NEW YORK, July 12, 2017 /PRNewswire/ -- Saratoga
Investment Corp. (NYSE: SAR) ("Saratoga Investment" or "the
Company"), a business development company, today announced
financial results for its 2018 fiscal first quarter.
Summary Financial Information
The Company's summarized financial information is as
follows:
|
For the
quarter
ended and as of
May 31, 2017
|
For the
quarter
ended and as of
February 28, 2017
|
For the
quarter
ended and as of
May 31, 2016
|
|
($ in thousands
except per share)
|
AUM
|
329,690
|
292,661
|
264,427
|
NAV
|
127,609
|
127,295
|
127,129
|
Investment
Income
|
8,707
|
8,358
|
7,908
|
Net Investment Income
per share
|
0.60
|
0.19
|
0.44
|
Adjusted Net
Investment Income per share
|
0.50
|
0.49
|
0.46
|
Earnings per
share
|
0.17
|
0.22
|
0.57
|
Return on Equity –
last twelve months
|
7.1%
|
9.0%
|
3.4%
|
|
|
|
|
"In the fiscal first quarter of 2018, we continued to make
progress on our core objectives of expanding assets under
management, maintaining strong investment quality, broadening our
investor base, diversifying sources and extending maturities of
cost effective and flexible liquidity, and increasing our pipeline
of available deal sources," said Christian
L. Oberbeck, Chairman and Chief Executive Officer of
Saratoga Investment. "We are pleased with our 13% increase in AUM
this quarter, reflecting our strong origination effort and
benefitting from a light rate of repayments. Our performance
metrics, including an increase in adjusted NII Yield to 9.2%, have
already started benefitting from this and will continue to do so as
the full impact of our increased asset base impacts our quarterly
performance. Unrealized losses of $2.5
million from portfolio depreciation did negatively affect
our earnings and NAV, primarily related to one investment. We were
also able to increase our dividend for the eleventh consecutive
quarter, announcing a $0.01 increase
to $0.47 per share, and we continue
to out-earn our dividend payments, an important differentiator for
us in the marketplace. Our year-over-year dividend growth has been
9.3% and we are one of only four BDCs to increase dividends this
past year. This steady performance would not be possible without
our business development and origination team, which enabled us to
keep ahead of the heavy repayments we've seen during recent
quarters. We also remain well structured for a potential higher
interest rate environment, with over 85% of our investments having
floating rate interest rates and all of our debt except for our
revolving credit facility being fixed-rate."
Michael J. Grisius, President and
Chief Investment Officer, added, "This fiscal quarter has
demonstrated the continued demand for our financings and the
reliability of our new business pipeline. In past quarters,
originations have been strong, but the positive effects of these
were partially masked by the high levels of repayment that have
defined the marketplace for some time. With few repayments this
quarter, this effort stands out in our AUM growth. Importantly,
this quarter's increase in AUM size did not come at the expense of
quality. The percentage of credits that bear our highest rating
increased from 94% to 96% quarter-on-quarter. We believe our
strength in quality originations will be a vital asset going
forward, particularly as our competitive environment continues to
intensify and upward pressure on valuation multiples and enterprise
values persists."
As of May 31, 2017, Saratoga
Investment increased its assets under management ("AUM") to
$329.7 million, an increase of 12.6%
from $292.7 million as of
February 28, 2017, and an increase of
24.7% from $264.4 million as of
May 31, 2016. This increase reflects
originations of $45.0 million during
the quarter ended May 31, 2017,
offset by repayments of $5.9 million,
with a combined gross unlevered IRR of 12.2% on the overall
unrealized portfolio. Gross unlevered IRR on our total repayments
of $209.6 million is 16.2%. Saratoga
Investment's portfolio has continued to grow this quarter and
remains strong, with a continued high level of investment quality
in loan investments with 96.3% of our loans at our highest internal
rating for this quarter.
As a result, total investment income increased to $8.7 million for the quarter ended May 31, 2017, up 10.1% from $7.9 million for the quarter ended May 31, 2016. This increased investment income
was generated from an investment base that has grown significantly,
resulting in both higher interest income and other income. The
investment income increase was offset by (i) increased debt and
financing expenses from higher outstanding Notes payable, revolving
debt outstanding with Madison Capital Funding and SBA debentures
this quarter reflective of the growing investment and asset base,
(ii) increased base management fees generated from the management
of this larger pool of investments, and (iii) increased total
expenses, excluding interest and debt financing expenses, base
management fees and incentive fees, reflecting primarily higher
administrator fees.
