10 Comments

How do you think the company will do if the French economy dips into recession? They be more defensive as a food producer, but I also think of retail bakeries as more expensive than the grocery store. And it sounds like they are also connected to the restaurant business.

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author

The eating out part would get hurt. Also there are some bakeries that are next to some industrial district which would see less traffic from the workers.

The catering would get hurt by the reduced corporate spending.

On the other hand the bakeries are next to Switzerland and the region is very recession proof thanks to the Swiss jobs.

The bakeries in France are a bit like Religion so I don't expect this spending to be reduced.

Overall some effect, but not very big.

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Feb 18Liked by Emerging Value

Interesting business for sure, dividend is too tiny for me

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Interesting company.

Do you think the water business makes sense as a segment of a bakery? Why did they go into that?

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author

The founder did it for emotional personal reasons. He knew the water source and he knew that the water was good and he wanted to do something positive with it.

It does not make sense as a segment of bakery. I just hope for no more losses in a year or two and some profit.

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How big is the current stake of the founder in a company?

And how do you manage to read results in french?

Thanks, interesting thread!

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Float is 23%

Poulaillon Family is all the rest, but split between family members and the founder as 23%.

I speak French :)

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Great to hear that, I don't know, how to manage languages at small caps, where there isn't any possibility to read it in english

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author

Its difficult when I dont speak the language, and I apply a basket approach

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It’s a lot easier nowadays. Just pull all the documents through Google translate. There’s other translators too, that are better translating tables.

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