8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): February 25, 2016 

PRA Group, Inc.
(Exact name of registrant as specified in its charter)

Delaware	000-50058	75-3078675
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

120 Corporate Boulevard, Suite 100, Norfolk, Virginia	23502
(Address of principal executive offices)	(Zip Code)

Registrant's telephone number, including area code:   888-772-7326

________________________________________________________________________________
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

[   ]	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[   ]	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[   ]	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[   ]	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02. Results of Operations and Financial Condition.

On February 25, 2016 the Registrant issued a press release, a copy of which is attached hereto as Exhibit 99.1 and is incorporated into this Item 2.02 by reference.

The information contained in this Item 2.02 and in the accompanying Exhibit 99.1 to this Current Report shall be deemed to be “furnished” and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section or Sections 11 and 12(a)(2) of the Securities Act of 1933, as amended (the “Securities Act”). The information contained in this Item 2.02 and in the accompanying Exhibit 99.1 to this Current Report shall not be incorporated by reference into any filing with the U.S. Securities and Exchange Commission under the Securities Act or the Exchange Act made by the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing.

Item 7.01. Regulation FD Disclosure.

The Registrant provided a slide presentation to be utilized during its February 25, 2016 conference call and webcast, a copy of which is attached hereto as Exhibit 99.2 and is incorporated into this Item 7.01 by reference.

The information contained in this Item 7.01 and in the accompanying Exhibit 99.2 to this Current Report shall be deemed to be “furnished” and shall not be deemed to be “filed” for purposes of Section 18 of the Exchange Act, or otherwise subject to the liabilities of that Section or Sections 11 and 12(a)(2) of the Securities Act. The information contained in this Item 7.01 and in the accompanying Exhibit 99.2 to this Current Report shall not be incorporated by reference into any filing with the U.S. Securities and Exchange Commission under the Securities Act or the Exchange Act made by the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing.

Item 9.01. Financial Statements and Exhibits.

Exhibit 99.1	Press release dated February 25, 2016
Exhibit 99.2	Slide Presentation to be utilized February 25, 2016, during a conference call and webcast by PRA Group, Inc.

SIGNATURE

    Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	PRA Group, Inc. (Registrant)
February 25, 2016 (Date)	/s/   KEVIN P. STEVENSON Kevin P. Stevenson President & Chief Financial Officer

Exhibit Index
99.1	Press release dated February 25, 2016
99.2	Slide Presentation to be utilized February 25, 2016, during conference call and webcast by PRA Group, Inc.

EX-99.1

EXHIBIT 99.1

PRA Group Reports Fourth Quarter and Full Year 2015 Results

Acquires Recovery Management Systems Corporation

NORFOLK, Va., Feb. 25, 2016 (GLOBE NEWSWIRE) -- PRA Group (Nasdaq:PRAA), a global leader in acquiring and collecting nonperforming loans, today reported its financial results for the fourth quarter and full year of 2015.  The company reported diluted earnings per share of $0.86 and non-GAAP diluted earnings per share of $1.03 for the fourth quarter of 2015. For the full year, the company reported diluted earnings per share of $3.47 and non-GAAP diluted earnings per share of $4.30.  Non-GAAP financial results are presented in constant currency with the third and fourth quarter of 2014 and exclude items unrelated to normal operations.  A reconciliation of all non-GAAP financial measures to the most directly comparable GAAP financial measure can be found at the end of this press release.

The company also announced the acquisition of certain assets of Recovery Management Systems Corporation (RMSC). The transaction also includes the hiring of most RMSC employees.  Mike Petit, president of PRA Insolvency Investment Services, said, “We are extremely impressed with RMSC’s technology platform supporting its bankrupt account processing and recovery management business. This acquisition strengthens and broadens our ability to offer bankruptcy processing services to our clients and complements our existing Insolvency business.”

Fourth Quarter Highlights

• Cash collections of $369.4 million, non-GAAP cash collections of $380.3 million.
• Revenues of $230.2 million, non-GAAP revenues of $236.7 million.
• Income from operations of $71.2 million, non-GAAP income from operations of $87.4 million.
• Net income of $41.0 million, non-GAAP net income of $49.0 million. 
• Return on average equity, annualized, of 19.8%, non-GAAP return on average equity, annualized, of 27.5%.
• $225.9 million in investments.
  
