Molten Ventures Plc (GROW) Earnings Call Transcript & Summary

Right now the market contains 400 unicorns, and that matters quite a bit when we discuss secondaries, since clearly the illiquid portions of the market require liquidity. Given that companies remain private for longer periods, that's a trend we believe we can both gain from and support. Around the world, we're in the middle of this generational shift in technology, and for many years Europe has been a key generator of IP, so the chance for us to put money into these businesses is very profound. The central theme we're going to discuss is these structural shifts that are occurring, and I think that's a very important point, because they aren't cyclical — they're structural — and it has led to recognition of the need for European sovereignty and resilience in its defense, but also in the technology assets that it owns. The underpinning assets, whether that's cloud computing or payment infrastructure, are drawing a lot more focus and a lot more capital into this ecosystem. A structural gap to capital still exists in the market, and that is precisely the space where Molten is investing. At the growth stage, we're thinking sort of 20 million+ tickets.

The aim behind expanding both the PLC balance sheet and our third-party assets is to make sure we can keep serving this segment of the market on a consistent basis. How do we capture these openings? We’ve put together a platform at Molten. There are three investment strategies we run. Direct investing has always sat at the center of our activity—that means Series A—but the larger share of our capital goes to Series B businesses and situations where the route to market is already established. That scaling gap, where larger investment tickets become necessary. We see venture as its own asset class, so even for investment managers taking a pure portfolio view, having some exposure to private companies that perform differently from other parts of a listed portfolio matters, and there is clearly some resilience attached to that. Over the long run, venture has beaten other asset classes. With venture, as we understand, manager dispersion is wide, so placing your capital with a manager that carries a 20-year record through these cycles is, in our view, a strong pitch. We also manage our secondary funds, where, as I said before, we have substantial experience investing in this area of the market.

We've put money into whole funds and acquired those stakes. That happened with Seedcamp across their Fund I and II during 2017 and 2018. The same applies to Earlybird in 2019 with their Fund IV, plus the Digital East Fund. The purpose behind those transactions was really to grant us exposure to important assets we found appealing. Within the Seedcamp portfolio, TransferWise stood out as the primary one, and then in the Earlybird portfolio there was Peak Games, smava, and UiPath. That illustrates the way we assess portfolios — we essentially value the underlying companies and that determines how we price these deals. What we're doing is supplying liquidity to an illiquid segment of the market, and that is the crucial element here. Doing it successfully requires being able to price the assets, but you also need the network to reach the deal flow, and we've consistently had that. We've taken the same approach with individual assets too — Trustpilot is a great illustration, since in 2016 we held 4% of Trustpilot and grew that to 14% by the point of their own IPO, after which we sold down, given it was a public vehicle.

The chance to reach later-stage, highly robust companies whose financials ought to produce returns over a shorter horizon is really compelling to us. With more than 400 unicorns out there right now, we see this as a very deep opportunity. That's the reason we strengthened the team further by bringing in the secondaries group this year, and that group will also be raising third-party capital for this strategy. You'll be seeing more from that team in the market pursuing these opportunities. For us, that should mean more deal flow. A network effect emerges across these three strategies of fund of funds investing — where we put money in at the earliest stages as an LP into funds, gaining visibility into the underlying companies, and we have proprietary deal flow and access, plus the technical expertise of those GPs to draw on that feeds our direct strategy, and that enhances the secondary strategy. I think it matters that when we say platform, we're thinking of these three component parts as being greater than the sum of their individual parts. Just to touch on those strategic priorities we laid out a bit more than a year ago, what I'm proud to say is that as we go through the presentation today, you'll see a significant demonstration of the progress we've made, the execution we've delivered against these priorities.

NAV growth has clearly been a key driver. That showed up in today's results, and also in this morning's ICEYE announcement. On scaling third-party capital, we've been delighted to name a cornerstone investor for our Growth Fund, along with progress on the Molten East Fund. As I said, the secondaries team will grow that capital base through their strategy, and then we'll redeploy our own capital into NAV-accretive uses. I think that's critical for us — really thinking through all those different opportunities we're creating across the strategies, as well as having buybacks of our own shares, which ultimately let us narrow the share price discount to NAV. With that, I'll hand you over to the main event. I'll leave you with Andy to walk through the financial highlights.

