Kinnevik’s Interim Report 1 January – 31 March 2025
24 April 2025, 8:00 AMRegulatory information
”The start of 2025 has brought volatility and uncertainty across financial markets. This, we are used to. What we are less accustomed to is that it stems from a threat to the global trade system. We deal with it by focusing on what we can impact and control - supporting our companies and allocating our capital with discipline and a long-term perspective. Amidst the market turmoil, our core companies continued to meet our expectations on growth and margin improvements in the quarter and raised more capital to fund a continued bias towards growth. In parallel, we improved our portfolio composition by releasing capital from smaller non-core investments in defocused areas.”
Georgi Ganev, CEO of Kinnevik
Key Events
- Core companies performed in line with expectations, on average growing revenues by over 40 percent in the quarter with 5 percentage points improvements in EBITDA margins
- Mews raised EUR 70m from new investor Tiger Global alongside existing investors including Kinnevik. The raise reinforces Mews’ position at the forefront of the hospitality industry and fuels continued expansion
- In line with our strategy to focus our portfolio, we released capital from three non-core financial services investments - Sure, Lunar and XYB
- Transcarent closed its acquisition of Accolade in early April, paving a path for the combined company to become a more meaningful contributor to NAV
- The Nomination Committee proposed Kinnevik’s lead shareholder Cristina Stenbeck as new Chairman of the Board. In addition, Camilla Giesecke, Henrik Lundin and Rubin Ritter are proposed as new Board members
Investment Activities
- SEK 800m invested in the quarter, mainly into focus companies Mews, Recursion and Agreena
- Supported Transcarent’s funding round financing the acquisition of Accolade with a SEK 201m investment
- Smaller early-stage stealth software/AI investment, sourced from our network and founded by a former core company operator
- EUR 65.5m in expected proceeds from monetization of non-core financial services investments, of which EUR 32.8m (SEK 366m) recognized as divested in the quarter. Remaining half of euro-denominated proceeds is conditional on certain future return criteria, and carried in our net asset value at a discounted valuation of SEK 58m. Total impact on Net Asset Value amounts to negative SEK 397m
Financial Position
- Net Asset Value of SEK 36.2bn (SEK 131 per share), down 8 percent in the quarter (down 2 percent in constant currencies)
- Private portfolio down 10 percent driven by multiple contraction and significant currency depreciation (down 3 percent in constant currencies), somewhat offset by continued robust operational progress
- Net cash of SEK 10.5bn at end of the first quarter, with limited follow-on investment needs in the portfolio
- SEK 1.5bn in bonds repaid upon maturity during the first quarter
Organization
- Akhil Chainwala, Senior Investment Director and member of the Kinnevik management team, has decided to leave Kinnevik to set up his own India-focused investment firm. Going forward, he will serve as Advisor to Kinnevik. In this capacity, he will continue his association with TravelPerk and Mews, and continue to give input into our software strategy
A conference call will be held today at 10.00 CET to present the results. The conference call will be held in English. Those who wish to participate and ask questions during the conference call are welcome to register via the link below. Participants will receive dial-in numbers and confirmation code upon registration. Please make sure to register and dial in a few minutes before the call begins.
- Link to the listen-only webcast: https://edge.media-server.com/mmc/p/jzeet5ff
- Link to the conference call for participants: https://register-conf.media-server.com/register/BI84e3ea00727b4ca2b7b367ef1f216fb9