Full-year report 2006
Fourth quarter 2006:
• Consolidated revenues amounted to SEK 797.5 M (759.3), an increase of 5.0 percent compared to the corresponding period of 2005. Organic growth was 6.7 percent.
• Operating earnings (EBIT) for the quarter amounted to SEK 197.8 M (120.3). This included write-downs and write-ups of purchased debt portfolios of SEK –3.1 M (+1.9), net.
• Operating earnings for 2006 included positive nonrecurring items of SEK 14.4 M. Earnings for the fourth quarter 2005 included a write-down of SEK 30.3 M.
• Consolidated revenues for 2006 amounted to SEK 2,939.6 M (2,823.2), an increase of 4.1 percent compared to 2005. Organic growth accounted for 4.3 percent. Operating earnings amounted to SEK 586.7 M (503.6) and the operating margin was 20.0 percent (17.8).
• Net earnings for the year amounted to SEK 407.5 M (333.6).
• Earnings per share before dilution for the full year amounted to SEK 5.09 (3.84).
• The Board of Directors proposes a dividend of SEK 2.75 per share (2.25).
“The strategic work we have done internally has convinced us that demand for specialized credit management services from European businesses will rise,” says Intrum Justitia President and CEO Michael Wolf. “Our challenge in the years ahead is to meet client demand with uniform business models and processes. Good ideas and solutions are already in place, and our efforts are now focused on sharing knowledge and experience within the Group.
“The Netherlands, Belgium & Germany region has regained satisfactory profitability. Countries in southern Europe continue to generate good growth and Finland remains strong. For the quarter, underlying operations in the United Kingdom & Ireland generated a slight profit. Purchased debt activities were high throughout the year, with a significant increase in the number of portfolio purchases.”