PRA Group Q1 cash collections rise, net income jumps

PRA

07/05/2026 21:55

Overview

U.S. debt buyer's Q1 cash collections rose 11% yr/yr, driven by U.S. and Europe growth

Net income attributable to PRA Group for Q1 rose to $28 mln from $3.7 mln a year earlier

Company's adjusted EBITDA for last 12 months up nearly 14%, outpacing cash collections growth

Outlook

Company plans to continue executing PRA 3.0 strategy and modernize technology platforms

PRA Group says it is positioned to deliver enhanced results and shareholder value

Company has estimated forward flow commitments of $321.8 mln for portfolio purchases over next 12 months

Result Drivers

U.S. LEGAL COLLECTIONS - Growth in U.S. legal collections channel drove higher cash collections, per CEO Martin Sjolund

EUROPEAN PERFORMANCE - Strong results in Europe contributed to overall cash collections growth

HIGHER LEGAL COLLECTION COSTS - Operating expenses rose due to increased legal collection costs to support future collections growth

Company press release: ID:nPn1XjKfpa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Net Income Attributable
$28.2 mln
Q1 Income From Operations
$103.25 mln
Q1 Operating Expenses
$211.28 mln
Q1 Pretax Profit
$40.54 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the corporate financial services peer group is "buy."

Wall Street's median 12-month price target for PRA Group Inc is $26.00, about 22.1% above its May 6 closing price of $21.29

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)