Investor (INVE) Q2 2022 earnings summary

Executive summary

• Q2 adjusted NAV fell 9% and total shareholder return (TSR) was -17%; SIXRX returned -16%. YTD, adjusted NAV fell 18% and TSR was -25%, versus -28% for SIXRX.

• Adjusted NAV was SEK 610bn at June 30, 2022; five-year average annual growth was 12% with dividends added back.

• Portfolio companies had leading positions in attractive segments, good profitability and strong cash generation, supporting resilience in a tougher environment.

Financial highlights

• Listed companies generated a Q2 total return of -8%, versus -16% for SIXRX; YTD returns were -17% and -28%, respectively.

• Patricia Industries reported Q2 total return of 2% and YTD return of -3%, both excluding cash; adjusted market value was SEK 141bn.

• Investments in EQT returned -26% in Q2; EQT AB returned -43%, while EQT funds posted 7% reported value growth.

• Mölnlycke Q2 organic sales growth was 5% in constant currency, or 9% excluding prior-year PPE contracts; EBITDA was EUR 125m.

Outlook and guidance

• Priorities were to manage current challenges while pursuing opportunities and investing for the future; Patricia Industries cited an attractive opportunity pipeline.

• Portfolio positioning emphasized leading businesses in attractive, secular-growth segments, profitability and strong cash flow generation.