Latest news with #FleetPartners
Otago Daily Times
19-06-2025
- Business
- Otago Daily Times
Failed Mosgiel businessman declared bankrupt
Failed Mosgiel businessman Malcolm Burns - who owes creditors millions - has finally been declared bankrupt despite a last-ditch effort to delay the decision a fourth time. Associate Judge Dale Lester declared Mr Burns bankrupt in the High Court at Dunedin on June 12 after the previous week giving him "a last chance" to pay what his company Otago Excavation owes vehicle leasing business FleetPartners Group. The bankruptcy of Mr Burns, who has several businesses in liquidation owing millions to multiple creditors, was sought by NZGT (FP) Trustee Ltd, on behalf of FleetPartners Group. Private investigator Thomas James, who acted on behalf of FleetPartners, confirmed the bankruptcy was related to debts owed by Otago Excavation. The Mosgiel-based excavation company, of which Mr Burns is sole director, went into liquidation in 2022 owing more than $3.3million and is also in receivership. Receivership focuses on protecting the interests of secured creditors, while liquidation involves the winding up of the company and the distribution of assets to all creditors. The latest receivers report, published in January, stated it had secured debts of $1.7m with Kiwi Asset Finance and $1.3m with PFNZ, as of November last year. It is not clear how much is owed to FleetPartners. In a minute issued on June 12 this year, Judge Lester acknowledged the FleetPartners debt was "relatively modest", but said Mr Burns had known since at least November 2023 that he would have to deal with it and had still been unable to pay it. Mr Burns was served with the bankruptcy notice on October 23 last year and the application he be adjudicated bankrupt was filed at the end of the year. The application was scheduled to be called in court in February this year but was delayed three times on promises the debt would be settled. Judge Lester's minute noted that when the matter was called on June 12, Mr Burns' lawyer, Kevin Sullivan, sought a further adjournment partly claiming that "actions on behalf of a counsel of a creditor in support frustrated the viability of funding". That funds coming from Mr Burns' mother-in-law "did not apparently survive the provision of independent advice" was not a compelling reason to seek an adjournment, the judge said. "If the lender thought better of the transaction with independent advice, that is not a change of circumstances that Mr Burns can rely on." On June 11, another creditor, which claimed it was owed nearly $900,000 based on two arbitration awards — both dated November 2022 — joined the claim. Mr Sullivan said those debts were disputed and claims would be raised by Mr Burns to meet those debts. But Judge Lester said nothing had been done about that since 2022 and he had made it clear he would not adjourn the bankruptcy matter again. In a written statement to BusinessDesk, Mr Burns said: "The bankruptcy was the culmination of factors outside of my control and is solely due to personal guarantees related to the lending and leasing of the company. "The FleetPartners debt was primarily made up of unrealised lease earnings remaining in the contract term at the time the company was liquidated. Ironically, FleetPartners refused to even consider taking an unencumbered security and chose to proceed with the bankruptcy. This will not have any effect, nor include any of my private creditors." Otago Excavation is a subsidiary of Burns Group 2018 Ltd, of which Mr Burns is also the sole director. Burns Group was placed in liquidation in the High Court at Dunedin in 2023 despite a late attempt for an adjournment which was turned down by Judge Lester. Another subsidiary, Titan Bulk Haulage, was placed in liquidation in May last year on the application of Inland Revenue. Administration of the liquidation was recently completed and a final report last month showed creditors had been left out of pocket by more than $1m.
Otago Daily Times
19-06-2025
- Business
- Otago Daily Times
Businessman declared bankrupt
Failed Mosgiel businessman Malcolm Burns has finally been declared bankrupt despite a last-ditch effort to delay the decision a fourth time. Associate Judge Dale Lester declared Mr Burns bankrupt in the High Court at Dunedin on June 12 after the previous week giving him "a last chance" to pay what his company Otago Excavation owes vehicle leasing business FleetPartners Group. The bankruptcy of Mr Burns, who has several businesses in liquidation owing millions to multiple creditors, was sought by NZGT (FP) Trustee Ltd, on behalf of FleetPartners Group. Private investigator Thomas James, who acted on behalf of FleetPartners, confirmed the bankruptcy was related to debts owed by Otago Excavation. The Mosgiel-based excavation company, of which Mr Burns is sole director, went into liquidation in 2022 owing more than $3.3million and is also in receivership. Receivership focuses on protecting the interests of secured creditors, while liquidation involves the winding up of the company and the distribution of assets to all creditors. The latest receivers report, published in January, stated it had secured debts of $1.7m with Kiwi Asset Finance and $1.3m with PFNZ, as of November last year. It is not clear how much is owed to FleetPartners. In a minute issued on June 12 this year, Judge Lester acknowledged the FleetPartners debt was "relatively modest", but said Mr Burns had known since at least November 2023 that he would have to deal with it and had still been unable to pay it. Mr Burns was served with the bankruptcy notice on October 23 last year and the application he be adjudicated bankrupt was filed at the end of the year. The application was scheduled to be called in court in February this year but was delayed three times on promises the debt would be settled. Judge Lester's minute noted that when the matter