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Post by explorep2p on Jul 12, 2017 11:42:44 GMT
Hello forum We have been monitoring events at Twino for some time. There are some things right now that are making us a little nervous. We set them out here. If anyone thinks we are being unfair or has good explanations we would love to hear from you. We would be happy to strike them off the list. 7 things that are making us nervous about Twino
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Post by nesako on Jul 12, 2017 12:24:11 GMT
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Post by southseacompany on Jul 12, 2017 15:21:36 GMT
A few comments:
#2 - The company's financial year runs till the end of April, so that's 8 months total for preparation of accounts and auditing, not "almost 12". Nevertheless that is quite slow and I would consider it a minor red flag, more so than any of your other points.
#4 - Either your objection is nitpicking or I don't understand it. The buyback guarantee for every loan is given by SIA Twino regardless of country of origination, and that company's financials are available. The country-specific subs could all go bankrupt tomorrow without affecting the buyback guarantee. Are you worried about cross-guarantees or some kind of hidden liabilities?
#7 - The amount of loans available to investors has been reduced. Origination may have fallen, or it may have stayed the same but Twino has opted to fund more of it via other capital sources. There is no public information to tell us one way or the other.
Caution is always a good policy, but Twino is almost a model citizen in this sphere when compared to entities like Swaper (no financials available at all) or Lendo (bailed out by its parent).
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Post by explorep2p on Jul 12, 2017 16:39:48 GMT
A few comments: #2 - The company's financial year runs till the end of April, so that's 8 months total for preparation of accounts and auditing, not "almost 12". Nevertheless that is quite slow and I would consider it a minor red flag, more so than any of your other points. #4 - Either your objection is nitpicking or I don't understand it. The buyback guarantee for every loan is given by SIA Twino regardless of country of origination, and that company's financials are available. The country-specific subs could all go bankrupt tomorrow without affecting the buyback guarantee. Are you worried about cross-guarantees or some kind of hidden liabilities? #7 - The amount of loans available to investors has been reduced. Origination may have fallen, or it may have stayed the same but Twino has opted to fund more of it via other capital sources. There is no public information to tell us one way or the other. Caution is always a good policy, but Twino is almost a model citizen in this sphere when compared to entities like Swaper (no financials available at all) or Lendo (bailed out by its parent). Hi Southseacompany All fair comments. On #2 - they have provided some audited figures to April 2016, but they have confirmed to us that it is their Dec 31 16 accounts that they are working on still for audit and no further info on their financial position will be available until the end of 2017. On #4 - some subsidiaries are major lenders to SIA Twino and some also owe money to SIA Twino. An insolvency of them would likely lead to issues and potentially affect the guarantees. The P&L provided is also heavily influenced by inter-group transactions. It would be good to see whether the whole group is profitable. On #7 - They have attributed falling originations primarily to the impact of moving loans onto payment guarantees, and having less buyback guarantee funds to re-invest. There has also been a slow down in Georgia due to regulatory reasons. Our main point is that the P2P platform is just one component of the overall funding, but there is no visibility on what other types of funding they are using and how reliable it is. It's just something to keep an eye on.
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Post by nellerdk on Jul 12, 2017 19:27:45 GMT
I would like to add, that compared to Mintos, the communication from the Twino management is sporadic and too little. It is a red flag that Twino comments so little about these issues: explorep2p.com/twino-latest/
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p2pmaster
investment is life.
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Post by p2pmaster on Jul 13, 2017 8:26:25 GMT
#9 - Twino is likely to deploy unused/uninvested funds in their lending activities at zero cost, thus reducing the actual cost of capital.
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Post by nellerdk on Jul 13, 2017 9:51:27 GMT
#9 - Twino is likely to deploy unused/uninvested funds in their lending activities at zero cost, thus reducing the actual cost of capital. is this just a guess, or do you have proof?
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kulerucket
Member of DD Central
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Post by kulerucket on Jul 13, 2017 11:39:38 GMT
#9 - Twino is likely to deploy unused/uninvested funds in their lending activities at zero cost, thus reducing the actual cost of capital. Sounds like what banks do to me.
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p2pmaster
investment is life.
Posts: 128
Likes: 54
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Post by p2pmaster on Jul 13, 2017 11:57:04 GMT
It is a well-calculated financial guess. You have an unregulated lending platform with EUR ~0.4 m sitting idle and no significant withdrawals. What would you do?
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kulerucket
Member of DD Central
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Post by kulerucket on Jul 13, 2017 12:21:31 GMT
It is a well-calculated financial guess. You have an unregulated lending platform with EUR ~0.4 m sitting idle and no significant withdrawals. What would you do? If the point equally applies to a lot of platforms I don't see the point in listing it as something to be nervous about.
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Post by explorep2p on Dec 21, 2017 0:05:57 GMT
I would like to add, that compared to Mintos, the communication from the Twino management is sporadic and too little. It is a red flag that Twino comments so little about these issues: explorep2p.com/twino-latest/It is 5 months later and there is still no update on what the 2016 financial position of Twino is.... It is almost 2018 now. For a company managing so much investor funds the poor quality of disclosures is very concerning.
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Post by rahafoorum on Dec 21, 2017 14:14:56 GMT
I would like to add, that compared to Mintos, the communication from the Twino management is sporadic and too little. It is a red flag that Twino comments so little about these issues: explorep2p.com/twino-latest/It is 5 months later and there is still no update on what the 2016 financial position of Twino is.... It is almost 2018 now. For a company managing so much investor funds the poor quality of disclosures is very concerning. Seems to be a standard for P2P platforms in Latvia at least.
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olof
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Post by olof on May 8, 2018 19:49:33 GMT
I sent an email to Twino and asked about when they will release their next financial report. Here is the reply:
I like Twino a lot. It is easy to get a tax statement which is a big bonus. There is a little cash drag but it isnt too bad. Also its really easy to sell loans that you want to get out of and it doesnt cost anything, you even get the interest that has been accumulated. However, I agree that it is a big concern that they havent released financial info since 2016 especially since their financial strenght ratios were quite weak even bordering on alarming.
Solidity: 12% Net Margin: -5% Debt to Equity: 723% Quick Ratio: 0.36
If they communicated financial reports more frequently and increased their financial strength ratios a bit I would like to continue using the platform but for now I will have to withdraw my funds.
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Post by nellerdk on Jul 2, 2018 19:26:01 GMT
any updates on this, olof?
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Post by wiseclerk on Jul 2, 2018 22:01:47 GMT
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