Ann: 3Q FY24 results update, page-110

My thoughts on the report:

Firstly, it was another surprise early release - not sure how I feel about companies reporting earlier than they say they are going to...but oh well.

EBTDA and Capital Raise
They were originally forecasting that 2H24 wouldn't be as strong as 1H24, but looks like they have revised this to say they will be at least equal which is a solid improvement.

As a result, they continue to increase their available cash and liquidity which should further alleviate any capital raise scaremongering from downrampers.

US Growth
Continued phenomenal YoY growth in the US with 49% revenue growth, 44% TTV growth, and 42% transaction number growth.
Active customers in the US down 2% YoY but not overly concerned with this as I'd much rather quality over quantity.
Solid increase in Monthly Transacting Users (19%), and the physical card being used more often than ever with a 93% increase in TTV.

This should alleviate tradinators concerns that 1Q24 was a once off - I'm expecting tradinator to be come a superbull now as promised!

Google Pay and Zip Plus and Pay in 8
Both products seem to be doing very well.
Google Pay partnership showing positive momentum - scaling to more merchants and increased visibility to more customers.
Zip Plus showing strong customer engagement and unit economics, in line with their expectations and higher than other Zip products.
Pay in 8 in the US is showing increased incrementality and will continue to be rolled out, driving further growth from existing customers.

ANZ Results
Despite TTV and transaction numbers dropping considerably YoY (21%) - extremely solid increase in revenue of 9%. The TTV and transaction numbers dropping aren't particularly surprising given the situation in Australia (high interest rates, trying to reduce bad debts etc).
Solid increases in revenue margins!
Solid increase in merchants though (13% YoY) with the addition of Temu as well which is awesome.
They are still tempering their growth due to the high interest rates, but are planning on refocusing on growth and accelarating growth in FY25.

Bad Debts
Group bad debts are still under control, dropping to 1.72% which is awesome.
US bad debts are particularly great at 1.3%.
ANZ bad debts are still a work in progress, but improving to 3.49% with arrears at 2.72%.

Refinancing and Future Growth
I don't fully understand the specifics of what has happened here regarding refinancing, rated note issuances, new warehouse facility etc - but seems like everything is under control. And they appear to have more than enough money available to fund future growth.

Canada
There was no mention of Zip Canada being closed which is strange in my opinion.

Overall a fantastic report in my opinion!