June 5, 2020

Stock News Alert: PRA Group (NASDAQ:PRAA)

PRA Group (NASDAQ:PRAA) moved 3.79% to recent value of $26.03. The stock transacted 246846 shares during most recent day however it has an average volume of 427.33K shares. It spotted trading -34.23% off 52-week high price. On the other end, the stock has been noted 34.17% away from the low price over the last 52-weeks.

On May 07, 2020, PRA Group (NASDAQ:PRAA) a global leader in acquiring and collecting nonperforming loans, revealed its financial results for the first quarter of 2020.  Net income attributable to PRA Group was $19.1 million compared to $15.2 million in the first quarter of 2019. Diluted earnings per share were $0.42 compared to $0.34 in the first quarter of 2019.

First Quarter Highlights

  • Record global cash collections of $494.6 million, an increase of 7%, or 9% on a currency adjusted basis, compared to the first quarter of 2019.
  • Estimated Remaining Collections (ERC) of $6.5 billion, an increase of $273.8 million, or 4%, compared to the first quarter of 2019. The strengthening U.S. Dollar caused a $239.0 million decrease in ERC compared to year-end 2019.
  • Total portfolio purchases were $273.2 million.
  • Portfolio income of $262.0 million.
  • Income from operations of $60.5 million, an increase of 24% compared to the first quarter of 2019.
  • Cash efficiency ratio of 61.5% during the quarter compared to 59.2% in the first quarter of 2019.

PRA Group began 2020 with very strong performance building on the momentum of record portfolio purchases in 2019, investments made over the last few years, and favorable industry trends.  Global cash collections during the quarter were a record led by an increase in Europe after record portfolio purchases there last year, said Kevin Stevenson, president and chief executive officer.  In late March, as COVID-19 spread across the globe, we started to see an impact on cash production through a combination of reduced workforce and slightly decreased collection rates.  We have implemented our normal consumer-friendly actions employed during times such as these and continue to work with our customers as necessary.  Our thoughts go out to those impacted by this pandemic.

PRAA has a gross margin of 82.80% and an operating margin of 26.70% while its profit margin remained 8.50% for the last 12 months. Its earnings per share (EPS) expected to touch remained 32.40% for this year while earning per share for the next 5-years is expected to reach at 29.00%.

The company has 46.98M of outstanding shares and 44.59M shares were floated in the market. The price moved ahead of -1.17% from the mean of 20 days, -9.69% from mean of 50 days SMA and performed -22.09% from mean of 200 days price. Company’s performance for the week was -6.16%, 6.11% for month and YTD performance remained -28.29%.