Tekcapital half-year results 2026: Vesari valuation drives record NAV

The headline numbers

Tekcapital plc has reported a remarkable set of unaudited half-year results, with net assets and profit reaching record levels during the six months to 30 June 2026.

The scale of the improvement is striking. Net assets rose from US$55.1 million at the end of 2025 to US$201.7 million, while net asset value, or NAV, per share increased from US$0.27 to US$0.78.

NAV represents the value of a company's assets after deducting its liabilities. For an intellectual property investment group such as Tekcapital, it is an important measure, but its reliability depends heavily on how portfolio investments are valued.

Key figure	H1 2026	Comparator
Net assets	US$201.7 million	US$55.1 million at 31 December 2025
NAV per share	US$0.78	US$0.27 at 31 December 2025
Equity portfolio valuation	US$191.4 million	US$46.9 million at 31 December 2025
Portfolio return and revenue	US$145.5 million	US$6.2 million in H1 2025
Profit after tax	US$144.8 million	US$5.4 million in H1 2025
Operating expenses	US$0.69 million	US$0.74 million in H1 2025
Cash and cash equivalents	US$0.2 million	US$0.5 million at 31 December 2025

The crucial point is that this was not a US$144.8 million cash profit. Almost all of the reported return came from changes in the estimated fair value of Tekcapital's investments.

Vesari created most of the uplift

The main driver was Vesari Inc, a US company formed to commercialise intellectual property for geothermal-powered AI data centres.

Tekcapital Europe was granted a 51% interest in Vesari for no cash consideration in May 2026. The remaining 49% is held by Tekcapital Executive Chairman Dr Clifford Gross, who assigned 11 US patent applications to Vesari without consideration.

An independent intellectual property valuation specialist subsequently valued Vesari's patent portfolio at approximately US$293.3 million as at 30 June 2026. That supported a US$149.6 million fair value for Tekcapital's 51% holding.

Vesari therefore represents roughly 74% of Tekcapital's reported net assets. That concentration makes it the central issue for shareholders assessing these results.

The opportunity is potentially substantial. Vesari plans to combine geothermal generation, cooling, workload management and satellite connectivity within behind-the-meter AI data centre campuses. Behind-the-meter means producing and consuming electricity on site rather than relying primarily on the public grid.

However, Vesari remains at a very early stage. Its patent applications are pending, it has not yet secured its proposed Great Basin property rights, and its plans remain subject to sufficient funding. Discussions about a reverse merger, de-SPAC deal or another route to a public listing are also preliminary, with no certainty over timing or outcome.

Why the valuation deserves close attention

Vesari's valuation was calculated using the relief-from-royalty method. This estimates what the owner might otherwise have paid to license the intellectual property, based partly on forecast future revenue.

The calculation includes several significant assumptions:

• A 7.6% royalty rate
• A 17.2% discount rate
• US$32.2 billion of expected Vesari revenue over the life of the intellectual property

These are Level 3 fair value inputs under IFRS 13, meaning significant parts of the calculation use information that is not directly observable in an active market.

The independent assessment and IFRS framework provide a formal valuation basis. Even so, the figure is not equivalent to a cash offer, completed fundraising or market price established through regular trading.

Tekcapital itself makes this distinction clear. Management says most of the uplift represents portfolio appreciation rather than cash returns. Investors should therefore separate the impressive accounting profit from the group's current liquidity and ability to realise that value.

Cash flow tells a different story

Tekcapital ended June with just US$202,632 in cash, down from US$529,193 at the end of 2025. Net cash used in operating activities was US$2.0 million, compared with US$0.9 million in H1 2025.

The company raised US$2.0 million through share placements during the period, producing net financing inflows of US$1.9 million after costs. These funds were used primarily to support Guident's commercial progress and readiness for a potential public listing.

Tekcapital says it has no third-party debt facilities and expects to maintain a positive cash balance through its going concern assessment period ending 31 August 2027. It can fund operations through service income, equity issues and the sale of quoted portfolio holdings.

That offers flexibility, but it also means further equity issuance or portfolio disposals may be required if cash outflows continue. New share issues can dilute existing shareholders.

Progress across the wider portfolio

There were encouraging developments beyond Vesari.

MicroSalt

MicroSalt's 2025 revenue increased by 187% to US$2.14 million, ahead of its board's original US$2.0 million expectation. It has also entered a joint development agreement with a major global food, soft drink and snack manufacturer.

Tekcapital's 57.24% holding was valued at US$18.0 million. However, the carrying value fell by approximately US$4.0 million during the half year.

Guident

Guident raised US$2.0 million through senior secured convertible loan notes and continues to work towards a public listing in 2026. Tekcapital owns approximately 70% on a fully diluted basis, with the stake valued at US$22.9 million.

The fundraising means Guident is no longer being funded by Tekcapital, which should reduce pressure on the parent company's limited cash resources.

Innovative Eyewear

Innovative Eyewear achieved Q1 2026 sales of US$0.77 million, up approximately 70%, followed by preliminary Q2 sales of around US$1.0 million, up approximately 71%.

It also secured a planned rollout of Lucyd Armor smart safety eyewear across 345 Canadian stores and clinics. Tekcapital's interest was valued at only US$0.2 million, so the financial effect on group NAV is currently modest.

GenIP

GenIP generated US$520,000 of revenue during 2025, expanded its client base to 25 countries and reported early adoption of AI-enabled products capable of gross margins of up to approximately 60%.

Tekcapital's 43.31% stake was valued at US$0.7 million at the period end.

What matters next for Tekcapital shareholders

There are genuine positives here. Operating expenses fell by 7.3% to US$0.69 million, Guident secured independent financing, and several portfolio companies reported commercial progress. Tekcapital also carries no third-party debt.

But these results are overwhelmingly a valuation story rather than a cash earnings story. Vesari accounts for most of the balance sheet, its patents remain pending, and commercialisation will require funding, property rights, customers and substantial execution.

The next meaningful evidence would include patent approvals, a funded capital-markets transaction for Vesari, land or lease rights, and a commercial agreement with a hyperscale computing customer. Progress towards Guident's proposed listing would provide another possible route to crystallising portfolio value.

Until then, Tekcapital's reported NAV is likely to remain volatile and sensitive to valuation assumptions. The record figures are significant, but converting them into cash and shareholder distributions is the harder part of the investment case.

The full figures, valuation methodology and risk disclosures are available in the original company announcement.