Current Report No. 17/2020: Expenditure on and recoveries from debt portfolios and the impact of the epidemic on the KRUK Group's results
In line with the adopted disclosure policy, KRUK S.A. (KRUK, the Company) discloses the amount of expenditure on and recoveries from the management of debt portfolios purchased by the KRUK Group.
Q2 2020
The nominal value of debt purchased by the Group
Q2 2020 Q2 2019 change
PLN 187m PLN 1.897m -90%
The expenditure on debt portfolios purchased by the Group
Q2 2020 Q2 2019 change
PLN 23m PLN 129m -82%
The recoveries from the management of purchased portfolios purchased by the Group
Q2 2020 Q2 2019 change
PLN 417m PLN 447m -7%
IH 2020
The nominal value of debt purchased by the Group
IH 2020 IH 2019 change
PLN 692m PLN 3.288m -79%
The expenditure on debt portfolios purchased by the Group
IH 2020 IH 2019 change
PLN 80m PLN 309m -74%
The recoveries from the management of purchased portfolios purchased by the Group
IH 2020 IH 2019 change
PLN 894m PLN 874m +2%
The Company announces that in the first half of 2020 each market on which the KRUK Group operates was affected by the COVID-19 pandemic and the resulting lockdown restrictions, which had an impact on recoveries. Given the pandemic and its consequences, the KRUK SA Group also reduced new investments in H1 2020. The KRUK Group is taking steps to minimise the adverse impact of COVID-19 on its assets and financial performance, and to prepare the Group to resume full investment and operating activity once the pandemic subsides.
The Group’s finances and liquidity position as at the end of the second quarter of 2020 and the date of issue of this report remained stable. The KRUK Group enjoys a strong equity position (PLN 1953m as at March 31st 2020) and low debt (2.1 in a net debt/cash EBITDA ratio as at March 31st 2020). Its cash and cash equivalents at June 30th 2020 were PLN 248m, an increase of PLN 18m compared with the end of March 2020. The undrawn lines of credit available to the Group as at June 30th 2020 totaled PLN 910m, up by PLN 198m relative to the end of March 2020.
The finally determined financial results for IH 2020 will be disclosed in the separate and consolidated half year report of the KRUK Group for IH 2020, scheduled for issue on August 27th 2020.