CapMan (CAPMAN) Q3 2024 earnings summary

Executive summary

• Assets under management (AUM) grew 20% to €6.0bn for the first nine months, driven by new capital, acquisitions, and fund closings, outpacing the market in a challenging environment.

• Turnover increased 15% to €43.7m, with comparable EBIT rising 155% to €13.1m and operating profit more than doubling year-over-year.

• Divestment of CaPS service business for €75m completed, sharpening focus on core private asset fund management and reallocating capital to accelerate growth, reduce debt, and support dividends.

• Acquisition of Dasos Capital expanded the natural capital segment and contributed to AUM growth.

• Ten new investments and six exits executed year-to-date, despite a slower transaction market.

Financial highlights

• Fee profit increased 68% to €6.5m, with carried interest up 27% to €3.8m, and fair value changes of investments at €2.7m (+1.6%).

• Fee profit margin improved to 16% from 11% year-over-year.

• Return on equity was 8% (comparable ROE 8.0%), and equity ratio stood at 48.6%.

• Cash and bank holdings were €45m, with €20m undrawn credit limit.

• EBIT excluding fair value changes was €10m, a 50% increase year-over-year.

Outlook and guidance

• AUM and fee profit from continuing operations are expected to grow in 2024, with 20% growth in AUM and 68% growth in fee profit already achieved year-to-date.

• No numeric guidance provided due to the nature of carried interest and investment returns.

• Board expects to propose a total dividend of €0.14 per share for 2024 at the 2025 AGM.