Flerie (FLERIE) Q3 2024 earnings summary

Executive summary

• Active investment approach in a diversified portfolio of 29 life science companies, with board participation and collaboration to drive innovation and value creation, delivering a 14% IRR per year from 2011–2023.

• Net asset value (NAV) at quarter end was SEK 4,262 million, with NAV per share at SEK 54.59, 30% above the share price at quarter end.

• Cash and cash equivalents stood at SEK 911 million, representing over 20% of NAV and providing significant investment capacity.

• Annual share redemption scheme allows up to 5% of shares to be redeemed at NAV per share, aiming to provide liquidity and reduce the NAV discount.

• Reverse share split (1:100) completed in July 2024; reverse merger and share issue in June 2024 raised SEK 793 million after costs.

Financial highlights

• NAV per share at SEK 54.59, down 2.7% from the previous quarter and 7.0% year-to-date.

• Portfolio fair value at end of September was SEK 2,993 million, down SEK 65 million (4%) from June.

• Net loss for Q3 was SEK -117 million (Q3 2023: -299 million); Jan–Sep: SEK -164 million (2023: -301 million).

• Investments in Q3 totaled SEK 56 million, mainly follow-ons in Atrogi, Chromafora, and LP segment.

• Expense ratio for Jan–Sep was 1.34% (2023: 1.4%).

Outlook and guidance

• Ongoing focus on syndicating investments and attracting co-investors, especially for companies where the company is the largest shareholder.

• Key upcoming value drivers include clinical readouts and financing rounds for Prokarium, AnaCardio, and KAHR.

• Planned re-submission of NDA for Xspray's Dasynoc in Q4 2024 following positive FDA meeting.

• Expectation of continued dynamic portfolio development, with several companies advancing clinical phases and scaling up manufacturing for pivotal studies.

• No significant events have occurred after the end of the quarter.