  

Full Year Highlights

• Cash collections of $1.54 billion, non-GAAP cash collections of $1.56 billion.
• Revenues of $942.0 million, non-GAAP revenues of $954.4 million.
• Income from operations of $310.3 million, non-GAAP income from operations of $363.0 million.
• Net income of $167.9 million, non-GAAP net income of $207.9 million.
• Return on average equity of 19.9%, non-GAAP return on average equity of 24.6%.
• $963.8 million in investments.
  
  

“One thing remains evident for our future long term results, the industry consolidation in the U.S. Core market remains a critical positive for us,” said Steve Fredrickson, chairman and chief executive officer, PRA Group.  “When any of the events decreasing supply in the U.S. change, PRA will be there to win our fair share and our results should begin to show the effects soon thereafter.  We feel confident that with our industry low leverage, we will be ready and able to purchase portfolios that are within our return profile both now and when volume inevitably picks up.  In the meantime, we are highly profitable, producing strong results for shareholders, while we grow rapidly in Europe and South America, and improve our operating effectiveness consistently.”

REVENUES AND CASH COLLECTIONS

• Total revenues of $230.2 million in the fourth quarter included finance receivables income net of principal amortization and net allowance charges.  Non-GAAP total revenues for the quarter were $236.7 million versus $250.7 million in year-ago quarter.  For the full year, total revenues were $942.0 million.  Non-GAAP total revenues for the full year were $954.4 million versus $881.0 million in 2014.
• Cash collections were $369.4 million.  Non-GAAP cash collections were $380.3 million, an increase of 2% over the year-ago quarter.  Cash collections for the year were $1.54 billion and non-GAAP cash collections were $1.56 billion.  Both GAAP and non-GAAP cash collections are reported below and included collections from these finance receivables sources:

Cash Collection Source ($ in thousands)	Q4-2015		Q3-2015		Q2-2015		Q1-2015		Q4-2014
Americas-Core	$	195,834	$	210,725	$	218,838	$	219,371	$	185,921
Americas-Insolvency		73,843		81,865		92,974		95,533		103,104
Europe-Core		97,149		85,635		76,602		83,876		84,398
Europe-Insolvency		2,545		2,528		1,210		967		5
Total Cash Collections	$	369,371	$	380,753	$	389,624	$	399,747	$	373,428
Cash Collection Source - Constant Currency Adjusted ($ in thousands)	Q4-2015		YTD-2015				Q4-2014		YTD-2014
Americas-Core	$	196,967	$	846,703			$	185,921	$	752,995
Americas-Insolvency		73,843		344,215				103,104		458,451
Europe-Core		106,899		363,557				84,398		167,361
Europe-Insolvency		2,546		7,252				5		5
Total Cash Collections	$	380,255	$	1,561,727			$	373,428	$	1,378,812

• Principal amortization of finance receivables in the fourth quarter was $160.9 million or 43.6% of cash collections, compared with 40.4% in the year-ago quarter.   Principal amortization included a net allowance charge of $11.5 million recorded against certain pools of finance receivables in the quarter, compared with a net allowance charge of $1.0 million recorded in the year-ago quarter.  Non-GAAP principal amortization was $166.5 million in the fourth quarter of 2015.  Full year principal amortization of finance receivables was $674.4 million or 43.8% of cash collections, including a net allowance charge of $29.4 million.  Non-GAAP principal amortization for the full year was $685.4 million.
• Revenues in the fourth quarter also included income from PRA Group’s fee-based businesses of $19.6 million, compared with $22.8 million in the year-ago quarter, and other income of $2.1 million compared with $5.3 million in the year-ago quarter.  For the full year, fee revenue was $64.4 million and other income was $12.5 million.
  
  

EXPENSES AND OPERATING INCOME

• Operating expenses were $159.0 million in the fourth quarter, compared with $140.9 million a year ago.  Operating expenses include an accrual to reflect the fact that the company has signed an agreement in principle with the opposing parties in its TCPA lawsuit and is seeking final judicial approvals.  Non-GAAP operating expenses were $149.4 million versus $137.8 million a year ago.  For the full year, operating expenses were $631.7 million, compared with $538.9 million in 2014.  Non-GAAP operating expenses for the full year were $591.5 million versus $520.6 million in 2014.
• Operating income in the fourth quarter was $71.2 million, compared with $109.9 million in the year-ago quarter.  Non-GAAP operating income was $87.4 million in the fourth quarter versus $112.9 million a year ago.  For the full year, operating income was $310.3 million versus $342.1 million in 2014.  Non-GAAP operating income for the full year was $363.0 million versus $360.4 million in 2014.  The operating margin was 30.9% in the fourth quarter and the non-GAAP operating margin was 36.9%.  For the full year, the operating margin was 32.9% and the non-GAAP operating margin was 38.0%.
• The provision for income taxes was $15.2 million in the fourth quarter compared to $46.5 million in the year-ago quarter.  PRA Group’s provision for income taxes was 27.0% of income before taxes in the fourth quarter, compared with 49.7% in the year-ago quarter.  Non-GAAP provision for income taxes in the fourth quarter was $20.3 million versus $47.5 million a year ago.  For the full year, the provision for income taxes was $89.4 million or 34.7% of income before taxes.  Non-GAAP provision for income taxes for the full year was $105.2 million or 33.6% of income before taxes.
  
