I looked at a recent Encore Capital report to get a feel for the supply-side of PDLs in the USA. According to Encore, it has not improved, but they see the small players most at risk as a result. Although I would not consider Encore to be an impartial commentator on such matters, I do not expect good-news-for-CCP on the USA front, other than a minor move from a small loss to an even smaller one, or to break-even - the dollars would be inconsequential.
The next bit of good news may be the next update, which I expect at the end of January. CCP had grown its total income-generating assets, and that is what determines future profitability. The Loan Book had grown from $63m in June 2014 to $100M in June 2015, and the face value of PDLs grew from $4.7bn to $4.9bn. Importantly, operational efficiencies continue to improve, and as the Loan Business has only recently hit break-even, extra revenue should have a good marginal contribution to NPAT.
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