Key events during the quarter
- Macro headwinds outweighed portfolio company performance in 4Q24 as NAV decreased by 20% to USD 353.0 mln. The strengthening of the USD combined with weakness in Brazilian asset prices specifically had a direct negative effect on our NAV in the quarter.
- Creditas released headline 3Q24 IFRS results. 3Q24 was the fifth consecutive quarter with growing loan origination (17% QoQ/49% YoY), combined with expanding gross margins reaching 45.9%. Quarterly revenues and gross profit hit records of USD c. 83 mln and USD c. 38 mln, respectively.
- We announced our first exit of this cycle and our first in India with the IPO of BlackBuck. VEF partially exited its position, realizing gross proceeds of c. USD 2 mln. This partial exit enhances VEF's liquidity, aligning with our strategic objectives to strengthen our balance sheet. BlackBuck's share price closed up 72% from IPO to YE24, valuing our remaining holding at USD 5.2 mln.
Net asset value
- VEF's NAV as at YE24 is USD 353.0 mln (YE23 442.2). NAV per share decreased by 20% to USD 0.34 (YE23: 0.42) per share during FY24.
- In SEK, NAV equals 3,882 mln (YE23: 4,441). NAV per share decreased by 13% to SEK 3.73 (YE23: 4.26) per share during FY24.
- Cash position, including liquidity investments, was USD 12.8 mln (YE23: 21.6) at the end of 2024.
Financial result
- Net result for 4Q24 was USD -122.2 mln (4Q23: 19.4). Earnings per share were USD -0.12 (4Q23: 0.02).
- Net result for FY24 was USD -89.9 mln (FY23: 60.1). Earnings per share were USD -0.09 (FY23: 0.06).
VEF CEO, Dave Nangle, comments:
"We ended 2024 on a strong footing, driven by our strong portfolio, strengthened balance sheet and well-timed exit. In 2H24, growth returned at our size holdings Creditas and Konfío, with Juspay continuing to compound profitably, at a growth clip north of 50%. With the IPO of BlackBuck in India in November 2024, we announced our first exit in this cycle. In Brazil, we followed suit with an exit in Gringo in January 2025. We carry over our strategic priorities of strengthening our balance sheet and reducing our traded discount into 2025."
| Dec 31, 2022 | Dec 31, 2023 | Dec 31, 2024 | |
| Net asset value (USD mln) | 381.8 | 442.2 | 353.0 |
| Net asset value (SEK mln) | 3,981 | 4,441 | 3,882 |
| Net asset value per share (USD) | 0.37 | 0.42 | 0.34 |
| Net asset value per share (SEK) | 3.82 | 4.26 | 3.73 |
| VEF AB (publ) share price (SEK) | 2.45 | 1.84 | 2.21 |
Events after the end of the period
VEF's Brazilian holding Gringo has entered into a definitive agreement to be acquired by Sem Parar Instituicao de Pagamento Ltda. As part of the transaction, all existing investors, including VEF, will fully exit their position in Gringo. The transaction is expected to result in net proceeds of USD 15.2 mln for VEF. The transaction is subject to customary closing conditions, including approval from the Brazilian antitrust authority, and is expected to close in the coming months.
Visit VEF's IR page for our financial reports and other information: vef.vc/investors
The results webcast will be held at 15:00 CET (09:00 a.m. ET) Wednesday January 22, 2025 where Dave Nangle, Managing Director of VEF will comment on the report and the latest developments.
To join the live conference and be able to ask questions, please use the below link for registration:
https://register-conf.media-server.com/register/BIc3e4afc8aefc43659ac10accd2c806e9
To view the live interactive presentation in listen-only mode, please log on to:
https://edge.media-server.com/mmc/p/xmuq4uk6
For further information please contact:
Kim Ståhl, CFO: +46 (0) 8-545 015 50
About Us
VEF AB (publ) is an investment company whose Common Shares are listed in Sweden. We invest in growth stage private fintech companies, take minority stakes and are active investors with board representation in our portfolio companies, always looking to back the best entrepreneurs in each market. We focus on scale emerging markets and invest across all areas of financial services inclusive of payments, credit, mobile money and wealth advisors. VEF trades in Sweden on Nasdaq Stockholm's Main Market under the ticker VEFAB. For more information on VEF, please visit http://www.vef.vc.
This information is information that VEF AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2025-01-22 08:00 CET.
