Intrum - comment

The company continues to pivot away from portfolio purchases, down 1/3 YoY. The dividend has been scrapped, finding some shareholders in denial. Leverage is still to increase next quarter and we suspect through year-end, before organically stabilising there. Management have plans to drop leverage through the sale of three further country operations (debt purchasing only) and through an increase of its servicing operations, which are receiving a boost from the Arrow servicing and Haya acquisitions.