Intrum Justitia AB (INTRUM) AI Stock Analysis

• Market Cap: kr5.12B
• Dividend Yield: N/A
• Average Volume (3M): 629.19K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.00
• Revenue Growth: -6.65%
• EPS Growth: 95.09%
• Country: SE
• Employees: 9,042
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Credit Services
• EPS (TTM): 3.01
• Shares Outstanding: 136,245,470
• 10 Day Avg. Volume: 588,903
• 30 Day Avg. Volume: 629,191
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.25
• Price to Sales (P/S): 0.18
• P/FCF Ratio: 0.86
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: kr45.33
• Price Target Upside: 18.91% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: kr37.00 ▼(-2.94% Downside)

Intrum Justitia AB's overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues, high leverage, and negative profitability. Technical analysis further supports a bearish outlook, with the stock trading below key moving averages and negative momentum indicators. Valuation metrics are unattractive due to the negative P/E ratio and lack of dividend yield. These factors collectively result in a low overall stock score.

Positive Factors

Cash Generation Ability

Despite negative net income, Intrum's ability to generate cash relative to its losses indicates resilience in cash flow management, which is crucial for sustaining operations and servicing debt.

Gross Profit Margin

An improved gross profit margin suggests better cost management and operational efficiency, which can enhance profitability as revenue stabilizes or grows.

Market Presence

Intrum's strong market presence across Europe in credit management services provides a competitive advantage and potential for long-term growth through market leadership.

Negative Factors

High Leverage

High leverage indicates significant reliance on debt financing, which can increase financial risk and limit flexibility, especially in volatile markets.

Declining Revenue

Declining revenue impacts profitability and growth prospects, necessitating strategic initiatives to stabilize and improve sales performance.

Negative Profitability

Sustained negative profitability affects shareholder returns and may hinder investment in growth opportunities, requiring a focus on cost reduction and efficiency.

Intrum Justitia AB Business Overview & Revenue Model

Company Description

Intrum Justitia AB, known simply as Intrum, is a leading European provider of credit management services. The company specializes in debt collection, credit risk assessment, and payment solutions, serving a diverse range of sectors including retail, telecommunications, and financial services. With a presence in multiple countries, Intrum aims to help businesses manage their accounts receivable and improve cash flow while supporting consumers in managing their debts responsibly.

How the Company Makes Money

Intrum generates revenue primarily through its debt collection services, where it earns fees for recovering outstanding debts on behalf of clients. The company also makes money from credit management services, which include risk assessment and consulting for businesses looking to mitigate credit risk. Additionally, Intrum engages in purchasing non-performing loans (NPLs) at a discount, which allows them to collect on these debts directly for profit. Strategic partnerships with financial institutions and businesses enhance their service offerings and client base, further contributing to their revenue streams.

Intrum Justitia AB Financial Statement Overview

Summary

Intrum Justitia AB is facing significant financial challenges, with declining revenues and profitability impacting its income statement. The high leverage and negative return on equity on the balance sheet indicate financial risk, while cash flow generation remains a relative strength despite declining free cash flow growth. The company needs to address its profitability issues and manage its debt levels to improve its financial health.

Income Statement

Intrum Justitia AB has experienced declining revenue and profitability over the recent periods. The TTM data shows a significant revenue decline of 7.32%, and the company has been reporting negative net income, leading to a negative net profit margin of -10.03%. The gross profit margin has improved to 49.68% in the TTM, indicating some efficiency in managing cost of goods sold. However, the EBIT and EBITDA margins have decreased compared to previous years, reflecting challenges in operational efficiency.

Balance Sheet

The company's balance sheet reveals high leverage with a debt-to-equity ratio of 3.83 in the TTM, indicating significant reliance on debt financing. The return on equity is negative at -13.11%, reflecting the impact of negative net income on shareholder returns. The equity ratio stands at 18.88%, suggesting a relatively low proportion of equity financing compared to total assets, which could pose risks in volatile market conditions.

Cash Flow

Cash flow analysis shows a decline in free cash flow growth by 21.35% in the TTM, indicating challenges in generating cash from operations. The operating cash flow to net income ratio is 0.18, highlighting the company's ability to generate cash despite negative net income. The free cash flow to net income ratio is 0.91, suggesting that the company is still able to generate cash relative to its net losses, which is a positive sign amidst profitability challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	16.81B	18.03B	17.70B	19.13B	17.79B	16.85B
Gross Profit	9.70B	7.96B	8.30B	10.12B	8.23B	7.35B
EBITDA	5.01B	4.70B	4.43B	2.48B	7.93B	6.20B
Net Income	-93.00M	-3.70B	-187.00M	-4.47B	3.13B	1.88B
Balance Sheet
Total Assets	72.81B	77.54B	90.21B	88.71B	88.91B	80.77B
Cash, Cash Equivalents and Short-Term Investments	5.00B	2.39B	3.62B	3.43B	4.55B	2.04B
Total Debt	47.28B	51.41B	60.48B	57.23B	53.31B	49.57B
Total Liabilities	57.30B	62.07B	71.28B	67.51B	64.22B	58.80B
Stockholders Equity	13.74B	13.39B	16.75B	18.54B	21.70B	19.12B
Cash Flow
Free Cash Flow	4.36B	3.83B	4.96B	4.63B	9.71B	7.83B
Operating Cash Flow	4.82B	4.42B	5.11B	4.99B	10.04B	8.51B
Investing Cash Flow	-682.00M	9.20B	-2.56B	-1.63B	-8.01B	-5.44B
Financing Cash Flow	-2.16B	-15.29B	-2.26B	-4.88B	401.00M	-2.57B

Intrum Justitia AB Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 38.12
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:INTRUM, the sentiment is Neutral. The current price of 38.12 is above the 20-day moving average (MA) of 37.54, below the 50-day MA of 41.26, and below the 200-day MA of 43.82, indicating a neutral trend. The MACD of -0.99 indicates Negative momentum. The RSI at 48.00 is Neutral, neither overbought nor oversold. The STOCH value of 72.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for SE:INTRUM.

