Slide 1: Year-End Report 2023
Year-End Report 2023 Webcast presentation 18 January 2024
Slide 2: Investment activity reaccelerated in uncertain markets
Investment activity reaccelerated in uncertain markets The webcast will begin shortly
Slide 3: Investment activity reaccelerated in uncertain markets
Investment activity reaccelerated in uncertain markets
Slide 4: 2023 in brief
2023 in brief Investment activity reaccelerated in uncertain markets Strategic Fundraising Deal activity (EURbn) FAUM (EURbn) Investments1 Exits1 H2 EQT Private Capital Asia Total AUM €232bn 19 130 16 113 14 2 9 3 EQT Healthcare Growth 7 6 7 11 2 6 4 4 2022 2023 2022 2023 2022 2023 Investment per
Slide 5: The future of value creation
The future of value creation Making a Forward thinking from the start positive impact Global leader in active ownership From ventures to mature Thematic investment focus More than capital 5
Slide 6: Reaccelerating thematic investments in uncertain markets
Reaccelerating thematic investments in uncertain markets Exit activity remained muted Yearly investments volumes Yearly exit volumes (EURbn) (EURbn) 27% 31% 32% 12% 16% 20% 8% 46% 11% 5% 30 21 19 16 14 13 10 7 6 3 1 1 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 Investments
Slide 7: Continued innovation to future-proof our platform
Continued innovation to future-proof our platform For our clients … … our strategies … … and our platform EQT Healthcare Growth Motherbrain Strategy BPEA EQT Mid Market EQRT Value creation Growth Sustainability 7
Slide 8: In a challenging fundraising environment, performance matters
In a challenging fundraising environment, performance matters Performance in prior fund vintages correlated with current fundraising momentum Private Equity fundraisings, EQT vs. peers (latest or ongoing fundraises) 4/4 key EQT funds 60% in realization mode have top quartile DPI4 Growth in fund size
Slide 9: Strategic priorities
Strategic priorities Staying differentiated Performance Investment One EQT Clients & Exits strategies platform Powered by a well-invested platform with best-in-class sustainability and digital capabilities 9
Slide 10: Leadership position in Infrastructure
Leadership position in Infrastructure Seizing structural growth in infrastructure themes Performance drives fund size growth Structural growth in infrastructure themes Multiple avenues for future growth Continue to grow value-add 17% Historical Constrained flagship fund Net IRR1 Underinvestment Publ
Slide 11: Pan-Asian platform set for continued growth
Pan-Asian platform set for continued growth BPEA integration complete – EQT Private Capital Asia In a strong growth market … … we are well positioned … … to seize investment opportunities Private market allocations CAGR 2022-30E1 Locals-with-locals Enabling access to Asian market for our global clie
Slide 12: Relative strength in fundraising despite market challenges
Relative strength in fundraising despite market challenges Fundraising activity Fundraising update Private Capital BPEA EQT Mid EQT Future EQT X Market Growth ✓ EQT X expected to close at hard cap ✓ EQT Infrastructure VI expected to reach target fund size EQT Active Core EQT Infrastructure Infrastru
Slide 13: Investment activity in 2023
Investment activity in 2023 Reaccelerated investment pace, exit activity remained muted Investments1 Exits1 (EURbn) (EURbn) H2 H2 19 16 2 9 14 3 7 6 7 11 2 6 4 4 2022 2023 2022 2023 Selected transactions in the past 12 months Selected transactions in the past 12 months H1 2023 H2 2023 H1 2023 H2 202
Slide 14: Increase in FAUM mainly driven by gross inflows in EQT X and Infrastructure VI
