Burford Capital Ltd
Can this company survive a downturn?
How efficiently does it turn assets into profit?
Is the business becoming more valuable over time?
1.1. Financial Health of Burford Capital Ltd (5 min.)
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Key Takeaways
What matters most right now.
β οΈ Revenue growth
Revenue fell -63.5% last quarter to $0.1B. This is below the companyβs recent pace and should be watched against its longer-term growth trend.
β οΈ Profitability
Net profit margin fell to -29% this quarter, below its 5-year average of 32.5%. This suggests short-term pressure, but the long-term profitability profile remains the key reference.
β Cash generation
Free cash flow of $0.1B equals a 72.6% margin, broadly in line with its 5-year average of 74.8%, indicating stable cash generation.
β οΈ Debt levels
Debt relative to equity is 1.4, compared to a 5-year average of 1.27. This shows whether leverage is increasing or staying disciplined.
β Share dilution
Shares outstanding increased by 0.07% year-over-year, which slightly reduces each shareholderβs ownership.
β οΈ Capital efficiency
Return on equity is -0.8%, compared to a 5-year average of 3.6%. This shows how effectively management turns shareholder capital into profit.
Why this matters
The facts behind the takeaways.
β οΈ How much profit the business keeps
The company keeps 35.5% profit from its sales. Over the past 5 years, this was about 65.6%.
β οΈ How much cash the business generates
About 72.6% of sales turns into real cash. Historically, this was closer to 74.8%.
β οΈ Debt pressure
Debt levels are 1.4 today, compared to 1.27 over the last 5 years.
What to watch next
Focus points for the next quarters.
β Next earnings
Watch whether revenue growth translates into sustained margin improvement next quarter.
Reversals in quarterly reports
I have detected a reversal (positive to negative, negative to positive) in the following values of the quarterly reports.
Balance Sheet
Showing financial position from 2019-12-31 to 2025-09-30.
| 2025-09-30 | 2025-06-30 | 2025-03-31 | 2024-12-31 | 2024-09-30 | 2024-06-30 | 2024-03-31 | 2023-12-31 | 2022-12-31 | 2021-12-31 | 2020-12-31 | 2019-12-31 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Assets | ||||||||||||
| Total | π Member | 6,326,839 | 6,180,805 | 6,175,025 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Current | ||||||||||||
| Total | π Member | 372,248 | 486,639 | 789,830 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Cash | π Member | 372,248 | 486,639 | 469,930 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Cash Equivalents | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Short Term Investments | π Member | 0 | 0 | 319,900 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Accounts Receivable | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Inventory | ||||||||||||
| Total | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Inventory Finished Goods | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Inventory Raw Materials | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Inventory Parts | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Inventory WIP | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Prepaid Expenses | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Noncurrent | ||||||||||||
| Property Plant And Equipment | π Member | 0 | 0 | 3,426 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Intangible Assets | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Goodwill | π Member | 134,037 | 133,977 | 133,948 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Right Of Use Assets | π Member | 0 | 0 | 12,796 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Long Term Investments | π Member | 5,747,421 | 5,491,213 | 5,506,795 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Deferred Tax Assets | π Member | 2,346 | 3,202 | 3,346 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Other Assets | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Total | π Member | 5,883,804 | 5,628,392 | 5,660,311 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Liabilities | ||||||||||||
| Total | π Member | 3,098,431 | 3,020,224 | 2,918,190 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Current | ||||||||||||
| Total | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Accounts Payable | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Accrued Liabilities | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Short Term Debt | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Deferred Revenue | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Lease Liabilities | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Other Current Liabilities | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Noncurrent | ||||||||||||
| Long Term Debt | π Member | 1,779,925 | 1,764,726 | 1,763,612 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Lease Liabilities | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Operating Lease Liabilities | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Deferred Revenue | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Deferred Tax Liabilities | π Member | 85,910 | 78,629 | 71,932 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Total | π Member | 1,865,835 | 1,843,355 | 1,835,544 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Equity | ||||||||||||
| Total | π Member | 2,503,036 | 2,434,375 | 2,419,432 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Common Stock | π Member | 614,748 | 610,037 | 610,037 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Preferred Stock | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Additional Paid In Capital | π Member | 43,966 | 45,762 | 42,409 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Retained Earnings | π Member | 1,871,344 | 1,797,364 | 1,766,435 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Accumulated Other Comprehensive Income | π Member | -2,143 | 6,091 | 10,120 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Treasury Stock | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Minority Interest | π Member | 725,372 | 726,206 | 837,403 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Temporary Equity | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
Income Statement
Performance overview from 2019-12-31 to 2025-09-30.
