Core Insights - The study by Burford Capital highlights the evolving strategies of senior legal and finance leaders in various industries regarding litigation spending and legal cost management, emphasizing a shift towards innovation and value creation [1][4][5] Industry Trends - Senior leaders in construction and mining anticipate the largest increases in litigation spending over the next five years, with the pharmaceutical and food sectors also expecting significant rises [5] - 75% of general counsels (GCs) and chief financial officers (CFOs) in construction and real estate prioritize increasing the certainty and predictability of legal costs, which is 25% higher than the average across all industries [5] - GCs and CFOs in pharma and life sciences are four times more likely than the average to consider reallocating $50 million or more within their businesses by financing litigation and arbitration [5] - Approximately 65% of senior finance and legal leaders in mining are likely to utilize monetization solutions in the next 15 years, indicating a trend towards immediate capital access through legal finance [5] - Half of the GCs and CFOs in the food industry expect litigation and arbitration spending to rise by over 25% in the next five years, and they are 54% more likely to have utilized legal finance compared to the industry average [5] - A third of senior leaders in the energy sector report having robust affirmative recovery programs, nearly double the average across all industries [5] Legal Finance and Technology - Leaders in healthcare, retail, and consumer sectors are more inclined to view legal finance as a means to significantly reduce overall litigation costs, reflecting their need for innovative cost-saving strategies [5] - Retail companies are the most likely to invest heavily in legal technology and AI in the coming year, indicating a trend towards modernization in legal operations [5] Resource Allocation and Future Outlook - Industries expecting the largest increases in litigation spending do not currently possess the largest budgets, suggesting a potential shift in litigation priorities and resource allocation among these sectors [5]

Portfolio Overview - Group-wide portfolio totaled $71 billion as of March 31, 2024, a decrease of 1% from the end of 2023[1] - Burford manages eight private funds with $34 billion in Assets Under Management (AUM) as of March 31, 2024[1] - Cumulative Burford-only capital provision-direct realizations since inception through March 31, 2024, reached $28 billion, with an 82% ROIC and a 27% IRR[17] Financial Performance - Burford-only asset management income was $7 million in 1Q24, primarily driven by reduced BOF-C activity[20] - Cumulative BOF-C asset commitments totaled $11 billion as of March 31, 2024, with deployments of $697 million[20] - Burford-only cash receipts increased by 42% to $138 million in 1Q24, the highest ever reported for a first quarter[38] - Burford-only capital provision-direct realized gains were $29 million on $61 million of realizations[42] - Net loss attributable to Burford Capital Limited shareholders was $30 million, impacted by fair value adjustments[42] Liquidity and Leverage - Burford-only liquidity stood at $568 million as of March 31, 2024, including $465 million in cash and cash equivalents and $103 million in marketable securities[28] - Consolidated net debt as a percentage of consolidated tangible assets was 21% in 1Q24[7, 132] - Consolidated indebtedness to net tangible equity ratio was 08x in 1Q24[11, 132] YPF-Related Assets - The fair value of YPF-related assets was $14 billion on a Burford-only basis as of March 31, 2024[51] - A final judgment of $16 billion was won against Argentina, with enforcement actions underway[51, 73]

