Slide 1: PRA Group Q3 2025 Conference Call Presentation
PRA Group Q3 2025 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: Q3 2025 Highlights
Q3 2025 Highlights Selective Buying, Double-Digit Growth in Cash-Based Metrics & Decreasing Leverage $ in millions Portfolio Purchases Cash Collections, Cash Efficiency Ratio1 and Adjusted Cash Efficiency Ratio1 Goodwill Impairment -27% $433 +14% $350 $292 $347 • $413 million non-recurring, $255 $47
Slide 4: Delivered Strong Progress in First 100 Days Under New CEO
Delivered Strong Progress in First 100 Days Under New CEO Putting in Place the Foundation for Improved Performance Priority Themes Accomplishments & Progress 1 Cost Efficiency • • Review corporate and overhead costs Optimize costs across operations ✓ Eliminated 115+ corporate and overhead roles, res
Slide 5: Deep Dive Analysis of Our U.S. Vintages
Deep Dive Analysis of Our U.S. Vintages Americas Core PPMs2 • Conducted regular quarterly reforecasting U.S. “COVID vintages”1 250% “COVID process plus deep dive 10% of global ERC Vintages” analysis of U.S. 200% vintages 2% • Focused on the 150% 2% U.S. “COVID 15 16 17 18 19 20 21 22 23 24 25 6% vin
Slide 6: Continued Purchasing Discipline with Purchase Price Multiples
Continued Purchasing Discipline with Purchase Price Multiples (PPMs)1 Up Significantly Vs. 2023 and Stable in Recent Periods Core Quarterly PPMs1 and Portfolio Portfolio Purchases Purchases 1 2 Consolidated ERC2 ERC3 Q1 2023: 2024: YTD 2025: Core PPM 1.72x 1.80x 1.88x Q1 2023: 2024: YTD 2025: +15% 1
Slide 7: Strong Global Execution Driven by U.S. Legal Cash Collections
Strong Global Execution Driven by U.S. Legal Cash Collections $ in millions Total Cash Collections U.S. Legal Collections Channel ✓ Total cash collections growth of 14%; U.S. legal cash +14% collections growth of 27% +14% +89% +27% $536 $542 $477 $497 $474 $125 ✓ Legal is an important channel $420 $
Slide 8: Continued Portfolio Income Growth Drove 12% Portfolio Revenue Growth
Continued Portfolio Income Growth Drove 12% Portfolio Revenue Growth $ in millions Portfolio Income Portfolio Income Changes in Expected Recoveries +36% +20% Portfolio Revenue1 $251 $259 $241 +12% $230 $216 $202 $209 $283 $277 $285 $269 $284 $310 $188 $184 $190 $195 $254 $151 $205 $212 $217 Collecte
Slide 9: Adjusted Net Income Remained Stable
Adjusted Net Income Remained Stable Higher Multiples, Strong Performance and Efficiency, and Disciplined Expense Management $ in millions $281 $293 $288 $311 $270 Revenues • Revenue growth driven primarily by stable and predictable portfolio income $627 Operating $191 $199 $195 $203 • Adjusted opera
Slide 10: Adjusted EBITDA Continued to Grow, Supporting De-leveraging Over the Past Year
Adjusted EBITDA Continued to Grow, Supporting De- leveraging Over the Past Year $ in millions Borrowings $3,466 $3,614 $3,607 +15% $1,240 $1,265 $1,138 $1,184 $1,065 $1,100 $1,015 $998 $1,007 $1,044 $993 2.87x 2.83x 2.81x 2.82x 2.81x 2.78x 2.73x 2.78x 2.77x 2.73x 2.65x 2.73x3 3/31 6/30 9/30 12/31 3/
Slide 11: Diversified and Strong Capital Structure
Diversified and Strong Capital Structure Recent Eurobond Provided Access to New Investor Base and Rebalanced Secured/Unsecured $ in millions Debt Maturity Profile • $1.2 billion available under credit facilities as of September 30, 2025 $1,768 • $301 million available based on current ERC • $889 mil
Slide 12: Stable Customer Profile
Stable Customer Profile Global and Channel Diversification Help Mitigate Potential Collections Impact 48% 43% Total Core Cash of Total Core Collections from Collections from Outside the U.S. Global Legal Channel ✓ One of the most ✓ Provides longer time period geographically diverse debt to collect c
Slide 13: Successful Execution in First 100 Days Under New CEO with Momentum Heading into 2026
Successful Execution in First 100 Days Under New CEO with Momentum Heading into 2026 ✓ Continued strong European performance ✓ Restructured U.S. operations ✓ Eliminated 250+ roles, including 115+ corporate and overhead roles ✓ Made progress on establishing new talent hub in Charlotte ✓ Completed ret
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 Adjusted EBITDA, internally to evaluate the Company’s performance and to set performa
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 Use of Non-GAAP Financial Measures Set forth below is a reconciliation of net income/(loss), the most directly comparable financial measure calculated and reported in accordance with GAAP, to Adjuste
Slide 17: Calculation of Adjusted Cash Efficiency Ratio
Calculation of Adjusted Cash Efficiency Ratio Use of Non-GAAP Financial Measures The following table provides a reconciliation of Total operating expenses to Adjusted operating expenses and presents the Company's Adjusted cash efficiency ratios for the periods indicated (in thousands, except for rat
Slide 18: 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 Group, Inc. Use of Non-GAAP Financial Measures The following table provides a reconciliation of
Slide 19: Calculation of Adjusted Effective Tax Rate
Calculation of Adjusted Effective Tax Rate Use of Non-GAAP Financial Measures The following table provides a reconciliation of Loss before income taxes and Adjusted income before taxes and a reconciliation of Income tax expense to Adjusted income tax expense (in thousands, except for ratio data) Q3
Slide 20: Najim Mostamand, CFA
Najim Mostamand, CFA VP, Investor Relations (757) 431-7913 IR@pragroup.com IR.PRAGROUP.COM