Ann: Update on Regulatory Matters, page-112

"Nothing has changed" lol.

CBI remediation related costs were 11.3 mln in FY21 and 16.8mln in FY22. Compare that to FY2023 consensus of 20mln NPAT. Now add costs associated with the UK regulator to the mix - how much left is there left to play with? We're not even talking about potential costs associated with fraud at Sentenial. Given recent track record with acquisitions, I wouldn't be surprised to see something pop up with Nuapay as well.

It would be fair to assume that at this share price, there's some reasonable value associated with the gift card and non PFS gpr business (which ran 30m ebitda in FY20 but is low/no growth, and frankly not a particularly innovative or unique business). However unless they somehow spin it off, those profits will likely be paying for compliance and remediation costs. Not to mention, they've actually admitted in today's statement that even after 1.5 years, "EML accepts that it has not moved quick enough in the past to address regulatory concerns in the PFS business."

To say that "nothing has changed" is entirely ridiculous.