Interim report January–September 2007

• Consolidated revenues for the third quarter 2007 amounted to SEK 792.5 M (725.6), an increase of 9.2 percent. Organic growth was 10.6 percent.
• Operating earnings (EBIT) increased by 10.1 percent to SEK 172.6 M (156.7). Operating earnings include write-ups and write-downs of purchased debt portfolios of SEK –2.5 M, net (+10.2). Excluding revaluations, operating earnings increased by 19.5 percent, corresponding to an operating margin of 22.0 percent (20.5).
• Net earnings for the third quarter increased by 11.3 percent to SEK 115.4 M (103.7).
• Earnings per share before dilution amounted to SEK 1.46 (1.30) for the quarter. For the first nine months earnings per share amounted to SEK 3.90 (3.24).
• Investments in Purchased Debt in the third quarter amounted to SEK 143.0 M (271.9). The return on purchased debt was 17.1 percent (18.9). For the first nine months the return on investments was 18.5 percent (15.7).

“Our achievements in the third quarter, with organic growth of 10.6 percent and improved profitability, including a 1.5 percent increase in the operating margin, excluding portfolio revaluations, provide further support for our financial objectives. We have had a good influx of new clients, and in important countries like Sweden and Finland efforts to boost sales from existing clients are producing results. For the second consecutive quarter the Poland, Czech Republic, Slovakia & Hungary region has significantly increased both revenues and earnings. The measures in England have not yet had a full impact on earnings, although we have succeeded in attracting new clients. Our understanding of consumers’ payment habits is of great importance to the Credit Management service line, which is reporting good growth, at 7.3 percent. Purchased Debt continues to develop well, with revenue growth of 35 percent and a return of 17.1 percent. The strategic transformation of Intrum Justitia is progressing according to plan.”

Michael Wolf, President & CEO, Intrum Justitia