Net investment income on a weighted average per share basis was
$0.60 for the quarter ended
May 31, 2017. Adjusted for the
incentive fee accrual related to net unrealized capital gains, the
net investment income on a weighted average per share basis was
$0.50. This compares to adjusted net
investment income per share of $0.49
for the quarter ended February 28,
2017 and $0.46 for the quarter
ended May 31, 2016, reflecting an
increase of 3.1% and 10.3%, respectively.
Net investment income yield as percentage of average net asset
value ("Net Investment Income Yield") was 11.0% for the quarter
ended May 31, 2017. Adjusted for the
incentive fee accrual related to net unrealized capital gains, the
Net Investment Income Yield was 9.2%. In comparison, Net Investment
Income Yield was 3.5% and 8.0% for the quarters ended February 28, 2017 and May
31, 2016, respectively. Adjusted Net Investment Income Yield
was 8.8% and 8.3% for the same quarters, respectively.
Net Asset Value ("NAV") increased $0.3
million from $127.3 million as
of February 28, 2017 to $127.6 million as of May
31, 2017.
- For the three months ended May 31,
2017, $2.7 million of
dividends were declared, $0.6 million
of stock dividend distributions made through the Company's dividend
reinvestment plan ("DRIP") and $1.4
million of share sales sold through the Company's
At-the-Market ("ATM") equity offering.
NAV per share was $21.69 as of
May 31, 2017, compared to
$21.97 as of February 28, 2017.
- During the three months, NAV per share decreased by
$0.28 per share, primarily reflecting
the $1.6 million, or $0.29 per share decrease in net assets (net of
the $0.46 dividend paid during the
first fiscal quarter 2018). This was slightly offset by the
$0.01 accretive impact of the
quarter's share issuances, with 60,779 shares issued under the
Company's ATM offering above net asset value offsetting the
dilutive impact of the 29,096 shares issued under the DRIP.
Return on equity for the last twelve months ended May 31, 2017 was 7.1%, compared to 3.4% for the
comparable period last year.
- Excluding the realized and unrealized gains and losses on our
legacy investments in Targus Group International ("Targus") and
Elyria Foundry Company, LLC ("Elyria") over the past twelve months,
as well as the loss associated with the extinguishment of our 2020
notes and the interest on the 2020 notes during the call notice
period, the return on equity for the last twelve months ended
May 31, 2017 was 7.9%. Both Targus
and Elyria are legacy investments that pre-date Saratoga's management of the Company.
Earnings per share for the quarter ended May 31, 2017 was $0.17 (including $2.5
million net unrealized loss on investments), compared to
earnings per share of $0.22 for the
quarter ended February 28, 2017 and
$0.57 for the quarter ended on
May 31, 2016.
Investment portfolio activity for the quarter ended May 31, 2017:
- Cost of investments made during the period: $45.0 million
- Principal repayments during the period: $5.9 million
Additional Financial Information
For the fiscal quarter ended May 31,
2017, Saratoga Investment reported net investment income of
$3.5 million, or $0.60 on a weighted average per share basis, and
a net loss on investments of $2.5
million, or $0.42 on a
weighted average per share basis, resulting in a net increase in
net assets from operations of $1.0
million, or $0.17 on a
weighted average per share basis. The $2.5
million net loss on investments was comprised of
$2.6 million in net unrealized
depreciation on investments offset by $0.1
million in net realized gain on investments. The net
unrealized loss was due primarily to $5.3
million unrealized depreciation on our My Alarm Center, LLC
investment reflecting increased leverage levels combined with
declining market conditions in the sector, partially offset by
$1.4 million unrealized appreciation
in our Saratoga CLO investment, $1.1
million unrealized appreciation in our Mercury Network, LLC
investment, and $1.0 million
unrealized appreciation in our legacy Elyria investment. This
compared to the fiscal quarter ended May 31,
2016 with net investment income of $2.5 million, or $0.44 on a weighted average per share basis, and
a net gain on investments of $0.7
million, or $0.13 on a
weighted average per share basis, resulting in a net increase in
net assets from operations of $3.3
million, or $0.57 on a
weighted average per share basis. The $0.7
million net gain on investments consisted of $6.1 million in net realized gains on investments
and $5.4 million in unrealized
depreciation.
Adjusted for the incentive fee accrual related to net unrealized
capital gains, the net investment income was $2.9 million and $2.6
million for the quarters ended May
31, 2017 and May 31, 2016,
respectively – this is an increase of $0.3
million year-over-year, or 12.7%.
