The records are stacking up at Intermediate Capital (ICP) but its shares faltered on these numbers, perhaps because historically fast-paced fundraisings look likely to slow. The group reported record assets under management of €21.6bn (£16.5bn) at the end of the period, and record profits of £61.2m at its fund management company. But the well-established European Mezzanine and Senior Debt Partners funds have hit their maximum €3bn size now, and getting newer funds up to such scale will take time.
Management said fundraising for its North American fund demanded 12 initial meetings for every investor compared to a four-to-one ratio for European Mezzanine. Future fundraising efforts will be directed towards new strategies, and the amount it expects to raise in the 2017 financial year will be below the previous two years.
Investors may also have been perturbed by the profit hit from a fair value change on hedges held by its investment company, which more than doubled year-on-year to £17.3m. Even adjusting for this and deferred considerations linked to the purchase of Longbow Real Estate Capital, pre-tax profits were down 5 per cent.
Analysts at JPMorgan expected adjusted pre-tax profits of £176m for the year to March 2017 leading to adjusted EPS of 46.7p, compared with £158.3m and 48.1p in FY2016.
| INTERMEDIATE CAPITAL (ICP) | ||||
|---|---|---|---|---|
| ORD PRICE: | 646p | MARKET VALUE: | £2.11bn | |
| TOUCH: | 646-647p | 12-MONTH HIGH: | 677p | LOW: 486p |
| DIVIDEND YIELD: | 3.6% | PE RATIO: | 15 | |
| NET ASSET VALUE: | 381p | NET DEBT: | 61% | |
| Year to 31 Mar | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2012 | 438 | 244 | 47.7 | 19 |
| 2013 | 370 | 143 | 32.1 | 20 |
| 2014 | 464 | 164 | 37.0 | 21 |
| 2015 | 426 | 179 | 50.3 | 22 |
| 2016 | 449 | 159 | 41.9 | 23 |
| % change | +5 | -11 | -17 | +5 |
Ex-div: 16 Jun Payment: 5 Aug | ||||
