Georgia Capital (CGEO) Investor presentation summary

Strategy and capital management

• Focus on capital-light investments in Georgia, targeting sectors with strong value creation potential and limited capital requirements.

• Employ a robust capital management framework, including 360-degree analysis for capital allocation and tactical buybacks.

• ESG principles are central, with measurable targets, net-zero commitment by 2050, and issuance of sustainability-linked bonds.

• Strategic priorities include deleveraging, maintaining NCC ratio below 15%, and progressing divestment of non-core assets.

• Long-term aspiration is to become a sustainable permanent capital vehicle with consistent NAV per share growth.

Portfolio overview and performance

• Portfolio value at 30-Jun-24 was GEL 3,492 million, with 41% in listed/observable assets and 59% in private assets.

• Largest holdings: Bank of Georgia (36%), Retail Pharmacy (18%), Insurance (11%), Hospitals (7%), Renewable Energy (7%).

• NAV per share fell 12.8% in 2Q24 due to regional geopolitical volatility impacting valuations.

• Aggregated revenue and EBITDA of private portfolio companies grew 7.3% and 17.5% y-o-y in 1H24, respectively.

• GEL 50.3 million dividend income received in 1H24, with a solid outlook for 2024.

Financial position and capital returns

• NCC ratio increased to 18.9% at 30-Jun-24, mainly due to unutilized buybacks and portfolio value decline.

• At least GEL 300 million ($110 million) earmarked for share buybacks and dividends through 2026; $40 million allocated to buybacks.

• 1.3 million shares repurchased since May 2024, totaling 9.2 million shares (19.3% of peak issued capital) since demerger.

• Gross debt reduced from $365 million to $150 million over two years, improving leverage profile.

• Liquidity up 2.2x from 30-Jun-24, reflecting strong dividend inflows.