Q2 2026 Intrum AB Earnings Call

August 28, 2026

Operator 2: Your line is muted. Call recording is on. Welcome to the Intrum Q2 2026 report presentation. For the first part of the presentation, participants will be in listen-only mode. During the questions and answers session, participants are able to ask questions by dialing pound key five on their telephone keypad. Now I will hand the conference over to CEO Johan Åkerblom and CFO Masih Yazdi. Please go ahead.

Speaker #2: Your line is muted.

Speaker #3: Call recording is on.

Speaker #4: Welcome to the Intrum Q2 2026 report presentation. For the first part of the presentation, participants will be in listen-only mode. During the questions and answers session, participants are able to ask questions by dialing the pound key followed by 5 on their telephone keypad.

Operator: Welcome to the Intrum Q2 2026 report presentation. For the first part of the presentation, participants will be in listen-only mode. During the questions and answers session, participants are able to ask questions by dialing pound key five on their telephone keypad. Now I will hand the conference over to CEO Johan Åkerblom and CFO Masih Yazdi. Please go ahead.

Speaker #4: Now I will hand the conference over to CEO Johan Akerblom and CFO Masih Yazdi. Please go ahead.

Speaker #5: Thank you, and good morning, everyone. Welcome to this second quarter report call. We'll start with the first page, where we want to cover a couple of highlights.

Johan Åkerblom: Thank you. Good morning, everyone. Welcome to this Q2 report call. We start with the first page, where we want to do a couple of highlights. I would like to comment that this is the second quarter where we are executing on our new strategy. The number one priority when we introduced our strategy was how to improve the leverage and the balance sheet of the company. As you all know, a huge amount of work has been dedicated to do exactly so in Q2 with the capital raise and the EUR 2.4 billion portfolio sale. We have also seen the effects of that by S&P Global Ratings and Moody's improving our credit ratings. The service leverage ratio on a pro forma basis has moved from 6.2 to 4.3, and the long-term target is 3.0. We also see that our operational transformation is continuing to pay off.

Speaker #5: I'd like to comment that this is the second quarter where we are executing on our new strategy. The number one priority when we introduced our strategy was how to improve the leverage and the balance sheet of the company.

Speaker #5: And as you all know, a huge amount of work has been dedicated to do exactly so in Q2, with the capital raise and the €2.4 billion portfolio sale.

Speaker #5: And we have also seen the effects of that by Standard & Poor's and Moody's improving our credit ratings. The service leverage ratio on a pro forma basis has moved from 6.2 to 4.3.

Speaker #5: And the long-term target is 3.0. We also see that our operational transformation is continuing to pay off. Our costs are developing according to plan.

Johan Åkerblom: Our costs are developing according to plan, and when looking at fees, which is one of the things that we are working with, making our processes automated or AI-fied or just more efficient, has reduced by 8% year on year. Our total costs are currently at 11.9 on a rolling 12 months basis, and the target in 2030 is 10% to 11%, depending on our servicing income. The growth that we have in our traditional markets, we see the fourth quarter of growth. We see actually higher growth in this quarter than previous quarters. But it is not sufficient to offset the decline that we have in the specialized markets.

Speaker #5: And when looking at FDs, which is one of the things that we are working with, making our processes automated or AFI’d, or just more efficient, has reduced by 8% year on year.

Speaker #5: Our total costs are currently at 11.9 on a rolling 12-month basis. The target for 2030 is 10 to 11, depending on our servicing income.

Speaker #5: The growth that we have in our traditional markets—we see the fourth quarter of growth. We actually see higher growth in this quarter than in previous quarters.

Speaker #5: But it's not sufficient to offset the decline that we have in the specialized markets. And therefore, given that we had negative growth in Q1 as well, even though it was higher than Q2, we do see that it's going to be more challenging to achieve the larger flat servicing income that we want to achieve in 2026.

Johan Åkerblom: Given that we had a negative growth in Q1 as well, even though it was higher than Q2, we do see that it is going to be more challenging to achieve the largely flat servicing income that we want to achieve in 2026. The servicing EBIT margin remains at 25%, and the target is 30% to 35%. Stable margins on the servicing. We are now at 25%. We have been at 25% for, I think, the third quarter in a row. We have good organic growth in the traditional markets. We maintain this strong cost discipline, but we will now accelerate on the cost side. We will accelerate our progress, sorry, our operational excellence program, and we will include more countries going forward.

Speaker #5: The servicing EBIT margin remains at 25%, and the target is 30% to 35%. Stable margins on the servicing. I mean, we are now at 25%.

Speaker #5: We've been at 25 for, I think, the third quarter in a row. We have good organic growth in the traditional markets, and we maintain strong cost discipline.

Speaker #5: But we will now accelerate on the cost side. So we will accelerate our progress—or sorry, our operational excellence program—and we will include more countries going forward.

Speaker #5: We have five countries right now that operate under it, and we will see how many countries we have by the end of the year.

Johan Åkerblom: We have five countries right now that operate under it, and we will see how many countries we will have by the end of the year, but it will be a material increase versus today. To illustrate a little bit more the dynamics around our external servicing income, you can see here that first of all, the Savoy group consolidation, it moves basically external income to internal income. So you have a -1 there on a year-on-year comparison. The specialized markets, they go down 4%, of which organic growth is 6%. The traditional markets, they held 2% up on a total basis with an organic growth of 5%. The decline, as we discussed many times before, is in particular in Greece and Spain and partially in Italy. The UK has a performance that is impacted by slower and delayed new sales.

Speaker #5: But it will be a material increase versus today. To illustrate a little bit more the dynamics around our external listing servicing income, you can see here that, first of all, the Savoy consolidation basically moves external income to internal income.

Speaker #5: So, you have a minus negative one there on a year-on-year comparison. The specialized markets, they go down 4%, of which organic growth is 6%.

Speaker #5: And the traditional markets, they held 2% up on a total basis, with an organic growth of 5%. The decline, as we discussed many times before, is in particular in Greece and Spain, and partially in Italy.

Speaker #5: And then the UK has a performance that is impacted by slower and delayed new sales. So, it's actually slightly different dynamics depending on which country you look at.

Johan Åkerblom: It is actually slightly different dynamics depending on which country you look at. In the traditional markets, which is 45% of the income, we have organic growth of 5%, and most of them are growing. We have a couple of top contributors. We do, however, see a challenge right now in Germany, where we have had issues both with onboarding of new clients, which has been taking much longer than expected. We also have a bit of performance challenges with some of the existing clients. We are doing a transformation to get this fully in line, and there could be more potential on how we stabilize that going forward. On the operational excellence program, we launched this in Q1. It is essentially a group-led program where we execute locally.

Speaker #5: In the traditional markets, which represent 45% of the income, we have organic growth of 5%. Most of them are growing, and we have a couple of top contributors.

Speaker #5: We do, however, see a challenge right now in Germany, where we have had issues both with onboarding new clients—which has been taking much longer than expected.

Speaker #5: And we also have a bit of performance challenges with some of the existing clients, but we're doing a transformation to get this fully in line.

Speaker #5: And there could be more potential in how we stabilize that going forward. On the operational excellence program, we launched this in Q1. It is essentially a group-led program where we execute locally.

