BREDERODE S.A. PRESS RELEASE FOR THE YEAR ENDED DECEMBER 31st 2023
(Regulated information - published on 14th March 2024 at 5.45 p.m.)
• Shareholders' equity per share: | € 128.55 per share | |
• | Net profit for the financial year: | € 233.65 million |
• | Proposed distribution per share: | € 1.29 |
It is our pleasure to report to you on the activities of Brederode during the 2023 financial year.
Characterised by a gloomier geopolitical context, increasing fragmentation of the economic blocs and uncertainties linked to interest rate rises, 2023 unfolded against an unpredictable backdrop, which saw a slowdown in Private Equity transactions. At the same time, the stock markets rallied, led by the United States and technology shares.
Brederode's net income for the 2023 financial year was €233.65 million, compared to the net loss of €73.30 million in 2022. The listed securities portfolio, which made a profit of €182.12 (€-214.60 million for the previous financial year), fully played its role in complementing the Private Equity portfolio, whose net profit of €58.81 (€141.85 million for the previous financial year) was more moderate, having been unfavourably influenced by the weakening of the Dollar compared to the Euro in the final quarter.
The net asset value per Brederode share rose from €121.80 to €128.55 during the 2023 financial year, which, given the shareholder distribution of €1.22 per share in May 2023, represented a value creation of 6.4%. The result per share was €7.97, compared to €-2.50 for the previous financial year.
The Board of Directors resolved, at its meeting held on 11 March 2024, to propose to the General Meeting to be held on the 8th of May 2024 a shareholder distribution of €1.29 per share. If the General Meeting approves this proposal, it would represent an increase of 6% in shareholders' remuneration and the 21st consecutive annual increase.
BREDERODE SA | 4, Place Winston Churchill - L-1340 Luxembourg - R.C.S. Luxembourg B 174.490 | page 1/21 |
SUMMARY OF ANNUAL RESULT
BREDERODE SA | 4, Place Winston Churchill - L-1340 Luxembourg - R.C.S. Luxembourg B 174.490 | page 2/21 |
LONG-TERM PERFORMANCE (10 YEARS): 14.4% PER ANNUM (1)
- Internal Rate of Return (IRR) of shareholders' equity, based on the value of equity as at 31 December 2013 (€38.18) and as at
December 2023 (€128.55) as well as the distributions to shareholders over the 10 years period.
BREDERODE SA | 4, Place Winston Churchill - L-1340 Luxembourg - R.C.S. Luxembourg B 174.490 | page 3/21 |
KEY FIGURES OF BREDERODE'S INDIVIDUAL (NON-CONSOLIDATED) FINANCIAL STATEMENTS (IFRS)
(in € million) | 31 12 2023 | 31 12 2022 |
Shareholders' equity | 3 767.21 | 3 569.31 |
Profit for the financial year | 233.65 | -73.30 |
Amounts distributed to shareholders | 35.75 | 33.70 |
Adjusted figures per share (in €) | ||
Shareholders' equity | 128.55 | 121.80 |
Profit for the financial year | 7.97 | -2.50 |
Amounts distributed to shareholders | 1.22 | 1.15 |
Market price at the end of the financial year | 101.60 | 108.60 |
Ratios | ||
Return on average equity (1) | 6.4% | -2.0% |
Number of shares used in the profit | ||
For shareholders' equity and basic earnings | 29 305 586 | 29 305 586 |
- Return on Equity: Results for the financial year divided by the average shareholders' equity. This ratio measures the internal profitability of a company.
CONTRIBUTIONS TO THE INCOME FROM ASSETS HELD BY BREDERODE AND ITS SUBSIDIARIES
The following table provides details of the contribution of the main assets and liabilities of Brederode and its subsidiaries to the income as expressed in the separate Financial Statements of Brederode.
(in € million) | 31 12 2023 | 31 12 2022 |
Private Equity management result (2) | 58.81 | 141.85 |
Listed Securities management result | 182.12 | -214.60 |
Other operating income and expenses (3) | -4.09 | -5.67 |
OPERATING RESULT | 236.84 | -78.42 |
Net financial Income (expenses) | -2.80 | 5.15 |
Taxes | -0.39 | -0.03 |
PROFIT FOR THE PERIOD | 233.65 | -73.30 |
- Including all management fees and carried interest paid to fund managers.
- This includes all the general expenses specific to Brederode and its subsidiaries in the amount of €3.09 million for the 2023 financial year (€4.32 million for the 2022 financial year), that is, 0.08% of the portfolio.
