Primorus Investments H1 2025: Loss on paper, cash up, buyback underway
Primorus Investments has posted a modest loss for the first half of 2025 after a blockbuster 2024. The period was quieter on exits, but portfolio companies like Fresho and VirtualStock are still moving in the right direction. Cash is stronger, a meaningful share buyback is in motion, and management sounds confident about further realisations ahead.
Here’s my take on what matters in these interims, why the numbers look the way they do, and what to watch next.
Key numbers from Primorus Investments H1 2025
| Metric | H1 2025 | H1 2024 |
|---|---|---|
| Operating (loss)/profit | £606,000 loss | £2,764,000 profit |
| Net (loss)/profit after tax | £606,000 loss | £2,764,000 profit |
| Realised (loss)/gain on investments | £332,000 loss | £3,206,000 gain |
| Unrealised (loss)/gain on investments | £19,000 loss | £42,000 loss |
| Cash and cash equivalents (period end) | £956,000 | £95,000 |
| Total assets | £5.30 million | £5.98 million |
| Basic and diluted EPS | (0.433)p | 1.977p |
| Proceeds from disposals | £1.368 million | £4.789 million |
| Purchases of investments | £275,000 | £2.995 million |
Portfolio progress: Fresho, VirtualStock, Interpac and a disposal
The operating line is down because there was only one exit in the half, and the realised result across the book was a £332,000 loss. That is a sharp contrast with the £3.206 million realised gain in H1 2024, which drove last year’s profit. The company did not break out which assets drove the loss, but it did flag a £977,000 disposal of Priority Intelligence Group plc.
On the positives:
- Fresho is growing strongly, with user and revenue momentum noted.
- VirtualStock, profitable since late 2024, is scaling volumes and orders, with Asda and Homebase now using its dropship technology (dropship allows retailers to sell goods shipped directly by suppliers).
- Interpac completed a significant funding round; Primorus invested a further £275,000 and now holds 4.3% on a fully diluted basis. The company is described as well capitalised to bolster management and fund production and sales.
It’s encouraging to see momentum at portfolio level even in a quieter realisations period. However, there are no new valuation marks disclosed for these assets in the interims, and unrealised movements were a small £19,000 loss.
Share buyback: Rule 9 waiver secured and 12.57 million shares purchased
Primorus secured shareholder approval for a share buyback programme, alongside a Rule 9 waiver agreed by the Takeover Panel. In plain English, that means it has cleared the governance hurdles to repurchase shares without triggering takeover code complications.
As at the date of these financial statements, the company has purchased 12,566,388 shares. The price paid and total spend are not disclosed, and the statement does not specify the exact dates of those purchases. Given the negative EPS in the half, buybacks can be accretive over time if done below intrinsic value, but we will need more detail to assess the full impact.
What drove the loss: fewer exits and small mark-to-market movement
The income statement is straightforward. Realised losses of £332,000 and a small unrealised loss of £19,000 left a gross loss, and administrative expenses of £274,000 took the operating result to a £606,000 loss. There was no finance income or cost in the period, so the net result matched the operating loss.
In H1 2024, strong exits produced £3.206 million of realised gains, flipping the company into profit. This year’s “more measured activity” is the main reason for the swing. It’s a reminder that investment company P&L can be lumpy depending on the timing and pricing of disposals.
Balance sheet and cash: assets down modestly, cash position improved
Total assets fell to £5.30 million (30 June 2024: £5.98 million). Financial investments totalled £4.282 million split between non-current (£3.633 million) and current (£649,000). Retained earnings were £4.902 million and total equity stood at £5.182 million.
Cash and cash equivalents rose to £956,000, helped by £1.368 million of disposal proceeds and limited new deployment (£275,000). Operating cash outflow was £179,000. There were no dividends in the half (H1 2024: £2.098 million paid). The cash boost gives Primorus flexibility to support the pipeline, meet buyback commitments and stay opportunistic.
Outlook: resilient portfolio and potential for further realisations
The board expects “continued resilience” across the portfolio in H2 2025 and hopes for further realisations in the short to medium term. Macro conditions remain uncertain (no surprises there), but the message is measured confidence: disciplined deployment, active portfolio management, and a willingness to return capital “when the opportunities arise”.
Key near-term watch points:
- Any new funding or milestone updates at Fresho and VirtualStock, given their growth momentum.
- Further disposals or partial exits that crystallise value and replenish cash.
- Buyback cadence and any disclosure on total authorisation or average price paid (not disclosed).
My view: steady foundations, but delivery now depends on exits
These interims are a reset after a standout 2024. The headline loss is not ideal, but it largely reflects timing, with only one exit and a small net mark-to-market dip. The more important signals are elsewhere: portfolio companies are progressing, cash is healthier, and the share count is being reduced via buybacks.
On the cautious side, total assets are down year-on-year, realised gains turned into a small loss, and we do not have fresh valuation detail on the key holdings. With investment companies, value ultimately shows up through realisations. That is what needs to land in H2 and into 2026 to move the dial.
On the positive side, the Interpac follow-on, VirtualStock’s commercial traction with blue-chip retailers, and Fresho’s growth all suggest the underlying engine is running. The disposal of Priority Intelligence Group added £977,000 of gross proceeds and the board’s stance on returning capital is shareholder friendly.
Bottom line: a quieter half, sensibly managed. If Primorus can convert its “healthy pipeline” into one or two meaningful exits while continuing the buyback, the narrative could shift quickly back to compounding NAV and cash returns. For now, patience and proof points are the name of the game.
Disclosure notes
- NAV per share and buyback pricing are not disclosed.
- The number of shares purchased under the buyback is disclosed as 12,566,388.
- This summary relies solely on the company’s RNS for the six months ended 30 June 2025.
