Flat Capital (FLAT) Q1 2025 earnings summary

Executive summary

• Net asset value (NAV) at March 31, 2025 was 649 MSEK, down 1.4% from Q4 2024, mainly due to negative currency effects from USD exposure (-39.2 MSEK).

• Profit for Q1 2025 was -9.4 MSEK, an improvement from -10.6 MSEK in Q1 2024, with EPS at -0.16 SEK.

• Realized gain of 40.9 MSEK from the divestment of Truecaller, generating a 3.8x return and +51% IRR since IPO.

• Six new investments totaling 21.8 MSEK, including ElevenLabs (15.2 MSEK), Brindlechute, Talentium, Lovable, Nexos.ai, and Project Europe.

• Portfolio remains focused on early-stage, high-growth companies in AI, technology, and structural growth markets.

Financial highlights

• NAV per share was 10.76 SEK at quarter-end, compared to 10.92 SEK at December 31, 2024.

• Operating expenses were 2.4 MSEK (1.46% of average NAV, annualized), up from 1.2 MSEK (1.19%) in Q1 2024.

• Change in value of financial assets was -1.3 MSEK, with unrealized losses of -42.2 MSEK (mainly FX), offset by realized gains of 40.9 MSEK.

• Net cash position increased to 166.8 MSEK from 158.8 MSEK at year-end.

• Investments during the quarter: 21.8 MSEK; Divestments: 41.5 MSEK.

Outlook and guidance

• Awaiting updated valuations for OpenAI, XAI, and Lyst following recent capital rounds and transactions; these are not yet reflected in NAV.

• Broadened investment strategy to include selected defense sector opportunities, aligning with global security trends.

• Portfolio companies Figma and Klarna are confirmed to be preparing for IPOs; Discord is rumored to consider the same.