|
British Smaller Cos VCT PLC and British Smaller Cos VCT 2 PLC on Friday pointed to ‘sticky inflation’ as they reported muted results in the first half of financial 2026, and the third quarter of 2025, respectively. Both are venture capital investment firms managed by Leeds, England-based YFM Private Equity Ltd, known as YFM Equity Partners. British Smaller Cos VCT reported a slightly lower net asset value per share at the end of September, as the figure slipped to 80.05 pence from 80.55p at the end of March. On a total return basis, it reported an increase of 1.50p per share. The firm noted that it had paid a 2.00p per share quarterly dividend during the period, citing this for the lower NAV per share result. It has declared a second-quarter dividend of 2.00 pence per share, to be paid on December 19. This is expected to reduce its last reported NAV per share by a further 5.0% to 78.05p. The total payout for the first half is 24% lower than a year ago, with the first two interim dividends amounting to 4.00p, down from 5.25p on-year. Meanwhile, British Smaller Cos VCT 2 updated on trading in its third quarter, which ended in September. Its NAV per share stood at 55.40p as of September 30, edging up 0.6% from 55.05p at the end of June and reflecting a total return per share of 0.35p. In October, VCT 2 paid a dividend of 1.50p per share, reducing its last reported NAV per share to 53.90p. ‘The short to medium term economic outlook remains impacted by concerns around sticky inflation and pressures on fiscal headroom, which contribute to an uncertain picture at this stage,’ commented Rupert Cook, who chairs British Smaller Cos VCT. Still, Cook said: ‘It is encouraging to see several of the underlying holdings in the portfolio delivering strong levels of growth, as they develop their offerings and take on more customers in new and existing markets.’ ‘With a well-positioned portfolio and a new fundraising offer that has been well-received to date by existing and new shareholders, we retain our optimism for the company’s future prospects as it moves into the second half of its financial year,’ he added. Contributors for the period included Summize Ltd, a contract management software provider, online financial advice platform Unbiased Ltd and purified water distributor Spotless Water Ltd. Their performance was offset by devaluations for data integrator Matillion Ltd, consulting software firm Vuealta Ltd and visual effects developer Outpost VFX Ltd, ‘which continues to navigate industry-specific challenges arising from the Hollywood writers’ strike.’ British Smaller Cos VCT did not post any realisations in the first half, with no proceeds on its exit from video production company Wooshii Ltd. In October, the investment firm realised its holding of e-learning company Elucidat Ltd, with proceeds of £5.5 million received so far. British Smaller Cos VCT shares were down 2.0% at 72.00p at around midday on Friday in London. Shares in VCT 2 were flat at 51.00p. Copyright 2025 Alliance News Ltd. All Rights Reserved.
|
