Latest Views & News

Tern: a reader asks if it is playing fast and loose with revenue recognition

By Nigel Somerville, the Deputy Sheriff of AIM | Thursday 30 January 2020

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.

AIM-listed jam-tomorrow investment company Tern (TERN) issued a Portfolio Update the other day which I thought was impressive for all the wrong reasons. An eagle-eyed reader spots that buried in the text was that aggregate turnover across Tern’s principal investees was up by 27% over 2018 – but only on 12 November 2019 we were told that Tern hoped it would be up by 50% on 2018. Oopsie! And that leads to a question over revenue recognition.

Premium content is for paid subscribers only
ShareProphets is reader-supported journalism

Become a member starting at £5.99 per month for all articles, the Bearcast, and our seven year archive.

Filed under:

Subscribe to our newsletter

Daily digest of our latest stories.

Search ShareProphets

Market News

Complete Coverage

Recent Comments

That Was the Week that Was



Malcolm Stacey is Moving House

Monday »


Wood Group - a Buy (again)?



Video: Bubbles always implode

Tuesday »


Mondi – a recovery and income Buy?