Profit growth and exit activity continues to drive strong performance
Highlights
- NAV per share of 1,026p - total return of 8.1% in the six months
- Well ahead of the FTSE-All Share, which returned 5.0%
- Strong underlying profit growth and realisations at significant uplifts
- 7.9% constant currency return on the investment Portfolio; 10.4% return in Sterling
- 14% aggregate LTM1 earnings growth from largest 30 Companies; 47% of the portfolio
- Realisations at 31% uplift; 2.3x multiple of cost
- Highly cash generative Portfolio - £85m of proceeds received
- Continued focus on deploying capital into highly defensive businesses
- £76m of new investments made; 61% of capital deployed into high conviction assets of ICG funds, co-investments and secondary fund investments
- Four co-investments and one secondary investment completed
- High conviction investments now 44% of the Portfolio; weighted towards largest 30 Companies
- Six new primary commitments
- £102m of new commitments to six funds
- Two new US relationships - The Jordan Company and Tailwind Capital
- Strategic benefits of the scale and resources of ICG’s global platform continue to add significant value
- £20m of co-investment alongside ICG; ICG managed investments represent 22% of the Portfolio
- Proprietary opportunities sourced through the ICG network are proving to be particularly attractive
- Portfolio more geographically diverse; US exposure 24% of the Portfolio
- Portfolio well-positioned to continue to generate significant shareholder value
- High quality Portfolio with strong underlying profit growth
- Weighted towards companies that primarily have non-cyclical growth drivers
- Attractive and well-balanced maturity; balancing near term realisation prospects and medium-longer term growth
- Quarterly dividend of 5p per share
- Total dividends for Q1 and Q2 of 10p per share
- Continued short, medium and long-term outperformance of public markets
| Performance to 31 July 2018 | 6 months | 1 year | 3 years | 5 years | 10 years2 |
| Net asset value per share (total return) | +8.1% | +11.9% | +55.4% | +66.8% | +126.4% |
| Share price (total return) | +5.5% | +17.3% | +55.4% | +97.3% | +142.2% |
| FTSE All-Share Index (total return) | +5.0% | +9.2% | +30.2% | +44.9% | +113.9% |
1 Last 12 months.
2 As the Company changed its year end in 2010, the ten-year figures are for the 121-month period to 31 July 2018.
Emma Osborne, ICG, commented:
“The Portfolio continues to deliver, with underlying profit growth and realisation activity driving strong returns. As our managers continue to take advantage of the favourable environment to sell companies, we remain disciplined and selective when deploying capital, focusing on defensive companies in sectors with non-cyclical growth drivers, such as education and healthcare.
“We have a high quality Portfolio, a strong pipeline of opportunities and we believe the Portfolio is well-positioned to continue to generate significant shareholder value."