AVI Global Trust (AGT) H1 2022 earnings summary

Executive summary

• NAV total return was +1.3% for the six months to 31 March 2022, outperforming the MSCI AC World ex-US benchmark at -1.4%; share-price total return was -1.2%.

• Portfolio had no direct Russia or Ukraine exposure; inflation, currency moves and global market volatility remained potential indirect pressures.

Financial highlights

• Investment income was £6.17m versus £9.25m YoY; revenue earnings were 1.25p/share versus 0.66p, and total earnings were 1.07p versus 42.10p, restated for the share split.

• Net assets were £1,114.5m at 31 March 2022; NAV was 221.19p/share, or 219.52p with debt at fair value.

• Interim dividend held at 1.2p/share; the Board intended to at least maintain the dividend at current levels.

Outlook and guidance

• Post-period NAV return was -3.5% to 27 May, versus -5.1% for MSCI AC World and -3.4% for MSCI AC World ex-US.

• Almost £150m of liquidity was available for investment after repayment of the revolving credit facility; the manager cited attractive opportunities and a cautious approach to gearing.

• Energy and food inflation, supply-chain disruption and possible wage pressures could weigh on earnings; high-quality investments with unrealised value were expected to support long-term returns.