Love that — the main event. I don't get called that very often, which is a good thing. Okay. Welcome, everyone. My name is Andrew Zimmermann, and I'm the CFO at Molten. This is now my second of these annual results. Compared with the first one, this year has been even more interesting and active. So, without any further ado, let's get on to that. Too quick. There are three main themes I really wanted to cover. The first one — sorry, the first one is clearly accelerating portfolio fair value growth. That came in at 13% for the year, beginning to pick up a bit after 2023 and 2024, and 2025 to a degree where it started to recover. It's accelerating much more back towards venture-type returns, which is what we want to see in the portfolio as well as long track record. We need to start achieving that in discrete years. Then, obviously, the ICEYE news today is a really good start for FY 2027. We've also maintained strong realizations, which Ben alluded to there in terms of the cycle and being able to recycle into NAV accretive opportunities. Keeping that going has been really important. Again, we've also announced this year that there have been some partial realizations in Revolut, and then also ICEYE today was part of that deal.

To reiterate, we're already on track for this year, and that matters. Last, the subject of reducing the gap between our share price and NAV. Clearly, 12 months ago our share price stood at GBP 2.57, so it has come back substantially since then. Plainly, there is still a considerable distance left to travel. By lifting NAV per share somewhat, we have raised the bar a little higher, and I regard that as a very good thing. Naturally, we would want to see further share price appreciation and to begin closing that NAV gap once more. I will highlight specific items as we proceed. A 13% gross portfolio net fair value movement, clearly far above the earlier 5%. We are genuinely beginning to see that momentum build, driven chiefly by the core, which I will address in more detail shortly. A GBP 60 million FX benefit, which clearly provided support on that front this year too. That comprised close to GBP 300 million of write-ups and roughly GBP 120 million of valuation reductions. Such a net movement is always present, yet it is plainly very encouraging that it has risen so substantially. As a result, our gross portfolio value and net asset value are once more well above where they stood on the 31st of March last year, at GBP 1.5 billion and slightly more than GBP 1.3 billion.

When it comes to cash proceeds from realization, once more, this builds on the prior year, when we had GBP 135 million. We completed full exits in Lyst and Freetrade, followed by partial realizations in Revolut and ICEYE, plus a few other miscellaneous smaller ones. That clearly pushed it forward. One important point to note is that all of them were at or above the holding value, which once again just proves out that our valuations are robust. Out of that cash, we invested GBP 89 million during the year. We welcomed Duel, General Index, PolyModels Hub, and MAIA to the portfolio. We also did follow-ons into some exciting existing portfolio companies of ours, such as Modo and Manna. They are now up in the core. Again, we will come onto that, but with Modo, for example, we led the Series B in that round, which is exactly the space we want to be playing in when it comes to direct investment. We also did a secondary in the Speedinvest Continuation Fund. Again, mentioning that earlier regarding the secondary strategy and investing in the things we think are the most NAV accretive opportunities. To that end, we also did GBP 38 million of share buybacks during the year. Our share price was a little bit lower and the discount was wider.

There's still roughly GBP 4 million remaining from the latest buyback tranches we announced, but right now the discount has narrowed and the price is higher, so other investment opportunities look more NAV accretive to us, and that's where we've been putting money to work. Turning to OpEx, we brought that down year-on-year. Our general and admin expenses came in at just over GBP 24 million, a decrease of 14% versus the prior year. That cost efficiency matters. We don't want it weighing on the return, yet we're still investing in quality. The secondaries team is a good illustration. We're running very efficiently on our platform, while making sure the right people are in place to help us scale and grow that third-party AUM business. As you can see at 0.5%, we're comfortably under our 1% target. Last, we finished the year with GBP 52 million of cash. Clearly, the post year-end proceeds from Revolut aren't reflected in that figure. Since then, roughly another GBP 70 million of exit proceeds has been added. On top of that, there's around GBP 24 million of EIS and VCT cash that hasn't been deployed, plus an undrawn RCF of GBP 60 million.

Our cash position is really strong and solid, and we can seize opportunities as they come up. So we finished the financial year with a NAV per share of GBP 7.60, and that's up 13%. Of course, today's ICEYE news adds roughly another GBP 1.20 per share on top of that. Not in this financial year, clearly, but it's substantial. This is only beginning to demonstrate that our fair value growth is starting to pick up. Through the cycle, we target a 20% return. Our record shows a 26% return, but clearly we can't keep standing up year after year without hitting the 20% and simply talk about the long track record. It's genuinely good to see that starting to spike up. Again, today's ICEYE news by itself is probably about 15% in terms, and that's obviously in FY 2027. With traction from the rest of the portfolio, that should begin accelerating upward, which clearly matters a great deal. Clearly, this is driven by macro tailwinds as well as the company's performance, so some sectors, such as space, AI, and quantum, are really benefiting from that theme of European sovereignty and resilience. Those comps are helping to drive valuations as well as the commercial traction of those companies.

