Financial Reporting - Burford Capital Limited announced the release date for its financial results for the year ended December 31, 2024, on February 24, 2025[4] - The company is previewing changes to its financial reporting framework, indicating a potential shift in how it presents its financial data[4] - The press release regarding the financial results is attached as Exhibit 99.1, which may contain further details on performance metrics[5]

Core Viewpoint - Burford Capital Limited will host an Investor Day on April 3, 2025, in New York City, providing a strategic update and an introduction for new investors and analysts [1][2]. Company Overview - Burford Capital is a leading global finance and asset management firm focused on law, involved in litigation finance, risk management, asset recovery, and various legal finance and advisory activities [3]. - The company is publicly traded on both the New York Stock Exchange (NYSE: BUR) and the London Stock Exchange (LSE: BUR), with offices in major cities including New York, London, Chicago, Washington, DC, Singapore, Dubai, and Hong Kong [3]. Event Details - The Investor Day will be led by Burford's executive management team and key leaders, with a presentation starting at 9:00 AM EDT [2]. - Venue capacity is limited, and interested parties are encouraged to register for in-person attendance or to access the event via webcast [2][3].

Core Insights - Burford Capital's latest Burford Quarterly highlights innovative financial strategies in the legal sector, emphasizing the importance of legal finance in transforming traditional business models [2][4] - The report discusses various trends in commercial disputes, including alternative billing structures, opting out of litigation, and monetizing intellectual property (IP) assets [2][3] Group 1: Legal Finance Innovations - Law firms are increasingly adopting creative billing structures as alternatives to hourly fees, which allows for more flexible financial strategies [2] - Companies are choosing to opt out of litigation to maximize and accelerate recoveries, indicating a shift in how businesses approach legal disputes [2] - The monetization of IP assets is becoming a key strategy for businesses, enabling them to invest in other critical areas while managing legal risks [2] Group 2: Sector-Specific Insights - In the healthcare sector, businesses are recognizing the value of legal finance to alleviate the financial burden of high-cost litigation, particularly in light of upcoming opt-out deadlines for antitrust claims [3] - The life sciences and pharmaceutical industries are leveraging legal finance to protect and monetize IP assets, which is crucial for sustaining investment in research and development [3] - A roundtable discussion among London-based arbitration lawyers highlights the impact of technology and AI on international arbitration, showcasing the evolving landscape of legal practices [3] Group 3: Industry Perspective - Aviva Will, President of Burford Capital, emphasizes that legal finance is a transformative tool for the legal industry, facilitating growth by providing capital and mitigating risks [4] - The Burford Quarterly serves as a resource for business executives, general counsels, and law firm attorneys to understand and utilize financial tools effectively within the legal framework [4]

Core Viewpoint - Burford Capital Limited (BUR) has shown a modest gain of 0.3% over the past four weeks, closing at $13.54, with analysts suggesting a potential upside of 45.5% based on a mean price target of $19.70 [1] Price Targets - The average price target for BUR is derived from five short-term estimates, ranging from a low of $18 to a high of $22.50, with a standard deviation of $1.86, indicating a relatively tight clustering of estimates [2] - The lowest estimate suggests a 32.9% increase from the current price, while the highest estimate indicates a 66.2% upside [2] Analyst Sentiment - Analysts have shown increasing optimism regarding BUR's earnings prospects, as evidenced by a strong consensus in revising earnings per share (EPS) estimates higher, which correlates with potential stock price increases [4][9] - Over the past 30 days, one estimate has increased with no negative revisions, leading to a 4.6% rise in the Zacks Consensus Estimate for the current year [10] Zacks Rank - BUR holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimate factors, indicating strong potential for upside in the near term [11] Conclusion on Price Targets - While the consensus price target may not be a reliable predictor of BUR's price movement magnitude, the direction indicated by these targets appears to be a useful guide for investors [12]

Group 1 - The article emphasizes a preference for investing in out-of-favor sectors and geographies, highlighting that these areas often have lower valuations and are less efficient, providing a double advantage for stock pickers [1] - The author identifies as a generalist investor, indicating a broad approach to investment rather than focusing on a specific sector [1] Group 2 - The article does not provide any specific company or industry analysis, nor does it include any financial data or performance metrics [2][3] - There are no investment recommendations or advice given regarding the suitability of investments for particular investors [3]

