Forum Archive Index - July 2001

["Grant Keymer" <grant@jenlogix.co.nz>]

I would like to add my 2 cents worth here:

 

RNS has done a fantastic job in turning themselves around over the last few years - and in the process becoming a very efficient distribution company. They did that by using technology to change the way they did business - and did it well.

 

Because my line of work is in the computer industry, I have had occasion to deal with RNS on several occasions.

Actually, it would have been a lot more occasions if only the staff at RNS had even been slightly onto it.

My experience has consistently been that the distribution staff at RNS couldn't organise a piss-up in a brewery!

Many other people that I know in the industry say the same.

 

RNS' main competitor is Tech Pacific, part of the Hagemeyer group.

For efficiency, professionalism and plain-old courtesy, Tech Pac have it all over RNS.

 

One of the main reasons the share price of RNS performed last year was because they transformed themselves from Triumph Sheetmetals into an IT company.

 

But, as in the case of ADV, last year's stellar performer is this year's dog!

 

Another factor that may have something to do with the recent slide in RNS' share price was a small news item that appeared in the Herald (I think on Monday this week).

It said that 10 developers were being made redundant from Conduit.

 

They tried to explain it away and say that a lot of the initial work was now completed, but this contradicts the previous hyped-up growth stories which emanated from their PR people during the heady days of 2000.

Like most companies in the IT / Tech industry, they will be finding that 2001 is the year from hell.

 

All of the above factors will be having an influence on RNS' share price I would imagine, and to be honest I am surprised it has taken so long for the decline to start.

 

Cheers

 
Grant Keymer
____________