In This Article:
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Fundraising: EUR4.3 billion raised in 2024, a 23% increase year-on-year.
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Fee Paying AUM: Up 12% in 2024.
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Management Fees: EUR421 million in 2024, up 7% from the previous year.
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FRE Margin: Increased by 110 basis points to 35.5% in 2024.
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Dividend: Increased by 10% to EUR2.42 per share in 2024.
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Share Buyback Program: Reached EUR210 million in 2024, proposed to double to EUR400 million in 2025.
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Asset Management Contribution: EUR153 million in 2024, up 20% year-on-year.
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Portfolio Value: EUR7.9 billion at the end of 2024, down 5%.
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Buyout Portfolio Performance: Revenue and EBITDA growth of 9% and 27% respectively in 2024.
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Growth Portfolio Revenue Growth: 14% in 2024.
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Real Assets EBITDA Growth: 11% in 2024.
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Realization Volume: Tripled year-on-year to EUR3.4 billion in 2024.
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Net Loss: EUR430 million for 2024.
Release Date: March 06, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Eurazeo SE (EUZOF) reported a 23% increase in fundraising, reaching EUR4.3 billion, surpassing their guidance of EUR4 billion.
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Fee-paying assets under management (AUM) from third parties increased by 12%, and management fees from third parties rose by 14%.
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The company improved its operational efficiency, with the FRE margin gaining 110 basis points to reach 35.5%, aligning with their medium-term guidance.
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Eurazeo SE (EUZOF) increased its ordinary dividend by 10% to EUR2.42 per share and significantly expanded its share buyback program to EUR400 million for 2025.
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The company maintained top rankings in sustainability benchmarks and strengthened its line of impact funds, with the Eurazeo transition infrastructure fund closing 40% above its initial targets.
Negative Points
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The net value of Eurazeo SE (EUZOF)'s portfolio decreased by 5% in 2024, with a negative contribution of EUR544 million from the investment company.
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The company faced a write-off of two legacy assets, WorldStrides and Tori, impacting the portfolio's value by EUR320 million.
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Despite strong earnings growth, there was a compression in valuation multiples for some assets, particularly in the second half of 2024.
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The growth equity portfolio required further adjustments, with significant markdowns on smaller legacy lines.
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The company's real estate value creation was limited to 1% in 2024, with adjustments in the office segment affecting overall performance.
Q & A Highlights
Q: Could you elaborate on the multiple compression in H2 2024, particularly regarding WorldStrides? A: William Kadouch-Chassaing, Co-CEO, explained that while earnings growth was strong, certain assets like WorldStrides faced valuation adjustments due to capital structure issues. WorldStrides, affected by COVID-19, did not meet its business plan, leading to a tense capital situation and a significant markdown of EUR275 million.