Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 23, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Document Transition Report | false | ||
Entity File Number | 000-50058 | ||
Entity Registrant Name | PRA Group, Inc. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 75-3078675 | ||
Entity Address, Address Line One | 120 Corporate Boulevard | ||
Entity Address, City or Town | Norfolk | ||
Entity Address, State or Province | VA | ||
Entity Address, Postal Zip Code | 23502 | ||
City Area Code | 888 | ||
Local Phone Number | 772-7326 | ||
Title of 12(b) Security | Common Stock, $0.01 par value per share | ||
Trading Symbol | PRAA | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 885,369,133 | ||
Entity Common Stock, Shares Outstanding | 39,247,271 | ||
Documents Incorporated by Reference | Portions of the Registrant's definitive Proxy Statement for its 2024 Annual Meeting of Stockholders are incorporated by reference into Part III of this Form 10-K. | ||
Amendment Flag | false | ||
Entity Central Index Key | 0001185348 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Current Fiscal Year End Date | --12-31 | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction [Flag] | false |
Audit Information
Audit Information | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Auditor Information [Abstract] | ||
Auditor Name | Ernst & Young LLP | KPMG LLP |
Auditor Location | Richmond, VA | Norfolk, VA |
Auditor Firm ID | 42 | 185 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Cash and cash equivalents | $ 112,528 | $ 83,376 |
Investments | 72,404 | 79,948 |
Finance receivables, net | 3,656,598 | 3,295,008 |
Income taxes receivable | 27,713 | 31,774 |
Deferred tax assets, net | 74,694 | 56,908 |
Right-of-use assets | 45,877 | 54,506 |
Property and equipment, net | 36,450 | 51,645 |
Goodwill | 431,564 | 435,921 |
Other assets | 67,526 | 86,588 |
Total assets | 4,525,354 | 4,175,674 |
Liabilities: | ||
Accounts payable | 6,325 | 7,329 |
Accrued expenses | 131,893 | 111,395 |
Income taxes payable | 17,912 | 25,693 |
Deferred tax liabilities, net | 17,051 | 42,918 |
Lease liabilities | 50,300 | 59,384 |
Interest-bearing deposits | 115,589 | 112,992 |
Borrowings | 2,914,270 | 2,494,858 |
Other liabilities | 32,638 | 34,355 |
Total liabilities | $ 3,285,978 | $ 2,888,924 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Authorized | 2,000,000 | 2,000,000 |
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Common Stock, Shares, Outstanding | 39,247,000 | 38,980,000 |
Common Stock, Shares, Issued | 39,247,000 | 38,980,000 |
Common Stock, Shares Authorized | 100,000,000 | 100,000,000 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Equity: | ||
Preferred stock, $0.01 par value, 2,000 shares authorized, no shares issued and outstanding | $ 0 | $ 0 |
Common stock, $0.01 par value, 100,000 shares authorized, 39,247 shares issued and outstanding as of December 31, 2023; 100,000 shares authorized, 38,980 shares issued and outstanding as of December 31, 2022 | 392 | 390 |
Additional paid-in capital | 7,071 | 2,172 |
Retained earnings | 1,489,548 | 1,573,025 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | (329,899) | (347,926) |
Total stockholders' equity - PRA Group, Inc. | 1,167,112 | 1,227,661 |
Noncontrolling interests | 72,264 | 59,089 |
Total equity | 1,239,376 | 1,286,750 |
Total liabilities and equity | $ 4,525,354 | $ 4,175,674 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (USD per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 2,000,000 | 2,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (USD per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 39,247,000 | 38,980,000 |
Common stock, shares outstanding | 39,247,000 | 38,980,000 |
Consolidated Income Statements
Consolidated Income Statements - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenues: | |||
Portfolio income | $ 757,128 | $ 772,315 | $ 875,327 |
Changes in estimated recoveries | 29,134 | 168,904 | 197,904 |
Total portfolio revenue | 786,262 | 941,219 | 1,073,231 |
Other revenue | 16,292 | 25,305 | 22,501 |
Total revenues | 802,554 | 966,524 | 1,095,732 |
Operating expenses: | |||
Compensation and employee services | 288,778 | 285,537 | 301,981 |
Legal collection costs | 89,131 | 76,757 | 78,330 |
Agency fees | 74,699 | 63,808 | 63,140 |
Outside fees and services | 82,619 | 92,355 | 92,615 |
Communication | 40,430 | 39,205 | 42,755 |
Rent and occupancy | 17,319 | 18,589 | 18,376 |
Depreciation and amortization | 13,376 | 15,243 | 15,256 |
Other operating expenses | 52,399 | 50,778 | 61,077 |
Total operating expenses | 702,062 | 680,722 | 720,736 |
Income from operations | 100,492 | 285,802 | 374,996 |
Other income and (expense): | |||
Interest Income (Expense), Net | (181,724) | (130,677) | (124,143) |
Gain (Loss), Foreign Currency Transaction, before Tax | 289 | 985 | (809) |
Other | (1,944) | (1,325) | 282 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | (82,887) | 154,785 | 250,326 |
Income Tax Expense (Benefit) | (16,133) | 36,787 | 54,817 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest, Total | (66,754) | 117,998 | 195,509 |
Adjustment for net income attributable to noncontrolling interests | 16,723 | 851 | 12,351 |
Net Income (Loss) Attributable to Parent, Total | $ (83,477) | $ 117,147 | $ 183,158 |
Net income per share attributable to PRA Group, Inc.: | |||
Basic (USD per share) | $ (2.13) | $ 2.96 | $ 4.07 |
Diluted (USD per share) | $ (2.13) | $ 2.94 | $ 4.04 |
Weighted average number of shares outstanding: | |||
Basic (shares) | 39,177 | 39,638 | 44,960 |
Diluted (shares) | 39,177 | 39,888 | 45,330 |
Legal Fees | $ 38,072 | $ 38,450 | $ 47,206 |
Impairment, Long-Lived Asset, Held-for-Use | $ 5,239 | $ 0 | $ 0 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $ (66,754) | $ 117,998 | $ 195,509 |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax | 45,524 | (105,292) | (56,219) |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax | (21,207) | 33,175 | 27,978 |
OCI, Debt Securities, Available-for-Sale, Gain (Loss), after Adjustment and Tax | 302 | (16) | (348) |
Other Comprehensive Income (Loss), Net of Tax, Total | 24,619 | (72,133) | (28,589) |
Total comprehensive income/(loss) | (42,135) | 45,865 | 166,920 |
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 23,315 | 9,735 | 4,880 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent, Total | $ (65,450) | $ 36,130 | $ 162,040 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Previously Reported | Change in Accounting Principle | [1] | Common Stock [Member] | Common Stock [Member] Previously Reported | Additional Paid-in Capital [Member] | Additional Paid-in Capital [Member] Previously Reported | Additional Paid-in Capital [Member] Change in Accounting Principle | [1] | Retained Earnings [Member] | Retained Earnings [Member] Previously Reported | Retained Earnings [Member] Change in Accounting Principle | [1] | AOCI Attributable to Parent [Member] | AOCI Attributable to Parent [Member] Previously Reported | Noncontrolling Interest [Member] | Noncontrolling Interest [Member] Previously Reported |
Beginning Balance, shares at Dec. 31, 2020 | 45,585,000 | 45,585,000 | ||||||||||||||||
Beginning balance at Dec. 31, 2020 | $ 1,358,837 | $ 1,373,526 | $ (14,689) | $ 456 | $ 456 | $ 48,585 | $ 75,282 | $ (26,697) | $ 1,523,978 | $ 1,511,970 | $ 12,008 | $ (245,791) | $ (245,791) | $ 31,609 | $ 31,609 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||
Net income | 195,509 | 183,158 | 12,351 | |||||||||||||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | (56,219) | (48,748) | (7,471) | |||||||||||||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax | 27,978 | 27,978 | ||||||||||||||||
OCI, Debt Securities, Available-for-Sale, Gain (Loss), after Adjustment and Tax | (348) | (348) | ||||||||||||||||
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders | (21,411) | (21,411) | ||||||||||||||||
Noncontrolling Interest, Increase From Contributions | 23,413 | 23,413 | ||||||||||||||||
Shares Issued, Shares, Share-Based Payment Arrangement, before Forfeiture | 264,000 | |||||||||||||||||
Shares Issued, Value, Share-Based Payment Arrangement, before Forfeiture | $ 2 | (2) | ||||||||||||||||
Stock Repurchased and Retired During Period, Value | (212,870) | $ (48) | (58,531) | (154,291) | ||||||||||||||
Number of shares repurchased and retired | (4,841,000) | |||||||||||||||||
APIC, Share-Based Payment Arrangement, Increase for Cost Recognition | 15,940 | 15,940 | ||||||||||||||||
Employee Stock Relinquished for Payment of Taxes | (5,992) | (5,992) | ||||||||||||||||
Ending Balance, shares at Dec. 31, 2021 | 41,008,000 | |||||||||||||||||
Ending balance at Dec. 31, 2021 | 1,324,837 | $ 410 | 0 | 1,552,845 | (266,909) | 38,491 | ||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||
Net income | 117,998 | 117,147 | 851 | |||||||||||||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | (105,292) | (114,176) | 8,884 | |||||||||||||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax | 33,175 | 33,175 | ||||||||||||||||
OCI, Debt Securities, Available-for-Sale, Gain (Loss), after Adjustment and Tax | (16) | (16) | ||||||||||||||||
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders | (6,691) | (6,691) | ||||||||||||||||
Noncontrolling Interest, Increase From Contributions | 17,554 | 17,554 | ||||||||||||||||
Shares Issued, Shares, Share-Based Payment Arrangement, before Forfeiture | 303,000 | |||||||||||||||||
Shares Issued, Value, Share-Based Payment Arrangement, before Forfeiture | $ 4 | (4) | ||||||||||||||||
Stock Repurchased and Retired During Period, Value | (99,390) | $ (24) | (2,399) | (96,967) | ||||||||||||||
Number of shares repurchased and retired | (2,331,000) | |||||||||||||||||
APIC, Share-Based Payment Arrangement, Increase for Cost Recognition | 13,047 | 13,047 | ||||||||||||||||
Employee Stock Relinquished for Payment of Taxes | $ (8,472) | (8,472) | ||||||||||||||||
Ending Balance, shares at Dec. 31, 2022 | 38,980,000 | 38,980,000 | ||||||||||||||||
Ending balance at Dec. 31, 2022 | $ 1,286,750 | $ 390 | 2,172 | 1,573,025 | (347,926) | 59,089 | ||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||
Net income | (66,754) | (83,477) | 16,723 | |||||||||||||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | 45,524 | 38,932 | 6,592 | |||||||||||||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax | (21,207) | (21,207) | ||||||||||||||||
OCI, Debt Securities, Available-for-Sale, Gain (Loss), after Adjustment and Tax | 302 | 302 | ||||||||||||||||
Noncontrolling Interest, Decrease from Distributions to Noncontrolling Interest Holders | (10,140) | (10,140) | ||||||||||||||||
Shares Issued, Shares, Share-Based Payment Arrangement, before Forfeiture | 267,000 | |||||||||||||||||
Shares Issued, Value, Share-Based Payment Arrangement, before Forfeiture | $ 2 | (2) | ||||||||||||||||
APIC, Share-Based Payment Arrangement, Increase for Cost Recognition | 11,095 | 11,095 | ||||||||||||||||
Employee Stock Relinquished for Payment of Taxes | $ (6,194) | (6,194) | ||||||||||||||||
Ending Balance, shares at Dec. 31, 2023 | 39,247,000 | 39,247,000 | ||||||||||||||||
Ending balance at Dec. 31, 2023 | $ 1,239,376 | $ 392 | $ 7,071 | $ 1,489,548 | $ (329,899) | $ 72,264 | ||||||||||||
[1] (1) Beginning January 1, 2021, the Company implemented ASU 2020-06 Debt-Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging-Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity. For additional information, see Note 1 "General and Summary of Significant Accounting Policies" to the Company's Consolidated Financial Statements included in its Annual Report on Form 10-K for the year ended December 31, 2021. |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flows from operating activities: | |||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $ (66,754) | $ 117,998 | $ 195,509 |
Adjustments, Noncash Items, to Reconcile Net Income (Loss) to Cash Provided by (Used in) Operating Activities [Abstract] | |||
Share-Based Payment Arrangement, Noncash Expense | 11,095 | 13,047 | 15,940 |
Depreciation, Depletion and Amortization, and Impairment, Nonproduction | 18,615 | 15,243 | 15,256 |
Gain (Loss) on Extinguishment of Debt | (343) | 0 | 0 |
Amortization of Debt Issuance Costs and Discounts | 9,223 | 10,097 | 9,508 |
Financing Receivable, Allowance For Credit Loss, Changes In Estimated Recoveries | (29,134) | (168,904) | (197,904) |
Deferred Income Taxes and Tax Credits | (35,942) | 607 | 6,803 |
Realized Gain (Loss), Foreign Currency Transaction, before Tax | (16,552) | 34,970 | 29,003 |
Equity Securities, FV-NI, Realized Gain (Loss) | 1,564 | 437 | (386) |
Other Noncash Income (Expense) | (2,755) | (191) | (211) |
Other assets | |||
Increase (Decrease) in Other Operating Assets | (1,835) | 7,096 | 195 |
Increase (Decrease) in Accounts Payable | (1,205) | 3,960 | (1,323) |
Increase (Decrease) in Income Taxes | (4,815) | 13,709 | (30,824) |
Increase (Decrease) in Other Accrued Liabilities | 18,968 | (2,449) | 19,586 |
Increase (Decrease) in Other Operating Liabilities | 2,834 | (24,492) | 23,691 |
Increase (Decrease) In Operating Lease Asset (Liability) | (499) | 464 | 82 |
Net Cash Provided by (Used in) Operating Activities, Total | (97,535) | 21,592 | 84,925 |
Cash flows from investing activities: | |||
Payments to Acquire Property, Plant, and Equipment | (2,887) | (13,251) | (11,212) |
Payments to Acquire Finance Receivables | (1,160,289) | (844,255) | (971,708) |
Proceeds From Recovery Of Negative Financing Receivable Allowance | 917,025 | 974,846 | 1,185,954 |
Payments to Acquire Businesses, Net of Cash Acquired | 0 | 0 | (647) |
Proceeds from Sale and Maturity of Marketable Securities | 71,348 | 66,113 | 68,904 |
Net Cash Provided by (Used in) Investing Activities, Total | (234,860) | 120,453 | 160,376 |
Retirement of Convertible Senior Notes due 2023 | |||
Proceeds from Long-Term Lines of Credit | 814,630 | 1,607,108 | 769,903 |
Repayments of Long-Term Lines of Credit | (480,100) | (1,598,608) | (1,163,075) |
Repayments of Convertible Debt | (345,000) | 0 | 0 |
Repayments of Other Long-Term Debt | (7,500) | (10,000) | (10,000) |
Payments for Repurchase of Common Stock | 0 | (111,371) | (200,887) |
Payments of Financing Costs | (5,323) | (15,550) | (9,479) |
Payment, Tax Withholding, Share-Based Payment Arrangement | (6,194) | (8,472) | (5,992) |
Payments to Noncontrolling Interests | (10,140) | (6,691) | (21,411) |
Proceeds from Noncontrolling Interests | 0 | 17,554 | 23,413 |
Net Change Interest-Bearing Deposits, Foreign | (1,416) | 4,688 | 4,716 |
Supplemental disclosure of cash flow information: | 355,300 | (121,342) | (262,812) |
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Continuing Operations | 6,029 | (25,017) | (14,464) |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | 28,934 | (4,314) | (31,975) |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Beginning Balance | 84,758 | 89,072 | 121,047 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Ending Balance | 113,692 | 84,758 | 89,072 |
Cash and Cash Equivalents, at Carrying Value | 112,528 | 83,376 | 87,584 |
Restricted cash, carrying amount | 1,164 | 1,382 | 1,488 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Total | 113,692 | 84,758 | 89,072 |
Supplemental Cash Flow Information [Abstract] | |||
Interest Paid, Excluding Capitalized Interest, Operating Activities | 138,305 | 116,932 | 112,277 |
Income Taxes Paid | 25,544 | 21,860 | 77,817 |
Payments For (Proceeds From) Marketable Securities) | (60,057) | (63,000) | (110,915) |
Payments On Senior Notes | (3,657) | 0 | 0 |
2028 Notes | |||
Retirement of Convertible Senior Notes due 2023 | |||
Proceeds from Issuance of Other Long-Term Debt | 400,000 | 0 | 0 |
2029 Notes | |||
Retirement of Convertible Senior Notes due 2023 | |||
Proceeds from Issuance of Other Long-Term Debt | $ 0 | $ 0 | $ 350,000 |
General and Summary of Signific
General and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
General and Summary of Significant Accounting Policies | General and Summary of Significant Accounting Policies: Nature of operations: As used herein, the terms "PRA Group," the "Company," or similar terms refer to PRA Group, Inc. and its subsidiaries. PRA Group, Inc., a Delaware corporation, is a global financial and business services company with operations based primarily in the Americas and Europe, and to a lesser extent, Australia. The Company's primary business is the purchase, collection and management of portfolios of nonperforming loans. The Company also provides fee-based services on class action claims recoveries in the United States ("U.S."). Basis of presentation: The Consolidated Financial Statements of the Company are prepared in accordance with U.S. generally accepted accounting principles ("GAAP"). The preparation of the Consolidated Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect reported amounts and disclosures. Realized results could differ from those estimates and assumptions. Reclassification of prior year presentation : Certain prior year amounts have been reclassified for consistency with the current year presentation. Fee income is now included within Other revenue in the Consolidated Income Statements. Consolidation: The Consolidated Financial Statements include the accounts of PRA Group and other entities in which the Company has a controlling interest. All significant intercompany accounts and transactions have been eliminated. Entities in which the Company has a controlling financial interest, through ownership of the majority of the entities’ voting equity interests, or through other contractual rights that give the Company control, consist of entities that purchase and collect on portfolios of nonperforming loans. Noncontrolling interests represent the portion of net income and equity attributable to third-party owners of consolidated subsidiaries that are not wholly-owned by the Company. These noncontrolling interests relate primarily to funds in Brazil that invest in nonperforming loan portfolios. Investments in companies in which the Company has significant influence over operating and financing decisions, but does not own a majority of the voting equity interests, are accounted for in accordance with the equity method of accounting, which requires the Company to recognize its proportionate share of the entity’s net earnings. The Company's equity method investment is included in Other assets, with income or loss included in Other revenue. The Company performs on-going reassessments whether changes in the facts and circumstances regarding the Company’s involvement with an entity could cause the Company’s consolidation conclusion to change. Foreign currency: Assets and liabilities have been translated into the reporting currency using the exchange rates in effect on the date of the Consolidated Balance Sheets. Equity accounts are translated at historical rates, except for the change in retained earnings during the year, which is the result of the income statement translation process. Revenue and expense accounts are translated using the weighted average exchange rate during the period. The cumulative translation adjustments associated with the net assets of international subsidiaries are recorded in Accumulated other comprehensive loss in the accompanying Consolidated Statements of Changes in Equity. Segments: The Company has determined that it has two operating segments that meet the aggregation criteria of Accounting Standards Codification ("ASC") 280, Segment Reporting ("ASC 280"), and, therefore, it has one reportable segment. This conclusion is based on similarities among the operating segments, including economic characteristics, the nature of the products and services, the nature of the production processes, the types or classes of customers for their services, the methods used to distribute their services and the nature of the regulatory environment. Revenues and long-lived assets by geographical location: Revenues for the years ended December 31, 2023, 2022 and 2021, and long-lived assets held as of December 31, 2023 and 2022, by geographic area in which the Company operates, were as follows (amounts in thousands): 2023 2022 2021 2023 2022 Revenues (2) Long-Lived Assets United States $ 358,251 $ 520,747 $ 651,991 $ 58,452 $ 79,865 United Kingdom 119,963 181,725 175,383 11,377 12,141 Brazil 95,556 36,412 62,740 3 3 Other (1) 228,784 227,640 205,618 12,495 14,142 Total $ 802,554 $ 966,524 $ 1,095,732 $ 82,327 $ 106,151 (1) None of the countries included in Other comprise greater than 10% of the Company's consolidated revenues or long-lived assets. (2) Based on the Company’s financial statement information used to produce the Company's general-purpose financial statements, it is impracticable to report further breakdowns of revenues from external customers. The Company generates revenues from collection activities on nonperforming loans, and to a lesser extent, fee-based services and equity method investments. Long-lived assets consist of Property and equipment, net and Right-of-use ("ROU") assets. Cash and cash equivalents: The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. Restricted cash: Cash that is subject to legal restrictions or is unavailable for general operating purposes is classified as restricted cash and included in Other assets in the Company's Consolidated Balance Sheets. Concentrations of credit risk: Financial instruments, which potentially expose the Company to concentrations of credit risk, consist primarily of cash and cash equivalents, investments, derivative financial instruments and finance receivables. Accumulated other comprehensive loss: The Company records unrealized gains and losses on certain available-for-sale investments and foreign currency translation adjustments in other comprehensive income ("OCI"). Unrealized gains and losses on available for sale investments are reclassified to earnings as the gains or losses are realized upon sale of the securities. Translation gains or losses on foreign currency translation adjustments are reclassified to earnings upon the substantial sale or liquidation of investments in international operations. For the Company’s derivative financial instruments that are designated as hedging instruments, the change in fair value is recorded in OCI. Investments: Debt Securities: The Company determines the appropriate classification of its investments in debt securities at the time of purchase and reevaluates such determinations at each balance sheet date. Debt securities are classified as held-to-maturity when the Company has the positive intent and ability to hold the securities to maturity. Held-to-maturity securities are carried at amortized cost. Debt securities which the Company does not have the intent or ability to hold to maturity are classified as available-for-sale. Available-for-sale securities are carried at fair market value. Fair value is determined using quoted market prices. Unrealized gains and losses are included in comprehensive income and reported in stockholders' equity. The Company evaluates debt securities for impairment. When there has been a decline in fair value below the amortized cost, the Company recognizes an impairment if: (1) it has the intent to sell the security; (2) it is more likely than not that it will be required to sell the security before recovery of the amortized cost; or (3) it does not expect to recover the entire amortized cost of the security. If the Company identifies that the decline in fair value has resulted from credit losses, the credit loss component is recognized as an allowance in the Consolidated Balance Sheets with a corresponding charge to Other expense in the Consolidated Income Statements. The non-credit loss component remains in Other comprehensive loss until realized from a sale or subsequent impairment. Equity Securities: Investments in equity securities are measured at fair value with unrealized gains and losses reported in earnings. Equity Method Investments: Equity investments that are not consolidated, but over which the Company exercises significant influence, are accounted for as equity method investments. Whether or not the Company exercises significant influence with respect to an investee company depends on an evaluation of several factors including, among others, representation on the investee company’s board of directors and ownership level, which is generally a 20% to 50% interest in the voting securities of the investee company. Under the equity method of accounting, an investee company’s accounts are not reflected within the Company’s Consolidated Balance Sheets and Income Statements; rather, the Company’s share of the earnings or losses of the investee company is reflected in Other revenue in the Consolidated Income Statements. The Company’s carrying value in an equity method investee company is reflected in Investments in the Company’s Consolidated Balance Sheets. When the Company’s carrying value in an equity method investee company is reduced to zero, no further losses are recorded in the Company’s Consolidated Financial Statements unless the Company guaranteed obligations of