NORFOLK, Va., May 09, 2018 (GLOBE NEWSWIRE) -- PRA Group (Nasdaq:PRAA), a global leader in acquiring and
collecting nonperforming loans, today reported its financial results for the first quarter of 2018. The Company reported
diluted earnings per share of $0.47 compared to $1.03 in the first quarter of 2017. The first quarter of 2017 included a net,
after-tax gain of approximately $27 million on the sale of the Government Services business.
First Quarter Business Highlights
- Record global cash collections of $426.6 million, an increase of 12% compared to the first quarter of 2017, driven by
operational efforts and portfolio purchasing.
- Nearly 3,100 full-time U.S. based collectors, an increase of 13% compared to the fourth quarter of 2017.
- Record Estimated Remaining Collections (ERC), driven by portfolio purchases and increases in cash collection
estimates.
First Quarter Financial Highlights
- ERC of $5.78 billion which increased $634.5 million from the prior year quarter and $73.7 million sequentially.
- Net finance receivable revenue of $217.7 million compared to $194.5 million in the first quarter of 2017.
- Income from operations of $53.6 million compared to $53.3 million in the first quarter of 2017.
- Net income attributable to PRA Group, Inc. of $21.1 million compared to $48.2 million in the prior year quarter. The
first quarter of 2017 included a net, after-tax gain of approximately $27 million on the sale of Government Services.
- Investment in portfolios of $168.3 million compared to $227.8 million in the first quarter of 2017, including an increase of
14% in Americas Core.
“Since the middle of 2016, PRA has been hiring U.S. based collectors and has opened two new call centers to meet
the needs of our existing portfolios and future purchases. This quarter shows the results of those efforts with a 22%
increase in cash collections in the U.S. call centers and a record quarter of global cash collections,” said Kevin Stevenson,
president and chief executive officer of PRA Group. “Hiring and operational improvements, together with record portfolio
purchases in 2017, continue to drive increases in cash collections. The hiring of additional collectors has done exactly what
we communicated it would – allowed us to address our portfolios more appropriately, and that is reflected in our results. I
am impressed, but not surprised, that our team has been able to accommodate this growth.”
Cash Collections and Revenues
- The following table presents cash collections by quarter and by source on an as reported and currency-adjusted basis:
|
|
|
|
|
|
|
|
Cash Collection Source |
|
2018 |
|
2017
|
($ in thousands) |
|
Q1 |
|
Q4 |
Q3 |
Q2 |
Q1 |
Americas-Core |
|
$ |
246,237 |
|
$ |
204,245 |
$ |
212,756 |
$ |
217,020 |
$ |
226,906 |
Americas-Insolvency |
|
|
55,280 |
|
|
59,103 |
|
60,436 |
|
53,163 |
|
49,813 |
Europe-Core |
|
|
118,109 |
|
|
107,124 |
|
102,681 |
|
99,121 |
|
98,081 |
Europe-Insolvency |
|
|
6,954 |
|
|
5,794 |
|
5,961 |
|
5,371 |
|
5,030 |
Total Cash Collections |
|
$ |
426,580 |
|
$ |
376,266 |
$ |
381,834 |
$ |
374,675 |
$ |
379,830 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash Collection Source
- |
|
|
|
|
|
|
|
Constant Currency Adjusted |
|
2018 |
|
|
|
|
2017 |
($ in thousands) |
|
Q1 |
|
|
|
|
Q1 |
Americas-Core |
|
$ |
246,237 |
|
|
|
|
$ |
226,405 |
Americas-Insolvency |
|
|
55,280 |
|
|
|
|
|
49,997 |
Europe-Core |
|
|
118,109 |
|
|
|
|
|
111,143 |
Europe-Insolvency |
|
|
6,954 |
|
|
|
|
|
5,699 |
Total Cash Collections |
|
$ |
426,580 |
|
|
|
|
$ |
393,244 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- Cash collections in the quarter increased 12% compared to the first quarter of 2017. U.S. call center cash collections
increased 22% primarily from record portfolio acquisitions in 2017 and reaching appropriate staffing levels in the U.S. call
centers. This was partially offset by decreases in Brazil cash collections and U.S. legal cash collections. Americas
Insolvency cash collections increased 11% primarily as a result of record portfolio purchases in 2017.
- Cash collections on fully amortized pools were $15.6 million, an increase of $2.1 million compared to the first quarter of
2017.
- Cash collections on nonaccrual pools were $17.5 million.
- Net finance receivable revenue increased 12% compared to the prior year period due to yield increases on certain pools in
Americas Core and Europe Core, as well as record portfolio purchases in the Americas during 2017.
- Fee income declined $4.5 million primarily as a result of the sale of two fee-based subsidiaries in
2017.
Expenses
- Operating expenses in the quarter increased largely due to compensation and employee services and communication
expenses. The increase in compensation and employee services expense is due to the hiring of U.S. based collectors as the
Company accommodates growth in the U.S. supply of nonperforming loans. Communication expenses increased largely due to
higher letter and call volume associated with record portfolio purchases in the U.S. during 2017 and approximately 1,100
additional collectors operating during the quarter compared to the first quarter of 2017.
- During the quarter, the Company recorded $5.4 million in pre-tax, noncash interest expense and amortization of debt issuance
costs, a $3.7 million gain on interest rate swap agreements, and $1.2 million in amortization of intangible assets.