Speaker #5: And we move the traditional bespoke model into the next generation, which is much more standardized, automated, and where we have a lot of AI support to make it as efficient and effective as possible.

Johan Åkerblom: We move the traditional bespoke model into the next gen, which is much more standardized, which is automated, and where we have a lot of AI support to make it as efficient and effective as possible. We have an ambition to significantly increase the efficiency. We have on the FTE cost base in scope a 35% to 40% ambition over the next three years. We utilize all the new technologies, but we also use older technologies to make sure that we get the best possible outcome, and we spend a balanced amount versus the outcome that we expect. Performance management is obviously very important when we then start tracking our lower cost to collect. The good thing is that the identified savings are actually exceeding the ambition. So we see that the impact could be bigger than we anticipated from the beginning.

Speaker #5: We have an ambition to significantly increase efficiency. On the FD-based cost base in scope, we have a 30 to 35 to 40 percent ambition over the next three years.

Speaker #5: We utilize all the new technologies, but we also use older technologies to make sure that we get the best possible outcome, and we spend a balanced amount versus the outcome that we expect.

Speaker #5: And performance management is obviously very important when we then start tracking our lower cost to collect. The good thing is that the identified savings are actually exceeding the ambition.

Speaker #5: So we see that the impact could be bigger than we anticipated from the beginning. But we will now, as said, accelerate this, expand it, and do more countries in parallel.

Johan Åkerblom: But we will now, as said, accelerate this, expand it, and do more countries in parallel. We center this, and I think we talked about this in Q1, there are three different buckets that are material, and that is where we focus. It is document management, it is email management or email automation, and it is also around how we deal with calls. Not everything, but a lot of things that we try to build are things that we can then build across the different markets that we have. So we do not build a bespoke solution, we build generic solutions, we implement them locally, and then we export them to the next country to get the scale and the synergies in the group. Investing we have not talked much about but we did EUR 197 million, which is according to the previous ambition. We did it at 19%.

Speaker #5: We center this, and I think we talked about this in Q1. There are three different buckets that are material, and that's where we focus.

Speaker #5: It's document management, it's email management or email automation, and it's also around how we deal with calls. And not everything, but a lot of things that we try to build are things that we can.

Speaker #5: We deal across the different markets that we have. So, we don't build a bespoke solution; we build generic solutions. We implement them locally, and then we export them to the next country.

Speaker #5: That gets the scale and the synergies in the group. Investing, we haven't talked much about, but we did 197 million, which is according to the previous ambition.

Speaker #5: We did it at 19%. We are still very disciplined in our execution. And the collection has been 102 in the quarter versus 100 in Q1.

Johan Åkerblom: We are still very disciplined in our execution. The collection has been 102 in the quarter versus 100 in Q1. What you see on the page is the rolling 12 months. So the collection has actually improved quarter-on-quarter. Of course, now we need to ramp up with the capital raise. With increased financial flexibility, we have an ambition to make these volumes higher. We are already working on a number of interesting deals, and we are confident that they will materialize in the H2. With that, I will hand over to Masih to go take you through the financials.

Speaker #5: What you see on the page is the rolling 12 months. So the collection has actually improved quarter on quarter. And of course, now we need to ramp up with the capital raise.

Speaker #5: I mean, with the increased financial flexibility, we have an ambition to make these volumes higher. And we are already working on a number of interesting opportunities, and we are confident that they will materialize in the second half.

Speaker #5: With that, I'll hand over to Masih to take you through the financials.

Speaker #2: Thank you, Johan, and good morning, everyone. Thank you. Johan has gone through a couple of things. Obviously, income is coming down both on the back of negative growth in Servicing as well as the decay in the investment book.

Masih Yazdi: Thank you, Johan, and good morning, everyone. I think Johan has gone through the couple of things. Obviously, income is coming down both on the back of negative growth in servicing as well as the decay in investment book. Obviously, the plan going forward is to change trajectory on both of those by investing more and at some point getting organic growth in the servicing business. I would comment on the cost side. It is down 2% year-on-year. It was down more in Q1. One thing to flag there is that the consolidation of Savoy is leading to about EUR 100 million higher costs this quarter compared to Q2 last year.

Speaker #2: Obviously, the plan going forward is to change trajectory on both of those—investing more and, at some point, getting organic growth in the servicing business.

Speaker #2: I would comment on the cost side. It is down 2% year-on-year. It was down more in Q1. One thing to flag there is that the consolidation of Savoy is leading to about SEK 100 million higher costs this quarter compared to Q2 last year.

Speaker #2: And I think that's something you should expect for the full year—that it's going to be around that level per quarter. Which means that the cost level, we are on track with the plans we have.

Masih Yazdi: I think that is something you should expect for the full year that it is going to be around that level per quarter which means that the cost level we are on track on the plans we have, and we will try to offset parts of this. Nevertheless, moving Savoy from the JV line to the income and cost line leads to this impact on the cost side. On the underlying development, we are fully on track with the plans and the targets we have set for the full year. I just mentioned on the numbers that on the net financial expense line, we have a reversal from Q1 of about EUR 300 million, which is helping that line. Also as of May, we are doing hedge accounting on the FX swings we have.

Speaker #2: And we will try to offset parts of this, but nevertheless, moving Savoy from the JV line to the income and cost line leads to this impact on the cost side.

Speaker #2: On the underlying development, we are fully on track with the plans and the targets we've set for the full year. I just mentioned on the numbers that, on the net financial expense line, we have a reversal from Q1 of about SEK 300 million, which is helping that line.

Speaker #2: But also, as of May, we are doing hedge accounting on the FX swings we have. So, in Q2 and also going forward, the FX effect on our debt and the net financial expense line will be less than it has been historically.

Masih Yazdi: In Q2 and also going forward the FX effect on our debt and the net financial expense will be less than it has been historically. I think if you take Q2 as an example, we've offset about 400 million of FX swings that otherwise would have materialized on this line. On the tax expense, it's a bit elevated this quarter. That's related to a one-off tax expense in Italy that is part of a tax audit that's dealt with the previous years, so back a few years. That's a one-off cost of almost 100 million in the quarter. We're showing a positive net income which is obviously good, but the ambitions are clearly higher for the future. On the servicing side, we've gone through most of the numbers.

Speaker #2: I think, if you take Q2 as an example, we've offset about 400 million of FX swings that otherwise would have materialized on this line.

Speaker #2: On the tax expense, it's a bit elevated this quarter. That's related to a one-off tax expense in Italy that is part of a tax audit that dealt with previous years.

Speaker #2: So, back a few years, that's a one-off cost of almost $100 million in the quarter. We're showing a positive net income, which is obviously good.

Speaker #2: But the ambitions are clearly higher for the future. On the servicing side, I mean, we've gone through most of the numbers. There's a negative, minus 3% fully.

Masih Yazdi: There's a -3% fully, but the organic growth is -2%, and the Savoy group consolidation is -1%, and FX is neutral in the quarter. On the cost side, that is coming down in line with the total income, which means that overall year-on-year, if you look at the running 12 months, margins are stable at 25%. Obviously, given that it's a bit more challenging on the top line on servicing to have the margin improvements that we're looking to get until 2030, we need to do a bit more on the cost side to keep this stable and moving in a positive trajectory. As Johan Åkerblom said, we see growth in traditional markets. That growth is higher than it has been in the last few quarters, but it's being more than offset by the specialized markets for now.

