This is going to continue, and we see very exciting industry because of – more than 200 million immigrants migrate for work for a better way of life, for education annually. We continue to see in the developed countries an aging population and a very low birth rate. So guest workers are very, very important to just maintain let alone grow GDP. So MoneyGram continues to outgrow a growth market.
As I said, we are the number two player in this industry, and steadily gaining share 2% in 2005, 5% in 2011 and we hope that continues to grow at hopefully and even accelerating rate. It's a highly fragmented industry and you can see in that pie chart on the right there is a lot of white space for us to capture share. And there is – really only two players that are present in kind of the 190 plus countries around the world, tremendous amount of niche players, some regional players, banks as I like to say kind of episodically are in this business or maybe just oriented around a quarter or two.
And then of course, you have the informal channel. And we're seeing and here’s where government is a help, we’re seeing that they continue to be interested in driving these transactions to a formal channel.
So the network is expanding and driving growth, again these three categories, the pie chart at the top there, these two pie charts on the left are based on fourth quarter data. So on a transaction basis, our business is divided about a third, a third, a third, U.S.-to-U.S., U.S.-outbound and sends originating outside the U.S.However if you look at revenue for that same period you’ll see due to a higher RPT or revenue per transaction are sends originating outside the U.S. are a much larger part of our revenue pie. And that’s very exciting because this is the area where we have really some tremendous growth opportunities.Read the rest of this transcript for free on seekingalpha.com
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV