REG - Burford Capital Ltd - 1Q23 Results & Quarterly Report
13/06/2023 12:00
For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230613:nRSM5570Ca&default-theme=true
RNS Number : 5570C Burford Capital Limited 13 June 2023
13 June 2023
BURFORD CAPITAL REPORTS FIRST QUARTER 2023 FINANCIAL RESULTS;
PORTFOLIO-WIDE MOMENTUM DRIVES STRONG REVENUE GROWTH
Burford Capital Limited ("Burford"), the leading global finance and asset
management firm focused on law, today announces its unaudited financial
results at and for the three months ended March 31, 2023 ("1Q23").(1)
Burford's report on Form 6-K for 1Q23, including unaudited condensed
consolidated financial statements (the "1Q23 Quarterly Report"), is available
at http://www.rns-pdf.londonstockexchange.com/rns/5570C_1-2023-6-13.pdf
(http://www.rns-pdf.londonstockexchange.com/rns/5570C_1-2023-6-13.pdf) and
on the Burford Capital website at http://investors.burfordcapital.com
(http://investors.burfordcapital.com) .
Christopher Bogart, Chief Executive Officer of Burford Capital, commented:
"We saw continued positive momentum in the first quarter of 2023 in the
progression of our portfolio as court activity and legal processes further
normalized in the aftermath of the Covid-19 pandemic. The breadth of the case
activity pick-up was reflected in capital provision income, excluding our
YPF-related assets, more than doubling to $185 million compared to 1Q22,
comprising almost a sixfold increase in realized gains and 41% growth in
unrealized gains. Fair value gains arising from the favorable summary judgment
ruling in our YPF-related assets contributed to an extraordinary first quarter
for total revenues, driving growth in capital provision income of 238% to
reach nearly $500 million. As an indicator of ongoing portfolio activity, an
additional 12 case milestones have occurred since our May 16 update when we
had observed 28 milestones and expected 61 more through the remainder of the
year."
(1) All 1Q23 figures in this announcement are unaudited and presented on a
consolidated basis in accordance with the generally accepted accounting
principles in the United States ("US GAAP"), unless otherwise stated.
Definitions, reconciliations and information additional to those set forth in
this announcement are available on the Burford Capital website and in the 1Q23
Quarterly Report (as defined above). In addition, Burford applied its revised
valuation methodology for capital provision assets to its unaudited condensed
consolidated financial statements at March 31, 2023 and for the three months
ended March 31, 2023 and 2022 included in this announcement. As Burford has
not previously issued quarterly financial statements, its unaudited condensed
consolidated financial statements for the three months ended March 31, 2022
are not technically restated.
1Q23 highlights
New business
Group-wide new business
• New commitments of $165 million, up 102% compared to 1Q22 (1Q22: $82 million)
• Deployments of $129 million, up 1% compared to 1Q22 (1Q22: $128 million)
Burford-only capital provision-direct assets, representing assets capable of
generating highest profits for our equity shareholders
• New commitments of $101 million, up 130% compared to 1Q22 (1Q22: $44 million)
• Deployments of $67 million, up 29% compared to 1Q22 (1Q22: $52 million)
Portfolio and liquidity
• Group-wide portfolio grew to $6.6 billion at March 31, 2023 (December 31,
2022: $6.1 billion), due to significant fair value gains but also new
deployments and undrawn commitments
• Broad pick-up in portfolio activity, with capital provision income, excluding
the YPF-related assets, more than doubling to $185 million compared to 1Q22
o 464% increase in realized gains and 41% increase in unrealized gains
compared to 1Q22
• Fair value gains arising from the favorable summary judgment ruling in the
YPF-related assets contributed to an extraordinary first quarter for total
revenues
o Burford-only carrying value of the YPF-related assets (both Petersen and Eton
Park) increased to $1.0 billion at March 31, 2023 (December 31, 2022: $823
million)
• Cumulative ROIC since inception from Burford-only capital provision-direct
assets of 89% (December 31, 2022: 88%) and IRR of 29% (December 31, 2022: 29%)
• Burford-only cash receipts of $97 million, up 66% compared to 1Q22 (1Q22: $59
million)
• Burford-only cash and cash equivalents and marketable securities of $183
million at March 31, 2023 (December 31, 2022: $210 million)
o Due from settlement of capital provision assets decreased 14% to $99 million
at March 31, 2023 (December 31, 2022: $115 million, of which 17% was collected
in cash in 1Q23)
Income
• Total revenues increased 209% to $381 million (1Q22: $123 million),
represented by a higher level of case activity and portfolio progression,
including $192 million of fair value gains, net of third-party interests, in
the YPF-related assets and $185 million of capital provision income excluding
the YPF-related assets
• Burford-only capital provision-direct realizations of $64 million (1Q22: $21
million) and realized gains of $36 million (1Q22: $10 million), with a single
matter generating a realized gain of $27 million
• Burford-only annualized capital provision-direct realized loss rate of 0.9% of
average portfolio at cost in 1Q23 (2022: 1.0%)
• Operating income increased 252% to $327 million (1Q22: $93 million), with
significant growth in capital provision income compared to 1Q22, partially
offset by third-party interests in the YPF-related assets fair value
adjustments and higher total operating expenses due to increases in non-cash
accruals in light of the positive performance of Burford's share price, the
increase in the carrying value of the YPF-related assets and the increase in
the carrying value of a legacy asset recovery matter
• Net income attributable to Burford Capital Limited shareholders increased 361%
to $259 million (1Q22: $56 million)
o Net income per ordinary and diluted share of $1.17 (1Q22: $0.25)
Capital
• Total shareholders' equity attributable to Burford Capital Limited was $1,992
million at March 31, 2023 (December 31, 2022: $1,743 million)
o Total shareholders' equity attributable to Burford Capital Limited per
ordinary share of $9.10 at March 31, 2023 (December 31, 2022: $7.97 per
ordinary share)
o Tangible book value attributable to Burford Capital Limited per ordinary share
(non-GAAP) of $8.49 at March 31, 2023 (December 31, 2022: $7.36 per ordinary
share)
Investor and Analyst Conference Call
Burford will hold a conference call for investors and analysts at 10.00am EDT
/ 3.00pm BST on Tuesday, June 13, 2023. The dial-in number for the conference
call is +1 646 787-9445 (USA) / +44 (0)20 3936 2999 (UK) / +44 (0)20 3936 2999
(all other locations) and the access code is 716110. To minimize the risk of
delayed access, participants are urged to dial into the conference call by
9.40am EDT / 2.40pm BST.
A live webcast of the call will also be available at
https://www.investis-live.com/burfordcapital/646f1786796b421300718cbb/ohia
(https://protect-us.mimecast.com/s/6Nn_C31Gn6up42Ancgp8fe?domain=investis-live.com)
, and pre-registration at that link is encouraged.
An accompanying 1Q23 results presentation for investors and analysts will also
be made available on the Burford Capital website prior to the conference call
at http://investors.burfordcapital.com (http://investors.burfordcapital.com) .
Following the conference call, a replay facility for this event will be
available until Tuesday, June 27, 2023 by dialing +1 845 709-8569 (USA) / +44
(0)20 3936 3001 (UK) / +44 (0)20 3936 3001 (all other locations) and using the
replay access code 694153. A replay facility will also be accessible through
the webcast at
https://www.investis-live.com/burfordcapital/646f1786796b421300718cbb/ohia
(https://protect-us.mimecast.com/s/6Nn_C31Gn6up42Ancgp8fe?domain=investis-live.com)
.
For further information, please contact:
Burford Capital Limited
For investor and analyst inquiries:
Robert Bailhache, Head of Investor Relations, EMEA and Asia - email +44 (0)20 3530 2023
(mailto:rbailhache@burfordcapital.com)
Jim Ballan, Head of Investor Relations, Americas - email +1 (646) 793 9176
(mailto:JBallan@burfordcapital.com)
For press inquiries:
David Helfenbein, Vice President, Public Relations - email +1 (212) 235 6824
(mailto:dhelfenbein@burfordcapital.com)
Numis Securities Limited - NOMAD and Joint Broker +44 (0)20 7260 1000
Giles Rolls
Charlie Farquhar
Jefferies International Limited - Joint Broker +44 (0)20 7029 8000
Graham Davidson
Tony White
Berenberg - Joint Broker +44 (0)20 3207 7800
Toby Flaux
James Thompson
Arnav Kapoor
About Burford Capital
Burford Capital is the leading global finance and asset management firm
focused on law. Its businesses include litigation finance
(https://www.burfordcapital.com/) and risk management, asset recovery and a
wide range of legal finance and advisory activities. Burford is publicly
traded on the New York Stock Exchange (NYSE: BUR) and the London Stock
Exchange (LSE: BUR), and it works with companies and law firms around the
world from its offices in New York, London, Chicago, Washington, DC,
Singapore, Dubai, Sydney and Hong Kong.
For more information, please visit www.burfordcapital.com
(http://www.burfordcapital.com) .
Summary Financial Statements and Reconciliations
The tables below set forth summaries of the condensed consolidated and
Burford-only statements of operations for the three months ended March 31,
2023 and 2022, the condensed consolidated and Burford-only statements of
financial position at March 31, 2023 and December 31, 2022 and corresponding
reconciliations from consolidated to Burford-only financial results.
Summary condensed consolidated statements of operations
For the three months ended March 31,
($ in thousands) 2023 2022
Capital provision income 475,933 140,739
Less: Third-party interests in capital provision assets (100,345) (16,639)
Asset management income 1,997 3,114
Services and other income 3,320 (4,112)
Total revenues 380,905 123,102
Total operating expenses 54,299 30,287
Operating income 326,606 92,815
Finance costs and loss on debt extinguishment 20,553 15,841
Foreign currency transactions (gains)/losses (2,440) 514
Income before income taxes 308,493 76,460
(Provision for) income taxes (7,112) (3,424)
Net income 301,381 73,036
Net income attributable to Burford Capital Limited shareholders 259,425 56,280
Net income attributable to Burford Capital Limited per ordinary share:
Basic $1.19 $0.26
Diluted $1.17 $0.25
Summary Burford-only statement of operations
For the three months ended March 31,
($ in thousands) 2023 2022
Capital provision income 316,015 100,587
Asset management income 19,357 10,934
Services and other income 3,305 (5,244)
Total revenues 338,677 106,277
Operating income 284,668 76,486
Net income 259,425 56,280
Net income per share:
Basic $1.19 $0.26
Diluted $1.17 $0.25
Reconciliation of summary condensed consolidated statement of operations to
summary Burford-only statement of operations
For the three months ended March 31, 2023
Elimination of third-party interests
Strategic Advantage
($ in thousands) Consolidated Value Fund BOF-C Colorado Fund Other Burford-only
Capital provision income 475,933 (107) (48,308) (99,769) (7,022) (4,712) 316,015
Less: Third-party interests in capital provision assets (100,345) - - 99,764 - 581 -
Asset management income 1,997 46 17,314 - - - 19,357
Services and other income 3,320 - (1) - - (14) 3,305
Total revenues 380,905 (61) (30,995) (5) (7,022) (4,145) 338,677
Operating income 326,606 94 (31,025) - (6,899) (4,108) 284,668
Net income/(loss) 301,381 94 (31,025) - (6,899) (4,126) 259,425
For the three months ended March 31, 2022
Elimination of third-party interests
Strategic Advantage
($ in thousands) Consolidated Value Fund BOF-C Colorado Fund Other Burford-only
Capital provision income 140,739 (508) (18,595) (15,925) (366) (4,758) 100,587
Less: Third-party interests in capital provision assets (16,639) - - 15,925 - 714 -
Asset management income 3,114 161 7,659 - - - 10,934
Services and other income (4,112) (1,132) - - - - (5,244)
Total revenues 123,102 (1,479) (10,936) - (366) (4,044) 106,277
Operating income 92,815 (1,112) (10,960) - (215) (4,042) 76,486
Net income/(loss) 73,036 (1,112) (10,960) - (215) (4,469) 56,280
Summary condensed consolidated statement of financial position
At
($ in thousands) March 31, 2023 December 31, 2022
Total assets 4,681,314 4,288,359
Total liabilities 2,027,953 1,901,289
Total Burford Capital Limited equity 1,992,278 1,742,584
Non-controlling interests 661,083 644,486
Total shareholders' equity 2,653,361 2,387,070
Basic ordinary shares outstanding 218,957,218 218,581,877
Total shareholders' equity attributable to Burford Capital Limited per basic 9.10 7.97
ordinary share
Total shareholders' equity per basic ordinary share 12.12 10.92
Reconciliation of summary condensed consolidated statement of financial
position to summary Burford-only statement of financial position
At March 31, 2023
Elimination of third-party interests
Strategic Advantage
($ in thousands) Consolidated Value Fund BOF-C Colorado Fund Other Burford-only
Total assets 4,681,314 (2,747) (491,735) (509,018) (109,839) (73,919) 3,494,056
Total liabilities 2,027,953 (279) (4,234) (509,018) (142) (12,502) 1,501,778
Total shareholders' equity 2,653,361 (2,468) (487,501) - (109,697) (61,417) 1,992,278
At December 31, 2022
Elimination of third-party interests
Strategic Advantage
($ in thousands) Consolidated Value Fund BOF-C Colorado Fund Other Burford-only
Total assets 4,288,359 (2,779) (477,590) (409,249) (103,523) (76,792) 3,218,426
Total liabilities 1,901,289 (228) (4,234) (409,249) (120) (11,616) 1,475,842
Total shareholders' equity 2,387,070 (2,551) (473,356) - (103,403) (65,176) 1,742,584
Reconciliation of components of deployments from a consolidated basis to a
Group-wide basis
For the three months ended March 31, 2023
Eliminations and
($ in thousands) Consolidated adjustments Burford-only Other funds BOF-C Group-wide
Capital provision-direct 84,685 (17,692) 66,993 6,913 17,452 91,358
Capital provision-indirect 34,000 (28,333) 5,667 28,333 - 34,000
Post-settlement - - - 3,867 - 3,867
Total new deployments 118,685 (46,025) 72,660 39,113 17,452 129,225
For the three months ended March 31, 2022
Eliminations and
($ in thousands) Consolidated adjustments Burford-only Other funds BOF-C Group-wide
Capital provision-direct 91,121 (39,163) 51,958 5,741 39,013 96,712
Capital provision-indirect 14,747 (13,258) 1,489 ( ) 13,258 - 14,747
Post-settlement - - - 17,036 - 17,036
Total new deployments 105,868 (52,421) 53,447 36,035 39,013 128,495
Reconciliation of consolidated portfolio to Group-wide portfolio
($ in thousands) At March 31, 2023 At December 31, 2022
Consolidated carrying value 4,202,864 3,735,556
Consolidated undrawn commitments 1,790,550 1,720,727
Consolidated portfolio 5,993,414 5,456,283
Eliminations of third-party interests:
Less: Attributable to carrying value (1,244,931) (1,100,137)
Less: Attributable to undrawn commitments (426,816) (413,446)
Burford-only Carrying value 2,957,933 2,635,419
Burford-only undrawn commitments 1,363,734 1,307,281
Burford-only portfolio 4,321,667 3,942,700
Other funds carrying value 1,098,414 1,076,320
Other funds undrawn commitments 267,001 239,145
Other funds portfolio 1,365,415 1,315,465
BOF-C carrying value 539,785 516,982
BOF-C undrawn commitments 384,633 371,724
BOF-C portfolio 924,418 888,706
Total group-wide portfolio 6,611,500 6,146,871
Reconciliation of capital provision income excluding YPF-related assets
For the three months ended March 31,
($ in thousands) 2023 2022
Capital provision income 475,933 140,739
Less: Capital provision income from YPF-related assets (291,345) (49,839)
Capital provision income excluding YPF-related assets 184,588 90,900
Reconciliation of consolidated to Burford-only carrying value of YPF-related
assets
At March 31, 2023 At December 31, 2022
Elimination of Elimination of
third-party third-party
($ in thousands) Consolidated interests Burford-only Consolidated interests Burford-only
Deployed cost 62,071 (6,828) 55,243 61,610 (6,985) 54,625
Unrealized gain 1,462,284 (502,297) 959,987 1,170,939 (402,529) 768,,410
Carrying value of YPF-related assets 1,524,335 (509,105) 1,015,230 1,232,549 (409,514) 823,035
Reconciliation of consolidated proceeds from capital provision assets to
Burford-only cash receipts
For the three months ended March 31,
($ in thousands) 2023 2022
Consolidated proceeds from capital provision assets 144,485 69,369
Less: Elimination of third-party interests (60,563) (14,109)
Burford-only total proceeds from capital provision assets 83,922 55,260
Burford-only proceeds from capital provision-direct assets 77,742 55,613
Burford-only proceeds from capital provision-indirect assets 6,180 97
Burford-only total proceeds from capital provision assets 83,922 55,260
Consolidated asset management income 1,997 3,114
Plus: Eliminated income from funds 17,360 7,820
Burford-only asset management income 19,357 10,934
Less: Non-cash adjustments((1)) (7,086) (8,725)
Burford-only proceeds from asset management income 12,271 2,209
Burford-only proceeds from marketable security interest and dividends 881 614
Burford-only proceeds from asset recovery fee for services 83 418
Burford-only proceeds from asset management and other services 13,235 3,241
Cash receipts 97,157 58,501
(1) Adjustments for the change in asset management receivables accrued during
the applicable period but not yet received at the end of such period.
Reconciliation of consolidated to Burford-only due from settlement of capital
provision assets
At March 31, 2023 At December 31, 2022
Elimination of Elimination of
third-party third-party
($ in thousands) Consolidated interests Burford-only Consolidated interests Burford-only
Due from settlement of capital provision assets 100,494 (1,755) 98,739 116,582 (1,932) 114,650
Reconciliation of consolidated to Burford-only cash and cash equivalents and
marketable securities
At March 31, 2023 At December 31, 2022
Elimination of Elimination of
third-party third-party
($ in thousands) Consolidated interests Burford-only Consolidated interests Burford-only
Cash and cash equivalents 65,994 (12,620) 53,374 107,658 (33,979) 73,679
Marketable securities 130,056 - 130,056 136,358 - 136,358
Total cash and cash equivalents and marketable securities 196,050 (12,620) 183,430 244,016 (33,979) 210,037
Reconciliation of consolidated to Burford-only realizations
For the three months ended March 31, 2023 For the three months ended March 31, 2022
Eliminations and Eliminations and
($ in thousands) Consolidated adjustments Burford-only Consolidated adjustments Burford-only
Capital provision-direct 115,732 (53,986) 61,746 21,211 (859) 20,352
Capital provision-indirect 12,580 (10,484) 2,096 5,352 (4,575) 777
Post-settlement - - - - - -
Total realizations 128,312 (64,470) 63,842 26,563 (5,434) 21,129
Reconciliation of consolidated to Burford-only realized gains
For the three months ended March 31, 2023 For the three months ended March 31, 2022
Eliminations and Eliminations and
($ in thousands) Consolidated adjustments Burford-only Consolidated adjustments Burford-only
Realized gains relative to cost 69,442 (33,829) 35,613 12,303 (2,291) 10,012
Reconciliation of consolidated to Burford-only realized gain on the conclusion
of one matter in 2023
For the three months ended March 31, 2023
Eliminations and
($ in millions) Consolidated adjustments Burford-only
Realized gain on one matter that concluded in 2023 49.4 (22.9) 26.5
Reconciliation of tangible book value attributable to Burford Capital Limited
per ordinary share
At At
($ in thousands, except share data) March 31, 2023 December 31, 2022
Total Burford Capital Limited equity 1,992,278 1,742,584
Less: Goodwill (133,936) (133,912)
Tangible book value attributable to Burford Capital Limited 1,858,342 1,608,672
Basic ordinary shares outstanding 218,957,218 218,581,877
Tangible book value attributable to Burford Capital Limited per ordinary share 8.49 7.36
Definitions and Use of Non-GAAP Financial Measures and Alternative Performance
Measures
Burford reports its financial results in accordance with US GAAP. US GAAP
requires us to present financial statements that consolidate some of the
limited partner interests in private funds we manage as well as assets held on
our balance sheet where we have a partner or minority investor. We therefore
refer to various presentations of our financial results as follows:
• Consolidated refers to assets, liabilities and activities that include those
third-party interests, partially owned subsidiaries and special purpose
vehicles that we are required to consolidate under US GAAP. At the date of
this announcement, the major entities where there is also a third-party
partner in, or owner of, those entities include BCIM Strategic Value Master
Fund, LP, Burford Opportunity Fund C LP, Burford Advantage Master Fund LP,
Colorado Investments Limited ("Colorado") and several other entities in which
Burford holds investments where there is also a third-party partner in, or
owner of, those entities.
• Burford-only refers to assets, liabilities and activities that pertain only to
Burford on a proprietary basis, excluding any third-party interests and the
portions of jointly owned entities owned by others.
• Group-wide refers to the totality of assets managed by Burford, including
those portions of the private funds owned by third parties and including
private funds that are not consolidated within Burford's consolidated
financial statements. Group-wide is therefore the sum of Burford-only and
non-controlling interests in consolidated and non-consolidated private funds.
Group-wide does not include third-party interests in capital provision assets,
the economics of which have been sold to those third parties, that do not meet
the criteria to be recognized as a sale under US GAAP. This includes the
third-party interests in Colorado and other capital provision asset
subparticipations.