  

PORTFOLIO ACQUISITIONS

• PRA Group invested $225.9 million in new finance receivables in the fourth quarter.

Portfolio Purchase Source ($ in thousands)	Q42015		Q32015		Q22015		Q12015		Q42014
Americas-Core	$	120,554	$	90,912	$	98,317	$	138,498	$	119,714
Americas-Insolvency		20,589		9,300		19,111		16,437		24,949
Europe-Core (1)		79,735		240,385		88,499		21,579		123,194
Europe-Insolvency		4,976		3,959		2,450		8,510		11,625
Total Portfolio Purchasing	$	225,854	$	344,556	$	208,377	$	185,024	$	279,482
(1)  Excludes the $27.9 million and $34.7 million investment in the securitized fund in Poland during the three months ended March 31, 2015 and December 31, 2014, respectively.

BALANCE SHEET

• Borrowings totaled $1,723.3 million as of December 31, 2015, consisting of $541.8 million drawn on the domestic and Canadian revolver, $576.4 million drawn on the multi-currency revolver, $265.1 million in convertible senior notes, $170.0 million in other long-term debt and $169.9 million in notes payable.  Total borrowings were $1,482.5 million as of December 31, 2014.
• Cash and cash equivalents were $71.4 million as of December 31, 2015, compared with $39.7 million as of December 31, 2014.
• Net deferred tax liabilities were $261.5 million as of December 31, 2015, compared with $255.6 million as of December 31, 2014.
• Equity was $800.5 million as of December 31, 2015, compared with $902.2 million as of December 31, 2014.
  
  

Conference Call Information 
PRA Group will hold a conference call today at 5:00 p.m. ET to discuss results with institutional investors and stock analysts.  To listen to a webcast of the call, visit http://ir.pragroup.com/events.cfm.  To listen by phone, call 888-695-7639 in the U.S. or 970-315-0482 outside the U.S.  The conference ID is 50970357.  A question-and-answer session on the call will be open only to analysts or investors.  To listen to a replay of the call until March 3, 2016, call 855-859-2056 in the U.S. or 404-537-3406 outside the U.S. and use conference ID 50970357.

About PRA Group
As a global leader in acquiring and collecting nonperforming loans, PRA Group (Nasdaq:PRAA) returns capital to banks and other creditors to help expand financial services for consumers in the Americas and Europe. PRA Group companies collaborate with customers to help them resolve their debt and provide a broad range of additional revenue and recovery services to business and government clients.

PRA has been recognized as one of Fortune's 100 Fastest-Growing Companies for three years and one of Forbes' Best Small Companies in America for eight consecutive years since 2007. For more information, please visit www.pragroup.com.

About Forward Looking Statements
Statements made herein which are not historical in nature, including PRA Group’s or its management's intentions, hopes, beliefs, expectations, representations, projections, plans or predictions of the future, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.

The forward-looking statements in this press release are based upon management's current beliefs, estimates, assumptions and expectations of PRA Group’s future operations and economic performance, taking into account currently available information. These statements are not statements of historical fact or guarantees of future performance, and there can be no assurance that anticipated events will transpire or that our expectations will prove to be correct. Forward-looking statements involve risks and uncertainties, some of which are not currently known to PRA Group. Actual events or results may differ materially from those expressed or implied in any such forward-looking statements as a result of various factors, including risk factors and other risks that are described from time to time in PRA Group’s filings with the Securities and Exchange Commission including but not limited to PRA Group’s annual reports on Form 10-K, its quarterly reports on Form 10-Q and its current reports on Form 8-K, filed with the Securities and Exchange Commission and available through PRA Group's website, which contain a detailed discussion of PRA Group's business, including risks and uncertainties that may affect future results.

