false000118534800011853482025-02-192025-02-19

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of Earliest Event Reported):February 19, 2025
PRA Group, Inc.
_________________________________________
(Exact name of registrant as specified in its charter)
Delaware000-5005875-3078675
(State or other jurisdiction of incorporation)(Commission File Number)(I.R.S. Employer Identification No.)
120 Corporate Boulevard
Norfolk, Virginia23502
(Address of principal executive offices)(Zip Code)
Registrant’s telephone number, including area code:(888)772-7326
Not Applicable
______________________________________________
Former name or former address, if changed since last report

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, $0.01 par value per sharePRAANASDAQ Global Select Market
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.☐



Item 2.02 Results of Operations and Financial Condition.

On February 19, 2025, PRA Group, Inc. (the “Company”) issued a press release announcing its fourth quarter and full year 2024 results. A copy of the press release is furnished as Exhibit 99.1 to this Form 8-K and is incorporated into this Item 2.02 by reference.

Item 7.01 Regulation FD Disclosure.

The slide presentation being used in connection with the Company’s previously announced February 19, 2025 webcast and conference call to discuss its fourth quarter and full year 2024 results is available in the Investor Relations section of the Company’s website at https://ir.pragroup.com/events-and-presentations.

None of the information furnished in Item 2.02, Item 7.01 or Exhibit 99.1 of this Form 8-K shall be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liability of that Section. Unless expressly set forth by specific reference in such filings, none of the information furnished in this Form 8-K shall be incorporated by reference in any filing under the Securities Act of 1933, as amended, whether made before or after the date hereof and regardless of any general incorporation language in such filings.

Item 9.01 Financial Statements and Exhibits
(d)Exhibits
104Cover Page Interactive Data File (embedded within the Inline XBRL document)




SIGNATURE

    Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
PRA Group, Inc.
Date: February 19, 2025By:/s/ Rakesh Sehgal
Rakesh Sehgal
Executive Vice President and Chief Financial Officer





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PRA Group Reports Fourth Quarter and Full Year 2024 Results

Transformational Year Culminates in Return to Enhanced Profitability

Record Portfolio Purchases of $1.4 Billion and Cash Collections Growth of 13% to $1.9 Billion

Company Updates 2025 Financial Targets, Raising Portfolio Purchases Target to $1.2 Billion

NORFOLK, Va., February 19, 2025 - PRA Group, Inc. (Nasdaq: PRAA) (the "Company"), a global leader in acquiring and collecting nonperforming loans, today reported its financial results for the fourth quarter ("Q4 2024") and full year of 2024.

Q4 2024 Highlights
•Net income attributable to PRA Group, Inc. of $18.5 million, or diluted earnings per share of $0.47.
•Total portfolio purchases of $432.7 million.
•Total cash collections of $468.1 million.
•Record estimated remaining collections ("ERC")1 of $7.5 billion.
•Cash efficiency ratio2 of 58.0%.

Full Year 2024 Highlights
•Net income attributable to PRA Group, Inc. of $70.6 million, or diluted earnings per share of $1.79.
•Record total portfolio purchases of $1.4 billion.
•Total cash collections of $1.9 billion.
•Cash efficiency ratio2 of 58.8%.
•Adjusted EBITDA3 of $1.1 billion.

Three Months Ended Dec 31,Year Ended Dec 31,
($ in thousands, except per share amounts)2024202320242023
Net income/(loss) attributable to PRA Group, Inc.$18,456 $(8,782)$70,601 $(83,477)
Diluted earnings per share$0.47 $(0.22)$1.79 $(2.13)

“2024 was a transformational year reflecting decisive action and rigorous execution, which drove significantly improved results. We expanded our senior leadership team, delivered on our cash-generating and operational initiatives in the U.S., further differentiated our European platform, and strengthened our capital structure,” said Vikram Atal, president and chief executive officer. "We achieved record portfolio purchases of $1.4 billion, up 22% year-over-year, as we continued to invest with discipline and capitalize on the strong portfolio supply in the U.S., with pricing remaining attractive globally. Cash collections of $1.9 billion represented 13% year-over-year growth, as we not only benefited from recent purchases but, just as importantly, extracted additional value from our existing portfolios. With strong topline growth and expense management, we achieved net income attributable to PRA Group, Inc. of $70.6 million. The progress we have made over the last two years positions us to further optimize the platform, sustain profitable growth and drive shareholder value. As a result, we remain optimistic about
1.Refers to the sum of all future projected cash collections on the Company's nonperforming loan portfolios.
2.Calculated by dividing cash receipts less operating expenses by cash receipts. Cash receipts refers to cash collections on the Company's nonperforming loan portfolios, fees and revenue recognized from the Company's class action claims recovery services.
3.A reconciliation of net income, the most directly comparable financial measure calculated and reported in accordance with GAAP, to Adjusted EBITDA can be found at the end of this press release.

the future and are updating our 2025 targets, including raising our portfolio purchases target to $1.2 billion."

