**Summary of HgCapital Trust PLCs Half-Year Report (H1 2025):**
HgCapital Trust PLC (HgT) released its interim results for the period ending June 30, 2025, highlighting continued strong trading growth and transaction activity despite a challenging macroeconomic environment. Key points include
1. **Financial Performance**
**NAV per Share** -0.4% growth on a total return basis, with net assets of £2.5 billion.
**Share Price Return** -3.8% total return, with a market capitalization of £2.4 billion.
**Portfolio Growth** LTM revenue and EBITDA growth of 19% and 18%, respectively, with an average EBITDA margin of 33%.
2. **Investment and Realization Activity**
**Investments** £306 million invested, including in companies like IFS, P&I, Citation, and Scopevisio.
**Realisations** £165 million in gross realisations, including exits from P&I, Citation, Trackunit, and smartTrade. Full and partial exits over the last 12 months were achieved at an average of 11% <mark style="background-color:yellow">above</mark> carrying value.
3. **Liquid Resources and Commitments**
**Available Liquidity** £432 million, including a £375 million undrawn credit facility.
**Outstanding Commitments** £1.4 billion to Hg funds, expected to be drawn over the next 4-5 years.
4. **Dividend Declaration**
Interim dividend of 2.0p per shareconsistent with the previous year.
5. **Long-Term Performance**
A £1,000 investment 20 years ago would now be worth £15,317, compared to £3,808 in the FTSE All-Share Index, demonstrating significant outperformance.
6. **Portfolio Composition**
57 investments focused on mission-critical B2B software and technology-enabled services, with strong growth and profitability metrics.
7. **Outlook**
Resilient trading performance expected, driven by the mission-critical nature of portfolio companies products and services.
Continued focus on selective investments and M&A opportunities, with market volatility potentially creating new opportunities.
8. **Governance and Sustainability**
Increased focus on sustainability as a value creation tool, with Hgs responsible investment approach rated highly by UNPRI.
Appointment of Graham Paterson as a new Non-Executive Director to strengthen the Board.
HgT remains committed to delivering consistent long-term returns, leveraging its strong portfolio and strategic investment approach to navigate macroeconomic challenges.