the investee company or has committed additional funding. When the investee company subsequently reports income, the Company will not record its share of such income until it equals the amount of its share of losses not previously recognized. Finance receivables and income recognition: The Company's financial assets (or a group of financial assets) are measured at amortized cost and presented at the net amount expected to be collected. Credit quality information : The Company acquires portfolios of accounts that have experienced deterioration of credit quality between origination and the Company's acquisition of the accounts. The amount paid for a portfolio reflects the Company's determination that it is probable the Company will be unable to collect all amounts due according to an account's contractual terms. The Company accounts for the portfolios in accordance with the guidance for purchased credit deteriorated ("PCD") assets. The initial allowance for credit losses is added to the purchase price rather than recorded as a credit loss expense. The Company has established a policy to write off the amortized cost of individual assets when it deems probable that it will not collect on an individual asset. Due to the deteriorated credit quality of the individual accounts, the Company may write off the unpaid principal balance of all accounts in a portfolio at the time of acquisition. However, when the Company has an expectation of collecting cash flows at the portfolio level, a negative allowance is established for expected recoveries at an amount not to exceed the amount paid for the financial portfolios. The negative allowance is recorded as an asset and presented as Finance receivables, net in the Company's Consolidated Balance Sheets. Portfolio segments : The Company develops systematic methodologies to determine its allowance for credit losses at the portfolio segment level. The Company’s nonperforming loan portfolio segments consist of two broad categories: Core and Insolvency. The Company’s Core portfolios contain loan accounts that are in default and that were purchased at a substantial discount to face value because either the credit originator and/or other third-party collection agencies have been unsuccessful in collecting the full balance owed. The Company’s Insolvency portfolios contain loan accounts that are in default and the customer is involved in a bankruptcy or insolvency proceeding and the accounts were purchased at a substantial discount to face value. Each of the two broad portfolio segments of purchased nonperforming loan portfolios consist of large numbers of homogeneous receivables with similar risk characteristics. Effective interest rate and accounting pools : Within each portfolio segment, the Company pools accounts with similar risk characteristics that are acquired in the same year. Similar risk characteristics generally include portfolio segment and geographic region. The initial effective interest rate of the pool is established based on the purchase price and expected recoveries of each individual purchase at the purchase date. During the year of acquisition, the annual pool is aggregated, and the blended effective interest rate will adjust to reflect new acquisitions and new cash flow estimates until the end of the year. The effective interest rate for a pool is fixed for the remaining life of the pool once the year has ended. Methodology : The Company develops its estimates of expected recoveries by applying discounted cash flow methodologies to its estimated remaining collections ("ERC") and recognizes income over the estimated life of the pool at the constant effective interest rate of the pool. Subsequent changes (favorable and unfavorable) in expected cash flows are recognized within Changes in expected recoveries in the Consolidated Income Statements by recording the present value of those changes in ERC at a constant effective interest rate. Amounts included in the estimate of recoveries do not exceed the aggregate amount of the amortized cost basis previously written off or expected to be written off. The measurement of expected recoveries is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. Development of the Company’s forecasts rely on both quantitative and qualitative factors. Qualitative factors can include both external and internal information and consider management’s view on available facts and circumstances at each reporting period. More specifically, external factors that may have an impact on the collectability, and subsequently on the overall profitability of acquired portfolios of nonperforming loans, would include new laws or regulations relating to collections, new interpretations of existing laws or regulations, and the overall condition of the economy. Internal factors that may have an impact on the collectability, and subsequently the overall profitability of acquired portfolios of nonperforming loans, would include necessary revisions to initial and post-acquisition operational scoring and modeling estimates, operational activities and the expected impact of operational strategies. Portfolio income : The recognition of income on expected recoveries is based on the constant effective interest rate established for a pool. Changes in expected recoveries : The activity consists of differences between actual and expected recoveries for the reporting period, as well as the net present value of increases or decreases in ERC at the constant effective interest rate. Agreements to acquire finance receivables include general representations and warranties from the sellers covering matters such as account holder death or insolvency and accounts settled or disputed prior to sale. The representation and warranty period permitting the return of these accounts from the Company to the seller is typically 90 to 180 days, with certain international agreements extending as long as 24 months. Any funds received from the seller as a return of purchase price are referred to as buybacks. Buyback funds are included in changes in expected recoveries when received. Fees paid to third parties other than the seller related to the direct acquisition of a portfolio of accounts are expensed when incurred. Fee income recognition: The Company recognizes revenue from its class action claims recovery services when there is persuasive evidence that an arrangement exists, delivery has occurred or services have been rendered, the amount is fixed or determinable, and collectability is reasonably assured. This revenue is included within Other revenue in the Company's Consolidated Income Statements. Property and equipment: Property and equipment, including improvements that significantly add to the productive capacity or extend useful life, are recorded at cost. Maintenance and repairs are expensed as incurred. Property and equipment are depreciated over their useful lives using the straight-line method, as follows: Category of Property and Equipment Estimated Useful Life Software and computer equipment Three Furniture and fixtures Ten years Equipment Five years Leasehold improvements Remaining term of the lease Building improvements Ten Whe n property is sold or retired, the cost and related accumulated depreciation are removed from the balance sheet and any gain or loss is included in the Company's Consolidated Income Statements. Impairment is assessed periodically when events or changes in circumstances indicate the carrying value of property and equipment may not be fully recoverable. Goodwill: Goodwill is not amortized, but rather, is reviewed for impairment annually or more frequently if indicators of potential impairment exist. The Company performs its annual assessment of goodwill as of October 1. The Company may first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. If management concludes that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, the fair value of the reporting unit is determined. An impairment loss is recorded for the amount by which the carrying value of the reporting unit exceeds its fair value, not to exceed the total amount of goodwill allocated to the respective reporting unit. Income taxes: The Company records a tax provision for the anticipated tax consequences of the reported results of operations. Current tax expense represents the estimated taxes to be paid or refunded for the current period and includes income tax expense related to uncertain tax positions. The Company made an accounting policy election to treat U.S. taxes due in relation to Global Intangible Low-Taxed Income ("GILTI") as a current-period expense when incurred. The provision for income taxes is estimated using the asset and liability method, under which deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial reporting and tax basis of assets and liabilities, and for operating losses and tax credit carryforwards. Deferred tax assets and liabilities are measured using the currently enacted tax rates that apply to taxable income in effect for the years in which those tax assets are expected to be realized or settled. The Company is subject to income taxes throughout the U.S. and in numerous international jurisdictions. The Company recognizes the financial statement benefits of an uncertain tax position if it is more likely than not to be sustained in the event of challenges by relevant taxing authorities based on the technical merit. The amount of benefits to recognize in the financial statements is the largest benefit that has a greater than 50% likelihood of being realized upon settlement with the relevant tax authorities. The Company exercises significant judgment in making these determinations. The Company records interest and penalties related to unrecognized tax benefits as a component of income tax expense when the more likely than not standards are not met. While actual results could vary, the Company believes it has made adequate tax accruals with respect to the ultimate outcome of such tax matters. A valuation allowance for deferred tax assets is recorded and charged to earnings in the period if it is determined that it is more likely than not that the deferred tax asset will not be realized. If the Company subsequently realizes deferred tax assets that were previously determined to be unrealizable, the related valuation allowance is reversed, resulting in a positive adjustment to earnings in the period such determination is made. The need for a valuation allowance is determined on a jurisdiction-by-jurisdiction basis. Leases: The Company recognizes a liability for future lease payments and an ROU asset, representing its right to use the underlying asset for the lease term, in the Consolidated Balance Sheets. The Company's operating lease portfolio primarily includes corporate offices and call centers. Its leases have remaining lease terms from one 12 years, some of which include options to extend the leases, the longest of which is for up to 10 years; while o thers include options to terminate the leases in accordance with specified notice periods. Exercises of lease renewal options are typically at the Company's sole discretion, with renewal periods included in ROU assets and lease liabilities based upon whether the Company is reasonably certain of exercising the renewal options and/or not exercising the termination options. The Company has lease agreements with lease and non-lease components, which are generally accounted for separately, and the Company elected not to apply the lease recognition requirements to short-term leases. The Company's lease agreements do not contain any material residual value guarantees or material restrictive covenants. As most of the Company's leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at the lease commencement date in determining the present value of the lease payments. Share-based compensation: Compensation expense associated with share equity awards is recognized in the income statement. The Company determines stock-based compensation expense for all share-based payment awards based on the measurement date fair value. The Company has certain share awards that include market conditions that affect vesting. The fair value of these shares is estimated using a lattice model. Compensation cost is not adjusted if the market condition is not met, as long as the requisite service is provided. The Company estimates a forfeiture rate for most equity share grants based on historical experience. Time-based equity share awards generally vest between one Note 11 for additional information. Earnings per share: Basic EPS is computed by dividing net income available to common stockholders of PRA Group, Inc. by weighted average common shares outstanding. Diluted EPS are computed using the same components as basic EPS with the denominator adjusted for the dilutive effect of the conversion spread of the Convertible Notes and nonvested share awards, if they are dilutive. Share-based awards that are contingent upon the attainment of performance goals are included in the computation of diluted EPS if the effect is dilutive. The dilutive effect of nonvested shares is computed using the treasury stock method, which assumes any proceeds that could be obtained upon the vesting of nonvested shares would be used to purchase common shares at the average market price for the period. Derivatives: The Company periodically enters into derivative financial instruments, typically interest rate swap agreements and foreign currency contracts, to reduce its exposure to fluctuations in interest rates on variable-rate debt and foreign currency exchange rates. The Company does not utilize derivative financial instruments with a level of complexity or with a risk greater than the exposure to be managed, nor does it enter into or hold derivatives for trading or speculative purposes. The Company periodically reviews the creditworthiness of the counterparty to assess the counterparty's ability to honor its obligations. Counterparty default would expose the Company to fluctuations in interest and currency rates. All of the Company's outstanding derivative financial instruments are recognized in the Consolidated Balance Sheets at their fair values. The effect on earnings from recognizing the fair values of these derivative financial instruments depends on their intended use, their hedge designation, and their effectiveness in offsetting changes in the fair values of the exposures they are hedging. Under the cash flow hedge accounting model, changes in the fair values of instruments used to reduce or eliminate adverse fluctuations in cash flows of anticipated or forecasted transactions are reported in equity as a component of Accumulated other comprehensive loss. Amounts in Accumulated other comprehensive loss are reclassified to earnings when the related hedged items affect earnings or the anticipated transactions are no longer probable, with those gains and losses recorded in the same financial statement line-item as the hedged item/forecasted transaction. Changes in the fair values of derivative financial instruments that are not designated as hedges or do not qualify for hedge accounting treatment are reported in earnings. Cash flows from the settlement of derivatives, including both those designated in hedge accounting relationships and economic hedges, are reflected in the Consolidated Statements of Cash Flows in the same categories as the cash flows of the hedged item. For derivative financial instruments accounted for as hedging instruments, the Company formally designates and documents, at inception, the financial instrument as a hedge of a specific underlying exposure, the risk management objective, and the manner in which effectiveness of the hedge will be assessed. The Company assesses, both at inception and at each reporting period thereafter, whether the derivative financial instruments used in hedging transactions are effective in offsetting changes in fair value or cash flows of the related underlying exposures. The Company discontinues the use of hedge accounting prospectively when (1) the derivative instrument is no longer effective in offsetting changes in fair value or cash flows of the underlying hedged item; (2) the derivative instrument expires, is sold, terminated, or exercised; or (3) designating the derivative instrument as a hedge is no longer appropriate. See Note 8 for additional information. Use of estimates: The preparation of the Consolidated Financial Statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the Consolidated Financial Statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates have been made by management with respect to the: • timing and amount of future cash collections of the Company's finance receivables portfolios; • determination of fair value of a reporting unit as part of testing goodwill for impairment; and • interpretation of the tax laws required to calculate the Company's income tax-related balances. Actual results could differ from these estimates making it reasonably possible that a change in these estimates could occur within one year. Commitments and contingencies: The Company is subject to various claims and contingencies related to lawsuits, certain taxes and commitments under contractual and other obligations. The Company recognizes liabilities for commitments and contingencies when a loss is probable and estimable. The Company expenses related legal costs as incurred. See Note 14 for additional information. Estimated fair value of financial instruments: Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company takes into consideration differing levels of inputs in the determination of fair values. Disclosure of the estimated fair values of financial instruments often requires the use of estimates. See Note 9 for additional information. Recent accounting pronouncements: Recently issued accounting pronouncements adopted: The Company has determined that no recently issued and adopted accounting pronouncements have had, or are expected to have, a material effect on the Company's Consolidated Financial Statements. Recently issued accounting pronouncements not yet adopted: In November 2023, the Financial Accounting Standards Board ("FASB") issued ASU 2023-07, "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures" ("ASU 2023-07"), which, among other updates, requires enhanced disclosures about significant segment expenses regularly provided to the chief operating decision maker, as well as the aggregate amount of other segment items included in the reported measure of segment profit or loss. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and for interim periods within fiscal years beginning after December 15, 2024, and requires retrospective adoption. Early adoption is permitted. The Company is evaluating the impact of ASU 2023-07 on its Consolidated Financial Statements and the related disclosures. In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" ("ASU 2023-09"), which requires enhanced annual disclosures with respect to the rate reconciliation and income taxes paid information. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, and may be adopted on a prospective or retrospective basis. Early adoption is permitted. The Company is evaluating the impact of ASU 2023-07 on its Consolidated Financial Statements and the related disclosures. |
Finance Receivables, net
Finance Receivables, net | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Finance Receivables, net | Finance Receivables, net: Finance receivables, net consisted of the following as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Amortized cost $ — $ — Negative allowance for expected recoveries 3,656,598 3,295,008 Balance at end of year $ 3,656,598 $ 3,295,008 Changes in the negative allowance for expected recoveries by portfolio segment for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): 2023 Core Insolvency Total Balance at beginning of year $ 2,936,207 $ 358,801 $ 3,295,008 Initial negative allowance for expected recoveries - portfolio acquisitions (1) 1,017,609 136,474 1,154,083 Foreign currency translation adjustment 86,047 9,351 95,398 Recoveries applied to negative allowance (2) (758,547) (158,478) (917,025) Changes in expected recoveries (3) 13,898 15,236 29,134 Balance at end of year $ 3,295,214 $ 361,384 $ 3,656,598 2022 Core Insolvency Total Balance at beginning of year $ 2,989,932 $ 438,353 $ 3,428,285 Initial negative allowance for expected recoveries - portfolio acquisitions (1) 771,977 78,019 849,996 Foreign currency translation adjustment (156,795) (20,536) (177,331) Recoveries applied to negative allowance (2) (795,489) (179,357) (974,846) Changes in expected recoveries (3) 126,582 42,322 168,904 Balance at end of year $ 2,936,207 $ 358,801 $ 3,295,008 (1) Initial negative allowance for expected recoveries - portfolio acquisitions Portfolio acquisitions for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): 2023 Core Insolvency Total Face value $ 7,637,744 $ 747,192 $ 8,384,936 Noncredit discount (843,375) (51,259) (894,634) Allowance for credit losses at acquisition (5,776,760) (559,459) (6,336,219) Purchase price $ 1,017,609 $ 136,474 $ 1,154,083 2022 Core Insolvency Total Face value $ 5,174,974 $ 455,644 $ 5,630,618 Noncredit discount (541,686) (28,279) (569,965) Allowance for credit losses at acquisition (3,861,311) (349,346) (4,210,657) Purchase price $ 771,977 $ 78,019 $ 849,996 The initial negative allowance recorded on portfolio acquisitions for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): 2023 Core Insolvency Total Allowance for credit losses at acquisition $ (5,776,760) $ (559,459) $ (6,336,219) Writeoffs, net 5,776,760 559,459 6,336,219 Expected recoveries 1,017,609 136,474 1,154,083 Initial negative allowance for expected recoveries $ 1,017,609 $ 136,474 $ 1,154,083 2022 Core Insolvency Total Allowance for credit losses at acquisition $ (3,861,311) $ (349,346) $ (4,210,657) Writeoffs, net 3,861,311 349,346 4,210,657 Expected recoveries 771,977 78,019 849,996 Initial negative allowance for expected recoveries $ 771,977 $ 78,019 $ 849,996 (2) Recoveries applied to negative allowance Recoveries applied to the negative allowance for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): 2023 Core Insolvency Total Recoveries (a) $ 1,474,009 $ 200,144 $ 1,674,153 Less - amounts reclassified to portfolio income 715,462 41,666 757,128 Recoveries applied to negative allowance $ 758,547 $ 158,478 $ 917,025 2022 Core Insolvency Total Recoveries (a) $ 1,521,504 $ 225,657 $ 1,747,161 Less - amounts reclassified to portfolio income 726,015 46,300 772,315 Recoveries applied to negative allowance $ 795,489 $ 179,357 $ 974,846 (a) Recoveries includes cash collections, buybacks and other cash-based adjustments. (3) Changes in expected recoveries Changes in expected recoveries for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): 2023 Core Insolvency Total Changes in expected future recoveries $ (34,394) $ (1,604) $ (35,998) Recoveries received in excess of forecast 48,292 16,840 65,132 Changes in expected recoveries $ 13,898 $ 15,236 $ 29,134 2022 Core Insolvency Total Changes in expected future recoveries $ 48,806 $ 13,405 $ 62,211 Recoveries received in excess of forecast 77,776 28,917 106,693 Changes in expected recoveries $ 126,582 $ 42,322 $ 168,904 In order to estimate future cash collections, the Company considers historical collections performance and its view of current and future economic conditions and consumer habits in the various geographies in which the Company operates. Based on these considerations, the Company’s estimates of ERC incorporate changes in both the amounts and the timing of expected cash collections over the forecast period. Changes in expected recoveries for the year ended December 31, 2023 were a net positive $29.1 million. This was comprised of $65.1 million in recoveries received in excess of forecast (cash collections overperformance), due in large part to collections performance in Europe, and a $36.0 million negative adjustment to changes in expected future recoveries, primarily due to adjustments made in certain U.S. pools. |
Investments
