TIP Reports 13% Rise in Operating Cashflow and 12.5% FUM Growth
Teaminvest Private Group Limited (TIP) reported a robust FY25 with 13% growth in operating cashflow and strategic investments positioning it for continued expansion.
- Operating cashflow up 13% to $6.8 million
- MOIC on active portfolio rises to 3.0x, passive portfolio returns 12%
- Funds Under Management increased 12.5% to $274 million
- Fully-franked dividends of 3 cents per share declared
- Invested $5.7 million in growth capex and acquisitions
Strong Financial Momentum
Teaminvest Private Group Limited (TIP) has delivered another year of solid financial performance for the fiscal year ended June 30, 2025. Operating cashflow grew by 13% to $6.8 million, underscoring the company’s ability to generate steady liquidity from its operations. This cash generation has underpinned TIP’s capacity to invest strategically while rewarding shareholders.
The company’s net assets rose to $85.3 million, translating to $3.16 per share, reflecting a healthy balance sheet. Despite a slight dip in Look-Through EBITDA to $14.1 million, attributed to planned factory relocation delays and the impact of Tropical Cyclone Alfred, TIP maintained strong overall profitability with statutory comprehensive income climbing to $2.3 million.
Portfolio Performance and Investment Strategy
TIP’s active portfolio demonstrated impressive returns, with a Money on Invested Capital (MOIC) of 3.0x, implying a net return of approximately 30% for the year. Meanwhile, the passive portfolio delivered a solid 12% return. Funds Under Management (FUM) increased by 12.5% to $274 million, signaling growing investor confidence and capital inflows.
During FY25, TIP invested $5.7 million in growth capital expenditures and acquisitions. Key investments included $2.6 million in growth capex across portfolio companies such as new machinery for GLT, vehicle and equipment expansion at ECT, and acquiring a 50% stake in Brodersen Systems Asia Pacific as a bolt-on for Automation Group. Additionally, $1.9 million was allocated to new investments, including a stake in Wattle Court Homes and other listed securities.
Shareholder Returns and Cash Position
TIP declared fully-franked dividends totaling 3 cents per share, split evenly between interim and final payments, alongside $0.4 million in on-market share buy-backs. These actions returned approximately 3% of market capitalization to shareholders, enhancing per-share value. The company ended the year with net cash and listed investments of $12.6 million, representing about 27% of its market capitalization, providing a strong liquidity buffer for future opportunities.
Overall, TIP’s disciplined capital management and targeted investments position it well to continue delivering attractive compounding returns in FY26, despite some operational headwinds experienced during the year.
Bottom Line?
TIP’s robust cashflow and strategic investments set the stage for another year of growth, but operational recovery at key assets will be closely watched.
Questions in the middle?
- How will the acquisition of Brodersen Systems Asia Pacific impact TIP’s portfolio returns going forward?
- What is the timeline for GLT’s production recovery following the factory move and cyclone disruption?
- Will TIP maintain or increase its dividend payout amid ongoing investment plans?
