JCAP · Jefferson Capital, Inc. Common Stock

Jefferson Capital delivered a strong first quarter in 2026, with record collections of $309.9 million, up 19% year-over-year, and record revenue of $176.4 million, up 14%. The growth was driven by strong prior deployments, including the Bluestem portfolio acquired in Q4 2025, which contributed $54.5 million in U.S. collections and $7.9 million in net operating income. Total operating expenses rose 46.8% to $95.6 million, primarily due to higher servicing costs from increased collections, including $8.0 million in court costs and $7.4 million from Bluestem, as well as $8.5 million in non-cash stock-based compensation. This led to GAAP pre-tax income of $51.1 million and net income of $37.6 million ($0.61 EPS). On an adjusted basis, excluding stock-based compensation and other items, pre-tax income was $58.4 million, net income $44.9 million, and EPS $0.73. The company maintained a sector-leading cash efficiency ratio of 73.0%. Leverage improved to 1.79x from 2.17x a year ago, reflecting strong portfolio cash flows. Subsequent to quarter end, Jefferson Capital upsized its revolving credit facility to $1.15 billion, providing ample liquidity. The board declared a quarterly dividend of $0.24 per share. Management highlighted a favorable investment environment with elevated consumer delinquencies and charge-offs, positioning the company well for future portfolio acquisitions.