Q1 2025 Georgia Capital PLC Earnings Call Transcript
Key Points
- Georgia Capital PLC (GRGCF) reported a strong NAV per share growth of over 11% in Q1 2025.
- The company's private portfolio companies showed exceptional performance with revenue up more than 20% and EBITDA up over 45%.
- The company has been aggressively buying back shares, purchasing 21 million shares since the beginning of 2025, which represents over 27% of shares in issuance.
- Strong cash flow generation was reported, with a 25% increase in Q1 and nearly 90% increase in net operating cash flow over the last 12 months.
- The company has successfully reduced its NCC ratio from 42.5% in 2019 to 13.5% in Q1 2025, indicating effective deleveraging efforts.
- The NCC ratio slightly increased by 0.7 percentage points due to the announcement of a $25 million buyback program.
- The NAV discount remains high at 47%, despite improvements from a peak of 66% during COVID times.
- Inflation pressures are present, with inflation exceeding the target at 3.4% in April, driven by food prices.
- The company faces challenges in the renewable energy sector, with projects being delayed and requiring resolution.
- The healthcare services business experienced a negative impact on net debt due to timing differences, although this is expected to reverse in future quarters.
I'll start with the key developments. Then Nino, our Chief Economist, will talk about the macro update. Then Giorgi, our CFO, will talk about the portfolio company results and valuations and he'll talk about as well liquidity and dividend income outlook. I'll do the wrap-up as always, and then we will do the Q&A session. And hopefully, it will be engaging.
So let me outline 4 key points for the quarter. We were up NAV per share, our key metrics was up more than 11% percentage points basically in Q1. So good progress. Most importantly, our private portfolio companies were performed extremely well. Our large portfolio company performed extremely well. The revenue in the quarter was up more than 20%, and the EBITDA was up more than 45%. So the high growth of our portfolio companies -- private portfolio companies continues, and we see strong results in April coming in and May as well. So we are aiming for the strong Q2 as well.
So NCC ratio was a little bit down due to the announcement of our second $25 million buyback
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
