- Today EQT hosts a Capital Markets Day in
Stockholm , marking 30 years since its inception, and its fifth year as a listed company - Since its listing in 2019, EQT has grown total revenues fourfold, expanded its adjusted EBITDA margin from 46% to 58%, and increased market cap by ~470%, enabled by strong fundraising momentum and M&A, whilst delivering consistent and strong returns to its global client base
- At its Capital Markets Day, EQT outlines its strategic objectives and comments on its medium- to long-term financial targets
Strategic objectives
EQT has built a global leader in active ownership strategies, based on its thematic investment approach, locals-with-locals teams, a clear governance model, its global network of industrial advisors, a values-based culture, and a mission to create superior returns for its clients.
Today, EQT is top 3 globally in Private Equity1, top 5 in Infrastructure2, no 1 in Value-Add Infrastructure3, and top 10 in
- become the global leader in Private Equity,
- become top 3 in Infrastructure and maintain its no 1 position in Value-Add Infrastructure;
- and to join the top 3 in
Private Real Estate .
Financial targets
At the time of EQT's listing, EQT's Board of Directors adopted medium- to long-term financial targets expecting;
- total revenue growth to exceed the long-term growth rate of the private markets industry; and
- adjusted EBITDA margin to be in the range of 55-65%; and
- to generate a steadily increasing annual dividend in absolute euro denominated terms.
EQT has since grown revenues by ~40% annually (including acquisitions), and increased its adjusted EBITDA margin from 46% to 58%, whilst growing its dividend per share by, on average, 13% per year.
Today EQT re-confirms its revenue growth and adjusted EBITDA margin targets, and refines its dividend growth target to be on a per share basis. Furthermore, EQT comments on its financial targets:
- EQT's management fees are expected to grow faster than the growth rate of the private markets industry.
- The combination of continued value creation and an eventual pick-up in exit activity is expected to result in the realization of substantial carried interest.
- EQT may exceed its 55-65% adjusted EBITDA margin target in years of significant carried interest. EQT furthermore expects its adjusted EBITDA margin excluding carried interest (fee-related adjusted EBITDA margin) to, over time, reach the 55-65% range.
- EQT expects to generate a steadily increasing annual dividend per share. In addition, EQT may complement its ordinary dividend with further cash distributions, share buy-backs, or a combination thereof.
The Capital Markets Day presentation can be accessed on the Shareholder Relations page of the EQT website from
Contact
EQT Press Office, press@eqtpartners.com, +46 8 506 55 334
1) PEI 300: 2023. Based on the amount of private equity capital raised over five years ending 31/03/2023.
2) II 100: 2023. Based on the amount of infrastructure direct investment capital raised
3) Realfin state of the Market: Global infrastructure 2024. Top Value-add fund managers by direct capital raised last five years.
4) PERE 100: 2023. Based on the amount of private real estate direct investment capital raised
About EQT
EQT is a purpose-driven global investment organization focused on active ownership strategies. With a Nordic heritage and a global mindset, EQT has a track record of almost three decades of developing companies across multiple geographies, sectors and strategies. EQT has investment strategies covering all phases of a business' development, from start-up to maturity. EQT has EUR 232 billion in total assets under management (EUR 130 billion in fee-generating assets under management), within two business segments -
With its roots in the Wallenberg family's entrepreneurial mindset and philosophy of long-term ownership, EQT is guided by a set of strong values and a distinct corporate culture. EQT manages and advises funds and vehicles that invest across the world with the mission to future-proof companies, generate attractive returns and make a positive impact with everything EQT does.
More info: www.eqtgroup.com
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