REG - Duke Capital - Interim Financial Results
Today 07:00
For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20251204:nRSD1619Ka&default-theme=true
RNS Number : 1619K Duke Capital Limited 04 December 2025
4 December 2025
Duke Capital Limited
("Duke Capital", "Duke" or the "Company")
Interim Financial Results for the six months to 30 September 2025
Resilient performance with platform for growth
Duke Capital Limited (AIM: DUKE), a leading provider of hybrid capital
solutions for SME business owners in Europe and North America, is pleased to
announce its interim results for the six months ended 30 September 2025
("Interim 2026").
Financial and Operational Highlights:
· Recurring cash revenue* totalled £13.2 million, an
increase of 3% on Interim 2025 (£12.7 million)
· Total cash revenue also £13.2 million, down 3% from the
prior period (Interim 2025: £13.5 million) due to the absence of investment
exits
· Free cash flow** of £5.9 million, in line with Interim
2025 (£5.9 million), despite no investment exits in the period
· Continued disciplined investment strategy with over £15
million of deployments made into existing Capital Partners during the period
· Cash operating expenses of £2.1 million, down 21% from
Interim 2025 (£2.6 million)
· Cash dividends of 1.40 pence per share paid during the
period (Interim 2025: 1.40 pence per share)
· Cumulative dividends of 21.40 pence per share paid over
33 consecutive quarters since inception
Post-Period End Highlights:
· £6.8 million of recurring cash revenue expected in Q3 FY26,
representing a 5% year-on-year increase (Q3 FY25: £6.5 million)
· In October 2025, invested £3.7 million into Step
Investments Limited to acquire the Irish commercial radio station Galway Bay
FM
* Recurring cash revenue excludes exit premiums and cash gains from the sale
of equity investments
** Free cash flow is defined as net cash inflows from operations plus cash
gains from the sale of equity investments less net transaction costs less
interest paid on borrowings
Nigel Birrell, Chairman of Duke Capital, said: "Our resilient performance over
the first half once again highlights the strength and reliability of Duke's
model. In a period where many SMEs continue to face challenging conditions,
we've remained focused on supporting our partners' growth ambitions and
maintaining stable returns for shareholders.
"Looking ahead, any easing of borrowing costs would be beneficial for Duke,
lowering our own financing costs while improving our relative attractiveness
to income-focused shareholders thanks to our strong yield profile. With a
robust balance sheet and disciplined investment approach, Duke Capital is well
placed to build on its strong foundations."
For further information, please visit https://dukecapital.com/
(https://dukecapital.com/) or contact:
Duke Capital Limited Neil Johnson / Charles Cannon Brookes / Hugo Evans +44 (0) 1481 231 816
Cavendish Capital Markets Limited (Nominated Adviser and Joint Broker) Stephen Keys / Callum Davidson / Michael Johnson +44 (0) 207 220 0500
Canaccord Genuity Limited Adam James / Harry Rees +44 (0) 207 523 8000
(Joint Broker)
SEC Newgate (Financial Communications) Robin Tozer / Alice Cho / Gwen Samuel +44 (0) 20 3757 6882 dukecapital@secnewgate.co.uk
Duke Capital Portfolio
A full list of Duke's current partners is included for reference on the
Partners page of the Company's website: www.dukecapital.com/partners
(http://www.dukecapital.com/partners) .
About Duke Capital
Duke is a leading provider of hybrid capital solutions for SME business owners
in Europe and North America, combining the best features of both equity and
debt.
Since 2017, Duke has provided unique long-term financing which eliminates
re-financing risk and necessity for a short-term exit by providing a unique
'corporate mortgage' while also aligning its returns to grow with the success
of the business.
Duke is focused on generating attractive risk-adjusted returns for
shareholders and has a track record of achieving this across market cycles.
It's three investment pillars are capital preservation, attractive dividend
yield, and to provide upside upon exits.
Duke is listed on the AIM market under the ticker DUKE and is headquartered in
Guernsey.
CHAIRMAN'S REPORT
Dear Shareholder,
I am pleased to report that during the first half of the financial year, Duke
Capital has delivered another period of solid performance, reflecting the
strength of our model and the quality of our portfolio. The Group continued to
generate strong recurring cash revenue and deploy capital prudently to support
our long-term partners in achieving their growth objectives.
