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Dec 31, 2019

Encore Q4 2019 Earnings Report

Delivered solid GAAP earnings and adjusted earnings increased 8% compared to the same quarter a year ago.

Key Takeaways

Encore Capital Group reported consolidated financial results for Q4 2019. The company delivered solid GAAP earnings and adjusted earnings were up 8% compared to the same quarter a year ago. Portfolio purchases were $235 million, including $155 million in the U.S. and $80 million in Europe.

Delivered record results in nearly every important aspect of the business

Set new highs for global collections, revenues, ERC and earnings.

Made significant progress on a number of strategic priorities, which include concentrating on the valuable U.S. and U.K. markets

Expect to generate new records for collections, revenues, ERC, and earnings in 2020 while further reducing debt leverage

Total Revenue
$348M
Previous year: $349M
-0.3%
EPS
$1.56
Previous year: $1.45
+7.6%
Portfolio purchases
$235M
Gross collections
$499M
Previous year: $484M
+3.1%
Gross Profit
$165M
Previous year: $193M
-14.3%
Cash and Equivalents
$192M
Previous year: $157M
+22.2%
Free Cash Flow
$38.9M
Previous year: $36.7M
+5.9%
Total Assets
$4.91B
Previous year: $4.63B
+6.0%

Encore

Encore

Encore Revenue by Geographic Location

Forward Guidance

We feel very optimistic as we begin 2020. We expect to generate new records for collections, revenues, ERC, and earnings in 2020 while further reducing our debt leverage.

Revenue & Expenses

Visualization of income flow from segment revenue to net income