NAXS (NAXS) Q3 2024 earnings summary

Executive summary

• NAXS is a listed investment company focused on Nordic private equity, offering exposure to 13 active funds and 68 portfolio companies as of Q3 2024.

• Net asset value per share decreased by 4.9% in Q3 2024 to SEK 72.46, mainly due to a decline in private equity fund valuations.

• Net profit for the nine months was MSEK -72.3, compared to MSEK 18.5 in the prior year period.

• Net cash increased to MSEK 222 at September 30, 2024, following repayments from private equity funds.

• Direct investments represent 11% of NAV, with a focus on sectors such as iGaming, oil & gas, beverages, fast casual dining, bioscience, and facility management.

Financial highlights

• NAV at Q3 2024 was SEK 803 million, or SEK 72.46 per share.

• NAV per share declined by 4.9% during Q3 and by 9.2% over 12 months, including dividends.

• Private equity fund investments and other investments total SEK 580 million, 72% of equity.

• Net cash position of SEK 222 million, representing 28% of equity.

• Share price at quarter-end was SEK 58.8, reflecting a 19% discount to NAV.

Outlook and guidance

• NAXS maintains an attractive distribution policy, paying a dividend of SEK 4.25 per share for FY 2023, equal to 5.1% of NAV and a 5.95% yield.

• Dividend policy targets 50-75% of profit after tax, excluding unrealized income and costs.

• Portfolio has no material exposure to Russia, Ukraine, Israel, or Palestinian territories.

• Macro and geopolitical risks since 2022 may affect investment valuations.