Cadence Capital (CDM) AGM 2025 summary

Opening remarks and agenda

• AGM and investor briefing held on 28 October 2025 for two funds, covering year-end results, portfolio updates, and outlook.

• Presentation began with a review of fund performance and a focus on key market themes, including PE expansion and negative earnings growth in large-cap stocks.

Financial performance review

• CDM fund up 3.4% for the year with $6.3m profit after tax; strong second half performance reversed earlier underperformance.

• CDO fund up 7.9% for the year with $1.5m profit after tax; strong second half performance.

• CDM outperformed the ASX All Ordinaries Accumulation Index by 3.5% over 12 months to September, with a 14% return.

• CDO outperformed the index by 10.3% over 12 months, with a 20.8% annual return to September 2025.

• Both funds maintain significant profit reserves, supporting approximately two years of future dividends at current rates.

• Pre-tax NTA up 20% since January, but share price up only 8%, resulting in a 21% discount to NTA.

• Portfolio is highly liquid, with 75% able to be liquidated within a week and 80% within a month.

Dividend announcements

• CDM declared a 3.0 cent final dividend, 50% franked, yielding 8.8% (10.7% grossed up).

• CDO declared a 7.0 cent fully franked final dividend, yielding 7.8% (11.1% grossed up).

• Discussion on potential for quarterly dividends, with cost and sustainability concerns raised; to be discussed at the next board meeting.