Smithson Investment Trust (SSON) H2 2024 earnings summary

Executive summary

• NAV per share rose 2.1% in 2024, underperforming the MSCI World SMID Cap Index's 11.5% return; share price increased 4.9% over the year.

• Since inception in 2018, NAV per share is up 63.2% (annualised 8.2%), closely tracking the index's 64.2% (8.3% annualised).

• Share buybacks continued, with 29.2 million shares repurchased in 2024, adding 2.4% to NAV per share.

• First-ever dividend of 0.58p per share proposed, reflecting a positive accumulated revenue balance.

• Board proposes to amend investment policy to align eligible investments with the MSCI World SMID Cap Index constituents.

Financial highlights

• Net assets at year-end: £2,129.9m (down from £2,551.9m in 2023).

• NAV per share: 1,631.8p; share price: 1,484.0p; year-end discount to NAV: 9.1%.

• Revenue profit: £4.4m (2023: £3.0m); total loss after tax: £8.1m (2023: £293.3m profit).

• Ongoing charges ratio: 0.9%; total cost of investment: 0.89% of NAV.

• Portfolio turnover (excluding buybacks): 35.9% (2023: 27.2%).

Outlook and guidance

• NAV up 5.9% in the first two months of 2025, outperforming the comparator index by 4.8%.

• Board and Investment Manager remain confident in the long-term strategy of focusing on high-quality SMID companies.

• Shareholders to vote on continuation and investment policy amendment at the April 2025 AGM.