Kinnevik's net asset value remains flat in Q4

Kinnevik’s net asset value (NAV) amounted to 73.3 billion Swedish krona (7.65 billion dollars) or 265 Swedish krona (27.6 dollars) per share, down 1 percent in Q3 and up 31 percent in 2019, which the company said was largely unchanged including dividends paid over the quarter, with positive share price development in Zalando and Livongo offset by weaker share performance in Tele2 after a very strong first nine months of 2019.

“2019 was characterized by strong performance in our large listed companies and high activity in our portfolio including new and follow-on investments in exciting growth companies. We ended the year with a strong balance sheet providing us with the foundation needed to execute on our strategy,” said Georgi Ganev, CEO of Kinnevik in a statement.

Fashion platforms Zalando and Global Fashion Group post sales growth in Q3

The company added that Zalando reported Q3 2019 revenue and GMV growth of 27 percent and 25 percent respectively, with an adjusted EBIT margin of 0.4 percent, driven by strong traffic and active customer growth. Zalando confirmed its full-year outlook with GMV growth in the 20-25 percent range, and adjusted EBIT in the upper half of the initial 175-225 MEUR range.

Online fashion platform, Global Fashion Group (GFG) reported Q3 2019 NMV and revenue growth of 24 percent and 19 percent respectively, while marketplace share continued to grow representing 22 percent of NMV. The company said, active customers reached 12.4 million at the end of the quarter, a growth of 15 percent, and NMV per active customer grew by 7 percent, while number of orders grew by 21 percent to 8.5 million. The adjusted EBITDA margin was negative 2.8 percent, an improvement of 3.1 percentage points compared to last year.

Developments at Kinnevik during 2019

During the year under review, Kinnevik doubled down on its healthcare strategy by investing 2 billion Swedish krona into Livongo, Babylon, Cedar and VillageMD, invested 1.2 billion Swedish krona in Nordic online grocery platforms MatHem and Kolonial, distributed its entire 16.5 billion Swedish krona shareholding in Millicom to the shareholders, corresponding to 60 Swedish krona per share, monetized a 5 percent stake in Zalando generating gross proceeds of 5.9 billion Swedish krona, with retained shareholding amounting to 30.8 billion Swedish krona per end of 2019.

The company also said, it amended shareholder remuneration policy, ceasing to pay ordinary cash dividends in favour of paying out excess capital generated by investment activities in the form of extraordinary dividends. It made full-year investments of 4.6 billion Swedish krona whereof 1.6 billion Swedish krona into two new growth companies and 3 billion in follow-on investments in the high-performing businesses of unlisted and early growth portfolio and carried out full-year divestments of 6.2 billion Swedish krona, whereof 5.9 billion Swedish krona from Zalando and 128 million Swedish krona from Westwing.

The company also appointed Anna Stenberg as Chief People and Platform Officer, a new role in Kinnevik’s management team.

Picture:Kinnevik media centre