With the publication of the results for the first quarter 2024 by the American group Encore Capital specialized in the debt purchase and listed on the Nasdaq, the American market is currently confirmed to be much more favorable both from the point of view of available portfolios and average purchase prices compared to the European market. Especially on this last aspect, the average market purchase prices have fallen to adapt to the increases at the interest rate and the cost of funding.
Coming to the main data of the 1st quarter, all with a positive sign compared to the same period in 2023, in particular there was an increase in cash recoveries which went from 462,4 million dollars in 2023 to 510,8 million dollars in 2024. Revenues increased by 5% 328,4 million dollars against a containment of operating costs which increased by one percentage point to 244,8 million dollars.
The ERC (Estimated Remaining Collection) rises to 8.3 billion dollars.
The group, led by CEO and President Ashish Masih, confirms that also in this quarter investments were mainly focused on the US market and with target NPL portfolios relating to credit card exposures.
Managing Director of Credit Village, Roberto Sergio has more than 20 years of experience in NPL and distressed debt in the Italian and International market. He is the editor of the NPL column in Credit Village Magazine and the director of Credit Village's National NPL Market Observatory.