Whitestone Group Strong 15% NAV growth and a first positive net profit since IPO

Whitestone Group reported a strong 1H25. NAV climbed 14% HoH to €121m (€17.1ps) , driven by a €15m portfolio revaluation. This was led by GFI's exceptional performance amid a 23% rise in gold prices. The Group achieved its first positive recurring net profit since its 2021 IPO, reaching €589k, supported by €829k in financial income from dividends (GFIN, Sibelco) and interest from subsidiary loans. With €3.4m in net cash, zero debt, and €15m in available credit lines, Whitestone is well-positioned for strategic investments. Post-period, a €2.2m disposal of its 20% ECP stake in September generated a €1.2m capital gain, adding to the liquidity. Its diversified portfolio (53% materials, 20% transitions, and 19% technologies) ensures stability in a cautious European economic climate. On a fully diluted basis, the discount currently stands at 28.1%, which we believe is fair considering size and illiquidity. Whitestone continues to show progress: it has a few exceptional assets, a net cash position and a portfolio optimization goal for 2030. We maintain our BUY rating and €14.0 TP.