PennantPark Floating Rate Q1 2024 Earnings Report
Key Takeaways
PennantPark Floating Rate Capital Ltd. announced its financial results for the first quarter ended December 31, 2023. The company reported a net investment income of $19.4 million, or $0.33 per share, compared to $13.7 million, or $0.30 per share, for the same period in the prior year. Investment income increased to $38.0 million, driven by a higher cost yield on the debt portfolio.
Portfolio totaled $1,270.9 million as of December 31, 2023, with $1,090.5 million in first lien secured debt.
Net investment income for the quarter was $19.4 million, or $0.33 per share.
Investment income for the quarter was $38.0 million, driven by first lien secured debt.
Company invested $302.6 million in new and existing portfolio companies during the quarter.
PennantPark Floating Rate
PennantPark Floating Rate
Forward Guidance
Subsequent to December 31, 2023, the company invested $103.2 million in new and existing portfolio companies.
Positive Outlook
- Actively investing in new core middle market loans.
- Driving meaningfully increased income through growing balance sheets.
- Invested $103.2 million in four new and 23 existing portfolio companies
- Weighted average yield on debt investments of 13.0%.
- Liquidity and capital resources are sufficient to allow us to efficiently operate the business.
Challenges Ahead
- Operating activities used cash of $181.9 million.
- Net realized losses totaled $(3.1) million.
- One portfolio company on non-accrual, representing 0.1% of overall portfolio on a cost basis.
- Net unrealized depreciation on investments totaled $(19.6) million.
- General market conditions may impact investment values.