Pantheon International H2 2026 Earnings Report

Pantheon International EPS Results

• Actual EPS: GBX 3.70
• Consensus EPS: N/A
• Beat/Miss: N/A
• One Year Ago EPS: N/A

Pantheon International Revenue Results

• Actual Revenue: N/A
• Expected Revenue: N/A
• Beat/Miss: N/A
• YoY Revenue Growth: N/A

Pantheon International Announcement Details

• Quarter: H2 2026
• Date: 8/4/2026
• Time: Before Market Opens
• Conference Call Date: Tuesday, August 4, 2026
• Conference Call Time: 2:00AM ET

Pantheon International (LON:PIN) (PIN) is an investment trust that provides investors with differentiated access to a global, diversified portfolio of private equity-backed companies through a flexible and active investment approach. Through its commitments to some of the world’s best private equity managers that might otherwise be inaccessible to individual investors, PIN makes the private, public. Launched in 1987 and a constituent of the FTSE 250, PIN is a company of scale and one of the longest established private equity funds on the London Stock Exchange. PIN’s aim is to maximise capital growth for shareholders over the long term. PIN is managed by Pantheon, a leading global private markets manager with an established reputation for generating strong results for its clients across asset classes in primary, co-investment and secondary private market solutions. Pantheon, along with the Board of PIN, believes that high-quality private equity investments can generate excess returns that are capable of outperforming public markets over the long term.

Pantheon International H2 2026 Earnings Call Transcript

Key Takeaways

• Positive Sentiment: NAV rose 4.3% in the year to May 31, 2026, while the share price increased 37.5%, narrowing the discount to NAV from 40% to 21%. Share buybacks contributed 2.2% to NAV, supported by £118 million of repurchases during the period.
• Positive Sentiment: PIN sold a targeted portfolio for £224 million net, with at least 80% earmarked for buybacks and the remainder helping rotate capital into investments with greater perceived upside.
• Neutral Sentiment: The portfolio is being refocused, with the number of underlying managers reduced from about 90 to 62 to emphasize consistently strong performers. PIN aims over time to achieve an approximately equal mix of direct company investments and funds, compared with roughly 53% direct investments currently.
• Positive Sentiment: Management plans to increase exposure to North American small- and mid-market buyouts, citing their operational value-creation potential and multiple exit routes to strategic buyers or larger private equity firms.
• Neutral Sentiment: Balance-sheet capacity remains a focus: net debt was 9.2% of NAV, financing cover was 4.5 times, and 92% of borrowing capacity remained undrawn. Management also acknowledged ongoing macroeconomic uncertainty and potential AI-related disruption among software holdings.

Presentation

[Company Representative at PIN]

Ongoing macroeconomic and geopolitical challenges that have characterized the last few years have continued into 2026. Private equity is not immune to this. The industry has experienced one of the most significant macro resets in decades, and our private equity managers must be flexible, adaptable, and ready to react to situations that they cannot predict. When constructing PIN's portfolio, we're looking for those managers who have the ability to navigate choppy waters, but who can also identify the opportunities that can arise from market dislocation and periods of uncertainty. We've made good progress in implementing a number of actions that we agreed with the board to improve long-term NAV performance and close the discount at which the shares trade. We're committed to becoming a more active seller of assets in the secondary market, and in May, we announced the sale of a targeted portfolio of assets.

[Company Representative at PIN]

This generated net proceeds of GBP 224 million, and at least 80% of these will be invested in share buybacks. Periodic asset disposals support our active portfolio management approach and allow us to rotate capital from those assets that we view as having limited upside into fresh investments, as well as providing additional liquidity for share buybacks. We'll continue to make use of the secondary market. It is important to note that the sales process in this specialized part of private equity differs significantly from that of the public markets. The targeted portfolio sale also allowed us to start reducing the number of underlying managers in PIN's portfolio to focus on those demonstrating consistent first and second quartile performance. Since the November 30th, 2025, the number of managers in PIN's portfolio has reduced from around 90 to 62 managers. This forms part of our refocused investment strategy.

[Company Representative at PIN]

During the year to May 31st, 2026, PIN's net asset value, or NAV, increased by 4.3%. The secondary asset sale impacted the NAV for the period. This sale was a key component of implementing our enhanced investment focus and resetting the portfolio. Modest underlying valuation gains and investment income contributed 3.8% to the NAV. The impact from foreign exchange movements was moderately positive, adding a further 0.7%. PIN has continued to buy back its own shares in order to capture value for shareholders, and during the period, PIN invested GBP 118 million in share buybacks.