Total expenses, excluding interest and debt financing expenses,
base management fees and incentive management fees, increased from
$1.05 million for the quarter ended
May 31, 2016 to $1.11 million for the quarter ended May 31, 2017, decreasing from 1.4% of average
total assets last year to 1.3% this year.
Portfolio and Investment Activity
As of May 31, 2017, the fair value
of Saratoga Investment's portfolio was $329.7 million (excluding $27.8 million in cash and cash equivalents),
principally invested in 32 portfolio companies and one
collateralized loan obligation fund ("CLO"). The overall portfolio
composition consisted of 56.4% of first lien term loans, 29.1% of
second lien term loans, 4.9% of subordinated notes in a CLO, 2.8%
of syndicated loans, and 6.8% of common equity.
For the fiscal quarter ended May 31,
2017, Saratoga Investment invested $45.0 million in new or existing portfolio
companies and had $5.9 million in
aggregate amount of exits and repayments, resulting in net
investments of $39.1 million for the
year.
As of May 31, 2017, the weighted
average current yield on Saratoga Investment's portfolio for the
twelve months ended was 11.4%, which was comprised of a weighted
average current yield of 10.8% on first lien term loans, 12.4% on
second lien term loans, 15.7% on CLO subordinated notes, 5.3% on
syndicated loans and 4.0% on equity interests.
As of May 31, 2017, 85.1% of
Saratoga Investment's portfolio is in floating rate debt, with many
of these investments having floors. For most of these investments,
the relevant 1-month or 3-month LIBOR rate is currently above the
floors. Saratoga Investment has analyzed the potential impact of
changes in interest rates on interest income from investments, and
assuming that the investments as of May 31,
2017 were to remain constant for a full fiscal year and no
actions were taken to alter the existing interest rate terms, a
hypothetical change of 1.0% in interest rates would cause a
corresponding increase of approximately $2.5 million to interest income over twelve
months.
Portfolio Update:
During the quarter ended February 28,
2017, Saratoga Investment increased its first lien
investment in Easy Ice, LLC to $26.7
million to facilitate a change of control transaction at the
company. Concurrent with this transaction, it also invested
$8.0 million in a significant
preferred equity position. As part of a further recapitalization
that is currently in advanced stages, there is expected to be a
repayment of a significant portion of the first lien investment in
the near term.
Liquidity and Capital Resources
As of May 31, 2017, Saratoga
Investment had $24.5 million in
outstanding borrowings under its $45 million senior secured
revolving credit facility with Madison Capital Funding LLC. At
the same time, Saratoga Investment had $134.7 million outstanding of SBA debentures,
$74.5 million of Baby Bonds (fair value of $78.1 million) and an aggregate of $27.8 million in cash and cash equivalents.
With $20.5 million available under
the credit facility and the $15.3
million additional borrowing capacity at the SBIC
subsidiary, as well as the $27.8
million of cash and cash equivalents, Saratoga Investment
has a total of $63.6 million of
undrawn borrowing capacity and cash and cash equivalents available
as of May 31, 2017. The proceeds from
the DRIP and ATM program totaled $2.0
million of equity investments in the first fiscal quarter of
2018. Saratoga Investment also has the ability to issue additional
baby bonds through the existing shelf registration statement.
On March 16, 2017, we entered into
an equity distribution agreement with Ladenburg Thalmann & Co.
Inc., through which Saratoga may
offer for sale, from time to time, up to $30.0 million of its common stock through an ATM
offering. As of July 11, 2017, the
Company sold 117,354 shares for gross proceeds of $2.6 million at an average price of $22.49 for aggregate net proceeds of $2.6 million (net of transaction costs).
On May 18, 2017, we entered into
an amendment to our senior secured revolving credit facility with
Madison Capital Funding LLC which, among other things, (1)
extended the commitment termination date from September 17, 2017 to September 17, 2020, (2) extended the maturity
date from September 17, 2022 to
September 17, 2025, (3) kept the rate
unchanged at LIBOR plus 4.75% (4) reduced the floor on LIBOR
borrowings from 1.25% to 1.00%, and (5) reduced the unused
commitment fee from 0.75% to 0.50% if utilization is greater than
50%.
Share Repurchase Plan
In fiscal year 2015, the Company announced the approval of an
open market share repurchase plan that allows it to repurchase up
to 200,000 shares of its common stock at prices below its NAV as
reported in its then most recently published financial statements.
