Filing Flows › Encore Capital Group (ECPG) › Q1 2025
Encore Capital Group (ECPG) Q1 2025 earnings results (first quarter 2025)
10-Q filed May 7, 2025
Encore Capital Group (ECPG) reported revenue of $393M for the first quarter 2025 (Q1 2025), +20% from a year earlier and +48% from the quarter before. Operating margin was 32.9%, net earnings $46.8M (11.9% of revenue).
Encore Capital Group, Q1 2025: revenue $393M (+20% year over year), operating margin 32.9%, net earnings $46.8M, operating cash flow $45.3M. The chart follows the revenue to costs, profit and cash.
| Q1 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $393M | +48% | +20% |
| Operating profit | $129M | — | +55% |
| Net earnings | $46.8M | — | +101% |
| Operating cash flow | $45.3M | +92% | -11% |
| Free cash flow | $38.3M | +155% | -13% |
What changed
Revenue was $392.8M in Q1 2025, up 20% year over year and up 48% from the previous quarter.
Operating profit was $129.3M, a 32.9% margin (up 7.5 points year over year). Of the extra revenue versus a year earlier, 71% reached operating profit, above the 25% margin then. Total costs grew 8% against revenue growth of 20%. The fastest-growing cost line was General & admin (+13%). Net earnings were $46.8M, up 101% year over year. The effective tax rate was 22.6%.
Operating cash flow was $45.3M (down 11% year over year), 97% of net earnings. Non-cash charges added back $7.3M of depreciation and amortization and $3.4M of share-based compensation. Working capital and other items used $12.3M. Capital expenditures of $7.0M left free cash flow of $38.3M.
Questions
What was Encore Capital Group's revenue in the first quarter 2025?
Encore Capital Group (ECPG) reported revenue of $393M for the first quarter 2025 (Q1 2025), +20% from a year earlier and +48% from the quarter before.
Was Encore Capital Group profitable in the first quarter 2025?
Operating profit was $129M (32.9% of revenue) and net earnings $46.8M.