Groupe Bruxelles Lambert (GBLB) Q4 2024 earnings summary

Executive summary

• Achieved significant progress toward mid-term objectives, with €438m value creation from private assets in FY 2024, driven by healthcare holdings and GBL Capital.

• Disposed €2.4bn in listed assets (adidas, SGS), generating over €1.2bn in capital gains and completing nearly half of planned €5bn disposals for 2024-2027.

• Enhanced shareholder returns through an 82% dividend increase to €5.00 per share and €292m in share buybacks, maintaining a stable NAV per share at €113.30.

• Maintained a solid balance sheet with €5.1bn liquidity and a low LTV of 3.0%, positioning for future investments.

• New governance: Ian Gallienne to become Chairman, Johannes Huth to be appointed Managing Director.

Financial highlights

• FY 2024 consolidated net result was €132m, down from €1,723m in FY 2023, mainly due to the deconsolidation of Webhelp after its combination with Concentrix.

• Cash earnings were €336m, reflecting lower net dividends from investments but a significant €85m contribution from GBL Capital.

• NAV per share at year-end was €113.30, with value creation in private assets offset by net disposals and fair value changes in listed assets.

• Loan-to-value (LTV) improved to 3.0% from 11.4% year-over-year; net debt reduced to €460m.

• Dividend per share: €5.00 (subject to approval), up from €2.75.

Outlook and guidance

• Committed to double-digit total shareholder return (TSR) per annum for 2024-2027, driven by NAV per share growth and increasing distributions.

• Targeting continued dividend growth from the €5.00 per share base and ongoing opportunistic share buybacks.

• Plans to redeploy and return approximately €7bn cumulatively over 2024-2027 through disposals, reinvestments, and shareholder returns.

• Plans to execute €5bn in asset disposals by 2027, redeploying proceeds into new investments and shareholder returns.

• Ongoing focus on private asset value creation and conservative leverage.