Cash recoveries of PLN 600m and new investments on five markets
In the first three quarters of 2015, recoveries from debt portfolios purchased by KRUK reached PLN 605m, up by 14% year on year. In Q3 alone, they amounted to PLN 206m.
“With only Q4 before us, we are on the final stretch now, and we are starting it with a major advantage - after the first nine months we have generated 85% of the previous year’s full-year profit. What makes us particularly happy is that repayments under settlement agreements continue to represent a majority of that figure. This proves that our clients across all markets where we operate appreciate our unique settlement-focused strategy. It helps them sort things out, while creditors get their money back,” said Piotr Krupa, President of KRUK S.A.
The first three quarters of the year were a busy period also in terms of investment activity. Companies of the KRUK Group purchased 48 debt portfolios with a nominal value of PLN 2.9bn for PLN291m. In Q3 alone, KRUK invested nearly PLN 71m for portfolios with a nominal value of PLN 607m on all its markets, including Germany.
“Over the last three months, we have made investments in all the five markets where we carry out our business, namely in Poland, Romania, the Czech Republic, Slovakia and Germany. We are particularly pleased with the investments in Germany, where we purchased debts with a nominal value of over PLN 18m. Importantly, because we had an operating structure ready in place, the investments are already delivering returns. Our employees are reaching clients and signing new settlement agreements. What is more, our appetite for further expansion in Western Europe is growing,” Piotr Krupa said.
During the last four years alone, the KRUK Group invested PLN 2.1bn in debt portfolios. In its strategy KRUK plans to enter other markets of Western Europe, Italy and Spain being its first choice. The KRUK Group will release its full Q3 2015 results in November.