Intrum Justitia AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TFBANK	72 Outperform	kr10.65B	6.18	26.88%	―	15.59%	24.31%
NORION	71 Outperform	kr14.79B	10.41	―	―	0.78%	13.82%
HOFI	70 Neutral	kr9.49B	10.53	15.75%	1.80%	19.81%	5.77%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
RESURS	63 Neutral	kr7.07B	69.38	1.44%	―	-1.57%	―
INTRUM	42 Neutral	kr5.12B	-36.07	-0.68%	―	-6.65%	95.09%

Intrum Justitia AB Corporate Events

Intrum Completes Debt Buyback to Strengthen Financial Position

Intrum Justitia AB has announced the results of its tender offers for senior secured exchange notes issued by its subsidiary, Intrum Investments and Financing AB. The company accepted €119,605,385 in aggregate principal amount of the notes, with a purchase consideration of €112,500,000. This transaction is part of Intrum’s strategy to improve its debt profile by repurchasing debt at a discount, thereby strengthening its financial position and balance sheet. The completion of this debt buyback program marks a significant step in Intrum’s recapitalization efforts, with all proceeds from the New Money Notes now fully utilized.

Intrum’s 2025 Report: European Financial Confidence Grows, Gen Z Faces Challenges

Intrum Justitia AB’s 2025 European Consumer Payment Report reveals that European consumers are increasingly confident in managing their finances, with a notable rise in timely bill payments. However, Generation Z faces financial challenges, largely due to social media pressures. The report highlights a shift in consumer attitudes towards AI, with decreased fear and increased trust, and a growing caution in online spending. Intrum’s new Money Management Index provides insights into financial resilience, emphasizing the impact of childhood experiences and financial education on money management skills.

Intrum Justitia AB Announces Tender Offer Results for Senior Secured Notes

Intrum Justitia AB has announced the results of its tender offers for outstanding senior secured exchange notes issued by its subsidiary, Intrum Investments and Financing AB. The company has accepted €63,750,584 and SEK 218,752,083 in aggregate principal amount of the notes, with a total purchase consideration of €74,999,997.44. This transaction is part of Intrum’s recapitalization efforts, aiming to optimize its financial structure and improve its market positioning.

Intrum Announces Nomination Committee for 2026 AGM

Intrum has announced the formation of a Nomination Committee for its Annual General Meeting in 2026, consisting of representatives from its largest shareholders. This move is part of Intrum’s ongoing efforts to ensure effective governance and stakeholder engagement, reflecting its commitment to transparency and accountability in its operations.

Intrum Completes Strategic Share Transaction for Ophelos Acquisition

Intrum has completed a significant financial transaction by paying approximately SEK 51.25 million to the sellers of Ophelos through a new share issue and transfer of treasury shares, as approved by the extraordinary general meeting. This strategic move increases the number of shares and votes in Intrum, potentially impacting its market position and shareholder value.

Intrum to Announce Q3 2025 Interim Results

Intrum is set to announce its interim results for July-September 2025 on 30 October. The results will be presented by the company’s President and CEO, Johan Åkerblom, and CFO, Masih Yazdi, through a webcast and teleconference, allowing stakeholders to engage and ask questions. This announcement is significant as it provides insights into the company’s financial performance and strategic positioning in the credit management industry.

Intrum AB Finalizes Ophelos Acquisition Through Share Issue and Transfer

Intrum AB’s Extraordinary General Meeting approved a directed issue of up to 1,000,000 shares to the sellers of Ophelos to settle the remaining purchase price, with the subscription price based on the weighted average closing price of Intrum shares on Nasdaq Stockholm. Additionally, if the newly issued shares are insufficient, the purchase price will be covered by transferring Intrum’s own treasury shares, also priced according to the weighted average closing price. This strategic move is expected to finalize the acquisition of Ophelos and could strengthen Intrum’s market position by expanding its service offerings.

Intrum Justitia AB Announces Tender Offer Results for Senior Secured Notes

Intrum Justitia AB announced the results of its tender offers for senior secured exchange notes issued by its subsidiary, Intrum Investments and Financing AB. The offers, part of a recapitalization transaction, resulted in the acceptance of notes up to a maximum principal amount of €250 million at 94.4% of their nominal value. This move is expected to impact the company’s financial structuring and stakeholder interests by optimizing its debt profile.

Intrum AB Calls Extraordinary General Meeting to Address Share Structure

Intrum AB has announced an Extraordinary General Meeting for its shareholders to be held on October 10, 2025, in Stockholm. The meeting will address several key agenda items, including the election of a chairperson, approval of the voting list, and resolutions regarding the directed issue and transfer of shares. This meeting is significant for stakeholders as it involves decisions that could impact the company’s share structure and governance.