Servicing:

• Second strongest Servicing quarter in the last 5 years with adjusted EBIT of SEK 1,138m
  • Increase in adjusted EBIT of 26% vs Q4 23
  • Servicing adjusted EBIT margin increased to 30%, 7% higher than Q4 23
  • Exceeded FY2024 target Adjusted EBIT margin with >19%

Investing:

• Q4 24 collections above forecast at 103% despite a challenging environment. 110% of original collections forecast.
• Continued progress and momentum in pivot to capital light with 12 agreed deals (5 as of Q3 24) across Europe with Cerberus and total capex for portfolios of over SEK 2 bn
• High level of value extraction from back book: SEK 6.6 bn vs average of SEK 3.5 bn over last three years

Transformation:

• Ophelos rolled out to 5 markets already demonstrating meaningfully lower cost-to-collect and higher collections – strong progress towards becoming a technology platform

Recapitalisation:

• Confirmation of pre-packaged Chapter 11 by U.S. Courts; Swedish Company Reorganisation underway with closing expected in H1 25

Andrés Rubio, President & CEO of Intrum AB said:

“At Intrum, achieving financial inclusion for our millions of customers is our mission and we do this by providing solutions with an empathetic approach. I am very proud that in 2024, we helped nearly 5 million customers out of debt and on the path to recovery whilst delivering successfully for clients. Throughout the year, we have made consistent, diligent and impactful progress on our strategy across Servicing, Investing and operations to continue our transformation into a capital-light business and a technological platform. We expect to emerge from the Recapitalisation Transaction in the first half of the year with ample runway to execute our business plan effectively. Looking ahead, I am confident that we will accelerate our momentum and continue to deliver consistent progress across our strategic pillars and towards our financial targets, so that we can help more and more customers while delivering for clients.”

Key financial highlights for Fourth quarter (Q4 ‘23)

• Income decreased 4% to SEK 4,825 M (5,007)
• Adj. EBIT increased 5% to SEK 1,696 M (1,616)
• Cash EBITDA increased 5% to SEK 2,918 M (2,789)
• Total adjusted cost decreased 8% to SEK 3,321 M (3,601)
• Continued progress in cost efficiencies with cost-income ratio down 3% vs. Q4 23
• Servicing adj. EBIT increased 26% to SEK 1,138 M (903)
• Servicing adj. EBIT margin increased 7 ppt, to 30% from 23%
• Investing cash income remained stable at SEK 2,239 M (2,232)
• Investing Cash EBITDA decreased to SEK 1,711 M (1,779)
• Investing collections performance of 103% vs. active forecast and 110% vs. original forecast
• Leverage ratio increased 4.5 (4.4) primarily due to Cash EBITDA decreasing post asset sale

Key financial highlights for the Full-year (Full-year ’23)

• Income increased 2% to SEK 18,033 M (17,705)
• Adj. EBIT increased 2% to SEK 4,548 M (4,464)
• Total adjusted cost remained stable at SEK 14,003 M (13,941)
• Continued progress in cost efficiencies with realised cost savings of SEK 1.3 bn by end of 2024
• Servicing adj. EBIT increased 26% to SEK 2,672 M (2,113)
• Servicing adj. EBIT margin increased 3 ppt, to 19% from 16%
• Investing cash income up 1% at SEK 8,901 M (8,855)
• Investing Cash EBITDA decreased to SEK 6,606 M (7,175)
• Investing collections performance of 101% vs. active forecast and 111% vs. original forecast

Presentation of the interim report

Andrés Rubio, President & CEO, and Johan Åkerblom, CFO, will present the results and answer questions in a webcast with teleconference at 9:00 a.m. CET. The conference will be held in English.

If you wish to participate via webcast, please use this link. Via the webcast you are able to ask questions in written.

To participate via teleconference, please register here. After registration you will be provided phone numbers and a conference ID to access the conference. Via the teleconference you can ask questions verbally.

For further information, please contact:

Investor Relations
Anders Bengtsson, Investor Relations Manager
ir@intrum.com

Media Inquiries
Kristin Andersson, External Communications Director
+46 70 585 78 18
kristin.andersson@intrum.com