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Kruk SAKruk's 2025 investments in debt portfolios to not exceed PLN 2.8 bln, 2024 level
Listed debt collector Kruk Group which has invested PLN 2.8 billion (EUR 676.76 mln) in debt portfolios in 2024, does not expect 2025 to surpass this level; the group will be more cautious on the Spanish market, Kruk's CEO Piotr Krupa told a press conference.
"Don't expect us to want to beat this result this year (...) A pace of less than PLN 2.8 billion is adequate, especially as we have to be somewhat cautious in Spain," Krupa said, adding that group's investment in debt portfolios may amount to around PLN 2.4 billion (EUR 580.1 mln) in 2025.
The CEO said that he does not expect a decline in the Polish market's share of the group's total investments.
In 2024, repayments from acquired portfolios amounted to PLN 3.536 billion (EUR 854.65 mln), up by 15 percent year on year, while investments in debt portfolios amounted to PLN 2.828 billion (EUR 683.53 mln), down 5 percent year on year.
Kruk said that in the fourth quarter of 2024, it recognised a negative update on portfolios of minus PLN 64 million (EUR 15.5 mln), which mainly consisted of positive updates in Poland (PLN 47 million or EUR 11.4 mln) and Romania (PLN 35 million or EUR 8.5 mln) and a negative update in Spain (PLN -145 million or EUR -35.1 mln).
The company reported that the negative update in Spain was mainly the result of a delay in the processing of cases by the courts.
"There is a probability that we have also overestimated the portfolios there a little bit, some part of this write-off is due to the fact that they are worth less. The benchmark that we took for valuation behaved better than we saw in practice," CEO Krupa said.
seb/ ao/ han/
