| 2025 Performance, Time Weighted | +42.4% |
| 2025 Performance, Money Weighted | +25.2% |
My best performing assets were held when my position sizes were smaller and very concentrated. Parrot SA was my first position in 1H26, and strongly contributed to the Time Weighted perf.
| Top Performers | 1-month Gain |
|---|---|
| Koninklijke Heijmans NV | +520€ |
| LISI SA | +438€ |
| Exosens SAS | +340€ |
| Top Losers | 1-month Loss |
|---|---|
| Parrot SA | -260€ |
| Vusiongroup SA | -34€ |
| SOL SpA | -11€ |
New holdings
This month, I have been looking for high-value industrials trading at a higher P/E. While my core portfolio remains in engineering and infrastructure, I am adding a layer of protection through companies that own their formulas and intellectual property. Robertet and Virbac offer two things my portfolio lacks: Pricing Power and Global Consumption cycles that are less tied to European interest rates and economy.
Robertet (could this be the Hermès of fragrance?)
A family-owned and French fragrance manufacturer and the world’s top specialist in natural flavors. They own the full value chain, from flower fields to boutiques.
What I liked are the H1 2025 margins which stand a decent 22.5% EBITDA, the low debt, and the ability to generate ample free cash flows.
Their environmental engagements and their positioning on the clean label trend (natural products, no chems, simple and safe products) creates differentiation with competitors, and they have expansion plans in Asia and Latin America.
Robertet derives a lot of sales revenue from the USA, and is acquiring local players with objectives to meet EUR1B revenue. I am worried that persistent USD weakness may hinder sales results, but I get comfort in the Price Earning Ratio at 18x which is below the 10 year average closer to 26x.
Virbac (France, health industrial)
A global vet pharma focusing on pets and livestock. When reading their annual report, they reported growing sales on all continents and pretty much across all product segments, except Equines in 2024; but the first half of 2025 points to recovery.
Financials: Robust 2024; 2025 is trending toward a earnings beat scenario with 7%+ growth.
Valuation: 22x P/E, slightly more expensive than Robertet.
Virbac is expanding in the high-margin Petfood and dermatology segments which could become new growth engines.
Going forward
I have had an entire year to search and read about small European companies. Looking back, I have added 19 names to the portfolio and reduced only one (Parrot SA). As a non-professional DIY investor, I can confirm: tracking corporate and financial updates for 20 companies is time-consuming.
For 2026, I will likely cap the portfolio at 20 names. This year is about ensuring each company earns its weight. I need to build a more structured review system. I mean, how does one decide how much to allocate to a fast-growing but unprofitable name like Parrot SA versus a high quality business that generates cash? I’m considering a strict weight cap of, say 3%, for any position that isn’t yet profitable. Stay tuned!
The New Additions:
- Robertet: On a standalone basis, it looks fantastic (22.5% EBITDA margins, no debt). My only hesitation is the added USD exposure, especially with top banks predicting dollar depreciation in 2026.
- Virbac: More protection here against the tariffs risk, since Virbac is moving toward producing 80% of its US sales locally. This adds risk to the portfolio if USD keeps weakening, but some diversification is welcome on my very EUR concentrated stocks.
I take comfort that no single line exceeds 10% of the portfolio. I’ve managed to diversify (with a strong French bias, bien sûr) before any major adverse events. For 2026, it’s about quality over quantity. I’m done scouting and screening the 800+ names in the MSCI Europe Small Cap index; now, I’m focused on managing the champions I’ve already found.
This page is solely a record of how I manage my own personal account and is shared for informational and curiosity purposes only. It is not investment advice, a recommendation, or an invitation to copy my portfolio or make any financial decisions. I am not an investment professional. If you are considering investing, please consult a qualified financial professional before making any decisions.
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