During fiscal year 2017, this share repurchase plan was extended
for another year, through October
2017, and increased to 600,000 of common stock.
There were no share repurchases during the quarter ended
May 31, 2017.
Dividend
During fiscal year 2017, Saratoga Investment declared and paid
dividends of $1.93 per share,
composed of $0.41 for the quarter
ended February 29, 2016, $0.43 per share for the quarter ended
May 31, 2016, $0.44 per share for the quarter ended
August 31, 2016, $0.45 per share for the quarter ended
November 30, 2016, and a special
dividend of $0.20 per share in the
second quarter of fiscal year 2017.
Saratoga Investment has continued to pay quarterly dividends
regularly throughout fiscal year 2018, including $0.46 per share for the quarter ended
February 28, 2017 and $0.47 per share for the quarter ended
May 31, 2017. Shareholders had the
option to receive payment of the dividend in cash, or receive
shares of common stock, pursuant the Company's DRIP.
2018 Fiscal First Quarter Conference Call/Webcast
Information
When:
|
Thursday, July 13,
2017, 10:00 a.m. Eastern Time (ET)
|
|
|
Call:
|
Interested parties
may participate by dialing (877) 312-9208 (U.S. and Canada) or
(678) 224-7872 (outside U.S. and Canada).
|
|
|
|
A replay of the call
will be available from 1:00 p.m. ET on Thursday, July 13, 2017
through 1:00 p.m. ET on Thursday, July 20, 2017 by dialing (855)
859-2056 (U.S. and Canada) or (404) 537-3406 (outside U.S. and
Canada), passcode for both replay numbers: 40872449.
|
|
|
Webcast:
|
Interested parties
may access a simultaneous webcast of the call and find the Q1
FY2018 presentation by going to the "Events & Presentations"
section of Saratoga Investment's investor relations website,
http://www.saratogainvestmentcorp.com/investor.html
|
About Saratoga Investment Corp.
Saratoga Investment Corp. is a specialty finance company that
provides customized financing solutions to U.S. middle-market
businesses. The Company invests primarily in senior and
unitranche leveraged loans, mezzanine debt, and, to a lesser
extent, equity to provide financing for change of ownership
transactions, strategic acquisitions, recapitalizations and growth
initiatives in partnership with business owners, management teams
and financial sponsors. Saratoga Investment Corp.'s objective
is to create attractive risk-adjusted returns by generating current
income and long-term capital appreciation from its debt and equity
investments. Saratoga Investment Corp. has elected to be
regulated as a business development company ("BDC") under the
Investment Company Act of 1940 and is externally-managed by
Saratoga Investment Advisors, LLC, an SEC-registered investment
advisor focusing on credit-driven strategies. Saratoga
Investment Corp. owns an SBIC-licensed subsidiary and manages a
$300 million Collateralized Loan
Obligation (CLO) fund. It also owns 100% of the subordinated
notes of the CLO. These diverse funding sources, combined
with a permanent capital base, enable Saratoga Investment Corp. to
provide a broad range of financing solutions.
Forward Looking Statements
This press release contains certain forward-looking
statements. These forward-looking statements are subject to
risks and uncertainties and other factors enumerated in this press
release and the filings Saratoga Investment Corp. makes
with the SEC. Saratoga Investment Corp. undertakes
no obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise.
Financials
Saratoga
Investment Corp.
