RECAP: Safeguard Scientifics Second Quarter 2013 Financial Results

Posted by | July 26, 2013

Safeguard’s partner companies remain on track to achieve growth and operating, financial and strategic milestones. As a result, Safeguard reiterated aggregate partner company revenue guidance for 2013 to be between $250 million and $270 million.

Although the M&A market remains a little spotty, by focusing on Safeguard’s core business in the near-term, we are confident that we can achieve strategic goals in the long-term. We maintain our intent to grow our stable of partner companies to 25 by year-end 2013, deploy capital with greater consistency, and achieve monetizations with aggregate cash-on-cash returns at a minimum of 2x cost. Through keen focus and consistent execution, we believe that we can drive Safeguard’s capital under management to a range of $550 million to $700 million by year-end 2015.

As of June 30, 2013, Safeguard had deployed $233 million of capital into its 20 current partner companies. Our net cash, cash equivalents and marketable securities at the end of the quarter totaled $130.7 million, after subtracting the total carrying value of debt outstanding of $49.4 million. For the three months ended June 30, 2013, Safeguard’s net loss was $28.1 million, or $1.33 per share, compared to $10.1 million, or $0.48 per share, for the same period in 2012. For the six months ended June 30, 2013, Safeguard’s net loss was $40.1 million, or $1.90 per share, compared to $19.8 million, or $0.95 per share, for the same period in 2012.

Click here for the complete press release, which provides complete updates about each of our partner companies.

A full replay of Safeguard’s second quarter financial results conference call is available through August 26, 2013 at 9:00 a.m. EDT. To listen to the replay, dial 877-344-7529, or (International) +412-317-0088. The replay access code is 10029848.

A webcast is also available. In addition, here’s a copy of the transcript along with a copy of the presentation from the call:

 

 

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