Cash Collections and Revenues
The following table presents cash collections by quarter and by source on an as reported and constant currency-adjusted basis:

Cash Collection Source20242023
($ in thousands)Q4Q3Q2Q1Q4
Americas and Australia Core$257,711 $266,977 $263,828 $256,861 $220,127 
Americas Insolvency24,067 26,065 26,971 25,209 24,293 
Europe Core162,564 158,242 156,739 145,933 144,361 
Europe Insolvency23,724 25,826 26,344 21,515 21,502 
Total Cash Collections$468,066 $477,110 $473,882 $449,518 $410,283 
Cash Collection Source -
Constant Currency Adjusted20242023
($ in thousands)Q4Q4
Americas and Australia Core$257,711 $212,783 
Americas Insolvency24,067 24,209 
Europe Core162,564 145,808 
Europe Insolvency23,724 22,145 
Total Cash Collections$468,066 $404,945 

•Total cash collections in Q4 2024 increased 14.1% to $468.1 million compared to $410.3 million in the fourth quarter of 2023 ("Q4 2023"). For the full year, total cash collections increased 12.5% to $1.9 billion, compared to $1.7 billion in 2023.

Three Months Ended Dec 31,Year Ended Dec 31,
($ in thousands)2024202320242023
Portfolio income$229,720 $194,636 $857,188 $757,128 
Recoveries collected in excess of forecast$31,879 $17,856 $156,135 $65,132 
Changes in expected future recoveries 23,381 4,898 84,733 (35,998)
Changes in expected recoveries$55,260 $22,754 $240,868 $29,134 
Total portfolio revenue$284,980 $217,390 $1,098,056 $786,262 

•Total portfolio revenue in Q4 2024 increased 31.1% to $285.0 million, compared to $217.4 million in Q4 2023. For the full year, total portfolio revenue increased 39.7% to $1.1 billion, compared to $786.3 million in 2023.

Expenses
•Operating expenses in Q4 2024 increased 13.2% to $199.1 million, compared to $175.9 million in Q4 2023.
◦Legal collection costs increased $11.1 million, primarily due to increased investments in our U.S. legal collections channel to drive future cash collections growth.
◦Legal collection fees increased $6.4 million, primarily due to higher external legal collections in our U.S. Core portfolio.


•For the full year, operating expenses increased by 10.4% to $774.8 million, compared to $702.1 million in 2023.
•For the full year, interest expense, net increased by 26.2% to $229.3 million, compared to $181.7 million in 2023, primarily reflecting higher debt balances to support portfolio investments.
•The effective tax rate for the full year was 19.2%.

Portfolio Purchases
Portfolio Purchase Source20242023
($ in thousands)Q4Q3Q2Q1Q4
Americas and Australia Core$194,063 $263,613 $198,761 $174,660 $143,052 
Americas Insolvency9,460 10,162 26,627 22,156 18,608 
Europe Core220,875 71,507 127,991 43,997 110,780 
Europe Insolvency8,272 4,696 25,990 5,004 12,476 
Total Portfolio Purchases$432,670 $349,978 $379,369 $245,817 $284,916 

•The Company purchased $432.7 million in portfolios of nonperforming loans in Q4 2024 and $1.4 billion in 2024, the latter of which represented a Company record.
•At the end of Q4 2024, the Company had in place estimated forward flow commitments1 of $498.9 million over the next 12 months, comprised of $403.1 million in the Americas and Australia and $95.8 million in Europe.

Credit Availability
•Total availability under the Company's credit facilities as of December 31, 2024 was $1.0 billion, comprised of $564.3 million based on current ERC and subject to debt covenants, and $462.0 million of additional availability subject to borrowing base and debt covenants, including advance rates.

