Baillie Gifford UK Growth Trust PLC released its annual results for the year ending April 30, 2025. The companys net asset value (NAV) total return was 7.1%, slightly <mark style="background-color:yellow">below</mark> the FTSE All-Share Indexs 7.5%. The share price total return was 13.6% as the discount narrowed. The net revenue return for the year was 5.32p per share, and a final dividend of 5.70p per share is recommended. The Board aims to maintain the companys discount in single figures in normal market conditions. Over the year, 17,403,697 shares were bought back into treasury, representing 11.9% of the issued share capital. The Chairman, Neil Rogan, acknowledged the need for clear progress by the next continuation vote and expressed optimism about the companys potential.
The Chairmans statement highlighted the volatility in performance, with strong relative performance in the first half but poor results in the second half. The revenue return per share decreased due to reduced dividends and the sale of certain holdings. The Board discussed borrowings, gearing, and the issuance of new shares or re-issuance of treasury shares. The appointment of a new board director, Ms. Seema Paterson, was also noted.
The Managers Report attributed the performance to geopolitical tensions, inflationary concerns, and investor sentiment. They discussed the impact of President Trumps actions and the challenges faced by the new Labour Government. The report provided insights into trading activities, including new purchases and additions to positions. The outlook section emphasized the importance of evaluating fundamental business strengths and long-term prospects.
The Managers core investment principles were outlined, focusing on growth, patience, and active investment management. Baillie Giffords stewardship principles were also detailed, emphasizing long-term value creation, alignment, governance, and sustainable business practices.
The financial statements provided details on income, investment management fees, net return per ordinary share, ordinary dividends, borrowings, transaction costs, and treasury shares. The Companys shareholder authority and the treatment of treasury shares were explained.
The text concluded with a glossary of terms, including definitions of total assets, net asset value, net liquid assets, discount/premium, total return, ongoing charges, gearing, leverage, active share, and unlisted (private) company.