KRUK in 2017: PLN 1.4 billion in recoveries and almost PLN 1 billion investments across seven European countries

Recoveries from KRUK’s purchased debt portfolios in 2017 amounted to PLN 1.4 billion, up by 38 per cent on the previous year, representing the Group's all-time record. At the same time, KRUK invested PLN 976 million in new debt portfolios across seven countries.

The last quarter of the year alone saw PLN 375 million in recoveries from purchased debt portfolios, a year-on-year increase of 29 per cent.

“We are closing a record year in terms of recoveries. My congratulations and thanks go to thousands of our clients across seven European countries, who benefited from my team’s helping hand and embarked on a gruelling path to get back on a financial even keel. Many of them have paid off the last of their debt this year and are planning their future with its load off their minds. I'm very optimistic about our other clients, too. KRUK’s amicable debt collection strategy, whereby repayment is spread into manageable instalments, helps our clients sort out their finances, with further support from the favourable macroeconomic climate and improving conditions on the labour market across Europe,” said Piotr Krupa, President of the Management Board of KRUK S.A.

In 2017, the KRUK Group invested PLN 976 million in new debt portfolios with an aggregate nominal value of PLN 16.4 billion. This was a second consecutive year when investments amounted to around PLN 1 billion. KRUK was active on all its seven markets. In the fourth quarter alone, it purchased debt portfolios with a nominal value of PLN 6.4 billion for PLN 210 million.

“The last 12 months have been marked by further portfolio diversification. Less than 30 per cent of our investments were made in Poland, 25 per cent in Romania, and 40 per cent in our new Western European markets, primarily Italy and Spain. The scale of KRUK’s investments and the diversity of its portfolio support an optimistic outlook on our future recoveries and business development. While KRUK’s mature operating processes in Central Europe translate into a growing stream of recoveries from current and new investments, we are also working hard to develop an operational engine in Western Europe,” added Piotr Krupa.

The KRUK Group estimates that its net profit for 2017 will amount to PLN 300 million, a year-on-year improvement of 21 per cent. The figure is a preliminary estimate subject to revision. The final results for 2017 will be released by the KRUK Group on March 4th.

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