The fair value returns have really been driven by the core, and you can see that of the GBP 1.5 billion in gross portfolio value, nearly GBP 1 billion comes from those core companies. That's about 16 companies, almost 65% of the portfolio value weighting. Obviously, they're the more mature businesses, the real winners, if you like — the Revoluts, Ledger, ICEYE. They're the ones really driving returns and accelerating. That 26% is much more in line with what you'd expect for venture returns, and it's really pleasing to see that coming back, with the biggest companies in the portfolio obviously driving it. A multiple, invested capital of 3.3x. Again, if you factor in the ICEYE news from today, that's closer to 4x. Again, really positive. The rest of the portfolio is what we call the emerging — the ones growing up to become the next version of the core — plus smaller investments, some of them legacy. Then there are the fund investments, which are part of the pipeline Ben alluded to. Performance there was a bit more mixed. The emerging portfolio is obviously the smaller holdings. Quite often they're not as old. The venture model is high risk, high return, so there will be some valuation write-downs as we go along.

Roughly GBP 50 million of that got written down within the emerging portfolio, which spans over 80 companies, though the real driver was three businesses hit by specific events — Robin AI and Schüttflix, a German working capital logistics outfit that simply hasn't quite taken off. The German government has sort of shifted its spending away from construction toward defense, and that company wasn't quite in the right spot. Still, on the whole the traction looks good, and there are some positive companies in there that I'll get to shortly. The fund of funds — our early stage, our seed stage pipeline — delivered a really positive return this year, which is pleasing, since those are the ones that will drive some of the graduation, so to speak, into our emerging portfolio. We lean on those relationships with the fund to fund managers to build and hunt for the next opportunities at Series A and B. The remainder of the portfolio came in positive as well. A good overall return. Slightly negative on the whole, but clearly far outweighed by the core. One pleasing note: Manna and Modo Energy graduated — if that's the right word — out of emerging and into core during the year.

That is genuinely encouraging. At Modo Energy, we spearheaded the Series B, and we developed a very solid conviction about that business. With Manna, we have been investors for quite some time — as you have likely heard me mention repeatedly. It is truly satisfying to watch them begin reaching their inflection points and expanding, and to have us provide capital that helps them graduate into the core. On realizations, once again, that figure now exceeds GBP 250 million from March 2024 onward. Including the Revolut deal, that adds roughly another GBP 70 million, and then there is an ICEYE secondary that is set to take place later in the year, which we have discussed. Once more, our average return across the cycle stands at 15%, comfortably ahead of our 10% target. This ties to the same principle as fair value growth — you want to be hitting that target during the discrete years at this stage. It is really gratifying to see where we stand for 2025 and 2026, followed by a very strong start already in 2027. We feel confident about the progress on that front. That clearly underpins our evergreen model when it comes to producing cash that flows back to the balance sheet for investment in accretive opportunities for our shareholders. And then lastly, the fan. I still believe this remains the clearest way to lay this out, though the scale on the right side is evidently a bit different from the left, since the companies on the left are especially large when it comes to their share of the core.

Revolut clearly has strong commercial momentum. The customer base continues to expand, and it now exceeds 70 million people. Revenue is still increasing at a very rapid pace, and the company is profitable. That stake was valued using commercial marks, and it also gets support from a GBP 75 billion secondary. We're pleased with that. Once more, there's plenty of positive news surrounding it. If you follow the press, it appears they could be moving toward another secondary. Ledger, the crypto hardware wallet software company, enjoys substantial tailwinds in that sector, so its comparables benefited considerably from that. Ledger on its own has been doing very well, with revenue rising nicely; things have perhaps been somewhat quieter given the war in the Middle East right now and people not trading Bitcoin as heavily as before, yet it remains on a very solid growth path. ICEYE — I don't think I need to elaborate much there. It plainly shows exceptional commercial momentum. Very good, and we're extremely pleased with that one. That green investment will now, of course, accelerate enormously. Aircall is intriguing, since it's voice telephony customer relationship software — the sort of thing you'd imagine AI might displace, but in fact they've been acquiring AI companies and integrating it into their offering, really embedding themselves with their customers.

