TMT Investments Half-Year Results: Backblaze Drives NAV Higher as Cash Builds

TMT Investments has reported a strong increase in net asset value for the first half of 2026, helped mainly by a substantial rise in the valuation of listed cloud storage company Backblaze.

The venture capital investor's net asset value, or NAV, reached US$239.7 million at 30 June 2026. NAV represents the value of its assets after liabilities are deducted. On a per-share basis, NAV increased by 11.1% to US$7.92.

That is a solid headline result, but investors should look beneath it. A large part of the improvement came from one portfolio company, while six other investments were partially or fully written down.

You can read the figures in the original company announcement and follow the wider investment case on the TMT Investments PLC share page.

TMT Investments' key half-year figures

Metric	30 June 2026	Previous comparison	Change
NAV per share	US$7.92	US$7.13 at 31 December 2025	11.1% higher
Total NAV	US$239.7 million	US$220.8 million	8.6% higher
Inception-to-date IRR	14.2% a year	14.0% at 31 December 2025	Improved
Cash and cash equivalents	US$11.7 million	US$5.0 million	US$6.7 million higher
Investment gains	US$21.0 million	US$8.6 million in H1 2025	145.2% higher
Gain attributable to shareholders	US$20.4 million	US$8.0 million	155.7% higher
Basic earnings per share	66.39 cents	25.32 cents	162.2% higher
New investments	US$0.75 million	US$0.5 million	US$0.25 million higher
Disposal proceeds and dividends	US$9.6 million	US$1.9 million	Significantly higher

TMT also reported unaudited cash and cash equivalents of US$14.9 million at 10 August 2026, following further Backblaze share sales after the reporting date.

Backblaze did the heavy lifting

The main driver of the NAV increase was a US$25.6 million positive revaluation of Backblaze. Its shares were valued using the NASDAQ closing mid-market price of US$15.86 on 30 June.

Backblaze announced a five-year, US$335 million agreement with CoreWeave in June. TMT said the subsequent share-price strength allowed it to sell part of its holding for US$7.75 million in net cash proceeds during the half year.

A further US$3.37 million was received from Backblaze share sales after the period ended.

This is encouraging because TMT did more than book an unrealised paper gain. It converted part of that gain into cash, strengthening the balance sheet while retaining a Backblaze holding valued at US$30.3 million at the half-year end.

Backblaze reported 15% revenue growth in the first half, was adjusted EBITDA positive and secured the major CoreWeave contract. Adjusted EBITDA is a measure of operating profitability before interest, tax, depreciation and selected adjustments.

The concentration is still worth watching. Backblaze represented roughly 13% of TMT's total NAV at 30 June, meaning changes in its listed share price can have a noticeable effect on reported NAV.

Cash generation improved sharply

TMT received US$9.6 million from portfolio disposals and dividends, compared with US$1.9 million in the first half of 2025.

Alongside the Backblaze sale, this included US$1.52 million from selling 75% of its stake in Spin.ai, a US$193,302 dividend from SOAX and US$116,154 of final proceeds from Hugo Technologies.

Cash and cash equivalents consequently increased from US$5.0 million to US$11.7 million, despite the company spending US$1.45 million on its own shares and making a new investment.

TMT also had no financial debt. That combination gives management flexibility to support portfolio companies, make selective new investments or pursue further disposals without immediate balance-sheet pressure.

The discounted buyback looks sensible

TMT launched a buyback of up to US$2 million in May, arguing that its shares continued to trade at a discount of more than 60% to NAV.

During the period, it bought 588,898 shares for US$1.45 million at a weighted average price of US$2.46. Most were cancelled before the half-year end, with the remaining 45,429 cancelled in July.

Buying shares materially below NAV can increase NAV per share for the investors who remain, provided the portfolio valuations are reliable. In simple terms, the company is acquiring claims on its own assets for substantially less than their stated value.

However, a wide discount can also signal market concerns about liquidity, portfolio concentration and the uncertainty attached to private-company valuations. A buyback helps, but it does not automatically remove those concerns.

A mixed picture beneath the headline gain

TMT continues to see a divergence between its stronger and weaker portfolio companies.

Bolt, 3S Money and Scentbird delivered double-digit annualised revenue growth. Bolt was EBIT positive, 3S Money was EBITDA positive and Scentbird was net-profit positive. PandaDoc also reported double-digit annualised revenue growth and increased its customer base to more than 68,000, although it retained a single-digit negative EBITDA margin.

Against that, TMT recorded US$2.38 million of negative revaluations across six investments. FemTech and Sonic Jobs were written down by 100%, while Inquisitive, Adwisely, 3D Look and CyberWrite were each reduced by 50%.

Exchange-rate movements reduced the combined value of ten non-US dollar investments by another US$2.51 million. Bolt accounted for US$2.08 million of that currency-related reduction.

These losses were comfortably outweighed by Backblaze in this period. The risk is that such a strong contribution from one listed holding may not repeat consistently.

Investment activity remains cautious

TMT made just one new investment during the half year, committing US$750,000 before capitalised transaction costs to Nitra.

Nitra provides an AI-native operational and financial platform for independent medical practices. TMT said the company had surpassed US$1 billion in annualised processing volume.

The limited activity reflects management's cautious view of venture capital markets. The announcement described subdued funding, initial public offering and takeover activity outside the artificial intelligence segment.

This conservatism protects cash, but it also means future growth may depend heavily on the existing portfolio and management's ability to realise investments at attractive valuations.

The valuation risk investors should not overlook

Of TMT's US$228.2 million investment portfolio, US$158.4 million was classified as Level 3. These assets are primarily valued using cost or the price of a recent investment rather than a readily observable market price.

That does not mean the valuations are wrong, but it does make them more judgemental. Future funding rounds, exits or deteriorating trading could result in material upward or downward changes.

Portfolio concentration adds another layer of risk. Bolt was valued at US$76.1 million, equivalent to almost 32% of total NAV. Together, the five largest disclosed holdings represented approximately 65% of NAV.

What matters from here

TMT's first-half report contains several genuine positives: NAV growth, profitable disposals, higher cash reserves, no financial debt and a buyback completed at a substantial stated discount to NAV.

The key counterpoint is that the result relied heavily on Backblaze. Private-company valuation uncertainty, portfolio concentration, currency movements and further possible write-downs remain important risks.

Investors should now watch whether TMT can continue converting portfolio gains into cash, how Backblaze performs after its CoreWeave agreement and whether the stronger private holdings create viable exit opportunities. Progress in narrowing the share-price discount would provide another useful indication of whether the market is gaining confidence in the reported NAV.