VEF (VEFL SDB) Q1 2026 earnings summary

Executive summary

• NAV declined 5.8%-6% quarter-on-quarter to USD 408.6 million, mainly due to market sell-off and valuation compression, despite strong underlying portfolio performance and favorable currency effects.

• Portfolio remains focused on Latin America (over 80% exposure), especially Brazil, providing stability and benefiting from strong local currency and commodity trends.

• Continued successful exits, notably partial Juspay exit at a 16% premium to NAV, generating USD 14.6-15 million in proceeds and a 34%-35% IRR, while retaining a significant stake.

• AI adoption is accelerating across portfolio companies, driving operational efficiency and growth, especially in Creditas and Juspay.

• Portfolio remains robust and resilient despite macro headwinds, with most holdings now self-sustaining.

Financial highlights

• NAV at quarter-end was USD 408.6 million, down 5.8%-6% QoQ and up 14% YoY; NAV per share at USD 0.40 and SEK 3.82.

• Portfolio companies are growing at 25%-30% year-on-year from a profitable base, with top three holdings driving much of this growth.

• Four exits since November 2024 totaled USD 52 million, executed at an 8% premium to pre-transaction NAV marks, with a 1.4x aggregate MOIC and 11% gross IRR over 3.5 years.

• Share price in SEK fell 7.2% QoQ but rose 22.6% YoY.

• Cash position increased to USD 25.2 million, with effective net debt neutral position restored.

Outlook and guidance

• Portfolio expected to continue compounding at 25%-30% annual growth, with Creditas targeting sustainable growth in this range.

• Over 90% of portfolio companies are now self-sustaining, including top holdings Creditas, Konfío, and Juspay.

• Management remains focused on further exits, strengthening the balance sheet, and opportunistically buying back shares.

• Macro risks from geopolitical conflicts and inflationary pressures remain elevated.