Xer Tech (XER) Q4 2023 earnings summary

Executive summary

• Completed a merger with Pep Securities and two listings during 2023; management said it will prioritize investment quality while seeking new businesses to invest in and help list.

• Q4 net profit was SEK 2.6m, driven by gains in listed holdings; FY net loss was SEK 10.8m, mainly due to one-time impairments made before the merger.

Financial highlights

• Q4 2023 revenue was SEK 0; net profit was SEK 2.652m versus SEK 235k in Q4 2022, and EPS was SEK 0.42 versus SEK 0.12.

• FY 2023 revenue was SEK 283k versus SEK 201k; net loss was SEK 10.840m versus SEK 780k, and EPS was -SEK 1.72 versus -SEK 0.41.

• FY operating loss was SEK 1.880m; EBITDA was -SEK 1.805m. Financial items were -SEK 9.937m, primarily reflecting impairments of listed and unlisted holdings.

• Q4 operating costs were SEK 583k versus SEK 533k; FY operating costs were SEK 2.163m versus SEK 1.586m.

Outlook and guidance

• Management plans to actively seek new investment opportunities and help suitable businesses list, while maintaining a quality-over-quantity approach.

• The stated investment mandate includes listed and unlisted growth businesses, including companies preparing for a listing, and may include loans or other forms of financing.