Gladstone Investment Corporation Reports Financial Results for its Third Quarter Ended December 31, 2024
Gladstone Investment (GAIN) reported financial results for Q3 FY2024 ended December 31, 2024. Key highlights include:
Total investment income decreased 5.3% to $21.37M compared to $22.57M in the previous quarter. Net investment income declined 84.1% to $1.16M ($0.03 per share) from $7.29M ($0.20 per share). The company reported net unrealized appreciation of $37.33M, leading to a net increase in net assets of $38.49M.
During the quarter, GAIN made significant investments totaling $187.09M, including investments in Pyrotek Special Effects ($27.2M), Nielsen-Kellerman ($71.3M), and Ricardo Defense ($78.7M). The company's net asset value per share increased to $13.30 from $12.49.
The company declared monthly distributions of $0.08 per common share and issued $126.5M in 7.875% Notes due 2030. GAIN also sold 148,714 shares through its ATM program at a weighted-average price of $13.64 per share.
Gladstone Investment (GAIN) ha riportato i risultati finanziari per il terzo trimestre dell'anno fiscale 2024, terminato il 31 dicembre 2024. I punti salienti includono:
Il reddito totale da investimenti è diminuito del 5,3%, passando a $21,37M rispetto a $22,57M nel trimestre precedente. Il reddito netto da investimenti è calato dell'84,1% a $1,16M ($0,03 per azione) rispetto a $7,29M ($0,20 per azione). L'azienda ha riportato un'apprezzamento non realizzato netto di $37,33M, portando a un incremento netto delle attività nette di $38,49M.
Durante il trimestre, GAIN ha effettuato investimenti significativi per un totale di $187,09M, inclusi investimenti in Pyrotek Special Effects ($27,2M), Nielsen-Kellerman ($71,3M) e Ricardo Defense ($78,7M). Il valore netto delle attività per azione dell'azienda è aumentato a $13,30 da $12,49.
L'azienda ha dichiarato distribuzioni mensili di $0,08 per azione comune e ha emesso $126,5M in Note al 7,875% con scadenza nel 2030. GAIN ha anche venduto 148.714 azioni attraverso il suo programma ATM a un prezzo medio ponderato di $13,64 per azione.
Gladstone Investment (GAIN) informó los resultados financieros del tercer trimestre del año fiscal 2024, que finalizó el 31 de diciembre de 2024. Los aspectos más destacados incluyen:
Los ingresos totales de inversión disminuyeron un 5,3% a $21,37M en comparación con $22,57M en el trimestre anterior. Los ingresos netos de inversión cayeron un 84,1% a $1,16M ($0,03 por acción) desde $7,29M ($0,20 por acción). La empresa reportó una apreciación neta no realizada de $37,33M, lo que llevó a un aumento neto en los activos netos de $38,49M.
Durante el trimestre, GAIN realizó inversiones significativas por un total de $187,09M, incluyendo inversiones en Pyrotek Special Effects ($27,2M), Nielsen-Kellerman ($71,3M) y Ricardo Defense ($78,7M). El valor neto de los activos por acción de la empresa aumentó a $13,30 desde $12,49.
La empresa declaró distribuciones mensuales de $0,08 por acción común y emitió $126,5M en Notas al 7,875% con vencimiento en 2030. GAIN también vendió 148.714 acciones a través de su programa ATM a un precio promedio ponderado de $13,64 por acción.
글래드스톤 인베스트먼트 (GAIN)는 2024 회계연도 3분기 재무 결과를 2024년 12월 31일에 종료된 보고했습니다. 주요 내용은 다음과 같습니다:
총 투자 수익은 이전 분기 $22.57M에 비해 5.3% 감소하여 $21.37M에 도달했습니다. 순 투자 수익은 $7.29M ($0.20 per share)에서 $1.16M ($0.03 per share)로 84.1% 감소했습니다. 회사는 $37.33M의 순 미실현 평가 이익을 보고하여 순 자산이 $38.49M 증가했습니다.
분기 동안 GAIN은 Pyrotek Special Effects ($27.2M), Nielsen-Kellerman ($71.3M), Ricardo Defense ($78.7M)을 포함하여 총 $187.09M의 상당한 투자를 진행했습니다. 회사의 주당 순 자산 가치는 $12.49에서 $13.30으로 증가했습니다.