Core Viewpoint - Burford Capital Limited (BUR) shows potential for significant upside, with a mean price target of $19.70 indicating a 42.6% increase from the current price of $13.82 [1] Price Targets and Analyst Estimates - The mean estimate consists of five short-term price targets with a standard deviation of $1.86, where the lowest estimate is $18 (30.3% increase) and the highest is $22.50 (62.8% increase) [2] - A low standard deviation among price targets suggests strong agreement among analysts regarding the stock's price movement [7] Earnings Estimates and Analyst Sentiment - Analysts have shown growing optimism about BUR's earnings prospects, as indicated by a positive trend in earnings estimate revisions, which correlates with near-term stock price movements [9] - Over the last 30 days, the Zacks Consensus Estimate for the current year has increased by 4.6%, with one estimate moving higher and no negative revisions [10] Zacks Rank and Investment Potential - BUR holds a Zacks Rank 1 (Strong Buy), placing it in the top 5% of over 4,000 ranked stocks based on earnings estimates [11] - While consensus price targets may not be reliable for predicting exact gains, they can provide a directional guide for potential price movements [11]

Financial Data and Key Metrics Changes - Burford Capital reported a net income of $136 million for Q3 2024, resulting in $0.61 per share, with net income constituting over 60% of total revenues [10] - The company has over $3.6 billion in capital provision assets, with non-YPF assets valued at approximately $2.2 billion, reflecting a 35% fair value uplift to deployed cost [10] - Year-to-date net realized gains reached $186 million, aligning with previous annual records, and net realized and unrealized gains excluding YPF increased by 200% quarter-over-quarter [11][12] Business Line Data and Key Metrics Changes - Burford-only capital provision direct new commitments for the year-to-date are around $450 million, consistent with previous years [13] - Realizations for Burford-only capital provision direct reached $380 million, a 39% increase over the same period last year, driven by a diverse set of assets [15] - Cash receipts for the most recent quarter hit a record of $310 million, contributing to nearly $0.5 billion returned to the balance sheet [16] Market Data and Key Metrics Changes - The company noted a robust pipeline of activity across various geographic regions, including EMEA and Asia Pacific, with significant engagement in intellectual property litigation [20] - The competitive environment remains active, particularly in antitrust and competition litigation, as well as arbitration [85] Company Strategy and Development Direction - Burford Capital emphasizes a long-term view of its business, focusing on portfolio activity and cash resolution of assets rather than short-term quarterly results [4][5] - The company is committed to maintaining liquidity, ending Q3 with $629 million in cash and securities, as it prepares for upcoming debt maturities [63] - The strategic focus includes leveraging its global origination platform and asset management business while managing the YPF case effectively [66] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the ongoing portfolio activity and the potential for future cash generation, despite the slow nature of the third quarter [5][7] - The management team highlighted the importance of maintaining a strong cash position to support ongoing litigation financing needs [76] - Comments on the YPF case indicated a belief that Argentina's economic recovery could lead to a resolution of the outstanding judgment [52][54] Other Important Information - The YPF judgment continues to accrue interest at a rate of 5.42%, increasing the total judgment amount to approximately $17 billion [49] - Burford's entitlement from the YPF case is around 40% of the total proceeds, with the carrying value of this asset estimated at $1.5 billion [51] Q&A Session Summary Question: Has Argentina indicated that they're not willing to come to the table until this appeal is fully adjudicated? - Management indicated that it is unlikely for a government to resolve ongoing litigation easily, suggesting a focus on positioning for the end of the process [69] Question: When do you expect the oral arguments to be scheduled? - Management stated that a date for oral argument has not yet been set, but it is anticipated to occur later this year or early next year [70] Question: Can you discuss the recent environment for deployments and new opportunities? - Management noted that while there hasn't been a large deal comparable to last year's $325 million commitment, the volume of business remains strong, particularly in antitrust and intellectual property [83][85] Question: Is there anything on the regulatory or legislative front that might affect litigation finance? - Management acknowledged a lack of enthusiasm from companies that are regular litigation defendants regarding litigation finance, indicating potential regulatory scrutiny [92]