Their focus is on smaller and medium-sized companies, roughly. Over 26,000 clients, with revenue growing 25% a year. In fact, it's a strong illustration of how AI can present an opportunity for such businesses. That one has us quite happy. CoachHub was really the sole write-down in our core portfolio. That's clearly enterprise software. When businesses hit a crunch, coaching perhaps isn't the highest priority, so their growth had slowed considerably. They've carried out a bit of a reorg and a restructure, and they're rebuilding toward growth. Hopefully we'll see that one begin to climb back up. Isar Aerospace — today there was an announcement regarding the new investment round, in which Molten is among the participants. Space again, truly a hot topic. They're benefiting from solid comps in that sector, along with excellent technical progress. Their next launch is actually scheduled for next week. I believe they have their launch window. So keep an eye on that. For them, it's a massive technical milestone. Lastly, I'd like to highlight Riverlane, which I believe is our quantum error correction software one. Again, it shows how we play across the sector — we sit in that middle layer rather than the actual quantum computers, providing the error correction software that works across all of them.

It's been advancing quite well on the technical side and, once more, is getting a real lift from benchmarks, public comp multiples, and plenty of M&A activity in that area. So, overall pleasing — you can see plenty of green on the chart, and that's exactly what we're after. The yellow at the end is Modo and Manna, which represents our investment into them. Again, it's really pleasing to watch them move up into the core. All in all, I'd say FY 2026 has just been a really strong year. Good portfolio growth, NAV per share growth, disciplined realizations once again, and some progress on narrowing the discount — which, clearly, we'll keep working on, obviously, now that NAV sits higher — and then the focus for the current year, which Ben will cover in far more detail, centers on building this third-party platform and really continuing to execute on everything we said we would do. Thank you.

Thank you, Andy. I'll walk through a bit of the portfolio, and one point I want to stress is the way we think about our investment thesis. As everyone knows, we put money to work across four broad sectors: tech, consumer enterprise, hardware, deep tech, and digital health. Those also span a wide set of sub-sectors, so we have domain expertise inside the team for each of them — fintech, cyber, quantum, energy transition, space, crypto and blockchain, and health tech. All of these are structural growth drivers that are disrupting markets around the world, and we believe our investors ought to have exposure to them. Getting that exposure via the public market is nearly impossible for them, at least to the same degree. It's very gratifying today when there's news from a company such as ICEYE, where we've been investors since 2018, and people can begin to see that growth come through as those structural shifts turn into key growth drivers in those sectors. Balance across the portfolio matters a great deal, in our view. When we back these companies, it's with a long-term horizon. Our investments are held on average 8 to 10 years, let's say, and so spreading your investments across those sub-sectors becomes an important feature.

I believe this lets us be more consistent in how we realize assets and more consistent about where those returns will come from, effectively giving a portfolio more shots on goal. Those kinds of structural growth themes that are reshaping our economies are really where we're trying to invest as a venture investor, investing for the upside. The other factor that's relevant to that is, of course, AI. We're seeing a huge amount of disruption in the public markets from AI taking market share from SaaS businesses, or at least the perceived threat. We've done an analysis of our own portfolio to see where that might be disrupted. The work that we've done identifies that actually the majority of our portfolio will have opportunities from AI. We think that the public markets have clearly had a moment where the pendulum swings too far one way and everything gets tarred with the same brush. When you actually look at these underlying companies where they have enterprise SaaS models, quite a few of those businesses will still have resilience in the events where they have critical client relationships, critical infrastructure for those enterprises that they're servicing, but also where they are bringing proprietary data sets.

We apply that same lens to our own portfolio. After having made that investment across those sub-sectors, and especially in the enabling layers of technology, which is where we prefer to invest, it becomes clear that most of our portfolio comes out as a net beneficiary. We anticipate that's 75%. That's the case where AI compounds an advantage a company already has in data, distribution, or workflow. We've put 15% of the portfolio in the category of manageable headwinds. Here there are both opportunities and threats. Andy gave Aircall as a solid example of this, and if those companies respond well, we think that can cement their existing customer relationships. Then the last group, which we view as neutral, is the 8%. Why is it that the winners keep on winning? What is it that compounds in this area? For us, it's those infrastructure layers — for instance, a Thought Machine core banking system, or Form3, which does payment systems, or even something like a Riverlane, which is software spanning all of the quantum layers. AI isn't going to disrupt these. They can bring AI into their development, and so the 0:1 is what we see as being accelerated with AI, but the 1:10 is those governance relationships, those customer relationships.

