11/14/2016

Alba reached a consolidated net profit after taxes of €226.0M in the first nine months of 2016

Corporación Financiera Alba reached a consolidated net profit after taxes of €226.0M in the first nine months of 2016, 1.0% lower than the same period for the previous year. This decrease is due to the fall of Profit on asset sales, from €185.4M obtained last year as a result of capital gains to €74.0M of the current period. This decline has been partially offset by a better performance of the investee companies, particularly Indra.

The Net Asset Value (NAV) stood at nearly €3,864.7M on 30 September 2016, equivalent to €66.36 per share. Alba’s share price of €37.41 on the same date represents a discount of 43.6% to the NAV per share. The NAV has increased by 5.4% during the first nine months of the year, against a fall of 8.0% in the IBEX 35.

Net profit per share, for the first nine months of 2016, was €3.88, compared to €3.92 for the same period in the previous financial year. In October, Alba distributed a gross interim dividend of €0.50 per share to its shareholders, which was charged to the 2016 profit and loss account.

In the first nine months of the year, Alba made made investments of €240.0M and divestments amounting to €56.9M. Main investments were:

• Purchase of 10.01% of Parques Reunidos for €121.3M.
• Purchase of an additional 3.03% of Viscofan for €70.6M, reaching a 9.89% stake in the company.
• Purchase of an additional 1.49% of BME for €35.3M, reaching a 12.06% stake in the company.
• Purchase of an additional 1.00% of Euskaltel for €12.7M, reaching an 11.00% stake in the company.

In addition, Alba also sold 0.67% of its holdings in ACS for €56.9M, resulting in capital gains of €24.0M and an IRR of 11.3% for almost 19 years.

The composition of Alba’s portfolio at 30 September 2016 was as follows:

Listed entities Unlisted entities
Acerinox 19,0% Mecalux 24,4%
ACS 11,0% Panasa 26,5%
BME 12,1% Flex 19,8%
Ebro Foods 10,0% Siresa Campus SII 17,4%
Indra 11,3% Siresa Campus Noroeste 17,4%
Euskaltel 11,0% EnCampus 32,8%
Viscofan 9,9% In-Store Media 18,9%
Parques Reunidos 10,0% TRRG Ltd.Holding 7,5%
Clínica Baviera 20,0%