What is Jefferson Capital's gross profit margin?

What does Jefferson Capital do and what are its main business segments?

What is Jefferson Capital's latest dividend and current dividend yield?

What factors drove the changes in Jefferson Capital's revenue and profit?

What were the key takeaways from Jefferson Capital’s earnings call?

What were the key takeaways from Jefferson Capital's earnings call?

What is the revenue and EPS growth rate for Jefferson Capital year over year?

Did Jefferson Capital beat or miss consensus estimates last quarter?

- **Record Q3 Growth**: Revenue up 36% YoY to $151M, driven by $151M deployments and Conn's portfolio contributions.
- **Operational Excellence**: 72.2% cash efficiency ratio, 1.59x net debt/EBITDA, and $206M adjusted EBITDA.
- **Strategic Acquisitions**: Completed Conn's purchase, expect Bluestem close in Q4, targeting short-duration assets.
- **Cost Management**: Operating expenses up 59% YoY, but 60bps interest savings from credit facility amendment.
- **Growth Drivers**: Insolvency market expansion, legal channel acceleration, and disciplined portfolio selection.

**【CEO Summary Section】**
- **Revenue Growth**: Q3 revenue reached $151 million, up 36% YoY, driven by record deployments of $151 million (22% YoY growth) and strong collections from the Conn's portfolio purchase.
- **Operational Efficiency**: Cash efficiency ratio improved to 72.2%, with 61% of ERC expected to be collected within 2 years. Legal channel collections increased due to accelerated suit filing timelines.
- **Strategic Acquisitions**: Completed the Conn's portfolio purchase ($50 million Q3 collections) and expect the Bluestem portfolio ($303 million gross purchase price) to close in Q4, targeting short-duration, high-liquidity assets.
- **Financial Strength**: Adjusted cash EBITDA of $206 million (up 100% YoY), net debt/adjusted EBITDA of 1.59x, and $42 million unrestricted cash. Amended $1 billion credit facility with 5-year tenor and 60bps interest savings.

**【CFO Commentary】**
- **Profitability**: GAAP net income $400 million, Non-GAAP EPS $0.74 (vs. $0.68 prior guidance). Adjusted pre-tax ROE 51.7%, up 30% YoY.
- **Cost Management**: Operating expenses $80 million (59% YoY growth), court costs $14.9 million (66% YoY) due to legal channel expansion. Stock-based comp $9 million (annualized $36 million).
- **Liquidity**: Undrawn credit facility, $300 million bond repayment planned for May 2026. Target leverage 2-2.5x, currently 1.59x.

**【Q&A Highlights】**
- **Seasonality**: Collections peak in Q4 due to tax refunds; deployments also highest in Q4. Legal channel costs expected to remain elevated.
- **Portfolio Pipeline**: Actively evaluating performing portfolios (e.g., Bluestem) and nonprime auto loans. Student loans on hold due to regulatory uncertainty.
- **Efficiency Outlook**: Excluding one-time Conn's impact, cash efficiency ratio to improve as insolvency mix grows (lower cost to collect).

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