Intermediate Capital Group plc: Q1 Trading Statement for the three months ended 30 June 2024

Intermediate Capital Group plc
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Intermediate Capital Group plc

ICG plc

16 July 2024

Q1 update for the three months ended 30 June 2024

 

 

 

 

AUM increases to $101bn

 

 

Highlights

  • AUM of $101bn; fee-earning AUM of $70bn; AUM not yet earning fees of $18bn

  • Strong quarter of fundraising, with $4.7bn raised driven by SDP ($2.1bn) and Strategic Equity V ($1.4bn)

  • Elevated transaction activity compared to Q1 FY24, with deployment1 of $3.9bn (Q1 FY24: $1.0bn) and realisations1,2 of $2.5bn (Q1 FY24: $0.6bn)

  • Expectations remain unchanged from our FY24 results

  • Marking a decade of responsible investing at ICG with the publication of our latest Sustainability and People Report, available here


Unless otherwise stated the financial results discussed herein are on the basis of alternative performance measures (APM) basis; see full year results
1 Direct investment funds; 2 Realisations of fee-earning AUM

 

PERFORMANCE REVIEW

 

AUM

 

 

 

 

 

 

 

Growth1

 

 

30 June 2024

Last three months

Year-on-year

Last five years (CAGR)

 

AUM

$101bn

3.0%

23.7%

19.5%

 

Fee-earning AUM

$70bn

—%

10.0%

15.9%

 

 

 

 

 

 

 

1 On a constant currency basis

 

 

 

 


 

Business activity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$bn

Fundraising

 

Deployment1

 

Realisations1,2

 

Q1 FY25

LTM

 

Q1 FY25

LTM

 

Q1 FY25

LTM

 

Structured and Private Equity

1.8

6.4

 

2.8

4.4

 

0.7

1.5

 

Private Debt

2.1

6.2

 

1.0

4.5

 

1.7

3.1

 

Real Assets

0.3

1.2

 

0.1

2.2

 

0.1

0.9

 

Credit

0.5

2.3

 

—

—

 

—

—

 

Total

4.7

16.1

 

3.9

11.1

 

2.5

5.5

 

 

 

 

 

 

 

 

 

 

 

1 Direct investment funds; 2 Realisations of fee-earning AUM

PERIOD IN REVIEW

AUM and FY25 fundraising

AUM of $101bn

AUM ($m)

Structured and Private Equity

Private Debt

Real Assets

Credit

Seed investments

Total

At 31 March 2024

40,872

28,302

10,815

17,944

499

98,432

Fundraising

1,807

2,109

277

540

—

4,733

Other additions

249

75

7

—

—

331

Realisations

(692)

(694)

(77)

(220)

—

(1,683)

Market and other movements

(839)

(140)

289

(47)

—

(737)

Balance sheet movement

(89)

(20)

1

13

14

(81)

At 30 June 2024

41,308

29,632

11,312

18,230

513

100,995

Change $m

436

1,330

497

286

14

2,563

Change %

1.1%

4.7%

4.6%

1.6%

2.8%

2.6%

Change % (constant exchange rate)

1.4%

5.1%

4.9%

2.0%

2.6%

3.0%

Fee-earning AUM of $70bn

Fee-earning AUM ($m)

Structured and Private Equity

Private Debt

Real Assets

Credit

Total

At 31 March 2024

28,334

15,910

7,733

17,681

69,658

Funds raised: fees on committed capital

1,339

—

181

—

1,520

Deployment of funds: fees on invested capital

243

1,007

58

578

1,886

Total additions

1,582

1,007

239

578

3,406

Realisations

(652)

(1,694)

(107)

(261)

(2,714)

Net additions / (realisations)

930

(687)

132

317

692

FX and other

(160)

(251)

(330)

(44)

(785)

At 30 June 2024

29,104

14,972

7,535

17,954

69,565

Change $m

770

(938)

(198)

273

(93)

Change %

2.7%

(5.9%)

(2.6%)

1.5%

(0.1%)

Change % (constant exchange rate)

3.1%

(5.7%)

(2.3%)

2.0%

0.2%

The bridge between AUM and fee-earning AUM is as follows:

$m

Structured and Private Equity

Private Debt

Real Assets

Credit

Seed investments

Total

Fee-earning AUM

29,104

14,972

7,535

17,954

—

69,565

AUM not yet earning fees

3,245

13,827

627

477

—

18,176

Fee-exempt AUM

6,768

664

2,641

—

—

10,073

Balance sheet investment portfolio1

2,191

169

509

(201)

513

3,181

AUM

41,308

29,632

11,312

18,230

513

100,995

1 Includes elimination of $616m (£487m) within Credit due to how the balance sheet investment portfolio accounts for and invests into CLO's managed by ICG and its affiliates

  • $27.9bn of AUM available to deploy in new investments ("dry powder"), of which $18.2bn was not yet earning fees

  • At 30 June 2024, closed-end funds and associated SMAs that were actively fundraising included SDP V; Strategic Equity V; North America Credit Partners III; Europe Mid-Market II; Infrastructure Europe II; Life Sciences I; and various Real Estate equity and debt strategies. During the remainder of FY25 we expect to hold final closes for a number of those including SDP V, Strategic Equity V, North America Credit Partners III and Infrastructure II. We anticipate launching a number of funds during FY25 including Core Private Equity and Europe IX. The timings of launches and closes for these funds depends on a number of factors, including the prevailing market conditions

Balance sheet

  • The balance sheet investment portfolio generated positive net investment returns over the quarter, and at 30 June 2024 was valued at £3,003m. The reduction in absolute value compared to 31 March 2024 was largely due to net realisations during the period, as well as the impact of FX

£m

31 March 2024

30 June 2024

Structured and Private Equity

1,807

1,720

Private Debt

149

134

Real Assets

402

402

Credit

318

341

Seed investments

394

406

Balance sheet investment portfolio

3,070

3,003

  • At 30 June 2024 the Group had total available liquidity of £1,129m (FY24: £1,124m), comprised of £579m available cash (FY24: £574m) and a £550 committed liquidity facility. During the quarter the Group repaid £137m of debt that matured

FOREIGN EXCHANGE RATES

 

Average rate

Period end

 

Q1 FY24

Q1 FY25

31 March 2024

30 June 2024

GBP:EUR

1.1561

1.1753

1.1697

1.1802

GBP:USD

1.2570

1.2626

1.2623

1.2645

EUR:USD

1.0874

1.0743

1.0792

1.0714

COMPANY TIMETABLE

Half year results announcement

13 November 2024

 

 

ENQUIRIES

Shareholders and debtholders / analysts:

 

Chris Hunt, Head of Corporate Development and Shareholder Relations, ICG

+44(0)20 3545 2020

Media:

 

Fiona Laffan, Global Head of Corporate Affairs, ICG

+44(0)20 3545 1510

This results statement may contain forward looking statements. These statements have been made by the Directors in good faith based on the information available to them up to the time of their approval of this report and should be treated with caution due to the inherent uncertainties, including both economic and business risk factors, underlying such forward looking information.

ABOUT ICG

ICG provides flexible capital solutions to help companies develop and grow. We are a global alternative asset manager with over 30 years' history, operating across four asset classes: Structured and Private Equity, Private Debt, Real Assets, and Credit.

We develop long-term relationships with our business partners to deliver value for shareholders, clients and employees. We are committed to being a net zero asset manager across our operations and relevant investments by 2040.

ICG is listed on the London Stock Exchange (ticker symbol: ICG). Further details are available at www.icgam.com.