CVC Capital Partners plc announces results for the six months ended 30 June 2024.
Key Highlights
Half-Year Activity Update
• Strong financial growth [1]:
• Adjusted pro forma total revenue of €621m up +13% vs. H1 2023
• Pro forma Management Fee Earnings (MFE) of €274m, +16% vs. H1 2023
• Adjusted pro forma EBITDA of €390m, +16% vs. H1 2023
• Adjusted pro forma profit after income tax of €340m, +16% vs. H1 2023
• Margins expected to further expand in H2 2024, with the impact of new funds driving operating leverage
• Fee-Paying Assets Under Management (FPAUM) +45% in H1 2024 to €142.4bn, driven by the activation of Europe / Americas Fund IX and Asia VI, as well as the addition CVC DIF [2]
• Total AUM of €193bn including CVC DIF
• Continued diversification of the Group: Secondaries, Credit and Infrastructure now represent c.46% of total FPAUM
• Increase in H1 2024 deployment activity: +63% to €13.4bn vs. H1 2023, primarily driven by a significant increase in Private Equity investing
• Increase in H1 2024 realisations: +108% to €9.4bn vs. H1 2023, driven by an increase in corporate and sponsor M&A
• Our portfolio performance continues to be resilient across all strategies, with all material funds performing on or above plan [3]
• Following a record fundraising year in 2023 (c.€34bn [4]), we continue executing on our fundraising targets across all strategies and are progressing according to plan
• Significant opportunity to scale our existing strategies, accelerating our efforts to tap the considerable growth potential and build market leadership in Secondaries, Credit and Infrastructure in particular
Rob Lucas, CEO: "We're pleased to report positive half-year results - our first as a public company. We have seen an increase in deployment and realisation activity, and continued resilient performance across our portfolio. In addition, we are delighted to have completed our acquisition of CVC DIF and the acquisition of the final stake in CVC Secondary Partners in July 2024, together delivering good progress against our strategic objectives."
Fred Watt, CFO: "We are delivering on plan across all key metrics. The activation of Europe / Americas Fund IX and Asia VI has driven higher management fee earnings, and strong growth in adjusted pro forma EBITDA. We remain confident in delivering our IPO guidance, and with our near-term fundraising substantially complete, we have good visibility on our near-term MFE trajectory."
The 2024 Half-Year Report can be found here: https://www.cvc.com/shareholders/reports-and-presentations/
Presentation and Q&A:
Management will hold a webcast to present the results and answer questions from analysts and investors at 10 a.m. CET / 9 a.m. BST on 5 September 2024: https://reg.lumiengage.com/cvc-capital-partners-plc-hy-results-presentation/cvchy24/Site/Register
Download full press release:
https://www.cvc.com/media/uf0n01aq/cvc-2024-half-year-results-to-30-june-2024-press-release.pdf
1. Pro forma and adjusted pro forma metrics reflect the Group's results as if the Group's Pre-IPO Reorganisation had been completed at the start of the comparative period. The Group uses these metrics to track the financial and operating performance of the business. Excluding CVC DIF (acquisition completed on 1 July 2024).
2. Acquisition of CVC DIF signed in September 2023 and completed on 1 July 2024. Europe / Americas Fund IX, Asia VI and Strategic Opportunities III were each activated on 3 May 2024, at the earlier end of the mid-2024 guidance. Strategic Opportunities III is not included in FPAUM given fees are paid on invested capital.
3. List of material funds and definition of "on plan" and "above plan" as per 2024 Half-Year Report.
4. Including Infrastructure fundraising during the period.
Key Highlights
Half-Year Activity Update
• Strong financial growth [1]:
• Adjusted pro forma total revenue of €621m up +13% vs. H1 2023
• Pro forma Management Fee Earnings (MFE) of €274m, +16% vs. H1 2023
• Adjusted pro forma EBITDA of €390m, +16% vs. H1 2023
• Adjusted pro forma profit after income tax of €340m, +16% vs. H1 2023
• Margins expected to further expand in H2 2024, with the impact of new funds driving operating leverage
• Fee-Paying Assets Under Management (FPAUM) +45% in H1 2024 to €142.4bn, driven by the activation of Europe / Americas Fund IX and Asia VI, as well as the addition CVC DIF [2]
• Total AUM of €193bn including CVC DIF
• Continued diversification of the Group: Secondaries, Credit and Infrastructure now represent c.46% of total FPAUM
• Increase in H1 2024 deployment activity: +63% to €13.4bn vs. H1 2023, primarily driven by a significant increase in Private Equity investing
• Increase in H1 2024 realisations: +108% to €9.4bn vs. H1 2023, driven by an increase in corporate and sponsor M&A
• Our portfolio performance continues to be resilient across all strategies, with all material funds performing on or above plan [3]
• Following a record fundraising year in 2023 (c.€34bn [4]), we continue executing on our fundraising targets across all strategies and are progressing according to plan
• Significant opportunity to scale our existing strategies, accelerating our efforts to tap the considerable growth potential and build market leadership in Secondaries, Credit and Infrastructure in particular
Rob Lucas, CEO: "We're pleased to report positive half-year results - our first as a public company. We have seen an increase in deployment and realisation activity, and continued resilient performance across our portfolio. In addition, we are delighted to have completed our acquisition of CVC DIF and the acquisition of the final stake in CVC Secondary Partners in July 2024, together delivering good progress against our strategic objectives."
Fred Watt, CFO: "We are delivering on plan across all key metrics. The activation of Europe / Americas Fund IX and Asia VI has driven higher management fee earnings, and strong growth in adjusted pro forma EBITDA. We remain confident in delivering our IPO guidance, and with our near-term fundraising substantially complete, we have good visibility on our near-term MFE trajectory."
The 2024 Half-Year Report can be found here: https://www.cvc.com/shareholders/reports-and-presentations/
Presentation and Q&A:
Management will hold a webcast to present the results and answer questions from analysts and investors at 10 a.m. CET / 9 a.m. BST on 5 September 2024: https://reg.lumiengage.com/cvc-capital-partners-plc-hy-results-presentation/cvchy24/Site/Register
Download full press release:
https://www.cvc.com/media/uf0n01aq/cvc-2024-half-year-results-to-30-june-2024-press-release.pdf
1. Pro forma and adjusted pro forma metrics reflect the Group's results as if the Group's Pre-IPO Reorganisation had been completed at the start of the comparative period. The Group uses these metrics to track the financial and operating performance of the business. Excluding CVC DIF (acquisition completed on 1 July 2024).
2. Acquisition of CVC DIF signed in September 2023 and completed on 1 July 2024. Europe / Americas Fund IX, Asia VI and Strategic Opportunities III were each activated on 3 May 2024, at the earlier end of the mid-2024 guidance. Strategic Opportunities III is not included in FPAUM given fees are paid on invested capital.
3. List of material funds and definition of "on plan" and "above plan" as per 2024 Half-Year Report.
4. Including Infrastructure fundraising during the period.
© 2024 GlobeNewswire (Europe)
