The financial results of SZL and OPY are quite different to each other and for me the simplest metric to compare the two and see a big red flag is probably looking at total borrowings as a % of revenue generated.
OpenPay had quite large debt compared to revenue it was able to generate... about $35m pa revenue for was it $80m in borrowings? Not a good ratio. Sezzle still has relatively high debt with $65m drawn down but much higher revenue at about $125m pa. Also SZL loan is all classed as long-term and as far as we know, no covenants have been breached. Sezzles cash balance of $70m on it's own even exceeds the Sezzle loan balance of $65m.
Sezzle is probably being audited at the moment, so we wait to see what the auditors say about going concern etc.
SZL Price at posting:
63.5¢ Sentiment: Buy Disclosure: Held
