HgCapital Trust plc
INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 JUNE 2018
London, 10 September 2018: HgCapital Trust plc ("the Company"), which provides investors with a listed vehicle to invest in all private equity deals managed by Hg, today announces its interim results for the six months ended 30 June 2018.
CONTINUED Strong NAV performance driven by double-digit revenue and profit growth AND EXITS ABOVE BOOK VALUE
SUMMARY performance
|
31 August
2018 |
30 June
2018 |
31 December
2017 |
% Total
return1 |
Share price |
£19.40 |
£19.35 |
£17.68 |
+11.3% |
NAV per share |
£20.70 |
£20.59 |
£19.32 |
+8.3% |
FTSE All-Share Index |
|
|
|
+1.7% |
|
|
|
June 2018
Movement |
Net Asset Value |
£772.5m |
£768.7m |
£721.0m |
+£47.7m |
1 Assuming reinvestment of all historic dividends
key Highlights FOR THE period TO 30 JUNE 2018
§ NAV per share of £20.59, a total return of 8.3%.
§ Share price of £19.35, a total return of 11.3%.
§ Interim dividend of 16 pence, payable in October 2018.
§ Strong revenue and EBITDA growth of 23% and 19% (on a value-weighted basis) respectively across the top 20 buyout investments (90% of the portfolio) over the last twelve months.
§ Valuation multiple (EV/EBITDA) of 16.8x and debt to EBITDA ratio of 5.3x for the top 20 buyout investments (both on a value-weighted basis).
§ £104 million of cash returned to the Company and £79 million invested on behalf of the Company.
year to date to 31 AUGUST 2018
§ NAV per share of £20.70, primarily reflecting unrealised currency movements since period-end.
§ Share price of £19.40.
§ 4 realisations agreed since June completed or due to complete in the second half of 2018.
§ 7 investments agreed since June completed or due to complete in the second half of 2018.
§ Pro-forma liquid resources post completion of all announced transactions are £154 million (20% of NAV).
§ Pro-forma outstanding commitments of £475 million (61% of NAV). We expect these to be drawn down over the next two to three years.
Hg's Outlook
§ It has been another strong six months for realisations, Hg expects to see further liquidity events over the next six months.
§ While the primary focus has been on exits, Hg has also continued to selectively invest, in situations where it has a unique angle and has developed many years' knowledge of the business.
§ Robust double-digit trading performance from the unrealised businesses underpins Hg's confidence in the quality of these investments and ongoing growth.
§ A focus on operational improvement, coordinated by the dedicated Operations Innovation team, continues to drive the performance of the businesses, and deliver network benefits.
§ Strong earnings, realisations at uplifts to book value and supporting the management teams of the underlying portfolio will continue to drive value for shareholders in HgCapital Trust plc.
Roger Mountford, Chairman of the Company, commented:
"The Company has sold a significant number of investments over the last eighteen months, while many of the newer investments are now in the earlier stages of their planned period of value creation, with much work going on to drive growth and embed operational improvements, the fruits of which we expect to become progressively reflected in their valuations over time."
- Ends -
The Company's 2018 Interim Report and a video from the Manager to accompany the results are available to view at: http://www.hgcapitaltrust.com/.
For further details:
HgCapital Trust plc |
|
Roger Mountford (Chairman, HgCapital Trust plc) |
+44 (0)7799 662601 |
Laura Dixon (Senior Investor Relations Manager, Hg) |
+44 (0)20 7089 7888 |
Maitland |
|
Vikki Kosmalska and Seda Ambartsumian |
+44 (0)20 7379 5151 |
About HgCapital Trust plc
HgCapital Trust plc (ticker: HGT.L) gives investors exposure to a portfolio of high-growth private companies, through a liquid vehicle listed on the London Stock Exchange. New investments and existing portfolio companies are managed by Hg, an experienced and well-resourced private equity firm with a long-term track record of delivering superior risk-adjusted returns for its investors. For further details, please see www.hgcapitaltrust.com .
For further details, see www.hgcapitaltrust.com and www.hgcapital.com
