NASDAQ$ECPG
Encore Capital Group Inc · Q4 2024 earnings
Q4 2024 earnings · · After market close · Investor relations
Briefing
Encore Capital Group reported a net loss in the fourth quarter of 2024, despite significant growth in global portfolio purchases and collections.
Encore Capital Group reported a net loss of $225.3 million in the fourth quarter of 2024, compared to a net loss of $270.8 million in the same period last year. Global portfolio purchases increased by 69% to $495.1 million, and global collections increased by 21% to $554.6 million. The loss was primarily driven by significant restructuring actions and non-cash charges related to its Cabot business.
- Global portfolio purchases increased by 69% to $495.1 million in Q4 2024.
- Global collections increased by 21% to $554.6 million in Q4 2024.
- The company reported a GAAP net loss of $225.3 million in Q4 2024.
- Significant non-cash charges, including a $100.6 million goodwill impairment, impacted the financial results.
Headline financials
Revenue & EPS history
Encore · Revenue · Quarterly
$266K
Revenue by segment
Encore · $327M total across 3 segments · Q3 2023
- Debt Purchasing Revenue$303M—92.7%
- Servicing Revenue$19.9M—6.1%
- Other Revenues$4.11M—1.3%
Forward guidance
Encore Capital Group anticipates continued growth in global portfolio purchases and collections in 2025, aiming to resume share repurchases and improve financial health.
Tailwinds
- Anticipate global portfolio purchases in 2025 to exceed $1.35 billion.
- Expect global collections in 2025 to increase by 11% to $2.4 billion.
- Plan to resume share repurchases in 2025 due to continued growth in cash generation and improving leverage.
- Committed to the critical role in the consumer credit ecosystem.
- Committed to helping consumers restore their financial health.
Headwinds
- The reported net loss in 2024 is not indicative of operational performance due to non-cash charges.
- Cabot's business environment continued to be highly competitive.
- Cabot's business was impacted by macroeconomic factors such as subdued lending growth.
- Cabot's business was impacted by low charge-offs.
- The company took restructuring actions including exiting two underperforming markets (Spanish and Italian NPL markets).
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q4 2024
+2.0%
Avg return
Earnings day
+3.8%
Avg return
5 days after
+3.1%
Avg return
30 days after
60%
39 / 65 earnings
Positive
+38.9%
Q3 2016
Best reaction
-21.9%
Q4 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -0.2% | -2.6% | -3.6% | |
| Q4 2025 | +8.2% | +21.4% | +16.4% | |
| Q3 2025 | +10.5% | +16.3% | +23.7% | |
| Q1 2025 | +23.9% | +22.5% | +16.7% | |
| Q4 2024 | -21.9% | -30.8% | -31.3% | |
| Q3 2024 | +4.9% | +5.3% | +3.6% | |
| Q2 2024 | +9.1% | +3.5% | +3.0% | |
| Q1 2024 | +11.9% | +10.1% | -0.3% | |
| Q4 2023 | -9.6% | -11.0% | -12.6% | |
| Q3 2023 | +9.7% | +16.9% | +20.3% | |
| Q2 2023 | -5.7% | -2.6% | -10.3% | |
| Q1 2023 | -4.9% | -3.8% | -5.6% | |
| Q4 2022 | -6.5% | -6.7% | -21.2% | |
| Q3 2022 | -9.7% | -5.6% | -1.2% | |
| Q2 2022 | -18.4% | -19.9% | -22.5% | |
| Q1 2022 | +6.4% | +6.7% | +3.7% | |
| Q4 2021 | -7.0% | -7.3% | -10.4% | |
| Q3 2021 | +10.4% | +12.4% | +10.1% | |
| Q2 2021 | -2.0% | -0.5% | +0.9% | |
| Q1 2021 | +4.8% | +0.4% | +15.1% | |
| Q4 2020 | -0.4% | +1.9% | +25.1% | |
| Q3 2020 | -2.0% | -1.8% | +13.7% | |
| Q2 2020 | +27.8% | +22.1% | +29.0% | |
| Q1 2020 | -1.6% | -0.2% | +13.2% | |
| Q4 2019 | +10.8% | +23.6% | -11.7% | |
| Q3 2019 | +7.7% | +7.5% | +10.0% | |
| Q2 2019 | +7.8% | +5.3% | -2.1% | |
| Q1 2019 | +17.3% | +27.2% | +28.6% | |
| Q4 2018 | +2.2% | -2.4% | -18.7% | |
| Q3 2018 | -10.8% | -5.5% | -8.1% | |
| Q2 2018 | +11.7% | +9.6% | +6.7% | |
| Q1 2018 | +1.1% | +0.6% | -14.4% | |
| Q4 2017 | +7.4% | +1.8% | +9.6% | |
| Q3 2017 | +6.9% | +4.8% | -0.5% | |
| Q2 2017 | +5.8% | +7.2% | +2.2% | |
| Q1 2017 | -6.2% | +0.0% | +7.4% | |
| Q4 2016 | +1.9% | -3.5% | -11.9% | |
| Q3 2016 | +38.9% | +39.5% | +59.2% | |
| Q2 2016 | -16.3% | -14.3% | -10.2% | |
| Q1 2016 | +2.8% | — | — | |
| Q4 2015 | +5.4% | — | — | |
| Q3 2015 | +0.9% | — | — | |
| Q2 2015 | -5.7% | — | — | |
| Q1 2015 | -3.4% | — | — | |
| Q4 2014 | -7.9% | — | — | |
| Q3 2014 | +0.6% | — | — | |
| Q2 2014 | +1.5% | — | — | |
| Q1 2014 | +2.8% | — | — | |
| Q4 2013 | +1.6% | — | — | |
| Q3 2013 | +1.0% | — | — | |
| Q2 2013 | +11.2% | — | — | |
| Q1 2013 | +4.0% | — | — | |
| Q4 2012 | +5.7% | — | — | |
| Q3 2012 | -7.0% | — | — | |
| Q2 2012 | +8.0% | — | — | |
| Q1 2011 | +8.3% | — | — | |
| Q1 2012 | +8.3% | — | — | |
| Q4 2011 | -2.3% | — | — | |
| Q4 2009 | -2.3% | — | — | |
| Q3 2010 | +2.5% | — | — | |
| Q3 2011 | +2.5% | — | — | |
| Q2 2010 | -9.5% | — | — | |
| Q4 2010 | -9.5% | — | — | |
| Q2 2011 | -9.5% | — | — | |
| Q1 2010 | -2.2% | — | — |
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