Overview
Sweden-based credit management firm's Q4 External Servicing income grew organically despite FX headwinds
Company recognized SEK 2,942 mln goodwill impairment in Q4
Leverage ratio improved to 4.8x from 5.3x yr/yr
Outlook
Company expects leverage improvement from joint venture stake divestment
Intrum aims to accelerate as European leader in credit management services
Result Drivers
EXTERNAL SERVICING GROWTH - Organic growth in External Servicing income for the second consecutive quarter, despite FX headwinds
STRONG COLLECTIONS - Investing delivered strong collections and new investments at attractive margins
LEVERAGE IMPROVEMENT - Leverage ratio improved to 4.8x from 5.3x yr/yr due to strategic focus on deleveraging
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Adjusted EBITDA
SEK 2.41 bln
Q4 Adjusted EBIT
SEK 1.63 bln
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the corporate financial services peer group is "buy."
Wall Street's median 12-month price target for Intrum AB is SEK46.50, about 11.1% below its January 28 closing price of SEK52.30
Press Release: ID:nMFN8bZqMy
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)