Investments | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | Investments: Investments consisted of the following as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Debt securities Available-for-sale $ 59,470 $ 66,813 Equity securities Private equity funds 2,451 4,373 Equity method investment 10,483 8,762 Total investments $ 72,404 $ 79,948 Debt Securities Available-for-Sale Government securities : The Company's investments in government instruments, consisting of Swedish treasury securities as of December 31, 2023 (Norwegian bonds and Swedish treasury securities as of December 31, 2022), are classified as available-for-sale and stated at fair value. The December 31, 2023 balance of $59.5 million matures within one year . The amortized cost and fair value of investments in debt securities as of December 31, 2023 and 2022, were as follows (amounts in thousands): 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Aggregate Fair Value Available-for-sale Government securities $ 59,404 $ 66 $ — $ 59,470 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Aggregate Fair Value Available-for-sale Government securities $ 67,049 $ 1 $ (237) $ 66,813 Equity Securities Private equity funds : Investments in private equity funds represent limited partnerships in which the Company has less than a 1% interest. Equity Method Investment The Company ha s an 11.7% interest in RCB Investimentos S.A. ("RCB"), a servicing platform for nonperforming loans in Brazil. This investment is accounted |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Leases | Leases: The components of lease expense for the years ended December 31, 2023 and 2022, were as follows (amounts in thousands): 2023 2022 Operating lease expense $ 10,632 $ 11,981 Short-term lease expense 2,007 2,374 Sublease income (317) (486) Total lease expense $ 12,322 $ 13,869 Supplemental cash flow information and non-cash activity related to leases for the years ended December 31, 2023 and 2022, were as follows (amounts in thousands): 2023 2022 Cash paid for amounts included in the measurement of operating lease liabilities $ 11,514 $ 11,852 ROU assets obtained in exchange for operating lease obligations (1) $ 1,060 $ 8,882 (1) Includes the impact of new leases as well as remeasurements and modifications of existing leases. Lease term and discount rate information related to operating leases were as follows: 2023 2022 Weighted-average remaining lease term (years) 7.4 8.0 Weighted-average discount rate 4.7 % 4.5 % Maturities of lease liabilities as of December 31, 2023, were as follows for the years ending December 31, (amounts in thousands): Operating Leases 2024 $ 10,015 2025 9,791 2026 8,658 2027 5,789 2028 5,661 Thereafter 19,928 Total lease payments 59,842 Less: imputed interest (9,542) Total present value of lease liabilities $ 50,300 |
Goodwill and Intangible Assets,
Goodwill and Intangible Assets, net | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets, net | Goodwill: The Company performs an annual review of goodwill as of October 1 of each year, or more frequently if indicators of impairment exist. The Company performed its annual review of goodwill as of October 1, 2023, and concluded that goodwill was not impaired. Changes in goodwill for the years ended December 31, 2023 and 2022, were as follows (amounts in thousands): 2023 2022 Balance at beginning of year $ 435,921 $ 480,263 Change in foreign currency translation adjustment (4,357) (44,342) Balance at end of year $ 431,564 $ 435,921 |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Borrowings | Borrowings: The Company's borrowings consisted of the following as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Americas revolving credit (1) $ 396,303 $ 186,867 UK revolving credit 502,847 453,528 Europe revolving credit 538,565 419,856 Term loan 442,500 450,000 Senior Notes 1,046,000 650,000 Convertible Notes — 345,000 2,926,215 2,505,251 Less: Debt discount and issuance costs (11,945) (10,393) Total $ 2,914,270 $ 2,494,858 (1) Includes the North American revolving credit facility and an unsecured and uncommitted credit agreement with Banco de Occidente (the "Colombian revolving credit facility"). As of December 31, 2023, no amounts were outstanding under the Colombian revolving credit facility ($0.5 million was outstanding as of December 31, 2022). The following principal payments are due on the Company's borrowings as of December 31, 2023, for the years ending December 31, (amounts in thousands): 2024 $ 12,500 2025 308,000 2026 1,319,150 2027 538,565 2028 398,000 Thereafter 350,000 Total $ 2,926,215 During the year ended December 31, 2023 , the Company repurchased a total of $4.0 million in aggregate principal amount of the Senior Notes (as defined below). The Company determined that it was in compliance with the covenants of its financing arrangements as of December 31, 2023. North American Revolving Credit and Term Loan The Company has a credit agreement with Bank of America, N.A., as administrative agent, Bank of America, National Association, acting through its Canada branch, as the Canadian Administrative Agent, and a syndicate of lenders named therein (the "North American Credit Agreement"). The total credit facility under the North American Credit Agreement includes an aggregate principal amount of $1.5 billion (subject to compliance with a borrowing base and applicable debt covenants), which consists of (i) a fully-funded $442.5 million term loan, (ii) a $1.0 billion domestic revolving credit facility, and (iii) a $75.0 million Canadian revolving credit facility. The facility includes an accordion feature for up to $500.0 million in additional commitments (at the option of the lenders) and also provides for up to $25.0 million of letters of credit and a $25.0 million swingline loan sub-limit that would reduce amounts available for borrowin g. With the official discontinuation of the London Interbank Offered Rate ("LIBOR") on June 30, 2023, the Company executed an amendment to the North American Credit Agreement to allow for previously outstanding LIBOR borrowings and subsequent borrowings to use the Secured Overnight Financing Rate ("SOFR"). The term and revolving loans accrue interest, at the option of the Company, at either the base rate, Canadian Dollar Offered Rate or SOFR for the applicable term. SOFR borrowings carry an additional 0.10% credit adjustment spread, while all borrowings incur an additional facility margin of 2.25%, or 2.00% if the consolidated senior secured leverage ratio is less than or equal to 1.60 to 1.0. The revolving loa ns within the credit facilities are subject to a 0% floor. The revolving credit facilities also bear an unused line fee of 0.35% per annum, or 0.30% if the consolidated senior secured leverage ratio is less than or equal to 1.60 to 1.0, payable quarterly in arrears. The North American Credit Agreement matures on July 30, 2026. As of December 31, 2023, total availability under the North American Credit Agreement was $678.7 million, which was comprised of $107.6 million based on current ERC, and $571.1 million additional availability subject to debt covenants, including advance rates. Borrowings under the North American Credit Agreement are guaranteed by the Company's U.S. and Canadian subsidiaries (provided that the Canadian subsidiaries only guarantee borrowings under the Canadian revolving credit facility) and are secured by a first priority lien on substantially all of the Company's assets. The North American Credit Agreement contains events of default and restrictive covenants, including the following: • the ERC borrowing base is 35% for all eligible Core asset pools and 55% for all Insolvency eligible asset pools; • the Company's consolidated total leverage ratio cannot exceed 3.50 to 1.0 as of the end of any fiscal quarter; • the Company's consolidated senior secured leverage ratio cannot exceed 2.25 to 1.0 as of the end of any fiscal quarter; • subject to no default or event of default, cash dividends and distributions during any fiscal year cannot exceed $20.0 million; and • the Company must maintain positive consolidated income from operations during any fiscal quarter (other than for the quarter ended March 31, 2023). The outstanding balances and weighted average interest rates by type of borrowing under the credit facility as of December 31, 2023 and 2022, were as follows (dollar amounts in thousands): 2023 2022 Amount Outstanding Weighted Average Interest Rate Amount Outstanding Weighted Average Interest Rate Term loan $ 442,500 7.67 % $ 450,000 6.38 % Revolving credit facilities 396,303 7.67 186,365 6.33 United Kingdom ("UK") Revolving Credit Facility PRA Group Europe Holding I S.a r.l ("PRA Group Europe"), a wholly owned subsidiary of the Company, along with PRA Group UK Limited ("PRA UK") and the Company, as guarantors, are parties to a credit agreement (the "UK Credit Agreement") with the lenders party thereto and MUFG Bank, Ltd., London Branch, as the administrative agent (the "Administrative Agent"). The UK Credit Agreement consists of an $800.0 million revolving credit facility (subject to a borrowing base), and an accordion feature for up to $200.0 million in additional commitments, subject to certain conditions. Borrowings, which are available in U.S. dollars, euro and pounds sterling, accrue interest for the applicable term at SOFR, Sterling Overnight Index Average ("SONIA") or, in the case of euro borrowings, the Euro Interbank Offered Rate ("Euribor") plus an applicable margin of 2.75% per annum or, if the consolidated senior secured leverage ratio is less than or equal to 1.60 to 1.0, an applicable margin of 2.50% per annum. SOFR and SONIA borrowings carry an additional 0.10% credit adjustment spread, while Euribor borrowings carry no additional spread. The UK Credit Agreement also has a commitment fee of 0.30% per annum, payable quarterly in arrears. If the consolidated senior secured leverage ratio is greater than 1.60 to 1.0, the commitment fee increases to 0.35% per annum. The UK Credit Agreement matures on July 30, 2026. As of December 31, 2023, total availability under the UK Credit Agreement was $297.2 million, which was comprised of $59.9 million based on current ERC, and $237.3 million additional availability subject to debt covenants, including advance rates. The UK Credit Agreement is secured by substantially all of the assets of PRA UK, all of the equity interests in PRA UK and certain equity interests of PRA Group Europe, certain bank accounts of PRA Group Europe and certain intercompany loans extended by PRA Group Europe to PRA UK. The UK Credit Agreement contains events of default and restrictive covenants, including the following: • the borrowing base equals the sum of up to: (i) 35% of the ERC of PRA UK’s eligible asset pools; plus (ii) 55% of PRA UK’s Insolvency eligible asset pools; minus (iii) certain reserves to be established by the Administrative Agent; • the Company's consolidated leverage ratio cannot exceed 3.50 to 1.0 as of the end of any fiscal quarter; • the Company's consolidated senior secured leverage ratio cannot exceed 2.25 to 1.0 as of the end of any fiscal quarter; and • the Company must maintain positive consolidated income from operations during any fiscal quarter (other than for the quarter ended March 31, 2023). The outstanding balance and weighted average interest rate by type of borrowing under the UK Credit Agreement as of December 31, 2023 and 2022, respectively, were as follows (dollar amounts in thousands): 2023 2022 Amount Outstanding Weighted Average Interest Rate Amount Outstanding Weighted Average Interest Rate Revolving credit facility $ 502,847 7.80 % $ 453,528 5.54 % European Revolving Credit Facility The Company's wholly-owned subsidiary, PRA Group Europe Holding S.a r.l. ("PRA Group Europe Holding"), and its Swiss Branch, PRA Group Europe Holding S.a r.l. ("PRA Group Holding"), Luxembourg, Zug Branch (together, the "Borrowers"), along with certain of its affiliates and the Company, as guarantors, are parties to a credit agreement (the "European Credit Agreement") with the lenders party thereto and DNB Bank ASA as facility agent and security agent (the "Agent"). The European Credit Agreement provides revolving borrowings for an aggregate amount of approximately €730.0 million (subject to the borrowing base) and an uncommitted accordion feature for up to €500.0 million, subject to certain conditions. Borrowings, which are available in euro, Norwegian krone, Danish krone, Swedish krona and Polish zloty, accrue interest at the Interbank Offered Rate plus 2.80% - 3.80% (as determined by the estimated remaining collections ratio ("ERC Ratio") as defined in the European Credit Agreement), bear an unused line fee, currently 1.120% per annum, or 35% of the margin, are subject to a 0% floor, are payable monthly in arrears and mature November 23, 2027. Additionally, the Company has a separate agreement with the Agent for an overdraft facility in the aggregate amount of $40.0 million (subject to the borrowing base), which accrues interest (per currency) at the daily rates as published by the Agent, bears a facility line fee of 0.125% per quarter, payable quarterly in arrears. The European Credit Agreement matures on November 23, 2027. As of December 31, 2023, total availability under the European Credit Agreement (including the overdraft facility) was $307.1 million, which was comprised of $176.9 million based on current ERC, and $130.2 million additional availability subject to debt covenants, including advance rates. The European Credit Agreemen t is secured by a first perfected security interest in all of the equity interests in certain operating subsidiaries of the Borrowers, certain intercompany loans and certain shareholder loans extended by the Company to the Borrowers. Further, the Company guarantees all obligations and liabilities under the European Credit Agreement. The European Credit Agreement contains event of default and restrictive covenants including the following: • the Borrowers' ERC Ratio cannot exceed 45%; • the Company's consolidated total leverage ratio cannot exceed 3.50 to 1.0 as of the end of any fiscal quarter; • the Company's consolidated senior secured leverage ratio cannot exceed 2.25 to 1.0 as of the end of any fiscal quarter; • the Company must maintain positive consolidated income from operations at the end of any fiscal quarter (other than for the quarter ended March 31, 2023); • interest bearing deposits in AK Nordic AB cannot exceed SEK1.2 billion; and • the Borrowers' cash collections must meet certain thresholds, measured on a quarterly basis. The outstanding balances and weighted average interest rates by type of borrowing under the European Credit Agreement and the prior facility credit agreement as of December 31, 2023 and 2022, respectively, were as follows (dollar amounts in thousands): 2023 2022 Amount Outstanding Weighted Average Interest Rate Amount Outstanding Weighted Average Interest Rate Revolving credit facilities $ 538,565 8.05 % $ 419,856 5.94 % Senior Notes due 2029 On September 22, 2021, the Company completed the private offering of $350.0 million in aggregate principal amount of its 5.00% Senior Notes due October 1, 2029 (the "2029 Notes"). The 2029 Notes were issued pursuant to an Indenture dated September 22, 2021 (the "2021 Indenture"), between the Company and Regions Bank, as trustee. The 2021 Indenture contains customary terms and covenants, including certain events of default after which the 2029 Notes may be due and payable immediately. The 2029 Notes are senior unsecured obligations of the Company and are guaranteed on a senior unsecured basis by all of the Company's existing and future domestic restricted subsidiaries that guarantee the North American Credit Agreement, subject to certain exceptions. Interest on the 2029 Notes is payable semi-annually, in arrears, on October 1 and April 1 of each year. On or before October 1, 2024, the Company may redeem up to 40% of the aggregate principal amount of the 2029 Notes at a redemption price of 105.00% plus accrued and unpaid interest with the net cash proceeds of a public offering of common stock of the Company provided, that at least 60% in aggregate principal amount of the 2029 Notes remains outstanding immediately after the occurrence of such redemption and that such redemption will occur within 90 days of the date of the closing of such public offering. In ad dition, on or after October 1, 2024, the 2029 Notes may be redeemed, at the Company's option, in whole or in part at a price equal to 102.50% of the aggregate principal amount of the 2029 Notes being redeemed. The applicable redemption price changes if redeemed during the 12 months beginning October 1 of each year to 101.25% for 2025 and then 100% for 2026 and thereafter. In the event of a change of control, each holder will have the right to require the Company to repurchase all or any part of such holder's 2029 Notes at an offer price equal to 101% of the aggregate principal amount plus accrued and unpaid interest. If the Company sells assets under certain circumstances and does not use the proceeds for specified purposes, the Company will be required to make an offer to repurchase the 2029 Notes at 100% of their principal amount plus accrued and unpaid interest. Senior Notes due 2028 On February 6, 2023, the Company completed the private offering of $400.0 million in aggregate principal amount of its 8.375% Senior Notes due 2028 ("2028 Notes"). The 2028 Notes were issued pursuant to an Indenture dated February 6, 2023 (the "2023 Indenture"), between the Company and Regions Bank, as trustee. The 2023 Indenture contains customary terms and covenants, including certain events of default after which the 2028 Notes may be due and payable immediately. The 2028 Notes are senior unsecured obligations of the Company and are guaranteed on a senior unsecured basis by all of the Company's e xisting and future domestic restricted subsidiaries that guarantee the North American Credit Agreement, subject to certain exceptions. Interest on the 2028 Notes is payable semi-annually, in arrears, on February 1 and August 1 of each year. Substantially all of the net proceeds received from the 2028 Notes were used to retire the 2023 Notes (as defined below). The Company used the remainder of the net proceeds to repay a portion of its outstanding borrowings under the domestic revolving credit facility under the North America Credit Agreement. On or before February 1, 2025, the Company may redeem up to an aggregate of 40% of the aggregate principal amount of the 2028 Notes at a redemption price of 108.375% plus accrued and unpaid interest with the net cash proceeds of a public offering of common stock of the Company, provided that at least 60% in aggregate principal amount of the 2028 Notes remains outstanding immediately after the occurrence of such redemption and that such redemption will occur within 90 days of the date of the closing of such public offering. In addition, on or after February 1, 2025, t he 2028 Notes may be redeemed at the Company's option in whole or in part at a price equal to 104.188% of the aggregate principal amount of the 2028 Notes being redeemed. The applicable redemption price changes if redeemed during the 12 months beginning February 1 of each year to 102.094% for 2026 and then 100% for 2027 and thereafter. In the event of a change of control, each holder will have the right to require the Company to repurchase all or any part of such holder's 2028 Notes at an offer price equal to 101% of the aggregate principal amount plus accrued and unpaid interest. If the Company sells assets under certain circumstances and does not use the proceeds for specified purposes, the Company will be required to make an offer to repurchase the 2028 Notes at 100% of their principal amount plus accrued and unpaid interest. During the year ended December 31, 2023 , the Company repurchased $2.0 million in aggregate principal amount of the 2028 Notes. Senior Notes due 2025 On August 27, 2020, the Company completed the private offering of $300.0 million in aggregate principal amount of its 7.375% Senior Notes due September 1, 2025 (the "2025 Notes" and, together with the 2029 Notes and the 2028 Notes, the "Senior Notes"). The 2025 Notes were issued pursuant to an Indenture dated August 27, 2020 (the "2020 Indenture"), between the Company and Regions Bank, as trustee. The 2020 Indenture contains customary terms and covenants, including certain events of default after which the 2025 Notes may be due and payable immediately. The 2025 Notes are senior unsecured obligations of the Company and are guaranteed on a senior unsecured basis by all of the Company's existing and future domestic restricted subsidiaries that guarantee the North American Credit Agreement, subject to certain exceptions. Interest on the 2025 Notes is payable semi-annually, in arrears, on March 1 and September 1 of each year. The 2025 Notes may be redeemed, at the Company's option, in whole or in part, at a price equal to 101.844% of the aggregate principal amount of the 2025 Notes being redeemed. The applicable redemption price changes to 100% if redeemed during the 12 months beginning September 1, 2024. In the event of a change of control, each holder will have the right to require the Company to repurchase all or any part of such holder's 2025 Notes at a price equal to 101% of their aggregate principal amount, plus accrued and unpaid interest. If the Company sells assets under certain circumstances and does not use the proceeds for specified purposes, the Company will be required to make an offer to repurchase the 2025 Notes at 100% of their principal amount plus accrued and unpaid interest. During the year ended December 31, 2023 , the Company repurchased $2.0 million in aggregate principal amount of the 2025 Notes. Convertible Senior Notes due 2023 The Company used substantially all of the net proceeds from the issuance of the 2028 Notes to retire the $345.0 million aggregate principal amount of its 3.50% Convertible Senior Notes at their maturity on June 1, 2023 (the "2023 Notes" or the "Convertible Notes"). Interest expense on the 2023 Notes was recognized using an effective interest rate of 4.00%, and for the years ended December 31, 2023, 2022 and 2021, was as follows (amounts in thousands): 2023 2022 2021 Interest expense - stated coupon rate $ 5,032 $ 12,075 $ 12,075 Interest expense - amortization of debt issuance costs 748 1,727 1,660 Total interest expense - Convertible Notes $ 5,780 $ 13,802 $ 13,735 Interest Expense, net The Company incurs interest expense on its borrowings, interest-bearing deposits, and interest rate derivatives. The Company earns interest income on certain of its cash and cash equivalents, restricted cash and its interest rate derivatives. Interest expense, net was as follows for the years ended December 31, 2023, 2022 and 2021 (amounts in thousands): 2023 2022 2021 Interest expense $ 194,667 $ 132,905 $ 125,231 Interest income (12,943) (2,228) (1,088) Interest expense, net $ 181,724 $ 130,677 $ 124,143 |
Property and Equipment, net
Property and Equipment, net | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment, Net [Abstract] | |
Property and Equipment, net | Property and Equipment, net: Property and equipment, net consisted of the following as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Software $ 70,924 $ 71,775 Computer equipment 21,771 24,685 Furniture and fixtures 16,814 17,751 Equipment 12,649 15,819 Leasehold improvements 18,711 22,486 Building and improvements 19,637 19,931 Land 1,407 1,407 Accumulated depreciation and impairment (126,452) (123,141) Assets in process 989 932 Property and equipment, net $ 36,450 $ 51,645 Depreciation expense related to property and equipment for the years ended December 31, 2023, 2022 and 2021 was $13.1 million , $14.9 million and $15.1 million, respectively. During the year ended December 31, 2023, the Company recorded an im |
Fair Value
