EQT AB Group

EQT AB (publ) Year-end report 2023

Investment activity reaccelerated in uncertain markets
“In 2023, EQT cemented our global position through the successful integration of BPEA in Asia, delivered on our strategic objective to offer investment strategies tailored for individual investors, and invested with confidence into what we think is an attractive market. We enter our fourth decade primed to build on the first thirty years, continuing to leverage our leadership in areas like sustainability, AI and digitalization for the best of our portfolio, our clients and our shareholders.”

Christian Sinding,
CEO and Managing Partner

Highlights for the period ‌​​Jan-Dec 2023​‌ (‌​​‌Jan-Dec 2022​‌)


  • In 2023, EQT delivered a significant uplift in management fees based on strong fundraising and the full-year effect of the combination with BPEA, whereas carried interest was lower due to slower realizations and largely flat fund valuations. Adjusted margins increased through operational efficiency and scaling effects
  • Total revenue (adjusted*) amounted to EUR ‌​​2,131​‌m (EUR ‌​​‌1,536​‌m), an increase of ‌​​​39%​‌. Total revenue (according to IFRS) was EUR ‌​​‌‌2,084​‌m (EUR ‌​​‌​1,497​‌m). Management fees increased by ‌​​​‌48%​‌, driven by Private Capital and Infrastructure as well as the full-year contribution of BPEA
  • Carried interest and investment income (adjusted*) amounted to EUR ‌​​​​165​‌m (EUR ‌​​‌‌‌208​‌m), a decrease of ‌​​‌‌​21%​‌. IFRS carried interest and investment income amounted to EUR ‌​​‌​‌118​‌m (EUR ‌​​‌​​169​‌m), a decrease of ‌​​​‌‌30%​‌
  • EBITDA (adjusted*) amounted to EUR ‌​​​‌​1,226​‌m (EUR ‌​​​​‌829​‌m), corresponding to an adjusted margin of ‌​​​​​58%​‌ (‌​​‌‌‌‌54%​‌). EBITDA (according to IFRS) was EUR ‌​​‌‌‌​693​‌m (EUR ‌​​‌‌​‌506​‌m), corresponding to a margin of ‌​​‌‌​​33%​‌ (‌​​‌​‌‌34%​‌)
  • Fee-related EBITDA (adjusted*) amounted to EUR ‌​​‌​‌​1,062​‌m (EUR ‌​​‌​​‌621​‌m), corresponding to an adjusted margin of ‌​​‌​​​54%​‌ (‌​​​‌‌‌47%​‌)
  • Net income (adjusted*) from continuing operations amounted to EUR ‌​​​‌‌​1,019​‌m (EUR ‌​​​‌​‌654​‌m). Net income from continuing operations (according to IFRS) was EUR ‌​​​‌​​139m (EUR ‌​​​​‌‌176​‌m)
  • Basic earnings per share (adjusted*) for continued operations amounted to EUR ‌​​​​‌​0.860​‌ (EUR ‌​​​​​‌0.634​‌). Diluted earnings per share (adjusted*) for continued operations amounted to EUR ‌​​​​​​0.859​‌ (EUR ‌​​‌‌‌‌‌0.634​‌). Reported basic earnings per share for continued operations amounted to EUR ‌​​‌‌‌‌​0.117​‌ (EUR ‌​​‌‌‌​‌0.171​‌). Diluted earnings per share for continued operations amounted to EUR ‌​​‌‌‌​​0.117​‌ (EUR ‌​​‌‌​‌‌0.171​‌)


  • The integration with BPEA, including the alignment of investment teams and processes, was completed. As of year-end 2023, BPEA EQT was rebranded “EQT Private Capital Asia“, enhancing EQT’s global brand reach
  • EQT launched its first semi-liquid products, EQT Nexus and EQRT. EQT Nexus and EQRT represent a new distribution channel for EQT by providing access for individuals to invest in private markets. EQT Nexus provides access to a diversified portfolio of EQT’s funds, and EQRT focuses on direct investments in commercial real estate
  • EQT laid the groundwork for a healthcare growth strategy by making strategic hires for its Private Capital Healthcare advisory team, enhancing its expertise in early-stage healthcare investments