Financial and Operational Targets for 2025
The Company has updated its financial and operational targets for the full year 2025:

•$1.2 billion of portfolio investments
•High single-digit cash collections growth
•60%+ cash efficiency ratio
•~12% return on average tangible equity2

These targets exclude the impact of the Company exercising its right to sell its equity interest in RCB Investimentos S.A., the servicing company for the Company's nonperforming loans in Brazil. This transaction does not impact the Company's ownership of any portfolios in Brazil, and the Company does not expect this to impact its existing operations or future portfolio investment opportunities in this market.

Conference Call Information
PRA Group, Inc. will hold a conference call today at 5:00 p.m. ET to discuss its financial and operational results. To listen to a webcast of the call and view the accompanying slides, visit https://ir.pragroup.com/events-and-presentations. To listen by phone, call 646-357-8785 in the U.S. or 1-800-836-8184 outside the U.S. and ask for the PRA Group conference call. To listen to a replay of the call, either visit the same website until February 19, 2026, or call 646-517-4150 in the U.S. or 1-888-660-6345 outside the U.S. and use access code 21638# until February 26, 2025.



1.Contractual agreements with sellers of nonperforming loans that allow for the purchase of nonperforming loan portfolios at pre-established prices. These amounts represent our estimated forward flow purchases over the next 12 months under the agreements in place based on projections and other factors, including sellers' estimates of future forward flow sales, and are dependent on actual delivery by the sellers and, in some cases, the impact of foreign exchange rate fluctuations. Accordingly, amounts purchased under these agreements may vary significantly.
2.A reconciliation of total stockholders' equity – PRA Group, Inc., the most directly comparable financial measure calculated and reported in accordance with GAAP, to average tangible equity can be found at the end of this press release.

About PRA Group
As a global leader in acquiring and collecting nonperforming loans, PRA Group, Inc. returns capital to banks and other creditors to help expand financial services for consumers in the Americas, Europe and Australia. With thousands of employees worldwide, PRA Group, Inc. companies collaborate with customers to help them resolve their debt. For more information, please visit www.pragroup.com.

About Forward-Looking Statements
Statements made herein that are not historical in nature, including PRA Group, Inc.’s or its management's intentions, hopes, beliefs, expectations, representations, projections, plans or predictions of the future, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.

The forward-looking statements in this press release are based upon management's current beliefs, estimates, assumptions and expectations of PRA Group, Inc.’s future operations and financial and economic performance, taking into account currently available information. These statements are not statements of historical fact or guarantees of future performance, and there can be no assurance that anticipated events will transpire or that the Company's expectations will prove to be correct. Forward-looking statements involve risks and uncertainties, some of which are not currently known to PRA Group, Inc. Actual events or results may differ materially from those expressed or implied in any such forward-looking statements as a result of various factors, including risk factors and other risks that are described from time to time in PRA Group, Inc.’s filings with the Securities and Exchange Commission, including PRA Group, Inc.’s annual reports on Form 10-K, its quarterly reports on Form 10-Q and its current reports on Form 8-K, which are available through PRA Group, Inc.'s website and contain a detailed discussion of PRA Group, Inc.'s business, including risks and uncertainties that may affect future results.

Due to such uncertainties and risks, you are cautioned not to place undue reliance on such forward-looking statements, which speak only as of today. Information in this press release may be superseded by more recent information or statements, which may be disclosed in later press releases, subsequent filings with the Securities and Exchange Commission or otherwise. Except as required by law, PRA Group, Inc. assumes no obligation to publicly update or revise its forward-looking statements contained herein to reflect any change in PRA Group, Inc.’s expectations with regard thereto or to reflect any change in events, conditions or circumstances on which any such forward-looking statements are based, in whole or in part.


PRA Group, Inc.
Consolidated Income Statements
(Amounts in thousands, except per share amounts)

