Kruk S.A. — Earnings Release 2020

Mar 17, 2021

Current Report No. 6/2021

Date: March 17th 2021

Subject: Preliminary estimates of the KRUK Group's financial results for2020 and the Management Board's recommendation on dividend payment

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

Text of the report:

Having been notified, on March 17th 2021, of the preliminary estimate ofthe consolidated net result of the KRUK Group (the "Group") for 2020,the Management Board of KRUK S.A. (the "Company") has decided topublicly announce it.

The preliminary estimate of the KRUK Group's consolidated net profit for2020 is PLN 81m.

The figure is subject to change.

The Company has made a preliminary estimate of the KRUK Group's cashEBITDA* for 2020 at PLN 1.236m, up 10% on 2019.

The finally determined financial results will be disclosed in theaudited consolidated annual report of the KRUK Group for 2020 to bereleased on March 25th 2021.

The Management Board of KRUK S.A. further announces that on March 17th2021 it passed a resolution to recommend to the Company's Annual GeneralMeeting distribution of dividend of PLN 8 per share. The dividend shallbe distributed from the Company's net profit for 2020, increased by aportion of statutory reserve funds created out of the Company'searnings. The recommendation takes into account the current financialcondition of the KRUK Group, future implementation of the strategy, aswell as the Group's plans and growth prospects. The Management Board mayrecommend distribution of dividends in the future, but in each case thefinal decision in this respect will be made with due regard to theGroup's strategic plans, growth prospects, investment financingrequirements, as well as its current debt level and overall financialcondition.

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