As at end of June this year, the equity and net asset value of INVL Technology, a company that invests in IT businesses, amounted to EUR 37.9 million, while equity value per share was EUR 3.1409. These indicators have decreased by 0.95% since the beginning of the year.
The company’s net loss in the first half of 2023 stood at EUR 0.44 million, compared to a net profit of EUR 1.28 million in the same period last year. Decreased success fee provision of EUR 2.3 million had a positive impact on the 2022 H1 results.
“The strong performance of the business holdings in the first half year and contracts signed with international customers allow the companies NRD Companies and NRD Cyber Security to anticipate a fast growth rate, higher profitability and a significant value gain this year. The companies of the Novian group, which mostly operate in the Baltic and Nordic countries, are expected to achieve somewhat more moderate results,” says Kazimieras Tonkūnas, Managing Partner at INVL Technology.
INVL Technology carries out a full financial valuation of its assets at the end of the financial year. The company’s business outlook and value dynamics are reflected in the interim reports of the holdings.
Performance of INVL Technology’s business holdings
The aggregated revenue of the companies managed by INVL Technology amounted to EUR 29 million in the first half of 2023, having increased by 34.2% year-on-year. Their gross profit grew by 42.4% to EUR 8.1 million during the comparative period, while the aggregated EBITDA reached EUR 1 million, respectively an increase of 9.2 times.
The revenue of these companies generated in Lithuania accounted for 58% of the total and came to EUR 16.8 million, showing a 13.3% increase in H1 year-on-year, while the revenue outside Lithuania grew by 79.3% to EUR 12.3 million, respectively.
During the reporting period, enterprises of NRD Companies posted a consolidated revenue of EUR 6.2 million, almost doubling it year-on-year. The group’s EBITDA amounted to EUR 0.6 million, respectively, reversing a negative result of EUR 0.4 million reported a year earlier.
The consolidated revenue of NRD Cyber Security reached EUR 2.8 million in the first half of 2023, a 13.7% increase year-on-year, while EBITDA climbed by 52.7% to EUR 0.4 million, respectively.
In the first half of 2023, the Novian group reported an aggregated revenue of EUR 18.5 million, up 27.6% from the same 2022 period. The group’s EBITDA reached EUR 0.2 million, a rise of 25.9%, respectively.
Revenue of Novian software development companies was EUR 4.3 million in the first half of 2023, up 19.8% year-on-year, and EBITDA was negative at EUR 0.3 million, while a year ago this negative indicator stood at EUR 0.17 million. This year’s EBITDA result was determined by the enlarged scope of one of the software development projects, devoted to the development of the public procurement information system in Lithuania. The Novian group comprises technology, software development and digitisation service companies.
INVL Technology manages NRD Cyber Security (a cybersecurity company), NRD Companies (a GovTech company) and Novian (a Baltic IT company).
INVL Technology is a closed-end investment company traded on the secondary list of the Nasdaq Vilnius stock exchange (INC1L). It is managed by INVL Asset Management. INVL Technology’s investments will be realised by 14 July 2026, the proceeds will be paid out to shareholders, and the fund will be wound down.
