RESILIENCE THROUGH ACTIVE OWNERSHIP AND THEMATIC FOCUS

After a year full of changes, EQT ended 2022 as a world leader in active ownership. The company continues to future-proof its expanding platform and navigate through a macroeconomically and geopolitically uncertain period. EQT is well equipped to handle a challenging market and to continue shaping its opportunities.

EQT is a purpose-driven global investment organisation focused on strategies for active ownership. With a Nordic heritage and a global approach, EQT has a track record of stable and attractive returns in several geographical areas, sectors and strategies across nearly three decades. Today, EQT has EUR 113 billion in fee-earning assets under management in two business segments – Private Capital and Real Assets. EQT has offices in 24 countries in Europe, the Asia-Pacific region and North America, and almost 1 800 employees.

EQT is listed on Nasdaq Stockholm. Volito has shares in EQT as well as investments and interests in 17 of EQT’s funds. After a volatile stock market year in 2022, the EQT share price was SEK 220.60 per share at year-end.

Adjusted total revenue amounted to EUR 1 536 million (1 623). Management fees increased by 22%, while carried interest decreased. Total revenue (according to IFRS) amounted to EUR 1 497 million (1 596). Adjusted EBITDA amounted to EUR 829 million (1 100), corresponding to a margin of 54% (68). EBITDA (according to IFRS) amounted to EUR 506 million (970), corresponding to a margin of 34% (61). The reduced margin in 2022 was mainly due to lower carried interest.

Fee-earning assets under management (FAUM) increased to EUR 113 billion (73), driven mainly by the merger with BPEA and closed capital undertakings in EQT X. Total investments of the EQT funds fell to EUR 12 billion (21). The total value of divestments (gross) during the year amounted to EUR 11 billion (30). Further agreements on divestments have been signed.

All key funds have developed according to plan or better. Overall, the year’s valuations have been positively affected by strong operating profits among the portfolio companies. EQT completed the merger with BPEA, a leading operator in the private investment market in Asia and created a large scale and diversified global leader focused on active ownership strategies. Furthermore, the acquisitions of Life Sciences Partners, Bear Logi and Redwood Capital Group were completed.

EQT continues to future-proof the portfolio companies’ development and retain a clear cost focus in relation to an uncertain market environment. Despite a subdued transaction market, EQT completed significant capitalraising transactions and is well positioned for continued investments. EQT is following its strategy for thematic investments and long-term, sustainable value creation, among other things with plans for increased investments in waste management, renewable energy and circularity. The company continues to shape its opportunities with a focus on generating strong returns that go hand in hand with a positive effect.

Board Of Directors Management