AIK Q2'11: Revenue growth and strong cost control

(Oslo, 18 August 2011) Aktiv Kapital reports an operating profit of NOK 105.3 million in the second quarter 2011, 14% above the corresponding quarter last year. The increase is mainly due to operational improvements initiated in 2010. "Aktiv Kapital has an efficient operation and is capable of achieving revenue growth with its current cost base. With future portfolio acquisitions, our margins will move higher", says acting CEO Scott Danielsen.

Cash collection on portfolios amounted to NOK 362.4 million in the second quarter, compared with NOK 367.9 million in the same period in 2010. The decrease in cash collection is mainly related to the UK (NOK -11.9 million), partly offset by an increase in Spain (NOK 6.8 million). In the Nordic region and Central Europe the development was stable.

Operating revenues from continuing operations came in at NOK 244.6 million in the second quarter (NOK 232.7 million). The increase in operating revenues is mainly related to improved performance in Central Europe, the Nordic region and the UK. The positive development is driven by operational improvements and better macroeconomic conditions. The operating cost ratio remained stable at 35% of collection on portfolios during the quarter.

Operating profit before depreciation and amortisation (EBITDA) amounted to NOK 234.5 million (NOK 237.7 million), while pre-tax cash flow per share was NOK 4.68 (NOK 4.45).

"In addition to focus on operational improvements, we continue to seek growth through acquisition of attractively priced portfolios. The market for non-performing loans is growing and both the number and size of the portfolios offered in the market is increasing. However, there is increased competition, especially for small and medium sized portfolios", says acting CEO Scott Danielsen in Aktiv Kapital.

"The implemented operational improvements, the Company's satisfactory capitalisation as well as the increasing number of portfolios for sale, in total, provides a solid foundation for  continued positive development for Aktiv Kapital", concludes Danielsen.

In the second quarter, Aktiv Kapital has invested NOK 64.2 million in new portfolios (NOK 49.1 million). To take full advantage of future opportunities, as well as to increase the Company's profitability, Aktiv Kapital will ramp up portfolio origination and establish strategic alliances with partners with access to distressed portfolios. New products and segments will also be tested if appropriate.

The net book value of the portfolios at 30 June 2011 amounted to NOK 2 998.1 million.

Second quarterFirst half
NOKm2011201020112010
Collection on portfolios362.4367.9731.3739.8
Operating revenues  244.6232.7489.6468.4
EBITDA234.5237.7469.3476.8
Operating profit (EBIT)105.392.1208.2191.9
Pre-tax cash flow per share (NOK)   4.684.459.418.93

Webcast and teleconference

The report for Q2 2011 is available at www.newsweb.no and www.aktivkapital.com.

In connection with the announcement of the quarterly report, acting CEO Scott Danielsen in Aktiv Kapital will host a webcast and teleconference at 09.00 CET today, 18 August 2011.

For more information, please see stock exchange announcement dated 12 August 2011 or visit www.aktivkapital.com.

For more information

Please contact:

Scott Danielsen, acting CEO

Tel.: +47 24 10 31 11

Mobile: +47 95 25 56 20

About Aktiv Kapital

Aktiv Kapital operates in nine countries and is headquartered in Oslo. The Aktiv Kapital Group is one of the largest investors in non-performing credit portfolios in Europe and Canada. In 2010, Aktiv Kapital had an operating revenue of NOK 1 512 million and 356 000 paying customers. The Company is listed on the Oslo Stock Exchange (AIK).

Disclosure of this information is pursuant to Section 5-12 of the Norwegian Securities Trading Act.