Due to such uncertainties and risks, you are cautioned not to place undue reliance on such forward-looking statements, which speak only as of today. Information in this press release may be superseded by recent information or statements, which may be disclosed in later press releases, subsequent filings with the Securities and Exchange Commission or otherwise. Except as required by law, PRA assumes no obligation to publicly update or revise its forward-looking statements contained herein to reflect any change in PRA Group’s expectations with regard thereto or to reflect any change in events, conditions or circumstances on which any such forward-looking statements are based, in whole or in part.

PRA Group, Inc.
Unaudited Consolidated Income Statements
(in thousands, except per share amounts)
	Three Months Ended						Twelve Months Ended
	December 31,						December 31,
		2015			2014			2015			2014
Revenues:
Income recognized on finance receivables, net	$	208,471		$	222,660		$	865,122		$	807,474
Fee income		19,649			22,800			64,383			65,675
Other revenue		2,065			5,271			12,513			7,820
Total revenues		230,185			250,731			942,018			880,969
Operating expenses:
Compensation and employee services		68,670			65,448			268,345			234,531
Legal collection fees		11,873			15,125			53,393			51,107
Legal collection costs		16,774			15,725			76,063			88,054
Agency fees		8,182			7,497			32,188			16,399
Outside fees and services		27,309			15,707			65,155			55,821
Communication		6,601			7,715			33,113			33,085
Rent and occupancy		3,991			3,477			14,714			11,509
Depreciation and amortization		4,935			5,307			19,874			18,414
Other operating expenses		10,678			4,870			68,829			29,981
Total operating expenses		159,013			140,871			631,674			538,901
Income from operations		71,172			109,860			310,344			342,068
Other income and (expense):
Interest expense		(15,321	)		(13,493	)		(60,336	)		(35,226	)
Foreign exchange gain/(loss)		301			(2,898	)		7,514			(5,829	)
Income before income taxes		56,152			93,469			257,522			301,013
Provision for income taxes		15,164			46,478			89,391			124,508
Net income	$	40,988		$	46,991		$	168,131		$	176,505
Adjustment for net income attributable to noncontrolling interest		18			-			205			-
Net income attributable to PRA Group, Inc.	$	40,970		$	46,991		$	167,926		$	176,505
Net income per common share attributable to PRA Group, Inc.:
Basic	$	0.87		$	0.94		$	3.49		$	3.53
Diluted	$	0.86		$	0.93		$	3.47		$	3.50
Weighted average number of shares outstanding:
Basic		47,197			49,892			48,128			49,990
Diluted		47,539			50,444			48,405			50,421

PRA Group, Inc.
Unaudited Consolidated Balance Sheets
(in thousands)
	December 31,
ASSETS		2015			2014
Cash and cash equivalents	$	71,372		$	39,661
Investments		73,799			89,703
Finance receivables, net		2,202,113			2,001,790
Other receivables, net		30,771			12,959
Income taxes receivable		1,717			-
Net deferred tax asset		13,068			6,126
Property and equipment, net		45,394			48,258
Goodwill		495,156			527,445
Intangible assets, net		23,788			10,933
Other assets		39,528			41,876
Total assets	$	2,996,706		$	2,778,751
LIABILITIES AND EQUITY
Liabilities:
Accounts payable	$	4,190		$	4,446
Accrued expenses		95,380			89,361
Income taxes payable		21,236			11,020
Net deferred tax liability		261,498			255,587
Interest-bearing deposits		46,991			27,704
Borrowings		1,723,268			1,482,456
Other liabilities		4,396			5,962
Total liabilities		2,156,959			1,876,536
Equity:
Preferred stock, par value $0.01, authorized shares, 2,000, issued and outstanding shares, 0		-			-
Common stock, par value $0.01, authorized shares, 100,000, issued and outstanding shares, 46,173 at December 31, 2015; 100,000 authorized shares, 49,577 issued and outstanding shares at December 31, 2014		462			496
Additional paid-in capital		64,622			111,659
Retained earnings		964,270			906,010
Accumulated other comprehensive loss		(228,861	)		(115,950	)
Total stockholders' equity - PRA Group, Inc.		800,493			902,215
Noncontrolling interest		39,254			-
Total equity		839,747			902,215
Total liabilities and total equity	$	2,996,706		$	2,778,751

