Mayar Capital Q1 2024 Letter To Partners

seekingalpha04-19

Mayar Capital provides investment management services to institutions, family offices, and high net-worth individuals.For the three months ending March 31, 2024, the Mayar Responsible Global Equity ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2428665424?lang=en_US&edition=fundamental","thumbnail":"https://static.seekingalpha.com/cdn/s3/uploads/getty_images/1017193718/image_1017193718.jpg","is_english":true,"pubTime":"2024-04-19 23:40","share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","id":"2428665424","market":"hk","top_or_hot":-1,"title":"Mayar Capital Q1 2024 Letter To Partners","media":"seekingalpha","content":"<div>\n<p>Mayar Capital provides investment management services to institutions, family offices, and high net-worth individuals.For the three months ending March 31, 2024, the Mayar Responsible Global Equity ...</p>\n\n<a href=\"https://seekingalpha.com/article/4684741-mayar-capital-q1-2024-letter-to-partners\">Source Link</a>\n\n</div>\n","source":"seekingalpha","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Mayar Capital Q1 2024 Letter To Partners</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nMayar Capital Q1 2024 Letter To Partners\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-04-19 23:40 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://seekingalpha.com/article/4684741-mayar-capital-q1-2024-letter-to-partners><strong>seekingalpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Mayar Capital provides investment management services to institutions, family offices, and high net-worth individuals.For the three months ending March 31, 2024, the Mayar Responsible Global Equity ...</p>\n\n<a href=\"https://seekingalpha.com/article/4684741-mayar-capital-q1-2024-letter-to-partners\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"JNJ","symbol_name":"强生","start_time":0,"source_url":"https://seekingalpha.com/article/4684741-mayar-capital-q1-2024-letter-to-partners","article_id":"2428665424","we_media_id":null,"thumbnails":["https://static.seekingalpha.com/cdn/s3/uploads/getty_images/1017193718/image_1017193718.jpg"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2428665424","pubTimestamp":1713541200,"sourceInfo":{"source_id":"seekingalpha","name":"Seeking Alpha"},"weMediaInfo":null,"summary":"). This lesson stuck. Some professions understand this concept instinctively. Take lawyers – great ones have amazing track records not because they win every case, but because they pick battles with a high chance of success. When I started investing, I thought the key to outperforming was being the smartest person in the room. That meant knowing more than anyone else. Boy, was I wrong!Trying to collect vast amounts of information actually made me overconfident, and that's a dangerous place to be. Remember that Dunning-Kruger effect?] Thus only a fraction of the ultimate load- carrying capacity of the[ structure] is utilized when the allowable load is applied. The remaining portion of the load- carrying capacity of the[ structure] is kept in reserve to assure its safe perf","collect":0,"end_time":0,"defaultTopTitle":"seekingalpha.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"JNJ":"强生","V":"Visa","LU0642271901.SGD":"Janus Henderson Horizon Global Technology Leaders A2 SGD-H","HWDJF":"Howden Joinery Group Plc","BFAM":"Bright Horizons Family Solutions","CAPMF":"Capgemini SE","EA":"艺电","BK4223":"办公室房地产信托","FTCHF":"Farfetch Limited","MMM.AU":"Marley Spoon","BK4592":"伊斯兰概念","IE00B1XK9C88.USD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A\" (USD) ACC","NNRHF":"Neinor Homes Sa","UN":"联合利华(荷兰)","HLICF":"Helical Bar Plc","BK4585":"ETF&股票定投概念","IE00BSNM7G36.USD":"NEUBERGER BERMAN SYSTEMATIC GLOBAL SUSTAINABLE VALUE \"A\" (USD) ACC","LU0109392836.USD":"富兰克林科技股A","ASHTF":"Ashtead Group PLC","LU1861217088.USD":"贝莱德金融科技A2","LU1267930813.SGD":"FRANKLIN TEMPLETON SHARIAH GLOBAL EQUITY \"AS\" (SGD) ACC","MA":"万事达","BK4535":"淡马锡持仓","UL":"联合利华(英国)","LU0097036916.USD":"贝莱德美国增长A2 USD","KVUE":"Kenvue Inc","LU":"陆金所","LU1066051498.USD":"HSBC GIF GLOBAL EQUITY VOLATILITY FOCUSED \"AM2\" (USD) INC","LU0689472784.USD":"安联收益及增长基金Cl AM AT Acc","PYPL":"PayPal","BVHMF":"VISTRY GROUP PLC.","NTDOY":"任天堂","BK4568":"美国抗疫概念","SSNLF":"三星电子","LU0965509283.SGD":"AB LOW VOLATILITY EQUITY PORTFOLIO \"AD\" (SGDHDG) INC","IE00B1BXHZ80.USD":"Legg Mason ClearBridge - US Appreciation A Acc USD","LH":"徕博科","LU0985320562.USD":"NORDEA 1 GLOBAL STARS EQUITY \"BP\" (USD) ACC","BK4094":"服装零售","VWDRY":"Vestas Wind Systems A/S","SG9999001440.SGD":"United Global Dividend Equity Fund A SGD Dist","LU0289941410.SGD":"AB FCP I Dynamic Diversified AX SGD","LU1244550494.USD":"FRANKLIN GLOBAL MULTI-ASSET INCOME \"A\" (USDHEDGED) ACC","MMM":"3M","BK4085":"互动家庭娱乐","BNTGF":"Brenntag SE ","ULVR.UK":"联合利华","BK4504":"桥水持仓","BTLCY":"British Land Company (The) PLC","CFRHF":"Compagnie Financiere Richemont AG"},"translate_title":"Mayar Capital Q1 2024致合作伙伴的信","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"BFAM":1,"VWDRY":1,"V":1,"UL":1,"SSNLF":1,"PYPL":1,"NTDOY":1,"NNRHF":1,"MMM.AU":1,"MMM":1,"MA":1,"LH":1,"KVUE":1,"JNJ":1,"HWDJF":1,"HLICF":1,"EA":1,"ASHTF":1,"BNTGF":1,"BTLCY":1,"BVHMF":1,"CAPMF":1,"FTCHF":1,"CFRHF":1,"UN":0.6,"ULVR.UK":0.6,"LU":0.6},"content_text":"Mayar Capital provides investment management services to institutions, family offices, and high net-worth individuals.For the three months ending March 31, 2024, the Mayar Responsible Global Equity Fund (Class A) was up 4.31% net of all expenses and fees, while the MSCI World Index increased by 8.88% in the same period.We prioritize a cautious approach and demand a Margin of Safety - it's not because we're not ambitious; it's because we're realists and self-aware.   gremlin Our Performance For the three months ending March 31, 2024, the Mayar Responsible Global Equity Fund (Class A) was up 4.31% net of all expenses and fees, while the MSCI World Index increased by 8.88% in the same period. Since its inception in May 2011, the Fund has seen a 211.99% increase versus a 226.71% increase for the MSCI World. This corresponds to a 9.21% annualized rate of return for the Fund, compared to 9.60% for the MSCI World. “ Shall I tell you what knowledge is? It is to know both what one knows and what one does not know.”- Confucius General Commentary I've always been fiercely competitive. As a kid, I loved playing games, but hated losing. So, I learned early on that success came from playing games where the odds were in my favor (my competitive streak runs deep!). This lesson stuck. Some professions understand this concept instinctively. Take lawyers – great ones have amazing track records not because they win every case, but because they pick battles with a high chance of success. When I started investing, I thought the key to outperforming was being the smartest person in the room. That meant knowing more than anyone else. Boy, was I wrong! Trying to collect vast amounts of information actually made me overconfident, and that's a dangerous place to be. Remember that Dunning-Kruger effect? Where newbies with a little knowledge think they're experts? Yeah, guilty as charged. What finally clicked was this: you can't know everything. Since so much about investing depends on the unknowable future, cramming more and more “facts” about the past won't necessarily make you any smarter. Instead, it's far better to say, \"Yep, there's stuff I don't know,\" and plan accordingly. This idea of accepting uncertainty isn't unique to investing. Take civil engineering – bridges aren't built just to handle expected traffic (the \"allowable load\"). They're designed way stronger, ready for the unexpected. A little overkill, maybe, but essential. According to one of my old civil engineering textbooks from university: A[ structure] must be designed so that its ultimate load is considerably larger than the load the[ structure] will be allowed to carry under normal conditions of utilization. This smaller load is referred to as the allowable load[…] Thus only a fraction of the ultimate load- carrying capacity of the[ structure] is utilized when the allowable load is applied. The remaining portion of the load- carrying capacity of the[ structure] is kept in reserve to assure its safe performance. The ratio of the of the ultimate load to the allowable load is defined as the factory of safety. - Beer, Ferdinand P. and Johnson, E. Russell Jr. 1992. “Introduction: Concept of Stress”. Mechanics of Materials. p. 25. New York. McGraw-Hill, Inc. Benjamin Graham took this same idea and applied it to investing. In The Intelligent Investor Graham wrote, “confronted with a like challenge to distill the secret of sound investment into three words, we venture the motto, MARGIN OF SAFETY” (caps are the author’s). In