The former Virgin Money CEO is one of Britain's most prominent businesswomen Investor Contact: Najim Mostamand, CFA Vice President, Investor Relations (757) 431-7913 [email protected] In recognition of Gadhia's extraordinary achievements and service, the U.K. government awarded her the titles of Commander of the Most Excellent Order of the British Empire (CBE) in the 2014 New Year's Honours list; Dame in the 2019 Honours list; and Commander of the Royal Victorian Order (CVO) in the 2022 Queen's Birthday Pla ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 PRA Group, Inc. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) Delaware 75-3078675 (I.R.S. Employer Identification No.) 120 Corporate Boulevard Norfolk, Virginia 23502 (Address of principal executive offices) FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended March 31, 2024 ☐ Transition R ...

PRA Group Q1 2024 Conference Call Presentation Forward-Looking Statements You are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this presentation and are qualified in their entirety by these cautionary statements. 1 Nasdaq: PRAA Drive the Turnaround Stabilize Performance 2023 2024 Roadmap to Enhanced Profitability Value Creation from Higher Cash Collections While Reducing Marginal Costs Increase ERC and portfolio returns Deepening seller relationship ...

Financial Data and Key Metrics - Total revenues for Q1 2024 were $256 million, with portfolio revenue contributing $254 million, including $202 million in portfolio income and $52 million in changes in expected recoveries [36] - Cash collections for the quarter were $450 million, up 9% YoY and 7% on a constant currency basis, driven by strong performance in the U S and Brazil [51] - ERC (Expected Recoverable Collections) at March 31 was $6 5 billion, up 15% YoY, with $1 6 billion expected to be collected in the next 12 months [62] - Net income attributable to PRA was $3 million or $0 09 in diluted earnings per share [50] Business Line Performance - Americas cash collections increased 11% YoY (10% on a constant currency basis), driven by higher collections in the U S and Brazil [51] - U S cash collections increased 9% YoY, with U S Core cash collections up 23% sequentially in Q1 2024, reflecting higher portfolio purchases and cash-generating initiatives [52] - European cash collections increased 6% YoY (3% on a constant currency basis) [52] - Portfolio income grew YoY for the third consecutive quarter, driven by higher recent purchases and improved returns, particularly in the U S [45] Market Performance - In the Americas, the company invested $197 million in Q1 2024, up 48% YoY, with $187 million deployed in the U S, up 71% YoY, reflecting the second-highest Q1 U S investment level in company history [34] - In Europe, the company invested $49 million in Q1 2024, influenced by low market volumes, but expects a significant uptick in Q2 purchases [35][44] - The U S Core Vintage pricing improved to 2 11 times at the end of Q1 2024, compared to 1 97 times for the full year 2023 [34] Strategic Direction and Industry Competition - The company's turnaround strategy is supported by three pillars: optimizing investments, driving operational execution, and managing expenses [16] - The U S market continues to see strong credit normalization, with credit card balances exceeding $1 trillion and delinquency and charge-off rates rising to 3 1% and 4 2%, respectively [17] - The company is strategically deploying capital in markets with the most attractive returns, benefiting from repriced forward flows and improved pricing [18] - In Europe, the company maintains a disciplined underwriting and purchasing approach, with a stable management team and a long track record of healthy investments [43] Management Commentary on Operating Environment and Future Outlook - Management expressed confidence in the U S market, citing strong cash initiatives and improved collections from older vintages [2][5] - The company expects continued growth in U S portfolio purchases due to increasing supply and improved pricing [29] - In Europe, the company anticipates stronger investment volumes in Q2 2024, aligning with long-term trends [30] - Management reiterated financial and operational targets for 2024, including double-digit cash collection growth, modest expense growth, and a return on average tangible equity between 6% and 8% [65] Other Important Information - The company has $3 1 billion in total committed capital under its credit facilities, with margins ranging from 235 to 380 basis points over benchmark rates [56] - Operating expenses for Q1 2024 were $189 million, including $6 million in outsized corporate legal and consulting expenses [57] - The company's leverage ratio was 2 83 times debt-to-adjusted EBITDA as of March 31, within the target range of 2 to 3 times [63] Q&A Session Summary Question: Non-controlling interest expense in Brazil - The company has a joint venture structure in Brazil, with strong performance driven by a focus on the auto market and disciplined investments [69][70] - Management is evaluating opportunities for consolidation but continues to work with partners [69] Question: Europe market activity and competition - The company expects Q2 2024 purchases in Europe to be around $100-$110 million, reflecting a tangible pickup in supply [75][76] - Competition in Europe remains aggressive, with no significant pullback from competitors despite market challenges [81] Question: Wage garnishment and regulatory risks - Wage garnishment is a standard, well-established element of the U S legal process, with no regulatory concerns [95] Question: Cash efficiency target - The company aims for a 60% cash efficiency target for 2024, with potential improvements beyond that in 2025 [92][96] Question: Legal expenses in Europe - Higher legal expenses in Q1 2024 were due to a catch-up in court activity, and the company does not expect this level to be the new baseline [117]