PRA Group, Inc.
FINANCIAL HIGHLIGHTS
	As of and for the									As of and for the
	Three Months Ended December 31,									Twelve Months Ended December 31,
		2015			2014		Change				2015			2014		Change
EARNINGS (in thousands)
Income recognized on finance receivables, net	$	208,471		$	222,660			-6	%	$	865,122		$	807,474			7	%
Fee income		19,649			22,800			-14	%		64,383			65,675			-2	%
Other revenue		2,065			5,271			-61	%		12,513			7,820			60	%
Total revenues		230,185			250,731			-8	%		942,018			880,969			7	%
Operating expenses		159,013			140,871			13	%		631,674			538,901			17	%
Income from operations		71,172			109,860			-35	%		310,344			342,068			-9	%
Net interest expense		15,321			13,493			14	%		60,336			35,226			71	%
Net income		40,988			46,991			-13	%		168,131			176,505			-5	%
Net income attributable to PRA Group, Inc.		40,970			46,991			-13	%		167,926			176,505			-5	%
PERIOD-END BALANCES (in thousands)
Cash and cash equivalents	$	71,372		$	39,661			80	%	$	71,372		$	39,661			80	%
Finance receivables, net		2,202,113			2,001,790			10	%		2,202,113			2,001,790			10	%
Goodwill and intangible assets, net		518,944			538,378			-4	%		518,944			538,378			-4	%
Total assets		2,996,706			2,778,751			8	%		2,996,706			2,778,751			8	%
Borrowings		1,723,268			1,482,456			16	%		1,723,268			1,482,456			16	%
Total liabilities		2,156,959			1,876,536			15	%		2,156,959			1,876,536			15	%
Total equity - PRA Group, Inc.		800,493			902,215			-11	%		800,493			902,215			-11	%
FINANCE RECEIVABLE INCOME (dollars in thousands)
Cash collections	$	369,371		$	373,428			-1	%	$	1,539,495		$	1,378,812			12	%
Cash collections on fully amortized pools		8,280			17,785			-53	%		52,202			68,349			-24	%
Principal amortization without allowance (reversals)/charges		149,381			149,753			0	%		645,004			576,273			12	%
Allowance (reversal)/charge		11,519			1,015			1035	%		29,369			(4,935	)		-695	%
Principal amortization with allowance (reversals)/charges		160,900			150,768			7	%		674,373			571,338			18	%
Principal amortization w/ allowance charges as % of cash collections:
Including fully amortized pools		43.6	%		40.4	%		8	%		43.8	%		41.4	%		6	%
Excluding fully amortized pools		44.6	%		42.4	%		5	%		45.3	%		43.6	%		4	%
Allowance (reversal)/charge to period-end net finance receivables		0.5	%		0.1	%		932	%		1.3	%		(0.2	%)		-641	%
PURCHASES OF FINANCE RECEIVABLES (dollars in thousands)
Purchase price - Americas core	$	120,554		$	119,714			1	%	$	448,281		$	408,721			10	%
Purchase price - Americas insolvency		20,589			24,949			-17	%		65,437			151,674			-57	%
Purchase price - Europe core		79,735			123,194			-35	%		430,198			860,744			-50	%
Purchase price - Europe insolvency		4,976			11,625			-57	%		19,895			11,625			71	%
