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Pra Group Inc. (PRAA)
NASDAQ:PRAA
Earnings Data
Report Date
May 11, 2026After Close (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
0.07Last Year’s EPS
0.09Same Quarter Last Year
Moderate Buy
Based on 2 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call was largely positive: management reported multiple record metrics (cash collections, revenue, ERC, portfolio income), demonstrated improving operating leverage and declining net leverage, and outlined a multi-year strategy focused on disciplined investing, technology and AI, and cost flexibility. These operational gains were partially offset by a large non-cash goodwill impairment that produced a GAAP net loss, rising legal and interest costs due to strategic investments, and some near-term variability and execution risks from workforce changes and higher purchase multiples. On balance, the operational momentum, improved adjusted metrics, and clear strategic path outweigh the one-time impairment and transitional costs.Company Guidance
Record Cash Collections and Revenue
Cash collections were a record $2.1 billion for 2025, up 13% year-over-year; Q4 cash collections were $532 million, up 14% year-over-year. Revenue reached a record $1.2 billion for the year.
Record Estimated Remaining Collections (ERC)
ERC increased to a record $8.6 billion at year-end, up 15% year-over-year, with diversification across the U.S. (42% of ERC) and Europe (51% of ERC).
Strong Portfolio Purchases and Disciplined Investing
Purchased $1.2 billion of portfolios in 2025 (in line with target and the third-highest year on record); Q4 purchases were $315 million. Management expects annual investments of $1.0–$1.3 billion going forward.
Higher Portfolio Income and Improved Returns
Portfolio income was a company record of $1.0 billion for 2025, up 18% year-over-year and up 34% versus 2023; Q4 portfolio income was $263 million, up 14% versus prior-year quarter.
Adjusted EBITDA Growth and Operating Leverage
Adjusted EBITDA for the last 12 months was $1.3 billion, up 16% year-over-year and up 31% versus 2023, growing faster than cash collections (13%) and demonstrating operating leverage.
U.S. Legal and Digital Collection Momentum
Invested $125 million in the U.S. legal channel in 2025. U.S. legal cash collections grew 28% to $483 million for the year and are up ~83% since 2023. Global digital channel cash collections were up 25% in 2025.
Improved Purchase Price Multiples
Purchase price multiples increased, reflecting selective buying: U.S. core at 2.16x in 2025 (2.11x in 2024, 1.91x in 2023) and Europe core at 1.85x in 2025 (1.80x in 2024, 1.69x in 2023).
Cash Efficiency and Capital Position
Adjusted cash efficiency improved to 61% (from 59% last year) and met the 60%+ target. Net leverage declined to 2.7x net debt-to-adjusted EBITDA (from 2.8x prior-year and a 2.9x peak). Committed capital totaled $3.2 billion with $1.1 billion available; repurchased $20 million of shares in 2025.
Technology, AI, and Operational Modernization
Progress on cloud migration, a unified European cloud-based contact platform, pilots and hires for AI initiatives, expanded DCAs and offshore call center footprint (offshore now ~32% of U.S. agents) to drive future scalability and cost flexibility.
PRAA 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
PRAA Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Feb 26, 2026 | $12.67 | $15.75 | +24.31% |
Nov 03, 2025 | $14.65 | $13.04 | -10.99% |
Aug 04, 2025 | $15.63 | $15.56 | -0.45% |
May 05, 2025 | $19.20 | $13.57 | -29.32% |
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 Pra Group Inc. (PRAA) report earnings?
Pra Group Inc. (PRAA) is schdueled to report earning on May 11, 2026, After Close (Confirmed).
What is Pra Group Inc. (PRAA) earnings time?
Pra Group Inc. (PRAA) earnings time is at May 11, 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 PRAA EPS forecast?
PRAA EPS forecast for the fiscal quarter 2026 (Q1) is 0.07.