회사는 보통주당 월 배당금 $0.08을 선언하고 2030년 만기 7.875% 노트 $126.5M을 발행했습니다. GAIN은 또한 ATM 프로그램을 통해 주당 평균 가중 가격 $13.64에 148,714주를 판매했습니다.
Gladstone Investment (GAIN) a publié les résultats financiers pour le troisième trimestre de l'exercice 2024, qui s'est terminé le 31 décembre 2024. Les points saillants incluent :
Le revenu total des investissements a diminué de 5,3 % pour atteindre 21,37 millions de dollars contre 22,57 millions de dollars au trimestre précédent. Le revenu net d'investissement a chuté de 84,1 % pour atteindre 1,16 million de dollars (0,03 $ par action) contre 7,29 millions de dollars (0,20 $ par action). L'entreprise a signalé une appréciation nette non réalisée de 37,33 millions de dollars, entraînant une augmentation nette des actifs nets de 38,49 millions de dollars.
Au cours du trimestre, GAIN a effectué des investissements significatifs totalisant 187,09 millions de dollars, y compris des investissements dans Pyrotek Special Effects (27,2 millions de dollars), Nielsen-Kellerman (71,3 millions de dollars) et Ricardo Defense (78,7 millions de dollars). La valeur nette des actifs par action de l'entreprise a augmenté à 13,30 $ contre 12,49 $.
L'entreprise a déclaré des distributions mensuelles de 0,08 $ par action ordinaire et a émis 126,5 millions de dollars en obligations à 7,875 % arrivant à échéance en 2030. GAIN a également vendu 148 714 actions par le biais de son programme ATM à un prix moyen pondéré de 13,64 $ par action.
Gladstone Investment (GAIN) hat die finanziellen Ergebnisse für das 3. Quartal des Geschäftsjahres 2024, das am 31. Dezember 2024 endete, veröffentlicht. Zu den wichtigsten Punkten gehören:
Die Gesamteinnahmen aus Investitionen sanken um 5,3% auf $21,37M im Vergleich zu $22,57M im vorherigen Quartal. Das Nettoinvestitionseinkommen fiel um 84,1% auf $1,16M ($0,03 pro Aktie) von $7,29M ($0,20 pro Aktie). Das Unternehmen berichtete über eine nicht realisierte Wertsteigerung von $37,33M, was zu einem Nettowachstum der Nettovermögen von $38,49M führte.
Im Laufe des Quartals tätigte GAIN bedeutende Investitionen in Höhe von insgesamt $187,09M, einschließlich Investitionen in Pyrotek Special Effects ($27,2M), Nielsen-Kellerman ($71,3M) und Ricardo Defense ($78,7M). Der Nettovermögenswert pro Aktie des Unternehmens stieg auf $13,30 von $12,49.
Das Unternehmen erklärte monatliche Ausschüttungen von $0,08 pro Stammaktie und gab $126,5M in 7,875%-Anleihen mit Fälligkeit 2030 aus. GAIN verkaufte auch 148.714 Aktien über sein ATM-Programm zu einem gewichteten Durchschnittspreis von $13,64 pro Aktie.
- Net asset value per share increased 6.5% to $13.30
- Total investments increased 25.7% to $1.07B
- Portfolio companies increased by 4 to 26 total
- Successfully deployed $187.09M in new investments
- Raised $126.5M through notes offering
- Net investment income decreased 84.1% to $1.16M
- Total investment income declined 5.3% to $21.37M
- Total expenses increased 32.3% to $20.21M
- Monthly distribution reduced to $0.08 from previous $0.24
- Weighted-average yield on interest-bearing investments decreased to 14.0% from 14.5%
Insights
The Q3 FY2025 results reveal a strategic shift in Gladstone Investment's portfolio composition, marked by significant capital deployment of
The portfolio expansion is particularly noteworthy, with investments in diverse sectors including special effects (Pyrotek), environmental instruments (Nielsen-Kellerman), and defense (Ricardo). These additions increase the portfolio company count to 26, potentially enhancing income diversification and reducing concentration risk. The
The company's financing strategy shows prudent capital management. The issuance of
The
MCLEAN, VA / ACCESS Newswire / February 12, 2025 / Gladstone Investment Corporation (Nasdaq:GAIN) (the "Company") today announced earnings for its third fiscal quarter ended December 31, 2024. Please read the Company's Quarterly Report on Form 10-Q, filed today with the U.S. Securities and Exchange Commission (the "SEC"), which is available on the SEC's website at www.sec.gov or the investors section of the Company's website at www.gladstoneinvestment.com.