We subdivide our capital provision assets into two categories:
• Direct, which includes all of our capital provision assets that we have
originated directly (i.e., not through participation in a private fund) from
our balance sheet. We also include direct (i.e., not through participation in
a private fund) complex strategies assets in this category.
• Indirect, which includes our balance sheet's participations in two of our
private funds (i.e., BCIM Strategic Value Master Fund, LP and Burford
Advantage Master Fund LP).
We also use certain unaudited alternative performance measures, including:
• Internal Rate of Return ("IRR") is a discount rate that makes the net present
value of a series of cash flows equal to zero and is expressed as a percentage
figure. We compute IRR on concluded (including partially concluded) legal
finance assets by treating that entire portfolio (or, when noted, a subset
thereof) as one undifferentiated pool of capital and measuring actual and, if
necessary, estimated inflows and outflows from that pool, allocating costs
appropriately. IRRs do not include unrealized gains or losses.
• Return on invested capital ("ROIC") from a concluded asset is the absolute
amount of realizations from such asset in excess of the amount of expenditure
incurred in funding such asset divided by the amount of expenditure incurred,
expressed as a percentage figure. ROIC is a measure of our ability to generate
absolute returns on our assets. Some industry participants express returns on
a multiple of invested capital ("MOIC") instead of a ROIC basis. MOIC includes
the return of capital and, therefore, is 1x higher than ROIC. In other words,
70% ROIC is the same as 1.70x MOIC.
Other unaudited alternative performance measures and terms we use include:
• Commitment is the amount of financing we agree to provide for a legal finance
asset. Commitments can be definitive (requiring us to provide funding on a
schedule or, more often, when certain expenses are incurred) or discretionary
(allowing us to provide funding after reviewing and approving a future
matter). Unless otherwise indicated, commitments include deployed cost and
undrawn commitments.
• Deployment refers to the funding provided for an asset, which adds to our
deployed cost in such asset.
• Deployed cost is the amount of funding we have provided for an asset at the
applicable point in time.
• Fair value adjustment is the amount of unrealized gain or loss recognized in
our consolidated statements of operations in the relevant period and added to
or subtracted from, as applicable, the asset or liability value in our
consolidated statements of financial position.
• Portfolio includes deployed cost, net unrealized gains or losses and undrawn
commitments.
• Realization: A legal finance asset is realized when the asset is concluded
(i.e., when litigation risk has been resolved). A realization will result in
us receiving cash or, occasionally, non-cash assets or recognizing a due from
settlement receivable, reflecting what we are owed on the asset.
• Realized gain / loss reflects the total amount of gain or loss generated by a
legal finance asset when it is realized, calculated as realized proceeds less
deployed cost, without regard for any previously recognized fair value
adjustment.
• Unrealized gain / loss represents the fair value of our legal finance assets
over or under their funded cost, as determined in accordance with the
requirements of the applicable US GAAP standards, for the relevant financial
reporting period (consolidated statement of operations) or cumulatively
(consolidated statement of financial position).
• YPF-related assets refers to our Petersen and Eton Park legal finance assets,
which are two claims relating to Republic of Argentina's nationalization of
YPF S.A., the Argentine energy company.
We also use certain non-GAAP financial measures, including:
• Cash receipts provide a measure of the cash that our capital provision and
other assets generate during a given period as well as cash from certain other
fees and income. In particular, cash receipts represent the cash generated
from capital provision and other assets, including cash proceeds from realized
or concluded assets and any related hedging assets, and cash received from
asset management income, services and/or other income, before any deployments
into funding existing or new assets. Cash receipts are a non-GAAP financial
measure and should not be considered in isolation from, as a substitute for,
or superior to, financial measures calculated in accordance with US GAAP. The
most directly comparable measure calculated in accordance with US GAAP is
proceeds from capital provision assets as set forth in our consolidated
statements of cash flows. We believe that cash receipts are an important
measure of our operating and financial performance and are useful to
management and investors when assessing the performance of our Burford-only
capital provision assets.
• Tangible book value attributable to Burford Capital Limited is calculated by
subtracting intangible assets (such as goodwill) from total Burford Capital
Limited equity. Tangible book value attributable to Burford Capital Limited
per ordinary share is calculated by dividing tangible book value attributable
to Burford Capital Limited by the total number of outstanding ordinary shares.
