Press Release - Financial Results for six months ending 30 June 2020

For immediate release: Thursday 6^th August

Cabot Credit Management Releases Earnings for Second Quarter of 2020

Financial Results for six months ending 30 June 2020

Cabot Credit Management (Cabot), a market leader in European credit management services, today announced the financial results for six months ending 30 June 2020.

 *Estimated Remaining Collections

Highlights

• Carefully managing the business to protect our employees, our customers and our investors
• Delivered Adjusted EBITDA of £342m over last twelve months
• Adjusted EBITDA margin in Q2 2020 of 62.6%
• Maintaining positive cash flow generation and strong balance sheet

Craig Buick, Chief Executive Officer, Cabot Credit Management, said:

“I am incredibly proud of the way our employees have adapted to this new way of working to ensure they have been there for our customers during this unprecedented period. 

Our second quarter results demonstrate the strength of our business, with positive free cash flows and our Adjusted EBITDA margin maintained at 62.6% in the quarter.

Our balance sheet remains strong as a result of our recent strategy, with significant covenant headroom, available liquidity of £254.6m, no debt maturities before late 2023 and leverage at 3.9x.   We remain committed to delivering on our leverage target of 3.0-3.5x, over the medium term.

We continue to monitor the market conditions evolving around us and will continue to adapt our business as required in order to deliver long term successful outcomes for all of our stakeholders.” 

Ends

At 14:00 hours BST on Thursday 6^th August 2020, Cabot Credit Management will hold an audio conference presentation on the company’s performance. For further details, please visit the Cabot investor website at www.cabotcm.com/investors.

For further information, please contact:

Becky Cimelli
PR Manager, Cabot Credit Management
Tel: +44 (0) 7780 495082
Email: [email protected]
Website: www.cabotcm.com

About Cabot Credit Management

Cabot Credit Management (CCM) is one of the largest credit management services providers in Europe and a market leader in the UK and Ireland. Headquartered in London, CCM’s mission is to support customers on the road to financial recovery.  CCM provides a range of credit management services across a broad client base that includes some of Europe’s largest credit providers, with debt servicing offerings such as early stage collections, business process outsourcing, contingent collections, trace services and litigation. CCM is an Investors in People Gold accredited organisation and currently employs over 3,000 people across its 18 offices in the UK and mainland Europe.

Encore Capital Group, Inc. CCM’s parent company, is an international specialty finance company that provides debt recovery solutions and other related services across a broad range of financial assets. Through its subsidiaries around the globe, Encore purchases or services portfolios of receivables from major banks, credit unions and utility providers. Headquartered in San Diego, California, Encore is a publicly traded NASDAQ Global Select company (ticker symbol: ECPG) and a component stock of the Russell 2000, the S&P Small Cap 600 and the Wilshire 4500. More information about Encore can be found at http://www.encorecapital.com. More information about CCM can be found at https://www.cabotcm.com.