PRA Group, an accounts receivable management firm formerly known as Portfolio Recovery Associates, reported cash collections of $319.3 million for the second quarter ended June 30, up 8% from the year-ago period.

Call center collections slowed noticeably - up 23% a year ago, up 16% in the fourth quarter of 2013, up 8% in the first quarter, and up 5% in the second quarter. Legal collections continue to fill much of the gap, with 10% growth in external legal collections and 48% growth in international collections. Bankruptcy collections declined 1% in the second quarter.

PRA, based in Norfolk, Va., invested $109.2 million in new finance receivables from North American and United Kingdom creditors in the second quarter, compared with $200.5 million in the year-ago quarter. Receivables purchased were acquired in 85 portfolios from 14 different sellers.

Revenue rose 8% in the quarter, missing expectations by around 2%. Operating expenses rose 14% and were ahead of analyst expectations, leading to a 2% decline in reported operating income and a 6% miss relative to sell-side expectations.

The company completed the $880 million purchase of Norway-based Aktiv Kapital in July in one of the largest deals in accounts receivable management history.

PRA also completed the acquisition of Pamplona Capital Management's Individual Voluntary Arrangements Master Servicing Platform and other operating assets in the U.K., expanding PRA's ability to offer debt buying solutions to global clients across a variety of their defaulted customer accounts, company officials said.

"We are excited to have closed both the acquisition of Aktiv Kapital and Pamplona Capital. Geir Olsen and his team at Aktiv Kapital bring us entry into 13 new countries and expertise with the dynamics of the European markets," said Steve Fredrickson, chairman, president and CEO at PRA Group.

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