- Net Asset Value (NAV) improves by 8.5% to EUR 43.5 million (balance sheet date 2019: EUR 40.1 million)
- NAV per share at EUR 6.33 as of 30 June 2020
- Accelerated demand for digital business models
Munich, 24 September 2020 – Mountain Alliance AG (ISIN DE000A12UK08) today publishes its half-year report 2020 as well as the Net Asset Value as of 30 June 2020.
The first half of 2020 was strongly characterized by the COVID-19 pandemic. The spread of the coronavirus and the resulting restrictive measures have led to a standstill in society and the economy in many areas and thus to a recession. With regard to the operational development of the portfolio companies, the corona pandemic had different effects depending on their respective focus. Despite the pandemic situation, Mountain Alliance AG was able to successfully realize partial exits and financing rounds for investments in the first half of 2020 and to successfully place a cash capital increase. Worth mentioning in this context is the IPO of Exasol AG in May 2020, where Mountain Alliance AG successfully placed part of its Exasol shares. This transaction is another impressive proof of concept for the Mountain Alliance business model and underlines its quality in the current challenging market environment. A positive effect of the current development is the accelerated demand for digital business models. Mountain Alliance AG has already invested in areas such as online education, e-health and video-based working before the crisis, which are gaining importance especially now in the course of the COVID-19 pandemic.
As of 30 June 2020, the portfolio value of the four segments Technology, Digital Business Services, Digital Retail and Meta-Platforms & Media totalled EUR 45.4 million, compared to EUR 45.6 million in the same period of the previous year. After deduction of net financial liabilities of EUR 1.9 million, the NAV of Mountain Alliance AG amounted to EUR 43.5 million as of the valuation date, compared to EUR 40.1 million in the previous year, representing an increase of 8.5%.
Mountain Alliance AG generated consolidated revenues of EUR 4.7 million in the first half of 2020 compared to EUR 6.2 million in the prior-year period. The decrease is primarily a direct result of the pandemic. Lockdown measures and contact restrictions resulted in a decrease in sales of EUR 0.7 million in the event-related business of Shirtinator AG, for example. Sales at getonTV GmbH also decreased by EUR 0.7 million due to lower advertising budgets, in particular from customers in the travel sector. Earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to minus EUR 1.2 million compared to minus EUR 0.8 million in the same period of the previous year. Earnings before interest and taxes (EBIT) reached minus EUR 1.5 million compared to minus EUR 1.1 million in the first half of the previous year. The financial result amounted to plus EUR 1.8 million, compared to minus EUR 1.2 million in the first half of 2019, which was positively influenced above all by the good investment result. Earnings before taxes (EBT) improved to EUR 0.3 million compared to the first half of 2019 with minus EUR 2.3 million. As a result of the reported tax burden in the amount of EUR 0.8 million, in particular resulting from deferred tax expenses at Mountain Technology AG, St. Gallen, Switzerland, the consolidated net result for the reporting period amounted to minus EUR 0.5 million compared to minus EUR 2.4 million in the first half of 2019. Earnings per Mountain Alliance share improved accordingly from minus EUR 0.40 in the first half of 2019 to minus EUR 0.05 in the reporting period.
The course of business in the second half of the year is crucially dependent on the further development of the corona pandemic. The associated estimation uncertainties make a reliable detailed forecast for the further business development of the individual portfolio companies and Mountain Alliance AG incalculable. However, with the investment market gradually recovering towards the end of the second quarter as well as in the current third quarter and a lively development in e-commerce, the management is cautiously optimistic about the second half of the year despite the uncertainties mentioned above.
Net Asset Value calculation of the MA Group
|NAV Segment||in EUR million|
|Digital Business Services||8.1|
|Meta-Platforms & Media||5.3|
|Net financial liabilities||1.9|
|Net Asset Value (NAV)||43.5|
|NAV per share (in EUR)||6.33|
The complete interim report 2020 is available for download in the Investor Relations section at www.mountain-alliance.de.