In this interview on ABC1′s ‘The Business’, Roger discusses with Ticky Fullerton his reaction to the news that car manufacturer Holden is to cut 500 jobs in Adelaide and Melbourne. Watch here.
In 1983, 19 per cent of the Australian workforce was in the manufacturing sector. This year, that figure stands at just 9 per cent.
This decline is a common trend across the western world.
So what’s happening to Australian manufacturing and where’s it going?
If you are an investor in ARB or any listed business exposed to car sales such as Super Retail Group or Automotive Holdings, you may be interested in the latest Vfacts stats below that were kindly sent to us by our friends at broker Taylor Collison.
In this edition of Ross Greenwood’s Radio 2GB program, Roger recaps his highlights of the half-year reporting season with Ross, and also provides his insights into the prospects of Jumbo Interactive (JIN), Fleetwood (FWD) and Ten Network (TEN). Listen here.
This program went to air on 26 February 2013.
Pumpkin Patch is a New Zealand company that specializes in higher-end children’s wear. The company began in New Zealand in 1990 and expanded into Australia in 1993, and has managed to reach mature growth in both markets. Many Australasian retailers that reach mature growth will use their positions to support overseas expansions. Pumpkin Patch has managed to launch a profitable wholesale business by signing distribution agreements to hundreds of department stores around the world. However, its store rollout into the UK in 2001 and the US in 2005 has really hurt the company. This retail model was never profitable, and while a high New Zealand dollar and sluggish retail environment did little to help their margins, management were unable to replicate the success of the Australasian stores. The company accumulated NZD13.5 million of retained losses before management made the decision to close their UK and US stores and focus on their online and wholesale divisions.