Burford Capital Full Year 2024 Earnings: Misses Expectations

Burford Capital (LON:BUR) Full Year 2024 Results

Key Financial Results

• Revenue: US$546.1m (down 49% from FY 2023).
• Net income: US$146.5m (down 76% from FY 2023).
• Profit margin: 27% (down from 57% in FY 2023). The decrease in margin was driven by lower revenue.
• EPS: US$0.66 (down from US$2.79 in FY 2023).

All figures shown in the chart above are for the trailing 12 month (TTM) period

Burford Capital Revenues and Earnings Miss Expectations

Revenue missed analyst estimates by 9.7%. Earnings per share (EPS) also missed analyst estimates by 44%.

The primary driver behind last 12 months revenue was the Principal Finance segment contributing a total revenue of US$412.7m (76% of total revenue). The most substantial expense, totaling US$244.1m were related to Non-Operating costs. This indicates that a significant portion of the company's costs is related to non-core activities. Explore how BUR's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 14% p.a. on average during the next 3 years, compared to a 16% decline forecast for the Diversified Financial industry in the United Kingdom.

Performance of the British Diversified Financial industry.

The company's shares are down 13% from a week ago.

Risk Analysis

You should always think about risks. Case in point, we've spotted 1 warning sign for Burford Capital you should be aware of.

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