As far as I know there is still approx 18 months for the MTF non-recourse loans to run out.
End of this financial year would be welcome news.
Turners stopped writting MTF-non recourse loans in April 2018.
As far as I know there is still approx 18 months for the MTF non-recourse loans to run out.
End of this financial year would be welcome news.
Turners stopped writting MTF-non recourse loans in April 2018.
I am very relieved that Oxford is being retained. My own analysis suggested that Oxford now represents up to 60% of TRA EBT earnings. Granted that figure may not be reliable because when you own every step in the business chain there is always the ability to use 'transfer pricing' to underestimate the profit performance of one division while the next division up the chain gets their profit boosted.
Finance profits would not have evaporated because TRA would earn a 'finders fee' of some kind. But the greater the finders fee was set to be, the less a potential bidder would pay for Oxford. So there was never going to be a free lunch for Turners shareholders.
The real issue with selling Oxford would be how that Oxford loan portfolio might bed in with the wider loan portfolio of whoever bought it. The sale would have been made on the expectation that the loan approval process would continue as before, just with a different owner for Oxford. But if the buyer suddenly decided to expand their reverse mortgage business (say :-P ), that buyer may decide to deploy their capital more towards the reverse mortgage portfolio and less towards motor vehicle loans. Thus Turners might find the loan capital they thought would be deployed toward motor vehicle loans ends up being deployed elsewhere, making finance for motor vehicles more difficult. This is effectively what happened, albeit in a completely different industry, when PGG Wrightson twice sold their finance division only to find they had to rebuild it from scratch each time. If Oxford had been sold, I wonder how long it would have been before a Turners owned 'Cambridge Finance' arose?
SNOOPY
I wonder what the next fandangled strategy Turners come up with
I think there is a lot of conjecture in there Beagle. These guys were originally a finance company....so I am really hopeful that they know what they are doing in that area.
In fact...that is what I bought into in the first place, a finance company. At this stage....I am trusting the company over speculative chit chat.
Cheers
RTM
Only reliable "changeable" certainty is you and Beagle...lol.
Turners strategy is based on customers.Digital engagement,together with great sites trading at "gangbusters" levels.
Turners momentum is working.Even the Wellington pop up site is delivering higher than expectations.
Love to know how North Shore Archers Road is performing.Any one been in to it.?
With today's price into 260s, finally in black with all those divvies collected over past year. Hopefully it'll be bit more profitable and lead into $3 mark.
Turners strategy of opening new branches and relocating existing branches is proving extremely successful.With further branches opening, future growth is assured.This with be further strengthened by Turners using digital sales channels and data.
Increasing sales and market share will add to them increasing their Autosure and Oxford Finance revenues. Fine tuning of both Autosure and Oxford will see profits grow.Unfortunately they still have about 18 months of the MTF non-recourse loans losses to absorb.However property development profits will help to offset them.
All the time those quarterly fully imputed divies just keep hitting our bank accounts,while we wait for the share price to pass through $3 on its way to $4..lol..