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Kruk S.A. Earnings Release 2021

May 5, 2021

5678_rns_2021-05-05_2986bce1-0ecd-40ab-b87d-70119dcaf548.html

Earnings Release

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Current Report No. 13/2021

Date of the report: May 5th 2021

Subject: Preliminary estimates of the KRUK Group's financial results forthe first quarter of 2021 and change of the Management Board'srecommendation on dividend payment

Legal basis: Art. 17(1) of MAR - Inside information

Text of the report:

Having been notified, on May 5th 2021, of the preliminary estimate ofthe consolidated net result of the KRUK Group (the "Group") for thefirst quarter of 2021, the Management Board of KRUK S.A. (the "Company")has decided to announce the results to the public.

The preliminary estimate of the KRUK Group's consolidated net profit forthe first quarter of 2021 is PLN 127m.

The above figures are subject to change.

The Company has made a preliminary estimate of the KRUK Group's cashEBITDA* for the first quarter of 2021 at PLN 364m, up 12 % on the firstquarter of 2020.

The finally determined financial results will be disclosed in theconsolidated report of the KRUK Group for the first quarter of 2021,scheduled for issue on May 24th 2021.

The Management Board of KRUK S.A. further announces that on May 5th 2021it resolved to change the amount of the dividend payment to berecommended to the Company's Annual General Meeting from PLN 8.00 to PLN11 PLN per share. The dividend shall be distributed from the Company'snet profit for 2020, increased by a portion of statutory reserve fundscreated out of the Company's earnings. The recommendation takes intoaccount the current financial condition of the KRUK Group, futureimplementation of the strategy, as well as the Group's plans and growthprospects. The Management Board may recommend distribution of dividendsin the future, but in each case the final decision in this respect willbe made with due regard to the Group's strategic plans, growthprospects, investment financing requirements, as well as its currentdebt level and overall financial condition.

* Cash EBITDA = EBITDA - revenue from purchased portfolios + purchasedportfolio collections