Final Results for the financial year ended 31 March 2018

Embargoed until 7:00am on 22 May 2018

ICG fundraising and capital deployment at record levels

Intermediate Capital Group plc (ICG) announces its final results for the year ended 31 March 2018.

Operational highlights

  • Total AUM up 20% to €28.7bn, with €7.8bn of new money raised, driven by our Senior Debt Partners strategy raising €4.2bn and growing momentum across our European capital markets strategies.
  • Third party fee earning AUM up 12% in the year to €21.0bn.
  • Strong deployment across strategies, up 21% to €4.9bn. Continued focus on investment discipline in a competitive market.
  • Portfolios continue to perform well with all funds on course to meet or exceed applicable hurdle rates.
  • Excellent start to the new financial year. Europe Fund VII fundraising is well advanced, with €2.6bn raised to date. With a target size of €4bn we are scaling this strategy to reflect the level of investment opportunities.

Financial highlights

  • Fund Management Company profits up 29% to £95.3m (2017: £74.0m), with third party fee income¹ up 21%.
  • Investment Company profits lower at £103.8m (2017: £178.4m), due to lower investment income.
  • Group profit before tax of £199.1m (2017: £252.4m); Adjusted Group profit before tax¹ was £168.3m (2017: £236.2m).
  • Earnings per share of 88.8p (2017: 74.5p) are higher due to deferred tax accounting credits; Fund Management Company 44.9p (2017: 21.6p) and Investment Company 43.9p (2017: 52.9p).
  • Final ordinary dividend up 8% to 21.0 pence per share. Total ordinary dividends in the year up 11% to 30.0 pence per share.

Commenting on the results, Benoît Durteste, CEO, said:

“This is another year of impressive performance and successful delivery of our strategy. With AUM at a record €28.7bn, up 20%, and both fundraising and capital deployment at record levels, we continue to deliver on our commitments to investors and shareholders. This momentum has continued into the new financial year. The market environment continues to be supportive of both our existing and new strategies and we see strong, ongoing demand from investors, as well as attractive investment opportunities for our funds. Our demonstrated ability to innovate and add new strategies to our portfolio has increased our diversification and resilience, and has further contributed to our credibility and attractiveness with investors. We have become a global platform and are well placed to build on this success.”

Commenting on the results, Kevin Parry, Chairman, said:

“These results are further evidence of our status as a leading specialist asset manager. Fundraising continues to be excellent as investors have trusted us with their funds due to our sustained investment outperformance. The strength of our fund management business allows the Board to recommend an 11% increase in the full year dividend.”

¹ These are non IFRS GAAP alternative performance measures and represent internally reported numbers excluding the impact of the consolidation of 14 structured entities funds following the adoption of IFRS 10. Further details can be found on page 7 of the full announcement.

Read the full announcement