By Mill Chart
Last update: Aug 6, 2025
Encore Capital Group Inc (NASDAQ:ECPG) reported second-quarter 2025 earnings that significantly exceeded analyst expectations, driving a strong after-hours market reaction. The specialty finance company posted earnings per share (EPS) of $2.49, surpassing the consensus estimate of $1.45 by 72%. Revenue for the quarter came in at $442.1 million, well above the projected $391.1 million, marking a 13% beat.
Following the earnings release, Encore Capital’s stock surged nearly 8.9% in after-hours trading, reflecting investor optimism over the strong quarterly performance. The positive reaction suggests that the market was not fully pricing in such a significant earnings beat, particularly given the company’s recent underperformance—shares had declined 6% over the past two weeks and 8.7% over the past month.
Management raised its full-year collections guidance to approximately $2.5 billion, representing 15.5% year-over-year growth, up from prior expectations of 11% growth. This upward revision aligns with analysts’ full-year revenue estimate of $1.6 billion, reinforcing confidence in the company’s ability to sustain momentum.
For Q3 2025, analysts currently expect revenue of $401.2 million and EPS of $1.60. Given Encore’s Q2 outperformance, investors will be watching whether the company can maintain this trajectory in the coming quarters.
For more detailed earnings estimates and historical performance, view the full earnings data here.
Disclaimer: This article is for informational purposes only and does not constitute investment advice.
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