Financial Data and Key Metrics Changes - The company reported $31 million in revenue for the quarter, with a net income per share of negative $0.14 and tangible book value just shy of $10 per share [7][10][32] - Cash receipts reached the highest level ever reported for the first quarter, with gross realized gains of $45 million, a $6 million increase compared to the previous year [10][29] - The company experienced a loss in a subcase associated with a larger portfolio, which impacted the net realized gains [29] Business Line Data and Key Metrics Changes - The capital provision assets are approximately $3.4 billion, with $1.6 billion in deployed costs, and a fair value gain of $490 million relative to the rest of the portfolio [15][33] - The asset management business continues to perform well, generating $4 million in cash receipts [31] Market Data and Key Metrics Changes - The company noted that deployments are influenced by law firms' billing efficiency, particularly at the end of the calendar year [4] - The company is seeing a divergence in business activity between the first and third quarters compared to the second and fourth quarters, with historically lower activity in the first quarter [11][21] Company Strategy and Development Direction - The company is focused on maintaining a strong liquidity position, currently holding over $500 million in cash and securities, which positions it well for future opportunities [24][33] - The management emphasized the importance of the core portfolio, which continues to generate consistent returns [35] Management's Comments on Operating Environment and Future Outlook - Management expressed that the first quarter is typically less active, but they remain encouraged by the level of interest from corporates in litigation finance [23][40] - The company does not provide specific guidance on future new business levels but remains optimistic about ongoing interest in the market [39][44] Other Important Information - The company is currently managing a significant portfolio and has been generating consistent returns as cases conclude [24][35] - The increase in discount rates across the portfolio represented a $22 million headwind to valuations [17] Q&A Session Summary Question: What level of commitments is expected for the rest of the year? - The company does not provide guidance on future new business but remains encouraged by interest from corporates and anticipates ongoing activity [39][40] Question: How does the company view the unpredictability of large deals? - The management noted that the level of new business is heavily influenced by the occurrence of large transactions, which are difficult to predict due to long sales cycles [45][46]

Burford Capital Limited (BUR) came out with a quarterly loss of $0.14 per share versus the Zacks Consensus Estimate of $0.45. This compares to earnings of $1.17 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -131.11%. A quarter ago, it was expected that this company would post earnings of $0.47 per share when it actually produced earnings of $0.45, delivering a surprise of -4.26%.Over the last four quarters, the company has s ...

NEW YORK, May 8, 2024 /PRNewswire/ -- Burford Capital Limited ("Burford"), the leading global finance and asset management firm focused on law, today announces that it will release its financial results for the three months ended March 31, 2024 ("1Q24") on Monday, May 13, 2024, at 7.00am EDT / 12.00pm BST.Burford will hold a conference call for investors and analysts at 8.00am EDT / 1.00pm BST on Monday, May 13, 2024. The dial-in numbers for the conference call are +1 646 307-1963 (USA) or +1 800 715-9871 ( ...

Experts from top law firms and consultancies weigh in on how legal finance has transformed the business of law NEW YORK, April 18, 2024 /PRNewswire/ -- Burford Capital, the leading global finance and asset management firm focused on law, today releases its latest Burford Quarterly, a journal of legal finance that explores the top trends at the nexus of law and finance. Articles in the Burford Quarterly 2 2024 include: Visualizing 15 years of legal finance Since its founding, Burford has deployed $7.7 billi ...

Shares of Burford Capital Limited (BUR) have gained 4.7% over the past four weeks to close the last trading session at $15.11, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $20.17 indicates a potential upside of 33.5%.The average comprises three short-term price targets ranging from a low of $18 to a high of $22.50, with a standard deviation of $2.25. While the lowest estimate ...

NEW YORK, April 10, 2024 /PRNewswire/ -- Burford Capital Limited ("Burford"), the leading global finance and asset management firm focused on law, today announces that it will host a call for retail shareholders on Thursday, June 20, 2024 at 10.00am EDT / 3.00pm BST, during which Christopher Bogart, Chief Executive Officer, and Jordan Licht, Chief Financial Officer, will discuss Burford's financial results and other disclosures and answer shareholder questions. To gain dedicated access to the call, retail s ...

NEW YORK, April 10, 2024 /PRNewswire/ -- Burford Capital Limited, the leading global finance and asset management firm focused on law, today announces that, in connection with the Burford Capital 2016 Long Term Incentive Plan (the "LTIP"), it has on April 8, 2024 issued 533,066 new ordinary shares, no par value per share ("Shares"), to satisfy the vesting of restricted stock units pursuant to the realization of awards under the LTIP on March 31, 2024. Application will be made for these 533,066 new Shares to ...

Burford management increase holdings to 10.6% NEW YORK, April 3, 2024 /PRNewswire/ -- Burford Capital Limited ("Burford"), the leading global finance and asset management firm focused on law, provides the following notification of various transactions by persons discharging managerial responsibilities (each, a "PDMR"), as well as an update on the aggregate actual and potential ownership of members of Burford's management committee of Burford's ordinary shares of nil par value ("Shares"). Christopher Bogart, ...