Fair Value | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Fair Value: As defined by ASC Topic 820, "Fair Value Measurement and Disclosures" ("ASC 820"), fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. ASC 820 requires the consideration of different input levels in the determination of fair value, as follows: • Level 1: Quoted prices in active markets for identical assets and liabilities. • Level 2: Observable inputs other than Level 1 quoted prices, such as quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market. • Level 3: Unobservable inputs that are supported by little or no market activity. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. The level in the fair value hierarchy within which a fair value measurement in its entirety falls is based on the lowest level input that is significant to the fair value measurement in its entirety. Financial Instruments Not Carried at Fair Value In accordance with the disclosure requirements of ASC Topic 825, "Financial Instruments" ("ASC 825"), the table below summarizes fair value estimates of the Company's financial instruments that are not carried at fair value. The total of the fair values presented does not represent, and should not be construed to represent, the underlying value of the Company. The carrying amounts in the table below reflect the amounts recorded in the Company's Consolidated Balance Sheets as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Carrying Estimated Carrying Estimated Financial assets: Cash and cash equivalents $ 112,528 $ 112,528 $ 83,376 $ 83,376 Finance receivables, net 3,656,598 $ 3,167,798 3,295,008 3,167,813 Financial liabilities: Interest-bearing deposits 115,589 115,589 112,992 112,992 Revolving lines of credit 1,437,715 1,437,715 1,060,251 1,060,251 Term loan 442,500 442,500 450,000 450,000 Senior Notes 1,046,000 964,907 650,000 580,433 Convertible notes — — 345,000 341,926 Disclosure of the estimated fair values of financial instruments often requires the use of estimates. The carrying amount and estimates of the fair value of the Company's debt obligations do not include any related debt issuance costs associated with the debt obligations. The Company uses the following methods and assumptions to estimate the fair value of financial instruments: Cash equivalents: The carrying amount approximates fair value due to the short-term nature of the instruments and the observable quoted prices for identical assets in active markets. Accordingly, the Company uses Level 1 inputs for its fair value estimates. Finance receivables, net: The Company estimates the fair value of these receivables using proprietary pricing models that the Company utilizes to make portfolio acquisition decisions. Accordingly, the Company's fair value estimates use Level 3 inputs as there is little observable market data available and management is required to use significant judgment in its estimates. Interest-bearing deposits: The carrying amount approximates fair value due to the short-term nature of the deposits and the observable quoted prices for similar instruments in active markets. Accordingly, the Company uses Level 2 inputs for its fair value estimates. Revolving lines of credit: The carrying amount approximates fair value due to the short-term nature of the interest rate periods and the observable quoted prices for similar instruments in active markets. Accordingly, the Company uses Level 2 inputs for its fair value estimates. Term loan: The carrying amount approximates fair value due to the short-term nature of the interest rate periods and the observable quoted prices for similar instruments in active markets. Accordingly, the Company uses Level 2 inputs for its fair value estimates. Senior Notes and Convertible Notes: The fair value estimates for the Senior Notes and Convertible Notes incorporate quoted market prices obtained from secondary market broker quotes, which were derived from a variety of inputs including client orders, information from their pricing vendors, modeling software, and actual trading prices when they occur. Accordingly, the Company uses Level 2 inputs for its fair value estimates. Financial Instruments Carried At Fair Value Carrying amounts shown in the following tables were measured at fair value on a recurring basis in the Company's Consolidated Balance Sheets as of December 31, 2023 and 2022 (amounts in thousands): Fair Value Measurements as of December 31, 2023 Level 1 Level 2 Level 3 Total Assets: Government securities $ 59,470 $ — $ — $ 59,470 Derivative contracts (recorded in Other assets) — 22,777 — 22,777 Liabilities: Derivative contracts (recorded in Other liabilities) — 20,403 — 20,403 Fair Value Measurements as of December 31, 2022 Level 1 Level 2 Level 3 Total Assets: Government securities $ 66,813 $ — $ — $ 66,813 Derivative contracts (recorded in Other assets) — 37,792 — 37,792 Liabilities: Derivative contracts (recorded in Other liabilities) — 19,120 — 19,120 Government securities: Fair value of the Company's investment in government instruments is estimated using quoted market prices. Accordingly, the Company uses Level 1 inputs. Derivative contracts: Fair value of derivative contracts is estimated using industry standard valuation models. These models project future cash flows and discount the future amounts to a present value using market-based observable inputs, including interest rate curves and other factors. Accordingly, the Company uses Level 2 inputs for its fair value estimates. Investments Measured Using Net Asset Value ("NAV") Private equity funds: This class of investments consists of private equity funds that invest primarily in loans and securities, including single-family residential debt; corporate debt products; and financially-oriented, real-estate-rich and other operating companies in the Americas, Western Europe and Japan. The fair value of these private equity funds, following the application of the NAV practical expedient, was $2.5 million a nd $4.4 million as of December 31, 2023 and 2022 , respectively. Impairment of Real Estate During the year ended December 31, 2023 |
Derivatives
Derivatives | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives: The following table summarizes the fair value of derivative financial instruments as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives designated as hedging instruments: Interest rate contracts Other assets $ 21,770 Other assets $ 37,305 Interest rate contracts Other liabilities 11,627 Other liabilities — Derivatives not designated as hedging instruments: Foreign currency contracts Other assets 1,007 Other assets 487 Foreign currency contracts Other liabilities 8,776 Other liabilities 19,120 Derivatives Designated as Hedging Instruments: Changes in the fair value of derivative contracts designated as cash flow hedging instruments are recognized in OCI. As of December 31, 2023 and 2022 , the notional amount of interest rate contracts designated as cash flow hedging instruments was $872.3 million and $719.7 million, respectively. Derivatives designated as cash flow hedging instruments were evaluated and remained highly effective as of December 31, 2023, and have remaining terms from one month to five years. The Company estimates that approximate ly $13.2 million of net derivative gains inclu ded in OCI will be reclassified into earnings within the next 12 months. The following tables summarize the effects of derivatives designated as cash flow hedging instruments for the years ended December 31, 2023, 2022 and 2021 (amounts in thousands): Gain/(loss) recognized in OCI, net of tax Derivatives designated as cash flow hedging instruments 2023 2022 2021 Interest rate contracts $ 468 $ 32,650 $ 17,961 Gain/(loss) reclassified from OCI into income Location of gain/(loss) reclassified from OCI into income 2023 2022 2021 Interest expense, net $ 23,158 $ (976) $ (12,722) As of December 31, 2023, with the discontinuation of LIBOR on June 30, 2023, and transition of the Company's interest rate swaps from LIBOR to SOFR, the Company has discontinued all prior elections under ASU 2021-01, "Reference Rate Reform (Topic 848): Overall"; and ASU 2022-06, "Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848". Derivatives Not Designated as Hedging Instruments: The Company enters into foreign currency contracts to economically hedge foreign currency re-measurement exposure related to certain balances denominated in currencies other than the functional currency of the Company or its international subsidiaries. Changes in fair value of derivative contracts not designated as hedging instruments are recognized in earnings. As of December 31, 2023 and 2022 , the notional amount of foreign currency contracts was $368.5 million a nd $460.8 million, respectively. The following table summarizes the effects of derivatives not designated as hedging instruments in the Company’s Consolidated Income Statements for the years ended December 31, 2023, 2022 and 2021 (amounts in thousands): Gain/(loss) recognized in income Derivatives not designated as hedging instruments Location of gain/(loss) recognized in income 2023 2022 2021 Foreign currency contracts Foreign exchange gain/(loss), net $ (10,330) $ 38,808 $ 12,160 Foreign currency contracts Interest expense, net 1,603 (364) 406 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss: Reclassifications out of Accumulated other comprehensive loss for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): Gains/(losses) on cash flow hedges 2023 2022 Location in the Consolidated Income Statement Interest rate swaps $ 23,158 $ (976) Interest expense, net Income tax effect of item above (1) (1,483) 451 Income tax expense/(benefit) Total gains/(losses) on cash flow hedges $ 21,675 $ (525) (1) Income tax effects are released from Accumulated other comprehensive loss contemporaneously with the related gross pretax amount. Changes in Accumulated other comprehensive loss by component, after tax, for the years ended December 31, 2023, 2022 and 2021 were as follows (amounts in thousands): Debt Securities Available for Sale Cash Flow Hedges Currency Translation Adjustment Accumulated Other Comprehensive Loss 1 Balance as of December 31, 2020 $ 127 $ (33,349) $ (212,569) $ (245,791) Other comprehensive gain/(loss) before reclassifications (348) 17,961 (48,748) (31,135) Reclassifications, net — 10,017 — 10,017 Net current period other comprehensive gain/(loss) (348) 27,978 (48,748) (21,118) Balance as of December 31, 2021 $ (221) $ (5,371) $ (261,317) $ (266,909) Other comprehensive gain/(loss) before reclassifications (16) 32,650 (114,176) (81,542) Reclassifications, net — 525 — 525 Net current period other comprehensive gain/(loss) (16) 33,175 (114,176) (81,017) Balance as of December 31, 2022 $ (237) $ 27,804 $ (375,493) $ (347,926) Other comprehensive gain before reclassifications 302 468 38,932 39,702 Reclassifications, net — (21,675) — (21,675) Net current period other comprehensive gain/(loss) 302 (21,207) 38,932 18,027 Balance as of December 31, 2023 $ 65 $ 6,597 $ (336,561) $ (329,899) (1) Net of deferred taxes for unrealized gains from cash flow hedges of $(2.2) million , $(9.2) million and $(3.1) million for the years ended December 31, 2023, 2022 and 2021 , respectively. |
Share-Based Compensation
Share-Based Compensation | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | |
Share-Based Compensation | Share-Based Compensation: The Company has a stockholder approved Omnibus Incentive Plan (the "Plan") that is intended to assist the Company in attracting and retaining selected individuals to serve as employees and directors who are expected to contribute to the Company's success and achievement of long-term objectives that will benefit the Company's stockholders. The Plan enables the Company to award shares of the Company's common stock to select employees and directors. As of December 31, 2023, th ere were approximately 3.8 million shares available to be awarded under the Plan. Total share-based compensation expense was $11.1 million, $13.0 million and $15.9 million for the years ended December 31, 2023, 2022 and 2021 , respectively. The Company recognizes all excess tax benefits and tax deficiencies in the income statement when the awards vest or are settled . The total tax benefit/(deficiency) realized from share-based compensation was $(1.6) million , $6.0 million and $3.9 million for the years ended December 31, 2023, 2022 and 2021, respectively. Nonvested Shares As of December 31, 2023 , total future compensation expense related to nonvested share grants to individual employee plans and directors (not including nonvested shares granted under the Long-Term Incentive ("LTI") program discussed below), is estimated to be $11.3 million, with a weighted average remaining lif e of 1.4 years . F or most of these grants, the Company assumed a 5.0% forfeiture rate, ratable vesting over one The following table summarizes nonvested share activity, excluding those issued pursuant to the LTI program, from December 31, 2020 through December 31, 2023 (amounts in thousands, except per share amounts): Nonvested Shares Outstanding Weighted-Average Price at Grant Date Balance as of December 31, 2020 555 $ 34.23 Granted 312 38.14 Vested (320) 33.80 Forfeited (37) 36.06 Balance as of December 31, 2021 510 36.76 Granted 351 41.64 Vested (269) 35.41 Forfeited (36) 40.85 Balance as of December 31, 2022 556 40.23 Granted 482 32.90 Vested (278) 40.14 Forfeited (208) 41.08 Balance as of December 31, 2023 552 $ 33.55 The total grant date fair value of shares vested during the years ended December 31, 2023, 2022 and 2021, excluding those granted under the LTI program, was $11.2 million , 9.5 million and $10.8 million, respectively. Long-Term Incentive Program Pursuant to the Plan, the Compensation Committee may grant time-vested and performance-based share awards. All shares granted under the LTI program were granted to key employees of the Company. The following table summarizes LTI share activity from December 31, 2020 through December 31, 2023 (amounts in thousands, except per share amounts): Nonvested LTI Shares Outstanding Weighted-Average Price at Grant Date Balance as of December 31, 2020 392 $ 34.30 Granted at target level 148 37.45 Adjustments for actual performance (10) 39.40 Vested (99) 39.40 Forfeited (24) 35.31 Balance as of December 31, 2021 407 34.01 Granted at target level 127 44.90 Adjustments for actual performance 64 28.28 Vested (222) 28.28 Forfeited (21) 40.45 Balance as of December 31, 2022 355 40.07 Granted at target level 130 52.55 Adjustments for actual performance 17 39.04 Vested (153) 39.47 Forfeited (191) 46.58 Balance as of December 31, 2023 158 $ 42.94 The total grant date fair value of LTI shares vested during the years ended December 31, 2023, 2022 and 2021, was $6.0 million , $6.3 million and $3.9 million, respectively. As of December 31, 2023 , total future compensation expense related to nonvested shares granted under the LTI program, assuming the current estimated performance levels are achieved, is estimated to be $1.7 million . The Company assumed a 5.0% forfeiture rate for these grants, and the remaining shares have a weighted average remaining life of 1 year as of December 31, 2023 . |
Earnings per Share
Earnings per Share | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Earnings per Share | Earnings per Share: The following table provides a reconciliation between the computation of basic EPS and diluted EPS for the years ended December 31, 2023, 2022 and 2021 (amounts in thousands, except per share amounts): 2023 2022 2021 Net Loss Attributable to PRA Group, Inc. Weighted Average Common Shares EPS Net Income Attributable to PRA Group, Inc. Weighted Average Common Shares EPS Net Income Attributable to PRA Group, Inc. Weighted Average Common Shares EPS Basic EPS $ (83,477) 39,177 $ (2.13) $ 117,147 39,638 $ 2.96 $ 183,158 44,960 $ 4.07 Dilutive effect of nonvested share awards — — — — 250 (0.02) — 370 (0.03) Diluted EPS $ (83,477) 39,177 $ (2.13) $ 117,147 39,888 $ 2.94 $ 183,158 45,330 $ 4.04 On February 25, 2022, the Company's Board of Directors approved a share repurchase program under which the Company is authorized to repurchase up to $150.0 million of its common stock. As of December 31, 2023, the Company had $67.7 million remaining for share repurchases under the program, which is subject to restrictive covenants contained in the credit facilities and indentures that govern the Senior Notes. There were no repurchases during 2023. There were no options outstanding, antidilutive or otherwise, as of December 31, 2023, 2022 and 2021 . |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes: Income tax expense/(benefit) for the years ended December 31, 2023, 2022 and 2021 was comprised of the following (amounts in thousands): Federal State International Total For the year ended December 31, 2023: Current tax expense $ 160 $ 1,697 $ 17,953 $ 19,810 Deferred tax benefit (25,921) (7,956) (2,066) (35,943) Total income tax expense/(benefit) $ (25,761) $ (6,259) $ 15,887 $ (16,133) For the year ended December 31, 2022: Current tax expense $ 8,797 $ 385 $ 26,998 $ 36,180 Deferred tax expense/(benefit) (2,848) (386) 3,841 607 Total income tax expense/(benefit) $ 5,949 $ (1) $ 30,839 $ 36,787 For the year ended December 31, 2021: Current tax expense $ 30,659 $ 5,397 $ 11,958 $ 48,014 Deferred tax expense/(benefit) (3,056) (323) 10,182 6,803 Total income tax expense $ 27,603 $ 5,074 $ 22,140 $ 54,817 A reconciliation of the Company's expected tax expense/(benefit) at the U.S. statutory federal tax rate to actual tax expense/(benefit) for the years ended December 31, 2023, 2022 and 2021, was as follows (amounts in thousands): 2023 2022 2021 Income tax expense/(benefit) at the statutory federal rate $ (17,406) $ 32,505 $ 52,568 State tax expense/(benefit), net of federal tax benefit (4,886) (18) 4,303 Tax impact on international earnings, excluding uncertain tax positions 2,058 1,175 (4,449) Nondeductible legal settlement expenses 3,017 — — Nondeductible compensation 117 3,025 2,212 Other 967 100 183 Total income tax expense/(benefit) $ (16,133) $ 36,787 $ 54,817 Effective tax rate 19.5 % 23.8 % 21.9 % As of December 31, 2023 and 2022, the components of deferred tax assets and liabilities were as follows (amounts in thousands): 2023 2022 Deferred tax assets: Employee compensation $ 6,044 $ 5,177 Net operating loss carryforward 159,699 126,549 Interest 11,959 11,042 Lease liability 8,615 10,667 Other 2,561 — Valuation allowance (70,245) (68,929) Total deferred tax asset 118,633 84,506 Deferred tax liabilities: Property and equipment (1,716) (4,178) Intangible assets and goodwill (6,053) (5,118) ROU asset (7,775) (9,731) Finance receivable revenue recognition - international (31,538) (12,074) Finance receivable revenue recognition - domestic (6,197) (27,181) Other (7,711) (12,234) Total deferred tax liability (60,990) (70,516) Net deferred tax asset $ 57,643 $ 13,990 As of December 31, 2023 and 2022, the valuation allowance related mainly to net operating losses, capital losses and deferred interest expense in Norway and Luxembourg. The Company believes it is more likely than not that the results of future operations will generate sufficient taxable income to realize the remaining net deferred tax asset. As of December 31, 2023, the Company had deferred tax assets related to federal, state and foreign net operating loss carryforwards of $159.7 million, and as of the same date, there were $58.0 million of valuation allowances recorded against those deferred tax assets. The federal net operating loss carryforward has an indefinite carryforward period, while the state and foreign net operating losses generally have a five As of December 31, 2023, the cumulative unremitted earnings of the Company's international subsidiaries were approximate ly $217.3 million . The Company intends for predominantly all international earnings to be indefinitely reinvested in its international operations; therefore, recording deferred tax liabilities for such unremitted earnings is not required. If international earnings were repatriated or deemed repatriated due to intercompany loans, the Company may need to accrue and pay taxes, although foreign tax credits and exemptions may be available to partially reduce or eliminate income and withholding taxes. Any deemed repatriations from intercompany loans would be expected to have little or no tax impact. It is impracticable to determine the total amount of unrecognized deferred taxes with respect to these indefinitely reinvested earnings. Uncertain Tax Positions Aggregate changes in the balance of gross unrecognized tax benefits for the years ended December 31, 2023, 2022 and 2021 were as follows (amounts in thousands): 2023 2022 2021 Balance as of the beginning of year $ 101,703 $ 114,294 $ 110,425 Increase (decrease) related to tax positions taken during a prior year (1) 4,001 (12,591) 3,869 Balance as of the end of year $ 105,704 $ 101,703 $ 114,294 (1) Relates to international transactions and are primarily due to foreign exchange rate fluctuations. As of December 31, 2023 and 2022, t he total amount of after-tax unrecognized tax benefits that, if recognized, would affect the effective tax rate, was $20.5 million and $19.7 million, respectively. As of December 31, 2023 and 2022 , the Company had accrued for potential interest and penalties related to unrecognized tax benefits in the amounts of $3.9 million and $3.0 million, respectively. During the next 12 months, it is possible that international tax reserves will be reduced for audit settlements, however, the Company is unable to predict the outcome of those audits. As of December 31, 2023 , the tax years subject to examination by the major federal, state and international taxing jurisdictions are 2014 and subsequent years. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies: Forward Flow Agreements: The Company enters into forward flow agreements for the purchase of nonperforming loans. These agreements typically have terms ranging from three to 12 months and establish purchase prices and specific criteria for the accounts to be purchased. Some of the agreements establish a volume reference for the contract term in the form of a target or maximum, however, very few agreements establish a minimum contractual obligation, and many of the contracts contain early termination provisions allowing either party to cancel the agreements in accordance with a specified notice period. The amounts purchased are also dependent on actual delivery by the sellers, and while purchases under these agreements comprise a significant portion of the Company's overall purchases, as of December 31, 2023, the minimum purchase obligation under these forward flow agreements was not significant. Litigation and Regulatory Matters: The Company and its subsidiaries are from time to time subject to a variety of legal and regulatory claims, inquiries and proceedings and regulatory matters, most of which are incidental to the ordinary course of its business. The Company initiates lawsuits against customers and is occasionally countersued by them in such actions. Also, customers, either individually, as members of a class action, or through a governmental entity on behalf of customers, may initiate litigation against the Company in which they allege that the Company has violated a law in the process of collecting on an account. From time to time, other types of lawsuits are brought against the Company. Additionally, the Company receives subpoenas and other requests or demands for information from regulators or governmental authorities who are investigating the Company's debt collection activities. The Company accrues for potential liability arising from legal proceedings and regulatory matters when it is probable that such liability has been incurred and the amount of the loss can be reasonably estimated. This determination is based upon currently available information for those proceedings in which the Company is involved, taking into account the Company's best estimate of such losses for those cases for which such estimates can be made. The Company's estimate involves significant judgment, given the varying stages of the proceedings (including the fact that many of them are currently in preliminary stages), the number of unresolved issues in many of the proceedings (including issues regarding class certification and the scope of many of the claims), and the related uncertainty of the potential outcomes of these proceedings. In making determinations of the likely outcome of pending litigation, the Company considers many factors, including, but not limited to, the nature of the claim, the Company's experience with similar types of claims, the jurisdiction in which the matter is filed, input from outside legal counsel, the likelihood of resolving the matter through alternative mechanisms, the matter's current status and the damages sought or demands made. Accordingly, the Company's estimate will change from time to time, and actual losses could exceed the current estimate. The Company believes that the estimate of the aggregate range of reasonably possible losses in excess of the amount accrued for its legal proceedings outstanding at December 31, 2023 , where the range of loss can be estimated, was not material. In certain legal proceedings, the Company may have recourse to insurance or third-party contractual indemnities to cover all or portions of its litigation expenses, judgments, or settlements. Loss estimates and accruals for potential liability related to legal proceedings are typically exclusive of potential recoveries, if any, under the Company's insurance policies or third-party indemnities. The matters described below fall outside of the normal parameters of the Company's routine legal proceedings. Consumer Financial Protection Bureau ("CFPB") Investigation Portfolio Recovery Associates, LLC ("LLC"), the Company's wholly owned subsidiary, entered into a consent order with the CFPB effective September 9, 2015, settling a previously disclosed investigation of certain debt collection practices of LLC (the "2015 Consent Order"). On March 23, 2023, the CFPB filed a lawsuit against LLC alleging, among other things, that LLC had violated the 2015 Consent Order, along with certain federal consumer financial laws. On the same date, the CFPB and LLC entered into a stipulated final judgment and order to resolve the lawsuit. As part of the settlement, LLC agreed to pay a civil monetary penalty of $12.0 million. Additionally, LLC agreed to make a minimum of $12.2 million in redress payments to impacted customers, with such amount transferred into a qualified settlement fund in 2023. As of December 31, 2023, the Company has accrued for the estimated remaining amount payable of $1.9 million. Multi-State Investigation On November 17, 2015, the Company received civil investigative demands from multiple state Attorneys General offices ("AGOs") broadly relating to its U.S. debt collection practices. The Company believes that it has fully cooperated with the investigations and discussed resolution of the investigations with the AGOs. In these discussions, the AGOs have taken positions with which the Company disagrees, including positions related to penalties, restitution and/or the adoption of new practices and controls in the conduct of the Company's business. The Company and the AGOs are in continued negotiations to resolve the matter, and the Company has accrued for the estimated loss on this matter. Although the Company has settled certain claims with one of the states, it is possible that one or more of the remaining individual state AGOs may file claims against the Company if the Company is unable to resolve its differences with them. Iris Pounds v. Portfolio Recovery Associates, LLC The plaintiff filed a putative class action on November 21, 2016, against the Company alleging violations of certain North Carolina statutes pertaining to debt collection practices. The Company executed a settlement agreement for this matter, which was pre-approved by the North Carolina General Court of Justice on January 12, 2024, and the Company has accrued for the estimated loss on this matter. Telephone Consumer Protection Act ("TCPA") Litigation On January 25, 2017, the Company resolved the matter of In Re Portfolio Recovery Associates, LLC Telephone Consumer Protection Act Litigation , which consisted of a number of class actions and single plaintiff claims consolidated by order of the Panel for Multi-District Litigation ("MDL"). While the settlement disposed of a large number of claims, several hundred class members opted out ("Opt-Out Plaintiffs") of that settlement. Many of these Opt-Out Plaintiffs had been consolidated before the MDL appointed court, which was the U.S. District Court for the Southern District of California. The Company's motion for Summary Judgement was granted on July 5, 2023. The MDL was closed on November 29, 2023, and the individual cases were remanded to their originating jurisdictions for dismissal of the TCPA claims and adjudication or resolution of any non-TCPA claims. |
