Jun 30, 2023

Horizon Technology Q2 2023 Earnings Report

Announced second quarter 2023 financial results.

Key Takeaways

Horizon Technology Finance reported a strong second quarter, with net investment income exceeding distributions, driven by a debt portfolio yield of over 16%. The company strengthened its balance sheet through common stock offerings and increased credit facility capacity.

Net investment income was $16.1 million, or $0.54 per share.

Total investment portfolio was $715.4 million as of June 30, 2023.

Net asset value was $355.4 million, or $11.07 per share, as of June 30, 2023.

Annualized portfolio yield on debt investments was 16.3% for the quarter.

Total Revenue
$28.1M
Previous year: $18.6M
+51.3%
EPS
$0.54
Previous year: $0.35
+54.3%
NAV per Share
$11.1
Previous year: $11.7
-5.3%
Debt Portfolio
$715M
Previous year: $577M
+23.9%
Committed Backlog
$183M
Previous year: $267M
-31.5%
Cash and Equivalents
$50.3M
Previous year: $76.3M
-34.1%
Total Assets
$787M
Previous year: $291M
+171.0%

Horizon Technology

Horizon Technology

Forward Guidance

With a stronger balance sheet and disciplined underwriting, Horizon believes it can further prudently grow HRZN’s portfolio of debt investments and deliver additional value to HRZN’s shareholders.

Positive Outlook

  • Stronger balance sheet
  • Disciplined underwriting
  • Potential to grow HRZN’s portfolio of debt investments
  • Potential to deliver additional value to HRZN’s shareholders
  • Increased commitment of senior secured debt facility by $50 million

Challenges Ahead

  • Statements included may constitute forward-looking statements which involve risks and uncertainties.
  • Actual results may differ materially from those in the forward-looking statements
  • The company does not undertake any duty to update any forward-looking statement made
  • Much of our committed backlog is subject to our portfolio companies achieving milestones.
  • Net realized loss on investments was $16.5 million