Speaker #2: But the organic growth is minus 2, and the Savoy consolidation is minus 1, and FX is neutral in the quarter. On the cost side, that is coming down in line with the total income.

Speaker #2: So, which means that overall, on the year—if you look at the running 12 months—margins are stable at 25%. Obviously, given that it’s a bit more challenging on the top line on servicing, to have the margin improvements that we’re looking to get until 2030, we need to do a bit more on the cost side to keep this stable and moving in a positive trajectory.

Speaker #2: And as Johan said, we see growth in the traditional markets. That growth is higher than it has been in the last few quarters, but it's being more than offset by the specialized markets for now.

Speaker #2: On the investing side, we’re seeing the same kind of trends as previously, with fewer new investments compared to what is amortizing. This means we have a headwind on the income side.

Masih Yazdi: On the investing side, same kind of trends we've had previously as we keep having less new investments compared to what is amortizing, which means that we have a headwind on the income side. Going forward, we are planning to increase the investment pace and at some point offsetting that headwind. We see a better deal flow now. We see that we are engaging in more investments, but it will take a couple of quarters before you see that coming into the numbers as there is a delay between engaging in new investments and getting those signed and onboarded. So you should expect that they will take a couple of quarters before you see the investment pace actually picking up in the numbers we report. Also, obviously due to the fact that there's been summer months and the capital raise was just executed in July.

Speaker #2: Going forward, we are planning to increase the investment pace and at some point offset that headwind. I think we will probably see a better deal flow now.

Speaker #2: We see that we are engaging in more investments, but it will take a couple of quarters before you see that coming into the numbers.

Speaker #2: There is a delay between engaging in new investments and getting those signed and onboarded, so you should expect that it will take a couple of quarters before you see the investment pace actually picking up in the numbers we report.

Speaker #2: Also, obviously, due to the fact that there have been summer months and the capital raise was just executed in July. And as Johan said, obviously, SEK 194 million—SEK 97 million of new portfolio investments, high blended IR. Obviously, with the higher investment pace going forward, it’s very likely that the blended IR will start to move downwards.

Masih Yazdi: As Johan Åkerblom said, obviously, 197 million of new portfolio investments, high blended IRR. Obviously, with the higher investment pace going forward, it's very likely that the blended IRR will start to move downwards, but we will be disciplined in our execution, and we will make sure that the IRR is nevertheless clearly above the cost of funding that we have. Especially when we take into account the co-investments we do with Cerberus, where we typically get servicing revenues as well, and we look at consolidated IRRs, including both the investment revenues as well as the servicing revenues. That's it from me. I'll ask Johan Åkerblom to summarize the quarter before we open up for Q&A.

Speaker #2: But we will be disciplined in our execution, and we will make sure that the IR is nevertheless clearly above the cost of funding that we have, especially when we take into account the co-investments we do with Brock, where we typically get servicing revenues as well. We look at consolidated IRs, including both the investment revenues as well as the servicing revenues.

Speaker #2: That's it from me. I'll ask Johan to summarize the quarter before we open up for Q&A.

Speaker #1: Yeah, so, wrapping up—I mean, obviously, the highlight of the quarter was the capital raise and the portfolio sale, even though both of them finalized fully at the beginning of Q3.

Johan Åkerblom: Yeah. So wrapping up, obviously the highlight of the quarter was the capital raise and the portfolio sale, even though both of them finalized fully beginning of Q3. We have the continued headwinds in the specialized markets, and we are working there to make sure that we can protect as much of the bottom line as possible. It will be more challenging, given the Q2 results to achieve the larger flat servicing income in 2026. We are accelerating our operational transformation, which is also, I think, a tool in order to improve our growth trajectory going forward. Because the more competitive we become, the more attractive we become from the commercial standpoint. Servicing income outlook is slightly behind plan. We have stable adjusted EBIT margins, and the quarterly collection index is higher this quarter than before.

Speaker #1: We have the continued headwinds in the specialized markets, and we're working there to make sure that we can protect as much of the bottom line as possible.

Speaker #1: It will be more challenging, given the Q2 results, to achieve the larger flat servicing income in 2026. And we are accelerating our operational transformation, which is also, I think, a tool in order to improve our growth trajectory going forward.

Speaker #1: Because the more competitive we become, the more attractive we become from a commercial standpoint. Servicing income outlook is slightly behind plan. We have stable adjusted EBIT margins.

Speaker #1: And the quarterly collection index is higher this quarter than before. It's above our active forecast, and the investment pace is increasing post the capital raise.

Johan Åkerblom: It is above our active forecast, and the investment pace is increasing post the capital raise. I think with that, we can open up for questions.

Speaker #1: So, I think with that, we can open up for questions.

Speaker #3: If you wish to ask a question, please dial pound key five on your telephone keypad to enter the queue. If you wish to withdraw your question, please dial pound key six on your telephone keypad.

Operator 2: If you wish to ask a question, please dial #5 on your telephone keypad to enter the queue. If you wish to withdraw your question, please dial #6 on your telephone keypad. Please limit your questions to two per turn. The next question comes from Patrik Brattelius from ABG. Please go ahead.

Operator: If you wish to ask a question, please dial #5 on your telephone keypad to enter the queue. If you wish to withdraw your question, please dial #6 on your telephone keypad. Please limit your questions to two per turn. The next question comes from Patrik Brattelius from ABG. Please go ahead.

Speaker #3: Please limit your questions to two per turn. The next question comes from Patrik Bratelius from ABG. Please go ahead.

Speaker #4: Thank you, and good morning. So, my question is regarding servicing, in particular in Greece and Spain, as you highlighted as challenging. Could you talk about how you view these challenges—as temporary, or are they more structural issues that you believe can continue into 2027?

Patrik Brattelius: Thank you and good morning. My question is regarding servicing, in particular in Greece and Spain, as you highlighted as challenging. Could you talk about how you view these challenges as temporary, or are there more structural issues that you believe can continue into 2027? As we have talked about this before, but before you have yet said that you expect servicing to be flat in 2026. Now you are a little bit softer on that guidance. Do you still think that these can turn around or how should we think about this going into the H2 2026?

Speaker #4: As we have talked about this before, previously you had said that you expected servicing to be flat in 2026. Now, you are a little bit softer on that guidance.

Speaker #4: So, do you still think that these can turn around, or how should we think about this going into the second half of 2026?

Johan Åkerblom: The fundamentals of the business in Spain and Greece are different. In Greece, we have a big platform on the back of the Greek crisis. We are working with one of the main banks in the country. Here in Greece, it is very much around making sure that we operate more efficiently, and we protect the cash flow. There is a limited amount of new business to be made at this point. It could change. In Spain, I think there are two dynamics. One is we do have a big exposure towards the real estate, and we are servicing a big real estate portfolio. We are the biggest real estate servicer in the country. As we all know, the real estate crisis in Spain is behind us, and the real estate market in Spain is booming, which means that we are very successful in executing on our servicing mission.