During the period, we deployed over £15 million across six existing capital
partners, to enable our partners to pursue strategic acquisitions and organic
expansion. The largest of these was a £6.0 million investment into Integrum
Group Holdings Limited, facilitating the acquisition of Swanborough House, a
long-standing UK freehold care home. All these deployments have contributed to
the continued maturity and cash generation of the portfolio, reinforcing
Duke's capacity to deliver sustainable growth and shareholder returns.
Since the period end, the Company has also announced a follow-on investment of
£3.7 million into Step Investments Limited. These funds allowed Step to
acquire the Irish commercial radio station Galway Bay FM, further
demonstrating Duke's disciplined approach of providing its existing partners
with capital to acquire well-established, cash-generative businesses
Market Environment and Outlook
The steady growth in our investment portfolio has been delivered against what
must be viewed as a tough SME market backdrop, particularly in the UK economy.
Inflationary pressures in the UK have remained stubbornly high, resulting in
the UK having higher interest rates and borrowing costs compared to other
wealthy OECD countries. Furthermore, persistently weak macroeconomic data
releases have led to a challenging market backdrop with credit conditions
tightening and consumer discretionary spend either being curtailed or delayed.
Similarly, improving market conditions are a prerequisite for making headway
with potential third party capital partners who are aligned with our long-term
vision. Our efforts continue to have sustainable growth both organically
inside the portfolio and through new third party capital. However, growth must
serve long-term shareholder value by being on accretive terms - not growth for
its own sake.
Despite these current market headwinds, market consensus, especially following
the recent UK Budget, does point towards a gradual reduction in interest
rates over the next 12 to 18 months to put the UK economy more in line with
its OECD peers. Any such movement would be beneficial to Duke, lowering its
own borrowing costs while improving the Company's relative attractiveness to
income-focused investors given its strong yield profile.
While investor sentiment across UK small-cap equities remains cautious, Duke's
differentiated offering; providing long-term, secured debt capital to
profitable private businesses in the UK, Ireland and North America, continues
to demonstrate resilience and relevance. The Group's diversified portfolio,
recurring cash revenue base and low central overhead underpin a robust balance
sheet and high visibility of future cash generation and dividends.
Looking ahead, Duke Capital remains focused on new capital sources while
continuing disciplined capital allocation through the continued support of its
portfolio companies buy-and-build strategies. The Board remains confident in
the Company's ability to deliver attractive returns and long-term value to
shareholders.
Nigel Birrell
Chairman
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
Note Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Cash flows from operating activities
Receipts from hybrid credit investments 6 12,244 25,000 12,775
Receipts of interest from term credit investments 7 - 158 117
Other operating receipts 906 1,419 652
Operating expenses paid (2,069) (4,186) (2,614)
Payments for hybrid credit participation fees 9 (66) (87) (46)
Tax paid (585) (781) (607)
Net cash inflow from operating activities 10,430 21,523 10,277
Cash flows from investing activities
Hybrid credit investments advanced 6 (13,870) (24,500) (15,322)
Hybrid credit investments repaid 6 - 3,987 3,987
Term credit investments advanced 7 - (2,286) -
Equity investments purchased 8 (1,034) (370) -
Equity dividends received 8 - 21 21
Receipt of deferred consideration 10 - 742 742
Investments costs paid (319) (462) (273)
Net cash outflow from investing activities (15,223) (22,868) (10,845)
Cash flows from financing activities
Proceeds from share issue 14 - 23,500 -
Share issue costs 14 - (1,394) -
Dividends paid 17 (7,030) (12,249) (5,817)
Proceeds from loans 12 - 17,000 17,000
Interest paid 12 (4,206) (8,520) (4,162)
Other finance costs paid - (4) (4)
Net cash (outflow) / inflow financing activities (11,236) 18,333 7,017
Net change in cash and cash equivalents (16,029) 16,988 6,449
Cash and cash equivalents at beginning of period / year 19,767 2,896 2,896
Effect of foreign exchange on cash 11 (117) (164)
Cash and cash equivalents at the end of period / year 3,749 19,767 9,181
CONDENSED CONSOLIDATED STATEMENT OF INCOME
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
Note (unaudited) (audited) (unaudited)
£000 £000 £000
Income
Hybrid credit investment income 6 13,704 19,168 8,512
Term credit investment income 7 - 158 117
Equity investment income 8 (2,579) (5,849) 990
Other operating income 906 1,742 652
Total Income 12,031 15,219 10,271
Investment costs
Transaction costs (38) (114) (115)
Investment costs (68) (57) -
Due diligence costs 30 (87) 36
Total investment costs (76) (258) (79)
Operating costs
Administration and personnel (1,734) (3,509) (2,286)
Legal and professional (205) (449) (258)
Other operating costs (127) (381) (216)
Expected credit losses 7 - 78 -
Share-based payments 15 (264) (409) (427)
Total operating costs (2,330) (4,670) (3,187)
Operating profit 9,625 10,291 7,005
Net foreign currency movement 12 (99) (163)
Finance costs 3 (4,568) (9,454) (4,689)
Profit for the period before tax 5,069 738 2,153
Taxation (expense) / credit 4 (319) 1,267 (181)
Total comprehensive income for the period 4,750 2,005 1,972
Basic earnings per share (pence) 5 0.95 0.45 0.47
Diluted earnings per share (pence) 5 0.95 0.45 0.47
All income is attributable to the holders of the Ordinary Shares of the
Company.