Core Viewpoint - Burford Capital Limited announces an interim dividend of 6.25 US cents per ordinary share, payable on December 5, 2024, to shareholders of record as of November 1, 2024, with a conversion rate for pound sterling set at 4.845352 pence per share based on the exchange rate of £1 = US$1.289896 as of November 6, 2024 [1][2]. Company Overview - Burford Capital is a leading global finance and asset management firm focused on law, involved in litigation finance, risk management, asset recovery, and various legal finance and advisory activities [2]. - The company is publicly traded on both the New York Stock Exchange (NYSE: BUR) and the London Stock Exchange (LSE: BUR), with offices in major cities including New York, London, Chicago, Washington, DC, Singapore, Dubai, and Hong Kong [2].

Group 1 - Burford Capital Limited reported quarterly earnings of $0.61 per share, exceeding the Zacks Consensus Estimate of $0.30 per share, but down from $1.22 per share a year ago, representing an earnings surprise of 103.33% [1] - The company posted revenues of $249.11 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 81.84%, but down from $368.87 million year-over-year [2] - Burford Capital shares have declined approximately 6.4% since the beginning of the year, contrasting with the S&P 500's gain of 24.3% [3] Group 2 - The earnings outlook for Burford Capital is mixed, with the current consensus EPS estimate for the coming quarter at $0.68 on revenues of $262 million, and $1.09 on revenues of $603 million for the current fiscal year [7] - The Zacks Industry Rank for Financial - Miscellaneous Services is in the top 31% of over 250 Zacks industries, indicating that the industry outlook can significantly impact stock performance [8]

Financial Performance - The company generated $556 million in Burford-only cash receipts year-to-date (YTD) in 2024, with $310 million in the third quarter (3Q) of 2024, setting new records [2] - Core portfolio net realized gains reached $184 million YTD in 2024, up 49% compared to YTD 2023, and $56 million in 3Q 2024, nearly double the levels of 3Q 2023 and 3Q 2022 [2] - Burford-only net income attributable to shareholders was $136 million in 3Q 2024, with tangible book value exceeding $10 per share for the first time [2] - Total revenues for 3Q 2024 were $249.1 million, a 32% decrease compared to 3Q 2023, while total operating expenses decreased by 12% to $46.9 million [3] - Net income attributable to shareholders for 3Q 2024 was $135.6 million, a 50% decrease compared to 3Q 2023 [3] Portfolio and Realizations - Core portfolio realizations reached $380 million YTD in 2024, up 39% compared to YTD 2023, with 40 assets diversified across various sectors [6] - Ten assets generated more than $10 million in realizations YTD in 2024, with five assets delivering $20 million or more [6] - The return on invested capital (ROIC) for YTD 2024 realizations was 94%, above the historical track record [6] - New commitments in 3Q 2024 increased significantly, with $443 million in core portfolio new commitments and $263 million in deployments YTD in 2024 [6] Liquidity and Capital - The company's liquidity position strengthened, with Burford-only cash and cash equivalents and marketable securities totaling $629 million at the end of 3Q 2024, up from $303 million at the end of 2023 [10] - Total debt outstanding increased to $1.8 billion at the end of 3Q 2024, compared to $1.6 billion at the end of 2023, but leverage remains well below covenant ceiling levels [11] Operational Highlights - The company's core portfolio net realized gains of $184 million YTD in 2024 are already in line with the previous annual peak of $186 million achieved in 2023 [6] - Burford-only capital provision income in 3Q 2024 was $205 million, driven by positive impacts across major valuation inputs such as discount rates, case milestones, and duration [8] - Excluding YPF-related assets, Burford-only total net realized and unrealized gains increased by 200% in 3Q 2024 and 17% YTD in 2024 compared to the same periods in 2023 [8] Industry and Market Context - The company continues to clear the pandemic-driven backlog, with about half of the capital provision assets generating realizations YTD in 2024 being from 2020 and prior vintages [6] - Definitive undrawn commitments at the end of 3Q 2024 were $727 million, up 25% YTD in 2024, supporting future deployment activity [6]