Revenue is fundamentally fee-driven, with non-interest income constituting 85.2% of total revenue in Q1 2026, while net interest income remains highly erratic, re-emerging at $134.9M in Q2 2026 after periods of negligible or negative contribution.
Jefferson Capital, Inc. Common Stock (JCAP) annual income statement — 8-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 |
|---|
| Net Interest Income | -76.9B | 460.63M | 0 | 0 | -8.5M | 0 | 0 | 0 | 0 |
| NII Growth % | 0% | - | - | 100% | - | - | - | - | - |
| Net Interest Margin % | -3690.51% | 22.07% | 0% | 0% | -1.05% | 0% | 0% | 0% | 0% |
| Interest Income | 309.26M | 566.42M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 77.21B | 105.78M | 0 | 0 | 8.5M | 2.15M | 1.05M | 559K | 0 |
| Loan Loss Provision | -77.07B | 91.92M | 124.9M | 84.64M | -4.51M | -443K | -782K | -559K | 0 |
| Non-Interest Income | 350.36M | 46.87M | 433.3M | 323.07M | 45.09M | 31.21M | 12.19M | 6.53M | 1.74M |
| Non-Interest Income % | -0.46% | 9.24% | 100% | 100% | 123.23% | 100% | 100% | 100% | 100% |
| Total Net Revenue | -76.55B | 507.5M | 433.3M | 323.07M | 36.59M | 31.21M | 12.19M | 6.53M | 1.74M |
| Revenue Growth % | -26413.58% | 17.13% | 34.12% | 782.88% | 17.23% | 156.04% | 86.63% | 274.76% | - |
| Non-Interest Expense | 240.52M | 99.08M | 88.1M | 74.39M | 25.2M | 18.43M | 9.78M | 9.39M | 4.96M |
| Efficiency Ratio | -0.31% | 19.52% | 20.33% | 23.02% | 68.86% | 59.03% | 80.2% | 143.77% | 284.85% |
| Operating Income | 275.77M | 316.5M | 220.3M | 164.05M | 15.9M | 11.07M | 2.14M | -2.86M | -3.22M |
| Operating Margin % | -0.36% | 62.36% | 50.84% | 50.78% | 43.45% | 35.48% | 17.58% | -43.77% | -184.85% |
| Operating Income Growth % | - | 43.67% | 34.29% | 931.7% | 43.58% | 416.8% | 174.96% | 11.27% | - |
| Pretax Income | 194.02M | 218.44M | 138M | 120.58M | 44.41M | 54.37M | 14.56M | 16.02M | -2.94M |
| Pretax Margin % | -0.25% | 43.04% | 31.85% | 37.32% | 121.35% | 174.17% | 119.42% | 245.21% | -168.85% |
| Income Tax | 38.99M | 30.47M | 32.7M | 9.04M | 0 | 0 | 0 | 0 | 0 |
| Effective Tax Rate % | 20.1% | 13.95% | 23.7% | 7.5% | 0% | 0% | 0% | 0% | 0% |
| Net Income | 155.02M | 187.97M | 105.3M | 111.52M | 44.41M | 54.37M | 14.56M | 16.02M | -2.94M |
| Net Margin % | -0.2% | 37.04% | 24.3% | 34.52% | 121.35% | 174.17% | 119.42% | 245.21% | -168.85% |
| Net Income Growth % | 17377.11% | 78.5% | -5.58% | 151.13% | -18.32% | 273.42% | -9.1% | 644.24% | - |
| Net Income (Continuing) | 155.02M | 187.97M | 105.3M | 111.54M | 44.41M | 54.37M | 14.56M | 16.02M | -2.94M |
| EPS (Diluted) | 2.79 | 6.26 | 1.81 | 1.91 | 2.06 | 3.14 | 1.22 | 2.58 | -0.65 |
| EPS Growth % | 291.77% | 245.86% | -5.24% | -7.28% | -34.39% | 157.38% | -52.71% | 496.92% | - |
| EPS (Basic) | - | 6.26 | 1.81 | 1.91 | 2.06 | 3.14 | 1.22 | 2.64 | -0.65 |
| Diluted Shares Outstanding | 55.55M | 30.02M | 58.27M | 58.27M | 21.59M | 17.31M | 11.91M | 6.21M | 4.5M |
Quick answers to the most common questions about buying JCAP stock.
For fiscal year 2025, Jefferson Capital, Inc. Common Stock (JCAP) reported total revenue of $507.5M. This represents a 29016.8% increase compared to $1.7M in 2015.