(unaudited)(unaudited)
Three Months Ended December 31,Year Ended December 31,
2024202320242023
Revenues:
Portfolio income$229,720 $194,636 $857,188 $757,128 
Changes in expected recoveries55,260 22,754 240,868 29,134 
        Total portfolio revenue284,980 217,390 1,098,056 786,262 
Other revenue8,252 4,028 16,468 16,292 
Total revenues293,232 221,418 1,114,524 802,554 
Operating expenses:
Compensation and benefits74,959 71,070 298,903 288,778 
Legal collection costs34,036 22,903 124,782 89,131 
Legal collection fees16,270 9,844 56,623 38,072 
Agency fees21,583 20,208 83,334 74,699 
Professional and outside services19,592 20,555 83,218 82,619 
Communication9,230 9,905 43,433 40,430 
Rent and occupancy4,474 4,126 16,929 17,319 
Depreciation, amortization and impairment2,966 3,234 10,792 18,615 
Other operating expenses15,986 14,044 56,778 52,399 
Total operating expenses199,096 175,889 774,792 702,062 
Income from operations94,136 45,529 339,732 100,492 
Other income and (expense):
Interest expense, net(60,574)(50,946)(229,267)(181,724)
Foreign exchange gain/(loss), net(147)(695)(9)289 
Other(15)(564)(851)(1,944)
Income/(loss) before income taxes33,400 (6,676)109,605 (82,887)
Income tax expense/(benefit)10,616 (816)21,032 (16,133)
Net Income/(loss)22,784 (5,860)88,573 (66,754)
Adjustment for net income attributable to noncontrolling interests4,328 2,922 17,972 16,723 
Net income/(loss) attributable to PRA Group, Inc.$18,456 $(8,782)$70,601 $(83,477)
Net income/(loss) per common share attributable to PRA Group, Inc.:
Basic$0.47 $(0.22)$1.79 $(2.13)
Diluted$0.47 $(0.22)$1.79 $(2.13)
Weighted average number of shares outstanding:
Basic39,468 39,245 39,382 39,177 
Diluted39,681 39,245 39,542 39,177 



PRA Group, Inc.
Consolidated Balance Sheets
(Amounts in thousands)
(unaudited)
December 31, 2024December 31, 2023
Assets
Cash and cash equivalents$105,938 $112,528 
Investments66,304 72,404 
Finance receivables, net4,140,742 3,656,598 
Income taxes receivable19,559 27,713 
Deferred tax assets, net75,134 74,694 
Right-of-use assets32,173 45,877 
Property and equipment, net29,498 36,450 
Goodwill396,357 431,564 
Other assets65,450 67,526 
Total assets$4,931,155 $4,525,354 
Liabilities and Equity
Liabilities:
Accrued expenses and accounts payable$141,211 $138,218 
Income taxes payable28,584 17,912 
Deferred tax liabilities, net16,813 17,051 
Lease liabilities36,437 50,300 
Interest-bearing deposits163,406 115,589 
Borrowings3,326,621 2,914,270 
Other liabilities24,476 32,638 
Total liabilities3,737,548 3,285,978 
Equity:
Preferred stock, $0.01 par value, 2,000 shares authorized, no shares issued and outstanding— — 
Common stock, $0.01 par value, 100,000 shares authorized, 39,510 shares issued and outstanding as of December 31, 2024; 100,000 shares authorized, 39,247 shares issued and outstanding as of December 31, 2023395 392 
Additional paid-in capital17,882 7,071 
Retained earnings1,560,149 1,489,548 
Accumulated other comprehensive loss(443,394)(329,899)
Total stockholders' equity - PRA Group, Inc.1,135,032 1,167,112 
Noncontrolling interests58,575 72,264 
Total equity1,193,607 1,239,376 
Total liabilities and equity$4,931,155 $4,525,354 






Select Expenses (Income)
Amounts in thousands, pre-tax
Three Months Ended
December 31,
2024		September 30,
2024		June 30,
2024		March 31,
2024		December 31,
2023		September 30,
2023		June 30,
2023		March 31,
2023
Noncash interest expense - amortization of debt discount/premium and issuance costs2,241 3,795 2,331 2,200 2,177 2,220 2,384 2,441 
Change in fair value of derivatives(4,686)(5,706)(5,628)(5,930)(6,734)(6,545)(6,960)(5,470)
Amortization of intangibles58 60 58 60 69 69 68 66 
Impairment of real estate— — — — 202 5,037 — — 
Stock-based compensation expense3,337 3,251 3,555 3,327 2,952 1,629 2,715 3,799 



