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HgCapital Trust PLC on Monday reported flat net asset value returns for the first half of 2025 despite double-digit growth across its portfolio, as market volatility weighed on valuations. London-based HgCapital Trust provides access to the private equity investments of manager Hg. The firm said NAV per share slipped 0.4% to 539.5 pence at June 30 from 545.5p at December 31, 2024, while NAV total return was negative 0.4% against a positive 9.1% for the FTSE All-Share benchmark. The trust declared an interim dividend of 2.0p per share, unchanged from a year prior. Net assets stood at £2.5 billion, unchanged from December 31, with the share price down 3.8% in the half year. By August 31, NAV per share edged up to 541.2p. Portfolio companies posted 19% revenue growth and 18% earnings before interest, tax, depreciation, and amortisation growth over the 12 months to June, with average margins of 33%. Investments totalled £306 million in the half, while realisations were £165 million. Chair Jim Strang said portfolio trading remained ‘robust’ despite macroeconomic uncertainty, including political change in the US. Head of Research David Toms added that market volatility could create new M&A opportunities. ‘The core attraction of this sector remains the ability to deliver sustainable earnings growth through a variety of market environments and against some extremely volatile macro-economic backdrops,’ Toms said. Looking ahead, HgCapital said trading remains resilient and it continues to see ‘long-term opportunity,’ particularly as businesses seek to automate workflows and improve productivity. Shares in HgCapital Trust were up 0.7% at 499.94 pence in London on Monday morning. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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