Increase in FAUM mainly driven by gross inflows in EQT X and EQT Infrastructure VI FAUM development 2023 FAUM development H2 2023 14
Slide 15: With sustainability at the core, EQT continues to lead by example
With sustainability at the core, EQT continues to lead by example # of portfolio companies on Science Based Targets path Sustainability index & ratings 29 ~30 portfolio companies portfolio companies supported with with initiated processes validated SBTs of setting SBTs1 15 1) Includes portfolio comp
Slide 16: Fund valuations largely flat during 2023
Fund valuations largely flat during 2023 EQT VII EQT VIII EQT IX EQT X – Above plan – Above plan – On plan – On plan Private 2.6x 2.7x 2.7x 2.6x 2.6x 2.3x 2.3x 2.2x 2.3x 2.2x Capital 1.3x 1.4x 1.4x 1.4x 1.3x EU & NA 1.0x 1.0x 1.1x 1.1x 1.1x Private Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Dec-22 Mar-23 Ju
Slide 17: Increased revenues driven by higher management fees
Increased revenues driven by higher management fees Key financials1 2019-2023 Key financials1 2019-2023 Revenue EBITDA (EURm) (EURm) 46% 51% 68% 54% 58% 43% 38% 52% 47% 54% Infra VI 2,131 EQT X 165 1,623 Infra V 1,536 EQT IX 537 208 1,226 1,100 165 762 1,966 829 537 570 153 1,328
Slide 18: Slight increase in headcount during 2023
Slight increase in headcount during 2023 Select hiring to continue in strategic growth areas 1,838 1,7902 1,1601 Real Assets Private Capital 710 Central 665 2019 2020 2021 2022 2023 18 1) Of which Exeter ~300 2) Of which BPEA, LSP, Bear Logi and Redwood ~310
Slide 19: Balance sheet, realization of carry and liquidity
Balance sheet, realization of carry and liquidity Carried interest is a function of valuations and exits Carried interest & investment income development 2019-2023 Balance sheet and liquidity (EURm) EUR 8.4bn 0.7x ND / EBITDA2 carried interest yet to be realized1 0.8x ND / Fee-related EBITDA2 8
Slide 20: Key takeaways
Key takeaways EQT continued to innovate for its clients, with the launch of EQT Nexus, EQRT and a Healthcare Growth Strategy, and prepared for an Energy Transition strategy Pace of thematic investment reaccelerated while exit activity remained muted Maintained fundraising momentum, with the expected
Slide 21: Welcome to our first Capital Markets Day!
Forward thinking from the start Welcome to our first Capital Markets Day! 6 March 2024 RSVP 21
Slide 22: Questions?
\\S) Questions?
Slide 23: Appendix
Appendix
Slide 24: Like-for-like comparison of 2022 and 2023 figures
Like-for-like comparison of 2022 and 2023 figures Illustrative financials EQT 2022 BPEA 2022 2022 2023 (standalone) (standalone) (combined)1 (actual) Management fees 1,249 381 1,630 1,966 (EURm) Carried interest and investment income 169 66 235 165 (EURm) Total revenue 1,418 447 1,864 2,131 (E
Slide 25: Key financials
Key financials Full-year financials (EURm) 2023 2022 Investments by the EQT funds (EURbn) 19 12 Gross fund exits (EURbn) 6 11 Management fees (EURm) 1,966 1,328 Adjusted carried interest and investment income (EURm) 165 208 Adjusted revenue (EURm) 2,131 1,536 Adjusted EBITDA (EURm) 1,226
Slide 26: Income statement
Income statement 2023 2022 Total IFRS Total IFRS (EURm) Adj. items (EURm) Adj. items adjusted reported adjusted reported Management fee 1,966 - 1,966 Management fee 1,328 - 1,328 Carried interest and investment income 165 -46 118 Carried interest and investment income 208 -39 169 Total revenue 2,131
Slide 27: Key cash flow and balance sheet items
Key cash flow and balance sheet items Key cash flow items Key balance sheet items (EURm) 2023 2022 (EURm) 2023 2022 Cash and cash equivalents at the start of period 645 588 Assets Net cash from / (used in) operating activities 945 549 Total non-current assets 6,309 6,802 Net cash from / (used