Purchase Price Multiples
as of December 31, 2024
Amounts in thousands
Purchase Period
Purchase Price (1)(2)
Total Estimated Collections (3)
Estimated Remaining Collections (4)
Current Purchase Price Multiple
Original Purchase Price Multiple (5)
Americas and Australia Core
1996-2014$2,336,839 $6,666,570 $86,032 285%228%
2015443,114 927,658 46,128 209%205%
2016455,767 1,098,337 57,944 241%201%
2017532,851 1,224,240 88,789 230%193%
2018653,975 1,541,030 132,482 236%202%
2019581,476 1,318,780 123,568 227%206%
2020435,668 961,295 137,424 221%213%
2021435,846 736,453 237,332 169%191%
2022406,082 711,153 299,192 175%179%
2023622,583 1,222,214 800,016 196%197%
2024823,662 1,738,041 1,593,881 211%211%
Subtotal7,727,863 18,145,771 3,602,788 
Americas Insolvency
1996-20141,414,476 2,722,528 18 192%155%
201563,170 88,142 14 140%125%
201691,442 118,446 152 130%123%
2017275,257 359,007 773 130%125%
201897,879 136,633 539 140%127%
2019123,077 167,054 1,987 136%128%
202062,130 91,244 11,795 147%136%
202155,187 74,384 19,064 135%136%
202233,442 47,469 23,982 142%139%
202391,282 119,560 83,007 131%135%
202468,391 101,716 89,633 149%149%
Subtotal2,375,733 4,026,183 230,964 
Total Americas and Australia10,103,596 22,171,954 3,833,752 
Europe Core
2012-2014814,553 2,669,874 379,300 328%205%
2015411,340 758,443 120,732 184%160%
2016333,090 583,379 140,510 175%167%
2017252,174 366,781 89,512 145%144%
2018341,775 561,190 168,307 164%148%
2019518,610 856,928 290,123 165%152%
2020324,119 581,309 219,274 179%172%
2021412,411 713,243 352,787 173%170%
2022359,447 587,410 398,171 163%162%
2023410,593 693,410 510,556 169%169%
2024451,786 815,403 770,745 180%180%
Subtotal4,629,898 9,187,370 3,440,017 
Europe Insolvency
201410,876 19,087 — 175%129%
201518,973 29,488 — 155%139%
201639,338 58,074 517 148%130%
201739,235 52,129 571 133%128%
201844,908 52,994 1,685 118%123%
201977,218 114,028 9,631 148%130%
2020105,440 159,773 19,710 152%129%
202153,230 75,089 19,991 141%134%
202244,604 63,240 33,069 142%137%
202346,558 65,196 47,203 140%138%
202443,459 63,717 54,480 147%147%
Subtotal523,839 752,815 186,857 
Total Europe5,153,737 9,940,185 3,626,874 
Total PRA Group$15,257,333 $32,112,139 $7,460,626 
(1)Includes the acquisition date finance receivables portfolios that were acquired through our business acquisitions.
(2)Non-U.S. amounts are presented at the exchange rate at the end of the year in which the portfolio was purchased. In addition, any purchase price adjustments that occur throughout the life of the portfolio are presented at the year-end exchange rate for the respective year of purchase.
(3)Non-U.S. amounts are presented at the year-end exchange rate for the respective year of purchase.
(4)Non-U.S. amounts are presented at the December 31, 2024 exchange rate.
(5)The Original Purchase Price Multiple represents the purchase price multiple at the end of the year of acquisition.