Each of tangible book value attributable to Burford Capital Limited and
tangible book value attributable to Burford Capital Limited per ordinary share
is a non-GAAP financial measure and should not be considered in isolation
from, as a substitute for, or superior to, financial measures calculated in
accordance with US GAAP. The most directly comparable measure calculated in
accordance with US GAAP is total Burford Capital Limited equity as set forth
in our consolidated statements of financial position. We believe that tangible
book value attributable to Burford Capital Limited per ordinary share is an
important measure of our financial condition and is useful to management and
investors when assessing capital adequacy and our ability to generate earnings
on tangible equity invested by our shareholders.
For additional information, including reconciliations of our non-GAAP
financial measures to the most directly comparable US GAAP measures and
reconciliations of our alternative performance measures additional to those
set forth in this announcement, see the 1Q23 Quarterly Report furnished to the
US Securities and Exchange Commission on June 13, 2023 and made available on
our website at http://investors.burfordcapital.com
(http://investors.burfordcapital.com) . Non-GAAP financial measures should not
be considered in isolation from, as substitutes for, or superior to, financial
measures calculated in accordance with US GAAP.
This announcement does not constitute an offer to sell or the solicitation of
an offer to buy any ordinary shares or other securities of Burford.
This announcement does not constitute an offer of any Burford private fund.
Burford Capital Investment Management LLC, which acts as the fund manager of
all Burford private funds, is registered as an investment adviser with the
US Securities and Exchange Commission. The information provided in this
announcement is for informational purposes only. Past performance is not
indicative of future results. The information contained in this announcement
is not, and should not be construed as, an offer to sell or the solicitation
of an offer to buy any securities (including, without limitation, interests or
shares in any of Burford private funds). Any such offer or solicitation may be
made only by means of a final confidential private placement memorandum and
other offering documents.
Forward-looking statements
This announcement contains "forward-looking statements" within the meaning of
Section 21E of the US Securities Exchange Act of 1934, as amended, regarding
assumptions, expectations, projections, intentions and beliefs about future
events. These statements are intended as "forward-looking statements". In some
cases, predictive, future-tense or forward-looking words such as "aim",
"anticipate", "believe", "continue", "could", "estimate", "expect",
"forecast", "guidance", "intend", "may", "plan", "potential", "predict",
"projected", "should" or "will" or the negative of such terms or other
comparable terminology are intended to identify forward-looking statements,
but are not the exclusive means of identifying such statements. In addition,
Burford and its representatives may from time to time make other oral or
written statements which are forward-looking statements, including in its
periodic reports that Burford files with, or furnishes to, the US Securities
and Exchange Commission, other information made available to Burford's
security holders and other written materials. By their nature, forward-looking
statements involve known and unknown risks, uncertainties and other factors
because they relate to events and depend on circumstances that may or may not
occur in the future. Burford cautions you that forward-looking statements are
not guarantees of future performance and are based on numerous assumptions,
expectations, projections, intentions and beliefs and that Burford's actual
results of operations, including its financial position and liquidity, and the
development of the industry in which it operates, may differ materially from
(and be more negative than) those made in, or suggested by, the
forward-looking statements contained in this announcement. Significant factors
that may cause actual results to differ from those Burford expects include,
among others, those discussed under "Risk Factors" in Burford's annual report
on Form 20-F for the year ended December 31, 2022 filed with the
US Securities and Exchange Commission on May 16, 2023 and other reports or
documents that Burford files with, or furnishes to, the US Securities and
Exchange Commission from time to time. In addition, even if Burford's results
of operations, including its financial position and liquidity, and the
development of the industry in which it operates are consistent with the
forward-looking statements contained in this announcement, those results of
operations or developments may not be indicative of results of operations or
developments in subsequent periods.
Except as required by law, Burford undertakes no obligation to update or
revise the forward-looking statements contained in this announcement, whether
as a result of new information, future events or otherwise.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END QRFFJMLTMTIBMMJRecent news on Burford Capital
See all newsREG - AIM - AIM Notice - 17/04/2024
AnnouncementREG - Burford Capital Ltd - Holding(s) in Company
AnnouncementREG - Burford Capital Ltd - Notice of 2024 AGM
AnnouncementREG - Burford Capital Ltd - Issuance of New Shares in Connection With LTIP
AnnouncementREG - Burford Capital Ltd - Notice of Retail Shareholder Call on June 20, 2024
Announcement