Skel fjárfestingafélag (SKEL) Q2 2024 earnings summary

Executive summary

• Reported a net loss of 314 million ISK for 1H 2024, compared to a profit of 2,060 million ISK in 1H 2023.

• Significant portfolio activity included the acquisition of INNO (Belgium), Stólpi, and Kraft, and increased foreign asset exposure.

• Ongoing merger talks with Samkaup and sale process for Gallon.

• Focus on long-term value creation and simplification of asset portfolio.

• Share capital was 1,878 million ISK, with 1,018 shareholders at period end; all treasury shares were cancelled in March 2024, and a dividend of 750 million ISK was paid in April.

Financial highlights

• Total assets at 49,136 million ISK as of June 30, 2024.

• Equity at 36,602 million ISK, down from 37,610 million ISK at year-end 2023.

• Cash and government bonds at 4,263 million ISK; cash and cash equivalents at 3,203 million ISK at period end.

• Net loss of 314 million ISK for 1H 2024, driven by negative fair value changes and lower investment returns.

• Dividend and share buybacks to shareholders totaled 742 million ISK in 2024; dividend of 750 million ISK paid in April.

Outlook and guidance

• Positive outlook for Styrkás and Orkan, both performing above plan.

• Further growth expected in Styrkás, with IPO planned by 2027.

• Ongoing operational improvements at INNO and expansion of Heimkaup's discount retail concept.

• Sale of Gallon in process, with negotiations ongoing.