Portfolio Financial Information (1)
Amounts in thousands
Year Ended December 31, 2024As of December 31, 2024
Purchase Period
Cash
Collections (2)
Portfolio Income (2)
Changes in Expected Recoveries (2)
Total Portfolio Revenue (2)
Net Finance Receivables (3)
Americas and Australia Core
1996-2014$49,430 $20,182 $32,247 $52,429 $28,916 
201517,254 7,416 15,087 22,503 20,325 
201623,996 12,863 10,866 23,729 21,595 
201739,179 17,745 15,041 32,786 36,691 
201875,887 27,489 34,009 61,498 69,363 
201977,702 31,575 17,210 48,785 69,098 
202087,038 34,766 9,314 44,080 77,729 
202198,398 49,853 (11,413)38,440 124,903 
2022144,656 61,438 (4,581)56,857 181,937 
2023285,853 162,745 (1,541)161,204 450,432 
2024145,984 116,143 13,780 129,923 807,358 
Subtotal1,045,377 542,215 130,019 672,234 1,888,347 
Americas Insolvency
1996-20141,269 170 1,104 1,274 — 
2015192 28 134 162 9 
2016560 39 429 468 133 
20172,516 192 2,016 2,208 699 
20182,503 117 1,043 1,160 511 
201914,648 909 (1,651)(742)1,903 
202016,984 2,393 565 2,958 10,991 
202115,316 2,942 612 3,554 17,067 
202211,137 3,042 661 3,703 20,404 
202325,104 10,831 (1,272)9,559 66,685 
202412,083 7,241 445 7,686 63,027 
Subtotal102,312 27,904 4,086 31,990 181,429 
Total Americas and Australia1,147,689 570,119 134,105 704,224 2,069,776 
Europe Core
2012-2014101,686 61,342 30,572 91,914 86,106 
201530,431 13,316 6,116 19,432 59,318 
201627,447 12,746 4,522 17,268 79,412 
201717,868 6,600 (133)6,467 59,637 
201837,136 13,543 5,850 19,393 108,195 
201968,188 21,935 11,709 33,644 195,751 
202050,148 18,667 10,654 29,321 134,983 
202166,645 28,048 8,116 36,164 213,432 
202274,718 29,894 4,613 34,507 251,662 
2023103,129 42,584 4,380 46,964 303,553 
202446,082 19,035 6,759 25,794 429,327 
Subtotal623,478 267,710 93,158 360,868 1,921,376 
Europe Insolvency
2014181 — 181 181 — 
2015193 2 164 166 — 
2016794 109 401 510 134 
20171,542 115 121 236 428 
20183,462 246 331 577 1,491 
201912,916 1,326 1,717 3,043 8,378 
202025,549 2,674 3,403 6,077 18,148 
202115,376 2,580 2,190 4,770 17,754 
202215,198 3,753 2,803 6,556 27,385 
202312,744 5,001 1,068 6,069 37,503 
20249,454 3,553 1,226 4,779 38,369 
Subtotal97,409 19,359 13,605 32,964 149,590 
Total Europe720,887 287,069 106,763 393,832 2,070,966 
Total PRA Group$1,868,576 $857,188 $240,868 $1,098,056 $4,140,742 
(1)Includes the nonperforming loan portfolios that were acquired through our business acquisitions.
(2)Non-U.S. amounts are presented using the average exchange rates during the current year.
(3)Non-U.S. amounts are presented at the December 31, 2024 exchange rate.