3. A reconciliation of net income, the most directly comparable financial measure calculated and reported in accordance with GAAP, to Adjusted EBITDA can be found at the end of this press release. • Total portfolio purchases of $245.8 million. • Total cash collections of $449.5 million. • Estimated remaining collections (ERC) of $6.5 billion. 1 • Cash efficiency ratio of 58.0%. 2 • Diluted earnings per share of $0.09. • Debt to Adjusted EBITDA for the 12 months ended March 31, 2024 was 2.83x. 3 • Total avai ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended December 31, 2023 ☐ Transition Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from ________ to ________ Commission File Number: 000-50058 PRA Group, Inc. (Exact name of registrant as specified in its charter) Delaware 75-3078675 (I.R.S. Employer Identification ...

Financial Data and Key Metrics Changes - Total revenues for Q4 2023 were $221 million, with full-year revenues at $803 million, reflecting a year-over-year increase in portfolio income [18][25] - Net loss attributable to PRA was $9 million for Q4 2023, translating to a diluted loss per share of $0.22, while the full-year net loss was $83 million, or $2.13 per share [25] - Cash efficiency for Q4 2023 was reported at 57.3%, with operating expenses increasing by 8% year-over-year to $176 million [21][22] Business Line Data and Key Metrics Changes - Portfolio purchases in Q4 2023 totaled $285 million, consistent with the prior year, while full-year purchases reached $1.2 billion, up 36% year-over-year [15] - In the Americas, portfolio investments for Q4 were $162 million, a 27% increase year-over-year, with U.S. investments at $141 million, up 61% [16] - European investments were $123 million for Q4, lower than the previous year due to fewer large transactions [17] Market Data and Key Metrics Changes - ERC (Expected Recoveries) at December 31, 2023, was $6.4 billion, up 12% from $5.7 billion a year prior [30] - Cash collections for Q4 2023 were $410 million, a 5% increase year-over-year, with U.S. collections decreasing by 5% due to lower yields from older vintages [25][26] - European cash collections increased by 5%, with a stable customer payment proportion despite pressures from the cost of living [28][27] Company Strategy and Development Direction - The company is focused on stabilizing performance and driving a turnaround, particularly in U.S. operations, with a new leadership team emphasizing operational excellence and shareholder alignment [9][36] - The strategy includes three pillars: ERC and pricing, operational effectiveness, and expense management, aimed at enhancing profitability [37][54] - The company anticipates strong portfolio investment levels in 2024, driven by increased U.S. portfolio supply and improved pricing [54][39] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in the first quarter of 2023 but noted significant progress in stabilizing performance throughout the year [9][12] - The outlook for 2024 includes expectations for double-digit growth in cash collections, driven by higher portfolio purchases and improved pricing [55][56] - Management is actively monitoring consumer stress and is prepared to adjust strategies accordingly [29] Other Important Information - The company has a strong capital structure with a debt-to-adjusted EBITDA leverage ratio of 2.89x and $3.2 billion in total committed capital available [32][33] - The company is targeting a return on average tangible equity of 6% to 8% for the full year [56] Q&A Session Summary Question: Long-term call center model and offshore collections - Management indicated it is too early to determine the ultimate balance between U.S. and offshore collections, with ongoing pilots being monitored for performance metrics [62][63] Question: Outlook for U.S. purchase values and seller behavior - Management reported a stable selling environment in the U.S., expecting strong buying and pricing to hold up [66][67] Question: Stockholder equity and return on tangible equity - Management clarified that the return on tangible equity guidance is on an after-tax basis and reflects net income attributable to PRA [73][74] Question: Growth expectations for portfolio income - Management expects portfolio income to grow but at a slightly lower rate than cash collections due to the impact of lower yielding vintages [76][77] Question: Clarification on cash collections and expenses - Management confirmed that cash collections are expected to exceed $1.8 billion, with expenses growing modestly compared to cash collections [81][84] Question: Changes in European market behavior - Management noted no significant change in seller behavior in Europe, with fewer spot transactions affecting the market [90][91]

Enhanced vendor management Dynamic business prioritization Rebalance Resources to Leverage Lower-Cost Locations Expanded relationships with existing third parties Onboarding third parties to support strategic initiatives Offshoring multiple processes to lower-cost locations Launched offshore call center (Q4 2023), with significant expansion planned Leveraging third-party vendors Cost elimination/ restructuring Productivity enhancements Establishing flexibility Lower marginal costs U.S. Portfolio Purchases U ...

