Tern Plc, an investment company specializing in early-stage Internet of Things (IoT) technology businesses, released its audited results for the year ended December 31, 2024. Despite challenging market conditions, the company made meaningful progress, with its core portfolio demonstrating strength and maturity. Terns unique offering provides investors with access to high-growth technology businesses typically inaccessible to AIM retail investors. The companys strategy focuses on capital distribution, capital growth, and diversification.
The portfolio review highlights the progress of Device Authority (DA), which received additional funding to enhance its IoT security platform, KeyScaler®. DA acquired new customers and expanded its presence in North America, with its annual recurring revenue (ARR) increasing by 10%. FundamentalVR (FVR) expanded its partnerships with major companies like Apple and Meta, and Talking Medicines (TM) experienced revenue and ARR growth with improved gross margins. Tern also continued its commitment to invest in Sure Valley Ventures Enterprise Capital LP (SVV2).
However, Wyld Networks faced financial difficulties and dilution, while InVMA Limited (Konektio) entered administration. Terns net assets decreased by £1.6 million to £10.7 million, primarily due to investment fair value movements and costs associated with being an AIM-quoted company. The total comprehensive loss for the year was £3.8 million. The companys financial KPIs focus on net asset value, net asset value per share, and revenue growth across the portfolio, with a commitment to supporting its core portfolio companies through growth funding rounds.