| 2025-09-30 | 2025-06-30 | 2025-03-31 | 2024-12-31 | 2024-09-30 | 2024-06-30 | 2024-03-31 | 2023-12-31 | 2022-12-31 | 2021-12-31 | 2020-12-31 | 2019-12-31 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | ||||||||||||
| Total | π Member | 191,286 | 118,859 | 546,087 | 249,114 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Segments | ||||||||||||
| Segment1 | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Segment2 | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Segment3 | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Cost Of Revenue | ||||||||||||
| Total | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Gross Profit | π Member | 191,286 | 118,859 | 546,087 | 249,114 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Operating Expenses | ||||||||||||
| Total | π Member | 17,856 | 13,563 | 39,711 | 15,253 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Research And Development | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Selling General And Administrative | π Member | 7,792 | 10,210 | 31,025 | 9,330 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Stock Based Compensation | π Member | 10,064 | 3,353 | 8,686 | 5,923 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Allocated Stock Based Compensation | π Member | 7,265 | 2,799 | 8,822 | 3,083 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Impairment Charges | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Restructuring Charges | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Other Operating Expenses | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Operating Income | π Member | 142,221 | 77,758 | 390,602 | 202,221 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Non Operating | ||||||||||||
| Interest Income | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Interest Expense | π Member | 32,704 | 1,914 | 154,093 | 91,933 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Gain On Asset Sales | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Other Non Operating Income | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Income Before Tax | π Member | 109,747 | 44,478 | 253,588 | 169,332 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Income Tax | π Member | 4,594 | 7,568 | 24,005 | 11,468 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Net Income | π Member | 105,153 | 36,910 | 229,583 | 157,864 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
Cash Flow Statement
Operational cash dynamics from 2019-12-31 to 2025-09-30.
| 2025-09-30 | 2025-06-30 | 2025-03-31 | 2024-12-31 | 2024-09-30 | 2024-06-30 | 2024-03-31 | 2023-12-31 | 2022-12-31 | 2021-12-31 | 2020-12-31 | 2019-12-31 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating Activities | ||||||||||||
| Net Income | π Member | 88,296 | 30,929 | 146,484 | 135,643 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Adjustments | ||||||||||||
| Depreciation And Amortization | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Stock Based Compensation | π Member | 10,064 | 3,353 | 8,686 | 5,923 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Impairments | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Deferred Taxes | π Member | 10,457 | 6,272 | -16,877 | -1,672 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Gain On Asset Sales | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Change In Working Capital | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Cash From Operations | π Member | 70,939 | 155,170 | 216,725 | 235,386 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Investing Activities | ||||||||||||
| Cash From Investing | π Member | -127 | -24 | -661 | -139 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Capital Expenditures | π Member | 127 | 24 | 661 | 139 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Acquisitions | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Purchase Of Investments | π Member | 0 | 0 | 103,124 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Sale Of Investments | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Financing Activities | ||||||||||||
| Cash From Financing | π Member | -170,528 | -139,170 | 33,832 | 117,261 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Debt Issued | π Member | 0 | 0 | 284,969 | 284,969 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Debt Repaid | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Convertible Debt Repaid | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Debt Issuance Costs | π Member | 0 | 0 | 6,283 | 6,283 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Dividends Paid | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Share Repurchases | π Member | 15,310 | 15,310 | 5,090 | 5,090 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Share Issuance | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Lease Principal Payments | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Minority Interest Distributions | π Member | 17,691 | 117,178 | 162,618 | 86,094 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Other | ||||||||||||
| Taxes Paid | π Member | 21,182 | 427 | 19,504 | 12,250 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Interest Paid | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Effect Of Exchange Rate On Cash | π Member | 0 | 0 | 0 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Summary | ||||||||||||
| Net Change In Cash | π Member | -372,248 | -486,639 | -469,930 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Beginning Cash | π Member | 372,248 | 486,639 | 469,930 | 0 | π Member | π Member | π Member | π Member | π Member | π Member | π Member |
| Ending Cash | - | - | - | - | - | - | - | - | - | - | - | - |