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Something that was kept secret and screwed shareholders. It was always the governments intention to stop money being collect at the door and they succeeded by introducing impossible regulations via the FCA. Prudential had to sack all their reps and close all their offices and so did the PFG. Other finance companies had to close. The FCA managed to close down the doorstep business. Companies new their days were numbered but could not tell the shareholders the facts. PFG intended to close down PPC over a five years period but couldn't make this public. Their reports always said, in line with company expectation but their expectation was to close PPC down which the shareholders were unaware of. The CEO now has to pick up the pieces but that is where he made a huge mistake by not introducing new products soon enough. So here we are today with new management trying to sort the mess out. What sickens me is how all these companies new what was going to happen and yet kept silent about it. Who suffered the most, people like you and me, the shareholders who got shafted. The government made money through fines and washed their hands of the shareholders. Job done.
The Vanquis Jaguar compared to the IPF Mini. The Jaguar looks better than the Mini but you can't just go on looks.
Lets see what's under the bonnets. I am impressed, the Mini has a cooper S engine, and that's a plus I wasn't expecting. Now for the Jaguar, OMG it only has a 1300cc engine, no wonder it has hardly moved in the last three years. There's a brick behind the back wheel as the handbrake isn't working properly and it keeps rolling backwards. The owners tell me they have made lots of improvement but I just can't see where. Shame they didn't fix the handbrake. The performance is poor due to the engine cc size. Looks are deceptive, you need to delve deeper when buying into something. CC stands for customer count and their inability to increase it. Until they make the cc bigger, this Jaguar isn't going anywhere. So lets take a look at how positive they are about increasing the size of the cc. Look at their Annual Report and what Tracy the ICU nurse had to say, there's the answer. Signing up the spouse or partner to become another customer. the deceptive way to increase the cc. If anything changes in that household you double the problem with reduced or non payments. Also, part of the cc isn't working as these are credit card holders who don't use them. Vanquis you need new door customers, adding a twin carb is not the answer. Now lets look at the Mini cooper S. Strong cc and increasing. It can drive anywhere, unlike the Jaguar. It has driven into a new area of Mexico where the potential of increasing the cc is immense. This car is nippy and going places.
Investors don't be fooled by the look of the Jaguar, it might look attractive but it's the cc size of the engine that counts.
PFG/Vanquis had a child and it's called IPF. IPF is the clone double of how PFG used to be 20 years ago and they are growing bigger and stronger. It will out shine the parent company in years to come and it's already started. They reported yesterday and they want to pay a 7.2 final dividend. My prediction is, this company will become over twice the size of PFG. The CEO knows the business inside out and is excellent. So why are people not investing in this company. The reason can only be, their eyes are not on IPF and that includes the experts but that will change. Watch this space.
The car fiasco is a smokescreen for other underlying issues. Vanquis are not involved. They don't pay commission to car dealers and no mis-selling is involved.
However, there is concern growing with the credit card business. Complaints are mounting.
If these complaints escalate, it's possible the FCA will get involved and investigate Vanquis and other companies.
It's just something you need to be aware of. I'm not saying it will happen but it could.
IPF Annual Report came out this morning and it was good. When one of the large banks reports the other banks share price normally go in the same direction.
Some of the posts on here are unrealistic. With Moneybarn, you apply online for the loan. This is called an execution-only application. Therefore, no advice is given and cannot possibly be mis-selling. This is the whole point of execution-only.
So how has Vanquis found themselves in this position. Here are a few facts I posted on ADVFN in January 2023.
Vanquis credit card. Looking at the last three years they have lost customers every year. Customer count 1,541m (2021).1,667m (2020), 1,720m (2019), 1,773m (2018). in three years they have lost 232,000 customers and that's the bread and butter business. At the beginning of 2021 they closed 114.000 dormant accounts. I also stated in another post, if they do not increase the customer base they are going to face big problems.
Today those dormant accounts will have built up again. Managing a credit card business is a notoriously difficult. Cards issued and not used, customers at their limit and arrears cases, neither can use them. Therefore, you have a decreasing customer base and a build up of dead wood which then impacts on profit. How are they going to grow their bread and butter business? IMO that is going to be very difficult. They need to diversify and introduce new products, which I think they are going to do, but this is going to take time. In a nutshell a decreasing customer base = a decrease in profits.
Lets get this car business done and dusted. Moneybarn are not implicated in any way regarding this matter. LLoyds bank does not sell their product at point of sale, it's the car dealer who does. Therefore, if the dealer uses the LLoyds bank finance, they are paid a commission. With Moneybarn you apply online or over the phone. No advice is given under FCA guidelines. The client can then go to any dealer and select a car and Moneybarn will transfer the money to that company. No third party is involved, it's a straight forward loan transaction between Moneybarn and the client. That being the case, no commission is paid to the car dealer.
Swingman. The shares took the hit before their Annual Report. The report was good and that is why they are now on the move up.
Downbutnotout. You cannot rely on that being correct. It could be a sell. Please read my post last night at 21.32
Mkmanonline.
I've received a reply from London South East regarding their data. Very interesting, the way these companies have of calculating share transactions. I thought it was all computerised when you buy and sell but this information isn't made public.
Reply from London South East
Thank you for your comment.
We calculate the trade type based on the trade price being higher or lower than the mid price at the time of the transaction. Sometimes this calculation does not work, or the price is the opposite side of the mid price. This means we are either unable to calculate what type of trade this is at all, or the calculation shows it as the wrong type of trade (a buy instead of a sell for example).
Our method of calculating the type of trade is the industry standard, and while we are not provided by the type of trade from the stock market we will continue to use it.
As LSE has stated, this is the industry standard, so you cannot rely on any site giving the correct data regarding buys/sells. volume etc. As I stated in my previous post, the London Stock Exchange doesn't identify if it's a buy/sell.
Mkmanonline. You cannot go by the figures on this site, they are not correct. Last week I bought shares on two different days and they were listed that I had sold them. I don't know where they get their information from, even on the LSE web page, transactions are not listed if they are a buy or sell.
Chumba. Very funny, I like a good laugh. I'm still standing and not in a wheelchair yet π.
Halifacts. The new management is a vast improvement compared to the previous. It's going to take them time to get things sorted but once they do, this is a good investment.
Thanks Mary.
I'm in a 100 metre race and walking as slowly as I can. Don't want to reach the finish line too soon π
Halifacts. Yes I did read it. I've read everything they have put out as I worked for PFG for over 40 years until I retired. You have to read between the lines with their reports as they tend to smoke screen things. This profit warning isn't just about one thing. Wait and see what the Annual Report has to say. Customer growth is their weakness.
Mary, I'm in my late 70s so it isn't really an option for me to go long.
I'm not disagreeing with you. If I was younger I certainly would be buying.
Mary. You keep levelling down and that is the correct thing to do if you are going long. I can't go long because of my age. Will I live long enough to reap the reward π
This was on the cards. I keep saying this. Their problem is customer growth which impacts profit. The company is carrying a lot of dead wood customers.
How is it possible to purchase shares and recorded as a sell?
Today at 11.50 I purchased 5000 shares and yet it 's recorded that I sold them. How is that possible when it's all computerised. Must be using the same computers that the Post Office use. Dodgy or what.