Afterpay half yearly financials dropped today, and its a bit of a shocker.
1. Profits for the year dropped to a $22 million loss for the quarter (and this is the Christmas quarter)
2. Cash Flow was a stinker...$157 million loss of dollars from the Operating Cash Flow. For the half!!! If it continues, they are looking at $300 million dollars in cash loss for the year. And the book value of the business is only $340 million!
3. Had to issue more debt and more share capital to make up the difference. $160 million in share capital and $21 million in Debt. Wonder why they didn't issue more debt.
4. They sold their European E-services Business line. Odd for a company that wants to expand globally.
5. PayNow division (which is the platform, rather than the accounts receivables business) dropped by 30% That was due to the European sale.
So all up, I still seem some issues with this business. Needs better results than this to get me excited. I just see a world of more capital raisings to come...all of which should reduce the share price. But hey, I could be wrong.
Note: Still not a recommendation to do anything with this company. If pain persists see your financial advisor!
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