Jefferson Capital, Inc. Common Stock (JCAP) is profitable, generating $188.0M in net income for the fiscal year ending 2025 with a net profit margin of 37.0%.
Jefferson Capital, Inc. Common Stock (JCAP) reported an operating income of $316.5M, resulting in an operating profit margin of 62.4%. This margin reflects the operational efficiency of the business before interest and taxes.
Jefferson Capital, Inc. Common Stock (JCAP) generated $415.6M in gross profit for the year, representing a gross profit margin of 81.9%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Leverage and earnings volatility
Metrics are mathematically derived from official filings.
NII Volatility Amidst Revenue Mix Shifts
Net interest income has been highly erratic, swinging from a reported $134.9M in Q2 2026 to a negative $77.2B in Q3 2025, suggesting the business model is not primarily driven by traditional net interest income dynamics.
The extreme volatility in NII, including a negative figure in Q3 2025, indicates that JCAP's core revenue is likely derived from non-interest sources such as gains on debt portfolio collections, which are classified as non-interest income. The reported NII figures may represent accounting adjustments or specific financing structures rather than a traditional spread-based banking model. Investors should focus on total revenue and non-interest income trends, as the NII line appears to be a non-recurring or non-operational component for this specialized debt purchaser.
Exceptional Net Margins Mask Structural Complexity
JCAP's reported 30.65% net margin significantly outperforms peers like PRA Group's -24.6% and Encore Capital's 14.6%, suggesting a highly efficient collection infrastructure or favorable portfolio acquisition pricing.
The company's net margin is a stark outlier in the distressed debt sector, where peers often operate with negative or single-digit margins due to high collection costs and portfolio impairments. This performance implies JCAP may possess a superior data-driven recovery model or is currently benefiting from a favorable vintage of acquired portfolios. However, the sustainability of such a high margin warrants scrutiny, as it could be vulnerable to increased competition for assets or regulatory changes that raise operational costs.
Provision Volatility Reflects Portfolio Risk Profile
Provision expense has been highly variable, ranging from a negative $77.1B in Q3 2025 to a positive $97.9M in Q1 2026, indicating significant swings in expected credit losses on purchased debt portfolios.
The erratic provision figures, including a massive negative provision in Q3 2025, suggest that JCAP's earnings are heavily influenced by management's periodic re-evaluations of portfolio collection forecasts. A negative provision typically indicates a release of previously established reserves, which can artificially boost net income in a given period. This volatility makes it challenging to assess underlying credit quality and implies that reported earnings may not be a reliable indicator of recurring operational performance.
Fee Income Dominance in Recent Quarters
Non-interest income constituted 85.2% of total revenue in Q1 2026 and 100% in several prior quarters, highlighting that the company's revenue model is fundamentally fee-based rather than interest-based.
The overwhelming contribution from non-interest income confirms that JCAP operates more like a debt purchaser and servicer than a traditional bank. This fee income likely represents cash collections from purchased portfolios, which are recognized as revenue over the collection period. The high dependency on this single revenue stream creates concentration risk, as any slowdown in collection rates or a deterioration in the quality of newly acquired portfolios could directly and materially impact total revenue.
Q2 2026 Signals a Potential Operational Shift
The Q2 2026 quarter shows a notable shift with NII re-emerging at $134.9M and the efficiency ratio spiking to 80.0%, suggesting a change in revenue recognition or a significant operational event.
The sudden appearance of substantial NII in Q2 2026, after quarters of zero or negative figures, alongside a dramatic increase in the efficiency ratio, points to a potential inflection point. This could be related to a large portfolio acquisition, a change in accounting treatment, or a restructuring of financing arrangements. The concurrent EPS miss despite 17.1% YoY revenue growth indicates that this transition may be accompanied by margin pressure or one-time costs, making it a critical period for understanding the company's evolving financial structure.
Earnings Quality Challenged by Provision and NII Noise
The company's reported earnings are heavily distorted by massive swings in provision expense and erratic NII, making it difficult to assess the true underlying profitability of its core debt purchasing operations.
The most significant challenge to JCAP's earnings quality is the extreme volatility in non-cash items like provisions and the unexplained NII figures. For instance, the $97.9M provision in Q1 2026 consumed over 55% of total revenue, while the negative provision in Q3 2025 inflated net income. This suggests that headline net income may be a poor proxy for cash generation. Investors should focus on pre-provision net revenue and cash collections from portfolios to gauge operational health, as the accounting-based metrics appear highly susceptible to management estimates and non-recurring adjustments.