B.P. Marsh & Partners PLC, the niche venture capital provider to early stage Financial Services businesses, announces its audited Group final results for the year to 31 January 2016.
The highlights of the results are:
- Increase in the Equity Value of the Portfolio of 23.8% over the year
- Net Asset Value of £70.8m (31 January 2015: £63.0m), a 12.4% increase, net of Dividend
- Net Asset Value increase to 243p per share (31 January 2015: 216p)
- Total return to Shareholders in the year of 13.7% (2015: 8.2%)
- Consolidated profit after tax of £8.7m (31 January 2015: £4.9m), a 76% increase
- Average Net Asset Value annual compound growth rate of 11.4% since 1990
- Final Dividend of 3.42p per share declared (31 January 2015: 2.75p), a 24.4% increase
- Cash and treasury funds balance of £5.3m, with additional cash of £7.3m expected in July
- New investment in South Africa
- Additional investment in Nexus
- Post year-end investment in Asia
“We have concluded a year in which our Company has developed considerable confidence. The portfolio businesses are performing well as we support them in their development, we have interesting new investment opportunities in the pipeline and a healthy supply of cash.”
Brian Marsh OBE, Chairman
Group Valuation chart (£million)
The valuations from 31 July 2007 include £10.1million net proceeds raised on AIM and all valuations below are net of deferred tax.
I am pleased to present the audited Consolidated Financial Statements of B.P. Marsh & Partners Plc for the year ended 31 January 2016.
In February we celebrated the tenth anniversary of our Admission to AIM, which gave us pause to reflect on our progress over those ten years.
During the past decade the Group has endured the global financial crisis and emerged from those difficult times with a renewed intent to grow our portfolio, to deliver positive returns to our shareholders and position the business for the years to come.
I believe we have been making good progress and I am gratified, therefore, to report a strong set of results for the year to 31 January 2016.
At the current time, we have a portfolio of 13 investments. Amongst them are some very strong performers and some interesting growth opportunities and this is demonstrated by the increase in value of the equity portfolio of 23.8% in the year to January 2016. The inflow of interesting new proposals and opportunities to grow our portfolio businesses is currently very strong and we have taken steps in recent months to dispose of some non-core holdings in order to redeploy the capital more effectively. In addition, we expect to receive further cash from realisations of £7.3m in July, so we are well-placed to act on these opportunities.
In the past three years we have expanded geographically and now hold investments across four continents, in Australia, South Africa, Europe and Asia. Our overseas investing strategy is focused on those areas where we see opportunity for businesses to grow in partnership with a London-based investor, coupled with a suitably developed regulatory and compliance environment. We give careful thought, of course, to our resource and ability to properly manage overseas investments, to ensure that we are able to devote sufficient time and energy to enabling them to grow, given that as much as 75% of the underlying revenues of our portfolio companies emanate from overseas.
We have maintained our record in increasing NAV and the average annual compound growth rate since 1990 is 11.4%.
Our management team have, in the main, been with us throughout the decade and between them have developed considerable experience in our industry.
Four years ago we began taking steps to reduce the discount to NAV by beginning to offer a dividend, by instituting modest share buy-backs and by ensuring our story is heard more widely to attract new investors. It is pleasing to note that we have rewarded our loyal shareholders with a total shareholder return of 13.7% in the year, in comparison with 8.2% in the previous year.
Following discussions with the Board and our advisors and in recognition of the Company’s recent growth and development I have begun a programme of gifting shares to the Marsh Christian Trust, the grant-making charity, in order that the Trust has these shares available for sale, which should increase liquidity in the Company’s shares.
For the Group’s full results, please click here.
Share Price – NAV Price chart
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