Pra Group, Inc. · NASDAQ:PRAA
Pra — Q1 2026 Earnings Presentation
19 slides from Pra's earnings presentation, May 7, 2026
Slide 1: PRA Group Q1 2026 Conference Call Presentation
PRA Group Q1 2026 Conference Call Presentation Nasdaq: PRAA
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements in this presentation, other than statements of historical fact, are forward-looking statements, which are based on our current beliefs, projections, assumptions and expectations concerning future operations and financial performance. Such statements involve unce
Slide 3: Building on the Success of 2025 with Strong Start to 2026
Building on the Success of 2025 with Strong Start to 2026 $ in millions 11% Cash Collections Growth and 62% Cash Efficiency Ratio1 Disciplined Buying and Focused on Returns Cash Collections & Cash Efficiency Ratio1 Portfolio Purchases $1,209 +11% $497 $552 $292 $221 61% 62% Q1 25 Q1 26 FY 25 Q1 25 Q
Slide 4: Our Customers Remained Stable in Q1 2026
Our Customers Remained Stable in Q1 2026 We Are Monitoring the Environment Closely Our Observations Across 30 years U.S. Credit Card Charge-Off Rates1 1. Our customers have tended to be fairly resilient across Global Financial Crisis2 Cost of Living Impact multiple economic downturns (GFC, COVID, Br
Slide 5: PRA 3.0 Strategy Snapshot
PRA 3.0 Strategy Snapshot Clear Plan For a High-Performing, Technology-Enabled Global Allocator of Capital Capital & Investing Operations, Tech & Data People & Culture 1• Disciplined global NPL 1• Transform operations 1• Invest in talent investor 2• Fully leverage technology 2• Performance culture 2
Slide 6: Recent Progress on Executing Our PRA 3.0 Strategy
Recent Progress on Executing Our PRA 3.0 Strategy 1 Allocate capital to highest-return opportunities ✓ Disciplined purchasing globally and testing adjacent products in U.S. Capital & ✓ Continued to de-leverage Investing ✓ Refinanced European RCF ✓ Opportunistic share repurchase of $10M in Q1 2 Build
Slide 7: Q1 Portfolio Purchases and Expected Net Returns
Q1 Portfolio Purchases and Expected Net Returns Tracked According to Plan $ in millions Core PPMs1 and Portfolio Purchases – in Line with Our Expectations Our Focus is on Net Returns PPMs can vary based on mix PRA • PPMs can vary due to multiple factors 2.00x 1.98x 2.07x 1.98x 1.96x (global) (geogra
Slide 8: Strong Cash Generation Supported by U.S. Legal Collections and European Growth
Strong Cash Generation Supported by U.S. Legal Collections and European Growth Estimated Remaining Collections (ERC)1 Total Cash Collections U.S. Legal Cash Collections $ in billions $ in millions $ in millions U.S. Legal Collection Costs U.S. Europe Other U.S. Europe Other U.S. Legal Cash Collectio
Slide 9: Growing Portfolio Income and Strong Cash Overperformance
Growing Portfolio Income and Strong Cash Overperformance $ in millions Total Revenues Changes in Expected Recoveries +17% $333 $40 $311 $315 $37 $270 $288 $7 $33 $3 $51 $1 $64 $44 $1 $27 $24 $27 $28 $1 +12% $23 $21 $17 $11 $241 $251 $259 $263 $270 Q1 25 Q2 25 Q3 25 Q4 25 Q1 26 ($7) Q1 25 Q2 25 Q3 25
Slide 10: Adjusted Net Income Attributable to PRA Increased Significantly Year-over-Year
Adjusted Net Income Attributable to PRA Increased Significantly Year-over-Year $ in millions Total Operating Expenses Adjusted Net Income Attributable to PRA1 & Adjusted ROATE2 $211 15.3% 11.7% $195 6.0% 9.3% 1.9% $33 $48 $35 $28 $24 $162 $163 $18 $21 $18 $13 $15 $14 $4 Q1 25 Q1 26 Q1 25 Q2 25 Q3 25
Slide 11: Net Leverage Continued to Decline
Net Leverage Continued to Decline Driven by Growing Adjusted EBITDA & Disciplined Investing $ in millions Borrowings, LTM Adjusted EBITDA1, and Net Leverage2 Borrowings $2,938 $2,740 $2,832 $2,914 $2,953 $3,114 $3,296 $3,327 $3,466 $3,614 $3,607 $3,697 $3,779 2.87x Net leverage 2.81x 2.83x 2.82x 2.8
Slide 12: Strong & Diversified Funding with Prudent Capital Allocation Approach
Strong & Diversified Funding with Prudent Capital Allocation Approach Multiple Levers to Drive Staggered Maturities (None Until 2028) Shareholder Value Creation Pro Forma Debt Maturity Profile1 $ in millions 1 Prioritize disciplined portfolio purchases with $1,835 attractive returns $550 $660 $398 $
Slide 13: Strong Start to 2026 and On Track with PRA 3.0 Strategy to Drive Enhanced Results
Strong Start to 2026 and On Track with PRA 3.0 Strategy to Drive Enhanced Results 2026 Initiatives Driving PRA 3.0 Financial Targets Over Next 2-3 Years Capital & Investing $1.0 - $1.3 Billion • Disciplined investments • Continue to invest with discipline and focus on driving returns of Purchases •
Slide 14: Q&A
Q&A 13 Nasdaq: PRAA
Slide 15: Non-GAAP Financial Measures
Non-GAAP Financial Measures The Company reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP). However, management uses certain non-GAAP financial measures, including the non-GAAP financial measures referred to below, internally to evaluate the Company
Slide 16: Reconciliation of Net Income/(Loss) to Adjusted EBITDA and Calculation of Net Leverage
Reconciliation of Net Income/(Loss) to Adjusted EBITDA and Calculation of Net Leverage $ in millions Non-GAAP Financial Measures Set forth below is a reconciliation of net income/(loss) attributable to PRA Group, Inc. to Adjusted EBITDA for the last twelve months (LTM) as of March 31, 2023 through t
Slide 17: Reconciliation of Total Stockholders' Equity to Average Tangible Equity
Reconciliation of Total Stockholders’ Equity – PRA Group, Inc. to Average Tangible Equity and Reconciliation of Net Income/(Loss) Attributable to PRA Group, Inc. to Adjusted Net Income Attributable to PRA Non-GAAP Financial Measures The following table provides a reconciliation of Total stockholders
Slide 18: Reconciliation of Net Income/(Loss) to Adjusted Net Income
Reconciliation of Net Income/(Loss) Attributable to PRA Group, Inc. to Adjusted Net Income Attributable to PRA and Calculation of 4-Quarter Average Adjusted Net Income Attributable to PRA Non-GAAP Financial Measures The following table provides a reconciliation of Net income/(loss) attributable to P
Slide 19: Najim Mostamand, CFA
Najim Mostamand, CFA VP, Investor Relations (757) 431-7913 IR@pragroup.com IR.PRAGROUP.COM