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Board of Directors’ Report
Board of
Directors’ Report
The Board of Directors and the President and CEO of Intrum Justitia AB (publ)
hereby submit the annual report and consolidated financial statements for
the 2015 fiscal year.
THE INTRUM JUSTITIA GROUP
Intrum Justitia AB (publ) (corporate identity number 556607-
7581) is domiciled in Stockholm and is a public limited
liability company and conducts operations in accordance with
the Swedish Companies Act. Intrum Justitia’s operations were
founded in Sweden in 1923 and have, through acquisitions
and organic growth expanded to become one of Europe’s
leading credit management companies. The Parent Company
was registered in 2001 and has been listed on the Nasdaq
Stockholm exchange since June 2002. On December 31,
2013, share capital amounted to SEK 1,594,893 and the
number of shares to 73,421,328, of which treasury holdings
were 1,073,602 shares. The Group maintains operations
through subsidiaries and joint ventures in 19 countries.
SIGNIFICANT EVENTS DURING THE YEAR
• In February, Intrum Justitia acquired a smaller credit management
company in Switzerland, Credita AG, with a good
market position in the public sector and health insurance.
• In February it was announced that Intrum Justitia had
established a joint venture, Avarda AB, together with TF Bank,
to offer payment solutions for e-merchants in the Nordic
region. Avarda’s solution entails e-traders being paid directly
when a sale is made, while consumers are offered monthly
invoices or accounts with installment payments. Avarda will
offer a service whereby the e-merchant is at the center of
all communications with the consumer, to strengthen the
e-merchant’s brand and competitiveness. Intrum Justitia holds
49 percent of the shares in Avarda and reports the holding
according to the equity method. Intrum Justitia has an option
to acquire all shares from TF Bank in 2020.
• At the Annual General Meeting in April, Matts Ekman, Lars
Lundquist, Charlotte Strömberg, Fredrik Trägårdh, Synnöve
Trygg and Magnus Yngen were re-elected as Board members,
and Ragnhild Wiborg was newly elected. Joakim Rubin left
the Board of Directors. Lars Lundquist was re-elected as
Chairman of the Board. Later in the year, Sebastian Földes
was appointed as the employee representative on the Board,
with Karolina Sandahl as deputy. The Annual General Meeting
approved the Board of Directors’ dividend proposal and its
proposal regarding principles of remuneration and other terms
of employment for senior management. The Annual General
Meeting reelected Ernst & Young as the company’s auditors.
In accordance with the Board’s proposal, the Annual General
Meeting resolved to authorize the Board, over the period
until the next Annual General Meeting, to make decisions
on the acquisition and transfer of at most 10 percent of the
shares outstanding in the company. A decision was also made
to cancel the 3,939,616 shares that had been repurchased
in between January 2014 and March 2015. During April–
December 2015, a further 1,073,602 shares were repurchased.
• In April, Intrum Justitia obtained the long-term credit
rating of BBB- with a stable outlook, from Standard &
Poor’s. A rating from an established credit rating company
increases Intrum Justitia’s attractiveness in the credit market.
• In September, Intrum Justitia agreed to acquire the Portuguese
company Logicomer Gestão e Recuperação de Créditos
SA. The company is primarily engaged in credit management
services, but also holds a purchased debt portfolio. The acquisition
brings expertise in certain areas of collection to Intrum
Justitia in Portugal.
• In November, Intrum Justitia’s Board of Directors decided to
terminate CEO Lars Wollung’s employment and appoint to
appoint Chief Financial Officer Erik Forsberg as Acting CEO
until a new CEO is recruited.
• In December two large portfolios of receivables were acquired
from financial institutions for a total invested amount of SEK
670 M.
• In December the Group’s revolving credit facility was
renegotiated with the purpose of strengthening the future
financial flexibility.
REVENUES AND EARNINGS
Consolidated net revenues during the year amounted to SEK
5,628 M (5,184). Revenues rose by 9 percent, consisting of
organic growth of 3 percent, acquisition effects of 2 percent
and currency effects of 4 percent.
Revenues
SEK M
6 000
5 000
4 000
3 000
2 000
1 000
0
3,950
4,048
4,566
5,184
5,628
2011 2012 2013 2014 2015
32 Intrum Justitia Annual Report 2015