Sandon Capital Investments (SNC) H2 2025 earnings summary

Executive summary

• Achieved a 28.2% total shareholder return, with a gross portfolio return of 32.2% before fees, expenses, and taxes, outperforming key market indices year-over-year.

• Net profit after tax rose to $24.7 million from $14.4 million the previous year, driven by strong investment performance and realised/unrealised gains.

• Quarterly fully franked dividends commenced, with an increase to 5.6 cents per share annualised, supported by robust profit reserves and franking credits.

• Portfolio composition diversified across Australian and international listed and unlisted investments, with a total portfolio value of $176.5 million as at 30 June 2025.

Financial highlights

• Revenue from ordinary activities was $37.1 million (2024: $20.7 million), with net realised gains of $2.9 million and unrealised gains of $19.1 million.

• Net tangible assets (NTA) before tax increased to $0.9598 per share (2024: $0.8067); after tax, $0.9197 per share.

• Basic and diluted EPS rose to 17.14 cents (2024: 10.22 cents).

• Cash and cash equivalents decreased to $641,110 from $8.1 million, reflecting active capital deployment.

Outlook and guidance

• Lower interest rates and easing inflation provide economic and valuation tailwinds, though geopolitical risks and market volatility persist.

• Directors expect to maintain fully franked dividends of at least 5.6 cents per share per annum, supported by profit and franking reserves.

• Investment approach remains focused on value and activist strategies to uncover opportunities amid uncertainty.