PRA Group (PRAA) Investor presentation summary

Business overview and market position

• Operates in 18 markets with 30 years of experience, focusing on acquiring and collecting nonperforming loans (NPLs).

• Maintains a diversified capital structure and strong liquidity, with $8.5B in estimated remaining collections (ERC).

• Leverages proprietary data, analytics, and technology to optimize portfolio purchases and collections.

• U.S. and European markets are primary drivers, with strong legal and digital collection channels.

• Experienced management team with deep industry expertise.

Financial performance and growth

• Q1 2026 cash collections grew 11% year-over-year to $552M; cash efficiency ratio reached 62%.

• Adjusted EBITDA for the last twelve months was $1.3B, up 14% year-over-year.

• Net income for Q1 2026 was $28M, a $25M increase from the prior year.

• Net leverage declined to 2.71x, reflecting disciplined investing and EBITDA growth.

• Total revenues increased 17% in Q1 2026, with portfolio income up 12%.

Strategic initiatives and PRA 3.0

• PRA 3.0 strategy focuses on disciplined capital allocation, technology modernization, and high-performance culture.

• Investments in digital innovation, AI, and IT modernization are underway.

• Opened new talent hub in Charlotte and aligned compensation with shareholder interests.

• Targeting $1.0–$1.3B in annual portfolio purchases and continued EBITDA growth.

• Initiatives include migrating to a global cloud platform and further cost reduction.