Scottish Mortgage Investment Trust (SMT) H2 2025 earnings summary

Executive summary

• Achieved a NAV total return of 11.2% and share price total return of 6.0% for the year to 31 March 2025, outperforming the FTSE All-World Index total return of 5.5%.

• Over the last decade, NAV per share increased by 320% versus 182% for the FTSE All-World Index.

• Ongoing charges ratio reduced to 0.31%, maintaining a low-cost structure.

• Gearing increased to 13% (from 11%), with average interest rate on debt at 3.1%.

• Dividend increased for the 42nd consecutive year, up 3.3% to 4.38p per share.

Financial highlights

• Shareholders' funds at year-end: £12,082.5m.

• Net asset value per share (fair value): 1,037.0p, up 10.7% year-over-year.

• Share price at year-end: 943.4p, up 5.5% year-over-year.

• Discount to NAV widened from 4.5% to 9.0%.

• Revenue earnings per share fell by 40% due to the Northvolt promissory note write-off.

• £1.9bn spent on share buybacks, representing 15.2% of share capital.

Outlook and guidance

• Managers focus on resilience, adaptability, and innovation amid ongoing volatility and geopolitical risks.

• Continued emphasis on identifying outlier companies with exceptional long-term growth potential.

• Board confident in ability to navigate challenges and support exceptional growth companies.