Purchase price - total		225,854			279,482			-19	%		963,811			1,432,764			-33	%
Number of portfolios - total		139			142			-2	%		542			456			19	%
ESTIMATED REMAINING COLLECTIONS (in thousands)
Estimated remaining collections - Americas core	$	2,558,529		$	2,229,403			15	%	$	2,558,529		$	2,229,403			15	%
Estimated remaining collections - Americas insolvency		448,652			642,552			-30	%		448,652			642,552			-30	%
Estimated remaining collections - Europe core		1,964,763			1,478,738			33	%		1,964,763			1,478,738			33	%
Estimated remaining collections - Europe insolvency		34,878			15,021			132	%		34,878			15,021			132	%
Estimated remaining collections - total		5,006,822			4,365,714			15	%		5,006,822			4,365,714			15	%
Adjusted estimated remaining collections (7)		5,114,923			4,437,264			15	%		5,114,923			4,437,264			15	%
SHARE DATA (share amounts in thousands)
Net income per common share - diluted	$	0.86		$	0.93			-7	%	$	3.47		$	3.50			-1	%
Weighted average number of shares outstanding - diluted		47,539			50,444			-6	%		48,405			50,421			-4	%
Shares repurchased		2,072			574			261	%		3,683			574			542	%
Average price paid per share repurchased (including acquisitions costs)	$	38.60		$	57.79			-33	%	$	44.94			57.79			-22	%
Closing market price	$	34.69		$	57.93			-40	%	$	34.69		$	57.93			-40	%
RATIOS AND OTHER DATA (dollars in thousands)
Return on average equity (1)		19.8	%		20.2	%		-2	%		19.9	%		18.9	%		5	%
Return on revenue (2)		17.8	%		18.7	%		-5	%		17.8	%		20.0	%		-11	%
Return on average assets (3)		5.5	%		6.9	%		-20	%		5.9	%		8.0	%		-26	%
Operating margin (4)		30.9	%		43.8	%		-29	%		32.9	%		38.8	%		-15	%
Operating expense to cash receipts (5)		40.9	%		35.6	%		15	%		39.4	%		37.3	%		6	%
Debt to stockholders'equity (6)		215.3	%		164.3	%		31	%		215.3	%		164.3	%		31	%
Number of full-time equivalent collectors		2,173			2,457			-12	%		2,173			2,457			-12	%
Number of full-time equivalent employees		3,799			3,880			-2	%		3,799			3,880			-2	%
Cash receipts (5)	$	389,020		$	396,228			-2	%	$	1,603,878		$	1,444,487			11	%
Line of credit - unused portion at period end		446,769			352,926			27	%		446,769			352,926			27	%
(1)  Calculated as annualized net income divided by average equity for the period
(2)  Calculated as net income divided by total revenues
(3)  Calculated as annualized net income divided by average assets for the period
(4)  Calculated as income from operations divided by total revenues
(5)  "Cash receipts" is defined as cash collections plus fee income
(6)  For purposes of this ratio, "debt" equals borrowings
(7)  Equals total estimated remaining collections on our owned finance receivable portfolios plus the estimated remaining collections on certain of our other investments.

