Call Start: 17:00 January 1, 0000 5:37 PM ET

Encore Capital Group, Inc. (NASDAQ:ECPG)
Q3 2024 Earnings Call
November 6, 2024 17:00 ET

Company Participants

Bruce Thomas - Vice President, Global Investor Relations
Ashish Masih - President and Chief Executive Officer
Jonathan Clark - Executive Vice President and Chief Financial Officer
Ryan Bell - President, Midland Credit Management
Tomas Hernanz - Chief Financial Officer, Cabot Credit Management

Conference Call Participants

Mark Hughes - Truist Securities
Mike Grondahl - Northland
Robert Dodd - Raymond James

Operator

Good day and thank you for standing by. Welcome to the Encore Capital Group’s Third Quarter 2024 Earnings Conference Call. [Operator Instructions] Please be advised that today’s conference is being recorded. I would now like to hand the conference over to your first speaker today, Bruce Thomas, Vice President of Global Investor Relations for Encore. Bruce, please go ahead.

Bruce Thomas

Thank you, operator. Good afternoon, and welcome to Encore Capital Group’s third quarter 2024 earnings call. Joining me on the call today are Ashish Masih, our President and Chief Executive Officer; Jonathan Clark, Executive Vice President and Chief Financial Officer; Ryan Bell, President of Midland Credit Management; and Tomas Hernanz, Chief Financial Officer of Cabot Credit Management.

As you may recall, Tomas will succeed Jonathan as Encore’s CFO when Jon retires at the end of March 2025. Ashish and Jon will make prepared remarks today, and then we will be happy to take your questions. Unless otherwise noted, comparisons on this conference call will be made between the third quarter of 2024 and the third quarter of 2023.

In addition, today’s discussion will include forward-looking statements that are based on current expectations and assumptions and are subject to risks and uncertainties. Actual results could differ materially from our expectations. Please refer to our SEC filings for a detailed discussion of potential risks and uncertainties. We undertake no obligation to update any forward-looking statement.

During this call, we will use rounding and abbreviations for the sake of brevity. We will also be discussing non-GAAP financial measures. Reconciliations to the most directly comparable GAAP financial measures are included in our investor presentation, which is available on the Investors section of our website.

As a reminder, following the conclusion of this call, a replay of this conference call, along with our prepared remarks will also be available on the Investors section of our website.

Ashish Masih

Thanks, Bruce, and good afternoon, everyone. Thank you for joining us. I’ll begin today’s call with key highlights from the third quarter. Encore’s strong third quarter performance was largely driven by MCM in the U.S., our largest business. Record portfolio supply in the U.S. is being driven by the highest charge-off rate in more than 10 years, coupled with growth in lending.