  • FAUM increased to EUR ‌​​130​‌bn (EUR ‌​​‌113​‌bn). Total AUM was EUR ‌​​​232​‌bn (EUR ‌​​‌‌210​‌bn). Gross inflows were primarily driven by closed out commitments from EQT X and EQT Infrastructure VI and amounted to EUR ‌​​‌​24​‌bn (EUR 55bn, of which over EUR 20bn following the combination with EQT Private Capital Asia)
  • EQT Exeter Industrial Value Fund VI held its final close at USD 4.9bn of fee-generating commitments, exceeding its target size of USD 4.0bn
  • Fundraising continued for EQT X with fee-generating commitments of EUR ‌​​​‌20.1​‌bn as of year-end. EQT X is expected to close at its hard cap in Q1 2024
  • As of year-end, EQT Infrastructure VI had fee-generating commitments of EUR ‌13.7‌bn. As of today (18 January), the fund has secured commitments of close to EUR 14.5bn. Fundraising is set to continue well into 2024, and the fund is expected to reach its target fund size
  • Fundraising continued for EQT Future, EQT Exeter US Multifamily Value II, EQT Exeter Europe Logistics Core-Plus II and EQT Active Core Infrastructure, with fundraisings generally taking longer in the current fundraising environment
  • Fundraising continued for BPEA EQT Mid Market Growth, and the hard cap was increased to USD 1.4bn

Investment and exit activity1

  • Total investments by the EQT funds during the period amounted to EUR ‌​​19​‌bn (EUR ‌​​‌12​‌bn), as EQT reaccelerated the pace of investments to seize opportunities supported by long-term secular growth trends. Infrastructure had its most active investment year ever with EUR 9bn of investments, Private Capital announced investments close to EUR 9bn, and investment volumes in EQT Exeter picked up towards the end of the year with almost EUR 2bn of investments in total for the year
  • Investments were primarily made in sectors such as healthcare, technology, and digital. Examples of investments include Dechra Pharmaceuticals, a global developer, manufacturer and supplier of products relating to pets (EQT X), Zeus, a leading supplier of custom polymer components to the world’s most innovative medical device and industrial companies (EQT X), Heritage Environmental Services, a leading provider of industrial waste management (EQT Infrastructure VI), and Indira IVF, India’s largest chain of fertility clinics (BPEA VIII)
  • Total gross fund exits announced during the period amounted to EUR ‌​​​6​‌bn (EUR ‌​​‌‌11​‌bn)

Investment performance

  • All key funds continued to perform On plan or Above plan
  • Key fund valuations were for the most part flat on a Gross MOIC basis, and in aggregate, the key fund valuations were up. The portfolio continued to develop well, but with some pockets of underperformance. Revenue growth slowed in Private Equity, offset by margin improvements which drove higher EBITDA growth, and the Infrastructure portfolio remained resilient. Listed companies in EQT’s key funds were down on average

Balance sheet, realization of carried interest and liquidity

  • At 31 December 2023, interest bearing liabilities amounted to EUR ‌​​2,021​‌m. Cash and cash equivalents amounted to EUR ‌​​‌1,114​‌m, EQT’s EUR 1.5bn revolving credit facility was undrawn, and Net Debt (ND) amounted to EUR ‌​​​886​‌m. ND/Adjusted EBITDA was ‌​​‌‌0.7x​‌ and ND/Adjusted Fee-related EBITDA ‌​​‌​0.8x​‌
  • Carried interest (adjusted*) amounted to EUR 142m (EUR 202m). Realized (cash) carried interest amounted to EUR 115m (EUR 190m)
  • EQT completed a repurchase of 1.8m shares, with the objective of over time offsetting the dilution impact from EQT’s Incentive Programs


  • The number of full-time equivalent employees and on-site consultants (FTE+) amounted to ‌​​1,838​‌ (‌​​‌1,790​‌), of which ‌​​​1,777​‌ (‌​​‌‌1,669​‌) were FTEs
  • Suzanne Donohoe joined EQT in January as Chief Commercial Officer to drive EQT’s external commercial activities
  • EQT further strengthened its investment organization with senior talent including Francesco Starace, former CEO and General Manager of Enel, joining EQT as a Partner within the EQT Infrastructure Advisory Team, bringing deep experience and expertise in energy and energy-transition related industries
  • Maarten de Jong and Mark Braganza joined EQT's Private Capital Healthcare team as Partners, to bolster the new EQT Healthcare Growth Strategy, focused on early-stage healthcare investments


