I know there are a lot of eyes on Sezzle. For example fwiw, the US stock discussion website Stock-Twits shows almost 300 users are following Sezzle, so you can imagine what might happen if even half of them scramble to get a small parcel, given supply is low.
But what everyone is waiting for is the detail in the results. If results are not great, not much will happen imo. It will need a combination of some of the following:
- UMS growth - Company revenue growth and revenue margin - Customer and merchant numbers, subscriber numbers and repeat usage - Credit losses % staying in the target range - Profit and EBTDA (bearing in mind the stage the company is at, IMO it will be worth "reinvesting" profits by spending on marketing / growth initiatives) - Increasing net asset position - Anything else - new products / physical card / bank partnership etc etc
Most of the above you can fairly confidently put a tick next to - except for customer numbers. Is it important? Yeah for sure. Customers numbers have been down over 12 months most likely as a result of Sezzle tightening credit (aka looser credit ~12 months ago). I remember the last conference call a question was asked as to when customers numbers may start to rise again and I believe the answer was this (Dec) quarter. Obviously it takes time when you have a rolling 12 month metric like that. What would be a better metric imo would be active customers over the last 3, 6 or 9 months.
The Form 10Q is super clear - more so than an annual report, so it's worth reading in detail when announced.