Speaker #1: I mean, the fundamentals of the business in Spain and Greece are different. In Greece, we have a big platform, on the back of the Greek crisis.

Speaker #1: We're working with one of the main banks in that country. Here in Greece, it's very much about making sure that we operate more efficiently and protect the cash flow.

Speaker #1: There's a limited amount of new business to be made. At this point, it could change. In Spain, I think there are two dynamics. One is we do have a big exposure towards real estate.

Speaker #1: And we're servicing a big real estate portfolio. I mean, we're the biggest real estate servicer in the country. And, as we all know, the real estate crisis in Spain is behind us.

Speaker #1: And the real estate market in Spain is booming, which means that we are very successful in executing on our servicing mission. But the more we sell, the fewer sales we have ahead of us.

Johan Åkerblom: The more we sell, the less sales we have ahead of us. So on the real estate side, it is about, again, also restructuring and rightsizing that operations. On the NPL side, we do have room to grow. But we will not be able to offset the real estate decline with the NPL growth in the short run. Basically, those are the dynamics, and that is nothing new. That has been the case now for a longer time. But that is how it looks like. The other markets, there we have definitely room to grow and we are growing. As we said in the report, UK and Germany are two markets where we have been underperforming, and we need to turn that trend around.

Speaker #1: So, on the real estate side, it's about, again, also restructuring and right-sizing that operation. And then, on the MPL side, we do have room to grow.

Speaker #1: And, but we will not be able to offset the real estate decline with the MPL growth in the short run. However, so basically those are the dynamics.

Speaker #1: And that's nothing new. That has been the case now for a longer time. But that's how it looks. And then, in the other markets, we definitely have room to grow and we are growing.

Speaker #1: And then, as we said in the report, the UK and Germany are our two markets where we have been underperforming, and we need to turn that trend around.

Speaker #4: Thank you. And then, my next question would be a little bit on the investing side. On the slide, you highlighted, Johan, that you see some interesting deals in the pipeline.

Patrik Brattelius: Thank you. My next question would be a little bit on this investing side. On the slide, you highlighted, Johan, that you see some interesting deal on the pipeline. Could you elaborate what makes them interesting and what you are primarily focusing on when you are going to allocate this capital from the capital raise going further? Is it portfolios or more focused on co-investment? Could you give some color there, please?

Speaker #4: Could you elaborate on what makes them interesting, and what you are primarily focusing on when you allocate this capital from the capital raise going forward?

Speaker #4: Is it portfolios, or are you more focused on co-investment? Could you give some color there, please?

Speaker #1: It's both. I mean, we will continue to co-invest. I mean, we are working a lot with our main partner, Brock. And we also closed a deal in Q2 in Hungary with a co-investor.

Johan Åkerblom: It is both. We will continue to co-invest. We are working a lot with our main partner, Cerberus, and we also closed a deal in Q2 in Hungary with a co-investor. We think the Hungarian market has potential. After the change of government, we see that there are some reforms that can open up the investment space even more. But in general, we have always had an ambition to invest, but we have had limitations in terms of prioritizing our cash flow and our CapEx. Now we have much more flexibility. So I would not say that we are doing anything fundamentally different. It is just that we can be a much more forward-leaning in our investment approach. But we will still stay disciplined. So it will be a mix of doing our own and doing with capital partners.

Speaker #1: We think the Hungarian market has potential. I mean, after the change of government, we see that there are some reforms that can open up the investment space even more.

Speaker #1: But in general, I mean, we've always had an ambition to invest, but we've had limitations in terms of prioritizing our cash flow and our capex.

Speaker #1: Now we have much more flexibility. So, I wouldn't say that we are doing anything fundamentally different. It's just that we can be much more forward-leaning in our investment approach.

Speaker #1: But we will still stay disciplined. So it will be a mix of doing our own and doing deals with capital partners. And I think the major difference is that now we can actually do larger deals with some of our bilateral partners on a standalone basis if we think that there's an attractive return.

Johan Åkerblom: I think the major difference is that now we can actually do larger deals with some of our bilateral partners on a standalone basis if we think that there is an attractive return. Those are the type of deals that we tried to resource before and keep the servicing. Now we can actually bring them on our balance sheet.

Speaker #1: Those are the types of deals that we try to sort of resource before and keep the servicing. Now we can actually bring them on our balance sheet.

Speaker #4: And in terms of geographical mix, are there areas where you see better opportunities versus areas where you do not want to allocate capital at the moment, as the competition is too high?

Patrik Brattelius: In terms of geographical mix, are there areas where you see better opportunities versus areas where you do not want to allocate capital at the moment as the competition is too high? Anything regarding that?

Speaker #4: Anything regarding that?

Speaker #1: No, I would say there's tough competition in most markets, and we are active in all markets. So, no. As long as we are present and we have comfort in the underwriting, we're ready to do transactions.

Johan Åkerblom: No. I would say there is a tough competition in most markets. We are active in all markets, so no. As long as we are present and we have comfort in the underwriting, we are ready to do transactions.

Speaker #4: Okay, thank you so much. That was all from me.

Patrik Brattelius: Okay. Thank you so much. That was all for me.

Speaker #3: The next question comes from Bjorn Olsen from SEB. Please go ahead.

Operator 2: The next question comes from Björn Olsson from SEB. Please go ahead.

Operator: The next question comes from Björn Olsson from SEB. Please go ahead.

Speaker #4: Good morning, guys. Johan, in your CEO letter, you flagged that you're accelerating your efficiency program, given the weaker top-line growth. Should we view this as you changing the 2028 potential targets, or are you rather steepening the curve on your path to reach those targets?

Björn Olsson: Good morning, guys. Johan, in your CEO letter, you flagged that you are accelerating your efficiency program, giving the weaker top line growth. Should we view this that you are changing the 2028 potential targets, or are you rather steepening the curve on your path to reach those targets?

Speaker #1: Hi, Bjorn. I think I can take that one. I mean, if you look at the long-term target we have on the cost side, we do say it's going to be somewhere between $10 and $11 billion.

Masih Yazdi: Hi, Björn. I think I can take that one. If you look at the long-term target we have on the cost side, we do say it is going to be somewhere between SEK 10 billion and SEK 11 billion, and we set that interval based on obviously having a This is a very long-term target and not knowing exactly how the income is going to develop until then. We, at that point, said that if income is higher, we will probably be closer to the SEK 11 billion. If income is lower, it is going to be closer to SEK 10 billion.

Speaker #1: And we set that interval based on, obviously, having this as a very long-term target and not knowing exactly how the income is going to develop until then.

Speaker #1: And we at that point said that if income is higher, we'll probably be closer to the SEK 11 billion, and if income is lower, it's going to be closer to SEK 10 billion.

Speaker #1: And now, when we've had a couple of quarters where income is a bit behind plan and we now see it's challenging to reach the target or the guidance we've given for the full year, then obviously that means that to any extent we change now in our trajectory, we're more moving towards the lower end of that target.

