PRA Group (PRA Group) Operating Income : $8.0 Mil (TTM As of Dec. 2023)

View and export this data going back to 2002. Start your Free Trial

What is PRA Group Operating Income?

PRA Group's Operating Income for the three months ended in Dec. 2023 was $15.0 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 was $8.0 Mil.

Warning Sign:

PRA Group Inc has recorded a loss in operating income at least once over the past 3 years.

Operating Margin % is calculated as Operating Income divided by its Revenue. PRA Group's Operating Income for the three months ended in Dec. 2023 was $15.0 Mil. PRA Group's Revenue for the three months ended in Dec. 2023 was $223.3 Mil. Therefore, PRA Group's Operating Margin % for the quarter that ended in Dec. 2023 was 6.73%.

Warning Sign:

PRA Group Inc operating margin has been in a 5-year decline. The average rate of decline per year is -36%.

PRA Group's 5-Year average Growth Rate for Operating Margin % was -36.00% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. PRA Group's annualized ROC % for the quarter that ended in Dec. 2023 was 1.26%. PRA Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 was 1.34%.

PRA Group Operating Income Historical Data

The historical data trend for PRA Group's Operating Income can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

PRA Group Operating Income Chart

PRA Group Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Operating Income

Get a 7-Day Free Trial

249.93

207.99

250.85

216.92

7.99

PRA Group Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Operating Income	Get a 7-Day Free Trial															39.77	-51.39	25.10	19.26	15.02

PRA Group Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $8.0 Mil.

PRA Group (NAS:PRAA) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

PRA Group's annualized ROC % for the quarter that ended in Dec. 2023 is calculated as:

	ROC % (Q: Dec. 2023 )
=	NOPAT	/	Average Invested Capital
=	Operating Income * ( 1 - Tax Rate % )	/	( (Invested Capital (Q: Sep. 2023 )	+	Invested Capital (Q: Dec. 2023 ))	/ count )
=	60.08 * ( 1 - 12.22% )	/	( (4096.307	+	4256.696)	/ 2 )
=	52.738224	/	4176.5015
=	1.26 %

where

	Invested Capital		(Q: Sep. 2023 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	4329.975	-	128.496	-	( 105.172	-	max(0, 1585.482	-	3604.671	+	105.172	))
=	4096.307

	Invested Capital		(Q: Dec. 2023 )
=	Total Assets	-	Accounts Payable & Accrued Expense	-	Excess Cash
=	Total Assets	-	Accounts Payable & Accrued Expense	-	( Cash, Cash Equivalents, Marketable Securities	-	max(0, Total Current Liabilities	-	Total Current Assets	+	Cash, Cash Equivalents, Marketable Securities	))
=	4525.354	-	156.13	-	( 112.528	-	max(0, 1709.434	-	3796.839	+	112.528	))
=	4256.696

Note: The Operating Income data used here is four times the quarterly (Dec. 2023) data.

2. Joel Greenblatt's definition of Return on Capital:

PRA Group's annualized ROC (Joel Greenblatt) % for the quarter that ended in Dec. 2023 is calculated as:

	ROC (Joel Greenblatt) %		(Q: Dec. 2023 )
=	EBIT	/	Average of (Net fixed Assets	+	Net Working Capital)
=	EBIT	/	Average of (Property, Plant and Equipment	+	Net Working Capital)
			Q: Sep. 2023		Q: Dec. 2023
=	EBIT	/	( ( (Property, Plant and Equipment + Net Working Capital)	+	(Property, Plant and Equipment + Net Working Capital) )	/	count )
=	45.524	/	( ( (85.718 + max(3231.803, 0))	+	(82.327 + max(3384.879, 0)) )	/	2 )
=	45.524	/	( ( 3317.521	+	3467.206 )	/	2 )
=	45.524	/	3392.3635
=	1.34 %

where Working Capital is:

	Working Capital		(Q: Sep. 2023 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(3460.804	+	0	+	0)	-	(128.496	+	0	+	100.505)
=	3231.803

	Working Capital		(Q: Dec. 2023 )
=	(Accounts Receivable	+	Total Inventories	+	Other Current Assets)	-	(Accounts Payable & Accrued Expense	+	Defer. Rev.	+	Other Current Liabilities)
=	(3656.598	+	0	+	0)	-	(156.13	+	0	+	115.589)
=	3384.879

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Dec. 2023) EBIT data.

3. Operating Income is also linked to Operating Margin %:

PRA Group's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as:

Operating Margin %	=	Operating Income (Q: Dec. 2023 )	/	Revenue (Q: Dec. 2023 )
	=	15.02	/	223.252
	=	6.73 %

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.

Be Aware

Compared with a company's EBITDA margin, Operating Margin can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin may decline. Often the Operating Margin declines well before the company's revenue or even profit decline. Therefore, Operating Margin is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia's Operating Margin had already been in decline since 2002, although its earnings per share were still rising. Investors who paid attention to Operating Margin would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.

PRA Group Operating Income Related Terms

Thank you for viewing the detailed overview of PRA Group's Operating Income provided by GuruFocus.com. Please click on the following links to see related term pages.

PRA Group (PRA Group) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Credit Services » PRA Group Inc (NAS:PRAA) » Definitions » Operating Income

Comparable Companies

Traded in Other Exchanges

POV1:Germany

Address

120 Corporate Boulevard, Norfolk, VA, USA, 23502

Website

https://www.pragroup.com

PRA Group Inc is a leader in acquiring and collecting nonperforming loans. The company returns capital to banks and other creditors to help expand financial services for consumers in the Americas, Europe, and Australia. With thousands of employees worldwide, PRA Group collaborate with customers to help them resolve their debt.

Executives

Rakesh Sehgal	officer: Chief Financial Officer	150 CORPORATE BLVD, NORFOLK VA 23502
Steven D Fredrickson	director, officer: President, CEO, Chairman	120 CORPORATE BLVD STE 100, NORFOLK VA 23502
Marjorie Mary Connelly	director	2580 PALMER DR, KESWICK VA 22947
Vikram A Atal	director	C/O THE STUDENT LOAN CORP. LEGAL DEPT., 750 WASHINGTON BLVD. 9TH FLOOR, STAMFORD CT 06901
Richard Owen James	officer: Global Investments Officer	150 CORPORATE BLVD, NORFOLK VA 23502
Steven C Roberts	officer: Chief Global Strategy Bus Dev	120 CORPORATE BLVD, NORFOLK VA 23502
Latisha Owens Tarrant	officer: General Counsel & CHRO	150 CORPORATE BLVD, NORFOLK VA 23502
Kevin P Stevenson	officer: EVP, CFO, Treasurer, Asst Secy	120 CORPORATE BLVD STE 100, NORFOLK VA 23502
Peter M Graham	officer: EVP, Chief Financial Officer	150 CORPORATE BLVD, NORFOLK VA 23502
John H Fain	director	REFLECTIONS II, THIRD FLOOR 200 GOLDEN OAK COURT, VIRGINIA BEACH VA 23452
Laura White	officer: Chief Compliance Officer	120 CORPORATE BLVD, NORFOLK VA 23502
Christopher B Graves	officer: EVP, Core Acquisitions	150 CORPORATE BOULEVARD, NORFOLK VA 23502
Christopher D. Lagow	officer: SVP- General Counsel	150 CORPORATE BLVD, NORFOLK VA 23502
Peggy P. Turner	director	6565 HEADQUARTERS DRIVE, PLANO TX 75024
Martin Sjolund	officer: Dir Europe Strategy & Bus Dev	3 EDDISCOMBE RD, LONDON X0 SW6 4TZ