- The effective tax rate in the quarter was 20.9% reflecting the effects of U.S. tax reform and changes in mix of projected
taxable income among jurisdictions.
Portfolio Acquisitions
- PRA Group invested $168.3 million in finance receivables in the first quarter.
- At the end of the first quarter, the Company had in place forward flow commitments in the amount of $351.3 million.
|
|
|
|
|
|
|
|
Portfolio Purchase Source |
|
2018 |
|
2017
|
($ in thousands) |
|
Q1 |
|
Q4 |
Q3 |
Q2 |
Q1 |
Americas-Core |
|
$ |
131,427 |
|
$ |
160,278 |
$ |
115,572 |
$ |
144,871 |
$ |
115,166 |
Americas-Insolvency |
|
|
13,436 |
|
|
44,195 |
|
73,497 |
|
100,040 |
|
67,123 |
Europe-Core |
|
|
18,000 |
|
|
152,417 |
|
14,695 |
|
42,876 |
|
39,505 |
Europe-Insolvency |
|
|
5,392 |
|
|
17,698 |
|
7,146 |
|
7,860 |
|
6,020 |
Total Portfolio Purchasing |
|
$ |
168,255 |
|
$ |
374,588 |
$ |
210,910 |
$ |
295,647 |
$ |
227,814 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Conference Call Information
PRA Group will hold a conference call today at 5:00 p.m. ET to discuss results with institutional investors and stock
analysts. To listen to a webcast of the call and view the accompanying slides, visit
http://ir.pragroup.com/events-and-presentations. To listen by phone, call 888-695-7639 in the U.S. or 970-315-0482 outside the
U.S. The conference ID is 5969585. To listen to a replay of the call until May 16, 2018, call 855-859-2056 in the U.S.
or 404-537-3406 outside the U.S. and use conference ID 5969585.
About PRA Group
As a global leader in acquiring and collecting nonperforming loans, PRA Group returns capital to banks and other creditors to help
expand financial services for consumers in the Americas and Europe. With over 5,600 employees worldwide, PRA Group companies
collaborate with customers to help them resolve their debt. For more information, please visit www.pragroup.com.
About Forward-Looking Statements
Statements made herein which are not historical in nature, including PRA Group’s or its management's intentions, hopes, beliefs,
expectations, representations, projections, plans or predictions of the future, are forward-looking statements within the meaning
of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
The forward-looking statements in this press release are based upon management's current beliefs, estimates,
assumptions and expectations of PRA Group’s future operations and financial and economic performance, taking into account currently
available information. These statements are not statements of historical fact or guarantees of future performance, and there can be
no assurance that anticipated events will transpire or that our expectations will prove to be correct. Forward-looking statements
involve risks and uncertainties, some of which are not currently known to PRA Group. Actual events or results may differ materially
from those expressed or implied in any such forward-looking statements as a result of various factors, including risk factors and
other risks that are described from time to time in PRA Group’s filings with the Securities and Exchange Commission including but
not limited to PRA Group’s annual reports on Form 10-K, its quarterly reports on Form 10-Q and its current reports on Form 8-K,
which are available through PRA Group's website and contain a detailed discussion of PRA Group's business, including risks and
uncertainties that may affect future results.
Due to such uncertainties and risks, you are cautioned not to place undue reliance on such forward-looking
statements, which speak only as of today. Information in this press release may be superseded by recent information or statements,
which may be disclosed in later press releases, subsequent filings with the Securities and Exchange Commission or otherwise. Except
as required by law, PRA assumes no obligation to publicly update or revise its forward-looking statements contained herein to
reflect any change in PRA Group’s expectations with regard thereto or to reflect any change in events, conditions or circumstances
on which any such forward-looking statements are based, in whole or in part.
|
|
|
PRA Group, Inc. |
|
|
Consolidated Income Statements |
|
|
For the three months ended March 31, 2018 and
2017 |
|
|
(unaudited) |
|
|
(Amounts in thousands, except per share
amounts) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
|
|
|
|
|
|
March 31, |
|
|
|
|
|
|
|
|
|
|
2018 |
|
|
|
2017 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues: |
|
|
|
|
|
|
Income recognized on finance receivables, net |
$ |
217,699 |
|
|
$ |
194,535 |
|
|
|
|
Fee income |
|
5,327 |
|
|
|
9,858 |
|
|
|
|
Other revenue |
|
157 |
|
|
|
2,165 |
|
|
|
|
|
|
|
Total revenues |
|
223,183 |
|
|
|
206,558 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses: |
|
|
|
|
|
|
Compensation and employee services |
|
81,237 |
|
|
|
68,468 |
|
|
|
|
Legal collection expenses |
|
32,912 |
|
|
|
31,728 |
|
|
|
|
Agency fees |
|
8,278 |
|
|
|
10,800 |
|
|
|
|
Outside fees and services |
|
14,158 |
|
|
|
13,285 |
|
|
|
|
Communication |
|
11,557 |
|
|
|
9,137 |
|
|
|
|
Rent and occupancy |
|
4,314 |
|
|
|
3,783 |
|
|
|
|
Depreciation and amortization |
|
4,929 |
|
|
|
5,215 |
|
|
|
|
Other operating expenses |
|
12,184 |
|
|
|
10,885 |
|
|
|
|
|
|
|
Total operating expenses |
|
169,569 |
|
|
|
153,301 |
|
|
|
|
|
|
|
Income from operations |
|
53,614 |
|
|
|
53,257 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income and (expense): |
|
|
|
|
|
|
Gain on sale of subsidiaries |
|
- |
|
|
|
46,845 |
|
|
|
|
Interest expense, net |
|
(25,781 |
) |
|
|
(21,257 |
) |
|
|
|
Foreign exchange gain |
|
1,293 |
|
|
|
2,179 |
|
|
|
|
Other |
|
|
|
243 |
|
|
|
- |
|
|
|
|
|
|
|
Income before income taxes |
|
29,369 |
|
|
|
81,024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax expense |
|
6,137 |
|
|
|
31,409 |
|
|
|
|
|
|
|
Net income |
$ |
23,232 |
|
|
$ |
49,615 |
|
|
|
|
|
|
|
|
Adjustment for net income attributable to noncontrolling interests |
|
2,126 |
|
|
|
1,448 |
|
|
|
|
|
|
|
Net income attributable to PRA Group, Inc. |
$ |
21,106 |
|
|
$ |
48,167 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per common share attributable to PRA Group, Inc.: |
|
|
|
|
|
|
Basic |
|
|
$ |
0.47 |
|
|
$ |
1.04 |
|
|
|
|
Diluted |
|
$ |
0.47 |
|
|
$ |
1.03 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average number of shares outstanding: |
|
|
|
|
|
|
Basic |
|
|
|
45,231 |
|
|
|
46,406 |
|
|
|
|
Diluted |
|
|
45,370 |
|
|
|
46,627 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PRA Group, Inc. |
|
Consolidated Balance Sheets |
|
March 31, 2018 and December 31,
2017 |
|
(Amounts in thousands) |
|
|
|
|
|
|
|
|
(unaudited) |
|
|
|
|
|
|
|
|
|
|
March 31,
|
|
December 31, |
|
ASSETS |
2018 |
|
2017 |
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
$ |
101,418 |
|
|
$ |
120,516 |
|
|
Investments |
|
87,764 |
|
|
|
78,290 |
|
|
Finance receivables, net |
|
2,767,131 |
|
|
|
2,771,921 |
|
|
Other receivables, net |
|
14,308 |
|
|
|
15,770 |
|
|
Income taxes receivable |
|
10,271 |
|
|
|
21,686 |
|
|
Net deferred tax asset |
|
60,446 |
|
|
|
57,529 |
|
|
Property and equipment, net |
|
53,788 |
|
|
|
49,311 |
|
|
Goodwill |
|
|
|
544,293 |
|
|
|
526,513 |
|
|
Intangible assets, net |
|
22,523 |
|
|
|
23,572 |
|
|
Other assets |
|
37,639 |
|
|
|
32,656 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
$ |
3,699,581 |
|
|
$ |
3,697,764 |
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND EQUITY |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities: |
|
|
|
|
|
|
Accounts payable |
$ |
2,330 |
|
|
$ |
4,992 |
|
|
|
Accrued expenses |
|
85,137 |
|
|
|
85,993 |
|
|
|
Income taxes payable |
|
23,872 |
|
|
|
10,771 |
|
|
|
Net deferred tax liability |
|
146,410 |
|
|
|
171,185 |
|
|
|
Interest-bearing deposits |
|
90,769 |
|
|
|
98,580 |
|
|
|
Borrowings |
|
2,150,873 |
|
|
|
2,170,182 |
|
|
|
