IDI back on the front foot
EARNINGS/SALES RELEASES
At the risk of repeating ourselves, the picture is now clear: after a sluggish 2024, IDI has moved at a very different rhythm in 2025. The group has shifted from caution to controlled acceleration. Q3 itself may look modest in terms of transactions, but the comparison with last year is striking. Activity has picked up, investment income has doubled, and the pace of portfolio work has visibly intensified. IDI is not chasing deals for the sake of it; it is executing a deliberate, methodical return to deployment.
FACT
- IDI’s NAV was flat qoq at €91.75, but up 2.14% YTD, with the discount widening to 24%.
- The group ended the quarter with €178m of investment capacity and an additional €35m of undrawn credit lines.
- During the quarter, IDI completed two transactions: a majority stake in Forsk, a global leader in radio access network (RAN) planning and optimisation for mobile operators, and the expansion of Ekosport’s retail network with the opening of a new store in Paris.
- Investment income almost doubled from €14.8m to €26.4m over 9M-25, and net profit reached €16.2m compared with €3.2m last year.
ANALYSIS
IDI delivered a flat NAV qoq at €91.75. On paper, this looks dull. In practice, a +2.14% YTD gain is decent in a market where many listed private equity names still wrestle with valuation volatility and weak exits. The market, however, has not rewarded this prudence. The discount to NAV has widened to ~24%, despite a clean balance sheet, positive investment income, and a solid portfolio. In our view, this disconnect offers a genuine entry point. Investors are paid to wait, and IDI compounds in the background.
The group completed two transactions this quarter, both initiated in H1, marking a clear rebuild in deal pace after an unusually quiet 2024. Forsk stands out: a global leader in radio access network planning software, with an estimated 60% market share. Its Atoll and cloud-native Naos platforms position the company to benefit from 5G/6G roll-outs and the rise of private networks. Under IDI’s backing, Forsk should accelerate its push into AI modules and international expansion. Ekosport also continued to scale its footprint with a new Paris store. A modest step, but fully aligned with IDI’s proven playbook: support focused, profitable mid-market players.
The improvement is visible in the financials. Investment income almost doubled, from €14.8m to €26.4m over nine months. Operating charges decreased, giving management more leverage on the bottom line. As a result, net profit surged to €16.2m, up from €3.2m last year. A fivefold increase. Again, nothing spectacular in absolute terms, but a clear sign that the cycle is turning.
The group retains a fortress-like balance sheet with ~€700m in equity. Investment capacity stands at €178m, a comfortable buffer for a mid-market investor. Add to this €51m of credit lines (with €16m drawn), and it allows IDI to stay selective, patient, and opportunistic.
The long-term case remains powerful. IDI has compounded at 15.9% per year since 1991. Over 32 years, this translates into a 157x multiple. Few listed private equity platforms match this track record, especially with such a conservative balance sheet.
We maintain a positive view. For investors looking for disciplined deployment, and long-term compounding, without the noise, IDI continues to offer attractive asymmetry. The widening discount only reinforces the opportunity, creating a compelling entry point.
IMPACT
These Q3 results leave our estimates broadly unchanged. We maintain a constructive view on the stock, given its solid balance sheet, resilient portfolio, and a more attractive discount to NAV.