Masih Yazdi: Now when we have had a couple of quarters where income is a bit behind plan, and we now see it is challenging to reach the target or the guidance we have given for the full year, then obviously that means that to any extent we change now in our trajectory, we are more moving towards the lower end of that target. But that is by 2030. Exactly how this trajectory will look like until then, it depends on business momentum to some extent, because the more income we generate, the more variable costs we will have associated with that. But I think you should sort of see that as indications that the slightly softer top line means that we would need to have a trajectory towards the lower end of that target.

Speaker #1: But that's by 2030. Exactly how this trajectory will look until then depends on business momentum to some extent, because the more income we generate, the more variable costs we will have associated with that.

Speaker #1: But I think you should sort of see that as an indication that the slightly softer top line means that we will need to have a trajectory towards the lower end of that target.

Speaker #1: And then, in the next quarter or the second half of the year, we'll come back on the trajectory for next year and what we see in front of us.

Masih Yazdi: In the next quarter or H2 of the year, we will come back on the trajectory for next year and what we see in front of us. Here and now, what we are saying is that we are accelerating the program. I do not think you should expect any implications on the cost for 2026 on that acceleration. It is really just moving in more markets than we had planned into the transformational program earlier than we had planned, and therefore we should see a benefit of that post this year rather than already this year. But exactly what the benefit will be and how fast that will come, we will come back with.

Speaker #1: Here and now, what we're saying is that we're accelerating the program. I don't think you should expect any implications on the cost for 2026 from that acceleration.

Speaker #1: It's really just moving into more markets than we had planned, and into the transformational program earlier than we had planned. Therefore, we should see a benefit from that after this year.

Speaker #1: Rather than already this year. But exactly what the benefit will be, and how fast that will come, we'll come back with.

Speaker #4: Okay, thanks. And are there redundancy costs associated with this? So should we expect this to actually have a sort of negative impact on '26 numbers?

Björn Olsson: Okay, thanks. Are there redundancy costs associated with this? Should we expect this to actually have a negative impact on 2026 numbers, I guess slightly?

Speaker #4: I guess slightly or?

Speaker #1: That's possible. I think we've said that on the back on the capital raise that if the capital raise with the financial flexibility that that gives us, we will look into whether we can accelerate any of the plans that we had.

Masih Yazdi: Well, that is possible. I think we have said that on the back on the capital raise, that if the capital raise with the financial flexibility that that gives us, we will look into whether we can accelerate any of the plans that we had. It is possible that that acceleration both leads to some investments, but also to get the efficiencies faster, it could lead to redundancy costs. But that is something we will then potentially come back with when that is more clarified.

Speaker #1: And it is possible that that acceleration both leads to some investments, but also, to get the efficiencies faster, it could be due to redundancy costs.

Speaker #1: But that's something we will then potentially come back with when that is more clarified.

Speaker #4: Okay, clear. And on the investing side, your amortization rate jumped to 43%. I guess that reflects the maturing portfolio. But should we expect the ratio to stay at this level, or should it continue north?

Björn Olsson: Okay. Clear. On the investing side, your amortizations rate jumped to 43%. I guess it reflects the maturing portfolio. Should we expect the ratio to stay at this level, or should it continue north? How should we view this trend?

Speaker #4: Or how should we view this trend?

Speaker #1: I mean, if we can increase the pace of investments, that will obviously have an impact on the amortization curve, depending on what type of portfolios we buy and how they pay back.

Johan Åkerblom: If we can increase the pace of investments, that will obviously have an impact on the amortization curve, depending on what type of portfolios we buy and how they pay back. I think the biggest impact in this quarter is probably on the back of Savoy, which has had an impact on the overall amortization rate.

Speaker #1: I think the biggest impact in this quarter is probably on the back of Savoy, which has had an impact on the overall amortization rate.

Speaker #4: Okay. Thanks.

Björn Olsson: Okay. Thanks.

Operator 2: The next question comes from Johan Åkerblom from UBS. Please go ahead.

Operator: The next question comes from Johan Åkerblom from UBS. Please go ahead.

Speaker #3: The next question comes from Johan Ekblom from UBS. Please go ahead.

Speaker #4: Thank you very much. I just want to come back to the servicing dynamics between Greece and Spain, and kind of the rest of the group.

[Analyst] (UBS): Thank you very much. I just wanted to come back to the servicing dynamics between Greece and Spain and kind of the rest of the group. If I look at your 2025 annual report, Spain and Greece are a little bit more than a third of your external revenues. Can you help us dimension the slide you provided today on a forward-looking basis? Whether it is the next 12 months or by 2028 or how much further headwind should we expect from Spain and Greece? So that we can try and see how that has developed. Because I think that slide is helpful, but it would be really useful to see how that is developed over time. Is the headwind from these markets getting smaller? When do you expect that to finish?

Johan Ekblom: Thank you very much. I just wanted to come back to the servicing dynamics between Greece and Spain and kind of the rest of the group. If I look at your 2025 annual report, Spain and Greece are a little bit more than a third of your external revenues. Can you help us dimension the slide you provided today on a forward-looking basis? Whether it is the next 12 months or by 2028 or how much further headwind should we expect from Spain and Greece? So that we can try and see how that has developed. Because I think that slide is helpful, but it would be really useful to see how that is developed over time. Is the headwind from these markets getting smaller? When do you expect that to finish?

Speaker #4: If I look at your '25 annual report, Spain and Greece are a little bit more than a third of your external revenues. So, can you help us dimension the slide you provided today on a forward-looking basis?

Speaker #4: So whether it’s the next 12 months or by 2028, or how much further headwind should we expect from Spain and Greece? So that we can kind of try and see how that has developed.

Speaker #4: Because I think that slide is helpful, but it would be really useful to see kind of how that's developed over time. Is the headwind from these markets getting smaller?

Speaker #4: And when do you expect that to finish?

Speaker #1: Yeah, I mean, I can try to answer that. Maybe we can give you a bit more disclosure in the future. It is correct that, I mean, that's a dynamic you have.

Masih Yazdi: I can try to answer that. Maybe we can give you a bit more disclosure in the future. It is correct that that is a dynamic you have. I do not think you should expect any change in that headwind, especially in Spain. I think that headwind will continue. What we have and the task is to show organic growth that is really driven by not to a large extent reducing the headwind in Spain, it is more offsetting that headwind with stronger growth in the traditional markets than we have had historically. That is really the task we have. That is one dimension. The other dimension is obviously that assuming that Spain continues to decay, which it will, it will become a smaller share of the total revenues.

Speaker #1: I don't think you should expect any change in that headwind, especially in Spain. I think that headwind will continue. What we have, and the task, is to show organic growth.

Speaker #1: That is really driven by, not to a large extent, sort of reducing the headwind in Spain; it's more about offsetting that headwind with stronger growth in the traditional markets than we've had historically.

Speaker #1: That's really the task we have. That's one dimension. The other dimension is, obviously, that assuming Spain continues to decay—which it will—it will become a smaller share of the total revenues.

Speaker #1: So, what we need to do in the traditional markets in terms of growth becomes sort of less and less moving forward, and it's going to be less in 2028 than it is in 2026.