Other liabilities |
|
15,146 |
|
|
|
9,018 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total liabilities |
|
2,514,537 |
|
|
|
2,550,721 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Redeemable noncontrolling interest |
|
9,697 |
|
|
|
9,534 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity: |
|
|
|
|
|
|
|
|
Preferred stock, par value $0.01, authorized shares, 2,000, |
|
|
|
|
|
|
|
issued and outstanding shares, 0 |
|
- |
|
|
|
- |
|
|
|
|
Common stock, par value $0.01, 100,000 shares authorized, 45,275
shares |
|
|
|
|
|
|
|
issued and outstanding at March 31, 2018; 100,000 shares
authorized, |
|
|
|
|
|
|
|
45,189 shares issued and outstanding at December 31, 2017 |
|
453 |
|
|
|
452 |
|
|
|
|
Additional paid-in capital |
|
54,271 |
|
|
|
53,870 |
|
|
|
|
Retained earnings |
|
1,228,808 |
|
|
|
1,211,632 |
|
|
|
|
Accumulated other comprehensive loss |
|
(155,687 |
) |
|
|
(178,607 |
) |
|
|
|
|
Total stockholders' equity - PRA Group, Inc. |
|
1,127,845 |
|
|
|
1,087,347 |
|
|
|
|
|
|
Noncontrolling interest |
|
47,502 |
|
|
|
50,162 |
|
|
|
|
|
|
Total equity |
|
1,175,347 |
|
|
|
1,137,509 |
|
|
|
|
|
|
|
Total liabilities and equity |
$ |
3,699,581 |
|
|
$ |
3,697,764 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Select Expenses (Income) |
|
|
|
|
|
|
|
|
(in thousands) |
Three Months Ended |
|
March
31,
2018 |
December
31,
2017 |
September
30,
2017 |
June
30,
2017 |
March
31,
2017 |
December
31,
2016 |
September
30,
2016 |
June
30,
2016 |
CFPB expenses including penalty and redress |
- |
|
- |
- |
|
- |
|
- |
- |
|
20 |
|
21 |
Acquisition/divestiture-related expenses |
- |
|
- |
- |
|
- |
|
2,100 |
458 |
|
216 |
|
557 |
Legal costs not associated with normal operations |
92 |
|
160 |
218 |
|
2,615 |
|
1,024 |
3,741 |
|
1,511 |
|
1,623 |
Noncash interest expense - amortization of debt discount |
2,877 |
|
2,823 |
2,796 |
|
1,809 |
|
1,155 |
1,136 |
|
1,127 |
|
1,109 |
Noncash interest expense - amortization of debt issuance costs |
2,553 |
|
2,501 |
2,505 |
|
2,635 |
|
1,928 |
1,929 |
|
1,647 |
|
2,277 |
Change in fair value on Interest rate swap agreements |
(3,673 |
) |
420 |
(1,025 |
) |
(1,578 |
) |
158 |
(1,064 |
) |
(669 |
) |
1,399 |
Amortization of intangibles |
1,222 |
|
1,016 |
1,037 |
|
869 |
|
1,410 |
929 |
|
1,661 |
|
1,808 |
Stock-based compensation expense |
2,415 |
|
2,415 |
2,218 |
|
1,846 |
|
2,199 |
(3,330 |
) |
3,332 |
|
2,699 |
|
|
Purchase Price Multiples |
as of March 31, 2018 |
Amounts in thousands |
|
|
|
|
|
|
|
|
Purchase Period |
Purchase Price
(1)(2) |
Net Finance
Receivables
Balance (3) |
ERC-Historical
Period
Exchange
Rates (4) |
Total Estimated
Collections (5) |
ERC-Current
Period
Exchange
Rates (6) |
Current
Estimated
Purchase Price
Multiple |
Original
Estimated
Purchase Price
Multiple (7) |
Americas-Core |
|
|
|
|
|
|
|
1996-2007 |
$ |
638,460 |
$ |
7,015 |
$ |
30,278 |
$ |
2,046,593 |
$ |
30,278 |
321 |
% |
240 |
% |
2008 |
|
166,434 |
|
3,603 |
|
14,173 |
|
374,917 |
|
14,173 |
225 |
% |
220 |
% |
2009 |
|
125,155 |
|
865 |
|
27,803 |
|
458,854 |
|
27,803 |
367 |
% |
252 |
% |
2010 |
|
148,204 |
|
4,985 |
|
46,845 |
|
536,785 |
|
46,845 |
362 |
% |
247 |
% |
2011 |
|
209,625 |
|
12,606 |
|
66,779 |
|
725,666 |
|
66,779 |
346 |
% |
245 |
% |
2012 |
|
254,247 |
|
23,753 |
|
97,231 |
|
679,874 |
|
97,231 |
267 |
% |
226 |
% |
2013 |
|
391,247 |
|
70,571 |
|
220,876 |
|
980,948 |
|
220,876 |
251 |
% |
211 |
% |
2014 |
|
405,653 |
|
117,573 |
|
322,221 |
|
985,160 |
|
318,909 |
243 |
% |
204 |
% |
2015 |
|
444,516 |
|
173,302 |
|
399,613 |
|
967,727 |
|
401,173 |
218 |
% |
205 |
% |
2016 |
|
455,595 |
|
254,573 |
|
560,793 |
|
1,007,980 |
|
565,577 |
221 |
% |
201 |
% |
2017 |
|
536,130 |
|
466,780 |
|
880,523 |
|
1,060,591 |
|
879,773 |
198 |
% |
193 |
% |
2018 |
|
131,849 |
|
130,415 |
|
260,311 |
|
266,947 |
|
260,311 |
202 |
% |
202 |
% |
Subtotal |
|
3,907,115 |
|
1,266,041 |
|
2,927,446 |
|
10,092,042 |
|
2,929,728 |
|
|
