Q2 2019 Conference Call Presentation 1 Statements herein, other - PowerPoint PPT Presentation

Q2 2019 Conference Call Presentation 1

Statements herein, other than statements of historical fact, are forward-looking statements, which are based on our current beliefs, projections, assumptions and expectations concerning future operations and financial performance. Such statements involve uncertainties and risks, some of which are not currently known to us, and may be superseded by future events that could cause actual results to differ materially from those expressed or implied herein. You are cautioned not to place undue reliance on forward-looking statements, which speak only as of today, and are qualified in their entirety by these cautionary statements. Information regarding risk factors and other information that could change our projections or impact our actual results can be found in our most recent Annual Report on Form 10-K and in subsequent public filings, and should be considered in evaluating the forward looking statements herein. Except as required by law, we assume no obligation to update or revise these statements to reflect changes in events, conditions or circumstances on which any such forward-looking statements are based, in whole or in part. 2

IN INVESTMENTS DELIVER RECORD CA CASH SH COLLECT CTIONS People Legal Data Digital 3

Q2 2019 HIG IGHLIGHTS Record cash collections of $470 million Continued solid portfolio investment of $289 million Record Estimated Remaining Collections (ERC) of $6.4 billion 4

AMERICAS Record cash collections in Americas Core Maintaining returns in the legal channel Invested $122 million in Americas Core Stable supply and pricing 5

EUROPE Record cash collections in Europe Investment in Europe was $141 million Select markets improving Pipeline is active 6

FIN INANCIAL RESULTS - GAAP ($ in millions, except per share results) Q2 2019 Q2 2018 $470.3 $406.6 Cash Collections $252.1 $221.5 Total Revenues $1.2 $2.8 Net Allowance Charges $187.5 $163.4 Operating Expenses $18.6 $19.6 Net Income Attributable to PRA Group, Inc. $0.41 $0.43 Diluted EPS 7

CA CASH SH COLLECT CTIONS ($ in millions) Second Quarter 2019 Second Quarter 2018 Global Global Insolvency, Insolvency, $58.4 $63.5 Europe Core, $117.6 Americas Core, Europe Core, $233.8 $109.4 Americas Core, $294.2 8

Q2 2019 CA CASH SH EFFICIENCY RATIO IO OF 60.4%, 59.8% YTD TD ($ in millions, Cash efficiency ratio = (cash receipts – operating expenses)/cash receipts) 1,800 70% 1,640 1,604 1,569 1,600 1,538 60% 1,444 1,400 50% 1,214 1,200 971 40% 1,000 941 762 800 30% 592 600 383 20% 433 400 298 10% 200 0% 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Q2 YTD Cash Receipts Cash Efficiency Ratio Insolvency as a % of Cash Collections 9

ESTIMATED REMAINING COLL LLECT CTIONS AND AVAILABLE CA CAPITAL ($ in millions) as of June 30, 2019 Estimated Remaining Collections United States - $3,496 United Kingdom - $1,284 Central Europe - $671 Northern Europe - $495 Other Americas - $286 Southern Europe - $172 $753 Million Available for Portfolio Purchases 10

PRA GROUP REMAINS WELL LL POSI SITIONED FOR TH THE FUTURE Record cash collections and ERC Strong portfolio investment worldwide Expect full year cash efficiency ratio to approach 60% Operate by a set of founding principles 11

Q&A 12

Q3 3 20 2019 19 ESTIMATED RE REVENUE MODEL - $ $ IN IN THOUSANDS 13