short, it means make conservative assumptions and never pay the full price those assumptions imply. You bake in a buffer to protect against all those surprises you couldn't foresee. The Illusion of Risk and Return Conventional wisdom says higher risk equals higher returns, but that's often wrong. Markets can totally misjudge risk, and chasing outrageous returns can lead to serious losses. Let's illustrate with a simplified example. We've got investors Ali and Sara, each with $100,000. Ali's on a high-risk strategy, promising 20% annual returns but with a 10% chance of total wipeout. Sara's more conservative, targeting 12% with only a 1% failure chance.    Ali's portfolio might explode to over $600,000 in a decade if he survives. Sara's “only” hits $300,000. Ali would then land a CNBC interview spouting genius. Higher risk, higher reward, right? But this ignores the gamble Ali took. His strategy had a mere 35% chance of surviving that long. Many Alis would have crashed and burned, and we never hear about those guys. Sure, out of a bunch of Alis, a few hit the jackpot, but I'm betting you wouldn't want to be one of the failures! The key to evaluating the merits of a certain strategy isn't looking at the lucky few who succeed with a risky bet, it’s about measuring the probability-adjusted outcome beforehand. Sara's conservative approach had a far better risk-reward and a higher expected wealth by year 10: $281,000 vs Ali's $216,000. Her “boring” strategy is far more likely to win in the long run. The gamblers get the headlines, but it's the slow-and-steady investors who win long term. At Mayar, \"Boring is Beautiful\" At Mayar, when we say \"boring is beautiful\", we mean it. Relentlessly chasing crazy returns is a recipe for disaster. Instead, we prioritize a cautious approach and demand a Margin of Safety. It's not because we're not ambitious; it's because we're realists and self-aware. We know we'll make mistakes (hey, we're only human). We know that the world will throw us curveballs. So we build portfolios ready for those inevitable curveballs by being cautious upfront. Will we miss out on some huge wins? Absolutely. Will we occasionally look foolish and stuck in the slow lane while everyone else is zooming past? Probably. But that's a trade-off we'll gladly make. We're not building a portfolio for bragging rights. Our job is to protect your hard-earned money. That means steady growth with a focus on risk mitigation. It means playing the long game. And it means sleeping better at night. That’s the Mayar approach. Our Portfolio This quarter, we initiated a position in British Land (OTCPK:BTLCY), a UK-based property REIT with a diverse, high-quality commercial real estate portfolio that includes office space, retail, and urban logistics. Like our investment in Helical, we believe the market is underestimating the long-term value of these REITs. The current focus on the short- term challenges created by higher interest rates obscures the fact that the replacement value of their properties far exceeds current trading prices. We anticipate that once interest rates stabilize (and potentially decline) alongside an improving economy, the stagnant letting environment will change, boosting the market's perception of these REITs. We also added to our investment in several existing positions including Alphabet (GOOG,GOOGL) , Johnson & Johnson (JNJ), Ashtead (OTCPK:ASHTF), Samsung Electronics (OTCPK:SSNLF), PayPal (PYPL), Unilever (UL), and Vistry (OTCPK:BVHMF). The Fund and The Company We're excited to welcome Leigh Overall-Gibbons as our new Head of Sales and Client Relations! Leigh steps into the role after Marc Cox's departure. Marc led the team for over five years during which he did very important foundational work and oversaw a period of tremendous growth – our Assets Under Management increased more than seven-fold during his tenure. We thank Marc for his contributions and wish him the best on his next adventure. Leigh has extensive sales and relationship management experience within the investment industry, spanning 23 years since her start at Perpetual in 1999. At Invesco, she progressed through roles in operational relationship management, sales, and account management, initially serving UK banks, stockbrokers, and family offices. Leigh later specialized in life and insurance client needs, developing expertise in products like unit-linked investments, with- profits offerings, platforms, model portfolios, offshore-bonds, mandates, and customized index solutions.  