Fourth quarter 2015
· Consolidated net revenues for the fourth quarter of 2015 amounted to
SEK 1,396 M (1,370).
· Operating earnings (EBIT) amounted to SEK 385 M (360). The operating
earnings include revaluations of purchased debt portfolios amounting to
SEK –36 M (7). Earnings for the fourth quarter of 2014 were charged with non
-recurring items of net SEK –35 M. The operating margin excluding revaluations
of purchased debt and non-recurring items was 29 percent (28).
· Net earnings for the quarter amounted to SEK 274 M (294) and earnings per
share were SEK 3.76 (3.85).
· Cash flow from operating activities amounted to SEK 878 M (784).
· The carrying amount of purchased debt has increased by 13 percent compared
with the fourth quarter of 2014. Investments in purchased debt during the
quarter amounted to SEK 1,130 M (477).
Full-year 2015
· Consolidated revenues during the 2015 full-year amounted to SEK 5,628 M
(5,184).
· Operating earnings (EBIT) amounted to SEK 1,624 M (1,430). The operating
earnings include revaluations of purchased debt portfolios amounting to SEK 31 M
(35). Earnings for 2014 were burdened by non-recurring items amounting to a net
of SEK –35 M. The operating margin excluding revaluations of purchased debt and
non-recurring items was 28 percent (28).
· Net earnings for the year amounted to SEK 1,172 M (1,041) and earnings per
share totaled SEK 15.92 (13.48).
· Cash flow from operating activities amounted to SEK 2,905 M (2,672).
· Investments in purchased debt during the year amounted to SEK 2,428 M
(1,937).
· The Board of Directors proposes a dividend of SEK 8.25 per share (7.00),
corresponding to a total of SEK 597 M (514).
Comments by Acting President and CEO Erik Forsberg
Intrum Justitia performed well during the fourth quarter. Operating earnings
rose by 7 percent compared with the year-earlier period, adjusted for
revaluations, currency effects and non-recurring items. Among our regions, it is
primarily Northern Europe that has contributed to the improvement in earnings
and, in our service lines, the quarter was particularly strong for purchased
debt within Financial Services. In December, we were also able to announce two
events that will strengthen the Group for the upcoming years. We acquired two
major debt portfolios from financial institutions for a total investment of
about SEK 670 M and we increased our financial flexibility by entering an
agreement for an extended credit facility.
We can look back on a very successful 2015 for Intrum Justitia – a year in which
we acted in accordance with our strategy. We strengthened our market presence
through increased investment in purchased debt and through acquisitions in
credit management services. We developed our customer offering, including
through the launch of financing solutions for e-trade. Furthermore, through
continuous efforts to improve and expand our extensive database we also
strengthened our operational efficiency. This resulted in a continued strong
financial performance in 2015 compared with the preceding year. Earnings per
share rose by 18 percent and the return on purchased debt was 20 percent, well
above our financial targets of 10 percent and 15 percent respectively. With
regard to our capital structure, we were, over the year, just below or on par
with our financial target of net debt in relation to operating earnings before
impairment, depreciation and amortization of 2.0-3.0.
For the coming year, we see continued favorable opportunities for profitable
growth for Intrum Justitia. We have a strong offering with a combination of
services and financing that we develop continuously in close cooperation with
our customers. We have a solid financial position and through our broad
geographical presence in various customer segments, we achieve good commercial
stability. Intrum Justitia shall also contribute to a healthy economy. Through
effective credit management, we help build viable companies with the resources
to recruit new employees and invest, and by treating people responsibly, we can
also contribute to sound private finances by helping consumers deal with debt on
terms that the individual can manage.
Presentation of the Interim Report
The interim report and presentation material are available at
www.intrum.com/Investor relations. Acting President & CEO Erik Forsberg will
comment on the report at a teleconference today, starting at 9:00 a.m. CET. The
presentation can be followed at www.intrum.com and/or www.financialhearings.com.
To participate by phone, call +46 8 505 564 505 (SE) or +44 20 342 628 45 (UK).
For further information, please contact:
Erik Forsberg, Acting President and CEO,
Tel.: +46 8 546 102 02
Intrum Justitia is Europe’s leading Credit Management Services (CMS) group,
offering comprehensive services, including purchase of receivables, designed to
measurably improve clients’ cash flows and long-term profitability. Founded in
1923, Intrum Justitia has some 3,850 employees in 20 markets. Consolidated
revenues amounted to about SEK 5.6 billion in 2015. Intrum Justitia AB is listed
on Nasdaq Stockholm since 2002. For further information, please visit
www.intrum.com
