Thursday, November 7, 2019

Financial Results for nine months ending 30 September 2019

For immediate release: Thursday 7th November

 

Cabot Credit Management Continues To Grow And Reduces Leverage In Line With Prior Commitments

Financial Results for nine months ending 30 September 2019

 

Cabot Credit Management (Cabot), a market leader in European credit management services, today announced the financial results for nine months ending 30 September 2019.

 

Key Financials

9 months to September 2019

9 months to September 2018

% Change

Adjusted EBITDA 

£279.8m

£250.5m

+12%

120 month ERC*

£2.8bn

£2.6bn

+6%

Debt Purchase Collections

£354.8m

£332.9m

+7%

Servicing Revenue

£69.0m

£63.3m

+9%

Leverage

3.7x

4.2x

-0.5x

 *Estimated Remaining Collections

 

Highlights

 

Ken Stannard, Chief Executive Officer, Cabot Credit Management, said:

 “Cabot has delivered another strong set of financial results for the nine months to 30 September 2019, growing our earnings and ERC through 2019 whilst simultaneously delivering on our commitment to bring our leverage down. 

We have achieved these results through the strength of our cash generation which reflects our capital deployment rigour, our continual focus on operational efficiency, and leveraging our benefits of scale.

In October 2019, Cabot entered into a new co-investment framework agreement with a third party which will enable us to continue to meet our clients credit management needs and further grow scale in our business, whilst simultaneously delivering on our deleveraging commitment.

Our customer focus and operational excellence continue to receive well deserved recognition, with our UK legal business (Mortimer Clarke Solicitors) winning three awards this year for its legal practices and our UK debt purchase business winning debt purchaser of the year and best vulnerable customer support strategy at the Collection and Customer Service Awards in early October.”

Ends

 

At 14:00 hours BST on Thursday 7th November 2019, 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

 

Note to editors

Cabot Credit Management (www.cabotcm.com) is one of the largest credit management services providers in Europe and the market leader in the UK and Ireland, based on expected future gross cash collections. Cabot provides a range of credit management services across a broad client base that includes some of the largest credit providers in Europe.  These services include debt servicing offerings such as early stage collections, business process outsourcing, contingent collections, trace services and litigation activities Cabot has credit management experience across a range of both credit providers (including consumer finance, telecommunications companies, retailers, utilities companies and government agencies) and asset classes (including secured consumer debt, small and medium‑sized enterprise debt, and high‑value accounts).

Between Cabot’s inception in 1998 to 30 September 2019, it has invested a combined total of £2.7 billion in the acquisition of over £30.1 billion in face value of purchased loan portfolios and has received £3.5 billion in cumulative collections from purchased loan portfolios. As at 30 September 2019, Cabot’s 120‑month estimated remaining collections was £2.8 billion, and Cabot’s 180-month estimated remaining collections was £3.2 billion.   

With 21 years of debt purchase and debt servicing experience, Cabot was one of the first companies to engage in the credit management services market in the United Kingdom. In March 2016, Cabot became the first large credit management service company in the United Kingdom to be authorised by the FCA, and in May 2017 Cabot became the first credit management service company in Ireland to be authorised by the Central Bank of Ireland. Cabot has won numerous industry accolades over the years including debt purchaser of the year, best legal services provider, and best vulnerable customer support - strategy at the Collections and Customer Services awards held recently in Manchester in October 2019.