Pra Group Inc. ( (PRAA) ) has released its Q3 earnings. Here is a breakdown of the information Pra Group Inc. presented to its investors.
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PRA Group, Inc., a global leader in acquiring and collecting nonperforming loans, operates in the financial services sector, focusing on returning capital to banks and other creditors across the Americas, Europe, and Australia.
In its third-quarter 2025 earnings report, PRA Group, Inc. highlighted a significant increase in cash collections and portfolio income, despite reporting a net loss due to a substantial non-cash goodwill impairment charge. The company remains committed to maximizing value through disciplined portfolio purchases.
Key financial metrics for Q3 2025 include a 13.7% increase in total cash collections to $542.2 million and a 19.6% rise in portfolio income to $258.5 million compared to the same quarter in 2024. The company reported an adjusted net income of $21 million, excluding the goodwill impairment charge. Additionally, PRA Group’s estimated remaining collections reached a record $8.4 billion, reflecting a 15.2% increase.
Despite the goodwill impairment charge, which resulted from a decline in stock price and affected the debt buying and collection unit, PRA Group’s operational performance remained strong, particularly in its European business, which exceeded cash collection expectations by 11% year-to-date. The company also reported progress in strategic initiatives such as cost efficiency and IT modernization.
Looking forward, PRA Group, Inc. is focused on improving financial performance and achieving its portfolio purchase target for 2025. The company’s management remains optimistic about continuing to create value for stakeholders through strategic investments and operational enhancements.