[Company Representative at PIN]

These contributed a further 2.2% to the NAV. The positive movements during the period were partially offset by expenses and taxes. Pleasingly, the share price increased strongly by 37.5% during the 12 months to the end of May, outperforming the MSCI World and FTSE All-Share indices over the same period. This led to the discount narrowing from 40% at the end of May 2025 to 21% at the end of May 2026.

[Company Representative at PIN]

PIN provides investors with a portfolio of growing private companies, which we achieve through a combination of funds and individual company investments. As at the May 31st, 2026, around 53% of PIN's portfolio was invested directly in private companies. These are complemented by invitation-only, access-constrained primary funds. The key factor in assessing PIN's primary investments is always the strength of the private equity manager and their ability to outperform the public markets. We also prioritize sector specialists who are well-networked and with proven buy and build capability and repeatable operational value creation. Direct investments offer fee-efficient direct access to high-conviction private companies with the ability for us to conduct due diligence on those businesses and to target specific investments that fit PIN's targets on size of company, industry, and geography. Our aim is to achieve an equal mix of direct investments and funds over time.

[Company Representative at PIN]

Our prudent management of the balance sheet supports PIN's buyback and investment activities. During the period, PIN refinanced and extended the tenor of its GBP 400 million revolving credit facility by another year to October 2029 on improved commercial terms. PIN also has access to $150 million of private placement loan notes. As at May 31, 2026, PIN had GBP 112 million drawn down under the credit facility and GBP 111 million of sterling equivalent loan notes outstanding. Taken in conjunction with PIN's net available cash of GBP 25 million, PIN's net debt to NAV ratio was 9.2% as at the period end. We believe that our net debt is at a prudent level.

[Company Representative at PIN]

PIN's financing cover as at May 31, 2026 was 4.5 times, and the undrawn coverage ratio was comfortable at 92%. We regularly stress test our balance sheet to ensure that we maintain sufficient financial resources and liquidity to withstand a range of market conditions and stress scenarios. We also monitor undrawn commitments to ensure that they remain at prudent levels relative to PIN's available financing.

[Company Representative at PIN]

PIN's portfolio emphasizes North America, which has the deepest and most developed private equity market. We also favor small and mid-market buyouts, which are well-established businesses where the private equity manager has control of the company alongside the management teams. In the current environment, there needs to be an increased focus on operational value add and more ways to win rather than a reliance on one strategy to generate returns. We continue to believe that the mid-market is the best place to do that. In addition, the smaller and mid-size companies are prime targets for strategic or trade buyers, as well as for larger buyout private equity managers who can take the companies through their next stage of growth. We don't rely on the public markets to exit the companies in PIN's portfolio. For these reasons, we'll increase PIN's exposure further to this North American market and small mid-market buyouts.

[Company Representative at PIN]

PIN's portfolio is diversified by sector, and the largest is information technology. We acknowledge the concerns about the potential impact of AI on software companies. While there will undoubtedly be winners and losers in this new AI-driven world, the development and use of AI is not a new topic for our sector specialist managers. They have been thinking about the risks and opportunities that AI poses to their portfolio companies for some time. The next two largest sectors in PIN's portfolio are healthcare and consumer. Here, we are backing resilient companies that are responding to long-term trends, such as aging populations and the need for higher quality healthcare provision, or they are companies providing goods and services that are still in demand, even in a downturn.

[Company Representative at PIN]

We have materially enhanced our analytical capabilities to give more insights into the underlying portfolio. In PIN's annual report, we have published a value bridge for the second time that analyzes the source of NAV growth in the Directs portfolio from December 2024 to December 2025. While there were a number of negative value drivers, revenue and EBITDA growth remained strong. The impact of the slower macro environment over the past three years has already been reflected in PIN's NAV, and the underlying operating trajectory of the portfolio remains intact.

[Company Representative at PIN]

We continue to believe that the fundamental drivers of private equity remain strong. These include the desire of companies to stay private for longer, public market shrinking, and certain sectors and sizes of companies being harder to access through public markets. With PIN, our aim is to offer simple access to a global portfolio of high-quality private companies to investors of all types and sizes. We've taken bold actions to improve PIN's medium to long-term performance, and significant progress has been made in achieving this.

[Company Representative at PIN]

The work does not stop there. We'll continue to look for ways in which we can improve outcomes for PIN and its shareholders. That goes to the heart of how private equity operates, and it's why we're both excited and confident about PIN's prospects today and in the future. If you have any questions or would like more information, please visit the website, follow PIN on LinkedIn, or contact the team here at Pantheon.

Participants

Analysts

• Company Representative at PIN