Burford Capital Limited (“Burford”), the leading global finance and asset management firm focused on law, today announces its audited financial results for the year ended December 31, 2022 (“FY22”).1 The Burford Capital 2022 Annual Report, including financial statements (the “2022 Annual Report”), is available on the Burford Capital website at http://investors.burfordcapital.com.
Christopher Bogart, Chief Executive Officer of Burford Capital, commented:
“The pace of case progress in our portfolio quickened in 2022, resulting in a meaningful improvement in our financial results. Earnings per share more than doubled, driven by a 47% increase in total revenues, including 64% growth in capital provision income. Moreover, we deployed a record $457 million on a Burford-only basis into new capital provision-direct assets, historically our most profitable, and generated robust Burford-only cash receipts of $328 million.
“Court activity has continued to work through the backlog caused by the Covid-19 pandemic, and we are seeing a high level of portfolio activity in 2023, with 28 case milestones already having occurred and 61 more expected through the remainder of the year.
“We believe our portfolio is at a turning point, with a potential increase in our realization rate as more of our capital provision assets resolve. We expect to continue to see strong demand for our capital from tighter financial conditions and an unfolding economic downturn.
“We believe that our revised approach to determine the fair value of our capital provision assets under US GAAP represents a defining milestone in the evolution of the accounting for our asset class, and we expect it to become the industry standard. As we expected, the application of the revised fair value policy has resulted in a moderate increase in the carrying value of our capital provision assets.”
The full FY22 highlights can be found in Burford Capital’s press release here.
