Ann: COVID-19 Trading Update 91 - Week Ended 10 December 2021, page-7

MSF reduced last year because of the increase in debit card use (compared to credit card use). It is MSF margin that contributes to the Tyro gross profit and that did not decrease (because while credit card gives higher MSF, costs and card scheme fees are higher for credit cards).

Below two snapshots from last annual report should make it clear (and highlighted the points of interest). Also, it is unlikely that card mix changes between last financial year and this financial year (since most of the time is spent in lockdowns with minimal international travellers) and hence, in my view, % increase in transaction volumes compared to last year will correlate closely to % increase in gross profit from last year. What we don't know is
- How much of that gross profit will be shown as other expense towards Bendigo revenue share?
- What are the changes to other expenses/ line items between gross profit and net profit/ loss?

My view is that, information provided by Tyro is trustworthy (there are questions on whether things could have been presented well but they definitely did not show any intent of hiding or giving wrong information). It is altogether a different question if we don't trust the information provided (should we invest at all if we can't trust what the annual reports say).