Masih Yazdi: What we need to do in the traditional markets in terms of growth becomes less and less moving forward, and it is going to be less in 2028 than it is in 2026. From that perspective, even though obviously it would be better to have a Spanish business that grows, it does not require as much growth in the traditional markets to offset that. I think Greece is more stable. It will probably also have a slightly negative growth rate, but it is not to the extent that you have in Spain. The dynamics there are quite a bit different. In UK is very different in the sense that we are not doing extremely well in the UK today. I do not see that as a specialized market in the same kind of way you would look at Spain. It is a market where we can grow going forward.

Speaker #1: So from that perspective, even though obviously it would be better to have a Spanish business that grows, we don't—it doesn't require as much growth in the traditional markets to offset that.

Speaker #1: I think Greece is more stable. It will probably also have a slightly negative growth rate, but it's not to the extent that you have in Spain.

Speaker #1: So the dynamics there are quite a bit different. And in the UK, it is very different in the sense that we aren't doing extremely well in the UK today.

Speaker #1: So I don't see that as a specialized market in the same kind of way you would look at Spain. It's a market where we can grow going forward.

Speaker #1: It's a different type of business.

[Analyst] (UBS): Yes.

Johan Ekblom: Yes.

Masih Yazdi: It is just different type of business.

[Analyst] (UBS): Do you think Spain will be in line with? Most of your countries are EUR 500 million, EUR 2 billion in revenues. Spain is EUR 2.5 billion or was EUR 2.5 billion last year almost. Is that where we are heading or is Spain structurally a much larger market, even with the current dynamics?

Johan Ekblom: Do you think Spain will be in line with? Most of your countries are EUR 500 million, EUR 2 billion in revenues. Spain is EUR 2.5 billion or was EUR 2.5 billion last year almost. Is that where we are heading or is Spain structurally a much larger market, even with the current dynamics?

Speaker #4: Do you think Spain will be in line with most of your countries that are kind of half a billion to two billion in revenues? Spain is two and a half, or was two and a half, last year almost.

Speaker #4: Is that where we’re heading, or is Spain structurally a much larger market, even with the current dynamics?

Johan Åkerblom: Spain will become less of an income contributor in the future than it has been in the past. That is clear. That will also then make the headwind will have less of an impact overall.

Speaker #1: Spain will become less of an income contributor in the future than it's been in the past—that's clear. But that will also mean the headwind will have less of an impact overall.

Speaker #1: So we're basically rebuilding Spain and Spain will not have as profound impact or part of the overall income as it had in the past.

[Analyst] (UBS): Yeah.

Johan Ekblom: Yeah.

Johan Åkerblom: We are basically rebuilding Spain, and Spain will not have as profound impact or part of the overall income as it had in the past.

[Analyst] (UBS): Yeah.

Johan Ekblom: Yeah.

Speaker #1: I mean, there are different dynamics. So if you take Greece, Greece is a strong contributor to the group in terms of both income as well as margin and profit.

Masih Yazdi: There are different dynamics. If you take Greece is a strong contributor to the group in terms of both income as well as margin and profit. Whereas Spain is a big contributor on the income side, but not on the margin side. It is actually a negative effect on the margin side. A smaller Spain is clearly negative on the income side, but it does not have the same kind of magnitude on EBIT, for example, as Greece would have.

Speaker #1: Whereas Spain is a big contributor on the income side, but not on the margin side. It's actually a negative effect on the margin side.

Speaker #1: So, a smaller Spain is clearly negative on the income side, but it doesn't have the same kind of magnitude on EBIT, for example, as Greece would have.

Speaker #4: Yeah. And then secondly, Bloomberg reports this morning you've launched tenders on your '27 and '28 bonds. Can you update us on what you're doing and how we should think about the refinancing story over the next 6 to 12 months?

[Analyst] (UBS): Yeah. Secondly, Bloomberg reports this morning you have launched tenders on your 2027 and 2028 bonds. Can you update us on what you are doing and how we should think about the refinancing story over the next 6 to 12 months?

Johan Ekblom: Yeah. Secondly, Bloomberg reports this morning you have launched tenders on your 2027 and 2028 bonds. Can you update us on what you are doing and how we should think about the refinancing story over the next 6 to 12 months?

Speaker #1: Yeah. I mean, this is very much in line with the refinancing strategy that we have. We have, obviously, refinanced the one-and-a-half liens for 2027.

Masih Yazdi: Yeah. This is very much in line with the refinancing strategy that we have. We have obviously refinanced the one and a half liens for 2027. That is done and extended to 2031. We have the second lien bonds outstanding, and we are planning to, with the tender we are doing today, reduce that outstanding amount. We will use some of the liquidity we have today to do that, and we will use the remainder to buy back 2028, the second lien as well. That will help us from an interest expense perspective because obviously the coupon we are paying on those bonds is higher than the interest we get on deposits when we have liquidity or the interest we pay on the RCF when we draw on that one. This is a way of reducing the interest expense, but also a way of managing the shorter maturities.

Speaker #1: That's done and extended to 2031. What we have are the second lien bonds outstanding, and with the tender we are doing today, we are planning to reduce that outstanding amount. We will use some of the liquidity we have today to do that.

Speaker #1: And we will reuse the remainder to buy back €28 million of the second lien as well. That will help us from an interest expense perspective because obviously the coupon we're paying on those bonds is higher than the interest we get on deposits when we have liquidity, or the interest we pay on the RCF when we draw on that one.

Speaker #1: So, this is a way of reducing the interest expense, but also a way of managing the shorter maturities. You should expect these kinds of actions to come in the next 6 to 12 months.

Masih Yazdi: You should expect these kind of actions to come in the next 6 to 12 months. In addition to the discussions we will have with banks on the RCF. That is something that is ongoing, and we will continue to work on that as well. The priorities now is to minimize the shorter term maturities, especially the 2027, and then obviously refinance the RCF at some point.

Speaker #1: In addition to the discussions we will have with banks on the RCF, that is something that is ongoing and we'll continue to work on that as well.

Speaker #1: So the priorities now are to minimize the shorter-term maturities, especially the '27. And then, obviously, refinance the RCF at some point.

Speaker #4: Thank you.

[Analyst] (UBS): Thank you.

Johan Ekblom: Thank you.

Speaker #2: The next question comes from Airman Carrick from DNB Carnegie. Please go ahead.

Operator 2: The next question comes from Ermin Keric from DNB Carnegie. Please go ahead.

Operator: The next question comes from Ermin Keric from DNB Carnegie. Please go ahead.

Speaker #5: Good morning. Thanks for taking the questions. So you mentioned that 35% to 40% FTE cost base reduction in targeted operations. Could you quantify that more, like in relation to the total FTE base or something, to get a better sense of how much you're expecting to take out, please?

Ermin Keric: Good morning. Thanks for taking the questions. You mentioned that 35% to 40% FTE cost base reduction in targeted operations. Could you quantify that more, like in relation to the total FTE base or something to get a better sense of how much you are expecting to take out, please?

Speaker #1: Yeah. I mean, the best guidance we can give you is that this program, and what we're doing in the program, is in line with the cost target we've given for 2030.

Masih Yazdi: Yeah. The best guidance we can give you, this program and what we are doing in the program is in line with the cost target we have given for 2030. I think you can, on the back of the envelope, calculate what it requires in terms of FTE reduction to get to that level. Obviously, there are other factors you have to put into account here. One is salary inflation for the FTEs we will have at that point in time until then, and you have also some investments we will have to do. But we have talked about the automation we need to do in operations. It will mean that we will be fewer FTEs in the operations business. Clearly fewer, I would say, by 2030 than we are today.

