Encore Capital Posts 20% Increase in Earnings in First Quarter

Encore Capital Group, Inc., a leading distressed consumer debt management company, today reported consolidated financial results for the first quarter ended March 31, 2007.

Commenting on the quarter, J. Brandon Black, President and CEO of Encore Capital Group, Inc., said, "The beginning of 2007 has been very positive for Encore. Our first quarter collections performance was one of the strongest in the Company’s history and we saw increasing productivity from our key strategic collection initiatives in India and the legal channel. Additionally, after the quarter closed, we finalized a buyout of the remaining contingent interest on our legacy secured lending facility.

"During the first quarter, we invested $45.4 million to purchase $2.5 billion in face value of debt. Our purchases were more concentrated this quarter in credit card portfolios as this asset class exhibited the best value during the period. While purchasing activity was strong in the first quarter, we continue to see elevated pricing levels across all asset classes. We are not expecting this pricing trend to change in the near term and are focused on building our business through continuous innovation, not by merely using traditional operating strategies," continued Mr. Black.

The full financial results can be read here