Partners Group Private Equity (PEY) H2 2024 earnings summary

Executive summary

• Achieved an 11.4% NAV total return for 2024, with a 10-year annual NAV total return near 11% and a 10.0% share price total return.

• Portfolio is 98–99% direct private equity, diversified across 70+ investments globally, focused on resilient sectors in Western economies.

• Realization activity increased, with major exits and IPOs such as Vishal Mega Mart and SRS Distribution delivering significant uplifts to NAV.

• Board strengthened, capital allocation policy formalized, governance and disclosures improved, and name changed to Partners Group Private Equity Limited.

Financial highlights

• 11.4% NAV total return and 10.0% share price total return for 2024; 6.6–7% dividend yield based on year-end share price.

• EUR 144 million in distributions received in 2024, returning to historical levels and outpacing broader market trends.

• Portfolio performance of 12.2% for 2024, with 7.6% from EBITDA growth and 2% from EBITDA multiple expansion.

• Net debt to EBITDA remains around 5x, with refinancing saving over EUR 80 million in debt costs across the platform.

• 10-year NAV total return of 10.8% and share price total return of 10.4%.

Outlook and guidance

• Expect higher investment and distribution activity in 2025 as financing markets improve.

• Pipeline remains strong, with focus on Health & Life, Goods & Products, Technology, and Services verticals.

• Emphasis on transformational investing and value creation through asset transformation and selective sourcing.

• Cautious approach to leverage and margin resilience amid ongoing inflation and interest rate volatility.

• Ongoing assessment of exit opportunities to crystallize value and recycle proceeds for future growth.