Taaleri (TAALA) Q2 2024 earnings summary

Executive summary

• Continuing earnings for Q2 2024 grew to EUR 10.1 million, up 2.6–3% year-over-year, driven by renewable energy business development.

• Total income for Q2 was EUR 11.9 million, down 54.8% from over EUR 26 million a year ago due to lower investment returns and absence of performance fees.

• Operating profit for Q2 dropped 75.3% to EUR 4.4 million, with a margin of 36.9%.

• Assets under management (AUM) remained stable at EUR 2.6 billion, with 85% in sustainable fund products.

• Segment reporting changed: Aktia Bank Plc shareholding moved to Other group after partial sale.

Financial highlights

• Q2 2024 continuing earnings: EUR 10.1 million (up from EUR 9.9 million in Q2 2023).

• Q2 2024 income: EUR 11.9 million (down from EUR 26.3 million in Q2 2023).

• Q2 2024 operating profit: EUR 4.4 million (down from EUR 17.8 million in Q2 2023).

• H1 2024 continuing earnings up 3.5% to EUR 20.4 million; income down 18.6% to EUR 28.9 million.

• Dividend of EUR 1.00 per share paid in April 2024.

Outlook and guidance

• Renewable energy continuing earnings expected to develop positively in 2024; operating profit depends on investment returns and timing of performance fees from fund exits.

• Bioindustry and real estate businesses targeted for international growth; operating profit in Other private asset management expected negative.

• Garantia’s continuing earnings expected to fall slightly, reflecting housing market trends, but investment operations may improve if rates remain favorable.

• Long-term targets: at least 15% growth in continuing earnings and performance fees, ROE at least 15%, dividend payout at least 50% of profit.