CVC Capital Partners Half Year 2024 Report Analysis

CVC Capital Partners, the global leader in private markets reported strong half year 2024 results.

Based on its H1 2024 report, CVC Capital Partners, CVC is undervalued, according to Wolfteam Ltd.'s projections and estimates.

CVC has 142 billion EURs in fee paying assets under management, 638 million EURs statutory revenue and 138 million EURs statutory EBITDA for H1 2024.

Fundraising was also strong with the following statistics:

Fundraising
– Total AUM reached €193bn.
– FPAUM increased from €98.2bn as at 31 December
2023 to €142.4bn as at 30 June 2024, or +45%, mainly
driven by the activation of Europe / Americas Fund IX
and Asia VI, and the inclusion of Infrastructure1.
– €7.4bn of capital raised2 in H1 2024 across all
strategies, including initial closes for SOF VI and
Growth III.

Here is the statutory statement of profit or loss in (000) EURs

Financial Review (continued)
Statutory statement of profit or loss (€ 000) Jun-24 Jun-23
Management fees 443,739 365,713
Carried interest and performance fees 108,725 87,531
Investment income 83,274 49,295
Other operating income 2,491 1,033
Total revenue 638,229 503,572
Advisory fee expense – (210,744)
Personnel expenses (182,493) (27,568)
General and administrative expenses (106,757) (31,561)
Change in valuation of forward liability (209,420) (58,762)
Foreign exchange (losses)/gains (191) 2,169
Expenses with respect to investment vehicles (1,609) (137)
EBITDA 137,759 176,969
Depreciation and amortisation (33,580) (12,923)
Total operating profit 104,179 164,046
Finance income 4,400 5,971
Finance expense (22,495) (13,688)
Profit before income tax 86,084 156,329
Income tax charge (6,049) (8,545)
Profit after income tax 80,035 147,784
Attributable to:
Equity holders of the parent 44,794 136,330
Non-controlling interests 35,241 11,454

CVC's intrinsic value is 37 billion EURs, compared to CVC's current market capitalization of 24.96 billion EURs.

CVC Capital Partner's capital raising activity is particularly strong as in the last 12 months to 30 June 2024 Europe /
Americas Fund IX closed at €26.8bn3 (Jul-23) and
Asia VI closed at $6.8bn (Feb-24).

CVC's strong capital raising activity currently mainly drives CVC Capital Partner's value.