|
|
|
|
|
|
|
Consolidated
Statements of Assets and Liabilities
|
|
|
|
|
|
|
|
|
|
As
of
|
|
|
|
May 31,
2017
|
|
February 28,
2017
|
|
|
|
(unaudited)
|
|
|
ASSETS
|
|
|
|
|
Investments at fair
value
|
|
|
|
|
|
Non-control/Non-affiliate investments (amortized cost
of $291,471,679 and $251,198,896, respectively)
|
|
$
278,767,064
|
|
$
242,531,514
|
|
Control investments
(cost of $48,625,339 and $49,283,536, respectively)
|
|
50,922,884
|
|
50,129,799
|
|
Total investments at
fair value (amortized cost of $340,097,018 and $300,482,432,
respectively)
|
|
329,689,948
|
|
292,661,313
|
Cash and cash
equivalents
|
|
1,246,815
|
|
9,306,543
|
Cash and cash
equivalents, reserve accounts
|
|
26,526,889
|
|
12,781,425
|
Interest receivable
(net of reserve of $817,374 and $157,560, respectively)
|
|
3,652,935
|
|
3,294,450
|
Management and
incentive fee receivable
|
|
276,484
|
|
171,106
|
Other
assets
|
|
278,376
|
|
183,346
|
Receivable from
unsettled trades
|
|
253,041
|
|
253,041
|
|
Total
assets
|
|
$
361,924,488
|
|
$
318,651,224
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
Revolving credit
facility
|
|
$
24,500,000
|
|
$
-
|
Deferred debt
financing costs, revolving credit facility
|
|
(760,150)
|
|
(437,183)
|
SBA debentures
payable
|
|
134,660,000
|
|
112,660,000
|
Deferred debt
financing costs, SBA debentures payable
|
|
(2,924,288)
|
|
(2,508,280)
|
Notes
payable
|
|
74,450,500
|
|
74,450,500
|
Deferred debt
financing costs, notes payable
|
|
(2,578,509)
|
|
(2,689,511)
|
Base management and
incentive fees payable
|
|
3,992,960
|
|
5,814,692
|
Accounts payable and
accrued expenses
|
|
773,025
|
|
852,987
|
Interest and debt
fees payable
|
|
1,805,492
|
|
2,764,237
|
Directors fees
payable
|
|
51,500
|
|
51,500
|
Due to
manager
|
|
345,305
|
|
397,505
|
|
Total
liabilities
|
|
$
234,315,835
|
|
$
191,356,447
|
|
|
|
|
|
|
|
|
|
|
|
|
NET ASSETS
|
|
|
|
|
Common stock, par
value $.001, 100,000,000 common shares
|
|
|
|
|
|
authorized, 5,884,475
and 5,794,600 common shares issued and outstanding,
respectively
|
|
$
5,884
|
|
$
5,795
|
Capital in excess of
par value
|
|
192,449,147
|
|
190,483,931
|
Distribution in
excess of net investment income
|
|
(26,898,415)
|
|
(27,737,348)
|
Accumulated net
realized loss from investments and derivatives
|
|
(27,540,893)
|
|
(27,636,482)
|
Accumulated net
unrealized depreciation on investments and derivatives
|
|
(10,407,070)
|
|
(7,821,119)
|
|
Total net
assets
|
|
127,608,653
|
|
127,294,777
|
|
|
|
|
|
|
Total liabilities and
net assets
|
|
$
361,924,488
|
|
$
318,651,224
|
|
|
|
|
|
|
NET ASSET VALUE PER
SHARE
|
|
$
21.69
|
|
$
21.97
|
|
|
|
|
|
|
Asset Coverage
Ratio
|
|
229.0%
|
|
271.0%
|
Saratoga
Investment Corp.
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated
Statements of Operations
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
For the three
months ended
May 31, 2017
|
|
For the three
months ended
May 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INVESTMENT
INCOME
|
|
|
|
|
|
|
|
|
|
Interest from
investments
|
|
|
|
|
|
|
|
|
|
|
Non-control/Non-affiliate investments
|
|
|
|
$
5,920,433
|
|
$
6,620,113
|
|
|
|
|
Payment-in-kind
interest income from Non-control/Non-affiliate
investments
|
|
|
|
223,273
|
|
129,090
|
|
|
|
|
Control
investments
|
|
|
|
1,335,386
|
|
532,126
|
|
|
|
|
Payment-in-kind
interest income from Control investments
|
|
|
|
262,109
|
|
-
|
|
|
|
|
Total interest
income
|
|
|
|
7,741,201
|
|
7,281,329
|
|
|
|
Interest from cash
and cash equivalents
|
|
|
|
7,081
|
|
3,786
|
|
|
|
Management fee
income
|
|
|
|
375,681
|
|
373,684
|
|
|
|
Incentive fee
income
|
|
|
|
105,295
|
|
-
|
|
|
|
Other
income
|
|
|
|
478,190
|
|
249,596
|
|
|
|
|
Total investment
income
|
|
|
|
8,707,448
|
|
7,908,395
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING
EXPENSES
|
|
|
|
|
|
|
|
|
|
Interest and debt
financing expenses
|
|
|
|
2,523,606
|
|
2,368,056
|
|
|
|
Base management
fees
|
|
|
|
1,391,027
|
|
1,227,157
|
|
|
|
Professional
fees
|
|
|
|
384,331
|
|
359,299
|
|
|
|
Administrator
expenses
|
|
|
|
375,000
|
|
325,000
|
|
|
|
Incentive management
fees
|
|
|
|
176,096
|
|
728,280
|
|
|
|
Insurance
|
|
|
|
66,165
|
|
70,658
|
|
|
|