Americas-Insolvency |
|
|
|
|
|
|
2004-2007 |
|
132,917 |
|
— |
|
494 |
|
197,106 |
|
494 |
148 |
% |
148 |
% |
2008 |
|
108,549 |
|
— |
|
517 |
|
168,662 |
|
517 |
155 |
% |
163 |
% |
2009 |
|
155,989 |
|
— |
|
1,769 |
|
470,653 |
|
1,769 |
302 |
% |
214 |
% |
2010 |
|
208,947 |
|
— |
|
3,215 |
|
547,333 |
|
3,215 |
262 |
% |
184 |
% |
2011 |
|
180,447 |
|
— |
|
947 |
|
368,231 |
|
947 |
204 |
% |
155 |
% |
2012 |
|
251,433 |
|
— |
|
1,375 |
|
388,349 |
|
1,375 |
154 |
% |
136 |
% |
2013 |
|
227,905 |
|
3,920 |
|
18,342 |
|
354,844 |
|
18,342 |
156 |
% |
133 |
% |
2014 |
|
148,720 |
|
20,772 |
|
33,630 |
|
211,087 |
|
33,583 |
142 |
% |
124 |
% |
2015 |
|
63,199 |
|
28,113 |
|
35,834 |
|
82,204 |
|
35,834 |
130 |
% |
125 |
% |
2016 |
|
92,290 |
|
46,194 |
|
55,800 |
|
111,922 |
|
55,887 |
121 |
% |
123 |
% |
2017 |
|
276,637 |
|
216,719 |
|
268,797 |
|
342,254 |
|
268,797 |
124 |
% |
125 |
% |
2018 |
|
13,588 |
|
13,587 |
|
17,012 |
|
17,100 |
|
17,012 |
126 |
% |
126 |
% |
Subtotal |
|
1,860,621 |
|
329,305 |
|
437,732 |
|
3,259,745 |
|
437,772 |
|
|
Total Americas |
|
5,767,736 |
|
1,595,346 |
|
3,365,178 |
|
13,351,787 |
|
3,367,500 |
|
|
Europe-Core |
|
|
|
|
|
|
|
2012 |
|
20,426 |
|
— |
|
2,319 |
|
38,398 |
|
1,998 |
188 |
% |
187 |
% |
2013 |
|
20,358 |
|
442 |
|
1,477 |
|
23,682 |
|
1,248 |
116 |
% |
119 |
% |
2014 |
|
797,539 |
|
312,494 |
|
1,038,365 |
|
2,121,937 |
|
966,698 |
266 |
% |
208 |
% |
2015 |
|
422,595 |
|
238,428 |
|
474,480 |
|
743,376 |
|
465,341 |
176 |
% |
160 |
% |
2016 |
|
348,857 |
|
282,181 |
|
442,083 |
|
578,493 |
|
483,364 |
166 |
% |
167 |
% |
2017 |
|
250,089 |
|
239,234 |
|
331,287 |
|
363,123 |
|
351,038 |
145 |
% |
144 |
% |
2018 |
|
17,913 |
|
17,562 |
|
25,449 |
|
25,935 |
|
25,449 |
145 |
% |
145 |
% |
Subtotal |
|
1,877,777 |
|
1,090,341 |
|
2,315,460 |
|
3,894,944 |
|
2,295,136 |
|
|
Europe-Insolvency |
|
|
|
|
|
|
2014 |
|
10,876 |
|
1,765 |
|
4,880 |
|
18,234 |
|
4,786 |
168 |
% |
129 |
% |
2015 |
|
19,408 |
|
7,696 |
|
14,038 |
|
28,829 |
|
13,261 |
149 |
% |
139 |
% |
2016 |
|
42,215 |
|
27,141 |
|
38,073 |
|
60,340 |
|
40,977 |
143 |
% |
130 |
% |
2017 |
|
38,836 |
|
39,405 |
|
46,996 |
|
49,742 |
|
49,731 |
128 |
% |
128 |
% |
2018 |
|
5,454 |
|
5,437 |
|
6,521 |
|
6,546 |
|
6,521 |
120 |
% |
120 |
% |
Subtotal |
|
116,789 |
|
81,444 |
|
110,508 |
|
163,691 |
|
115,276 |
|
|
Total Europe |
|
1,994,566 |
|
1,171,785 |
|
2,425,968 |
|
4,058,635 |
|
2,410,412 |
|
|
Total PRA Group |
$ |
7,762,302 |
$ |
2,767,131 |
$ |
5,791,146 |
$ |
17,410,422 |
$ |
5,777,912 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) The amount reflected in the Purchase Price also
includes the acquisition date finance receivables portfolios that were acquired through our various business acquisitions. |
(2) For our international amounts, Purchase Price is
presented at the exchange rate at the end of the quarter in which the pool was purchased. In addition, any purchase price
adjustments that occur throughout the life of the pool are presented at the period-end exchange rate for the respective quarter
of purchase. |
(3) For our international amounts, Net Finance
Receivables are presented at the March 31, 2018 exchange rate. |
(4) For our international amounts, Estimated Remaining
Collections ("ERC")-Historical Period Exchange Rates is presented at the period-end exchange rate for the respective
quarter of purchase. |
(5) For our international amounts, Total Estimated
Collections is presented at the period-end exchange rate for the respective quarter of purchase. |
(6) For our international amounts, ERC-Current Period
Exchange Rates is presented at the March 31, 2018 exchange rate. |
(7) The Original Estimated Purchase Price Multiple
represents the purchase price multiple at the end of the year of acquisition. |
|
|
Portfolio Financial Information |
Year-to-date as of March 31,
2018 |
Amounts in thousands |
|
|
|
|
|
|
|
|
Purchase Period |
Purchase
Price (1)(2) |
