World Acceptance Corporation (NASDAQ:WRLD) has problems which have been mounting, and it now faces the following challenges, all of which will be resolved within twelve months.
- Severe punitive action by the CFPB
- Business deteriorating
- New rules restricting debt collection
- Credit facility maturity with no new lenders in sight
Severe punitive action by the CFPB
I’ve covered why World Acceptance Corporation attracted the CFPB’s attention here.
The numbers haven’t changed much.
Net income for World Acceptance Corporation for the TTM, based on information in SEC filings, was $96 million. Insurance revenue was about $57 million, which translates to about $72 million in net income (because of finance charges on insurance; see calcula…
Read the full article at: http://seekingalpha.com/article/3961927-world-acceptance-will-liquidate-within-12-months