**Summary of Baillie Gifford US Growth Trust PLC Annual Results (12 August 2025):**
**Performance Highlights**
**Share Price & NAV Returns** The trust delivered a 24.5% share price return and a 22.1% net asset value (NAV) return for the year ended 31 May 2025, significantly outperforming the S&P 500 Indexs 7.2% total return (in sterling terms).
**Five-Year Performance** Over five years, the share price returned 26.7% and NAV returned 45.4%, compared to the S&P 500s 92.1%. While the five-year performance is below expectations, portfolio enhancements have been implemented to improve future results.
**Since Inception (March 2018)** Share price and NAV total returns are 138.3% and 170.0%, respectively, matching the S&P 500s 170.1% return.
**Portfolio Overview**
**Private Company Investments** As of 31 May 2025, private company investments comprised 34.9% of total assets, with 27 holdings. New private investments include Rippling, Runway AI, and Cosm.
**Listed Holdings** Five new listed companies were added: DraftKings, Globant, Lineage, SharkNinja, and The Ensign Group.
**Sales** 10X Genomics, Coursera, HashiCorp, and Sprout Social were sold during the period.
**Financial Metrics**
**Total Assets** £780.9 million (before deduction of loans of £37.1 million).
**Gearing** Decreased from 5% to 4% over the year.
**Revenue & Dividends** Net revenue return per share was negative 2.54p, leading to no final dividend. The focus remains on long-term capital growth.
**Strategic Initiatives**
**Share Buybacks** 16 million shares were bought back for £35.5 million, representing 5.4% of issued share capital.
**Discount Management** The discount to NAV narrowed from 11.2% to 9.4% during the year.
**Requisitioned General Meeting** A shareholder requisition led to a general meeting in February 2025, with total costs of £319,000.
**Investment Strategy**
**Long-Term Focus** Emphasis on patience, conviction-led investing, and growth-oriented companies.
**Technology & Innovation** The trust focuses on companies leveraging technology to reshape industries, with a strong belief in the potential of AI and other structural growth drivers.
**Cultural Foundations** Companies with strong foundational and created cultures are prioritized for their resilience and adaptability.
**Outlook**
**Opportunities** The year ahead presents significant opportunities, particularly in technology-driven industries.
**Optimism** The trust remains optimistic about its ability to deliver long-term returns for shareholders, supported by patient capital and a focus on visionary companies.
**Key Risks**
**Financial Risk** Market volatility, geopolitical tensions, and macroeconomic factors remain high-risk areas.
**Private Company Risk** Liquidity and valuation challenges associated with private investments are managed through robust valuation methodologies and limits on exposure.
**Discount Risk** The trust continues to monitor and manage the discount to NAV through share buybacks and other strategies.
**ESG Integration**
**Sustainability** ESG factors are integrated into the investment process, with a focus on long-term sustainability and societal expectations.
**Board and Governance**
**Board Composition** Ms. Palmer resigned, and succession planning is ongoing.
**Shareholder Engagement** Regular meetings and digital platforms are used to maintain transparency and engagement with shareholders.
**Conclusion**
Baillie Gifford US Growth Trust PLC demonstrated strong performance in the fiscal year 2025, outperforming the S&P 500 Index. The trust continues to focus on long-term growth opportunities, particularly in technology and innovation, while managing risks and maintaining shareholder engagement. The outlook remains positive, with a commitment to delivering value through patient capital and strategic investments.
| Metric | 2024 | 2025 | Change |
|---|---|---|---|
| Total Assets (£ million) | 678.2 | 780.9 | +15.1% |
| Net Asset Value (NAV) per share (pence) | 216.65 | 264.48 | +22.1% |
| Share Price Total Return (%) | 26.7 | 24.5 | -8.2% |
| NAV Total Return (%) | 45.4 | 22.1 | -51.3% |
| Borrowings (£ million) | 39.3 | 37.1 | -5.6% |
| Gearing (%) | 5 | 4 | -20% |
| Private Company Investments (% of total assets) | 34.1 | 34.9 | +2.3% |