Cash
Collections (3) |
Gross
Revenue (3) |
Amortization
(3) |
Allowance (3) |
Net Revenue
(3) |
Net Finance
Receivables as of
March 31, 2018 (4) |
Americas-Core |
|
|
|
|
|
|
|
1996-2007 |
$ |
638,460 |
$ |
2,922 |
$ |
2,259 |
$ |
663 |
|
$ |
(460 |
) |
$ |
2,719 |
$ |
7,015 |
2008 |
|
166,434 |
|
1,403 |
|
627 |
|
776 |
|
|
— |
|
|
627 |
|
3,603 |
2009 |
|
125,155 |
|
2,431 |
|
2,361 |
|
70 |
|
|
125 |
|
|
2,236 |
|
865 |
2010 |
|
148,204 |
|
3,266 |
|
2,417 |
|
849 |
|
|
(2,325 |
) |
|
4,742 |
|
4,985 |
2011 |
|
209,625 |
|
6,539 |
|
5,388 |
|
1,151 |
|
|
(570 |
) |
|
5,958 |
|
12,606 |
2012 |
|
254,247 |
|
8,664 |
|
5,129 |
|
3,535 |
|
|
(2,000 |
) |
|
7,129 |
|
23,753 |
2013 |
|
391,247 |
|
16,915 |
|
12,005 |
|
4,910 |
|
|
1,945 |
|
|
10,060 |
|
70,571 |
2014 |
|
405,653 |
|
25,535 |
|
17,251 |
|
8,284 |
|
|
1,925 |
|
|
15,326 |
|
117,573 |
2015 |
|
444,516 |
|
39,516 |
|
20,877 |
|
18,639 |
|
|
— |
|
|
20,877 |
|
173,302 |
2016 |
|
455,595 |
|
59,875 |
|
31,913 |
|
27,962 |
|
|
316 |
|
|
31,597 |
|
254,573 |
2017 |
|
536,130 |
|
72,534 |
|
41,712 |
|
30,822 |
|
|
380 |
|
|
41,332 |
|
466,780 |
2018 |
|
131,849 |
|
6,637 |
|
5,003 |
|
1,634 |
|
|
— |
|
|
5,003 |
|
130,415 |
Subtotal |
|
3,907,115 |
|
246,237 |
|
146,942 |
|
99,295 |
|
|
(664 |
) |
|
147,606 |
|
1,266,041 |
Americas-Insolvency |
|
|
|
|
|
|
1996-2007 |
|
132,917 |
|
48 |
|
48 |
|
— |
|
|
— |
|
|
48 |
|
— |
2008 |
|
108,549 |
|
72 |
|
72 |
|
— |
|
|
— |
|
|
72 |
|
— |
2009 |
|
155,989 |
|
238 |
|
238 |
|
— |
|
|
— |
|
|
238 |
|
— |
2010 |
|
208,947 |
|
441 |
|
441 |
|
— |
|
|
— |
|
|
441 |
|
— |
2011 |
|
180,447 |
|
482 |
|
482 |
|
— |
|
|
— |
|
|
482 |
|
— |
2012 |
|
251,433 |
|
1,704 |
|
1,704 |
|
— |
|
|
— |
|
|
1,704 |
|
— |
2013 |
|
227,905 |
|
8,532 |
|
4,833 |
|
3,699 |
|
|
— |
|
|
4,833 |
|
3,920 |
2014 |
|
148,720 |
|
7,609 |
|
1,554 |
|
6,055 |
|
|
— |
|
|
1,554 |
|
20,772 |
2015 |
|
63,199 |
|
4,941 |
|
830 |
|
4,111 |
|
|
— |
|
|
830 |
|
28,113 |
2016 |
|
92,290 |
|
6,761 |
|
1,193 |
|
5,568 |
|
|
210 |
|
|
983 |
|
46,194 |
2017 |
|
276,637 |
|
24,364 |
|
4,335 |
|
20,029 |
|
|
— |
|
|
4,335 |
|
216,719 |
2018 |
|
13,588 |
|
88 |
|
88 |
|
— |
|
|
— |
|
|
88 |
|
13,587 |
Subtotal |
|
1,860,621 |
|
55,280 |
|
15,818 |
|
39,462 |
|
|
210 |
|
|
15,608 |
|
329,305 |
Total Americas |
|
5,767,736 |
|
301,517 |
|
162,760 |
|
138,757 |
|
|
(454 |
) |
|
163,214 |
|
1,595,346 |
Europe-Core |
|
|
|
|
|
|
|
2012 |
|
20,426 |
|
583 |
|
585 |
|
(2 |
) |
|
— |
|
|
585 |
|
— |
2013 |
|
20,358 |
|
385 |
|
251 |
|
134 |
|
|
— |
|
|
251 |
|
442 |
2014 |
|
797,539 |
|
58,099 |
|
33,059 |
|
25,040 |
|
|
(140 |
) |
|
33,199 |
|
312,494 |
2015 |
|
422,595 |
|
23,130 |
|
9,130 |
|
14,000 |
|
|
(224 |
) |
|
9,354 |
|
238,428 |
2016 |
|
348,857 |
|
20,190 |
|
6,581 |
|
13,609 |
|
|
1,743 |
|
|
4,838 |
|
282,181 |
2017 |
|
250,089 |
|
15,236 |
|
3,550 |
|
11,686 |
|
|
— |
|
|
3,550 |
|
239,234 |
2018 |
|
17,913 |
|
486 |
|
136 |
|
350 |
|
|
— |
|
|
136 |
|
17,562 |
Subtotal |
|
1,877,777 |
|
118,109 |
|
53,292 |
|
64,817 |
|
|
1,379 |
|
|
51,913 |
|
1,090,341 |
Europe-Insolvency |
|
|
|
|
|
|
2014 |
|
10,876 |
|
765 |
|
316 |
|
449 |
|
|
— |
|
|
316 |
|
1,765 |
2015 |
|
19,408 |
|
1,228 |
|
396 |
|
832 |
|
|
— |
|
|
396 |
|
7,696 |
2016 |
|
42,215 |
|
3,335 |
|
1,303 |
|
2,032 |
|
|
— |
|
|
1,303 |
|
27,141 |
2017 |
|
38,836 |
|
1,600 |
|
548 |
|
1,052 |
|
|
— |
|
|
548 |
|
39,405 |
2018 |
|
5,454 |
|
26 |
|
9 |
|
17 |
|
|
— |
|
|
9 |
|
5,437 |
Subtotal |
|
116,789 |
|
6,954 |
|
2,572 |
|
4,382 |
|
|
— |
|
|
2,572 |
|
81,444 |
Total Europe |
|
1,994,566 |
|
125,063 |
|
55,864 |
|
69,199 |
|
|
1,379 |
|
|
54,485 |
|
1,171,785 |
Total PRA Group |
$ |
7,762,302 |
$ |
426,580 |
$ |
218,624 |
$ |
207,956 |
|
$ |
925 |
|
$ |
217,699 |
$ |
2,767,131 |
|
|
|
|
|
|
|
|
(1) The amount reflected in the Purchase Price also includes the
acquisition date finance receivables portfolios that were acquired through our various business acquisitions. |