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
30-Sep-25 31-Mar-25 30-Sep-24
Note (unaudited) (audited) (unaudited)
£000 £000 £000
Non-current assets
Goodwill 13 203 203 203
Hybrid credit finance investments 6 201,224 190,100 185,871
Term credit investments 7 - 2,322 5,382
Equity investments 8 15,021 15,812 16,873
Trade and other receivables 10 - - 1,574
Deferred tax 18 2,877 2,877 804
219,325 211,314 211,378
Current assets
Hybrid credit finance investments 6 39,117 35,584 32,195
Term credit investments 7 2,322 - -
Trade and other receivables 10 1,911 1,936 31
Cash and cash equivalents 3,749 19,767 9,181
Current tax asset - - 186
47,099 57,287 41,593
Total Assets 266,424 268,601 252,300
Current liabilities
Hybrid credit debt liabilities 9 141 140 160
Trade and other payables 11 315 444 416
Borrowings 12 663 723 736
Current tax liability - 266 -
1,119 1,573 1,312
Non-current liabilities
Hybrid credit debt liabilities 9 913 898 944
Trade and other payables 11 823 967 992
Borrowings 12 88,033 87,611 87,189
89,769 89,476 89,125
Net Assets 175,536 177,552 161,863
Equity
Shares issued 14 195,045 195,045 172,939
Share-based payment reserve 15 5,058 4,794 4,812
Warrant reserve 15 3,036 3,036 3,036
Retained losses 16 (27,603) (25,323) (18,924)
Total Equity 175,536 177,552 161,863
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Share-based
Shares payment Warrant Retained Total
Note issued reserve reserve losses equity
£000 £000 £000 £000 £000
At 1 April 2024 172,939 4,385 3,036 (15,079) 165,281
Total comprehensive income for the period - - - 1,972 1,972
Transactions with owners
Share-based payments 15 - 427 - - 427
Dividends 17 - - - (5,817) (5,817)
Total transactions with owners - 427 - (5,817) (5,390)
At 30 September 2024 172,939 4,812 3,036 (18,924) 161,863
Total comprehensive income for the period - - - 33 33
Transactions with owners
Shares issued for cash 23,500 - - - 23,500
Share issuance costs (1,394) - - - (1,394)
Share-based payments 15 - (18) - - (18)
Dividends 17 - (6,432) (6,432)
Total transactions with owners 22,106 (18) - (6,432) 15,656
At 31 March 2025 195,045 4,794 3,036 (25,323) 177,552
Total comprehensive income for the period - - - 4,750 4,750
Transactions with owners
Share-based payments 15 - 264 - - 264
Dividends 17 - - - (7,030) (7,030)
Total transactions with owners - 264 - (7,030) (6,766)
At 30 September 2025 195,045 5,058 3,036 (27,603) 175,536
NOTES TO THE FINANCIAL STATEMENTS
1. General Information
Duke Capital Limited ("Duke Capital" or the "Company") is a company limited by
shares, incorporated in Guernsey under the Companies (Guernsey) Law, 2008. Its
shares are traded on the AIM market of the London Stock Exchange.
Throughout the period, the "Group" comprised Duke Capital Limited and its
wholly owned subsidiaries; Duke Capital UK Credit Limited, Duke Capital US
Holdings, Inc and Duke Capital Employee Benefit Trust.
The Group's investing policy is to invest in a diversified portfolio of hybrid
credit finance and related opportunities.