PRA Group, Inc.
FINANCIAL HIGHLIGHTS
	For the Quarter Ended
	December 31			September 30			June 30			March 31			December 31
		2015			2015			2015			2015			2014
EARNINGS (in thousands)
Income recognized on finance receivables, net	$	208,471		$	208,184		$	220,064		$	228,403		$	222,660
Fee income		19,649			17,803			13,878			13,053			22,800
Other revenue		2,065			3,443			3,255			3,750			5,271
Total revenues		230,185			229,430			237,197			245,206			250,731
Operating expenses		159,013			175,303			148,318			149,040			140,871
Income from operations		71,172			54,127			88,879			96,166			109,860
Net interest expense		15,321			16,787			13,452			14,776			13,493
Net income		40,988			17,583			51,425			58,135			46,991
Net income attributable to PRA Group, Inc.		40,970			17,396			51,425			58,135			46,991
PERIOD-END BALANCES (in thousands)
Cash and cash equivalents	$	71,372		$	69,111		$	56,811		$	40,542		$	39,661
Finance receivables, net		2,202,113			2,167,178			2,012,552			1,954,772			2,001,790
Goodwill and intangible assets, net		518,944			526,841			512,451			506,695			538,378
Total assets		2,996,706			2,984,550			2,783,756			2,700,613			2,778,751
Borrowings		1,723,268			1,654,457			1,503,363			1,479,262			1,482,456
Total liabilities		2,156,959			2,083,131			1,885,880			1,883,295			1,876,536
Total equity - PRA Group, Inc.		800,493			863,517			897,876			817,318			902,215
FINANCE RECEIVABLE COLLECTIONS (dollars in thousands)
Cash collections	$	369,371		$	380,753		$	389,624		$	399,747		$	373,428
Cash collections on fully amortized pools		8,280			11,453			15,162			17,307			17,785
Principal amortization without allowance (reversals)/charges		149,381			161,234			164,675			169,714			149,753
Allowance (reversal)/charge		11,519			11,335			4,885			1,630			1,015
Principal amortization with allowance (reversals)/charges		160,900			172,569			169,560			171,344			150,768
Principal amortization w/ allowance charges as % of cash collections:
Including fully amortized pools		43.6	%		45.3	%		43.5	%		42.9	%		40.4	%
Excluding fully amortized pools		44.6	%		46.7	%		45.3	%		44.8	%		42.4	%
Allowance (reversal)/charge to period-end net finance receivables		0.5	%		0.5	%		0.2	%		0.1	%		0.1	%
PURCHASES OF FINANCE RECEIVABLES (dollars in thousands)
Purchase price - North America core	$	120,554		$	90,912		$	98,317		$	138,498		$	119,714
Purchase price - North America insolvency		20,589			9,300			19,111			16,437			24,949
Purchase price - Europe core		79,735			240,385			88,499			21,579			123,194
Purchase price - Europe insolvency		4,976			3,959			2,450			8,510			11,625
Purchase price - total		225,854			344,556			208,377			185,024			279,482
Number of portfolios - total		139			128			136			139			142
ESTIMATED REMAINING COLLECTIONS (in thousands)
Estimated remaining collections - Americas core	$	2,558,529		$	2,421,506		$	2,384,698		$	2,370,086		$	2,229,403
Estimated remaining collections - Americas insolvency		448,652			474,097			529,892			577,319			642,552
Estimated remaining collections - Europe core		1,964,763			1,903,226			1,685,694			1,619,454			1,478,738
Estimated remaining collections - Europe insolvency		34,878			30,081			26,807			24,838			15,021
Estimated remaining collections - total		5,006,822			4,828,910			4,627,091			4,591,697			4,365,714
Adjusted estimated remaining collections (7)		5,114,923			4,945,609			4,747,552			4,716,230			4,437,264
SHARE DATA (share amounts in thousands)
Net income per common share - diluted	$	0.86		$	0.36		$	1.06		$	1.19		$	0.93
Weighted average number of shares outstanding - diluted		47,539			48,498			48,529			49,052			50,444
Shares repurchased		2,072			133			-			1,478			574
Average price paid per share repurchased (including acquisitions costs)	$	38.60		$	58.08		$	-		$	52.65		$	57.79
Closing market price	$	34.69		$	52.92		$	62.31		$	54.32		$	57.93
RATIOS AND OTHER DATA (dollars in thousands)
Return on average equity (1)		19.8	%		7.8	%		23.5	%		30.1	%		20.2	%
Return on revenue (2)		17.8	%		7.7	%		21.7	%		23.7	%		18.7	%
Return on average assets (3)		5.5	%		2.3	%		7.4	%		8.7	%		6.9	%
Operating margin (4)		30.9	%		23.6	%		37.5	%		39.2	%		43.8	%
Operating expense to cash receipts (5)		40.9	%		44.0	%		36.8	%		36.1	%		35.6	%
Debt to stockholders'equity (6)		215.3	%		191.6	%		167.4	%		181.0	%		164.3	%
Number of collectors		2,173			2,159			2,317			2,395			2,457
Number of full-time equivalent employees		3,799			3,715			3,820			3,847			3,880
Cash receipts (5)	$	389,020		$	398,556		$	403,502		$	412,800		$	396,228
Line of credit - unused portion at period end		446,769			393,246			547,017			323,812			352,926
(1)  Calculated as annualized net income divided by average equity for the period
(2)  Calculated as net income divided by total revenues
(3)  Calculated as annualized net income divided by average assets for the period
(4)  Calculated as income from operations divided by total revenues
(5)  "Cash receipts" is defined as cash collections plus fee income
(6)  For purposes of this ratio, "debt" equals borrowings
(7)  Equals total estimated remaining collections on our owned finance receivable portfolios plus the estimated remaining collections on certain of our other investments.

