Significant growth at our companies produces excellent half year-results
CEO Koen Dejonckheere:
Thanks to the significant growth at our portfolio companies in the first half of the 2021-22 financial year, Gimv achieved a very strong portfolio return of more than 14% (non-annualised). Compared to the first half of 2019 (pre-covid), our companies achieved double-digit growth of both sales and profits. This demonstrates that the growth trend at our companies is stronger than the cyclical post-pandemic recovery and confirms our belief in their further value potential. At the same time, the success of our value creation approach is validated by substantial capital gains on some very successful exits.
Current supply chain problems and high material and energy prices, combined with a tight labour market, are right now creating uncertainty about the pace of further growth in the second half of our current financial year.
Our solid balance sheet and liquidity position will allow us to continue investing in the growth of our portfolio.
The results for the first half of the 2021- 2022 financial year cover the period from 1 April 2021 to 30 September 2021
- Significant turnover and profitability growth at our portfolio companies, compared not only to the first half of 2020, but also a double-digit growth compared to the pre-covid first half of 2019.
- This solid performance combined with realised capital gains on some successful exits results in a solid portfolio return and net result.
- Portfolio result: EUR 175.9 million, or a half-year portfolio return of 14.3% (non-annualised).
- Net result (group’s share): EUR 137 million (EUR 5.1 per share)
Investments / Divestments
- In the first half of FY 2021-22, we invested EUR 62.3 million in 4 new portfolio companies and in some significant add-on investments.
- Total cash proceeds from divestments: EUR 87.4 million, with a realised money multiple of more than 4x the amount invested and a realised IRR of 40%.
Balance sheet and portfolio
- The investment portfolio continues to grow strongly, with a 12% increase in the first half of FY 2021-22 to a record level of almost EUR 1.4 billion (EUR 1,376 million; invested in 59 companies).
- The liquidity position continues to be strong, with almost EUR 400 million available to invest in the further growth of Gimv (of which EUR 350 million financed with LT bonds, giving a net cash of EUR 44 million).
- Equity value (group’s share): EUR 1 375.3 million or EUR 51.6 per share, up 11% compared to EUR 46.5 (excl. dividend) at the end of March 2021.
- Gimv seeks to maintain its current dividend policy.