TRA - Turners Automotive Group [previously TNR - Turners Limited]

[Dassets]

Not too much to say except you cannot de-risk a finance operation over 6 months. You only de-risk new loans. You still have the tail which makes up over est. 80% of total book.

[percy]

Not too much to say except you cannot de-risk a finance operation over 6 months. You only de-risk new loans. You still have the tail which makes up over est. 80% of total book.

As a shareholder in both HGH and TRA, I am pleased to see both tightening their credit criteria.
Turners own written/originated loans have always been good, so all of them going into Oxford rather than MTF, is helping the de-risk.
Also weeding out poor loan originators helps.

[Jaa]

Anyone know what Turners mean when they talk about "large consignment customers" ??

Are they corporate fleets and rental car companies?

Never mind I found this further down their presentation...

Turners sales volumes are supported by consistent supply from consignment vendors eg Lease companies who have leased cars 3 years earlier

[Beagle]

As a shareholder in both HGH and TRA, I am pleased to see both tightening their credit criteria.
Turners own written/originated loans have always been good, so all of them going into Oxford rather than MTF, is helping the de-risk.
Also weeding out poor loan originators helps.

They've been talking about that since the 2018 annual meeting in Sept 2018 and mentioned that year they'd changed / tightened their credit criteria 4 times.
Its becoming like the boy who cried wolf. It would appear to me that customers with a "prime" credit rating simply get better deals elsewhere and are very reluctant to pay Oxford's rates.

Its all very well expanding to more and more sites but as the lease costs balloon out profit remains static or in decline and that's on more shares on issue so eps goes down. Marvellous, lets put the dividend up, normalise everything and hope nobody notices !

Heck, profit in 2018 and 2019 (years when there were heaps less shares on issue), was higher than the forecast for FY20 ! https://www.marketscreener.com/TURNE...14/financials/

This eps decline hasn't stopped the directors ratcheting up directors fees heaps though ! Probably push for another massive increase next year because of all the growth, or whatever other spurious reason they can concoct.

Wonder how much gets wasted on sponsorship for car racing ?

[percy]

I think you will find new sites such as Whangarei,Northshore {archers road} and newly purchased Mt Richmond site are all owned by Turners.
Yes credit tightening is working,as is being more selective with Autosure policies.
The business is in very good shape.
Quality underlying earnings.

[LAC]

Was late reading the report, disappointing imo.

[couta1]

HLG "who are really growing"? to me it seems like they are barely growing as well, although perhaps, yes, growing a touch better than TRA... but HLG on a 20% higher PE ratio... 10 for TRA vs 12 for HLG

Clutching at straws much, my HLG sp grew from $3.50 to $6.27 currently over the last couple of years whilst my TRA sp declined from $3 to $2.58 currently over the same period, you do the maths.

[percy]

Clutching at straws much, my HLG sp grew from $3.50 to $6.27 currently over the last couple of years whilst my TRA sp declined from $3 to $2.58 currently over the same period, you do the maths.

Will be interesting seeing which share performs better over the next two years.?

[winner69]

Will be interesting seeing which share performs better over the next two years.?

past performance is not an indicator of future success

and

Every dog has his day (like the dogs of the Dow theory)

I think he odds are in your favour Percy

[Snoopy]

Wonder how much gets wasted on sponsorship for car racing ?

None. Apparently Turners haven't sold any cars in Europe yet. So any sales going forwards resulting from the sign writing on Liam Lawson's car from his European campaign will be positive and 100% due to the sponsorship. Turners Pau in Portugal to open soon?

SNOOPY