Realized and unrealized value increases in the company’s listed (Core Investments) and unlisted (Private Equity) holdings were the main contributing factors behind Investor’s net income of SEK 7.4 bn. for the quarter.

Core Investments contributed about SEK 4 bn., mostly through value appreciation in the majority of the holdings, notably within Electrolux, Scania and SEB, while Private Equity had an effect of SEK 3.6 bn., with strong performances and healthy value appreciation of holdings within Investor Growth Capital and EQT’s funds.

Activity was also intense within the Operating Investments business area, consisting of unlisted companies in which Investor has a controlling interest. Value creation plans are now in place for the newest additions to the business area – the Gambro companies and Mölnlycke Health Care (closed March 30). Mobile broadband operator 3 Scandinavia showed promising performance, with +60,000 subscribers (net) since January 1, higher revenue per user and good sales momentum for its new high-speed mobile broadband service. The Grand Hotel also wrapped up the quarter with improved income, with sales leveraged by strong demand within its restaurant business.

Flexibility and readiness to act

“We finished a strong first quarter boosted in particular by our private equity holdings, notably within EQT’s funds, although the majority of our listed Core Investments also performed well. We’re naturally pleased that our NAV reached an all time high,” commented CEO Börje Ekholm.

“Investor also ended the quarter with a strong balance sheet, with net debt totaling SEK 8.0 bn., or 5 percent of total assets. However, it should be kept in mind that we will receive approximately SEK 6.6 bn. in dividends and share redemptions from holdings over the next few months, which will reduce this debt. Investor’s flexibility and readiness to act on market opportunities remains solidly in place," ends Börje Ekholm.

Information updated 2007-11-14 09:10:36