Slide 1: PRA Group Q3 2023 Conference Call Presentation
PRA Group Q3 2023 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: Optimizing Performance: An Update
Optimizing Performance: An Update Portfolio Supply Operational Efficiency & Pricing Effectiveness With Accelerated Speed + Expanded Scope 2 Nasdaq: PRAA
Slide 4: Stable Investments in Europe with Growing Supply in U.S.
Stable Investments in Europe with Growing Supply in U.S. $ in millions $250 $250 4.0% $220 3.5% $200 $200 $172 3.0% $161 $144 $146 2.5% $150 $150 $125 $106 Avg: $111 $109 2.0% $90 $98 $91 $96 $97 $100 $79 $109 $100 $79 $78 $88 1.5% $73 $65 $61 $48 1.0% $50 $50 0.5% $0 $0 0.0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Slide 5: Optimizing Performance: An Update
Optimizing Performance: An Update Portfolio Supply Operational Efficiency Efficiency & Pricing Effectiveness Stable investments in Leveraging additional Improving call center Europe expected to third parties to bolster productivity remain post-judgment Optimizing U.S. site initiatives Capi
Slide 6: Q3 Portfolio Investments Increased 70% Year-over-Year
Q3 Portfolio Investments Increased 70% Year-over-Year $ in millions Portfolio Purchases $450 $400 $392 +70% $350 $328 $311 $300 $172 $288 $250 $231 $230 $220 $184 $202 $128 $200 $183 $232 $159 $106 $114 $147 $133 $150 $111 $110 $98 $220 $100 $100 $161 $144 $106 $125 $50 $90 $98 $79 $61 $73 $48 $0 Q1
Slide 7: Q3 Financial Results
Q3 Financial Results $ in millions, expect per share amounts Total Revenues Portfolio Income Operating Expenses Net Income/(Loss) Diluted Earnings Attributable Per Share to PRA Group -12% +2% 0% $245 $190 $174 -150% $186 $173 $216 -149% $25 $0.63 ($12) ($0.31) Q3 2022 Q3 2023 6 Nasdaq: PRAA
Slide 8: Cash Collections Increased 2% Year-Over-Year
Cash Collections Increased 2% Year-Over-Year $ in millions Cash Collections $600 $556 $544 $500 $488 $481 $474 +2% $444 $412 $411 $419 $420 $400 $392 $383 $363 $314 $295 $305 $300 $279 $247 $252 $258 $234 $254 $200 $100 $173 $181 $174 $179 $175 $172 $165 $155 $158 $158 $168 $0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q
Slide 9: ERC Increased 12% Year-over-Year
ERC Increased 12% Year-over-Year ERC increased $70+ million compared to prior quarter, with U.S. ERC up $135 million $ in billions $8.0 $7.0 +12% $6.1 $6.1 $6.1 $6.0 $6.0 $6.0 $0.3 $5.7 $5.9 $0.3 $0.4 $0.4 $5.6 $5.7 $5.7 $0.4 $5.3 $0.6 $0.6 $0.4 $0.5 $0.5 $5.0 $0.5 $2.8 $2.7 $2.5 $2.5 $2.3 $2.2 $2.1
Slide 10: Strong Capital Structure With No Debt Maturing Until 2025
Strong Capital Structure With No Debt Maturing Until 2025 $ in millions Total Borrowings and Debt to Adjusted EBITDA Debt Maturity Profile1 4.5 $3,000 $2,832 $2,495 4 $1,325 $2,500 North 3.5 American $2,000 RCF $1,500 2.84x 3 UK RCF $1,000 2.25x 2.5 $474 $398 $350 $298 $500 2 US Term Loan $0 1.5 Dec
Slide 11: Key Takeaways
Key Takeaways Another strong purchasing quarter with improved pricing Supply in U.S. continues to build, amid ongoing credit normalization Executing on strategy and initiatives to optimize performance 10 Nasdaq: PRAA
Slide 12: Q&A
Q&A 11 Nasdaq: PRAA
Slide 13: Reconciliation of Non-GAAP Financial Measures to GAAP
Reconciliation of Non-GAAP Financial Measures to GAAP Use of Non-GAAP Financial Measures PRA Group, Inc. reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP). However, management uses certain non-GAAP financial measures, including Adjusted EBITDA, int
Slide 14: Najim Mostamand, CFA, VP, Investor Relations
Najim Mostamand, CFA VP, Investor Relations (757) 431-7913 IR@pragroup.com IR.PRAGROUP.COM