Retirement Plans
Retirement Plans | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Retirement Plans | Retirement Plans: The Company sponsors defined contribution plans, primarily in the U.S. and Europe. The U.S. plan is organized as a 401(k) plan under which all employees over 18 years of age are eligible to make voluntary contributions to the plan up to 100% of their compensation, subject to IRS limitations, after completing six months of service, as defined in the plan. The Company makes matching contributions of up to 4% of an employee's salary. For the defined contribution plans in Europe, the Company pays contributions to publicly or privately administered pension insurance plans on a mandatory, contractual or voluntary basis. Total compensation expense related to the Company's contributio ns was $7.2 million , $7.2 million and $6.5 million for the years ended December 31, 2023, 2022 and 2021 , respectively. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||
Net Income (Loss) Attributable to Parent | $ (83,477) | $ 117,147 | $ 183,158 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
General and Summary of Signif_2
General and Summary of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of presentation: |
Reclassification of prior year presentation | Reclassification of prior year presentation : Certain prior year amounts have been reclassified for consistency with the current year presentation. Fee income is now included within Other revenue in the Consolidated Income Statements. |
Consolidation | Consolidation: The Consolidated Financial Statements include the accounts of PRA Group and other entities in which the Company has a controlling interest. All significant intercompany accounts and transactions have been eliminated. Entities in which the Company has a controlling financial interest, through ownership of the majority of the entities’ voting equity interests, or through other contractual rights that give the Company control, consist of entities that purchase and collect on portfolios of nonperforming loans. Noncontrolling interests represent the portion of net income and equity attributable to third-party owners of consolidated subsidiaries that are not wholly-owned by the Company. These noncontrolling interests relate primarily to funds in Brazil that invest in nonperforming loan portfolios. Investments in companies in which the Company has significant influence over operating and financing decisions, but does not own a majority of the voting equity interests, are accounted for in accordance with the equity method of accounting, which requires the Company to recognize its proportionate share of the entity’s net earnings. The Company's equity method investment is included in Other assets, with income or loss included in Other revenue. The Company performs on-going reassessments whether changes in the facts and circumstances regarding the Company’s involvement with an entity could cause the Company’s consolidation conclusion to change. |
Foreign currency | Foreign currency: Assets and liabilities have been translated into the reporting currency using the exchange rates in effect on the date of the Consolidated Balance Sheets. Equity accounts are translated at historical rates, except for the change in retained earnings during the year, which is the result of the income statement translation process. Revenue and expense accounts are translated using the weighted average exchange rate during the period. The cumulative translation adjustments associated with the net assets of international subsidiaries are recorded in Accumulated other comprehensive loss in the accompanying Consolidated Statements of Changes in Equity. |
Segments | Segments: The Company has determined that it has two operating segments that meet the aggregation criteria of Accounting Standards Codification ("ASC") 280, Segment Reporting ("ASC 280"), and, therefore, it has one reportable segment. This conclusion is based on similarities among the operating segments, including economic characteristics, the nature of the products and services, the nature of the production processes, the types or classes of customers for their services, the methods used to distribute their services and the nature of the regulatory environment. |
Cash and cash equivalents | Cash and cash equivalents: The Company considers all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. Restricted cash: Cash that is subject to legal restrictions or is unavailable for general operating purposes is classified as restricted cash and included in Other assets in the Company's Consolidated Balance Sheets. |
Concentrations of credit risk | Concentrations of credit risk: Financial instruments, which potentially expose the Company to concentrations of credit risk, consist primarily of cash and cash equivalents, investments, derivative financial instruments and finance receivables. |
Accumulated other comprehensive income/(loss) | Accumulated other comprehensive loss: The Company records unrealized gains and losses on certain available-for-sale investments and foreign currency translation adjustments in other comprehensive income ("OCI"). Unrealized gains and losses on available for sale investments are reclassified to earnings as the gains or losses are realized upon sale of the securities. Translation gains or losses on foreign currency translation adjustments are reclassified to earnings upon the substantial sale or liquidation of investments in international operations. For the Company’s derivative financial instruments that are designated as hedging instruments, the change in fair value is recorded in OCI. |
Investments | Investments: Debt Securities: The Company determines the appropriate classification of its investments in debt securities at the time of purchase and reevaluates such determinations at each balance sheet date. Debt securities are classified as held-to-maturity when the Company has the positive intent and ability to hold the securities to maturity. Held-to-maturity securities are carried at amortized cost. Debt securities which the Company does not have the intent or ability to hold to maturity are classified as available-for-sale. Available-for-sale securities are carried at fair market value. Fair value is determined using quoted market prices. Unrealized gains and losses are included in comprehensive income and reported in stockholders' equity. The Company evaluates debt securities for impairment. When there has been a decline in fair value below the amortized cost, the Company recognizes an impairment if: (1) it has the intent to sell the security; (2) it is more likely than not that it will be required to sell the security before recovery of the amortized cost; or (3) it does not expect to recover the entire amortized cost of the security. If the Company identifies that the decline in fair value has resulted from credit losses, the credit loss component is recognized as an allowance in the Consolidated Balance Sheets with a corresponding charge to Other expense in the Consolidated Income Statements. The non-credit loss component remains in Other comprehensive loss until realized from a sale or subsequent impairment. Equity Securities: Investments in equity securities are measured at fair value with unrealized gains and losses reported in earnings. Equity Method Investments: Equity investments that are not consolidated, but over which the Company exercises significant influence, are accounted for as equity method investments. Whether or not the Company exercises significant influence with respect to an investee company depends on an evaluation of several factors including, among others, representation on the investee company’s board of directors and ownership level, which is generally a 20% to 50% interest in the voting securities of the investee company. Under the equity method of accounting, an investee company’s accounts are not reflected within the Company’s Consolidated Balance Sheets and Income Statements; rather, the Company’s share of the earnings or losses of the investee company is reflected in Other revenue in the Consolidated Income Statements. The Company’s carrying value in an equity method investee company is reflected in Investments in the Company’s Consolidated Balance Sheets. When the Company’s carrying value in an equity method investee company is reduced to zero, no further losses are recorded in the Company’s Consolidated Financial Statements unless the Company guaranteed obligations of the investee company or has committed additional funding. When the investee company subsequently reports income, the Company will not record its share of such income until it equals the amount of its share of losses not previously recognized. |
Finance receivables and income recognition | Finance receivables and income recognition: The Company's financial assets (or a group of financial assets) are measured at amortized cost and presented at the net amount expected to be collected. Credit quality information : The Company acquires portfolios of accounts that have experienced deterioration of credit quality between origination and the Company's acquisition of the accounts. The amount paid for a portfolio reflects the Company's determination that it is probable the Company will be unable to collect all amounts due according to an account's contractual terms. The Company accounts for the portfolios in accordance with the guidance for purchased credit deteriorated ("PCD") assets. The initial allowance for credit losses is added to the purchase price rather than recorded as a credit loss expense. The Company has established a policy to write off the amortized cost of individual assets when it deems probable that it will not collect on an individual asset. Due to the deteriorated credit quality of the individual accounts, the Company may write off the unpaid principal balance of all accounts in a portfolio at the time of acquisition. However, when the Company has an expectation of collecting cash flows at the portfolio level, a negative allowance is established for expected recoveries at an amount not to exceed the amount paid for the financial portfolios. The negative allowance is recorded as an asset and presented as Finance receivables, net in the Company's Consolidated Balance Sheets. Portfolio segments : The Company develops systematic methodologies to determine its allowance for credit losses at the portfolio segment level. The Company’s nonperforming loan portfolio segments consist of two broad categories: Core and Insolvency. The Company’s Core portfolios contain loan accounts that are in default and that were purchased at a substantial discount to face value because either the credit originator and/or other third-party collection agencies have been unsuccessful in collecting the full balance owed. The Company’s Insolvency portfolios contain loan accounts that are in default and the customer is involved in a bankruptcy or insolvency proceeding and the accounts were purchased at a substantial discount to face value. Each of the two broad portfolio segments of purchased nonperforming loan portfolios consist of large numbers of homogeneous receivables with similar risk characteristics. Effective interest rate and accounting pools : Within each portfolio segment, the Company pools accounts with similar risk characteristics that are acquired in the same year. Similar risk characteristics generally include portfolio segment and geographic region. The initial effective interest rate of the pool is established based on the purchase price and expected recoveries of each individual purchase at the purchase date. During the year of acquisition, the annual pool is aggregated, and the blended effective interest rate will adjust to reflect new acquisitions and new cash flow estimates until the end of the year. The effective interest rate for a pool is fixed for the remaining life of the pool once the year has ended. Methodology : The Company develops its estimates of expected recoveries by applying discounted cash flow methodologies to its estimated remaining collections ("ERC") and recognizes income over the estimated life of the pool at the constant effective interest rate of the pool. Subsequent changes (favorable and unfavorable) in expected cash flows are recognized within Changes in expected recoveries in the Consolidated Income Statements by recording the present value of those changes in ERC at a constant effective interest rate. Amounts included in the estimate of recoveries do not exceed the aggregate amount of the amortized cost basis previously written off or expected to be written off. The measurement of expected recoveries is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. Development of the Company’s forecasts rely on both quantitative and qualitative factors. Qualitative factors can include both external and internal information and consider management’s view on available facts and circumstances at each reporting period. More specifically, external factors that may have an impact on the collectability, and subsequently on the overall profitability of acquired portfolios of nonperforming loans, would include new laws or regulations relating to collections, new interpretations of existing laws or regulations, and the overall condition of the economy. Internal factors that may have an impact on the collectability, and subsequently the overall profitability of acquired portfolios of nonperforming loans, would include necessary revisions to initial and post-acquisition operational scoring and modeling estimates, operational activities and the expected impact of operational strategies. Portfolio income : The recognition of income on expected recoveries is based on the constant effective interest rate established for a pool. Changes in expected recoveries : The activity consists of differences between actual and expected recoveries for the reporting period, as well as the net present value of increases or decreases in ERC at the constant effective interest rate. Agreements to acquire finance receivables include general representations and warranties from the sellers covering matters such as account holder death or insolvency and accounts settled or disputed prior to sale. The representation and warranty period permitting the return of these accounts from the Company to the seller is typically 90 to 180 days, with certain international agreements extending as long as 24 months. Any funds received from the seller as a return of purchase price are referred to as buybacks. Buyback funds are included in changes in expected recoveries when received. Fees paid to third parties other than the seller related to the direct acquisition of a portfolio of accounts are expensed when incurred. |
Fee income recognition | Fee income recognition: |
Property and equipment | Property and equipment: Property and equipment, including improvements that significantly add to the productive capacity or extend useful life, are recorded at cost. Maintenance and repairs are expensed as incurred. Property and equipment are depreciated over their useful lives using the straight-line method, as follows: Category of Property and Equipment Estimated Useful Life Software and computer equipment Three Furniture and fixtures Ten years Equipment Five years Leasehold improvements Remaining term of the lease Building improvements Ten Whe |
Goodwill | Goodwill: Goodwill is not amortized, but rather, is reviewed for impairment annually or more frequently if indicators of potential impairment exist. The Company performs its annual assessment of goodwill as of October 1. The Company may first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. If management concludes that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, the fair value of the reporting unit is determined. An impairment loss is recorded for the amount by which the carrying value of the reporting unit exceeds its fair value, not to exceed the total amount of goodwill allocated to the respective reporting unit. |
Income taxes | Income taxes: The Company records a tax provision for the anticipated tax consequences of the reported results of operations. Current tax expense represents the estimated taxes to be paid or refunded for the current period and includes income tax expense related to uncertain tax positions. The Company made an accounting policy election to treat U.S. taxes due in relation to Global Intangible Low-Taxed Income ("GILTI") as a current-period expense when incurred. The provision for income taxes is estimated using the asset and liability method, under which deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial reporting and tax basis of assets and liabilities, and for operating losses and tax credit carryforwards. Deferred tax assets and liabilities are measured using the currently enacted tax rates that apply to taxable income in effect for the years in which those tax assets are expected to be realized or settled. The Company is subject to income taxes throughout the U.S. and in numerous international jurisdictions. The Company recognizes the financial statement benefits of an uncertain tax position if it is more likely than not to be sustained in the event of challenges by relevant taxing authorities based on the technical merit. The amount of benefits to recognize in the financial statements is the largest benefit that has a greater than 50% likelihood of being realized upon settlement with the relevant tax authorities. The Company exercises significant judgment in making these determinations. The Company records interest and penalties related to unrecognized tax benefits as a component of income tax expense when the more likely than not standards are not met. While actual results could vary, the Company believes it has made adequate tax accruals with respect to the ultimate outcome of such tax matters. A valuation allowance for deferred tax assets is recorded and charged to earnings in the period if it is determined that it is more likely than not that the deferred tax asset will not be realized. If the Company subsequently realizes deferred tax assets that were previously determined to be unrealizable, the related valuation allowance is reversed, resulting in a positive adjustment to earnings in the period such determination is made. The need for a valuation allowance is determined on a jurisdiction-by-jurisdiction basis. |
Operating leases | Leases: The Company recognizes a liability for future lease payments and an ROU asset, representing its right to use the underlying asset for the lease term, in the Consolidated Balance Sheets. The Company's operating lease portfolio primarily includes corporate offices and call centers. Its leases have remaining lease terms from one 12 years, some of which include options to extend the leases, the longest of which is for up to 10 years; while o thers include options to terminate the leases in accordance with specified notice periods. Exercises of lease renewal options are typically at the Company's sole discretion, with renewal periods included in ROU assets and lease liabilities based upon whether the Company is reasonably certain of exercising the renewal options and/or not exercising the termination options. The Company has lease agreements with lease and non-lease components, which are generally accounted for separately, and the Company elected not to apply the lease recognition requirements to short-term leases. The Company's lease agreements do not contain any material residual value guarantees or material restrictive covenants. |
Share-based compensation | Share-based compensation: Compensation expense associated with share equity awards is recognized in the income statement. The Company determines stock-based compensation expense for all share-based payment awards based on the measurement date fair value. The Company has certain share awards that include market conditions that affect vesting. The fair value of these shares is estimated using a lattice model. Compensation cost is not adjusted if the market condition is not met, as long as the requisite service is provided. The Company estimates a forfeiture rate for most equity share grants based on historical experience. Time-based equity share awards generally vest between one Note 11 for additional information. Earnings per share: Basic EPS is computed by dividing net income available to common stockholders of PRA Group, Inc. by weighted average common shares outstanding. Diluted EPS are computed using the same components as basic EPS with the denominator adjusted for the dilutive effect of the conversion spread of the Convertible Notes and nonvested share awards, if they are dilutive. Share-based awards that are contingent upon the attainment of performance goals are included in the computation of diluted EPS if the effect is dilutive. The dilutive effect of nonvested shares is computed using the treasury stock method, which assumes any proceeds that could be obtained upon the vesting of nonvested shares would be used to purchase common shares at the average market price for the period. |
Derivatives | Derivatives: The Company periodically enters into derivative financial instruments, typically interest rate swap agreements and foreign currency contracts, to reduce its exposure to fluctuations in interest rates on variable-rate debt and foreign currency exchange rates. The Company does not utilize derivative financial instruments with a level of complexity or with a risk greater than the exposure to be managed, nor does it enter into or hold derivatives for trading or speculative purposes. The Company periodically reviews the creditworthiness of the counterparty to assess the counterparty's ability to honor its obligations. Counterparty default would expose the Company to fluctuations in interest and currency rates. All of the Company's outstanding derivative financial instruments are recognized in the Consolidated Balance Sheets at their fair values. The effect on earnings from recognizing the fair values of these derivative financial instruments depends on their intended use, their hedge designation, and their effectiveness in offsetting changes in the fair values of the exposures they are hedging. Under the cash flow hedge accounting model, changes in the fair values of instruments used to reduce or eliminate adverse fluctuations in cash flows of anticipated or forecasted transactions are reported in equity as a component of Accumulated other comprehensive loss. Amounts in Accumulated other comprehensive loss are reclassified to earnings when the related hedged items affect earnings or the anticipated transactions are no longer probable, with those gains and losses recorded in the same financial statement line-item as the hedged item/forecasted transaction. Changes in the fair values of derivative financial instruments that are not designated as hedges or do not qualify for hedge accounting treatment are reported in earnings. Cash flows from the settlement of derivatives, including both those designated in hedge accounting relationships and economic hedges, are reflected in the Consolidated Statements of Cash Flows in the same categories as the cash flows of the hedged item. For derivative financial instruments accounted for as hedging instruments, the Company formally designates and documents, at inception, the financial instrument as a hedge of a specific underlying exposure, the risk management objective, and the manner in which effectiveness of the hedge will be assessed. The Company assesses, both at inception and at each reporting period thereafter, whether the derivative financial instruments used in hedging transactions are effective in offsetting changes in fair value or cash flows of the related underlying exposures. |