was called on June 12, Mr Burns' lawyer, Kevin Sullivan, sought a further adjournment partly claiming that "actions on behalf of a counsel of a creditor in support frustrated the viability of funding". That funds coming from Mr Burns' mother-in-law "did not apparently survive the provision of independent advice" was not a compelling reason to seek an adjournment, the judge said. "If the lender thought better of the transaction with independent advice, that is not a change of circumstances that Mr Burns can rely on." On June 11, another creditor, which claimed it was owed nearly $900,000 based on two arbitration awards — both dated November 2022 — joined the claim. Mr Sullivan said those debts were disputed and claims would be raised by Mr Burns to meet those debts. But Judge Lester said nothing had been done about that since 2022 and he had made it clear he would not adjourn the bankruptcy matter again. In a written statement to BusinessDesk, Mr Burns said: "The bankruptcy was the culmination of factors outside of my control and is solely due to personal guarantees related to the lending and leasing of the company. "The FleetPartners debt was primarily made up of unrealised lease earnings remaining in the contract term at the time the company was liquidated. Ironically, FleetPartners refused to even consider taking an unencumbered security and chose to proceed with the bankruptcy. This will not have any effect, nor include any of my private creditors." Otago Excavation is a subsidiary of Burns Group 2018 Ltd, of which Mr Burns is also the sole director. Burns Group was placed in liquidation in the High Court at Dunedin in 2023 despite a late attempt for an adjournment which was turned down by Judge Lester. Another subsidiary, Titan Bulk Haulage, was placed in liquidation in May last year on the application of Inland Revenue. Administration of the liquidation was recently completed and a final report last month showed creditors had been left out of pocket by more than $1m.
Yahoo
12-05-2025
- Automotive
- Yahoo
FleetPartners Group Ltd (ASX:FPR) (Q2 2025) Earnings Call Highlights: Navigating Growth and ...
Release Date: May 12, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. FleetPartners Group Ltd (ASX:FPR) successfully completed the Accelerate program, enhancing operational leverage and scalability. The company reported strong cash generation, delivering $116 million of organic cash over the past 12 months. FleetPartners Group Ltd (ASX:FPR) achieved a double-digit increase in EPS, normalized at 13% since FY23. The company has a stable, predictable, and recurring earnings model, with 95% of NOI3 EOL provisions being annuity-like. FleetPartners Group Ltd (ASX:FPR) is positioned to capture growth in underpenetrated markets, such as corporate and small fleets, and novated leasing. The Accelerate system cutover caused temporary disruption, impacting new business writings, which were down 17% on PCP. Net debt was elevated temporarily due to internal cash funding of $41 million of leases awaiting funding. Provisions increased due to high arrears from temporary administrative delays associated with the system change. The company experienced a 3% decrease in NOI compared to the prior corresponding period. End of lease income was down 18% compared to PCP due to a decrease in the number of units sold. Warning! GuruFocus has detected 3 Warning Signs with ASX:FPR. Q: Hi guys, thanks for taking my questions. Just maybe on competition, you've commented pretty positively about the outlook for residual value. It's just what you're seeing coming through on pricing, if at all? A: Hi Tim, thanks for your question. As we look at the used vehicle pricing trends, they have stabilized over the last 6 months. We expect our end of lease results to be stronger for longer. For leases in the back book written at old RVs, they'll continue to generate outsized profits. New leases reflecting current pricing won't mature for 3-4 years, so lease profits should remain stable for the next few years. - Unidentified Respondent Q: And you see anything in the on pricing of new tenders that in terms of the underlying assumptions of what these are? A: It's probably too early in terms of current tenders, but as we run the elevated used car prices through the model, it will gradually impact residual values and lease rentals offered to customers. - Unidentified Respondent Q: Just maybe another question just on yield, can you call anything that's sort of impacting the numbers at the moment in terms of, yeah, management fees like that's rolling over and then sort of the outlook for yields thinking about sort of second half seasonality. A: We've seen margin stability at the group level, with a rolling 12-month basis at 7.38%. COVID impacts have dissipated, but Fleet AU still has elevated extensions generating management fees. This should run off over the next 12-24 months, leading to more stability and organic improvements in margins. - Unidentified Respondent Q: Yeah, discretion on impairments, so are you anticipating a sort of reversal in the second half from the commentary on your sort of FI25 out expectations? A: I wouldn't guide to a reversal in the second half, but we expect provisioning to ease off as arrears return to normal levels. The growth in the balance sheet funded book, particularly the nova portion, was robust, up 30% year on year. - Unidentified Respondent Q: Just a couple of quick questions just to maybe you call that SMEs a growth opportunity. What are you seeing in Australia in terms of growth in that SME book? A: We're happy with our digital platform, which includes an online calculator for quoting. Our focus is on expanding distribution channels to increase market share in the SME space, which is more widely adopted overseas, giving us confidence in growth potential. - Unidentified Respondent For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
