Kruk debt collector posts PLN 115 mln net profit in Q4 2024, in line with earlier estimates

For the whole of 2024, Kruk reported a net profit of PLN 1.07 billion (EUR 258.62 mln), up 9 percent year on year, cash EBITDA reached PLN 2.37 billion (EUR 572.83 mln), up 13 percent year on year.

Both net profit and EBITDA were the highest in the history of the group's annual results.

Repayments from portfolios acquired throughout 2024 amounted to PLN 3.536 billion (EUR 854.65 mln), up 15 percent year on year, and investments in debt portfolios amounted to PLN 2.828 billion (EUR 683.53 mln), down 5 percent year on year.

"The group's result would have been even higher had it not been for the negative EBITDA in Spain resulting from the need to update the revenue forecast on some portfolios," said Kruk's CEO Piotr Krupa, quoted in the press release.

"We have diagnosed the cause, lying both in delays in the courts in processing cases and in the different behaviour of the bank cases purchased in 2022 and 2023 than the comparative case base used in the valuation of the portfolios. We are strengthening the Spanish court team and implementing process changes to better respond to current as well as future challenges," he added.

He added that all other geographical segments contributed positively to the group's results.

The group's assets at the end of 2024 amounted to PLN 11.6 billion (EUR 2.8 bln), up by 17 percent year on year.

The carrying value of investments in debt portfolios amounted to PLN 10.5 billion (EUR 2.54 bln) and accounted for 90 percent of the group's assets.

At the end of 2024, Kruk's shareholders' equity amounted to PLN 4.5 billion (EUR 1.1 bln), up by 19 per cent year on year.

The net debt to cash EBITDA ratio at the end of 2024 was 2.7, up from 2.4 at the end of 2023.

mcb/ ao/