2. Significant accounting policies
2.1 Basis of preparation
The interim Condensed Consolidated Financial Statements of the Group have been
prepared in accordance with UK adopted international accounting standards, and
applicable Guernsey law, and reflect the following policies, which have been
adopted and applied consistently.
On 31 December 2020, IFRS as adopted by the European Union at that date was
brought into the UK law and became UK-adopted international accounting
standards, with future changes being subject to endorsement by the UK
Endorsement Board. The Group transitioned to UK-adopted international
accounting standards in its consolidated financial statements on 1 April 2021.
There was no impact or changes in accounting from the transition.
These condensed consolidated interim financial statements have been prepared
in accordance with International Accounting Standard ("IAS") 34 Interim
Financial Reporting, as adopted for use in the UK.
The accounting policies adopted in the preparation of the interim Condensed
Consolidated Financial Statements are consistent with those followed in the
preparation of the Consolidated Financial Statements of the Group for the year
ended 31 March 2025.
No new or revised standards or interpretations that have become effective
during the period ended 30 September 2025 have had a material effect on the
financial statements of the Group.
The Directors consider that the Group has adequate financial resources to
enable it to continue operations for a period of no less than 12 months from
the date of approval of the financial statements. Accordingly, the Directors
believe that it is appropriate to continue to adopt the going concern basis in
preparing the financial statements.
2.2 Going concern
In assessing the going concern basis of accounting the Directors have had
regard to the guidance issued by the Financial Reporting Council. After making
enquiries and bearing in mind the nature of the Company's business and assets,
the Directors consider that the Company has adequate resources to continue in
operational existence for the foreseeable future.
The cash flow needs of the Group have been assessed taking account the need
for further funding for any of the existing hybrid credit partners and the
ongoing working capital needs of the business against the current cash and
liquidity of the Group.
2.3 Material accounting policies
In the application of the Group's accounting policies, the Directors are
required to make judgements, estimates and assumptions about the carrying
amounts of assets and liabilities that are not readily apparent from other
sources. The estimates and associated assumptions are based on historical
experience and other factors that are considered to be relevant. Actual
results may differ from these estimates. The estimates and underlying
assumptions are reviewed on an ongoing basis. Revisions to accounting
estimates are recognised in the period in which the estimate is revised if the
revision affects only that period, or in the period of the revision and future
periods, if the revision affects both current and future periods.
The principal accounting policies applied in the presentation of the condensed
consolidated interim financial statements of Duke Capital, including the
critical accounting judgements made by the Directors and the key sources of
estimation, are consistent with those followed in the preparation of the
Group's Annual Report and consolidated financial statements for the year ended
31 March 2025 and have been consistently applied throughout the period ended
30 September 2025.
3. Finance Costs
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Interest payable on borrowings 4,146 8,611 4,268
Deferred finance costs released to P&L 422 843 421
4,568 9,454 4,689
4. Income tax
The Company has been granted exemption from Guernsey taxation. The Company's
subsidiary in the UK is subject to taxation in accordance with relevant tax
legislation.
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Current tax
Income tax expense 319 1,362 577
Deferred tax
Increase in deferred tax assets - (2,629) (396)
- (2,629) (396)
Income tax expense / (credit) 319 (1,267) 181
Factors affecting income tax expense for the period
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Profit on ordinary activities before tax 5,069 738 2,153
Guernsey taxation at 0% (30 September 2024: 0%, 31 March 2025: 0%) - - -
UK withholding tax at 20% (30 September 2024: 20%, 31 March 2025: 20%) - 1,042 -
Overseas tax charges at rate higher than 0% 319 320 181
Deferred tax benefit - (2,629) -
Income tax expense 319 (1,267) 181
5. Earnings per share
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Total comprehensive income (£000) 4,750 2,005 1,972
Weighted average number of Ordinary Shares in issue, excluding treasury shares 502,602 443,930 415,865
(000s)
Basic earnings per share (pence) 0.95 0.45 0.47
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Total comprehensive income (£000) 4,750 2,005 1,972
Diluted weighted average number of Ordinary Shares in issue, excluding 502,602 443,930 415,865
treasury shares (000s)
Diluted earnings per share (pence) 0.95 0.45 0.47
Basic earnings per share is calculated by dividing total comprehensive income
for the period by the weighted average number of shares in issue throughout
the period, excluding treasury shares (see Note 14). Diluted earnings per
share represents the basic earnings per share adjusted for the effect of
dilutive potential shares issuable on exercise of share options under the
Company's share-based payment schemes, weighted for the relevant period.