BREDERODE SA | 4, Place Winston Churchill - L-1340 Luxembourg - R.C.S. Luxembourg B 174.490 | page 4/21 |
NET ASSETS HELD BY BREDERODE AND ITS SUBSIDIARIES
The following table provides details of the contribution of the main assets and liabilities of Brederode and its subsidiaries to shareholders' equity as expressed in Brederode's separate financial statements.
(in € million) | 31 12 2023 | 31 12 2022 |
NON CURRENT ASSETS | 3 914.99 | 3 608.07 |
Fixed assets | 1.66 | 1.66 |
Non-current financial assets | 3 913.32 | 3 606.40 |
- Private Equity Portfolio | 2 636.65 | 2 487.51 |
- Listed Portfolio | 1 276.68 | 1 118.89 |
Other non-current assets | 0.01 | 0.01 |
CURRENT ASSETS | 26.49 | 25.33 |
Cash and cash equivalents | 21.59 | 10.70 |
Tax receivable | 2.84 | 2.65 |
Receivables and other current assets | 2.06 | 11.98 |
TOTAL ASSETS | 3 941.48 | 3 633.40 |
CURRENT LIABILITIES | -174.26 | -64.06 |
Short-term debt | -150.60 | -54.68 |
Debts arising from purchases of financial assets | -18.90 | -4.77 |
Tax due | -2.18 | -2.19 |
Other current liabilities | -2.58 | -2.42 |
TOTAL LIABILITIES | -174.26 | -64.06 |
THIRD PARTY SHARE (minority shareholders) | -0.02 | -0.03 |
TOTAL NET ASSETS | 3 767.21 | 3 569.31 |
BREDERODE SA | 4, Place Winston Churchill - L-1340 Luxembourg - R.C.S. Luxembourg B 174.490 | page 5/21 |
PORTEFEUILLE PRIVATE EQUITY
The contribution of the Private Equity segment to the annual result was €58.81 million, compared with €141.85 million for the previous year.
Summary of Private Equity activities (in € million)
BREDERODE SA | 4, Place Winston Churchill - L-1340 Luxembourg - R.C.S. Luxembourg B 174.490 | page 6/21 |
Changes in the portfolio
(in € million) | 31 12 2023 | 31 12 2022 |
Private Equity portfolio at the beginning of the financial year | 2 487.51 | 2 343.73 |
Investments | 347.72 | 345.42 |
Disposals | -287.86 | -366.37 |
Change in fair value | 89.28 | 164.73 |
Private Equity portfolio at the end of the financial year | 2 636.65 | 2 487.51 |
Movements in uncalled commitments | ||
(in € million) | 31 12 2023 | 31 12 2022 |
Commitments at the beginning of the financial year | 1 254.86 | 1 015.54 |
Variation in existing commitments | -345.00 | -230.82 |
New commitments (1) | 288.24 | 470.14 |
Commitments at the end of the financial year | 1 198.09 | 1 254.86 |
(1) At historical exchange rate
Performance
The performance of Brederode in Private Equity over the past ten years, drawn up in accordance with IFRS standards and based on net annual cash flows, is as follows:
(in € million) | 10 years | 5 years | 3 years | 1 year |
Value at the beginning of the period | 517,67 | 1 049,48 | 1 554,83 | 2 487,51 |
Cash flow during the period | -28,28 | -145,28 | -35,91 | -62,00 |
Value at the end of the period | 2 636,65 | 2 636,65 | 2 636,65 | 2 636,65 |
IRR (Internal Rate of Return) (2) | 19,0% | 17,9% | 18,8% | 3,4% |
- Internal Rate of Return (IRR) of the Private Equity portfolio calculated on the market value at the beginning and end of the period as well as the net annual cash flows.
BREDERODE SA | 4, Place Winston Churchill - L-1340 Luxembourg - R.C.S. Luxembourg B 174.490 | page 7/21 |
Evolution of commitments and investments
(in € million)
Cash flow evolution (in € million)
BREDERODE SA | 4, Place Winston Churchill - L-1340 Luxembourg - R.C.S. Luxembourg B 174.490 | page 8/21 |
Geographical breakdown
Current investments | Uncalled commitments |
Breakdown by currency
Current investments | Uncalled commitments |
BREDERODE SA | 4, Place Winston Churchill - L-1340 Luxembourg - R.C.S. Luxembourg B 174.490 | page 9/21 |
Breakdown by Vintage (commitment year )
Current investments | Uncalled commitments |
Breakdown by style
Current investments | Uncalled commitments |
BREDERODE SA | 4, Place Winston Churchill - L-1340 Luxembourg - R.C.S. Luxembourg B 174.490 | page 10/21 |
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
Brederode SA published this content on 14 March 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 14 March 2024 16:48:10 UTC.
