Education
About Us
Working with TipRanks
Follow Us
Encore Capital Group Inc (ECPG)
NASDAQ:ECPG
Earnings Data
Report Date
May 06, 2026After Close (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
2.99Last Year’s EPS
1.93Same Quarter Last Year
Strong Buy
Based on 3 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
Overall the call conveys a strong, positive performance and outlook driven by record portfolio purchases, record collections, improved yields and improved returns and leverage. Management provided explicit forward guidance and emphasized operational and technological improvements that are driving higher collections and margins. Noted risks include higher interest expense, elevated operating and legal spending as purchases grow, headwinds and heightened competition in Cabot's U.K. market, and dependence on continued favorable U.S. market conditions. On balance, positive operational momentum, record cash generation, deleveraging and confident guidance outweigh the listed challenges.Company Guidance
Record Portfolio Purchases and U.S. Focus
Global portfolio purchases reached a record $1.4 billion in 2025, up 4% year-over-year, with 83% of purchases spent in the U.S.; MCM finished the year with a record $1.17 billion of U.S. portfolio purchases, up 18% YOY ($175 million increase).
Record Collections and Strong Cash Generation
Global collections rose 20% to a record $2.6 billion in 2025; cash generation increased 22% year-over-year, and global collections represented 109% of prior-year ERC, demonstrating exceptional cash conversion.
Improved Receivables and ERC
Average receivable portfolios increased 12% to $4.1 billion and estimated remaining collections (ERC) rose 14% to a record $9.7 billion, signaling stronger future cash flow visibility.
Outstanding U.S. Operational Performance
MCM collections were a record $1.95 billion, up 24% YOY; Q4 MCM collections were $503 million—the highest U.S. quarterly collections on record—driven by new technologies, digital capabilities and operational innovation.
Revenue, Yield and Recoveries Strength
Portfolio revenue increased 12% to $1.46 billion with a portfolio yield of 35.7%; collection yield improved 3.9 percentage points to 63.6%; changes in recoveries totaled $209 million for 2025 (with $198 million being recoveries above forecast/cashovers).
Debt Purchasing Revenue and Net Purchasing Yield
Debt purchasing revenue rose 37% to $1.66 billion in 2025, producing a net purchasing yield of 40.8% (with approximately 5.1 percentage points attributable to changes in recoveries).
Margin and Return Improvements
Cash efficiency margin improved by 3.2 percentage points to 57.8% in 2025 (company expects >58% in 2026); return on invested capital (ROIC) improved to 13.7% in 2025 from 7.5% the prior year.
Balance Sheet Strength and Capital Actions
Leverage improved to 2.4x from 2.6x a year ago; issued $500 million senior secured notes at a 6.625% coupon and repaid EUR100 million of floating-rate notes; repurchased ~9% of outstanding shares in 2025 for approximately $90 million.
Solid European Performance (Cabot)
Cabot collections were $641 million in 2025, up 9% YOY; Cabot purchases were $234 million, consistent with historical trends (below 2024 due to exceptional Q4'24 spot purchases).
Forward Guidance and Visibility
Management provided explicit 2026 guidance: global portfolio purchases $1.4–$1.5 billion, global collections +5% to $2.7 billion, EPS +10% to $12, interest expense and other income ~ $300 million, and an effective tax rate in the mid-20s.
ECPG Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
ECPG Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 25, 2026 | $59.17 | $63.94 | +8.06% |
Nov 05, 2025 | $42.75 | $47.22 | +10.46% |
Aug 06, 2025 | $37.43 | $39.44 | +5.37% |
May 07, 2025 | $32.92 | $40.77 | +23.85% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Encore Capital Group Inc (ECPG) report earnings?
Encore Capital Group Inc (ECPG) is schdueled to report earning on May 06, 2026, After Close (Confirmed).
What is Encore Capital Group Inc (ECPG) earnings time?
Encore Capital Group Inc (ECPG) earnings time is at May 06, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is ECPG EPS forecast?
ECPG EPS forecast for the fiscal quarter 2026 (Q1) is 2.99.