TORONTO, Feb. 13, 2024 (GLOBE NEWSWIRE) — Clairvest Group Inc. (TSX:CVG) today reported results for the fiscal 2024 third quarter and nine months ended December 31, 2023. (All figures are in Canadian dollars unless otherwise stated)
Highlights
December 31, 2023 book value was $1,150.3 million or $78.38 per share compared with $1,181.0 million or $78.61 per share as at September 30, 2023
Net loss for the quarter ended December 31, 2023 was $5.0 million or $0.34 per share
Net loss for the nine months ended December 31, 2023 was $29.5 million or $1.97 per share
Clairvest repurchased for cancellation 340,100 shares from a passive shareholder for a total cost of $25.2 million
Clairvest’s book value was $1,150.3 million or $78.38 per share as at December 31, 2023, compared with $1,181.0 million or $78.61 per share as at September 30, 2023. For the quarter ended December 31, 2023, Clairvest recorded a net loss of $5.0 million, or $0.34 per share, which was primarily driven by a net decrease in the valuation of Clairvest’s private equity investment portfolio. Also during the quarter, Clairvest purchased and cancelled 349,300 common shares at an average price of $74/share, or a total cost of $25.8 million, which added $0.11 per share to the book value.
For the nine months ended December 31, 2023, Clairvest recorded a net loss of $29.5 million, or $1.97 per share. The net loss for the nine months was primarily driven by a net decrease in the valuation of Clairvest’s private equity investment portfolio over the corresponding period, net of one investment realization which was recorded in the second quarter of fiscal 2024.
“We continue to be in a tricky and inconsistent economic environment. On one hand, many of our portfolio companies are doing terrific, growing top and bottom line ahead of market growth. In contrast, others are struggling with various operating issues, higher interest expense, cost inflation in specific categories and sluggish top line growth, depending on the sector. In aggregate, the combination of issues, along with the regulatory setback we faced in India, has stagnated growth in our book value per share over the last 1 ½ years. On the new deal front, after a slow start to the fiscal year, activity has picked up as bid-ask spreads have narrowed. Clairvest liquidity remains very strong and we are excited to be investing capital at this time,” said Ken Rotman, CEO & Managing Director of Clairvest.
Summary of Financial Results – Unaudited
Financial Results
Quarter ended
Nine months ended
December 31
December 31
2023
2022
2023
2022
($000’s, except per share amounts)
$
$
$
$
Net investment loss
(19,116
)
(26,504
)
(41,409
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