Speaker #1: So I think you can, on the sort of back of the envelope, calculate what it requires in terms of FTE reduction to get to that level.

Speaker #1: Obviously, there are other factors you have to take into account here. I mean, one is salary inflation for the FTEs we will have at that point in time until then.

Speaker #1: And you have also some investments we'll have to do. But we've talked about the automation we need to do in operations. It will mean that we will be fewer FTEs in the operations business.

Speaker #1: Clearly fewer, I would say, by 2030 than we are today. In actual numbers—I mean, I don't want to give any clear sort of numbers on it—but it's a large share of the part of the operations that this is targeting.

Masih Yazdi: In actual numbers, don't want to give any clear numbers on it, but it is a large share of the part of the operations that this is targeting. But in total, we have about 6,000 people in operations today, and automating those processes would lead to that FTE number coming down fairly significantly.

Speaker #1: But in total, we have about 6,000 people in operations today, and automating those processes would lead to that FTE number coming down fairly significantly.

Speaker #5: Got it. And in the shorter term, you highlighted how Savoy has increased the cost base by, I think you said, SEK 100 million. The full-year guidance you had for costs down 5%—that still stands, though?

Ermin Keric: Got it. On the more short term, you highlighted how Savoy has increased the cost base by, I think you said SEK 100 million. The full year guidance you had for costs down 5%, that still stands though, even including Savoy or is that changed?

Speaker #5: Even including Savoy, or has that changed?

Speaker #1: Well, the underlying cost, that clearly still stands. We have an ambition to offset some of that sort of technical increase that we get from Savoy now being consolidated.

Masih Yazdi: Well, the underlying cost, that clearly still stands. We have an ambition to offset some of that technical increase that we get from Savoy now being consolidated. Not completely sure that we will be able to offset the full amount. I think for us, it is really the underlying cost development that we look into and what kind of underlying cost base we go into in 2027 that we look at. But that change in accounting could be difficult to fully offset in 2026.

Speaker #1: I'm not completely sure that we'll be able to offset the full amount. I think for us, it's really the underlying cost development that we look into, and what kind of underlying cost base we go into in 2027 that we look at.

Speaker #1: But that change in accounting could be difficult to fully offset in 2026.

Speaker #5: Got it. Then I see that Germany is one of the markets where you've started an operational excellence program. And you also mentioned you've had some performance challenges there.

Ermin Keric: Good. I see that Germany is one of the markets you have started the operational excellence program. You also mentioned you have had some performance challenges there.

Speaker #1: Oh, wait. Germany.

Masih Yazdi: Sorry, where? In Germany?

Speaker #5: Yes. Is there in any way connected? Like, is there a risk that these excellence initiatives are actually going to hurt your collections?

Ermin Keric: Yes. Is there in any way connected? Is there a risk that these excellence initiatives are actually going to hurt your collections?

Speaker #1: No, I think that the Operational Excellence program is actually a way first to improve the processes locally. The challenges we've had are more of an IT infrastructure basis.

Masih Yazdi: No. I think the operational excellence program is actually a way for us to improve the processes locally. The challenges we've had are more of an IT infrastructure basis. We are also running a migration in Germany. That migration has taken longer than we expected, and that has an implication then on how we can optimize our processes. The idea is to move from a more unstable environment with a lot of specialized process and bespoke solutions to a standardized and stable environment.

Speaker #1: So, we are also running a migration in Germany, and that migration has taken longer than we expected. That has an implication, then, on how we can optimize our processes.

Speaker #1: So the idea is to move from a more unstable environment, with a lot of specialized processes and bespoke solutions, to a standardized and stable environment.

Speaker #5: And last question, just on Germany, that you say that it's been longer onboardings. Like, should we read into that in any sense that you have a backlog of clients or contracts that you will be able to onboard when that's done, so that should accelerate the organic development there? Or is it more when you've done the program, then you've been able to go out and win contracts by being more competitive?

Ermin Keric: Last question, just on Germany, that you say that it's been longer onboardings. Should we read into that in any sense that you have a backlog of clients or contracts that you will be able to onboard when that's done, so that should accelerate the organic development there? Or is it more when you've done the program, then you've been able to go out and win contracts by being more competitive?

Masih Yazdi: We do have a number of clients that we are working with. The question is, and we have a continued growth ambition, but when we see that the platform is not as stable as we would want it to be, we have lower ambition on onboarding of clients, because we don't want to take too much on and then not be able to deliver. I think to answer your question, there is a pipeline, but right now the pipeline is not being filled up because we're being careful to take on additional new clients as long as we're in the stabilization phase. But we think there is big potential in Germany generally.

Speaker #1: I mean, we do have a number of clients that we are working with. The question is—I mean, we have a continued growth ambition.

Speaker #1: But when we see that the platform is not as stable as we would want it to be, we have kind of lower ambition on onboarding of clients.

Speaker #1: Because we don't want to, sort of, take too much on and then not be able to deliver. So, I think to answer your question, there is a pipeline, but right now the pipeline is not being filled up because we're being careful to take on additional new clients as long as we're in the stabilization phase.

Speaker #1: But we think there is big potential in Germany, generally.

Speaker #5: Got it. Thank you.

Ermin Keric: Good. Thank you.

Operator 2: The next question comes from Corinne Cunningham from Autonomous. Please go ahead.

Operator: The next question comes from Corinne Cunningham from Autonomous. Please go ahead.

Speaker #2: The next question comes from Corinne Cunningham from Autonomous. Please go ahead.

Speaker #6: Good morning, everyone. I have a couple of debt-related questions, please. So, just on the tenders that were announced this morning, what sort of size are you thinking of for the debt element?

Corinne Cunningham: Good morning, everyone. A couple of debt related questions, please. Just on the tenders that were announced this morning, what sort of size are you thinking of for the debt element? How much equally for the RCF redemption? Would you mind just going back through what you were talking about with the FX hedges and how that is affecting the quarterly interest cost, please? Thank you.

Speaker #6: And then, how much equally for the RCF redemption? And then, would you mind just going back through what you were talking about with the FX hedges and how that's affecting the quarterly interest costs, please?

Speaker #6: Thank you.

Speaker #1: Yeah. I don't know what the release this morning said, but you will see that when that comes out. When it comes to the normal amounts, we are doing a tender on the 27th at a fixed amount, and then we're doing a tender on the 28th for the remaining part.

Masih Yazdi: Yeah. I do not know what the release this morning said, but you will see that when that comes out when it comes to the normal amounts. We are doing a tender on 27 July at a fixed amount, and then we are doing a tender on 28 July for the remaining part. We will have to see what the uptake is when it comes to that. This is the first one we do with the. We are using the proceeds from the Orange sale really to do this tender. We will see what the uptake is on the prices that we feel comfortable buying back at. Then, yeah, we will see where that goes, and then we will probably do several of these tenders going forward as well with the liquidity that we generate.

Speaker #1: We will have to see what the uptake is when it comes to that. So this is the first one we do, using the proceeds from the Orange sale, really, to do this tender.

