Omni Bridgeway (OBL) H2 2024 earnings summary

Executive summary

• Achieved net profit after tax and before NCI of $30.5 million, up $29.6 million year-over-year, driven by strong investment performance and cost management.

• Portfolio fair value reached $2.8 billion at 30 June 2024, up 11% from 31 December 2023, with $1.04 billion attributable to OBL.

• Completed 77 full and partial investments, delivering a MOIC of 2.7x and an IRR of 53% on full completions.

• Transitioned to a fair value framework for portfolio measurement, enhancing transparency and performance validation.

• Cash operating expenses reduced to $89.7 million, below the $95 million target, supporting improved profitability.

Financial highlights

• Total income recognised in FY24 and income yet to be recognised amounted to $389.2 million.

• Management and other fee income increased 50% year-over-year to $25 million, exceeding the initial target.

• Cash opex coverage ratio improved to 28%, up from 17% in FY23, with a long-term target of 70%.

• Cash and receivables at year-end stood at $121 million, providing over three years of runway at current outflow rates.

• Employee expenses dropped 14% to $63.3 million; management fees rose to $25 million, and performance fees tripled to $9.9 million.

Outlook and guidance

• FY25 targets include $700 million in new fair value commitments, $85 million cash opex, and $30 million fee income.

• Long-term cost coverage target of 70% by FY28, with a near-term goal of 35% in FY25.

• Focus on accelerating fair value validation through completions and secondary capital market transactions.

• Plans for a second close from new LP investors in Funds four and five Series II and preparation for further fund launches.

• Continued cost optimisation and capital-light fund management model, aiming to reduce net debt and interest costs.