Last close As at 05/08/2026
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Research: Financials
FinLab’s H118 results were influenced by the fall in Heliad Equity Partners’ share price and limited revaluation of non-listed holdings. However, after the balance sheet date FinLab announced several positive developments, including the partial profitable exit from Deposit Solutions and new financing rounds at several holdings. According to management, these should translate into NAV/share of around €23 at end-September 2018, ie c 18% higher than the figure as at end-June 2018. Based on this estimate, FinLab is currently trading at an 11% discount to end-September NAV.
FinLab |
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Several holdings complete financing rounds
FinLab’s H118 results were influenced by the fall in Heliad Equity Partners’ share price and limited revaluation of non-listed holdings. However, after the balance sheet date FinLab announced several positive developments, including the partial profitable exit from Deposit Solutions and new financing rounds at several holdings. According to management, these should translate into NAV/share of around €23 at end-September 2018, ie c 18% higher than the figure as at end-June 2018. Based on this estimate, FinLab is currently trading at an 11% discount to end-September NAV.
H118 results: Net profit down amid lower write-ups
In H118, FinLab reported improved EBIT at €1.02m (vs €0.30m in H117) on the back of a higher dividend from Heliad Equity Partners and the performance fee from Heliad Management. However, net profit declined by 45.7% y-o-y to €1.6m as a result of lower write-ups (primarily related to the revised valuation in conjunction with the next funding round of nextmarkets). Amid a c 21% decline in Heliad Equity Partners’ share price, the overall result (including change in revaluation reserves) was a negative €7.3m vs a positive €7.6m in H117.
New funding rounds fuel growth in NAV
Even though FinLab managed to finalise a new financing round for only one of its holdings in H118, it completed other transactions post-balance sheet date that will have a significant impact on its asset value in H218. The revaluation of Deposit Solutions, accompanied by a partial exit, should add €3 to company’s NAV per share alone. FinLab has also completed a capital increase on its own behalf, issuing 250k new shares at €20.75 each in April 2018. The €5.2m in proceeds should enable further investments. With the acquisition of awamo, FinLab’s fintech portfolio reached 10 holdings compared with management’s target of 10-12 companies.
Valuation: Returning the shares’ premium to NAV
FinLab’s development is driven by its ability to grow NAV over time as earnings in any given year can be less informative due to their high volatility. In H118, it recorded a 6.3% decrease in NAV per share followed by a 17.7% drop in the share price, which saw the premium at which it trades reduced from 13.7% to null. If we remove the discount of 28.2% at end-June for Heliad Equity Partners and its stock trades in line with NAV, FinLab’s NAV increases to €22.01 per share.
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Historical financials
Source: FinLab accounts. Note: *Diluted figures. |
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