Treasure (TRE) H2 2023 earnings summary

Executive summary

• 11.0% Hyundai Glovis stake remained the central asset; 2023 profit was USD 84.3m, down from USD 99.6m restated in 2022.

• Total assets reached USD 679.7m, with USD 4.4m cash and no interest-bearing debt.

• Shareholder returns included NOK 1.00 per share paid during 2023; a further NOK 0.75 per share was proposed for H1 2024.

Financial highlights

• Profit before tax was USD 88.0m versus USD 101.9m restated in 2022; share of Hyundai Glovis profit contributed USD 89.3m.

• Net profit was USD 84.3m versus USD 99.6m; tax expense was USD 3.6m versus USD 2.3m.

• Operating loss was USD 137k, on operating income of USD 319k and expenses of USD 457k.

• Operating cash flow was USD 13.3m; net cash decreased USD 5.0m to USD 4.4m, reflecting dividends received, shareholder distributions and buybacks.

Outlook and guidance

• 2024 priorities include extending the strategic relationship with Hyundai Glovis and further developing investment strategy; strong balance-sheet capacity supports investment.

• Hyundai Glovis customers Hyundai Motor Group and Kia Motor Group were experiencing rising global vehicle demand.

• Underlying asset value is expected to fluctuate with Korean equity indexes.