Summary Information: (dollars in thousands, except per share data (unaudited)):
| December 31, |
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| September 30, |
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| $ Change |
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| % Change |
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For the quarter ended: |
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Total investment income |
| $ | 21,371 |
|
| $ | 22,565 |
|
| $ | (1,194 | ) |
|
| (5.3) | % |
Total expenses, net(A) |
|
| 20,210 |
|
|
| 15,274 |
|
|
| 4,936 |
|
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| 32.3 | % |
Net investment income(A) |
|
| 1,161 |
|
|
| 7,291 |
|
|
| (6,130 | ) |
|
| (84.1) | % |
Net realized gain |
|
| - |
|
|
| 42,303 |
|
|
| (42,303 | ) |
|
| (100.0) | % |
Net unrealized appreciation (depreciation) |
|
| 37,329 |
|
|
| (34,112 | ) |
|
| 71,441 |
|
| NM |
| |
Net increase in net assets resulting from operations(A) |
| $ | 38,490 |
|
| $ | 15,482 |
|
| $ | 23,008 |
|
|
| 148.6 | % |
Net investment income per weighted-average common share(A) |
| $ | 0.03 |
|
| $ | 0.20 |
|
| $ | (0.17 | ) |
|
| (85.0) | % |
Adjusted net investment income per weighted-average common share(B) |
| $ | 0.23 |
|
| $ | 0.24 |
|
| $ | (0.01 | ) |
|
| (4.2) | % |
Net increase in net assets resulting from operations per weighted-average common share(A) |
| $ | 1.05 |
|
| $ | 0.42 |
|
| $ | 0.63 |
|
|
| 150.0 | % |
Cash distribution per common share from net investment income |
| $ | 0.16 |
|
| $ | 0.24 |
|
| $ | (0.08 | ) |
|
| (33.3) | % |
Cash distribution per common share from net realized gains(C)(D) |
| $ | 0.08 |
|
| $ | 0.70 |
|
| $ | (0.62 | ) |
|
| (88.6) | % |
Weighted-average yield on interest-bearing investments |
|
| 14.0 | % |
|
| 14.5 | % |
|
| (0.5 | )% |
|
| (3.4) | % |
Total dollars invested |
| $ | 187,094 |
|
| $ | 19,500 |
|
| $ | 167,594 |
|
| NM |
| |
Total dollars repaid and collected from sales and recapitalization of investments |
| $ | 5,500 |
|
| $ | 73,522 |
|
| $ | (68,022 | ) |
|
| (92.5) | % |
Weighted-average shares of common stock outstanding - basic and diluted |
|
| 36,727,873 |
|
|
| 36,688,667 |
|
|
| 39,206 |
|
|
| 0.1 | % |
Total shares of common stock outstanding |
|
| 36,837,381 |
|
|
| 36,688,667 |
|
|
| 148,714 |
|
|
| 0.4 | % |
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|
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| |
As of: |
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Total investments, at fair value |
| $ | 1,072,230 |
|
| $ | 853,307 |
|
| $ | 218,923 |
|
|
| 25.7 | % |
Fair value, as a percent of cost |
|
| 104.9 | % |
|
| 101.6 | % |
|
| 3.3 | % |
|
| 3.2 | % |
Net assets |
| $ | 490,053 |
|
| $ | 458,375 |
|
| $ | 31,678 |
|
|
| 6.9 | % |
Net asset value per common share |
| $ | 13.30 |
|
| $ | 12.49 |
|
| $ | 0.81 |
|
|
| 6.5 | % |
Number of portfolio companies |
|
| 26 |
|
|
| 22 |
|
|
| 4 |
|
|
| 18.2 | % |
NM = Not Meaningful
(A) Inclusive of
(B) See Non-GAAP Financial Measure - Adjusted Net Investment Income, below, for a description of this non-GAAP measure and a reconciliation from Net investment income to Adjusted net investment income, including on a weighted-average per share basis. The Company uses this non-GAAP financial measure internally in analyzing financial results and believes it is useful to investors as an additional tool to evaluate ongoing results and trends for the Company.
