During the first six months of this year, BEST Capital Group saw its net profit grow by +15%, revenues by +46%, and full cash EBITDA by +82% when compared to the same period in the previous year. The Group’s dynamic growth has been accompanied by record-breaking repayments of debt, amounting to PLN 111,7 million during that period.
BEST Group’s revenues for H1 amounted to PLN 116,4 million, allowing it to generate a net profit in the amount of PLN 43,8 million. With a 38% profit margin, the Group has taken a leading position among debt management businesses in Poland. The Group’s result was affected by a write-off concerning investments in Kredyt Inkaso, decreasing the net profit by PLN 27 million.
- Our continued top performance confirms our daily commitment at BEST and a healthy basis for sustained growth. We are happy that we have managed to achieve our goals, as we are planning to expand our business significantly in the near future, said Krzysztof Borusowski, President of BEST.
Debt repayments grew significantly in H1 2016, reaching PLN 111,7 million, of which BEST Group’s share amounted to PLN 87,3 million. Additionally, BEST is investing in new portfolios of non-performing debt, with PLN 84,4 million spent on such debt in H1 this year, and the total nominal value of debt purchased amounting to over PLN 520 million, up by 30% compared to H1 in the previous year (PLN 64,7 million). As a result, the nominal value of debt portfolios managed by the Group exceeded PLN 11 billion.
To a large extent, BEST Group’s growth is supported by the issue of bonds, making the Group one of the leading issuers of corporate bonds on the Polish market as of late. In H1, two recent issues were placed as part of a two-year programme, raising a total of PLN 300 million (seven issues in total since 2014). To satisfy the growing interest of investors, BEST is finalising work on another programme, which is expected to raise PLN 200 million.
- I can see the potential for further growth inside the company, in its organisation, management and investments in our IT system, on which we have already spent more than PLN 10 million, but there are also some external growth factors, such as optimistic perspectives for our sector. Therefore, our next big step is to expand our business beyond Poland. We are already preparing for that process and we will outline the details by the end of the year, explained Krzysztof Borusowski.
Despite its dynamic growth, the Group keeps its debt well below the acceptable level. The share capital increase in March this year, combined with only a slight increase in debt in H1 2016, has caused the debt ratio to decrease by one-fifth compared to the end of 2015, allowing BEST to achieve a very safe debt level.
As one of the market leaders in claims management in Poland, BEST has been continuously growing its business in recent years, achieving excellent financial results. The company’s value at WSE has increased sixteen-fold in the last five years. Since the beginning of this year, the price of its shares at WSE has increased by 54%.
General information about BEST
BEST S.A. specialises in trading in and managing non-performing debts, and has been listed on the Warsaw Stock Exchange since 1997. BEST Group actively invests in debt portfolios (bank debts in particular) using securitisation funds, and provides debt collection services commissioned by banks, telecommunication and power companies, and other providers of services for the general population.
BEST is also the sole shareholder of BEST TFI, an investment fund company managing investment funds with a total asset value of PLN 1,25 billion (as of 30 June 2016). Combining competences in debt collection, and creating and managing investment funds allowed it to concentrate all elements of its business model in a single capital group.
The total nominal value of own claims and third party claims managed by BEST is more than PLN 11 billion (as of 30 June 2016). In 2015, BEST Group generated a net profit of PLN 82,2 million, with operating revenues amounting to PLN 140,1 million.
+48 668 48 36 73