All share options, warrants and Long-Term Incentive Plan awards in issue are
not dilutive at the year-end as the exercise prices were above the average
share price for the period. However, these could become dilutive in future
periods.
Adjusted earnings per share
Adjusted earnings represent the Group's underlying performance from core
activities. Adjusted earnings is the total comprehensive income adjusted for
unrealised and non-core fair value movements, non-cash items and
transaction-related costs, including due diligence fees, together with the tax
effects thereon. Given the sensitivity of the inputs used to determine the
fair value of its investments, the Group believes that adjusted earnings is a
better reflection of its ongoing financial performance.
Valuation and other non-cash movements such as those outlined are not
considered by management in assessing the level of profit and cash generation
of the Group. Additionally, IFRS 9 requires transaction-related costs to be
expensed immediately whilst the income benefit is over the life of the asset.
As such, an adjusted earnings measure is used which reflects the underlying
contribution from the Group's core activities during the year.
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Total comprehensive income for the period 4,750 2,005 1,972
Unrealised fair value movements 1,874 14,070 3,293
Expected credit losses - (78) -
Share-based payments 264 409 427
Net transaction costs 76 257 79
Tax effect of the adjustments above at country rate (162) (1,223) (319)
Adjusted earnings 6,802 15,440 5,452
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Adjusted earnings for the year (£000) 6,802 15,440 5,452
Weighted average number of Ordinary Shares in issue, excluding treasury shares 502,602 443,930 415,865
(000s)
Adjusted earnings per share (pence) 1.35 3.48 1.31
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Diluted adjusted earnings for the year (£000) 6,802 15,440 5,452
Diluted weighted average number of Ordinary Shares in issue, excluding 502,602 443,930 415,865
treasury shares (000s)
Diluted adjusted earnings per share (pence) 1.35 3.48 1.31
6. Hybrid credit investments
Hybrid credit investments are financial assets held at FVTPL that relate to
the provision of hybrid credit capital to a diversified portfolio of
companies.
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Brought forward 225,684 210,948 210,948
Additions - cash 13,870 24,500 15,322
Additions - refinancing of term credit investment (note 7) - 3,250 -
Exits - cash - (3,987) (3,987)
Settled via issue of equity investment (note 8) - (848) -
Gain / (loss) on financial assets at FVTPL 787 (8,179) (4,217)
Carried forward 240,341 225,684 218,066
Hybrid credit investments are comprised of:
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Non-current 201,224 190,100 185,871
Current 39,117 35,584 32,195
240,341 225,684 218,066
Hybrid credit investment income on the face of the consolidated statement of
comprehensive income comprises:
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Hybrid credit interest 12,244 24,184 11,959
Hybrid credit premiums - 816 816
Total hybrid credit cash revenue 12,244 25,000 12,775
Hybrid credit equitised revenue 754 2,368 -
Gain / (loss) on hybrid credit assets at FVTPL 787 (8,179) (4,217)
Loss on hybrid credit liabilities at FVTPL (82) (21) (46)
Hybrid credit investment income 13,704 19,168 8,512
All financial assets held at FVTPL are mandatorily measured as such.
The Group's hybrid credit investment assets comprise hybrid credit financing
agreements with 14 (30 September 2024: 14, 31 March 2025: 14) capital
partners. Under the terms of these agreements the Group advances funds in
exchange for annualised hybrid credit distributions. The distributions are
adjusted based on the change in the investees' revenues, subject to a floor
and a cap. The financing is secured by way of fixed and floating charges over
certain of the investees' assets. The investees are provided with buyback
options, exercisable at certain stages of the agreements.
7. Term credit investments
Term credit investments are financial assets held at amortised cost. The
impact of discounting is immaterial to the Consolidated Financial Statements.
The below table shows both the loans at amortised cost and fair value.
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Brought forward 2,322 5,382 5,382
Additions - 2,286 -
Refinanced via hybrid credit investment (note 6) - (3,250)
Settled via issue of equity investment (note 8) - (2,192) -
ECL allowance - 60 -
Foreign exchange movement - 36
2,322 2,322 5,382
The Group's term credit investments comprise a secured loan advanced to one
entity (30 September 2024: two, 31 March 2025: one) in connection with the
Group's hybrid credit investments. The terms include a floating rate of
interest payable on repayment of the investment and a maturity date on or
before 4 April 2026.