(C) Includes
(D) Estimates of tax characterization made on a quarterly basis may not be representative of the actual tax characterization of distributions for the full year. Estimates made on a quarterly basis are updated as of each interim reporting date.
Highlights for the Quarter: During the quarter ended December 31, 2024, the following significant events occurred:
Portfolio Activity:
In November 2024, we invested
$27.2 million in a new portfolio company, Pyrotek Special Effects, Inc. ("Pyrotek"), in the form of$20.1 million of secured first lien debt and$7.1 million of preferred equity. Pyrotek, headquartered in Ontario, Canada, is a leading provider of special effects services and solutions for the live entertainment industry.In December 2024, we invested
$5.0 million in Gladstone Alternative Income Fund ("Gladstone Alternative"), one of our affiliated funds, through common equity. Gladstone Alternative is a registered, non-diversified, closed-end management investment company that operates as an interval fund.In December 2024, we invested
$71.3 million in a new portfolio company, Nielsen-Kellerman, Inc. ("Nielsen-Kellerman"), in the form of$49.1 million of secured first lien debt and$22.2 million of preferred equity. Nielsen-Kellerman, headquartered in Boothwyn, Pennsylvania, designs, manufactures, and distributes a wide range of rugged, waterproof environmental measurement and sports performance instruments.In December 2024, we invested
$78.7 million in a new portfolio company, Ricardo Defense, Inc. ("Ricardo"), in the form of$61.3 million of secured first lien debt and$17.4 million of preferred equity. Ricardo, headquartered in Troy, Michigan, with operations in California, Texas and Alabama and overseas, develops engineering and product solutions for U.S. Army vehicle and logistics programs.
Distributions and Dividends:
Paid an
$0.08 per common share distribution to common stockholders in each of October, November and December 2024; andPaid a
$0.70 per common share supplemental distribution to common stockholders in October 2024.
At-the-market ("ATM") Program Activity:
Sold 148,714 shares of our common stock under our common stock ATM program at a weighted-average gross price of
$13.64 per share and raised approximately$2.0 million in net proceeds. These sales were above our then-current estimated NAV per share.
Financing activity:
Issued publicly-traded
7.875% Notes due 2030 (Nasdaq: GAINI) ("7.875% 2030 Notes") with a total principal amount of$126.5 million .
Third Quarter Results: Net investment income for the quarter ended December 31, 2024 was
Total investment income for the quarters ended December 31, 2024 and September 30, 2024 was
Total expenses, net of credits, for the quarters ended December 31, 2024 and September 30, 2024 was
Net asset value per common share as of December 31, 2024 was
$37.3 million , or$1.02 per common share, of net unrealized appreciation on investments; and$1.2 million , or$0.03 per common share, of net investment income; partially offset by$8.8 million , or$0.24 per common share, of distributions paid to common shareholders.
Subsequent Events: After December 31, 2024, the following significant events occurred:
Distributions and Dividends:
In January 2025, our Board of Directors declared the following monthly distributions to common stockholders:
Record Date | Payment Date |
| Distribution per Common Share |
| |
January 24, 2025 | January 31, 2025 |
| $ | 0.08 |
|
February 19, 2025 | February 28, 2025 |
|
| 0.08 |
|
March 19, 2025 | March 31, 2025 |
|
| 0.08 |
|
Total for the Quarter: |
| $ | 0.24 |
| |
Financing activity:
On February 10, 2025, we amended our credit facility, increasing the size from
$200.0 million to$250.0 million .
