PRAA · PRA Group, Inc.

PRA Group, Inc. delivered a strong start to 2026 with Q1 cash collections reaching $551.9 million, an 11% increase from Q1 2025, fueled by momentum in the U.S. legal collections channel and robust European performance. Total portfolio revenue rose 16.6% to $313.5 million, driven by 11.9% higher portfolio income from recent purchases at improved returns and elevated changes in expected recoveries at $43.9 million. Net income attributable to the Company surged to $28.2 million from $3.7 million year-over-year, with diluted EPS at $0.73 versus $0.09, reflecting significant operating leverage. Despite operating expenses climbing $16.2 million to $211.3 million—primarily from $15.1 million more in legal collection costs to support future growth—cash efficiency improved to 61.8%. Adjusted EBITDA for the last 12 months hit $1.3 billion, up 13.9% and outpacing collections growth. Portfolio purchases moderated to $220.9 million, aligning with a focus on higher returns amid balanced leverage, while ERC expanded 9.5% to $8.5 billion. Credit availability stood at $996.0 million as of quarter-end. CEO Martin Sjolund highlighted operational initiatives and PRA 3.0 strategy advancements, including technology modernization and AI, positioning the Company for sustained shareholder value through enhanced results.