Strategic Investments (STRINV) Q2 2024 earnings summary

Executive summary

• Net loss of DKK 83.0m for H1 2024, corresponding to a return of -17.3%; Q2 2024 loss of DKK 12.5m, return of -3.4%.

• Negative results driven by small-cap stocks on First North, which suffered from capital raises and declining private investor interest.

• Equity as of June 30, 2024, was DKK 396.3m, with NAV per share at DKK 1.00; dividend of DKK 0.02 per share paid in April 2024.

• NAV per share increased to DKK 1.01 as of July 31, 2024.

Financial highlights

• H1 2024 net result: DKK -83.0m vs. DKK 25.4m in H1 2023; Q2 2024: DKK -12.5m vs. DKK 4.3m in Q2 2023.

• Investment result for H1 2024: DKK -78.9m (H1 2023: DKK 29.3m); operating costs DKK 4.1m (H1 2023: DKK 3.9m).

• Equity decreased by DKK 90.9m in H1 2024, mainly due to the period's loss and dividend payout.

• Balance sheet as of June 30, 2024: DKK 423.5m (June 2023: DKK 504.4m; Dec 2023: DKK 549.5m).

• Cash position at period end: DKK 18.4m; net investments DKK 353.9m (83% of assets).

Outlook and guidance

• Full-year 2024 return expected in the range of -10% to 0%.

• Management emphasizes a long-term investment strategy, with results expected to vary significantly period to period.