Use of estimates | Use of estimates: The preparation of the Consolidated Financial Statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the Consolidated Financial Statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates have been made by management with respect to the: • timing and amount of future cash collections of the Company's finance receivables portfolios; • determination of fair value of a reporting unit as part of testing goodwill for impairment; and • interpretation of the tax laws required to calculate the Company's income tax-related balances. Actual results could differ from these estimates making it reasonably possible that a change in these estimates could occur within one year. |
Commitments and contingencies | Commitments and contingencies: The Company is subject to various claims and contingencies related to lawsuits, certain taxes and commitments under contractual and other obligations. The Company recognizes liabilities for commitments and contingencies when a loss is probable and estimable. The Company expenses related legal costs as incurred. See Note 14 for additional information. |
Estimated fair value of financial instruments | Estimated fair value of financial instruments: Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Company takes into consideration differing levels of inputs in the determination of fair values. Disclosure of the estimated fair values of financial instruments often requires the use of estimates. See Note 9 for additional information. |
Recent accounting pronouncements | Recent accounting pronouncements: Recently issued accounting pronouncements adopted: The Company has determined that no recently issued and adopted accounting pronouncements have had, or are expected to have, a material effect on the Company's Consolidated Financial Statements. Recently issued accounting pronouncements not yet adopted: In November 2023, the Financial Accounting Standards Board ("FASB") issued ASU 2023-07, "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures" ("ASU 2023-07"), which, among other updates, requires enhanced disclosures about significant segment expenses regularly provided to the chief operating decision maker, as well as the aggregate amount of other segment items included in the reported measure of segment profit or loss. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, and for interim periods within fiscal years beginning after December 15, 2024, and requires retrospective adoption. Early adoption is permitted. The Company is evaluating the impact of ASU 2023-07 on its Consolidated Financial Statements and the related disclosures. In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" ("ASU 2023-09"), which requires enhanced annual disclosures with respect to the rate reconciliation and income taxes paid information. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, and may be adopted on a prospective or retrospective basis. Early adoption is permitted. The Company is evaluating the impact of ASU 2023-07 on its Consolidated Financial Statements and the related disclosures. |
General and Summary of Signif_3
General and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Schedule of Revenues and Long-lived Assets by Geographical Location | Revenues for the years ended December 31, 2023, 2022 and 2021, and long-lived assets held as of December 31, 2023 and 2022, by geographic area in which the Company operates, were as follows (amounts in thousands): 2023 2022 2021 2023 2022 Revenues (2) Long-Lived Assets United States $ 358,251 $ 520,747 $ 651,991 $ 58,452 $ 79,865 United Kingdom 119,963 181,725 175,383 11,377 12,141 Brazil 95,556 36,412 62,740 3 3 Other (1) 228,784 227,640 205,618 12,495 14,142 Total $ 802,554 $ 966,524 $ 1,095,732 $ 82,327 $ 106,151 (1) None of the countries included in Other comprise greater than 10% of the Company's consolidated revenues or long-lived assets. (2) Based on the Company’s financial statement information used to produce the Company's general-purpose financial statements, it is impracticable to report further breakdowns of revenues from external customers. |
Property, and Equipment Useful Lives | Property and equipment are depreciated over their useful lives using the straight-line method, as follows: Category of Property and Equipment Estimated Useful Life Software and computer equipment Three Furniture and fixtures Ten years Equipment Five years Leasehold improvements Remaining term of the lease Building improvements Ten Property and equipment, net consisted of the following as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Software $ 70,924 $ 71,775 Computer equipment 21,771 24,685 Furniture and fixtures 16,814 17,751 Equipment 12,649 15,819 Leasehold improvements 18,711 22,486 Building and improvements 19,637 19,931 Land 1,407 1,407 Accumulated depreciation and impairment (126,452) (123,141) Assets in process 989 932 Property and equipment, net $ 36,450 $ 51,645 |
Finance Receivables, net (Table
Finance Receivables, net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Schedule of Finance Receivables, Net | Finance receivables, net consisted of the following as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Amortized cost $ — $ — Negative allowance for expected recoveries 3,656,598 3,295,008 Balance at end of year $ 3,656,598 $ 3,295,008 |
Schedule of Changes in Negative Allowance for Expected Recoveries | Changes in the negative allowance for expected recoveries by portfolio segment for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): 2023 Core Insolvency Total Balance at beginning of year $ 2,936,207 $ 358,801 $ 3,295,008 Initial negative allowance for expected recoveries - portfolio acquisitions (1) 1,017,609 136,474 1,154,083 Foreign currency translation adjustment 86,047 9,351 95,398 Recoveries applied to negative allowance (2) (758,547) (158,478) (917,025) Changes in expected recoveries (3) 13,898 15,236 29,134 Balance at end of year $ 3,295,214 $ 361,384 $ 3,656,598 2022 Core Insolvency Total Balance at beginning of year $ 2,989,932 $ 438,353 $ 3,428,285 Initial negative allowance for expected recoveries - portfolio acquisitions (1) 771,977 78,019 849,996 Foreign currency translation adjustment (156,795) (20,536) (177,331) Recoveries applied to negative allowance (2) (795,489) (179,357) (974,846) Changes in expected recoveries (3) 126,582 42,322 168,904 Balance at end of year $ 2,936,207 $ 358,801 $ 3,295,008 (1) Initial negative allowance for expected recoveries - portfolio acquisitions Portfolio acquisitions for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): 2023 Core Insolvency Total Face value $ 7,637,744 $ 747,192 $ 8,384,936 Noncredit discount (843,375) (51,259) (894,634) Allowance for credit losses at acquisition (5,776,760) (559,459) (6,336,219) Purchase price $ 1,017,609 $ 136,474 $ 1,154,083 2022 Core Insolvency Total Face value $ 5,174,974 $ 455,644 $ 5,630,618 Noncredit discount (541,686) (28,279) (569,965) Allowance for credit losses at acquisition (3,861,311) (349,346) (4,210,657) Purchase price $ 771,977 $ 78,019 $ 849,996 The initial negative allowance recorded on portfolio acquisitions for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): 2023 Core Insolvency Total Allowance for credit losses at acquisition $ (5,776,760) $ (559,459) $ (6,336,219) Writeoffs, net 5,776,760 559,459 6,336,219 Expected recoveries 1,017,609 136,474 1,154,083 Initial negative allowance for expected recoveries $ 1,017,609 $ 136,474 $ 1,154,083 2022 Core Insolvency Total Allowance for credit losses at acquisition $ (3,861,311) $ (349,346) $ (4,210,657) Writeoffs, net 3,861,311 349,346 4,210,657 Expected recoveries 771,977 78,019 849,996 Initial negative allowance for expected recoveries $ 771,977 $ 78,019 $ 849,996 (2) Recoveries applied to negative allowance Recoveries applied to the negative allowance for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): 2023 Core Insolvency Total Recoveries (a) $ 1,474,009 $ 200,144 $ 1,674,153 Less - amounts reclassified to portfolio income 715,462 41,666 757,128 Recoveries applied to negative allowance $ 758,547 $ 158,478 $ 917,025 2022 Core Insolvency Total Recoveries (a) $ 1,521,504 $ 225,657 $ 1,747,161 Less - amounts reclassified to portfolio income 726,015 46,300 772,315 Recoveries applied to negative allowance $ 795,489 $ 179,357 $ 974,846 (a) Recoveries includes cash collections, buybacks and other cash-based adjustments. (3) Changes in expected recoveries Changes in expected recoveries for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): 2023 Core Insolvency Total Changes in expected future recoveries $ (34,394) $ (1,604) $ (35,998) Recoveries received in excess of forecast 48,292 16,840 65,132 Changes in expected recoveries $ 13,898 $ 15,236 $ 29,134 2022 Core Insolvency Total Changes in expected future recoveries $ 48,806 $ 13,405 $ 62,211 Recoveries received in excess of forecast 77,776 28,917 106,693 Changes in expected recoveries $ 126,582 $ 42,322 $ 168,904 |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Investments | Investments consisted of the following as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Debt securities Available-for-sale $ 59,470 $ 66,813 Equity securities Private equity funds 2,451 4,373 Equity method investment 10,483 8,762 Total investments $ 72,404 $ 79,948 |
Unrealized Gain (Loss) on Investments | The amortized cost and fair value of investments in debt securities as of December 31, 2023 and 2022, were as follows (amounts in thousands): 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Aggregate Fair Value Available-for-sale Government securities $ 59,404 $ 66 $ — $ 59,470 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Aggregate Fair Value Available-for-sale Government securities $ 67,049 $ 1 $ (237) $ 66,813 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Lease, Cost | The components of lease expense for the years ended December 31, 2023 and 2022, were as follows (amounts in thousands): 2023 2022 Operating lease expense $ 10,632 $ 11,981 Short-term lease expense 2,007 2,374 Sublease income (317) (486) Total lease expense $ 12,322 $ 13,869 Supplemental cash flow information and non-cash activity related to leases for the years ended December 31, 2023 and 2022, were as follows (amounts in thousands): 2023 2022 Cash paid for amounts included in the measurement of operating lease liabilities $ 11,514 $ 11,852 ROU assets obtained in exchange for operating lease obligations (1) $ 1,060 $ 8,882 (1) Includes the impact of new leases as well as remeasurements and modifications of existing leases. Lease term and discount rate information related to operating leases were as follows: 2023 2022 Weighted-average remaining lease term (years) 7.4 8.0 Weighted-average discount rate 4.7 % 4.5 % |
Lessee, Operating Lease, Liability, Maturity | Maturities of lease liabilities as of December 31, 2023, were as follows for the years ending December 31, (amounts in thousands): Operating Leases 2024 $ 10,015 2025 9,791 2026 8,658 2027 5,789 2028 5,661 Thereafter 19,928 Total lease payments 59,842 Less: imputed interest (9,542) Total present value of lease liabilities $ 50,300 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets, net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Changes in Goodwill | hanges in goodwill for the years ended December 31, 2023 and 2022, were as follows (amounts in thousands): 2023 2022 Balance at beginning of year $ 435,921 $ 480,263 Change in foreign currency translation adjustment (4,357) (44,342) Balance at end of year $ 431,564 $ 435,921 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | The Company's borrowings consisted of the following as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Americas revolving credit (1) $ 396,303 $ 186,867 UK revolving credit 502,847 453,528 Europe revolving credit 538,565 419,856 Term loan 442,500 450,000 Senior Notes 1,046,000 650,000 Convertible Notes — 345,000 2,926,215 2,505,251 Less: Debt discount and issuance costs (11,945) (10,393) Total $ 2,914,270 $ 2,494,858 (1) Includes the North American revolving credit facility and an unsecured and uncommitted credit agreement with Banco de Occidente (the "Colombian revolving credit facility"). As of December 31, 2023, no amounts were outstanding under the Colombian revolving credit facility ($0.5 million was outstanding as of December 31, 2022). |
Schedule of Maturities of Long-term Debt | The following principal payments are due on the Company's borrowings as of December 31, 2023, for the years ending December 31, (amounts in thousands): 2024 $ 12,500 2025 308,000 2026 1,319,150 2027 538,565 2028 398,000 Thereafter 350,000 Total $ 2,926,215 |
Schedule of Line of Credit Facilities | The outstanding balances and weighted average interest rates by type of borrowing under the credit facility as of December 31, 2023 and 2022, were as follows (dollar amounts in thousands): 2023 2022 Amount Outstanding Weighted Average Interest Rate Amount Outstanding Weighted Average Interest Rate Term loan $ 442,500 7.67 % $ 450,000 6.38 % Revolving credit facilities 396,303 7.67 186,365 6.33 The outstanding balance and weighted average interest rate by type of borrowing under the UK Credit Agreement as of December 31, 2023 and 2022, respectively, were as follows (dollar amounts in thousands): 2023 2022 Amount Outstanding Weighted Average Interest Rate Amount Outstanding Weighted Average Interest Rate Revolving credit facility $ 502,847 7.80 % $ 453,528 5.54 % The outstanding balances and weighted average interest rates by type of borrowing under the European Credit Agreement and the prior facility credit agreement as of December 31, 2023 and 2022, respectively, were as follows (dollar amounts in thousands): 2023 2022 Amount Outstanding Weighted Average Interest Rate Amount Outstanding Weighted Average Interest Rate Revolving credit facilities $ 538,565 8.05 % $ 419,856 5.94 % |
Schedule of Debt Interest Expense | Interest expense on the 2023 Notes was recognized using an effective interest rate of 4.00%, and for the years ended December 31, 2023, 2022 and 2021, was as follows (amounts in thousands): 2023 2022 2021 Interest expense - stated coupon rate $ 5,032 $ 12,075 $ 12,075 Interest expense - amortization of debt issuance costs 748 1,727 1,660 Total interest expense - Convertible Notes $ 5,780 $ 13,802 $ 13,735 |
Schedule of Interest Expense, Net | Interest expense, net was as follows for the years ended December 31, 2023, 2022 and 2021 (amounts in thousands): 2023 2022 2021 Interest expense $ 194,667 $ 132,905 $ 125,231 Interest income (12,943) (2,228) (1,088) Interest expense, net $ 181,724 $ 130,677 $ 124,143 |
Property and Equipment, net (Ta
Property and Equipment, net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment, Net [Abstract] | |
Property and Equipment, at Cost | Property and equipment are depreciated over their useful lives using the straight-line method, as follows: Category of Property and Equipment Estimated Useful Life Software and computer equipment Three Furniture and fixtures Ten years Equipment Five years Leasehold improvements Remaining term of the lease Building improvements Ten Property and equipment, net consisted of the following as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Software $ 70,924 $ 71,775 Computer equipment 21,771 24,685 Furniture and fixtures 16,814 17,751 Equipment 12,649 15,819 Leasehold improvements 18,711 22,486 Building and improvements 19,637 19,931 Land 1,407 1,407 Accumulated depreciation and impairment (126,452) (123,141) Assets in process 989 932 Property and equipment, net $ 36,450 $ 51,645 |
Fair Value (Tables)
Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Carrying and Estimated Fair Value Recorded in the Consolidated Balance Sheet | The carrying amounts in the table below reflect the amounts recorded in the Company's Consolidated Balance Sheets as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Carrying Estimated Carrying Estimated Financial assets: Cash and cash equivalents $ 112,528 $ 112,528 $ 83,376 $ 83,376 Finance receivables, net 3,656,598 $ 3,167,798 3,295,008 3,167,813 Financial liabilities: Interest-bearing deposits 115,589 115,589 112,992 112,992 Revolving lines of credit 1,437,715 1,437,715 1,060,251 1,060,251 Term loan 442,500 442,500 450,000 450,000 Senior Notes 1,046,000 964,907 650,000 580,433 Convertible notes — — 345,000 341,926 |
Summary of Fair Value Assets Measured on a Recurring Basis | Carrying amounts shown in the following tables were measured at fair value on a recurring basis in the Company's Consolidated Balance Sheets as of December 31, 2023 and 2022 (amounts in thousands): Fair Value Measurements as of December 31, 2023 Level 1 Level 2 Level 3 Total Assets: Government securities $ 59,470 $ — $ — $ 59,470 Derivative contracts (recorded in Other assets) — 22,777 — 22,777 Liabilities: Derivative contracts (recorded in Other liabilities) — 20,403 — 20,403 Fair Value Measurements as of December 31, 2022 Level 1 Level 2 Level 3 Total Assets: Government securities $ 66,813 $ — $ — $ 66,813 Derivative contracts (recorded in Other assets) — 37,792 — 37,792 Liabilities: Derivative contracts (recorded in Other liabilities) — 19,120 — 19,120 |
Summary of Fair Value Liabilities Measured on a Recurring Basis | Carrying amounts shown in the following tables were measured at fair value on a recurring basis in the Company's Consolidated Balance Sheets as of December 31, 2023 and 2022 (amounts in thousands): Fair Value Measurements as of December 31, 2023 Level 1 Level 2 Level 3 Total Assets: Government securities $ 59,470 $ — $ — $ 59,470 Derivative contracts (recorded in Other assets) — 22,777 — 22,777 Liabilities: Derivative contracts (recorded in Other liabilities) — 20,403 — 20,403 Fair Value Measurements as of December 31, 2022 Level 1 Level 2 Level 3 Total Assets: Government securities $ 66,813 $ — $ — $ 66,813 Derivative contracts (recorded in Other assets) — 37,792 — 37,792 Liabilities: Derivative contracts (recorded in Other liabilities) — 19,120 — 19,120 |
Derivatives (Tables)
Derivatives (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | The following table summarizes the fair value of derivative financial instruments as of December 31, 2023 and 2022 (amounts in thousands): 2023 2022 Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivatives designated as hedging instruments: Interest rate contracts Other assets $ 21,770 Other assets $ 37,305 Interest rate contracts Other liabilities 11,627 Other liabilities — Derivatives not designated as hedging instruments: Foreign currency contracts Other assets 1,007 Other assets 487 Foreign currency contracts Other liabilities 8,776 Other liabilities 19,120 |
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location | The following tables summarize the effects of derivatives designated as cash flow hedging instruments for the years ended December 31, 2023, 2022 and 2021 (amounts in thousands): Gain/(loss) recognized in OCI, net of tax Derivatives designated as cash flow hedging instruments 2023 2022 2021 Interest rate contracts $ 468 $ 32,650 $ 17,961 Gain/(loss) reclassified from OCI into income Location of gain/(loss) reclassified from OCI into income 2023 2022 2021 Interest expense, net $ 23,158 $ (976) $ (12,722) |
Schedule of derivative instruments not designated as hedging instruments | The following table summarizes the effects of derivatives not designated as hedging instruments in the Company’s Consolidated Income Statements for the years ended December 31, 2023, 2022 and 2021 (amounts in thousands): Gain/(loss) recognized in income Derivatives not designated as hedging instruments Location of gain/(loss) recognized in income 2023 2022 2021 Foreign currency contracts Foreign exchange gain/(loss), net $ (10,330) $ 38,808 $ 12,160 Foreign currency contracts Interest expense, net 1,603 (364) 406 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | Reclassifications out of Accumulated other comprehensive loss for the years ended December 31, 2023 and 2022 were as follows (amounts in thousands): Gains/(losses) on cash flow hedges 2023 2022 Location in the Consolidated Income Statement Interest rate swaps $ 23,158 $ (976) Interest expense, net Income tax effect of item above (1) (1,483) 451 Income tax expense/(benefit) Total gains/(losses) on cash flow hedges $ 21,675 $ (525) (1) Income tax effects are released from Accumulated other comprehensive loss contemporaneously with the related gross pretax amount. Changes in Accumulated other comprehensive loss by component, after tax, for the years ended December 31, 2023, 2022 and 2021 were as follows (amounts in thousands): Debt Securities Available for Sale Cash Flow Hedges Currency Translation Adjustment Accumulated Other Comprehensive Loss 1 Balance as of December 31, 2020 $ 127 $ (33,349) $ (212,569) $ (245,791) Other comprehensive gain/(loss) before reclassifications (348) 17,961 (48,748) (31,135) Reclassifications, net — 10,017 — 10,017 Net current period other comprehensive gain/(loss) (348) 27,978 (48,748) (21,118) Balance as of December 31, 2021 $ (221) $ (5,371) $ (261,317) $ (266,909) Other comprehensive gain/(loss) before reclassifications (16) 32,650 (114,176) (81,542) Reclassifications, net — 525 — 525 Net current period other comprehensive gain/(loss) (16) 33,175 (114,176) (81,017) Balance as of December 31, 2022 $ (237) $ 27,804 $ (375,493) $ (347,926) Other comprehensive gain before reclassifications 302 468 38,932 39,702 Reclassifications, net — (21,675) — (21,675) Net current period other comprehensive gain/(loss) 302 (21,207) 38,932 18,027 Balance as of December 31, 2023 $ 65 $ 6,597 $ (336,561) $ (329,899) (1) Net of deferred taxes for unrealized gains from cash flow hedges of $(2.2) million , $(9.2) million and $(3.1) million for the years ended December 31, 2023, 2022 and 2021 , respectively. |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | |
Nonvested Share Transactions | The following table summarizes nonvested share activity, excluding those issued pursuant to the LTI program, from December 31, 2020 through December 31, 2023 (amounts in thousands, except per share amounts): Nonvested Shares Outstanding Weighted-Average Price at Grant Date Balance as of December 31, 2020 555 $ 34.23 Granted 312 38.14 Vested (320) 33.80 Forfeited (37) 36.06 Balance as of December 31, 2021 510 36.76 Granted 351 41.64 Vested (269) 35.41 Forfeited (36) 40.85 Balance as of December 31, 2022 556 40.23 Granted 482 32.90 Vested (278) 40.14 Forfeited (208) 41.08 Balance as of December 31, 2023 552 $ 33.55 |
Summarization of Option Related Transactions | The following table summarizes LTI share activity from December 31, 2020 through December 31, 2023 (amounts in thousands, except per share amounts): Nonvested LTI Shares Outstanding Weighted-Average Price at Grant Date Balance as of December 31, 2020 392 $ 34.30 Granted at target level 148 37.45 Adjustments for actual performance (10) 39.40 Vested (99) 39.40 Forfeited (24) 35.31 Balance as of December 31, 2021 407 34.01 Granted at target level 127 44.90 Adjustments for actual performance 64 28.28 Vested (222) 28.28 Forfeited (21) 40.45 Balance as of December 31, 2022 355 40.07 Granted at target level 130 52.55 Adjustments for actual performance 17 39.04 Vested (153) 39.47 Forfeited (191) 46.58 Balance as of December 31, 2023 158 $ 42.94 |
Earnings per Share (Tables)
Earnings per Share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Reconciliation Between the Computation of Basic EPS and Diluted EPS | The following table provides a reconciliation between the computation of basic EPS and diluted EPS for the years ended December 31, 2023, 2022 and 2021 (amounts in thousands, except per share amounts): 2023 2022 2021 Net Loss Attributable to PRA Group, Inc. Weighted Average Common Shares EPS Net Income Attributable to PRA Group, Inc. Weighted Average Common Shares EPS Net Income Attributable to PRA Group, Inc. Weighted Average Common Shares EPS Basic EPS $ (83,477) 39,177 $ (2.13) $ 117,147 39,638 $ 2.96 $ 183,158 44,960 $ 4.07 Dilutive effect of nonvested share awards — — — — 250 (0.02) — 370 (0.03) Diluted EPS $ (83,477) 39,177 $ (2.13) $ 117,147 39,888 $ 2.94 $ 183,158 45,330 $ 4.04 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Summary of Income Tax Expense Recognized | Income tax expense/(benefit) for the years ended December 31, 2023, 2022 and 2021 was comprised of the following (amounts in thousands): Federal State International Total For the year ended December 31, 2023: Current tax expense $ 160 $ 1,697 $ 17,953 $ 19,810 Deferred tax benefit (25,921) (7,956) (2,066) (35,943) Total income tax expense/(benefit) $ (25,761) $ (6,259) $ 15,887 $ (16,133) For the year ended December 31, 2022: Current tax expense $ 8,797 $ 385 $ 26,998 $ 36,180 Deferred tax expense/(benefit) (2,848) (386) 3,841 607 Total income tax expense/(benefit) $ 5,949 $ (1) $ 30,839 $ 36,787 For the year ended December 31, 2021: Current tax expense $ 30,659 $ 5,397 $ 11,958 $ 48,014 Deferred tax expense/(benefit) (3,056) (323) 10,182 6,803 Total income tax expense $ 27,603 $ 5,074 $ 22,140 $ 54,817 |
