AVI Global Trust (AGT) H1 2024 earnings summary

Executive summary

• NAV total return per share rose 13.9% and share price total return was 16.0% for the six months to 31 March 2024, slightly trailing the MSCI AC World Index at 16.1%.

• Portfolio benefited from strong performance in select holdings, notably KKR, Schibsted, D'leteren, Godrej Industries, and News Corp.

• 11.6 million shares (2.3% of shares in issue) were bought back, adding 0.2% to NAV and helping manage the persistent discount to NAV.

• Interim dividend maintained at 1.2p per share, with a focus on capital growth over income.

Financial highlights

• Net asset value per share (total return) increased 13.9% year-over-year; share price total return up 16.0%.

• Investment income for the period was £9.99m, with revenue earnings per share at 1.38p and capital earnings per share at 30.28p.

• Expense ratio annualised at 0.88%, up from 0.84% in the prior year.

• NAV per share at period end was 252.88p (debt at par) and 255.40p (debt at fair value); share price at 231.50p.

• Buybacks totaled £24.2m, with 11,596,895 shares cancelled.

Outlook and guidance

• Management remains optimistic about the portfolio's ability to deliver attractive returns, citing a robust investment process and opportunities for value creation.

• Caution expressed regarding potential market headwinds and geopolitical instability, but conviction in bottom-up stock selection remains strong.

• Focus continues on acquiring stakes in companies at attractive valuations and unlocking value through activism and catalysts.