Axactor Annual Report 2016

Net financial items for 2016 equal MSEK –22.7 (MSEK -29.9). The 2016 number is comprised of MSEK -19.2 (MSEK -0.7) in interest expenses and an unrealized net currency loss of MSEK -5.5. Fees and other financial items amounts to MSEK 2.1. The net post-tax full-year result for 2016 is MSEK -106.4 (MSEK -166.6). Earnings per share for the full-year was negative SEK -0.13 for the year. This compares to earnings per share in 2015 of MSEK -0,46. Cash flow Axactor had cash flow of MSEK – 131.2 during the 12-month period January–December 2016 (MSEK -41.4). The 2016 figure reflects the efforts to build up the organizational capabilities during the year combined with a build-up of working capital of MSEK 81.4. Net cash flow from investing last year was MSEK -1 187.6 (MSEK -82.7). Axactor acquired 4 platform companies in addition to ALD, which was acquired in 2015. The combined purchase price was MSEK 577.3 whereof MSEK 446.7 was settled in cash and the remaining amount settled in Axactor AB shares. The company further invested MSEK 720.6 in NPL portfolios, 7 in Spain and 2 in Italy, during 2016. In addition, Axactor invested MSEK 21.0 in IT systems and work process development in 2016. Net cash flow from financing activities in 2016 MSEK 1 564.0 (MSEK 435.0). Net proceeds from the 3 private placements completed in 2016 was MSEK 1 227.4 (MSEK 436.1) while net borrowings during the year was MSEK 363.3 -(MSEK 1.0). Fees and interest paid during the year amounted to MSEK 26.7. Total cash and cash equivalents available at the end of 2016 was MSEK 617.6 (MSEK 372.4) Financial position At the end of December 2016 total assets for Axactor equalled MSEK 2 708.1 (MSEK 604.8). Non-current assets amounted to MSEK 1 961.8 (MSEK 170.4) where MSEK 701.0 (MSEK 170.1) is intangible assets and goodwill emanating from the company acquisitions made during 2015 and 2016. Another MSEK 1 224.5 represents the book value of the portfolios acquired during the year including book value of the portfolio that came with the platform acquisitions. Current assets represent a total value of MSEK 746.3 (MSEK 434.4) whereof MSEK 617.6 (MSEK 372.4) is cash and cash equivalents. As of 31 December 2016, the Company had total Interest bearing debt of MSEK 708.0. Of this, MSEK 408.0 was drawn under the EUR 50 million Revolving Credit Facility with DNB and Nordea. In addition, the Italian subsidiary has a separate local funding facility of MSEK 308.0 (MEUR 32.2). At year end 2016 the remaining 2 tranches under the borrowing agree- ment with DNB and Nordea had not yet been made available or utilized. Revenue Development per Country 0 50 100 150 200 GER NOR ITA ESP Q4-16 Q3-16 Q2-16 Q1-16 SEK million 29 73 105 180 Revenue Development per Product 0 20 40 60 80 100 120 140 160 180 200 Other revenue 3PC revenue Portfolio revenue Q4-16 Q3-16 Q2-16 Q1-16 SEK million 29 73 105 180 Axactor AB | Annual report 2016 19