as a recovery stock now that Covid lockdowns are easing off. Customers are looking to spend their money on a bit of pampering, so the argument goes

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In cosmetic stocks, Silk Laser Australia has rallied from a $3.45 offer price in its December 2020 initial public offering to $4.31. Silk Laser provides non surgical laser hair removal services, cosmetic injections, skin treatments and body sculpting services.

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Wilson Asset Management and Firetrail Investments are substantial shareholders in Silk Laser. Another fund manager told The Australian Financial Review that he likes the Silk Laser growth prospects but is concerned about the risk of greater regulation on cosmetic services.