  • As the first private markets firm to set Science Based Targets, we have supported 29 portfolio companies to get validated science-based targets, and additionally, close to 30 are now in the process of getting there
  • EQT published its Net Zero Guidelines and set a target that 100% of the EQT funds’ portfolio companies and real estate assets should be on track to achieve their 1.5°C aligned decarbonization plans by 2040
  • EQT expanded Motherbrain across all business lines, enabling investment advisory teams from every corner of the company to leverage EQT’s collective insights and proprietary platform
  • EQT continued to drive efficiencies and scalability in its central platform and improving the client experience. For example, EQT reduced the distribution time of fund reports from 52 to 40 business days after quarter close


  • EQT opened an office in Seoul, South Korea, and EQT Infrastructure VI acquired SK Shieldus, a leading South Korean integrated security operator
  • EQT’s Global Capital Markets team put in place a structure for equity capital market services, similar to its already established practice of providing debt underwriting, in equity and notes offerings related to EQT and its portfolio companies
  • Going forward, EQT intends to further increase transparency by providing a combination of metrics related to carried interest. EQT will continue to report carried interest after applying a valuation buffer on the underlying fund valuations (currently defined as adjusted carried interest) as well as cash carried interest. In addition, EQT will provide carried interest based on underlying fund valuations without a discount (mark-to-market). With the revised reporting, EQT will provide a highly transparent carried interest reporting, including the short-term direct impact of fund valuation changes (mark-to-market), a high degree of visibility on expected mid-term cash flows (carried interest post fund valuation buffer), as well as the actual cash flows related to carried interest (cash carried interest)

Events after the reporting period

  • Investment levels in EQT key funds as of 18 January 2024, were 30-35% in EQT X, 30-35% in EQT Infrastructure VI and 40-45% in BPEA VIII
  • EQT introduced the new Healthcare Growth Strategy, a dedicated healthcare buyout strategy, with the acquisition of life sciences tools company Mabtech
  • The Board proposes a dividend per share of SEK 3.60 (SEK 3.00), to be paid in two installments, SEK 1.80 (SEK 1.50) in June 2024 and SEK 1.80 (SEK 1.50) in December 2024

* Adjusted figures. The adjusted metrics are alternative performance metrics for the EQT AB Group.

1) Signed transactions, if not otherwise mentioned

Presentation of EQT AB’s Year-end Report 2023

Financial analysts and media are invited to participate in a conference call, including a presentation at 08:30 CET.

The presentation and a link to follow the webcast and conference call live can be found here and a recording will be available afterwards.

To participate by phone, please register here. You will then receive your personal dial-in details, to be able to ask questions during the Q&A.

Information on EQT AB’s financial reporting

The EQT AB Group has a long-term business model founded on a promise to its fund investors to invest capital, drive value creation and create consistent attractive returns over a 5 to 10-year horizon. The Group’s financial model is primarily affected by the size of its fee-generating assets under management, the performance of the EQT funds and its ability to recruit and retain top talent.

The Group operates in a market driven by long-term trends and thus believes quarterly financial statements are less relevant for investors. However, in order to provide the market with relevant and suitable information about the Group's development, EQT publishes quarterly announcements with key operating numbers that are relevant for the business performance (taking Nasdaq's guidance note for preparing interim management statements into consideration). In addition, a half-year report and a year-end report including financial statements and further information relevant for investors is published. Finally, EQT also publishes an annual report including sustainability reporting.


Olof Svensson, Head of Shareholder Relations, +46 72 989 09 15
EQT Shareholder Relations, shareholderrelations@eqtpartners.com

Rickard Buch, Managing Director, Communications, +46 72 989 09 11
EQT Press Office, press@eqtpartners.com, +46 8 506 55 334

This is information that EQT AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 07:00 CET on 18 January 2024.

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