Cash Collections by Year, By Year of Purchase (1)
as of December 31, 2024
Amounts in millions
Cash Collections
Purchase Period
Purchase Price (2)(3)
1996-20142015201620172018201920202021202220232024Total
Americas and Australia Core
1996-2014$2,336.8 $4,371.9 $727.8 $470.0 $311.2 $222.5 $155.0 $96.6 $68.8 $51.0 $40.2 $49.4 $6,564.4 
2015443.1 — 117.0 228.4 185.9 126.6 83.6 57.2 34.9 19.5 14.1 17.3 884.5 
2016455.8 — — 138.7 256.5 194.6 140.6 105.9 74.2 38.4 24.9 24.0 997.8 
2017532.9 — — — 107.3 278.7 256.5 192.5 130.0 76.3 43.8 39.2 1124.3 
2018654.0 — — — — 122.7 361.9 337.7 239.9 146.1 92.9 75.9 1377.1 
2019581.5 — — — — — 143.8 349.0 289.8 177.7 110.3 77.7 1148.3 
2020435.7 — — — — — — 132.9 284.3 192.0 125.8 87.0 822.0 
2021435.8 — — — — — — — 85.0 177.3 136.8 98.4 497.5 
2022406.1— — — — — — — — 67.7 195.4 144.7 407.8 
2023622.5 — — — — — — — — — 108.5 285.9 394.4 
2024823.7 — — — — — — — — — — 145.9 145.9 
Subtotal7,727.9 4,371.9 844.8 837.1 860.9 945.1 1,141.4 1,271.8 1,206.9 946.0 892.7 1,045.4 14,364.0 
Americas Insolvency
1996-20141,414.5 1,949.8 340.8 213.0 122.9 59.1 22.6 5.8 3.3 2.3 1.5 1.3 2,722.4 
201563.2 — 3.4 17.9 20.1 19.8 16.7 7.9 1.3 0.6 0.3 0.2 88.2 
201691.4 — — 18.9 30.4 25.0 19.9 14.4 7.4 1.8 0.9 0.6 119.3 
2017275.3 — — — 49.1 97.3 80.9 58.8 44.0 20.8 4.9 2.5 358.3 
201897.9 — — — — 6.7 27.4 30.5 31.6 24.6 12.7 2.5 136.0 
2019123.1 — — — — — 13.4 31.4 39.1 37.8 28.7 14.6 165.0 
202062.1 — — — — — — 6.5 16.1 20.4 19.5 17.0 79.5 
202155.2 — — — — — — — 4.6 17.9 17.5 15.3 55.3 
202233.4 — — — — — — — — 3.2 9.2 11.1 23.5 
202391.2 — — — — — — — — — 9.0 25.1 34.1 
202468.4 — — — — — — — — — — 12.1 12.1 
Subtotal2,375.7 1,949.8 344.2 249.8 222.5 207.9 180.9 155.3 147.4 129.4 104.2 102.3 3,793.7 
Total Americas and Australia10,103.6 6,321.7 1,189.0 1,086.9 1,083.4 1,153.0 1,322.3 1,427.1 1,354.3 1,075.4 996.9 1,147.7 18,157.7 
Europe Core
2012-2014814.5 195.1 297.5 249.9 224.1 209.6 175.3 151.7 151.0 123.6 108.6 101.7 1,988.1 
2015411.3 — 45.8 100.3 86.2 80.9 66.1 54.3 51.4 40.7 33.8 30.4 589.9 
2016333.1 — — 40.4 78.9 72.6 58.0 48.3 46.7 36.9 29.7 27.4 438.9 
2017252.2 — — — 17.9 56.0 44.1 36.1 34.8 25.2 20.2 17.9 252.2 
2018341.8 — — — — 24.3 88.7 71.3 69.1 50.7 41.6 37.1 382.8 
2019518.6 — — — — — 48.0 125.7 121.4 89.8 75.1 68.2 528.2 
2020324.1 — — — — — — 32.3 91.7 69.0 56.1 50.1 299.2 
2021412.4 — — — — — — — 48.5 89.9 73.0 66.6 278.0 
2022359.4 — — — — — — — — 33.9 83.8 74.7 192.4 
2023410.6 — — — — — — — — — 50.2 103.1 153.3 
2024451.9 — — — — — — — — — — 46.3 46.3 
Subtotal4,629.9 195.1 343.3 390.6 407.1 443.4 480.2 519.7 614.6 559.7 572.1 623.5 5,149.3 
Europe Insolvency
201410.9 — 4.3 3.9 3.2 2.6 1.5 0.8 0.3 0.2 0.2 0.2 17.2 
201519.0 — 3.0 4.4 5.0 4.8 3.9 2.9 1.6 0.6 0.4 0.2 26.8 
201639.3 — — 6.2 12.7 12.9 10.7 7.9 6.0 2.7 1.3 0.8 61.2 
201739.2 — — — 1.2 7.9 9.2 9.8 9.4 6.5 3.8 1.5 49.3 
201844.9 — — — — 0.6 8.4 10.3 11.7 9.8 7.2 3.5 51.5 
201977.2 — — — — — 5.0 21.1 23.9 21.0 17.5 12.9 101.4 
2020105.4 — — — — — — 6.0 34.6 34.1 29.7 25.5 129.9 
202153.2 — — — — — — — 5.5 14.4 14.7 15.4 50.0 
202244.6 — — — — — — — — 4.5 12.4 15.2 32.1 
202346.7 — — — — — — — — — 4.2 12.7 16.9 
202443.4 — — — — — — — — — — 9.5 9.5 
Subtotal523.8 — 7.3 14.5 22.1 28.8 38.7 58.8 93.0 93.8 91.4 97.4 545.8 
Total Europe5,153.7 195.1 350.6 405.1 429.2 472.2 518.9 578.5 707.6 653.5 663.5 720.9 5,695.1 
Total PRA Group$15,257.3 $6,516.8 $1,539.6 $1,492.0 $1,512.6 $1,625.2 $1,841.2 $2,005.6 $2,061.9 $1,728.9 $1,660.4 $1,868.6 $23,852.8 
(1)Non-U.S. amounts are presented using the average exchange rates during the respective year.
(2)Includes the acquisition date finance receivables portfolios acquired through our business acquisitions.
(3)Non-U.S. amounts are presented at the exchange rate at the end of the year in which the portfolio was purchased. In addition, any purchase price adjustments that occur throughout the life of the pool are presented at the year-end exchange rate for the respective year of purchase.








