NAXS Year-end Report 2020

January-December 2020

  • Net profit for the year amounted to MSEK 24.1 (37.1).
  • Earnings per share amounted to SEK 2.16 (3.24).
  • Net
    asset value amounted to MSEK 679 (SEK 60.87 per share) at December 31,
    2020, compared to MSEK 710 (SEK 63.63 per share) at December 31, 2019.
  • Net
    cash amounted to MSEK 219 (SEK 19.65 per share) at December 31, 2020,
    compared to MSEK 230 (SEK 20.60 per share) at December 31, 2019.
  • The 2020 Annual General Meeting resolved to pay a dividend of SEK 3.00 per share for FY 2019.

Fourth quarter 2020

  • Net profit/loss for the quarter amounted to MSEK 30.1 (10.8).
  • Earnings per share amounted to SEK 2.70 (0.96).

Distribution of profits
The Board of Directors proposes a dividend of SEK 3.00/share for the fiscal year 2020.
In addition, the Board of Directors proposes to the Annual General Meeting to vote on a continued share repurchase mandate.

Comments by the CEO
net asset value was unchanged over the twelvemonth period despite a
difficult environment. However, during the course of the year the
development of the NAV was all but flat as it experienced a major drop
in the second quarter followed by rapid recovery during the third
quarter followed by a stable period in the fourth quarter. This
reflected the general recovery that began during the summer. Despite the
second wave of the Covid-19 pandemic during the second half or the
year, the stock markets have exhibited strength while the private equity
markets can be considered to have handled the related challenges well.

the second half of the year NAXS made two new commitment to private
equity buyout funds, Nordic Capitals Fund X and the newly established
Equip Fund I. Equip is focusing on the small/midcap segment in the
Nordic region, primarily Norway and Sweden. In addition, NAXS made a
co-investment in Pret Panera Company alongside JAB Holding and other
investors. NAXS is an investor in the two latest JAB’ funds.
As to
the underlying funds, they acquired 9 new portfolio companies and signed
or closed 8 exits during 2020. A notable partial exit took place in the
midst of the pandemic in May, with the listing of JDE Peet’s, a JAB
Consumer Fund II portfolio company, on Euronext Amsterdam in one of the
largest IPOs of 2020.
In June, NAXS paid a dividend of SEK
3.00/share. The Company has now distributed a cumulative SEK 25.47 per
share over the last 5 years to its shareholders through dividends and
share repurchases.

At the end of 2020, NAXS had in excess of 32%
of cash on its balance sheet, which leaves the Company well-positioned
to continue to take advantage of potential investment opportunities.
Lennart Svantesson