overdraft

1767 days ago

WPCT Is inside overdraft limit but only just - PR confirms

I asked the question in bearcast - had Woodford Patient Capital Trust (WPCT) burst its overdraft limit? Nigel Somerville thought it had. The PR has got back and it has not. But it is darn close and the answer is actually even more worrying. Let me explain.

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3561 days ago

Quindell & Industrial Deafness – how the “industry” works and why that means Quindell’s numbers do not add up

In 2014 Quindell (QPP) will book revenue of £228 million (28% of group sales) from Industrial Deafness claims where it will generate not a cent of cash. Those revenues are based on the estimates provided by Mr 2+2 Can =5 Rob Terry and his fellow directors and will ensure Quindell hits EPS forecasts. But anyone looking at this industry must recognise that Terry is bullshitting. Here’s why. Meet The Hearing Clinic.

The Quindell assumption is that as of June it will do 6,000 cases a month. It assumes it will them all. And that it will earn £9,000 per case. Assuming a 15 month average conclusion (the industry average is 20-36 months) it is booking £6500 of revenue for EVERY case taken on within 12 months.

Last year there were less than 20,000 successful cases in the whole of the UK. That number has been static (actually falling a bit) for a while. There were however 60,000 failed cases as ambulance chasers moved into this area from whiplash.

That should tell you that Quindell has not got a hope in hell of generating 72,000 winning cases a year.

So where are the new claims coming from? 

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