Mayar Capital reached an exciting milestone this quarter – we briefly surpassed $500 million in Assets Under Management (AUM), and ended with a strong $476 million. This growth wouldn't be possible without your continued support and trust. Thank you! As always, please don't hesitate to reach out with any questions. Best regards, Abdulaziz A. Alnaim, CFA Managing Director   Business Summary: Bright Horizons Family Solutions Inc. (BFAM) Headquarters: Newton, MA, United States Founded: 1986 Founded in 1986 by Roger Brown and Linda Mason, Bright Horizons has grown into a leading child care provider in the United States. From its initial two centers in Boston and Cambridge, the company has expanded across the country and internationally to the United Kingdom and Australia, and now operates over one thousand centers with annual revenue approaching $2.5 billion. Bright Horizons offers a comprehensive range of services designed to meet the needs of families and employers. Its core offering is full-service childcare in Bright Horizons centers, providing a safe and nurturing environment with a focus on early childhood education, laying a strong foundation for their future development. Bright Horizons also provides back-up care solutions, offering flexible solutions for families facing unexpected disruptions in their regular childcare arrangements. This service underscores the company's commitment to supporting working parents by alleviating the stress associated with unexpected childcare challenges. Additionally, Bright Horizons provides advisory services, including tuition assistance, student loan repayment program management, as well as workforce education for employers, related educational advising, and college advisory services. Bright Horizons operates its own leased care centers and, in some cases, provides care within employer workplaces. This workplace proximity offers convenience for parents and can enhance employee satisfaction. This revenue stream can also be equity-efficient, as employers partially fund the construction of on-site childcare facilities. An interesting aspect of Bright Horizons' model is how the unit economics of each center improve as children age. Younger children require a higher teacher-to-child ratio, but as they move into older classes, costs per student decrease while fees don’t decline by as much, boosting profit margins. Bright Horizons demonstrated a strong track record of profitability and robust returns on invested capital before the COVID-19 pandemic. However, the pandemic significantly disrupted the childcare sector, as many parents opted to withdraw their children from childcare centers. The operational leverage inherent in Bright Horizons' business model exacerbated the impact of the revenue decline, resulting in a sharp 70% decrease in EBITDA as sales fell 25%. Despite the formidable challenges posed by the pandemic, Bright Horizons is gradually rebounding as parents return to their workplaces and require more childcare services. Presently, one-third of Bright Horizons' centers are operating at or above 70% utilization, marking a notable milestone in the path to recovery. While global average utilization remains 10% below pre-pandemic levels at just below 60%, the company is well-positioned for growth as demand continues to increase. Looking ahead, Bright Horizons should experience a period of strong revenue growth and improved profitability as utilization rates rise and the 'post-pandemic cohort' of children matures. The child care sector remains highly fragmented, presenting ample opportunities for Bright Horizons to expand its market share. With its proven track record, expansive network, and commitment to delivering high-quality child care solutions, Bright Horizons is well-positioned to capitalize on the untapped potential within the industry.  