Frontier IP Group PLC (AIM:FIPP) narrowed its pre-tax losses for the year ended 30 June to £1.34 million, a marked improvement from the previous year’s £4.37 million.
The AIM-listed company also achieved unrealised gains on investments of £1.28 million, reversing unrealised losses of £970,000 from the prior period.
Frontier IP's equity portfolio maintained a stable fair value of £33.2 million, with cash reserves of £2.3 million at the end of the period.
“Although a pre-tax loss is always a disappointment, the figure has significantly narrowed from last year and represents a resilient performance in what were exceptionally difficult conditions in the private markets,” said chair Julia King.
“This was further reflected in the rise in the fair value of our equity portfolio and an unrealised gain on the revaluation of investments,” she added.
Chief executive Neil Crabb agreed it was “a tough year” for early-stage investments across the board, but “when times are hard, the principles on which we base our differentiated and innovative business model come to the fore”.
He added: “We do not focus on volume and high deal flow, burning through cash in the hope one or two companies become big. Instead, our approach is capital efficient and focused on quality, framed by key ideas that help us to identify promising technology.”
Among the portfolio highlights was IPO candidate Alusid, which scaled up production of its sustainable tiles.
Pulsiv, meanwhile, launched a highly efficient 65W USB-C charger reference design, garnering industry interest.
Frontier IP also announced a proposed placing, subscription, and retail offer aimed at raising £3 million to support operating expenses and portfolio investments.
The shares will be issued at 28 pence each, the closing mid-price on 21 November 2024.