Business
Encore Capital Group Announces Second Quarter 2020 Financial Results
Record GAAP net income of $130 million, or $4.13 per shareRecord non-GAAP adjusted net income of $137 million, or $4.34 per shareRecord global revenues grew
About this update from Encore Capital Group Inc
[{"type":"text","content":"Record GAAP net income of $130 million, or $4.13 per shareRecord non-GAAP adjusted net income of $137 million, or $4.34 per shareRecord global revenues grew 23% to $426 millionEnded Q2 with Company’s strongest ever liquidity position SAN DIEGO, Aug. 05, 2020 (GLOBE NEWSWIRE) -- Encore Capital Group, Inc. (NASDAQ: ECPG), an international specialty finance company, today reported consolidated financial results for the second quarter ended June 30, 2020.\n “Encore had an outstanding second quarter as we delivered record global revenues and earnings,” said Ashish Masih, President and Chief Executive Officer. “Over the past several years we have made investments in training, compliance and technology that have enabled us to safely remain fully operational in each of our markets during the COVID-19 pandemic. These investments and our preparedness allowed us to collect significantly more in the second quarter than we forecasted a quarter ago in the early stages of the pandemic. This collections over-performance, combined with reduced expenses primarily associated with our legal collections channel, contributed to our most profitable quarter ever,” said Masih. “We believe our earnings year-to-date are a strong indicator of our continued earnings growth trajectory. I believe this trajectory demonstrates the progress we have made in building shareholder value. We are delivering superior returns, generating significant cash and are well positioned to capture the growing and increasingly attractive future opportunities,” added Masih. Subsequent to the end of the second quarter, the Company retired the remaining $89 million of 2020 convertible notes using cash on the balance sheet. In addition, the Company amended and extended its revolving credit and term loan facilities in the U.S., increasing commitments by $268 million and extending the maturity of the vast majority of the financing to July 2023, further strengthening the Company’s liquidity. “Looking ahead, our strong balance sheet and liquidity have positioned us well to capture upcoming opportunities in the U.S. and the U.K., our core markets. These markets are poised for what we believe will be a substantial increase in charged-off receivables coming to market in 2021 and beyond,” said Masih. Key Financial Metrics for the Second Quarter of 2020: Estimated remaining collections (ERC) ...