Finsbury Growth & Income Trust PLC released its annual financial report for the year ended September 30, 2024. The report highlights the companys performance, financial position, and future prospects. Heres a summary of the key points
## Performance and Financial Overview
The net asset value (NAV) per share increased by 8.2% during the financial year, compared to a 7.2% increase in the previous year.
The company paid two interim dividends totaling 19.6p, representing a 3.2% increase from the previous year.
The share price total return was 3.4%, while the NAV per share total return was 8.2%.
The companys share price stood at an 8.7% discount to the NAV per share as of September 30, 2024.
The companys portfolio is concentrated, with the top ten holdings accounting for approximately 90% of the portfolio value.
The companys benchmark, the FTSE All-Share Index, delivered a return of 13.4% over the year.
## Investment Portfolio
The portfolio is primarily invested in UK-domiciled companies, with a small portion invested globally.
The largest sector weightings are Consumer Staples, Financials, and Consumer Discretionary.
The portfolio includes well-known companies such as Experian, London Stock Exchange, RELX, Unilever, and Diageo.
## Business Review and Outlook
The companys investment objective is to achieve capital and income growth and provide shareholders with a total return exceeding the FTSE All-Share Index.
The board remains committed to the portfolio managers strategy of investing in high-quality companies with durable and cash-generative brands.
The companys long-term track record remains impressive, with a 10-year total return of 108.4%.
The board will hold a continuation vote after the current financial year ends in September 2025 to offer shareholders an opportunity to express their support for the companys strategy.
## Risk Management and Principal Risks
The board identifies and manages various risks, including corporate strategy, investment strategy, market price risk, and operational risks.
The company has a share buy-back policy to enhance net asset value and provide additional liquidity.
The companys loan facility has covenants that were complied with during the year, and the board sets a gearing limit of 25% of net assets.
## Conclusion
The companys board remains committed to its investment strategy and believes in the potential for strong long-term returns.
The annual general meeting will be held on January 28, 2025, where shareholders can meet the board and receive further updates.