Use of Non-GAAP Financial Measures

PRA Group, Inc. reports financial results in accordance with U.S. generally accepted accounting principles (GAAP).  However, the Company believes certain non-GAAP performance measures and ratios which exclude penalty and fees associated with the CFPB consent order, expenses associated with acquisitions, one-time tax items, legal costs not associated with normal operations, and constant currency adjustments may provide additional meaningful comparisons between current year results and prior periods.  Reconciliations from non-GAAP to the most directly comparable GAAP financial measures are provided below.  These non-GAAP financial measures should be viewed in addition to, not as an alternative for reported GAAP results.

The constant currency results assume that foreign revenues and expenses are translated from foreign currencies to the U.S. Dollar at rates consistent with the prior year, and that any benefit or loss caused by foreign currency fluctuations would be consistent with the prior year.  To do this the company translates the current year’s income statements into U.S. Dollars using the prior year’s average exchange rates and then replaces the foreign exchange gain or loss for the current year with the balance from the prior year.  Finally, the company calculates the tax impact of the constant currency results to reflect the current effective tax rate of the reporting period.

Three Months Ended December 31, 2015
	Cash Collections		Amortization		Income Recognized on Finance Receivables		Fee Income		Other Income		Total Revenues		Expenses			Income from Operations		Income before Taxes			Net Income			Diluted EPS
As Reported	$	369,371	$	160,900	$	208,471	$	19,649	$	2,065	$	230,185	$	159,013		$	71,172	$	56,152		$	40,970		$	0.86
Adjustments:
CFPB expenses including penalty and redress		-		-		-		-		-		-		(111	)		111		111			68			-
Acquisition and other expenses		-		-		-		-		-		-		(1,639	)		1,639		1,639			1,005			0.02
Legal costs not associated with normal operations		-		-		-		-		-		-		(12,045	)		12,045		12,045			7,383			0.16
Constant currency adjustments		10,884		5,603		5,281		558		725		6,564		4,143			2,421		(596	)		(439	)		(0.01	)
Subtotal of adjustments		10,884		5,603		5,281		558		725		6,564		(9,652	)		16,216		13,199			8,016			0.17
As Adjusted		380,255		166,503		213,752		20,207		2,790		236,749		149,361			87,388		69,351			48,986			1.03
Twelve Months Ended December 31, 2015
	Cash Collections		Amortization		Income Recognized on Finance Receivables		Fee Income		Other Income		Total Revenues		Expenses			Income from Operations		Income before Taxes			Net Income			Diluted EPS
As Reported	$	1,539,495	$	674,373	$	865,122	$	64,383	$	12,513	$	942,018	$	631,674		$	310,344	$	257,522		$	167,926		$	3.47
Adjustments:
CFPB expenses including penalty and redress		-		-		-		-		-		-		(28,807	)		28,807		28,807			19,641			0.41
Acquisition and other expenses		-		-		-		-		-		-		(5,628	)		5,628		5,628			3,837			0.08
One-time tax items		-		-		-		-		-		-		-			-		-			2,026			0.04
Legal costs not associated with normal operations		-		-		-		-		-		-		(13,824	)		13,824		13,824			9,426			0.19
Constant currency adjustments		22,232		10,984		11,248		759		424		12,431		8,038			4,393		7,323			5,078			0.10
Subtotal of adjustments		22,232		10,984		11,248		759		424		12,431		(40,221	)		52,652		55,582			40,008			0.83
As Adjusted		1,561,727		685,357		876,370		65,142		12,937		954,449		591,453			362,996		313,104			207,934			4.30
Three Months Ended December 31, 2014
	Cash Collections		Amortization		Income Recognized on Finance Receivables		Fee Income		Other Income		Total Revenues		Expenses			Income from Operations		Income before Taxes			Net Income			Diluted EPS
As Reported	$	373,428	$	150,768	$	222,660	$	22,800	$	5,271	$	250,731	$	140,871		$	109,860	$	93,469		$	46,991		$	0.93
Adjustments:
Acquisition and other expenses		-		-		-		-		-		-		(3,040	)		3,040		3,040			2,049			0.04
Legal costs not associated with normal operations		-		-		-		-		-		-		(15	)		15		15			10			-
Subtotal of adjustments		-		-		-		-		-		-		(3,055	)		3,055		3,055			2,059			0.04
As Adjusted		373,428		150,768		222,660		22,800		5,271		250,731		137,816			112,915		96,524			49,050			0.97
Twelve Months Ended December 31, 2014
	Cash Collections		Amortization		Income Recognized on Finance Receivables		Fee Income		Other Income		Total Revenues		Expenses			Income from Operations		Income before Taxes			Net Income			Diluted EPS
As Reported	$	1,378,812	$	571,338	$	807,474	$	65,675	$	7,820	$	880,969	$	538,901		$	342,068	$	301,013		$	176,505		$	3.50
Adjustments:
Acquisition and other expenses		-		-		-		-		-		-		(17,905	)		17,905		17,905			11,094			0.22
One-time tax items		-		-		-		-		-		-		-			-		-			(1,232	)		(0.02	)
Loss on foreign currency exchange contracts		-		-		-		-		-		-		-			-		8,240			5,105			0.10
Legal costs not associated with normal operations		-		-		-		-		-		-		(426	)		426		426			264			0.01
Subtotal of adjustments		-		-		-		-		-		-		(18,331	)		18,331		26,571			15,231			0.30
As Adjusted		1,378,812		571,338		807,474		65,675		7,820		880,969		520,570			360,399		327,584			191,736			3.80

Investor Contact:
Darby Schoenfeld
Director of Investor Relations
(757) 431-7913
DCSchoenfeld@PRAGroup.com

News Media Contact:
Nancy Porter
Vice President, Corporate Communications
(757) 431-7950
NAPorter@PRAGroup.com

EX-99.2

EXHIBIT 99.2