Business Updates from Mayar’s Research Team Calendar Year 2023  BUILDERS ETC  2023 was a transformative year for Vistry, announcing its decision to wind down its traditional housebuilding and focus on its Partnerships business. Vistry Partnerships specializes in asset-light affordable housing construction, utilizing pre-selling and joint ventures to deliver large estates with minimal equity investment. It is a business Vistry has been doing for a while, and in which it is a leading player. This transition will release significant capital, which management intends to use for share buybacks. Howden Joinery (OTCPK:HWDJF), the UK-based kitchen supplier, experienced a solid year despite a slowing housing market. Sales remained flat compared to 2022, but showed a significant 46% increase versus pre-pandemic levels. Management announced plans to expand into the fitted bedroom market. Wickes, the UK DIY chain, saw orders continue to normalise in their “do it for me” kitchen and bathroom business, as housing transactions declined and general DIY spending eased from its 2021 peak. Spanish homebuilder Neinor (OTCPK:NNRHF) continued its capital return program as it pivots from traditional housebuilding towards a more equity-efficient business model. The capital return programme has resulted in some large dividend payouts during the year. After a slow start, London office developer Helical (OTCPK:HLICF) made good progress leasing out the best-in-class, newly built JJMack office block near Farringdon Station. Additionally, the company was selected to develop three properties in Transport for London's portfolio over the next five years. Structured as a 50-50 joint venture, this project will be meaningful to Helical’s rent roll. The company has also started refurbishing 100 New Bridge Street and is recycling capital for future capital expenditures. A setback occurred late last year when WeWork's bankruptcy led to a lease forfeiture.  PAYMENTS  Visa (V) and Mastercard (MA) both benefitted in 2023 from growing transaction volumes, thanks to inflation pushing up average transaction values. Higher margin international transactions also grew as travel bounced back after the pandemic. PayPal faced a challenging 2023, with strong growth in its lower-margin unbranded business. New CEO Alex Chriss (formerly of Intuit) joined in September and appears focused on resetting near-term expectations, executing layoffs, and improving the branded platform. TECHNOLOGY Samsung Electronics entered 2023 amidst a severe semiconductor downturn, resulting in write-downs and significant losses that peaked in Q1. Despite this, management continued investing in modernization and innovation. The market has since begun to recover, with demand partially fueled by AI-related chip needs. Alphabet‘s advertising behemoth performed well in 2023, but heavy data center investments in support of AI capabilities absorbed some cash flow. Google Cloud continued to show positive operating leverage, reaching a 9.4% margin in Q4. SAP, the German software giant, continued its cloud migration away from traditional software licensing. Notably, Q1 marked SAP's cloud business eclipsing its licensing business. The company also committed to including stock-based compensation in its non-GAAP reporting, a positive step for good reporting practices. French IT consulting firm Capgemini (OTCPK:CAPMF), a recent portfolio addition, experienced a softer demand environment in 2023 as clients scaled back or postponed transformative IT spending. However, the company gained market share and achieved 3.9% sales growth with expanded margins. Encouragingly, management reports clients are sounding more positive about 2024 IT budgets. HEALTHCARE Laboratory Corporation of America (LH) experienced solid trading. While its COVID- related business continued to decline, it is not as material as it once was and so the headwind was not as pronounced. The significant event for the company was the separation of Fortrea, which houses most of its drug development businesses. We inherited this position but opted to sell due to its excessive leverage. Johnson & Johnson spun off its consumer arm, Kenvue (KVUE), in the summer, leaving its medical devices and pharmaceuticals businesses as its core focus. The European pharmaceuticals business faced a sluggish 2023 due to the loss of exclusivity on ZYTIGA. In medical devices, the company continued integrating Abiomed, acquired in late 2022. Kenvue’s inaugural year as an independent company following its separation from Johnson & Johnson proved turbulent. Softness in the Chinese consumer market was compounded by significant execution issues in North America. Management has implemented a plan to improve Kenvue's retail positioning. It was a good year from a litigation perspective, with Kenvue securing a big legal win in December regarding