NLX 0.00% 6.4¢ nylex limited

Folks it is great to see that you have made some profits on this...

  1. 6,682 Posts.
    Folks it is great to see that you have made some profits on this share, and I mean this sincerely.

    But:
    Pick your time to get out and keep them (profits).

    Nylex will not succeed in their current businesses.
    Garden Gear:
    This market is now controled by Bunnings and the likes, take the time to go in and have a look at what they have on the shelf. Take special notice of some of the more expensive items ($20+) and have a look for dust on them.
    Nylex is no longer competitive in this market and the brand carries less value than it used to.

    Tanks;
    Nylex bought the crowd in Pakenham (cant remember their name) and have messed this business up completely. Again go and have a look at a rural supplies store outside of Melbourne and have a look at the brands... not Nylex. These tanks are too large and cheap to freight around the country competitively.
    Tanks are generally made by local manufacturers as they need to be close to market.

    Laminates:
    I do not know enough to comment on these specifically.

    Geotextiles (membranes and drainage).
    Great products but not used widely, Nylex has a distributor agreement with Macaferri who also sell products of their own against the Nylex brand.

    Automotive.... enough said...

    Mesh
    Nylex have lost and will continue to lose business in this sector.

    Against all of this is the fact that most states will start to impose restrictions on water.
    It needs to rain to fill tanks.

    Again go for the trade but do not expect Nylex to make money... it will struggle.

    This is stuff I know and deal with.

    All info provided in good faith.
 
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