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MoneyGram Q4 2019 Report

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Posted (edited)

What was said elsewhere already, and some things on top of that:

  • OD will take time to ramp up. Until then, you have to wait for you can cast any verdict.
  • Revenue is not an indicator for success, especially on the background of ever shrinking profit margins. Transaction volume however is, as well as the amount of transactions performed, in a highly competitive market. 


Be patient and wait.  So far, this report is rather ambigious if not more on the positive side than the opposite. 
 

Quote

 

MoneyGram Online achieved 39% year-over-year transaction growth in the fourth quarter, led by strong international performance, with transaction and revenue growth of 113% and 53%, respectively.

International markets, which represent 62% of total money transfer revenue, strengthened both sequentially and year-over-year, posting 7% transaction growth and 3% revenue growth from the same quarter in 2018.

 

Don't engage in mind boggling gymnastics by ignoring what was quoted above. 

Edited by Parabellum

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From all figures, regarding ODL, the amount of settlement assets is the one to follow. Not exactly the same, but comparable with (expensive!) nostro accounts in foreign currency. Curious what this figure will look like within a year or so.
https://www.prnewswire.com/news-releases/moneygram-international-reports-fourth-quarter-and-full-year-2019-financial-results-301010328.html
fdd016dc47b1d7d7fb1872a8e194ab8e.jpg

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Here's the Q1 2020 earnings report:

http://ir.moneygram.com/news-releases/news-release-details/moneygram-international-reports-first-quarter-2020-results

They mention Ripple in the First Quarter 2020 Financial Results, Year Over Year section:

Quote

Total operating expenses of $277.8 million improved $29.0 million or 9%, which included a $12.1 million benefit composed of Ripple market development fees of $16.6 million, partially offset by related transaction and trading expenses of $4.5 million

 

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Posted (edited)
1 hour ago, Xrpiet said:

Here's the Q1 2020 earnings report:

http://ir.moneygram.com/news-releases/news-release-details/moneygram-international-reports-first-quarter-2020-results

They mention Ripple in the First Quarter 2020 Financial Results, Year Over Year section:

Total operating expenses of $277.8 million improved $29.0 million or 9%, which included a $12.1 million benefit composed of Ripple market development fees of $16.6 million, partially offset by related transaction and trading expenses of $4.5 million

Not sure I interpreted correctly.. Ripple supported MoneyGram to use ODL with $16.6 million, MoneyGram had to set up trading  activities and it cost them $4.5million

Overall, that "benefit" 12.1 which is 16.6 - 4.5 contributed in 9% improvement in MoneyGram operating expense. 

 

So the exact number that MGI benefits from using ODL is still not clear right ? 

Edited by plinh

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MoneyGram seems to be in a death spiral which ODL has not significantly slowed down, which is strange because it should be giving them a huge competitive advantage according to the principles of using XRP as a bridging currency. 

They do get a real benefit because it seems the greater the ODL volumes, the more Ripple has to pay them in XRP, which MoneyGram immediately sells but that is not great for XRP Hodlers.🤔

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Volume’s growth is a slow and painful path. MGI’s best hope in the nearest future is an acquisition. Long-term - who knows, jury is still out. 

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