(2) For our international amounts, Purchase Price is presented at the
exchange rate at the end of the quarter in which the pool was purchased. In addition, any purchase price adjustments that occur
throughout the life of the pool are presented at the period-end exchange rate for the respective quarter of
purchase. |
(3) For our international amounts, amounts are presented using the
average exchange rates during the current reporting period. |
(4) For our international amounts, Net Finance Receivables are
presented at the March 31, 2018 exchange rate. |
|
|
Cash Collections by Year, By Year of
Purchase (1) |
as of March 31, 2018 |
Amounts in thousands |
|
|
|
Purchase Period |
Purchase Price
(2)(3) |
Cash
Collections |
1996-2007 |
|
2008 |
|
2009 |
|
2010 |
|
2011 |
|
2012 |
|
2013 |
|
2014 |
|
2015 |
|
2016 |
|
2017 |
|
2018 |
Total |
Americas-Core |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1996-2007 |
$ |
638,460 |
$ |
1,096,153 |
$ |
222,628 |
$ |
168,849 |
$ |
137,689 |
$ |
115,551 |
$ |
89,405 |
$ |
63,955 |
$ |
45,247 |
$ |
32,491 |
$ |
20,745 |
$ |
13,427 |
$ |
2,922 |
$ |
2,009,062 |
2008 |
|
166,434 |
|
— |
|
47,253 |
|
72,080 |
|
62,363 |
|
53,654 |
|
42,850 |
|
31,307 |
|
21,027 |
|
13,786 |
|
8,989 |
|
6,031 |
|
1,403 |
|
360,743 |
2009 |
|
125,155 |
|
— |
|
— |
|
40,703 |
|
95,627 |
|
84,339 |
|
69,385 |
|
51,121 |
|
35,555 |
|
24,896 |
|
16,000 |
|
10,994 |
|
2,431 |
|
431,051 |
2010 |
|
148,204 |
|
— |
|
— |
|
— |
|
47,076 |
|
113,554 |
|
109,873 |
|
82,014 |
|
55,946 |
|
38,110 |
|
24,515 |
|
15,587 |
|
3,266 |
|
489,941 |
2011 |
|
209,625 |
|
— |
|
— |
|
— |
|
— |
|
61,971 |
|
174,461 |
|
152,908 |
|
108,513 |
|
73,793 |
|
48,711 |
|
31,991 |
|
6,539 |
|
658,887 |
2012 |
|
254,247 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
56,901 |
|
173,589 |
|
146,198 |
|
97,267 |
|
59,981 |
|
40,042 |
|
8,664 |
|
582,642 |
2013 |
|
391,247 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
101,614 |
|
247,849 |
|
194,026 |
|
120,789 |
|
78,880 |
|
16,915 |
|
760,073 |
2014 |
|
405,653 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
92,660 |
|
253,448 |
|
170,311 |
|
114,219 |
|
25,535 |
|
656,173 |
2015 |
|
444,516 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
116,951 |
|
228,432 |
|
185,898 |
|
39,516 |
|
570,797 |
2016 |
|
455,595 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
138,723 |
|
256,531 |
|
59,875 |
|
455,129 |
2017 |
|
536,130 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
107,327 |
|
72,534 |
|
179,861 |
2018 |
|
131,849 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
6,637 |
|
6,637 |
Subtotal |
|
3,907,115 |
|
1,096,153 |
|
269,881 |
|
281,632 |
|
342,755 |
|
429,069 |
|
542,875 |
|
656,508 |
|
752,995 |
|
844,768 |
|
837,196 |
|
860,927 |
|
246,237 |
|
7,160,996 |
Americas-Insolvency |
|
|
|
|
|
|
|
|
|
|
|
|
|
1996-2007 |
|
132,917 |
|
61,154 |
|
42,794 |
|
33,842 |
|
27,347 |
|
18,234 |
|
8,574 |
|
1,884 |
|
1,151 |
|
802 |
|
463 |
|
321 |
|
48 |
|
196,614 |
2008 |
|
108,549 |
|
— |
|
14,024 |
|
35,894 |
|
37,974 |
|
35,690 |
|
28,956 |
|
11,650 |
|
1,884 |
|
1,034 |
|
635 |
|
332 |
|
72 |
|
168,145 |
2009 |
|
155,989 |
|
— |
|
— |
|
16,635 |
|
81,780 |
|
102,780 |
|
107,888 |
|
95,725 |
|
53,945 |
|
5,781 |
|
2,531 |
|
1,581 |
|
238 |
|
468,884 |
2010 |
|
208,947 |
|
— |
|
— |
|
— |
|
39,486 |
|
104,499 |
|
125,020 |
|
121,717 |
|
101,873 |
|
43,649 |
|
5,008 |
|
2,425 |
|
441 |
|
544,118 |
2011 |
|
180,447 |
|
— |
|
— |
|
— |
|
— |
|
15,218 |
|
66,379 |
|
82,752 |
|
85,816 |
|
76,915 |
|
35,996 |
|
3,726 |
|
482 |
|
367,284 |
2012 |
|
251,433 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
17,388 |
|
103,610 |
|
94,141 |
|
80,079 |
|
60,715 |
|
29,337 |
|
1,704 |
|
386,974 |
2013 |
|
227,905 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
52,528 |
|
82,596 |
|
81,679 |
|
63,386 |
|
47,781 |
|
8,532 |
|
336,502 |
2014 |
|
148,720 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
