Georgia Capital (CGEO) Q3 2025 earnings summary

Executive summary

• NAV per share (GEL) rose 7.9% quarter-on-quarter in 3Q25, driven by strong operating performance in large private portfolio companies and Lion Finance Group's 8.1% share price increase.

• Net income reached GEL 282.8 million in 3Q25 and GEL 1,271.6 million in 9M25, marking a significant turnaround from prior year losses.

• GEL 700 million capital return programme is underway, with over GEL 400 million deployed, including a new US$50 million share buyback and early redemption of US$100 million in bonds.

• S&P upgraded the corporate credit outlook to positive, reflecting strong asset performance and deleveraging progress.

• Healthcare services business agreed to acquire Gormed LLC, expanding its regional footprint and expected to add c.80,000 patients.

Financial highlights

• Total portfolio value increased 2.2% quarter-on-quarter to GEL 4.64 billion in 3Q25 and 23.4% year-to-date.

• Private portfolio value up 6.7% quarter-on-quarter, with large portfolio companies showing 13.5% revenue and 29.5% EBITDA growth year-over-year in 3Q25.

• Free cash flow projected at US$57 million for 2025, with pro forma FCF at US$63 million, up 45.6% y-o-y per share.

• Dividend income was GEL 110.1 million in 3Q25 and GEL 167.8 million in 9M25, mainly from Lion Finance Group and private businesses; 2025 outlook revised to c.GEL 200 million.

• Share buybacks totaled GEL 100.2 million in 3Q25 and GEL 244.0 million in 9M25, with 15.2 million shares repurchased since demerger at a cost of US$221 million.

Outlook and guidance

• Management expects continued NAV per share and sustainable EBITDA growth across large portfolio companies, supported by robust macroeconomic conditions in Georgia.

• Ongoing capital returns to shareholders remain a priority, with the GEL 700 million programme scheduled through 2027.

• Commitment to maintain NCC ratio below 10% and deliver consistent NAV per share growth.

• Dividend inflows projected to reach GEL 200 million for the year, with per-share dividend inflows up 31% due to buybacks.

• Management expects further improvement in free cash flow and cash conversion in Q4.