Abrdn UK Smaller Growth Trust : Annual Report

abrdn UK Smaller Companies Growth Trust plc

Annual Report 30 June 2023

Capturing the growth potential of UK smaller companies

abrdnuksmallercompaniesgrowthtrust.co.uk

Investments in the Leisure Goods sector included Games Workshop.

"For the year ended 30 June 2023, the Company's NAV total return was -7.4%. The share price total return was -6.8%. By contrast, the total return of the Company's reference index was -2.8%."

Liz Airey, Chairman

"During the year under review, markets were volatile and top down driven, with the dominating narrative one of persistent inflation and higher interest rates. Whilst the portfolio holdings have been delivering well fundamentally, that has often not been reflected in share prices."

Abby Glennie and Amanda Yeaman, abrdn

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abrdn UK Smaller Companies Growth Trust plc

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Contents

THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION. If you are in any doubt about the action you should take, you are recommended to seek your own financial advice from your stockbroker, bank manager, solicitor, accountant or other financial adviser authorised under the Financial Services and Markets Act 2000 (as amended by the Financial Services Act 2012) if you are in the United Kingdom or, if not, from another appropriately authorised financial adviser.

If you have sold or otherwise transferred all your Ordinary shares in abrdn UK Smaller Companies Growth Trust plc, please forward this document, together with the accompanying documents immediately to the purchaser or transferee, or to the stockbroker, bank or agent through whom the sale or transfer was effected for transmission to the purchaser or transferee.

To find out more about abrdn UK Smaller Companies Growth Trust plc, please visit:

abrdnuksmallercompaniesgrowthtrust.co.uk

Overview
Performance Highlights and Financial Calendar	3
Strategic Report
Chairman's Statement	8
Overview of Strategy	12
Promoting the Success of the Company	20
Performance	24
Investment Manager's Review	26
Investment Process	33
Portfolio
Ten Largest Investments	38
Investment Portfolio	39
Sector Distribution of Investments	41
Investment Portfolio by Sector	42
Market Cap Exposure	43
Investment Case Studies	44
Governance
Board of Directors	48
Directors' Report	51
Directors' Remuneration Report	62
Audit Committee's Report	66
Financial Statements
Statement of Directors' Responsibilities	72
Independent Auditor's Report	73
Statement of Comprehensive Income	79
Statement of Financial Position	80
Statement of Changes in Equity	81
Statement of Cash Flows	82
Notes to the Financial Statements	83
Alternative Performance Measures	101
Corporate Information
Information about the Investment Manager	105
Investor Information	106
Glossary of Terms	108
Your Company's Share Capital History	111
AIFMD Disclosures (Unaudited)	114
General
Notice of Annual General Meeting	116
Contact Addresses	125

2	abrdn UK Smaller Companies Growth Trust plc

Performance Highlights and Financial Calendar

	Net asset total returnAB					Share price total returnAB
	-7.4%					-6.8%
	2022		-27.3%			2022		-34.3%
	Total dividends per share					Discount to net asset valueAB
	11.00p					14.3%
	2022		8.10p			2022		14.6%
	Revenue return per share					Ongoing charges ratioABC
	12.44p					0.95%
	2022		9.07p			2022		0.82%

1. Considered to be an Alternative Performance Measure. See pages 100 to 102 for more information.
2. A Key Performance Indicator ("KPI"). See page 13 for more information on the Company's KPIs.
3. Calculated in accordance with AIC guidance issued in October 2020 to include the Company's share of costs of holdings in investment companies on a look-through basis.

Net asset value per share			Share price					Dividends per share
At 30 June - pence					At 30 June - pence					Year ended 30 June - pence
	738.0						698.0									11.00
539.5	527.7	530.4						7.70	7.70	7.70	8.10
		491.5
483.0		482.0	453.0
						414.0

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Overview

Strategic Report

Portfolio

General Corporate Information Financial Statements Governance

abrdn UK Smaller Companies Growth Trust plc

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