Today, the Management Board of KRUK S.A. has published the 2021 financial results, which are in line with preliminary estimates. The Group posted a net profit of PLN 695m, a new all-time record for the Group. Cash EBITDA was PLN 1,548m, a 25% increase on 2020. Recoveries from purchased debt portfolios stood at PLN 2,216m (up 21% year on year), with investments in new debt portfolios at PLN 1,738m (up 281% year on year). All geographical segments made a positive contribution to the Group’s 2021 results.
‘No doubt, 2021 was our year – KRUK delivered the highest net profit in its history, record recoveries from purchased portfolios, record investments in new portfolios, and the highest EBITDA and cash EBITDA figures to date. The scale of developments taking place at KRUK is best demonstrated by the fact that it more than doubled the previous high for net profit reported in 2018. This is clearly an effect of KRUK’s solid foundations and our continued effort to improve the efficiency of our operational processes. The digital transformation we are going through and, last but not least, our valuation excellence and very good access to finance also played a role,’ said Piotr Krupa, CEO and President of KRUK S.A. ‘2021 was also a breakthrough year for another important reason – all our geographical markets made positive contributions to earnings. I am proud of KRUK’s achievements so far, and I am optimistic about the future. Today, we are a market leader in Poland and a top industry player in wider Europe.
At the end of 2021, the Group held assets of PLN 5.9bn, a 27% increase year on year. The carrying amount of the Group’s investments in debt portfolios was PLN 5.1bn and accounted for 86% of its assets. Equity rose 27% on the end of 2020 to PLN 2.6bn at the end of 2021.
In 2021, KRUK implemented the Dividend Policy. In line with the Policy, on March 4th 2022 KRUK’s Management Board passed a resolution recommending a dividend of PLN 13 per share for 2021.
‘We have over 20 years of experience in credit management markets. We have come a long way, and I know we will grow stronger. We unlocked a new scale of business last year, and KRUK is now a new, bigger and more profitable KRUK. We constantly work to drive further growth, and the 2021 results have allowed us, in line with the Dividend Policy in place, to recommend a dividend of approximately PLN 247m for 2021. We have been sharing profits with shareholders for the past eight years, with PLN 589m paid out as dividends so far. This year, too, particularly given the record results, we want to show our appreciation for the trust our shareholders place in us, especially in these uncertain times’, continued Piotr Krupa. ‘While keeping a strong focus on our business and new investments, we cannot turn a blind eye to the tragedy that is unfolding before us. And even though these events do not directly affect KRUK, in order to deliver on its commitment to sustainability and corporate social responsibility, the KRUK Group has donated a total of EUR 320 thousand to help Ukrainian refugees. Like our employees, who readily engage in social initiatives, and in addition to its previous financial education and other projects, KRUK, too, wants to provide help to those who now need it the most,’ concluded Mr Krupa.