Watching from the sidelines

Mr Price is a great store, these guys get solid numbers for a formal retail space, much higher than their competitors. All my female friends buy sth from Mr Price regularly.
Their Gross Profit over the years stays juicy but those admin (rent and staff mostly) and selling expenses eat up almost everything. In 2016 there is phenomenal growth since they are already hitting it right.
Cashflows have been positive for 3 years with 2015 having a massive pile of cash sitting in the bank thanks to debt.
Kenya makes up a HUGE bulk of revenue and it is yet another company that hasnt made it in Tanzania. Losses in Rwanda and Mauritius. Zigzag of profits in Uganda even though sales are growing well.
PE ratio of 12.5 is high in a bear market

Overall I think its a good investment. Clothing industry is highly competitive though but there is enough room for everybody

I always doubted the middle class story until I saw the expansion rates of middle class aspiration businesses like Vivo Activewear and Suzie Beauty Brands among others.

There is a solid middle-class that can support Deacons growth upto a certain point despite the lackluster economy after which they can capture the mass market through off-price or sourcing from sweat shops.

all of mine buy from Gikosh/second hand so this is not my piece of cake

Thanks pesa nane.This business looks promising.However they will need to cut down their spiralling costs.This looks better than Kshoe.

We welcome Deacons to the NSE.

Frying pan