Great Elm Group, Inc. · NASDAQ:GEG
Great Elm — Q1 2025 Earnings Presentation
17 slides from Great Elm's earnings presentation, Nov 12, 2024
Slide 1: Fiscal First Quarter Ended September 30, 2024
November 12, 2024 Fiscal First Quarter Ended September 30, 2024 NASDAQ: GEG
Slide 2: GEG Highlights
GEG Highlights • Great Elm grew fee-paying assets under management (“FPAUM”) in the September 2024 quarter both year-over-year (+21%) and sequentially (+4%) on a pro forma basis1 • Great Elm collected $0.9 million of incentive fees from GECC for the September 2024 quarter, and base management fees f
Slide 3: GECC: $134mm of Equity & Debt Issued
GECC: $134mm of Equity & Debt Issued GECC issued $36mm of equity and $98mm of debt in the last twelve months In February 2024, issued 1.85 million shares at $12.97 (then current NAV) for $24 million $36 million of • GEG participated in $6 million of the $24 million; a strategic institutional investo
Slide 4: About GEG
About GEG Great Elm Group, Inc. (GEG) is a publicly-traded, alternative asset manager focused on: • Growing a scalable and diversified portfolio of long-duration and permanent capital vehicles • Investing in credit, real estate, specialty finance and other alternative strategies Alternative Credit •
Slide 5: Our Goals
Our Goals • Debt and equity capital raises at GECC expected to drive growth of future recurring fee revenue streams with high contribution margins Improve • GEG’s $9 million in investments in the GECC equity capital raises are expected to deliver Profitability attractive returns over time • GECC del
Slide 6: GEG Managed Vehicles
GEG Managed Vehicles ALTERNATIVE CREDIT REAL ESTATE GECC Private Funds Monomoy REIT Monomoy BTS • Public BDC with • Great Elm Credit Income • Private Industrial REIT with • Build-to-Suit division $320+ million PF AUM1 Fund focuses on direct $390+ million AUM provides design-build • 14% of common sto
Slide 7: Summary Financial Position
Summary Financial Position1 GEG September 30, 2024 condensed balance sheet, excluding Consolidated Funds $ Million 9/30/2024 Cash & Marketable Securities2 $ 51.7 Current Liabilities $ 3.7 Investments 54.0 Long-Term Debt 26.2 Other Current and Long-Term Assets 23.7 Convertible Notes 34.9 Other Liabil
Slide 8: GECC & Monomoy Highlights
GECC & Monomoy Highlights • Reported strong NII of $0.39 per share in the September • Monomoy BTS sold its first property and focuses on its strong quarter, more than covering the $0.35 distribution project pipeline • Record Total Investment Income of $11.7 million and highest • Completed constructi
Slide 9: Fiscal 2025 First Quarter Highlights
Fiscal 2025 First Quarter Highlights November 12, 2024 9
Slide 10: Fiscal 1Q25 Financial Highlights
Fiscal 1Q25 Financial Highlights Revenue Net Income Adjusted EBITDA1 • Fiscal 1Q25 revenue grew 21% • Net income from continuing • Fiscal 1Q25 Adjusted EBITDA to $4.0 million compared to operations of $3.0 million for of $1.3 million, compared to $3.3 million in the prior-year Fiscal 1Q25, compared
Slide 11: Assets Under Management
Assets Under Management1 $mm AUM $mm FPAUM $782 $800 $741 $600 $559 $545 $700 $641 $500 $451 $600 +16% $400 +21% $500 $400 $300 $300 $200 $200 $100 $100 $0 $0 9/30/2023 9/30/2024 9/30/2024 9/30/2023 9/30/2024 9/30/2024 Pro Forma1 Pro Forma1 $741 million of Pro Forma Assets Under Management (“AUM”) a
Slide 12: Financial Review: Fiscal 1Q25 Balance Sheet
Financial Review: Fiscal 1Q25 Balance Sheet (in thousands) September 30, 2024 June 30, 2024 ASSETS Cash and cash equivalents $ 44,150 $ 48,147 Restricted cash 40 1,571 Receivables from managed funds 3,854 2,259 Investments in marketable securities 7,460 9,929 Investments at fair value 47,557 44,585
Slide 13: Financial Review: Fiscal 1Q25 Income Statement
Financial Review: Fiscal 1Q25 Income Statement Three months ended September 30, (In thousands) 2024 2023 Revenues $ 3,992 $ 3,310 Cost of Revenues 635 - Operating costs and expenses: Investment management expenses 3,058 2,762 Depreciation and amortization 273 283 Selling, general and administrative
Slide 14: Results By Quarter
Results By Quarter Three Months Ended September 30, June 30, March 31, December 31, September 30, (in thousands) 2024 2024 2024 2023 2023 NON-GAAP RECONCILIATION Net income (loss) from continuing operations - GAAP $ 2,974 $ (578) $ (2,883) $ (239) $ 2,758 Interest expense 1,028 1,137 1,074 1,061 1,0
Slide 15: Results Year-Over-Year
Results Year-Over-Year Three months ended September 30, (in thousands) 2024 2023 NON-GAAP RECONCILIATION Net income (loss) from continuing operations - GAAP $ 2,974 $ 2,758 Interest expense 1,028 1,062 Income tax expense (benefit) - - Depreciation and amortization 273 283 Non-cash compensation 1,117
Slide 16: Contact Information
Contact Information Investor Relations Contact geginvestorrelations@greatelmcap.com November 12, 2024 16
Slide 17: Disclaimer
Disclaimer Statements in this presentation that are “forward-looking” statements, including statements regarding expected growth, profitability, acquisition opportunities and outlook involve risks and uncertainties that may individually or collectively impact the matters described herein. Investors