The loan matures as follows:
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
In less than one year 2,322 - -
In one to two years - 2,322 -
In two to five years - - 5,382
2,322 2,322 5,382
Loan investment net income on the face of the consolidated statement of
comprehensive income comprises:
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Loan interest - 158 117
ECL Analysis
The measurement of ECLs is primarily based on the product of the instrument's
probability of default ("PD"), loss given default ("LGD"), and exposure at
default ("EAD"). The Group analyses a range of factors to determine the credit
risk of each investment. These include, but are not limited to:
· liquidity and cash flows of the underlying businesses
· security strength
· covenant cover
· balance sheet strength
If there is a material change in these factors, the weighting of either the
PD, LGD or EAD increases, thereby increasing the ECL impairment.
The disclosure below presents the gross and net carrying value of the Group's
loan investments by stage:
Gross carrying amount Allowance for ECLs Net
Carrying amount
As at 30 September 2024 £000 £000 £000
Stage 1 5,402 (20) 5,382
Stage 2 - - -
Stage 3 - - -
5,402 (20) 5,382
Gross carrying amount Allowance for ECLs Net
Carrying amount
As at 31 March 2025 £000 £000 £000
Stage 1 2,322 - 2,322
Stage 2 - - -
Stage 3 - - -
2,322 - 2,322
Gross carrying amount Allowance for ECLs Net
Carrying amount
As at 30 September 2025 £000 £000 £000
Stage 1 2,322 - 2,322
Stage 2 - - -
Stage 3 - - -
2,322 - 2,322
Under the ECL model introduced by IFRS 9, impairment provisions are driven by
changes in credit risk of instruments, with a provision for lifetime expected
credit losses recognised where the risk of default of an instrument has
increased significantly since initial recognition.
The credit risk profile of the investments has not increased materially and
they remain Stage 1 assets. No ECLs have been charged in the period on these
assets as they are not deemed material.
The following table analyses Group's provision for ECL's by stage for the
period ended 30 September 2025:
Stage 1 Stage 2 Stage 3 Total
£000 £000 £000 £000
At 1 April 2024 and 1 October 2024 78 - - 78
Expected credit losses on loan investments in period (60) - - (60)
Expected credit losses on other receivables in year (18) (18)
Carrying value at 31 March 2025 and 30 September 2025 - - - -
8. Equity investments
Equity investments are financial assets held at FVTPL.
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Brought forward 15,812 15,904 15,904
Additions - cash 1,034 370 -
Additions - equitised revenue 754 2,368 -
Additions - receipt of equity as part settlement of hybrid credit investment - 848 -
(note 6)
Additions - receipt of equity as part settlement of term credit investment - 2,192 -
(note 7)
(Loss) / gain on equity assets at FVTPL (2,579) (5,870) 969
Carried forward 15,021 15,812 16,873
The Group's equity investments comprise unlisted shares in 12 of its capital
partners (30 September 2024: 12, 31 March 2025: 12).
Equity investment net income on the face of the consolidated statement of
comprehensive income comprises:
Period to Year to Period to
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Unrealised gain / (loss) on equity assets at FVTPL (2,579) (5,870) 969
Dividend income - 21 21
(2,579) (5,849) 990
9. Hybrid credit debt liabilities
Hybrid credit debt liabilities are financial liabilities held at FVTPL.
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Brought forward 1,038 1,104 1,104
Payments made (66) (87) (46)
Loss on financial assets held at FVTPL 82 21 46
1,054 1,038 1,104
Hybrid credit debt liabilities are comprised of:
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Current 141 140 160
Non-current 913 898 944
1,054 1,038 1,104
10. Trade and other receivables
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Current
Prepayments and accrued income 337 362 31
Other receivables 1,574 1,574 -
1,911 1,936 31
Non-current
Other receivables - - 1,574
1,911 1,936 1,605
11. Trade and other payables
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Current
Trade payables 18 13 67
Transaction costs 221 241 238
Accruals and deferred income 76 190 111
315 444 416
Non-current
Transaction costs 823 967 992
1,138 1,411 1,408
12. Borrowings
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Secured loan
Current - accrued interest 663 723 736
Non-current 88,033 87,611 87,189
88,696 88,334 87,925
At 30 September 2025, £10,000,000 was undrawn on the facility (30 September
2024: £10,000,000, 31 March 2025: £10,000,000).
At 30 September 2025, £1,967,000 of unamortised warrant costs and fees were
outstanding (30 September 2024: £2,811,000, 31 March 2025: £2,336,000).