Speaker #1: So we'll see what the uptake is on the prices that we feel comfortable buying back at. And then, yeah, we'll see where that goes, and then we will probably do several of these tenders going forward as well with the liquidity that we generate.

Speaker #1: You'll be updated on the RCF and the sizing of it when we come to our Q3 report, as that is something that we've done in July with the capital raise proceeds, as well as the Orange sale.

Masih Yazdi: You will be updated on the RCF and the sizing of it when we come to our Q3 report, as that is something that we have done in July with the capital raise proceeds as well as the Orange sale. That is something we do not disclose here now. Anne, do you want to take the FX hedges?

Speaker #1: So that's something we don't disclose here. Now, Annie, do you want—

Speaker #4: to take the FX hedges?

Speaker #3: Yes. So in terms of the FX—sorry, did you just want to know what kind of thing that we did? Can you just repeat that question?

Anne Lind: Yes. In terms of the FX, sorry, did you just want to know what kind of thing that we did? Can you just repeat that question?

Annie Ho: Yes. In terms of the FX, sorry, did you just want to know what kind of thing that we did? Can you just repeat that question?

Speaker #6: Yes, I was interested in the interplay between that and the interest. I think you said the quarterly interest cost came down because of the hedges.

Corinne Cunningham: Yes, I was interested in the interplay between that and the interest. I think you said the quarterly interest cost came down because of the hedges. Just wanting to understand how they are working and what the interplay in the P&L is, please.

Speaker #6: I'm just wanting to understand how they're working and what the interplay in the P&L is, please.

Anne Lind: Uh-huh. Yes, that was actually the financial net and the FX impact. That is the interplay rather than the interest cost as such. But essentially what we have used is our EUR net investments in the subsidiaries and matched that with our external EUR loans, and therefore we have taken down that FX exposure meaningfully and significantly. Then what is remaining really is our exposure to non-EUR currencies.

Annie Ho: Uh-huh. Yes, that was actually the financial net and the FX impact. That is the interplay rather than the interest cost as such. But essentially what we have used is our EUR net investments in the subsidiaries and matched that with our external EUR loans, and therefore we have taken down that FX exposure meaningfully and significantly. Then what is remaining really is our exposure to non-EUR currencies.

Speaker #3: Yes, well, that was actually the financial net and the FX impact. That's the interplay, rather than the interest cost as such. But essentially, what we've used is our euro net investments in the subsidiaries and matched that with our external euro loans.

Speaker #3: And therefore, we have reduced that FX exposure meaningfully and significantly. What remains now is really our exposure to non-euro currencies.

Speaker #6: Okay, if I can just ask one follow-up question: on the Savoy joint venture, are there any plans to do the same with other JVs?

Corinne Cunningham: If I can just ask one follow-up question. On the Savoy joint venture, are there any plans to do the same with other JVs?

Masih Yazdi: There are no plans at the moment.

Speaker #1: There are no plans at the moment.

Speaker #6: Thank you.

Corinne Cunningham: Thank you.

Speaker #2: The next question comes from Patrick Bratelius from ABG. Please go ahead.

Operator 2: The next question comes from Patrik Brattelius from ABG. Please go ahead.

Operator: The next question comes from Patrik Brattelius from ABG. Please go ahead.

Patrik Brattelius: Hi. Yeah, just a short follow-up. I note that the presentation material and all the appendix information has been removed in the Q2 presentation. Is there reasoning behind this? Will they be released somewhere else? Could we expect this going forward as well?

Speaker #7: Hi. Yeah, just a short follow-up. I note that the presentation material and all the appendix information has been removed in the Q2 presentation. Is there a reasoning behind this?

Speaker #7: Will there be a release somewhere else? And could we expect this going forward as well?

Speaker #3: No, that's just a mistake. We'll add that back in, probably when we PDF it.

Anne Lind: No, that is just a mistake. We will add that back in, probably when we PDF it.

Annie Ho: No, that is just a mistake. We will add that back in, probably when we PDF it.

Speaker #7: Thank you.

Patrik Brattelius: Thank you.

Speaker #2: The next question comes from Robert Dinnick from DNB Carnegie. Please go ahead.

Operator 2: The next question comes from Robert Dinck from DNB Carnegie. Please go ahead.

Operator: The next question comes from Robert Dinck from DNB Carnegie. Please go ahead.

Speaker #5: Good morning, and thank you for taking my question. Just one more follow-up on the tender offers and going forward. Will you need some sort of new consent from any of the creditors to do more tender offers above par?

Robert Dinck: Good morning, and thank you for taking my question. Just one more follow-up on the tender offers and going forward. Will you need some sort of new consent from any of the creditors to do more tender offers above par?

Robert Dinic: Good morning, and thank you for taking my question. Just one more follow-up on the tender offers and going forward. Will you need some sort of new consent from any of the creditors to do more tender offers above par?

Speaker #1: No, that's how it is when it comes to the tenders; we're doing it the way we're doing it.

Masih Yazdi: No. Not when it comes to the tenders we are doing in the way we are doing it.

Speaker #5: Okay. And will the focus then be on tender offers rather than RCF repayment?

Robert Dinck: Okay. Will the focus then be on tender offers rather than RCF repayment?

Robert Dinic: Okay. Will the focus then be on tender offers rather than RCF repayment?

Speaker #1: Sorry, can you repeat that, please?

Masih Yazdi: Sorry, can you repeat that, please?

Speaker #5: Will the focus in the coming months be on tender offers of the short-term bonds rather than paying down the RCF?

Robert Dinck: Will the focus in the coming months be on tender offers of the short-term bonds rather than paying down the RCFs?

Robert Dinic: Will the focus in the coming months be on tender offers of the short-term bonds rather than paying down the RCFs?

Speaker #1: Well, I mean, we will do more tenders. And how we deal with the RCF, that's something we'll do at the same time. We will not exactly, sort of, say how we deal with the different parts.

Masih Yazdi: Well, we will do more tenders, and how we deal with the RCF, that is something we will do at the same time. We will not exactly say how we deal with the different parts. That is something we want to have some flexibility when it comes to how we deal with it and at what timing.

Speaker #1: That's something we want to have some flexibility with, both in terms of how we deal with it and the timing.

Speaker #5: Okay. Thank you.

Robert Dinck: Okay. Thank you.

Robert Dinic: Okay. Thank you.

Speaker #2: There are no more questions at this time, so I hand the conference back to the speakers for any closing comments.

Operator 2: There are no more questions at this time, so I hand the conference back to the speakers for any closing comments.

Operator: There are no more questions at this time, so I hand the conference back to the speakers for any closing comments.

Speaker #1: Thank you for the questions. Thank you for taking the time, and thank you for listening this morning. We will keep in touch. Have a lovely Friday.

Masih Yazdi: Thank you for the questions. Thank you for taking the time. Thank you for listening this morning. We will keep in touch. Have a lovely Friday. Thank you. Bye.

Speaker #1: Thank you. Bye.

Operator 2: The host has ended this call. Goodbye.

Browse all earnings call transcripts

Q2 2026 Intrum AB Earnings Call

Request TrialDemo

Intrum

Earnings