potential Tylenol liability. CONSUMER Unilever saw organic sales growth of 7% during 2023, primarily driven by price increases. While inflation has fueled top-line and margin performance over the past couple of years, this trend appears to be moderating. Segment performance was mixed; the Ice Cream business performed poorly, losing both market share and margin. Indeed, in March 2024, Unilever's new CEO, Hein Schumacher, announced his intention to separate the Ice Cream business from the rest of the group. Bright Horizons, the child care center group, continues its post-pandemic recovery. Over a third of its centers now enjoy over 70% occupancy, with group occupancy at 60% – still below pre-COVID levels. Revenue in the \"back up\" care segment, providing short-term childcare, also rose as child enrollments increased. A strong trading year at Richemont (OTCPK:CFRHF) was overshadowed by its attempts to offload the loss-making online business Yoox Net-a-Porter to Farfetch (OTCPK:FTCHF). The deal fell apart last year as Farfetch itself fell into trouble. Richemont is still exploring options, with Mytheresa recently expressing potential interest in a bid. GAMES Nintendo's (OTCPK:NTDOY) popular Switch device is maturing, with hardware unit sales down 12% compared to the previous year. However, engagement continues to grow, with annual playing users increasing from 114 million in 2022 to 122 million in 2023. The company is also successfully monetizing more of its intellectual property; the release of the Super Mario Brothers movie spurred a noticeable bump in Switch device sales and Super Mario game sales. 2023 was a pivotal year for Electronic Arts (EA). After unsuccessful negotiations, the company ended its association with FIFA, releasing its first 'EA Sports FC' title in the autumn, Despite facing tough comparisons (the prior year benefited from the World Cup), net bookings were up 7% as the company marketed the new branded game heavily. The Apex Legends franchise had a mixed year – management initially expressed satisfaction but the launch of Season 17 appears to have underperformed. INDUSTRIALS Ashtead (OTCPK:ASHTF), which we reintroduced to the portfolio last year, experienced another year of strong trading. The company invested significantly in new equipment while maintaining robust utilization rates. Brenntag (OTCPK:BNTGF), the global chemicals distributor, saw chemicals prices fall during the year and customers destock their inventories. Both of these factors impacted the company’s top line. However, However, operational cost improvements mean more revenue is translating to operating income. 2023 was marked by challenging labor negotiations between UPS and the International Brotherhood of Teamsters. While UPS' market shrank with the cooling of e-commerce post-pandemic, nearly two-thirds of the 10% decline in Q2 domestic volumes was attributed to these negotiations. While the new labour contract will impact UPS in 2024, management have outlined an encouraging and reasonable plan to offset the cost and return to a low teens margin by 2026. Vestas (OTCPK:VWDRY) had a stronger 2023, with robust order intake heading into year-end. Gross margins also improved as the price per megawatt delivered increased despite flat costs per MW. The lost production factor on its installed turbines continued to fall, which is encouraging for its warranty position. 3M's (MMM) 2023 was sluggish, with disappointing organic growth even after accounting for the rolling off of certain COVID-related products (like disposable masks). Outside the underlying business, 3M settled litigation with 13 public water authorities in the US for $10.8 billion to help them treat PFAS in their water. To create the balance sheet flexibility for these payouts – and potentially more to come – the company split off its Healthcare business, Solventum.   Original Post Editor's Note: The summary bullets for this article were chosen by Seeking Alpha editors.  Editor's Note: This article discusses one or more securities that do not trade on a major U.S. exchange. Please be aware of the risks associated with these stocks.","kind":null,"is_publish_news":null,"is_publish_highlight":null,"is_publish_live":null,"is_publish_wemedia":null,"editions":null,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.22.4","shortVersion":"4.22.4","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2428665424"}