Schedule of Reconciliation of Expected Tax Expense at The Statutory Federal Tax Rate to Actual Tax Expense | A reconciliation of the Company's expected tax expense/(benefit) at the U.S. statutory federal tax rate to actual tax expense/(benefit) for the years ended December 31, 2023, 2022 and 2021, was as follows (amounts in thousands): 2023 2022 2021 Income tax expense/(benefit) at the statutory federal rate $ (17,406) $ 32,505 $ 52,568 State tax expense/(benefit), net of federal tax benefit (4,886) (18) 4,303 Tax impact on international earnings, excluding uncertain tax positions 2,058 1,175 (4,449) Nondeductible legal settlement expenses 3,017 — — Nondeductible compensation 117 3,025 2,212 Other 967 100 183 Total income tax expense/(benefit) $ (16,133) $ 36,787 $ 54,817 Effective tax rate 19.5 % 23.8 % 21.9 % |
Summary of Components of Net Deferred Tax Liability | 2023 2022 2021 Income tax expense/(benefit) at the statutory federal rate $ (17,406) $ 32,505 $ 52,568 State tax expense/(benefit), net of federal tax benefit (4,886) (18) 4,303 Tax impact on international earnings, excluding uncertain tax positions 2,058 1,175 (4,449) Nondeductible legal settlement expenses 3,017 — — Nondeductible compensation 117 3,025 2,212 Other 967 100 183 Total income tax expense/(benefit) $ (16,133) $ 36,787 $ 54,817 Effective tax rate 19.5 % 23.8 % 21.9 % As of December 31, 2023 and 2022, the components of deferred tax assets and liabilities were as follows (amounts in thousands): 2023 2022 Deferred tax assets: Employee compensation $ 6,044 $ 5,177 Net operating loss carryforward 159,699 126,549 Interest 11,959 11,042 Lease liability 8,615 10,667 Other 2,561 — Valuation allowance (70,245) (68,929) Total deferred tax asset 118,633 84,506 Deferred tax liabilities: Property and equipment (1,716) (4,178) Intangible assets and goodwill (6,053) (5,118) ROU asset (7,775) (9,731) Finance receivable revenue recognition - international (31,538) (12,074) Finance receivable revenue recognition - domestic (6,197) (27,181) Other (7,711) (12,234) Total deferred tax liability (60,990) (70,516) Net deferred tax asset $ 57,643 $ 13,990 |
Schedule of Unrecognized Tax Benefits Roll Forward | unrecognized tax benefits for the years ended December 31, 2023, 2022 and 2021 were as follows (amounts in thousands): 2023 2022 2021 Balance as of the beginning of year $ 101,703 $ 114,294 $ 110,425 Increase (decrease) related to tax positions taken during a prior year (1) 4,001 (12,591) 3,869 Balance as of the end of year $ 105,704 $ 101,703 $ 114,294 (1) Relates to international transactions and are primarily due to foreign exchange rate fluctuations. |
General and Summary of Signif_4
General and Summary of Significant Accounting Policies (Narrative) (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 USD ($) segment | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | May 26, 2017 | |
Accounting Policies [Line Items] | ||||
Number of operating segments | segment | 2 | |||
Number of reportable segments | segment | 1 | |||
Requisite service period | 3 years | |||
Possible change in estimates, in years | 1 year | |||
Right-of-use assets | $ 45,877 | $ 54,506 | ||
Lease liabilities | 50,300 | 59,384 | ||
Recoveries received in excess of forecast | 65,132 | 106,693 | ||
Retained Earnings (Accumulated Deficit) | 1,489,548 | 1,573,025 | ||
Interest Income (Expense), Net | 181,724 | 130,677 | $ 124,143 | |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $ (66,754) | $ 117,998 | $ 195,509 | |
Furniture and Fixtures | ||||
Accounting Policies [Line Items] | ||||
Property and equipment, useful life, in years | 10 years | |||
Equipment | ||||
Accounting Policies [Line Items] | ||||
Property and equipment, useful life, in years | 5 years | |||
Minimum | ||||
Accounting Policies [Line Items] | ||||
Remaining lease term | 1 year | |||
Minimum | Computer Equipment | ||||
Accounting Policies [Line Items] | ||||
Property and equipment, useful life, in years | 3 years | |||
Minimum | Building Improvements | ||||
Accounting Policies [Line Items] | ||||
Property and equipment, useful life, in years | 10 years | |||
Maximum | ||||
Accounting Policies [Line Items] | ||||
Remaining lease term | 12 years | |||
Optional extension period | 10 years | |||
Maximum | Computer Equipment | ||||
Accounting Policies [Line Items] | ||||
Property and equipment, useful life, in years | 5 years | |||
Maximum | Building Improvements | ||||
Accounting Policies [Line Items] | ||||
Property and equipment, useful life, in years | 39 years | |||
Note Due 2023 | Convertible Debt | ||||
Accounting Policies [Line Items] | ||||
Stated percentage | 3.50% |
General and Summary of Signif_5
General and Summary of Significant Accounting Policies (Revenue and Long-lived Assets by Geographical Location) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues (2) | $ 802,554 | $ 966,524 | $ 1,095,732 |
Long-Lived Assets | 82,327 | 106,151 | |
UNITED STATES | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues (2) | 358,251 | 520,747 | 651,991 |
Long-Lived Assets | 58,452 | 79,865 | |
UNITED KINGDOM | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues (2) | 119,963 | 181,725 | 175,383 |
Long-Lived Assets | 11,377 | 12,141 | |
Foreign Countries | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues (2) | 228,784 | 227,640 | 205,618 |
Long-Lived Assets | 12,495 | 14,142 | |
BRAZIL | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenues (2) | 95,556 | 36,412 | $ 62,740 |
Long-Lived Assets | $ 3 | $ 3 |
Finance Receivables, net (Rollf
Finance Receivables, net (Rollforward) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Receivables [Abstract] | |||
Amortized cost | $ 0 | $ 0 | |
Initial negative allowance for expected recoveries | 3,656,598 | 3,295,008 | |
Balance at end of period | $ 3,656,598 | $ 3,295,008 | $ 3,428,285 |
Finance Receivables, net Financ
Finance Receivables, net Finance Receivables, net (Allowance for Expected Recoveries) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Balance at beginning of year | $ 3,295,008 | $ 3,428,285 | |
Initial negative allowance for expected recoveries - acquisitions | 1,154,083 | 849,996 | |
Foreign currency translation adjustment | 95,398 | (177,331) | |
Recoveries applied to negative allowance | (917,025) | (974,846) | |
Changes in estimated recoveries | 29,134 | 168,904 | $ 197,904 |
Balance at end of year | 3,656,598 | 3,295,008 | 3,428,285 |
Core | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Balance at beginning of year | 2,936,207 | 2,989,932 | |
Initial negative allowance for expected recoveries - acquisitions | 1,017,609 | 771,977 | |
Foreign currency translation adjustment | 86,047 | (156,795) | |
Recoveries applied to negative allowance | (758,547) | (795,489) | |
Changes in estimated recoveries | 13,898 | 126,582 | |
Balance at end of year | 3,295,214 | 2,936,207 | 2,989,932 |
Insolvency | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
Balance at beginning of year | 358,801 | 438,353 | |
Initial negative allowance for expected recoveries - acquisitions | 136,474 | 78,019 | |
Foreign currency translation adjustment | 9,351 | (20,536) | |
Recoveries applied to negative allowance | (158,478) | (179,357) | |
Changes in estimated recoveries | 15,236 | 42,322 | |
Balance at end of year | $ 361,384 | $ 358,801 | $ 438,353 |
Finance Receivables, net (Portf
Finance Receivables, net (Portfolio Acquisitions) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Face value | $ 8,384,936 | $ 5,630,618 |
Noncredit discount | (894,634) | (569,965) |
Allowance for credit losses at acquisition | (6,336,219) | (4,210,657) |
Purchase price | 1,154,083 | 849,996 |
Core | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Face value | 7,637,744 | 5,174,974 |
Noncredit discount | (843,375) | (541,686) |
Allowance for credit losses at acquisition | (5,776,760) | (3,861,311) |
Purchase price | 1,017,609 | 771,977 |
Insolvency | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Face value | 747,192 | 455,644 |
Noncredit discount | (51,259) | (28,279) |
Allowance for credit losses at acquisition | (559,459) | (349,346) |
Purchase price | $ 136,474 | $ 78,019 |
Finance Receivables, net Fina_2
Finance Receivables, net Finance Receivables, net (Initial Negative Allowance for Recoveries) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Allowance for credit losses at acquisition | $ (6,336,219) | $ (4,210,657) |
Writeoffs, net | 6,336,219 | 4,210,657 |
Expected recoveries | 1,154,083 | 849,996 |
Initial negative allowance for expected recoveries | 1,154,083 | 849,996 |
Core | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Allowance for credit losses at acquisition | (5,776,760) | (3,861,311) |
Writeoffs, net | 5,776,760 | 3,861,311 |
Expected recoveries | 1,017,609 | 771,977 |
Initial negative allowance for expected recoveries | 1,017,609 | 771,977 |
Insolvency | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Allowance for credit losses at acquisition | (559,459) | (349,346) |
Writeoffs, net | 559,459 | 349,346 |
Expected recoveries | 136,474 | 78,019 |
Initial negative allowance for expected recoveries | $ 136,474 | $ 78,019 |
Finance Receivables, net Fina_3
Finance Receivables, net Finance Receivables, net (Recoveries) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recoveries | $ 1,674,153 | $ 1,747,161 | |
Less - amounts reclassified to portfolio income | 757,128 | 772,315 | $ 875,327 |
Expected recoveries | 917,025 | 974,846 | |
Core | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recoveries | 1,474,009 | 1,521,504 | |
Less - amounts reclassified to portfolio income | 715,462 | 726,015 | |
Expected recoveries | 758,547 | 795,489 | |
Insolvency | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Recoveries | 200,144 | 225,657 | |
Less - amounts reclassified to portfolio income | 41,666 | 46,300 | |
Expected recoveries | $ 158,478 | $ 179,357 |
Finance Receivables, net (Chang
Finance Receivables, net (Changes in Estimated Future Recoveries) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Changes in expected future recoveries | $ (35,998) | $ 62,211 | |
Recoveries received in excess of forecast | 65,132 | 106,693 | |
Changes in estimated recoveries | 29,134 | 168,904 | $ 197,904 |
Core | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Changes in expected future recoveries | (34,394) | 48,806 | |
Recoveries received in excess of forecast | 48,292 | 77,776 | |
Changes in estimated recoveries | 13,898 | 126,582 | |
Insolvency | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Changes in expected future recoveries | (1,604) | 13,405 | |
Recoveries received in excess of forecast | 16,840 | 28,917 | |
Changes in estimated recoveries | $ 15,236 | $ 42,322 |
Finance Receivables, net (Narra
Finance Receivables, net (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Receivables [Abstract] | |||
Changes in estimated recoveries | $ 29,134 | $ 168,904 | $ 197,904 |
Recoveries received in excess of forecast | 65,132 | 106,693 | |
Decrease in present value of expected future recoveries | $ 35,998 | $ (62,211) |
Investments (Summary of Investm
Investments (Summary of Investments) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt securities | ||
Debt Securities, Available-for-Sale | $ 59,470 | $ 66,813 |
Equity Securities, FV-NI and without Readily Determinable Fair Value [Abstract] | ||
Equity Method Investments | 10,483 | 8,762 |
Investments | 72,404 | 79,948 |
Private Equity Funds [Member] | ||
Equity Securities, FV-NI and without Readily Determinable Fair Value [Abstract] | ||
Equity securities | $ 2,451 | $ 4,373 |
Investments (Narrative) (Detail
Investments (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Investment [Line Items] | |||
Debt Securities, Available-for-Sale | $ 59,470 | $ 66,813 | |
Cash and Cash Equivalents, at Carrying Value | $ 112,528 | 83,376 | $ 87,584 |
Cost-method investment, ownership percentage | 1% | ||
Government Bonds and Fixed Income Funds | |||
Investment [Line Items] | |||
Debt Securities, Available-for-Sale | $ 59,470 | $ 66,813 | |
Available-for-sale, fair value, maturity, date, year one | $ 59,500 | ||
RCB Investimentos S.A. | RCB Investimentos S.A. (RCB) | |||
Investment [Line Items] | |||
Ownership percentage | 11.70% |
Investments (Amortized Cost) (D
Investments (Amortized Cost) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-Sale, Fair Value to Amortized Cost, after Allowance for Credit Loss [Abstract] | ||
Debt Securities, Available-for-Sale | $ 59,470 | $ 66,813 |
Government Bonds and Fixed Income Funds | ||
Debt Securities, Available-for-Sale, Fair Value to Amortized Cost, after Allowance for Credit Loss [Abstract] | ||
Debt Securities, Available-for-Sale, Amortized Cost, Total | 59,404 | 67,049 |
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Gain, before Tax | 66 | 1 |
Debt Securities, Available-for-Sale, Accumulated Gross Unrealized Loss, before Tax | 0 | 237 |
Debt Securities, Available-for-Sale | $ 59,470 | $ 66,813 |
Leases - Narrative (Details)
Leases - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Leases [Abstract] | ||
Rental expense | $ 12,322 | $ 13,869 |
Leases - Lease Cost and Other I
Leases - Lease Cost and Other Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Leases [Abstract] | ||
Operating lease cost | $ 10,632 | $ 11,981 |
Short-term lease cost | 2,007 | 2,374 |
Total lease cost | 12,322 | 13,869 |
Cash paid for amounts included in the measurement of operating lease liabilities | $ 11,514 | $ 11,852 |
Weighted-average remaining lease term (years) | 7 years 4 months 24 days | 8 years |
Weighted-average discount rate | 4.70% | 4.50% |
Sublease Income | $ (317) | $ (486) |
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability, Net | $ 1,060 | $ 8,882 |
Leases - Schedule of Operating
Leases - Schedule of Operating Lease Liability Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
2021 | $ 10,015 | |
2022 | 9,791 | |
2023 | 8,658 | |
2024 | 5,789 | |
2025 | 5,661 | |
Thereafter | 19,928 | |
Total lease payments | 59,842 | |
Less imputed interest | (9,542) | |
Total | $ 50,300 | $ 59,384 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets, net (Schedule of Goodwill) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Goodwill [Roll Forward] | ||
Balance at beginning of year | $ 435,921 | $ 480,263 |
Goodwill, Foreign Currency Translation Gain (Loss) | (4,357) | (44,342) |
Balance at end of year | $ 431,564 | $ 435,921 |
Borrowings (Details)
Borrowings (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Debt outstanding | $ 2,926,215 | $ 2,505,251 |
Less: Debt discount and issuance costs | (11,945) | (10,393) |
Total | 2,914,270 | 2,494,858 |
Revolving Credit Facility | North American Credit Agreement | ||
Debt Instrument [Line Items] | ||
Debt outstanding | $ 396,303 | $ 186,365 |
Weighted average interest rate | 7.67% | 6.33% |
Line of Credit | Americas revolving credit (1) | ||
Debt Instrument [Line Items] | ||
Debt outstanding | $ 396,303 | $ 186,867 |
Line of Credit | Europe revolving credit | ||
Debt Instrument [Line Items] | ||
Debt outstanding | 419,856 | |
Line of Credit | UK Revolving Credit | ||
Debt Instrument [Line Items] | ||
Debt outstanding | 453,528 | |
Line of Credit | UK Revolving Credit | UK Credit Agreement | ||
Debt Instrument [Line Items] | ||
Debt outstanding | $ 502,847 | $ 453,528 |
Weighted average interest rate | 7.80% | 5.54% |
Senior Notes | ||
Debt Instrument [Line Items] | ||
Debt outstanding | $ 1,046,000 | $ 650,000 |
Convertible Debt | ||
Debt Instrument [Line Items] | ||
Debt outstanding | 0 | 345,000 |
Loans Payable | North American Credit Agreement | ||
Debt Instrument [Line Items] | ||
Debt outstanding | $ 442,500 | $ 450,000 |
Weighted average interest rate | 7.67% | 6.38% |
Borrowings (Long term debt Matu
Borrowings (Long term debt Maturities) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Disclosure [Abstract] | ||
2020 | $ 12,500 | |
2021 | 308,000 | |
2022 | 1,319,150 | |
2023 | 538,565 | |
2024 and thereafter | 398,000 | |
Total | 2,926,215 | $ 2,505,251 |
Long-Term Debt, Maturity, after Year Five | $ 350,000 |
Borrowings (North American Revo
Borrowings (North American Revolving Credit and Term Loan) (Details) | 12 Months Ended | |
Dec. 31, 2023 USD ($) | May 26, 2017 | |
North American Credit Agreement | ||
Debt Instrument [Line Items] | ||
Total credit facility available | $ 1,500,000,000 | |
Unused portion | 678,700,000 | |
Current borrowing capacity | $ 107,600,000 | |
Credit agreement consolidated leverage ratio | 3.50 | |
Debt instrument, covenant, maximum cash dividends | $ 20,000,000 | |
Credit agreement, consolidated senior secured leverage ratio | 2.25 | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,500,000,000 | |
Line Of Credit Facility, Additional Borrowing Capacity | $ 571,100,000 | |
North American Credit Agreement | Minimum | ||
Debt Instrument [Line Items] | ||
Basis spread variable rate (as a percent) | 2% | |
North American Credit Agreement | Maximum | ||
Debt Instrument [Line Items] | ||
Basis spread variable rate (as a percent) | 2.25% | |
Credit agreement, consolidated senior secured leverage ratio | 1.60 | |
Convertible Debt | Note Due 2023 | ||
Debt Instrument [Line Items] | ||
Stated percentage | 3.50% | |
Revolving Credit Facility | North American Credit Agreement | ||
Debt Instrument [Line Items] | ||
Total credit facility available | $ 1,000,000,000 | |
Optional increase in borrowing capacity | 500,000,000 | |
Option for letters of credit | 25,000,000 | |
Option to reduce borrowing capacity | 25,000,000 | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,000,000,000 | |
Revolving Credit Facility | North American Credit Agreement | Minimum | ||
Debt Instrument [Line Items] | ||
Unused commitment fee under revolving credit | 0.30% | |
Revolving Credit Facility | North American Credit Agreement | Maximum | ||
Debt Instrument [Line Items] | ||
Unused commitment fee under revolving credit | 0.35% | |
Credit agreement, consolidated senior secured leverage ratio | 1.60 | |
Revolving Credit Facility | North American Credit Agreement | Interest Rate Floor | ||
Debt Instrument [Line Items] | ||
Basis spread variable rate (as a percent) | 0% | |
Canadian Revolving Credit Facility | North American Credit Agreement | ||
Debt Instrument [Line Items] | ||
Total credit facility available | $ 75,000,000 | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 75,000,000 | |
Eligible Core Asset Pool | North American Credit Agreement | ||
Debt Instrument [Line Items] | ||
Percentage of maximum level of borrowings of ERC of eligible asset pools | 35% | |
Eligible Insolvent Asset Pool | North American Credit Agreement | ||
Debt Instrument [Line Items] | ||
Covenant, maximum borrowing as a percentage of insolvent asset pools | 55% |
Borrowings (Outstanding balance
Borrowings (Outstanding balances and weighted average interest rates) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Line of Credit Facility [Line Items] | ||
Debt outstanding | $ 2,926,215 | $ 2,505,251 |
Revolving Credit Facility | North American Credit Agreement | ||
Line of Credit Facility [Line Items] | ||
Debt outstanding | $ 396,303 | $ 186,365 |
Weighted average interest rate | 7.67% | 6.33% |
Loans Payable | North American Credit Agreement | ||
Line of Credit Facility [Line Items] | ||
Debt outstanding | $ 442,500 | $ 450,000 |
Weighted average interest rate | 7.67% | 6.38% |
Line of Credit | Europe revolving credit | ||
Line of Credit Facility [Line Items] | ||
Debt outstanding | $ 419,856 | |
Line of Credit | Europe revolving credit | European Revolving Facility and Term Loan | ||
Line of Credit Facility [Line Items] | ||
Debt outstanding | $ 538,565 | $ 419,856 |
Weighted average interest rate | 8.05% | 5.94% |
Borrowings (European Revolving
Borrowings (European Revolving Credit Facility and Term Loan) (Details) - 12 months ended Dec. 31, 2023 € in Millions, $ in Millions, kr in Billions | SEK (kr) | USD ($) | EUR (€) |
European Revolving Facility and Term Loan | Revolving Credit Facility | |||
Line of Credit Facility [Line Items] | |||
Covenant, loan-to-value | 45% | ||
Current borrowing capacity | $ 176.9 | ||
Unused portion | 307.1 | ||
Line Of Credit Facility, Additional Borrowing Capacity | 130.2 | ||
European Revolving Facility and Term Loan | Overdraft Facility | |||
Line of Credit Facility [Line Items] | |||
Total credit facility available | $ 40 | ||
Commitment fee percentage | 0.125% | ||
European Revolving Facility and Term Loan | Europe revolving credit | |||
Line of Credit Facility [Line Items] | |||
Credit agreement consolidated leverage ratio | 3.50 | 3.50 | |
Credit agreement, consolidated senior secured leverage ratio | 2.25 | 2.25 | |
European Revolving Facility and Term Loan | Maximum | Europe revolving credit | |||
Line of Credit Facility [Line Items] | |||
Maximum interest bearing deposits | kr | kr 1.2 | ||
UK Credit Agreement | |||
Line of Credit Facility [Line Items] | |||
Current borrowing capacity | $ 59.9 | ||
Credit agreement consolidated leverage ratio | 3.50 | 3.50 | |
Credit agreement, consolidated senior secured leverage ratio | 2.25 | 2.25 | |
Unused portion | $ 297.2 | ||
Line Of Credit Facility, Additional Borrowing Capacity | $ 237.3 | ||
Line of Credit | European Revolving Facility and Term Loan | Europe revolving credit | |||
Line of Credit Facility [Line Items] | |||
Total credit facility available | € | € 730 | ||
Long Term Line of Debt, Accordion Feature | € | € 500 | ||
Unused commitment fee under revolving credit | 1.12% | ||
Commitment fee as a percentage of margin | 35% | ||
Line of Credit Facility, Unused Capacity, Floor | 0 | 0 | |
Line of Credit | European Revolving Facility and Term Loan | Interbank Offered Rate (IBOR) | Minimum | Europe revolving credit | |||
Line of Credit Facility [Line Items] | |||
Basis spread variable rate (as a percent) | 2.80% | ||
Line of Credit | European Revolving Facility and Term Loan | Interbank Offered Rate (IBOR) | Maximum | Europe revolving credit | |||
Line of Credit Facility [Line Items] | |||
Basis spread variable rate (as a percent) | 3.80% | ||
Line of Credit | UK Credit Agreement | UK Revolving Credit | |||
Line of Credit Facility [Line Items] | |||
Total credit facility available | $ 800 | ||
Long Term Line of Debt, Accordion Feature | $ 200 | ||
Line of Credit | UK Credit Agreement | Minimum | UK Revolving Credit | |||
Line of Credit Facility [Line Items] | |||
Unused commitment fee under revolving credit | 0.30% | ||
Credit agreement, consolidated senior secured leverage ratio | 1.60 | 1.60 | |
Line of Credit | UK Credit Agreement | Maximum | UK Revolving Credit | |||
Line of Credit Facility [Line Items] | |||
Unused commitment fee under revolving credit | 0.35% | ||
Credit agreement, consolidated senior secured leverage ratio | 1.60 | 1.60 |
Borrowings (UK Revolving Credit
Borrowings (UK Revolving Credit Facility) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
UK Credit Agreement | |
Line of Credit Facility [Line Items] | |
Credit agreement, consolidated senior secured leverage ratio | 2.25 |
Unused portion | $ 297.2 |
Current borrowing capacity | $ 59.9 |
Credit agreement consolidated leverage ratio | 3.50 |
Line Of Credit Facility, Additional Borrowing Capacity | $ 237.3 |
UK Credit Agreement | Eligible Core Asset Pool | |
Line of Credit Facility [Line Items] | |
Percentage of maximum level of borrowings of ERC of eligible asset pools | 35% |
UK Credit Agreement | Eligible Insolvent Asset Pool | |
Line of Credit Facility [Line Items] | |
Covenant, maximum borrowing as a percentage of insolvent asset pools | 55% |
North American Credit Agreement | |
Line of Credit Facility [Line Items] | |
Credit agreement, consolidated senior secured leverage ratio | 2.25 |
Unused portion | $ 678.7 |
Current borrowing capacity | 107.6 |
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,500 |
Credit agreement consolidated leverage ratio | 3.50 |
Line Of Credit Facility, Additional Borrowing Capacity | $ 571.1 |
North American Credit Agreement | Eligible Core Asset Pool | |
Line of Credit Facility [Line Items] | |
Percentage of maximum level of borrowings of ERC of eligible asset pools | 35% |
North American Credit Agreement | Eligible Insolvent Asset Pool | |
Line of Credit Facility [Line Items] | |
Covenant, maximum borrowing as a percentage of insolvent asset pools | 55% |
Revolving Credit Facility | North American Credit Agreement | |
Line of Credit Facility [Line Items] | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,000 |
Optional increase in borrowing capacity | 500 |
UK Revolving Credit | UK Credit Agreement | Line of Credit | |
Line of Credit Facility [Line Items] | |
Line of Credit Facility, Maximum Borrowing Capacity | 800 |
