B2Holding, owner of Debt Collection Agency (DCA), continued to show high growth with record high gross cash collection in the fourth quarter. The Group entered into new strategic joint venture corporations to build asset under management and leverage on the scalable collection platforms.

B2Holding is continuously working to improve operations, and cost to collect was down with 4% points in the past year to 25%, with potential for further reduction going forward. The group has record all-time high gross cash collection from purchased portfolios, an increase of 62% to EUR 120 million. Total revenues increased by 21% to EUR 77.4 million. Operating profit increased by 8% to EUR 33.5 million.

The fourth quarter represented another strong quarter for the Group with all time high gross cash collections from purchased loan portfolios and portfolio purchases. Portfolios were mainly purchased in Northern Europe, and 74% of the purchases in the quarter were unsecured portfolios. During the fourth quarter the Group made its first portfolio purchases in both Spain and Portugal. Cost to collect was reduced from 30% in Q4 2017 to 24% in Q4 2018 due to improved efficiency in operations, volume effect in collection and economics of scale.

Group EBIT for the full year 2018 excluding Central functions shows that 24% is originated from Northern Europe, 35% from Central Europe, 15% from Poland, 9% from Western Europe and 17% from South Eastern Europe.

The Group continue to focus on reducing the cost to collect and increase operational efficiency. Thirty-one best practice programs are running with good results, and the Group expects to continue to show improved efficiency and cost to collect going forward.

The Group continue to focus on reducing the cost to collect and increase operational efficiency. Thirty-one best practice programs are running with good results, and the Group expects to continue to show improved efficiency and cost to collect going forward.

[infogram id=”copy-pechalba-vzemaniya-q4-1h984w1ry9xd2p3?live”]