I think that owning that end-customer relationship, along with all of that critical infrastructure, is going to be a real point of differentiation — both in private markets and in public markets — and we're seeing that play out across our portfolio. I actually believe our portfolio is well-positioned to benefit from this. That approach of investing across sub-sectors, and having infrastructure layers plus enabling layers for technology, is proving very critical right now, and that favors the portfolio we've built. Just touching on a few of the drivers behind that core growth Andy mentioned, over GBP 1 billion in value in the core — or just under GBP 1 billion in value, sorry, in the core — but 2/3 of the portfolio value coming from there. These companies are more mature, and so we're seeing growth slow somewhat, but that forecast growth of 30% is still well above what you'd see in public markets. This is underpinned by strong gross margins, over 70%, and seven of the 17 companies in the core are profitable. It's very pleasing to see that resilience in that group and the continued growth, and that it's driving those gross portfolio value and NAV returns.

Andy already covered the emerging segment in some depth, so I’ll keep this brief, but we’ve provided a little more clarity on the GBP 200 million of direct investments — how those split out by revenue maturity, and also the steadiness of our approach to investing within each of these sub-sector themes. It’s a longer tail of companies, yet more than GBP 200 million of value, plus a further GBP 150 million of value in the fund of funds. That gives people visibility into what sits beneath the core. A great deal of the support these companies receive is where the team will devote much of its time. These are earlier stage businesses in which active management will make a meaningful difference, so we’re working alongside those companies to try to grow them, and also working with them if they won’t become companies that move into the core — to recycle capital and make sure all investors and founders end up with a good outcome. I think we’d all agree that space is having something of a moment in the technology arena. If you consider what’s behind that, our investment thesis with ICEYE rested on the need for commercial constellations of satellites capable of improving the intelligence derived from optical imaging and synthetic aperture radar imaging.

Here, the main advantage of what they've built is being able to capture pictures of Earth even when clouds are in the way or it's dark outside. And now ICEYE is broadening that sensor lineup to add optical imaging as well as the ground-based data stations that make sense of the data. What they've demonstrated is an ability to serve as the preferred supplier for governments, and that is the primary force behind the shift in their revenue growth trajectory. During 2024, they brought in roughly GBP 130 million of revenue. That grew to more than GBP 250 million in the last year. For 2026, the forecast is above GBP 500 million, with expansion beyond GBP 1 billion the following year. Those financial figures are what's pushing up their valuations, along with, naturally, the comparable multiples coming from other space tech companies. The financing round they announced today, at a EUR 10 billion valuation, has clearly lifted our own NAV per share. It isn't often that in the public markets you release numbers that are already out of date, but that's how it goes. It's a positive story. Our NAV of GBP 7.60 has climbed to GBP 8.77, implied by the valuation on that round.

Naturally, we’ll go through our usual steps in September, but this is a very significant increase for us. ICEYE isn’t the sole company we’ve put money into. Isar Aerospace is the German rocket-launch firm. That idea of European sovereignty and NATO sovereignty truly carries through to these businesses. In our view, Isar is the company that can reach orbital launch and provide NATO nations with the capability to launch satellites of their own. There is obviously a bottleneck. We see that reflected in SpaceX’s valuations. SpaceX is currently booked for launches roughly 3 years ahead, and a fairly active secondary market exists for those slots too. If we can help Isar succeed with its later launches and demonstrate repeatable access to orbit, then they will plainly enjoy a strong valuation tailwind alongside that. Then there’s another company we’ve been investing in for many years: a British business called SatVu. Again, it is a satellite company, with low-Earth orbit satellites, but its technology stands apart because it uses thermal imaging. Whether you are a nation-state, a defense organization, or even a commercial organization, having pictures of the Earth and then being able to observe what is occurring through thermal images means you almost need those two component parts aligned.

Our view is that this ecosystem is going to begin consolidating around various sensors that enable data to be acted upon in real time. This is an area that has us quite enthusiastic. By year-end it already represented 9% of our portfolio. Being able to show that each of those sub-sector themes we have been putting money into offers our shareholders strong exposure to exciting trends matters to us. Fintech is another trend we have invested in for a good while. Perhaps it gets discussed somewhat less than before, yet it remains a very powerful growth engine within our portfolio, with Revolut as the biggest holding, naturally. Over the weekend they released news of their own — or rather, it was Bloomberg who put out some news over the weekend that referenced them, not the company itself. Revolut makes up the biggest piece of this 25%, carrying GBP 175 million of fair value, and after the period end we sold down GBP 63 million, though it is still among our largest assets and keeps growing nicely. On the retail consumer side, we put money into a handful of assets. Our thinking was that this market would not be winner-takes-all.

