Ann: 1H19 Media Release, page-25

I have read the report several times...including reading the almost unreadable gobby-gook on AASB changes!
I listened to the teleconference and I have to say thanks to 'Mr Market' for an irrational reaction.
Honestly, this is a half year result...for a company which has an almost 40/60 split.  As the old saying goes "there ain't nothing more useless than the score at half time". Keith John is supremely confident on his meeting his FY19 guidance and as he said to the final questioner "this is after seeing the results come through for January and February"...so we are a third of the way through H2 and he is supremely confident.

The reasons for a lower 1H result are neatly bundled up into these areas
$4.5m in liquidation receipts deferred to 2H
additional costs for infrastructure and compliance (a necessary extra cost caused by the RC and changes to the finance industry)
an extra $1.1m in finance cost

The basics of this business are extremely solid...they are preferred by tier 1 financiers...they have a very high approval rating by the customers...90% of whom don't own a house so forget about the claptrap of falling residential proces. Plus the customers have actually increased their average monthly repayment.

This is a very well run and disciplined company and given they have bought FY19 ledgers at 20% less than previous comps means the ROI in future years is going to go up.