Directors fees and
expenses
|
|
|
|
51,000
|
|
66,000
|
|
|
|
General &
administrative
|
|
|
|
197,243
|
|
212,209
|
|
|
|
Other
expense
|
|
|
|
38,531
|
|
13,187
|
|
|
|
|
Total operating
expenses
|
|
|
|
5,202,999
|
|
5,369,846
|
|
|
|
|
NET INVESTMENT
INCOME
|
|
|
|
3,504,449
|
|
2,538,549
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REALIZED AND
UNREALIZED GAIN (LOSS) ON INVESTMENTS:
|
|
|
|
|
|
|
|
|
|
Net realized gain
from investments
|
|
|
|
95,589
|
|
6,102,905
|
|
|
|
Net unrealized
depreciation on investments
|
|
|
|
(2,585,951)
|
|
(5,353,867)
|
|
|
|
|
Net gain (loss) on
investments
|
|
|
|
(2,490,362)
|
|
749,038
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCREASE IN NET
ASSETS RESULTING FROM OPERATIONS
|
|
|
|
$
1,014,087
|
|
$
3,287,587
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WEIGHTED AVERAGE -
BASIC AND DILUTED EARNINGS PER COMMON SHARE
|
|
|
$
0.17
|
|
$
0.57
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WEIGHTED AVERAGE
COMMON SHARES OUTSTANDING - BASIC AND DILUTED
|
|
|
5,861,654
|
|
5,737,496
|
|
|
|
Supplemental Information Regarding Adjusted Net Investment
Income, Adjusted Net Investment Income Yield and Adjusted Net
Investment Income per share
On a supplemental basis, we provide information relating to
adjusted net investment income, adjusted net investment income
yield and adjusted net investment income per share, which are
non-GAAP measures. These measures are provided in addition to, but
not as a substitute for, net investment income, net investment
income yield and net investment income per share. Adjusted net
investment income represents net investment income excluding any
capital gains incentive fee expense or reversal attributable to
unrealized gains. The management agreement with our advisor
provides that a capital gains incentive fee is determined and paid
annually with respect to cumulative realized capital gains (but not
unrealized capital gains) to the extent such realized capital gains
exceed realized and unrealized losses for such year. In addition,
we accrue, but do not pay, a capital gains incentive fee in
connection with any unrealized capital appreciation, as
appropriate. As such, we believe that adjusted net investment
income, adjusted net investment income yield and adjusted net
investment income per share is a useful indicator of operations
exclusive of any capital gains incentive fee expense or reversal
attributable to unrealized gains. The presentation of this
additional information is not meant to be considered in isolation
or as a substitute for financial results prepared in accordance
with GAAP. The following table provides a reconciliation of net
investment income to adjusted net investment income, net investment
income yield to adjusted net investment income yield and net
investment income per share to adjusted net investment income per
share for the three months ended May 31,
2017 and May 31, 2016.
|
For the three
months ended May 31
|
|
2017
|
|
2016
|
|
|
|
|
Net Investment
Income
|
$
3,504,449
|
|
$
2,538,549
|
Changes in accrued
capital gains
incentive fee
expense/reversal
|
($
560,267)
|
|
$ 74,664
|
Adjusted net
investment income
|
$
2,944,182
|
|
$
2,613,213
|
|
|
|
|
Net investment income
yield
|
11.0%
|
|
8.0%
|
Changes in accrued
capital gains
incentive fee
expense/reversal
|
(1.8%)
|
|
0.3%
|
Adjusted net
investment income
yield
(1)
|
9.2%
|
|
8.3%
|
Net investment income
per share
|
$ 0.60
|
|
$ 0.44
|
Changes in accrued
capital gains
incentive fee
expense/reversal
|
($ 0.10)
|
|
$ 0.02
|
Adjusted net
investment income
per share
(2)
|
$ 0.50
|
|
$ 0.46
|
|
|
|
|
|
|
(1)
|
Adjusted net
investment income yield is calculated as adjusted net investment
income divided by average net asset value.
|
(2)
|
Adjusted net
investment income per share is calculated as adjusted net
investment income divided by weighted average common shares
outstanding.
|
Contact: Henri
Steenkamp
Saratoga Investment Corp.
212-906-7800
Roland Tomforde
Broadgate Consultants
212-232-2222
View original
content:http://www.prnewswire.com/news-releases/saratoga-investment-corp-announces-fiscal-first-quarter-2018-financial-results-300487316.html
SOURCE Saratoga Investment Corp.