Alantra reports half year revenues of €83.8m (-28.3%) and net profit of €4.1m (-81.3%)

Results and Balance Sheet

• The Group’s H1 net revenues came in at €83.8m (-28.3% YoY), primarily due to significantly lower net revenues in Investment Banking (€52.6m, -27.3% YoY) and Credit Portfolio Advisory (€15.3m, -45.6% YoY). Asset Management revenues decreased by 8.1% YoY to €14.8m.
  
  Although overall deal activity in the second quarter slightly improved compared to the first one, the market environment remains challenging, with M&A volumes at very low levels (40% below H1 2022¹). Equally, the financial and monetary context is negatively affecting fundraising efforts for the Asset Management business.

• Operating expenses in H1 decreased to €79.9m (-14.1%), driven by lower variable compensation (-57.6% YoY), which is linked to performance.
• H1 net profit attributable to the parent company stood at €4.1m (-81.3% YoY), of which €2.9m corresponded to the fee business, €0.5m to the portfolio, and €0.7m to other businesses.
• As of 30 June 2023, the Group maintained a solid balance sheet with a net treasury position of €125.3m², and, additionally, €38.4m of an attributable portfolio of investments in products managed by the Group³. The Group has no leverage.
  
  Shareholders’ equity amounted to €285.9m.

Strategic transformation and business milestones

• This year, the Group has started a strategic transformation and reorganization process, implementing strategic measures to promote stronger integration and strengthen sector and product specialization across all business divisions, including:
  • The management of the Investment Banking division and certain corporate services having moved to London. The London office accommodates more than 180 professionals, covering M&A, Debt, Credit Portfolio Advisory, Structured Finance, and Asset-Backed Securitizations;
  • The hire of 22 senior professionals;
  • The addition of a team specialized in energy transition;
  • And the development of an advanced technological offering covering Corporate Venture Capital, Data Analytics, Venture Building & VC Raising.
• Alantra advised on a total of 86 transactions year-to-date, of which the Investment Banking division advised on 62 deals (-13% YoY) and the Credit Portfolio Advisory division on 24 deals (+14% YoY).
• As of 30 June 2023, assets under management from consolidated businesses stood at €2.2bn, while assets under management from Strategic Partnerships were more than €13.7bn.

[1] Source: Dealogic; Global M&A activity H1 2023

[2] (i) €97.0m of cash and cash equivalents and (ii) €28.3m invested in a monetary fund included under non-current financial assets

[3] Included under non-current financial assets