The market opportunity here is really deep. Through the Forward transaction we put money into N26 and Zopa, so we have exposure there. And it's not only about neobank exposure — we also think about how to drive financial inclusion via entities such as Crowdcube, where we've been an investor and board member for many years, plus smava in Germany, a consumer financing company. Then we examined how incumbent banks would have to respond. The crucial competitive differentiator was that neobanks possessed a far cheaper technology stack, letting them engage customers with a superior user experience and a lower cost per customer as well. We put money into Thought Machine, a core banking system that services Tier 1 banks. We also put money into Form3, a payment architecture. Those are excellent illustrations of the payment and core banking infrastructure layers where we favor investing in tech-enabling themes. FintechOS is another illustration. Low-code, no-code banking for other financial institutions, non-bank financial institutions that want to spin up their own financial products. Much of that architecture is what allows some of these consumer-facing products to be driven. Lastly, I'll touch on the outlook for the coming year.

The year has gotten off to a very quick start. The European sovereignty tailwind in the portfolio is something we shouldn't underestimate. As I said, AI is, in my view, a tailwind for the portfolio. There was obviously a stretch when everyone was chasing exposure to pure enterprise SaaS themes. What I think is happening now is that these infrastructure themes — this investment across sub-thematics, which the push for governments to spend more on defense and resilience is backing — are genuinely supporting what we already hold exposure to. After the period end, as we've already noted, the realization in Revolut generates more capital, and that lets us make new investments. A few people have already pointed out that Isar Aerospace announced a new funding round today that we took part in. That is precisely where we want to be backing those core companies as their growth inflects and as they put meaningful investment tickets to work using this capital. We have a cornerstone investor for our Series B fund. Growing that third-party capital is, we believe, very important, so having that cornerstone in place is something we'll share more detail on in the weeks ahead. Getting that third-party capital strategy moving clearly sets us apart as a business — first, through our ability to consistently deliver on high-quality companies, since we have the depth of capital to do so.

On top of that, pushing fees back into the PLC vehicle, which helps offset our cost base. And I think it validates us as an investment team, with that read-across as more capital comes in. Isar's funding round this morning — clearly a fantastic uplift in their valuation. That comes out of their execution as a business. It's real plaudits to them as a company and how they've executed, but also how they've been led by Rafael and had that leadership, which has driven their ambition, and I think they're very much now the number one player in that ecosystem globally and can expand that even further with those defense budgets increasing. On that NAV accretive use of capital point, this is our guiding star for how we think about realizations, how we think about reinvestment, and how we think about share buybacks. We're very much trying to drive that NAV, so announcing today that we've had a further uplift of 15% on the NAV is clearly something we're very happy about. As I mentioned, tailwinds. The capital that will come into this ecosystem will be driven by governments, but it will also be driven by pension funds. We haven't touched on it too much today, but the NAV, sorry, the Mansion House Accord pensions bill that came through Parliament a few weeks ago, and the general kind of momentum that's been there, has been very slow to come, but there is momentum, and we feel that as an entity that has a public market listing, we have the governance, we have a level of relative scale, and we've proven that we can manage co-investment pools of capital.

We believe our Growth Fund looks highly appealing for pension capital, providing exposure to pan-European investments. We are hopeful that we can expand our AUM and asset base even more. With that, I think we will move on to questions from the floor. Thank you, everyone, for attending, for listening, and for following us. It is obviously a moment of great pride for us to be able to come and speak with you about strong delivery and execution.

Thanks a lot, Ben and Andrew. We’ll take questions from the room first, and after that we’ll move to people joining online. If you’re with us virtually, please send your questions in through the platform.

Thanks. This is Will Larwood from Berenberg. I have a couple of questions. Clearly, you're getting a lift from the space exposure this morning — so how are you viewing that sector going forward, especially when it comes to valuations, given that more capital is flowing into that area? The second part of that: you mentioned the three areas you're currently exposed to — are there any other areas within the space theme that you're considering? Then my second question: regarding the exits you've completed with Revolut and ICEYE, GBP 85 million, what should we expect for realizations in FY 2027? The second part of that is that most of your realizations so far have come from secondaries rather than M&A-type trade sales — could you give us a bit more indication of how the exit market is evolving outside of secondaries?