Non-GAAP Financial Measure - Adjusted Net Investment Income: On a supplemental basis, the Company discloses Adjusted net investment income, including on a weighted-average per share basis, which is a financial measure that is calculated and presented on a basis of methodology other than in accordance with GAAP. Adjusted net investment income represents net investment income, excluding capital gains-based incentive fees. The Company uses this non-GAAP financial measure internally in analyzing financial results and believes that this non-GAAP financial measure is useful to investors as an additional tool to evaluate ongoing results and trends for the Company. The Company's investment advisory agreement provides that a capital gains-based incentive fee is determined and paid annually with respect to realized capital gains (but not unrealized appreciation) to the extent such realized capital gains exceed realized capital losses and unrealized depreciation on investments for such year. However, under GAAP, a capital gains-based incentive fee is accrued if realized capital gains and unrealized appreciation of investments exceed realized capital losses and unrealized depreciation of investments. Refer to Note 4 - Related Party Transactions in our Quarterly Report on Form 10-Q for further discussion. The Company believes that Adjusted net investment income is a useful indicator of operations exclusive of any capital gains-based incentive fees, as net investment income does not include realized or unrealized investment activity associated with the capital gains-based incentive fee.
The following table provides a reconciliation of net investment income (the most comparable GAAP measure) to Adjusted net investment income for the periods presented (dollars in thousands, except per share amounts; unaudited):
| For the quarter ended |
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| December 31, 2024 |
|
| September 30, 2024 |
| |||||||||||
| Amount |
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| Per Share Amount |
|
| Amount |
|
| Per Share Amount |
| |||||
Net investment income |
| $ | 1,161 |
|
| $ | 0.03 |
|
| $ | 7,291 |
|
| $ | 0.20 |
|
Capital gains-based incentive fee |
|
| 7,466 |
|
|
| 0.20 |
|
|
| 1,638 |
|
|
| 0.04 |
|
Adjusted net investment income |
| $ | 8,627 |
|
| $ | 0.23 |
|
| $ | 8,929 |
|
| $ | 0.24 |
|
Weighted-average shares of common stock outstanding - basic and diluted |
|
|
|
|
|
| 36,727,873 |
|
|
|
|
|
|
| 36,688,667 |
|
Adjusted net investment income may not be comparable to similar measures presented by other companies, as it is a non-GAAP financial measure that is not based on a comprehensive set of accounting rules or principles and therefore may be defined differently by other companies. In addition, Adjusted net investment income should be considered in addition to, not as a substitute for, or superior to, financial measures determined in accordance with GAAP.
Conference Call: The Company will hold its earnings release conference call on Thursday, February 13, 2025, at 8:30 a.m. Eastern Time. Please call (866) 424-3437 to enter the conference call. An operator will monitor the call and set a queue for any questions. A replay of the conference call will be available through February 20, 2025. To hear the replay, please dial (877) 660-6853 and use the playback conference number 13750255. The replay will be available beginning approximately one hour after the call concludes. The live audio broadcast of the Company's quarterly conference call will also be available online at www.gladstoneinvestment.com. The event will be archived and available for replay on the Company's website.
About Gladstone Investment Corporation: Gladstone Investment Corporation is a publicly traded business development company that seeks to make secured debt and equity investments in lower middle market businesses in the United States in connection with acquisitions, changes in control and recapitalizations. Information on the business activities of all the Gladstone funds can be found at www.gladstonecompanies.com.
To obtain a paper copy of our Quarterly Report on Form 10-Q, filed today with the SEC, please contact the Company at 1521 Westbranch Drive, Suite 100, McLean, VA 22102, ATTN: Investor Relations. The financial information above is not comprehensive and is without notes, so readers should obtain and carefully review the Company's Form 10-Q for the quarter ended December 31, 2024, including the notes to the consolidated financial statements contained therein.
Investor Relations Inquiries: Please visit ir.gladstoneinvestment.com or call (703) 287-5893.
Forward-looking Statements:
The statements in this press release regarding potential future distributions, earnings and operations of the Company are "forward-looking statements." These forward-looking statements inherently involve certain risks and uncertainties in predicting future results and conditions. Although these statements are based on the Company's current plans that are believed to be reasonable as of the date of this press release, a number of factors could cause actual results and conditions to differ materially from these forward-looking statements, including those factors described from time to time in the Company's filings with the Securities and Exchange Commission. The Company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements that may be made to reflect any future events or otherwise, except as required by law.
SOURCE: Gladstone Investment Corporation
View the original press release on ACCESS Newswire
FAQ
What was GAIN's net investment income per share for Q3 2024?
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What is GAIN's current monthly distribution rate for Q1 2025?
How did GAIN's NAV per share change in Q3 2024?
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