(Alliance News) - Burford Capital Ltd on Thursday reported a significantly higher return on tangible equity amid an increased profit and revenue, hailing that courts are "fully back in business."
Shares in the litigation finance provider with offices in London, New York and elsewhere rose 3.5% to 1,111.66 pence each on Thursday afternoon in London.
Burford Capital said pretax profit surged to USD738.3 million in 2023 from USD109.0 million in 2022.
Revenue more than tripled to USD1.09 billion from USD319.2 million. This was boosted by a jump in capital provision income to USD1.34 billion from USD319.1 million.
The company reported a cost of USD279.3 million in third-party interest in capital provision assets in 2023, compared to USD494,000 a year prior.
It highlighted that its Burford-only return on tangible equity rose to 32% in 2023 from just 2% in 2022.
Total operating costs increased to USD271.2 million from USD124.3 million.
Chief Executive Officer Christopher Bogart said: "With the courts fully back in business, we had an active year and we anticipate further substantial levels of activity in 2024 and 2025."
By Tom Budszus, Alliance News slot editor
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Burford Capital (BUR)