Use of Non-GAAP Financial Measures

The Company reports its financial results in accordance with U.S. generally accepted accounting principles ("GAAP"). However, management uses certain non-GAAP financial measures, including Adjusted EBITDA, internally to evaluate the Company’s performance and to set performance goals. Adjusted EBITDA is calculated as net income (or loss) attributable to PRA Group, Inc. plus income tax expense (or less income tax benefit); plus interest expense, net; plus other expense; plus depreciation and amortization; plus impairment of real estate; plus net income attributable to noncontrolling interests; and plus recoveries collected and applied to finance receivables, net less changes in expected recoveries. Adjusted EBITDA is a supplemental measure of performance that is not required by, or presented in accordance with, GAAP. The Company presents Adjusted EBITDA because the Company considers it an important supplemental measure of its operational and financial performance. Management believes Adjusted EBITDA helps provide enhanced period-to-period comparability of the Company's operational and financial performance and is useful to investors as other companies in the industry report similar financial measures. Adjusted EBITDA should not be considered as an alternative to net income determined in accordance with GAAP. Set forth below is a reconciliation of net income, the most directly comparable financial measure calculated and reported in accordance with GAAP, to Adjusted EBITDA for the years ended December 31, 2024 and 2023. The calculation of Adjusted EBITDA below may not be comparable to the calculation of similarly titled measures reported by other companies.

 Adjusted EBITDA for PRA Group ($ in millions)20242023
Net income/(loss) attributable to PRA Group, Inc.$71 $(83)
Adjustments:
Income tax expense/(benefit)21 (16)
Interest expense, net229 181 
Other expense1 2 
Depreciation and amortization11 13 
Impairment of real estate— 5 
Net income attributable to noncontrolling interests18 17 
Recoveries collected and applied to Finance receivables, net less Changes in expected recoveries787 888 
 Adjusted EBITDA$1,138 $1,007 

In addition, the Company uses return on average tangible equity ("ROATE"), which is a supplemental measure of performance that is not required by, or presented in accordance with, GAAP, to monitor and evaluate operating performance relative to the Company's equity. Management believes ROATE is a useful financial measure for investors in evaluating the effective use of equity, and is an important component of its long-term shareholder return. Average tangible equity is defined as average Total stockholders' equity - PRA Group, Inc. less average goodwill and average other intangible assets. ROATE is calculated by dividing Net income/(loss) attributable to PRA Group, Inc. by average tangible equity.












The following table displays the Company's ROATE and provides a reconciliation of Total stockholders' equity - PRA Group, Inc. as reported in accordance with GAAP to average tangible equity for the years indicated (amounts in thousands, except for ratio data):

Balance as of Year EndAverage Balance
202420232022202420232022
Total stockholders' equity - PRA Group, Inc.$1,135,032 $1,167,112 $1,227,661 $1,159,163 $1,166,846 $1,231,546 
Less: Goodwill396,357 431,564 435,921 415,685 423,110 448,214 
Less: Other intangible assets1,453 1,742 1,847 1,616 1,786 2,017 
Average tangible equity$741,862 $741,950 $781,315 
Net income/(loss) attributable to PRA Group, Inc.$70,601 $(83,477)$117,147 
Return on average tangible equity9.5%(11.3)%15.0%


Investor Contact:
Najim Mostamand, CFA
Vice President, Investor Relations
(757) 431-7913
IR@PRAGroup.com

News Media Contact:
Elizabeth Kersey
Senior Vice President, Communications and Public Policy
(757) 641-0558
Elizabeth.Kersey@PRAGroup.com




v3.25.0.1
Cover Page
Feb. 19, 2025
Cover [Abstract]  
Document Type 8-K
Document Period End Date Feb. 19, 2025
Entity Registrant Name PRA Group, Inc.
Entity Incorporation, State or Country Code DE
Entity File Number 000-50058
Entity Tax Identification Number 75-3078675
Entity Address, Address Line One 120 Corporate Boulevard
Entity Address, City or Town Norfolk,
Entity Address, State or Province VA
Entity Address, Postal Zip Code 23502
City Area Code (888)
Local Phone Number 772-7326
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Stock, $0.01 par value per share
Trading Symbol PRAA
Security Exchange Name NASDAQ
Entity Emerging Growth Company false
Amendment Flag false
Entity Central Index Key 0001185348
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