South Eastern Europe (SEE), including 🇧🇬 Bulgaria, is playing an increasing role for business development of Norway based B2Holding, the leading debt management company in Europe and owner of Bulgarian Debt Collection Agency (DCA), shows the holding’s report for the second quarter of 2021.
The region, which includes 🇧🇬 Bulgaria, 🇷🇴Romania, 🇬🇷Greece and Cyprus, contributed about 15% of total revenues of the Norwegian holding in April-June 2021, which is almost twice as much as the same period of 2020. B2Holding’s revenue from SEE markets doubled to EUR11.78 mln in the second quarter. For comparison, the revenue growth within the Group is 16% on an annual basis to EUR79.3 mln.
“Northern Europe and Poland have been steady performers as usual, and the positive development we saw in other regions in the first quarter continued in the second quarter. It pleases me to see that several countries in both Central and South Eastern Europe have shown improved performance along with the gradual re-opening of the countries in these regions”, commented Erik Just Johnsen, chief executive officer of B2Holding.
The Group realized EUR 3.12 mln operating profit in SEE for Q2, compared to loss for the same time of 2020. The difference between financial performance in the two periods is a result of COVID-19 pandemic, which forced the closure of the economies of almost all European countries and reflected deeply in the financial sector.
Gross collection from purchased loan portfolios in the whole Group performs well for the period, with collection from secured portfolios above estimates in several regions, among which South Eastern Europe. Gross collection in the region increases with 44% compared to Q2 2020, the change in secured portfolios marks an increase with 82%.
B2Holding invested EUR21.4 mln in new portfolios in Q2. Almost half of the Group’s Q2 investments were deployed in Poland. The remainder were mainly in the Nordic markets, Western Europe and SEE. According to the management of B2Holding, the gradual expiration of the moratoria on loan payments stimulates the market of overdue debt. They expected more activity at the end of 2021 and in 2022.
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