CapMan Plc Interim Report 6 August 2015 at 8:15 a.m. EEST
CapMan Group's Interim Report for 1 January-30 June 2015
Performance and main events for the review period:
- Group turnover totalled MEUR 15.7 (January-June 2014: MEUR 15.0).
- Operating profit was MEUR 3.0 (MEUR 2.8).
- Profit before taxes was MEUR 2.6 (MEUR 2.2).
- Profit after taxes was MEUR 2.2 (MEUR 1.9).
- Earnings per share for the review period were 2.0 cents (1.7 cents).
- CapMan acquired 28.7% of investment company Norvestia.
This stock exchange release is a summary of CapMan Plc's Interim Report for 1 January-30 June 2015. The complete Interim Report is available in pdf-format as an attachment to this release and on the company's website at http://www.capman.com/capman-group/earnings-model-and-financials/result.
Key figures
| 1-6/15 | 1-6/14 | |
| Turnover, MEUR | 15.7 | 15.0 |
| Operating profit, MEUR | 3.0 | 2.8 |
| Profit before taxes, MEUR | 2.6 | 2.2 |
| Profit for the period, MEUR | 2.2 | 1.9 |
| Earnings / share, cents | 2.0 | 1.7 |
| Diluted earnings / share, cents | 2.0 | 1.7 |
| 1-6/15 | 1-6/14 | |
| Return on equity, % p.a. | 7.3 | 5.9 |
| Return on investment,% p.a. | 6.8 | 5.6 |
| Equity ratio, % | 41.5 | 57.4 |
| Net gearing, % | 74.5 | 26.7 |
Heikki Westerlund, CEO:
"The first six months of the year progressed mostly according to plan. The fair value development of our investments, including Norvestia, and the timing of ongoing exit processes have a profound impact on the result for the second half of the year.
CapMan became an anchor owner of Norvestia following the acquisition of shares in May. The transaction supports our long term strategy, which is to be an active and versatile private equity player. Norvestia's expertise in private equity is based on minority investments mainly in Nordic entrepreneurial companies.
The exit from Swedish Silex Microsystems is an excellent example that also funds at the end of their life cycle include companies, which may provide material carried interest to CapMan. In addition, our Nordic Real Estate fund agreed on its first exit, which was an office building north of Stockholm. The CapMan Real Estate team was successful in executing their value added strategy ahead of their original schedule."
CapMan maintains its outlook estimate for 2015:
We estimate our earnings per share to improve from the level achieved in 2014.
Basis for outlook:
CapMan receives carried interest income from funds as a result of a completed exit in the event that the fund already is in carry or will enter carry due to the exit. Our current portfolio holds several investments, which we expect to exit during 2015. The most significant exits are expected to be completed towards the end of 2015.
The fair value development of our own fund investments and that of Norvestia will have a substantial impact on our overall result in 2015. We expect disparity in the development of individual portfolio companies and real estate also during 2015 depending on their industry and geographical location. In addition, our portfolio companies and real estate are also influenced by various other factors, among others the general development of industries and local economies, inflation development, valuation multiples of peer companies, and exchange rates.
We estimate other fees to increase clearly alongside the management fees. Our fees as a whole will exceed our expenses before possible non-recurring expenses related to acquisitions or larger development projects.
Press and analyst conference
Heikki Westerlund, CEO, will present the result for the review period to press and analysts and review the market situation in a press conference to be held at 12.00 p.m. EEST at CapMan's head office in Helsinki, address Korkeavuorenkatu 32, 00130 Helsinki. The press conference will be held in Finnish. The presentation material is available on CapMan's website after the press conference has begun. To join the conference, please register with linda.tierala@capman.com. Welcome!
Helsinki, 6 August 2015
CAPMAN PLC
Board of Directors
Further information:
Niko Haavisto, CFO, tel. +358 50 465 4125
Distribution:
NASDAQ OMX Helsinki
Principal media
www.capman.com
CapMan www.capman.com
CapMan is one of the European leaders in the private equity industry. For more than 25 years, we have been developing companies and real estate and supporting their sustainable growth. We are committed to understanding the needs of our customers in an ever-changing market environment. Our objective is to provide attractive returns and innovative solutions for our investors and value adding services for professional investment partnerships, growth-oriented companies and tenants. Our independent investment partnerships - Buyout, Real Estate, Russia and Credit - as well as our associated company Norvestia are responsible for investment activities and value creation. CapMan's service business offering includes fundraising advisory services, purchasing activities and fund management services to both internal and external customers. CapMan has 100 private equity professionals and assets under management of €3.0 billion.
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