The table below sets out an analysis of net debt and the movements in net debt
for the period ended 30 September 2025, the prior period and the year ended 31
March 2025.
Interest Payable Borrowings
£000 £000
At 1 April 2024 632 69,772
Cash movements
Loan advanced - 17,000
Deferred finance costs paid - (4)
Interest paid (4,162) -
Non-cash movements
Deferred finance costs released to P&L - 421
Interest charged 4,268 -
As at 30 September 2024 736 87,189
Cash movements
Interest paid (4,358) -
Non-cash movements
Deferred finance costs released to P&L - 422
Interest charged 4,344 -
At 31 March 2025 723 87,611
Cash movements
Interest paid (4,206) -
Non-cash movements
Deferred finance costs released to P&L - 422
Interest charged 4,146 -
As at 30 September 2025 663 88,033
13. Goodwill
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Goodwill arising on business combination 203 203 203
14. Share capital
External Shares Treasury Shares Total shares £000
No. No. No.
Allotted, called up and fully paid
At 1 April 2024 415,427 6,063 421,490 172,939
Shares issued to Employee Benefit Trust during the period - 2,871 2,871 -
PSA shares vested during the period 1,316 (1,316) - -
At 30 September 2024 416,743 7,618 424,361 172,939
Shares issued for cash during the year 85,455 - 85,455 23,500
Share issuance costs - - - (1,394)
At 31 March 2025 502,198 7,618 509,816 195,045
Shares issued to Employee Benefit Trust during the period - - - -
PSA shares vested during the period 1,319 (1,319) - -
At 30 September 2025 503,517 6,299 509,816 195,045
There is a single class of shares. There are no restrictions on the
distribution of dividends and the repayment of capital with respect to
externally held shares. The shares held by the Duke Capital Employee Benefit
Trust are treated as treasury shares. The rights to dividends and voting
rights have been waived in respect of these shares.
15. Equity-settled share-based payments
Warrant reserve
There were no movements in the warrant reserve during the period:
Warrants
No. (000) £'000
At 1 April 2024, 31 March 2025 and 30 September 2025 41,615 3,036
The warrants expire in January 2028 and have an exercise price of 45 pence. As
per IFRS 2, the warrants have been valued using the Black Scholes model. A
total expense of £2,771,000 has been capitalised and will be amortised over
the life of the warrants. In the period to 30 September 2025, an expense of
£277,000 (30 September 2024: £277,000, 31 March 2025: £554,000) was
recognised through finance costs in relation to the warrants.
At 30 September 2025, 41,615,000 (30 September 2024: 41,615,000, 31 March
2025: 41,615,000) warrants were outstanding and exercisable at a weighted
average exercise price of 45 pence (30 September 2024: 45 pence, 31 March
2025: 45 pence). The weighted average remaining contractual life of the
warrants outstanding was 2.2 years (30 September 2024: 3.3 years, 31 March
2025: 2.8 years).
Share-based payment reserve
The following table shows the movements in the share-based payment reserve
during the period:
£'000
At 1 April 2024 4,385
LTIP awards 427
At 30 September 2024 4,812
LTIP awards (18)
At 31 March 2025 4,794
LTIP awards 264
At 30 September 2025 5,058
Long Term Incentive Plan
Under the rules of the Long-Term Incentive Plan ("LTIP") the Remuneration
Committee may grant Performance Share Awards ("PSAs") which vest after a
period of three years and are subject to various performance conditions. The
LTIP awards will be subject to a performance condition based 50 per cent on
total shareholder return ("TSR") and 50 per cent on total cash available for
distribution ("TCAD per share"). TSR can be defined as the returns generated
by shareholders based on the combined value of the dividends paid out by the
Company and the share price performance over the period in question. Upon
vesting the awards are issued fully paid.
The fair value of the LTIP awards consists of (a) the fair value of the TSR
portion; and (b) the fair value of the TCAD per share portion. Since no
consideration is paid for the awards, the fair value of the awards is based on
the share price at the date of grant, as adjusted for the probability of the
likely vesting of the performance conditions. Since the performance condition
in respect of the TSR portion is a market condition, the probability of
vesting is not revisited following the date of grant. The probability of
vesting of the TCAD per share portion, containing a non-market condition, is
reassessed at each reporting date. The resulting fair values are recorded on a
straight-line basis over the vesting period of the awards.
4,663,000 PSAs were granted during the period to 30 September 2025 (30
September 2024: 6,226,000, 31 March 2025: 6,226,000).