Long Term Line of Debt, Accordion Feature | $ 200 |
Minimum | North American Credit Agreement | |
Line of Credit Facility [Line Items] | |
Debt Instrument, Basis Spread on Variable Rate | 2% |
Minimum | Revolving Credit Facility | North American Credit Agreement | |
Line of Credit Facility [Line Items] | |
Unused commitment fee under revolving credit | 0.30% |
Minimum | UK Revolving Credit | UK Credit Agreement | Line of Credit | |
Line of Credit Facility [Line Items] | |
Credit agreement, consolidated senior secured leverage ratio | 1.60 |
Unused commitment fee under revolving credit | 0.30% |
Minimum | UK Revolving Credit | UK Credit Agreement | Line of Credit | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | |
Line of Credit Facility [Line Items] | |
Debt Instrument, Basis Spread on Variable Rate | 2.50% |
Maximum | North American Credit Agreement | |
Line of Credit Facility [Line Items] | |
Credit agreement, consolidated senior secured leverage ratio | 1.60 |
Debt Instrument, Basis Spread on Variable Rate | 2.25% |
Maximum | North American Credit Agreement | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | |
Line of Credit Facility [Line Items] | |
Debt Instrument, Basis Spread on Variable Rate, Credit Adjustment Spread | 0.10% |
Maximum | Revolving Credit Facility | North American Credit Agreement | |
Line of Credit Facility [Line Items] | |
Credit agreement, consolidated senior secured leverage ratio | 1.60 |
Unused commitment fee under revolving credit | 0.35% |
Maximum | UK Revolving Credit | UK Credit Agreement | Line of Credit | |
Line of Credit Facility [Line Items] | |
Credit agreement, consolidated senior secured leverage ratio | 1.60 |
Unused commitment fee under revolving credit | 0.35% |
Maximum | UK Revolving Credit | UK Credit Agreement | Line of Credit | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | |
Line of Credit Facility [Line Items] | |
Debt Instrument, Basis Spread on Variable Rate | 2.75% |
Borrowings (Columbian Revolving
Borrowings (Columbian Revolving Credit Facility) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Revolving Credit Facility | Colombian Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Revolving lines of credit, carrying amount | $ 0 | $ 0.5 |
Borrowings (Senior Notes) (Deta
Borrowings (Senior Notes) (Details) - USD ($) | 12 Months Ended | ||||
Feb. 06, 2023 | Sep. 22, 2021 | Aug. 27, 2020 | Dec. 31, 2023 | May 26, 2017 | |
Debt Instrument [Line Items] | |||||
Repurchase Of Senior Notes, Value | $ 4,000,000 | ||||
2025 Notes | |||||
Debt Instrument [Line Items] | |||||
Repurchase Of Senior Notes, Value | 2,000,000 | ||||
2025 Notes | Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Face amount | $ 300,000,000 | ||||
Stated percentage | 7.375% | ||||
2025 Notes | Senior Notes | Change Of Control Event | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 101% | ||||
2025 Notes | Senior Notes | Certain Asset Sale Events | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 100% | ||||
2025 Notes | Senior Notes | September 1, 2024 And Thereafter | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 100% | ||||
2025 Notes | Senior Notes | September 1, 2023 To August 31, 2024 | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 101.844% | ||||
2029 Notes | Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Face amount | $ 350,000,000 | ||||
Stated percentage | 5% | ||||
2029 Notes | Senior Notes | Change Of Control Event | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 101% | ||||
2029 Notes | Senior Notes | Certain Asset Sale Events | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 100% | ||||
2029 Notes | Senior Notes | On Or Before October 1, 2024 | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 105% | ||||
Redemption price, percentage of aggregate principal amount | 40% | ||||
Redemption period | 90 days | ||||
2029 Notes | Senior Notes | On Or Before October 1, 2024 | Minimum | |||||
Debt Instrument [Line Items] | |||||
Redemption price, minimum percentage of aggregate principal amount outstanding | 60% | ||||
2029 Notes | Senior Notes | On or After October 1, 2024 | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 102.50% | ||||
2029 Notes | Senior Notes | October 1, 2025 To September 30, 2026 | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 101.25% | ||||
2029 Notes | Senior Notes | October 1, 2026 And Thereafter [Member] | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 100% | ||||
2029 Notes | Senior Notes | February 1, 2027 And Thereafter | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 100% | ||||
Note Due 2023 | Convertible Debt | |||||
Debt Instrument [Line Items] | |||||
Face amount | $ 345,000,000 | ||||
Stated percentage | 3.50% | ||||
2028 Notes | |||||
Debt Instrument [Line Items] | |||||
Repurchase Of Senior Notes, Value | $ 2,000,000 | ||||
2028 Notes | Senior Notes | |||||
Debt Instrument [Line Items] | |||||
Face amount | $ 400,000,000 | ||||
Stated percentage | 8.375% | ||||
2028 Notes | Senior Notes | Change Of Control Event | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 101% | ||||
2028 Notes | Senior Notes | Certain Asset Sale Events | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 100% | ||||
2028 Notes | Senior Notes | On or After February 1, 2025 | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 104.188% | ||||
2028 Notes | Senior Notes | February 1, 2026 To January 31, 2027 | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 102.094% | ||||
2028 Notes | Senior Notes | On Or Before February 1, 2025 | |||||
Debt Instrument [Line Items] | |||||
Redemption price percentage | 108.375% | ||||
Redemption price, percentage of aggregate principal amount | 40% | ||||
Redemption price, minimum percentage of aggregate principal amount outstanding | 60% |
Borrowings (Convertible Debt an
Borrowings (Convertible Debt and Additional information) (Details) - Note Due 2023 - Convertible Debt - USD ($) | Dec. 31, 2023 | May 26, 2017 |
Debt Instrument [Line Items] | ||
Face amount | $ 345,000,000 | |
Stated percentage | 3.50% | |
Effective interest rate (as a percent) | 4% |
Borrowings (Interest Expense) (
Borrowings (Interest Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Debt Instrument [Line Items] | |||
Interest expense - amortization of debt discount and issuance costs | $ 9,223 | $ 10,097 | $ 9,508 |
Interest expense | 194,667 | 132,905 | 125,231 |
Interest income | (12,943) | (2,228) | (1,088) |
Interest expense, net | (181,724) | (130,677) | (124,143) |
Convertible Debt | |||
Debt Instrument [Line Items] | |||
Interest Expense, Debt, Excluding Amortization | 5,032 | 12,075 | 12,075 |
Amortization of Debt Issuance Costs | 748 | 1,727 | 1,660 |
Interest Expense, Debt, Total | $ 5,780 | $ 13,802 | $ 13,735 |
Property and Equipment, net (Pr
Property and Equipment, net (Property and Equipment, at Cost) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment, Net [Abstract] | |||
Capitalized Computer Software, Gross | $ 70,924 | $ 71,775 | |
Computer Equipment | 21,771 | 24,685 | |
Furniture and Fixtures, Gross | 16,814 | 17,751 | |
Machinery and Equipment, Gross | 12,649 | 15,819 | |
Leasehold Improvements, Gross | 18,711 | 22,486 | |
Buildings and Improvements, Gross | 19,637 | 19,931 | |
Land | 1,407 | 1,407 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | (126,452) | (123,141) | |
Construction in Progress, Gross | 989 | 932 | |
Property and equipment, net | 36,450 | 51,645 | |
Depreciation and amortization expense | $ 13,100 | $ 14,900 | $ 15,100 |
Property and Equipment, net (Na
Property and Equipment, net (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation and amortization expense | $ 13.1 | $ 14.9 | $ 15.1 |
Fair Value (Carrying And Estima
Fair Value (Carrying And Estimated Fair Value Recorded In The Consolidated Balance Sheet) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Assets, Fair Value Disclosure [Abstract] | |||
Cash and Cash Equivalents, at Carrying Value | $ 112,528 | $ 83,376 | $ 87,584 |
Finance receivables, net, carrying amount | 3,656,598 | 3,295,008 | |
Liabilities, Fair Value Disclosure [Abstract] | |||
Interest-bearing deposits, carrying amount | 115,589 | 112,992 | |
Reported Value Measurement [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Cash and Cash Equivalents, at Carrying Value | 112,528 | 83,376 | |
Finance receivables, net, carrying amount | 3,656,598 | 3,295,008 | |
Liabilities, Fair Value Disclosure [Abstract] | |||
Interest-bearing deposits, carrying amount | 115,589 | 112,992 | |
Revolving lines of credit, carrying amount | 1,437,715 | 1,060,251 | |
Term loans, carrying amount | 442,500 | 450,000 | |
Convertible notes, carrying amount | 0 | 345,000 | |
Senior notes, carrying amount | 1,046,000 | 650,000 | |
Estimate of Fair Value Measurement [Member] | |||
Assets, Fair Value Disclosure [Abstract] | |||
Cash and cash equivalents, estimated fair value | 112,528 | 83,376 | |
Finance receivables, net, estimated fair value | 3,167,798 | 3,167,813 | |
Liabilities, Fair Value Disclosure [Abstract] | |||
Interest-bearing deposits, estimated fair value | 115,589 | 112,992 | |
Revolving lines of credit, estimated fair value | 1,437,715 | 1,060,251 | |
Term loans, estimated fair value | 442,500 | 450,000 | |
Senior notes, estimated fair value | 964,907 | 580,433 | |
Convertible notes, estimated fair value | $ 0 | $ 341,926 |
Fair Value (Fair Value Assets a
Fair Value (Fair Value Assets and Liabilities Measured on a Recurring Basis) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets, Fair Value Disclosure [Abstract] | ||
Debt Securities, Available-for-Sale | $ 59,470 | $ 66,813 |
Derivative Asset | 22,777 | 37,792 |
Liabilities: | ||
Derivative Liability | 20,403 | 19,120 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Derivative Asset | 0 | 0 |
Liabilities: | ||
Derivative Liability | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Derivative Asset | 22,777 | 37,792 |
Liabilities: | ||
Derivative Liability | 20,403 | 19,120 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Derivative Asset | 0 | 0 |
Liabilities: | ||
Derivative Liability | 0 | 0 |
Government Bonds | ||
Assets, Fair Value Disclosure [Abstract] | ||
Debt Securities, Available-for-Sale | 59,470 | 66,813 |
Government Bonds | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Debt Securities, Available-for-Sale | 59,470 | 66,813 |
Government Bonds | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Debt Securities, Available-for-Sale | 0 | 0 |
Government Bonds | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Debt Securities, Available-for-Sale | $ 0 | $ 0 |
Fair Value (Narrative) (Details
Fair Value (Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Private Equity Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Private equity funds | $ 2.5 | $ 4.4 |
Derivatives (Schedule of Deriva
Derivatives (Schedule of Derivatives by Balance Sheet Location) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Derivatives, Fair Value [Line Items] | ||
Derivative Asset | $ 22,777 | $ 37,792 |
Derivative Liability | $ 20,403 | $ 19,120 |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets | Other Assets |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other liabilities | Other liabilities |
Interest rate contracts | Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset | $ 21,770 | $ 37,305 |
Derivative Liability | 11,627 | 0 |
Foreign currency contracts | Not Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset | 1,007 | 487 |
Derivative Liability | $ 8,776 | $ 19,120 |
Derivatives (Narrative) (Detail
Derivatives (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Minimum | ||
Derivative [Line Items] | ||
Derivative, Term of Contract | 1 month | |
Maximum | ||
Derivative [Line Items] | ||
Derivative, Term of Contract | 5 years | |
Designated as Hedging Instrument | Interest rate contracts | ||
Derivative [Line Items] | ||
Derivative, notional amount | $ 872.3 | $ 719.7 |
Net derivative gain (loss) included in OCI to be reclassified next 12 months | 13.2 | |
Not Designated as Hedging Instrument | Foreign currency contracts | ||
Derivative [Line Items] | ||
Derivative, notional amount | $ 368.5 | $ 460.8 |
Derivatives (Schedule of Effect
Derivatives (Schedule of Effects of Derivatives Designated as Cash Flow Hedging Instruments) (Details) - Interest rate contracts - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain or (loss) recognized in OCI, net of tax | $ 468 | $ 32,650 | $ 17,961 |
Interest expense, net | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain or (loss) reclassified from OCI into income | $ 23,158 | $ (976) | $ (12,722) |
Derivatives (Schedule of Effe_2
Derivatives (Schedule of Effects of Derivatives Not Designated as Hedging Instruments) (Details) - Foreign currency contracts - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Foreign exchange gain/(loss) | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income | $ (10,330) | $ 38,808 | $ 12,160 |
Interest expense, net | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income | $ 1,603 | $ (364) | $ 406 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Reclassifications Out of AOCI) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Income Tax Expense (Benefit) | $ (16,133) | $ 36,787 | $ 54,817 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | (66,754) | 117,998 | 195,509 |
Interest expense, net | (181,724) | (130,677) | $ (124,143) |
Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest [Member] | Reclassification out of Accumulated Other Comprehensive Income | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Income Tax Expense (Benefit) | (1,483) | 451 | |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 21,675 | (525) | |
Interest expense, net | $ 23,158 | $ (976) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss (Changes in Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning balance | $ 1,286,750 | $ 1,324,837 | $ 1,358,837 |
Other comprehensive (loss)/income before reclassifications, net | 39,702 | (81,542) | (31,135) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | (21,675) | 525 | 10,017 |
Other comprehensive income/(loss) attributable to PRA Group, Inc. | 18,027 | (81,017) | (21,118) |
Ending balance | 1,239,376 | 1,286,750 | 1,324,837 |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification, Tax | (2,200) | (9,200) | (3,100) |
Debt Securities Available-for-Sale | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning balance | (237) | (221) | 127 |
Other comprehensive (loss)/income before reclassifications, net | 302 | (16) | (348) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 0 | 0 | 0 |
Other comprehensive income/(loss) attributable to PRA Group, Inc. | 302 | (16) | (348) |
Ending balance | 65 | (237) | (221) |
Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest [Member] | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning balance | 27,804 | (5,371) | (33,349) |
Other comprehensive (loss)/income before reclassifications, net | 468 | 32,650 | 17,961 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | (21,675) | 525 | 10,017 |
Other comprehensive income/(loss) attributable to PRA Group, Inc. | (21,207) | 33,175 | 27,978 |
Ending balance | 6,597 | 27,804 | (5,371) |
Currency Translation Adjustments | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning balance | (375,493) | (261,317) | (212,569) |
Other comprehensive (loss)/income before reclassifications, net | 38,932 | (114,176) | (48,748) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 0 | 0 | 0 |
Other comprehensive income/(loss) attributable to PRA Group, Inc. | 38,932 | (114,176) | (48,748) |
Ending balance | (336,561) | (375,493) | (261,317) |
AOCI Attributable to Parent [Member] | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning balance | (347,926) | (266,909) | (245,791) |
Ending balance | $ (329,899) | $ (347,926) | $ (266,909) |
Share-Based Compensation (Narra
Share-Based Compensation (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares available for grant (in shares) | 3,800,000 | ||
Total tax benefit realized from share-based compensation | $ (1.6) | $ 6 | $ 3.9 |
Forfeiture Rate for Share-Based Payment Arrangement | 5% | ||
Grant date fair value of shares vested | $ 11.2 | 9.5 | 10.8 |
Long-Term Incentive Programs | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Future compensation cost related to stock option | $ 1.7 | ||
Weighted average remaining life of nonvested shares (in years) | 1 year | ||
Grant date fair value of shares vested | $ 6 | $ 6.3 | $ 3.9 |
Forfeiture rate for share awards granted under LTI Programs (as a percent) | 5% | ||
Nonvested Awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Future compensation cost related to stock option | $ 11.3 | ||
Weighted average remaining life of nonvested shares (in years) | 1 year 4 months 24 days | ||
Nonvested Awards | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options issued under the amended plan vesting period (in years) | 1 year | ||
Nonvested Awards | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options issued under the amended plan vesting period (in years) | 3 years |
Share-Based Compensation (Nonve
Share-Based Compensation (Nonvested Share Transactions) (Details) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-Based Compensation Arrangement by Share-Based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |||
Beginning balance, shares | 556 | 510 | 555 |
Granted, shares | 482 | 351 | 312 |
Vested, shares | (278) | (269) | (320) |
Cancelled, shares | (208) | (36) | (37) |
Ending balance, shares | 552 | 556 | 510 |
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Beginning balance (usd per share) | $ 40.23 | $ 36.76 | $ 34.23 |
Granted (usd per share) | 32.90 | 41.64 | 38.14 |
Vested (usd per share) | 40.14 | 35.41 | 33.80 |
Cancelled (usd per share) | 41.08 | 40.85 | 36.06 |
Ending balance (usd per share) | $ 33.55 | $ 40.23 | $ 36.76 |
Long-Term Incentive Programs | |||
Share-Based Compensation Arrangement by Share-Based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |||
Beginning balance, shares | 355 | 407 | 392 |
Granted, shares | 130 | 127 | 148 |
Adjustments for actual performance, shares | 17 | 64 | (10) |
Vested, shares | (153) | (222) | (99) |
Cancelled, shares | (191) | (21) | (24) |
Ending balance, shares | 158 | 355 | 407 |
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Beginning balance (usd per share) | $ 40.07 | $ 34.01 | $ 34.30 |
Granted (usd per share) | 52.55 | 44.90 | 37.45 |
Adjustments for actual performance (usd per share) | 39.04 | 28.28 | 39.40 |
Vested (usd per share) | 39.47 | 28.28 | 39.40 |
Cancelled (usd per share) | 46.58 | 40.45 | 35.31 |
Ending balance (usd per share) | $ 42.94 | $ 40.07 | $ 34.01 |
Earnings per Share - Narrative
Earnings per Share - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 25, 2022 | |
Equity, Class of Treasury Stock [Line Items] | ||||
Antidilutive options outstanding (in shares) | 0 | 0 | 0 | |
February 2022 Repurchase Program | ||||
Equity, Class of Treasury Stock [Line Items] | ||||
Stock repurchases authorized amount | $ 150 | |||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 67.7 |
Earnings per Share (Details)
Earnings per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |||
Net Loss Attributable to PRA Group, Inc. | $ (83,477) | $ 117,147 | $ 183,158 |
Weighted Average Common Shares, Basic EPS | 39,177 | 39,638 | 44,960 |
Weighted Average Common Shares, Dilutive effect of nonvested share awards | 0 | 250 | 370 |
Weighted Average Common Shares, Diluted EPS | 39,177 | 39,888 | 45,330 |
Basic EPS (usd per share) | $ (2.13) | $ 2.96 | $ 4.07 |
Dilutive effect of nonvested share awards (usd per share) | 0 | (0.02) | (0.03) |
Diluted EPS (usd per share) | $ (2.13) | $ 2.94 | $ 4.04 |
Income Taxes (Summary of Income
Income Taxes (Summary of Income Tax Expense Recognized) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Current tax expense, Federal | $ 160 | $ 8,797 | $ 30,659 |
Current tax expense, State | 1,697 | 385 | 5,397 |
Current foreign tax expense | 17,953 | 26,998 | 11,958 |
Current tax expense, Total | 19,810 | 36,180 | 48,014 |
Deferred tax (benefit)/expense, Federal | (25,921) | (2,848) | (3,056) |
Deferred tax expense/(benefit), State | (7,956) | (386) | (323) |
Deferred Foreign Income Tax (benefit)/Expense | (2,066) | 3,841 | 10,182 |
Deferred tax (benefit)/expense, Total | (35,943) | 607 | 6,803 |
Total income tax expense, Federal | (25,761) | 5,949 | 27,603 |
Total income tax expense, State | (6,259) | (1) | 5,074 |
Foreign Income Tax Expense, Continuing Operations | 15,887 | 30,839 | 22,140 |
Income Tax Expense (Benefit), Total | $ (16,133) | $ 36,787 | $ 54,817 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Taxes [Line Items] | ||||
Net deferred tax asset | $ 57,643 | $ 13,990 | ||
Valuation allowance | 70,245 | 68,929 | ||
Unremitted earnings of foreign subsidiaries | 217,300 | |||
Unrecognized tax benefits | 105,704 | 101,703 | $ 114,294 | $ 110,425 |
Unrecognized benefit, if recognized, effect on effective tax rate | 20,500 | 19,700 | ||
Accrued potential interest related to unrecognized tax benefits | 3,900 | $ 3,000 | ||
Foreign Tax Authority | ||||
Income Taxes [Line Items] | ||||
Operating loss carryforward, foreign subsidiaries | 159,700 | |||
Valuation allowance of operating loss carryforwards, foreign subsidiaries | $ 58,000 | |||
Minimum | Foreign Tax Authority | ||||
Income Taxes [Line Items] | ||||
Operating loss carryforward, carryforward period | 5 years | |||
Maximum | Foreign Tax Authority | ||||
Income Taxes [Line Items] | ||||
Operating loss carryforward, carryforward period | 20 years |
Income Taxes (Schedule of Recon
Income Taxes (Schedule of Reconciliation of Expected Tax Expense At Statutory Tax Rates to Actual Tax Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Effective Income Tax Rate Reconciliation at Federal Statutory Income Tax Rate, Amount | $ (17,406) | $ 32,505 | $ 52,568 |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Amount | (4,886) | (18) | 4,303 |
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential, Amount | 2,058 | 1,175 | (4,449) |
Effective Income Tax Rate Reconciliation, Tax Penalties | 3,017 | 0 | 0 |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Share-Based Payment Arrangement, Amount | 117 | 3,025 | 2,212 |
Effective Income Tax Rate Reconciliation, Other Reconciling Items, Amount | 967 | 100 | 183 |
Income Tax Expense (Benefit), Total | $ (16,133) | $ 36,787 | $ 54,817 |
Effective tax rate | 19.50% | 23.80% | 21.90% |
Income Taxes (Summary of Compon
Income Taxes (Summary of Components of Net Deferred Tax Liability) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred Tax Assets, Gross [Abstract] | ||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Employee Compensation | $ 6,044 | $ 5,177 |
Deferred Tax Assets, Operating Loss Carryforwards, Foreign | 159,699 | 126,549 |
Deferred Tax Assets, Interest | 11,959 | 11,042 |
Deferred Tax Assets, Leasing Arrangements | 8,615 | 10,667 |
Deferred Tax Assets, Other | 2,561 | 0 |
Deferred Tax Assets, Valuation Allowance | (70,245) | (68,929) |
Deferred Tax Assets, Gross, Total | 118,633 | 84,506 |
Deferred Tax Liabilities, Gross [Abstract] | ||
Deferred Tax Liabilities, Property, Plant and Equipment | (1,716) | (4,178) |
Deferred Tax Liabilities, Goodwill and Intangible Assets | (6,053) | (5,118) |
Deferred Tax Liabilities, Leasing Arrangements | (7,775) | (9,731) |
Other | (7,711) | (12,234) |
Deferred Tax Liabilities, Gross | (60,990) | (70,516) |
Deferred Tax Assets, Net, Total | 57,643 | 13,990 |
Foreign Tax Authority | ||
Deferred Tax Liabilities, Gross [Abstract] | ||
Deferred Tax Liabilities, Finance Receivable Revenue Recognition | (31,538) | (12,074) |
Domestic Tax Authority | ||
Deferred Tax Liabilities, Gross [Abstract] | ||
Deferred Tax Liabilities, Finance Receivable Revenue Recognition | $ (6,197) | $ (27,181) |
Income Taxes (Unrecognized Tax
Income Taxes (Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance as of the beginning of year | $ 101,703 | $ 114,294 | $ 110,425 |
Additions, based on tax positions related to prior year | 4,001 | 3,869 | |
Unrecognized Tax Benefits, Decrease Resulting from Prior Period Tax Positions | (12,591) | ||
Balance as of the end of year | $ 105,704 | $ 101,703 | $ 114,294 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - CFPB Investigation - Settled Litigation $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Other Commitments [Line Items] | |
Litigation Settlement, Amount Awarded to Other Party | $ 12 |
Impacted Customers | |
Other Commitments [Line Items] | |
Litigation Settlement, Amount Awarded to Other Party | 1.9 |
Litigation Settlement, Amount Awarded to Other Party, Redress Payment | $ 12.2 |
Retirement Plans (Details)
Retirement Plans (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |||
Minimum eligible age to make voluntary contributions | 18 years | ||
Employee contribution, percentage of employee's compensation | 100% | ||
Employer contribution, percentage of employee's compensation | 4% | ||
Total compensation expense related to contribution plan | $ 7.2 | $ 7.2 | $ 6.5 |