37,045 |
|
50,880 |
|
44,313 |
|
37,350 |
|
7,609 |
|
177,197 |
2015 |
|
63,199 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
3,395 |
|
17,892 |
|
20,143 |
|
4,941 |
|
46,371 |
2016 |
|
92,290 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
18,869 |
|
30,426 |
|
6,761 |
|
56,056 |
2017 |
|
276,637 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
49,093 |
|
24,364 |
|
73,457 |
2018 |
|
13,588 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
88 |
|
88 |
Subtotal |
|
1,860,621 |
|
61,154 |
|
56,818 |
|
86,371 |
|
186,587 |
|
276,421 |
|
354,205 |
|
469,866 |
|
458,451 |
|
344,214 |
|
249,808 |
|
222,515 |
|
55,280 |
|
2,821,690 |
Total Americas |
|
5,767,736 |
|
1,157,307 |
|
326,699 |
|
368,003 |
|
529,342 |
|
705,490 |
|
897,080 |
|
1,126,374 |
|
1,211,446 |
|
1,188,982 |
|
1,087,004 |
|
1,083,442 |
|
301,517 |
|
9,982,686 |
Europe-Core |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2012 |
|
20,426 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
11,604 |
|
8,995 |
|
5,641 |
|
3,175 |
|
2,198 |
|
2,038 |
|
583 |
|
34,234 |
2013 |
|
20,358 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
7,068 |
|
8,540 |
|
2,347 |
|
1,326 |
|
1,239 |
|
385 |
|
20,905 |
2014 |
|
797,539 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
153,180 |
|
291,980 |
|
246,365 |
|
220,765 |
|
58,099 |
|
970,389 |
2015 |
|
422,595 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
45,760 |
|
100,263 |
|
86,156 |
|
23,130 |
|
255,309 |
2016 |
|
348,857 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
40,368 |
|
78,915 |
|
20,190 |
|
139,473 |
2017 |
|
250,089 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
17,894 |
|
15,236 |
|
33,130 |
2018 |
|
17,913 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
486 |
|
486 |
Subtotal |
|
1,877,777 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
11,604 |
|
16,063 |
|
167,361 |
|
343,262 |
|
390,520 |
|
407,007 |
|
118,109 |
|
1,453,926 |
Europe-Insolvency |
|
|
|
|
|
|
|
|
|
|
|
|
|
2014 |
|
10,876 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
5 |
|
4,297 |
|
3,921 |
|
3,207 |
|
765 |
|
12,195 |
2015 |
|
19,408 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
2,954 |
|
4,366 |
|
5,013 |
|
1,228 |
|
13,561 |
2016 |
|
42,215 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
6,175 |
|
12,703 |
|
3,335 |
|
22,213 |
2017 |
|
38,836 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
1,233 |
|
1,600 |
|
2,833 |
2018 |
|
5,454 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
26 |
|
26 |
Subtotal |
|
116,789 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
5 |
|
7,251 |
|
14,462 |
|
22,156 |
|
6,954 |
|
50,828 |
Total Europe |
|
1,994,566 |
|
— |
|
— |
|
— |
|
— |
|
— |
|
11,604 |
|
16,063 |
|
167,366 |
|
350,513 |
|
404,982 |
|
429,163 |
|
125,063 |
|
1,504,754 |
Total PRA Group |
$ |
7,762,302 |
$ |
1,157,307 |
$ |
326,699 |
$ |
368,003 |
$ |
529,342 |
$ |
705,490 |
$ |
908,684 |
$ |
1,142,437 |
$ |
1,378,812 |
$ |
1,539,495 |
$ |
1,491,986 |
$ |
1,512,605 |
$ |
426,580 |
$ |
11,487,440 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) For our international amounts, Cash Collections are presented
using the average exchange rates during the cash collection period. |
(2) The amount reflected in the Purchase Price also includes the
acquisition date finance receivables portfolios that were acquired through our various business acquisitions. |
(3) For our international amounts, Purchase Price is
presented at the exchange rate at the end of the quarter in which the portfolio was purchased. In addition, any purchase price
adjustments that occur throughout the life of the pool are presented at the period end exchange rate for the respective quarter
of purchase. |
|
Investor Contact:
Darby Schoenfeld, CPA
Vice President, Investor Relations
(757) 431-7913
Darby.Schoenfeld@PRAGroup.com
News Media Contact:
Nancy Porter
Vice President, Corporate Marketing
(757) 431-7950
Nancy.Porter@PRAGroup.com