TriplePoint Q3 2020 Earnings Report
Key Takeaways
TriplePoint Venture Growth BDC Corp. announced strong Q3 2020 financial results, featuring a net investment income of $0.40 per share and a net increase in net assets of $0.47 per share. The company declared a fourth-quarter distribution of $0.36 per share. The company saw an increase in investment income and a strong weighted average portfolio yield on total debt investments.
Net investment income was $12.2 million, or $0.40 per share.
Net increase in net assets was $14.4 million, or $0.47 per share.
Net asset value was $409.4 million, or $13.28 per share, an increase of 0.9% from the prior quarter.
Weighted average annualized portfolio yield on total debt investments was 14.1%.
TriplePoint
TriplePoint
Forward Guidance
TriplePoint Venture Growth BDC Corp. anticipates a strong finish to 2020 and robust momentum going into 2021, driven by growing demand for debt from venture growth stage companies.
Positive Outlook
- Growing demand for debt from venture growth stage companies.
- Anticipated strong finish for 2020.
- Robust momentum expected going into 2021.
- Company received $32.0 million of principal prepayments generating approximately $2.4 million of accelerated income
- TPC’s direct originations platform entered into $30.0 million of additional non-binding signed term sheets with venture growth stage companies
Challenges Ahead
- Changes in economic, market or other conditions.
- Impact of the COVID-19 pandemic and its effects on the Company’s and its portfolio companies’ results of operations and financial condition.
- Factors described from time to time in the Company’s filings with the Securities and Exchange Commission.
- Unfunded commitments totaled $168.3 million, of which $31.5 million was dependent upon portfolio companies reaching certain milestones.
- $85.0 million of unfunded commitments will expire during 2020 and $83.3 million will expire during 2021, if not drawn prior to expiration.