Burford Q1 Earnings Review

Burford reported quarterly results on May 13^th before the market opened. The company had a very quiet quarter. In this article, I’ll go over Burford’s financial performance and management’s commentary. At the end, I’ll share my take on the quarter and what I’m doing portfolio-wise.

With this company in particular, I find that lightly looking at the income statement is somewhat misleading. Therefore, the procedure for these earnings reviews is different from others. For instance, revenue includes fair value adjustments. Since last year Burford had very strong FV adjustments mostly due to YPF, revenue dropped 92% YoY in this one.

Overall, there was not much activity, typical of a first quarter and the business’ financials volatility. The group’s portfolio was fairly stable, finishing the period at 7.1 billion dollars, slightly down from last year’s end.