We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
PRA Group's (PRAA) Q1 Earnings Miss Estimates, Decline Y/Y
Read MoreHide Full Article
PRA Group Inc.’s (PRAA - Free Report) first-quarter 2019 earnings per share of 34 cents missed the Zacks Consensus Estimate by 5.6%. Moreover, the bottom line declined 27.7% year over year due to a rise in expenses.
The company’s total revenues were $246 million, up 10.3% from the year-ago quarter. The top line also surpassed the Zacks Consensus Estimate by 3.8% on the back of higher finance receivables.
It witnessed cash collection of $461.2 million, 8% above the 2018's first-quarter level. This was driven by an increase in U.S. legal cash collections as well as a rise in U.S. call center and other cash collections.
Effective tax rate for the quarter under review was 18.6%.
PRA Group’s fee income of $7 million increased 27.3% year over year.
The company’s finance receivables during the reported quarter grew 9% year over year to $238.8 million, primarily owing to Americas Core portfolio purchases made last year and the Europe Core portfolio purchases in fourth-quarter 2018.
Total operating expenses increased 12.6% year over year. This deterioration was due to higher legal collection costs and fees plus a rise in agency fees.
Financial Update
As of Mar 31, 2019, the company has total assets of $4.1 billion, up 5% from the level at 2018 end.
PRA Group exited the quarter with total equity of $1.1 billion, up 0.2 % from the level on Dec 31, 2018.
Cash and cash equivalents in the quarter under discussion were $102 million, up 3.5% from the figure as of 2018 end.
In the quarter under consideration, borrowings increased 4.6% year over year.
Among other players from the finance sector having reported first-quarter earnings so far, the bottom-line numbers of Synchrony Financial (SYF - Free Report) , Discover Financial Services (DFS - Free Report) and Enova International, Inc. (ENVA - Free Report) beat the respective Zacks Consensus Estimate.
Biggest Tech Breakthrough in a Generation
Be among the early investors in the new type of device that experts say could impact society as much as the discovery of electricity. Current technology will soon be outdated and replaced by these new devices. In the process, it’s expected to create 22 million jobs and generate $12.3 trillion in activity.
A select few stocks could skyrocket the most as rollout accelerates for this new tech. Early investors could see gains similar to buying Microsoft in the 1990s. Zacks’ just-released special report reveals 7 stocks to watch. The report is only available for a limited time.
Image: Bigstock
PRA Group's (PRAA) Q1 Earnings Miss Estimates, Decline Y/Y
PRA Group Inc.’s (PRAA - Free Report) first-quarter 2019 earnings per share of 34 cents missed the Zacks Consensus Estimate by 5.6%. Moreover, the bottom line declined 27.7% year over year due to a rise in expenses.
The company’s total revenues were $246 million, up 10.3% from the year-ago quarter. The top line also surpassed the Zacks Consensus Estimate by 3.8% on the back of higher finance receivables.
It witnessed cash collection of $461.2 million, 8% above the 2018's first-quarter level. This was driven by an increase in U.S. legal cash collections as well as a rise in U.S. call center and other cash collections.
Effective tax rate for the quarter under review was 18.6%.
PRA Group, Inc. Price, Consensus and EPS Surprise
PRA Group, Inc. price-consensus-eps-surprise-chart | PRA Group, Inc. Quote
Quarterly Operational Update
PRA Group’s fee income of $7 million increased 27.3% year over year.
The company’s finance receivables during the reported quarter grew 9% year over year to $238.8 million, primarily owing to Americas Core portfolio purchases made last year and the Europe Core portfolio purchases in fourth-quarter 2018.
Total operating expenses increased 12.6% year over year. This deterioration was due to higher legal collection costs and fees plus a rise in agency fees.
Financial Update
As of Mar 31, 2019, the company has total assets of $4.1 billion, up 5% from the level at 2018 end.
PRA Group exited the quarter with total equity of $1.1 billion, up 0.2 % from the level on Dec 31, 2018.
Cash and cash equivalents in the quarter under discussion were $102 million, up 3.5% from the figure as of 2018 end.
In the quarter under consideration, borrowings increased 4.6% year over year.
Zacks Rank and Performance of Other Players
PRA Group has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Among other players from the finance sector having reported first-quarter earnings so far, the bottom-line numbers of Synchrony Financial (SYF - Free Report) , Discover Financial Services (DFS - Free Report) and Enova International, Inc. (ENVA - Free Report) beat the respective Zacks Consensus Estimate.
Biggest Tech Breakthrough in a Generation
Be among the early investors in the new type of device that experts say could impact society as much as the discovery of electricity. Current technology will soon be outdated and replaced by these new devices. In the process, it’s expected to create 22 million jobs and generate $12.3 trillion in activity.
A select few stocks could skyrocket the most as rollout accelerates for this new tech. Early investors could see gains similar to buying Microsoft in the 1990s. Zacks’ just-released special report reveals 7 stocks to watch. The report is only available for a limited time.
See 7 breakthrough stocks now>>