At 30 September 2025, 14,521,000 (30 September 2024: 13,684,000, 31 March
2025: 13,684,000) PSAs were outstanding. The weighted average remaining
vesting period of these awards outstanding was 1.9 years (30 September 2024:
2.4 years, 31 March 2025: 1.5 years). Issuance of PSAs is wholly dependent on
TSR and TCAD performance conditions being met.
16. Distributable reserves
Under Guernsey law, the Company can pay dividends provided it satisfies the
solvency test prescribed by the Companies (Guernsey) Law, 2008. The solvency
test considers whether the Company is able to pay its debts when they fall
due, and whether the value of the Company's assets is greater than its
liabilities. The Company satisfied the solvency test in respect of the
dividends declared in the period.
17. Dividends
The following interim dividends have been recorded in the period to 30
September 2025, 31 March 2025 and 30 September 2024:
Dividend per Dividends
share payable
Record date Payment date pence/share £000
2 April 2024 12 April 2024 0.70 2,908
28 June 2024 12 July 2024 0.70 2,909
Dividends payable for the period ended 30 September 2024 5,817
Dividend per Dividends
share Payable
Record date Payment date pence/share £000
27 September 2024 14 October 2024 0.70 2,917
27 December 2024 14 January 2025 0.70 3,515
Dividends payable for the period ended 31 March 2025 6,432
31 March 2025 14 April 2025 0.70 3,515
23 June 2025 14 July 2025 0.70 3,515
Dividends payable for the period ended 30 September 2025 7,030
On 26 September 2025 the Company approved a further quarterly cash dividend of
0.70 pence per share, totalling £3,516,000, which was paid on 14 October
2025.
18. Deferred tax
Hybrid credit investment Tax Total
losses
£'000 £'000 £'000
1 April 2024 195 213 408
(Charged) / credited to profit & loss - 396 396
At 30 September 2024 195 609 804
(Charged) / credited to profit & loss (5) 2,236 2,231
Utilised in year - (158) (158)
At 31 March 2025 and 30 September 2025 190 2,687 2,877
A deferred tax asset has been recognised as it is expected that future
available taxable profits will be available against which the Group can use
against the tax losses.
19. Fair value measurements
Fair value hierarchy
IFRS 13 requires disclosure of fair value measurements by level of the
following fair value hierarchy:
Level 1: Inputs are quoted prices (unadjusted) in active markets for identical
assets and liabilities that the entity can readily observe.
Level 2: Inputs are inputs other than quoted prices included within Level 1
that are observable for the asset, either directly or indirectly.
Level 3: Inputs that are not based on observable market data (unobservable
inputs).
The Group has classified its financial instruments into the three levels
prescribed as follows:
30-Sep-25 31-Mar-25 30-Sep-24
(unaudited) (audited) (unaudited)
£000 £000 £000
Financial assets
Financial assets at FVTPL
- Hybrid credit investments 240,341 225,684 218,066
- Equity investments 15,021 15,812 16,873
255,362 241,496 234,939
Financial assets at amortised cost
- Term credit investments 2,322 2,322 5,382
257,684 243,818 240,321
Financial liabilities
Financial liabilities at FVTPL
- Hybrid credit debt liabilities 1,054 1,038 1,104
Financial liabilities at amortised cost
- Borrowings 88,696 88,334 87,925
89,750 89,372 89,029
Valuation techniques used to determine fair values
The fair value of the Group's hybrid credit financial instruments is
determined using discounted cash flow analysis and all the resulting fair
value estimates are included in level 3. The fair value of the equity
instruments is determined applying an EBITDA multiple to the underlying
businesses forward looking EBITDA. All resulting fair value estimates are
included in level 3.
20. Events after the financial reporting date
Investments
In October, the Company announced a £3.7 million follow-on investment into
Step Investments.
Dividends
On 14 October 2025, the Company paid a quarterly dividend of 0.70 pence per
share.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END IR ZZMGZLFKGKZM
Copyright 2019 Regulatory News Service, all rights reservedRecent news on Duke Capital
See all newsREG - Duke Capital - Interim Financial Results
AnnouncementREG - Duke Capital - Follow-On Investment into Step Investments Limited
AnnouncementREG - Duke Capital - Follow-On Investment into Integrum Group Holdings
AnnouncementREG - Duke Capital - Trading Update
AnnouncementREG - Duke Capital - Interim Dividend and Dividend Declaration
Announcement