Financial Data and Key Metrics - Portfolio purchases in Q3 2023 were $311 million, up 70% YoY, driven by increased forward-flow volumes and spot transactions [40] - Americas investments in Q3 2023 were $232 million, the highest quarterly level since 2017, with US market investment levels increasing for the fourth consecutive quarter [41] - Net interest expense for Q3 2023 was $49 million, up $17 million YoY, primarily due to higher debt balances and increased interest rates [45] - Cash collections for Q3 2023 were $420 million, a 2% increase YoY, with higher collections in Brazil and Europe partially offset by lower collections in the US [45] - ERC (Expected Recoverable Collections) at September 30, 2023, was $6 billion, up 12% YoY, with US ERC increasing by $135 million sequentially [54] Business Line Performance - Americas core vintage purchase price multiple expanded from 1.75x at the end of Q1 2023 to 1.9x by the end of Q3 2023, reflecting improved pricing and returns [42] - European investments in Q3 2023 were $79 million, with stable forward-flow volumes and competitive market conditions [44] - Legal collection costs in Q3 2023 were $21 million, down $3 million YoY, with expectations for Q4 2023 to be in the low to mid $20 million range [52] Market Performance - US credit card charge-off rates are trending higher, reaching 3.2%, indicating continued credit normalization from pandemic-era lows [43] - In Europe, cost-of-living pressures have impacted some markets, leading to fewer large one-time payments, but the proportion of paying customers remains stable [46] - The company expects to collect $1.5 billion of its ERC balance over the next 12 months, with $841 million needed globally to replace runoff and maintain current ERC levels [54] Strategic Direction and Industry Competition - The company is focusing on portfolio supply, pricing, operational effectiveness, and efficiency to drive improved financial performance in 2024 and beyond [32][38] - Operational initiatives include enhancing legal collection activities, leveraging third-party resources, and improving call center productivity [35][36] - The company is exploring offshoring and outsourcing opportunities to reduce costs, with pilot programs underway and expected to expand over the next 12-18 months [37][63] Management Commentary on Operating Environment and Future Outlook - Management is encouraged by the US market, with investment levels and pricing increasing, and expects this to positively impact portfolio income [41] - The company anticipates continued credit normalization, with increased supply and improved pricing driving future cash collections and revenues [34][38] - Management expects the cash efficiency ratio to improve to the low 60s by the end of 2024, driven by higher pricing and efficiency initiatives [38][65] Other Important Information - The company has $3.1 billion in committed capital under its credit facilities, with $1.1 billion of additional availability subject to debt covenants and advance rates [48] - Debt-to-adjusted EBITDA leverage ratio was 2.8x at September 30, 2023, with expectations for leverage to increase slightly as capital is deployed at favorable returns [54] Q&A Session Summary Question: Timeline for improving cash efficiency ratio to the low 60s - The company expects to achieve the low 60s cash efficiency ratio by the end of 2024, driven by higher pricing and efficiency initiatives [1][65] Question: Long-term platform underinvestment and potential rebuild - The company is reviewing its systems architecture and plans to prioritize upgrades over the next 12 months, with a focus on maintaining momentum in operational initiatives [68][69] Question: Consumer credit normalization and its impact on collections - The company sees limited evidence of consumer pressure in the US, with cash collections expected to continue growing as credit normalizes further [14][46] Question: Outsourcing and offshoring strategies - The company is piloting offshoring programs and leveraging third-party resources in the US, with plans to expand these initiatives over the next 6-9 months [63][84] Question: Portfolio purchase outlook and yield improvement - The company expects to see improved portfolio yields over the next 24 months, driven by higher purchase multiples and operational initiatives [60][62] Question: European market performance compared to competitors - The company's European business has consistently performed well, with stable payer rates despite cost-of-living pressures in some markets [80][81] Question: Status of loan covenants and debt availability - The company has $1.1 billion of additional availability under its credit facilities, with no changes to loan covenants following the Q1 2023 event [85][86] Question: Portfolio mix and private label vs. general purpose credit cards - Private label as a percentage of portfolio purchases has declined YoY, with no material change in average balances or collectability [87]

PRA Group Q3 2023 Conference Call Presentation Forward-Looking Statements You are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this presentation and are qualified in their entirety by these cautionary statements. 1 Nasdaq: PRAA | --- | --- | --- | |-----------------------------|----------------------------|------------| | | | | | Portfolio Supply & Pricing | Operational Effectiveness | Efficiency | Stable Investments in Europe with Growing Supply in ...