NAV Per Share Grew 22% In Last 12 Months Expanded Credit Facility To $62.5 Million
NEW YORK, May 10, 2024 (GLOBE NEWSWIRE) -- PhenixFIN Corporation (NASDAQ: PFX, PFXNZ) (the "Company"), a publicly traded business development company, today announced its financial results for the fiscal second quarter of 2024.
Highlights
Second quarter total investment income of $4.7 million; net investment income of $0.6 million
Net asset value (NAV) of $154.3 million, or $76.35 per share as of March 31, 2024
Weighted average yield was 13.6% on debt and other income producing investments
Repurchased 40,000 shares during the second fiscal quarter
On February 21, 2024, the Credit Facility was amended to increase the principal amount available to $62.5 million.
On May 9, 2024 the Board of Directors declared a special dividend of $1.31 per share. This dividend is payable on June 10, 2024 to stockholders of record as of May 27, 2024.
David Lorber, Chief Executive Officer of the Company, stated:
“We continue to be pleased with our progress in growing our NAV per share as various investments have generated favorable investment income and/or capital appreciation. We continue to pursue NAV per share growth over time. We are also excited for potential future investments that should provide additional growth opportunities.
In addition, we are pleased to announce a special dividend of $1.31 per share for 2023 spillover income.”
Selected Second Quarter 2024 Financial Results for the Quarter Ended March 31, 2024:
Total investment income was $4.7 million which was attributable to portfolio interest and dividend income.
Total expenses were $4.1 million and total net investment income was $0.6 million.
The Company recorded total realized and unrealized gains of $4.8 million due to appreciation in various investments.
Portfolio and Investment Activities for the Quarter Ended March 31, 2024:
The fair value of the Company's investment portfolio totaled $220.0 million and consisted of 41 portfolio companies.
Liquidity and Capital Resources
At March 31, 2024, the Company had $19.1 million in cash and cash equivalents, $57.5 million in aggregate principal amount of its 5.25% unsecured notes due 2028 and $28.4 million outstanding under the Credit Facility.
ABOUT PHENIXFIN CORPORATION
PhenixFIN Corporation is a non-diversified, internally managed closed-end management investment company incorporated in Delaware that has elected to be regulated as a business development company under the Investment Company Act of 1940, as amended. We completed our initial public offering and commenced operations on January 20, 2011. The Company has elected, and intends to qualify annually, to be treated, for U.S. federal income tax purposes, as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended. Effective January 1, 2021, the Company operates under an internalized management structure.
SAFE HARBOR STATEMENT AND OTHER DISCLOSURES
This press release contains “forward-looking” statements. Such forward-looking statements reflect current views with respect to future events and financial performance, and the Company may make related oral forward-looking statements on or following the date hereof. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results and conditions to differ materially from those projected in these forward-looking statements, including among other things, PhenixFIN’s ability to deliver value to shareholders, make additional acquisitions that provide additional growth opportunities, increase investment activity, grow the Company, increase net investment income, reduce operating expenses, implement its investment objective, source and capitalize on investment opportunities, grow its net asset value (NAV) and NAV per share and perform well in the prevailing market environment, the ability of our portfolio companies to perform well and generate income and other factors that are enumerated in the Company’s periodic filings with the Securities and Exchange Commission. PhenixFIN Corporation disclaims and does not undertake any obligation to update or revise any forward-looking statement in this press release.
Past performance is not a guarantee of future results. The press release contains unaudited financial results. For ease of review, we have excluded the word "approximately" when rounding the results. This press release is for informational purposes only and is not an offer to purchase or a solicitation of an offer to sell shares of PhenixFIN Corporation’s common stock. There can be no assurance that PhenixFIN Corporation will achieve its investment objective.
For PhenixFIN investor relations, please call 212-859-0390. For media inquiries, please contact info@phenixfc.com.
PHENIXFIN CORPORATION Consolidated Statements of Assets and Liabilities
March 31, 2024 (Unaudited)
September 30, 2023
Assets:
Investments at fair value
Non-controlled, non-affiliated investments (amortized cost of $138,055,022 and $134,339,121 respectively)
$
132,407,942
$
125,531,031
Affiliated investments (amortized cost of $20,564,242 and $48,233,910, respectively)
14,333,867
37,289,617
Controlled investments (amortized cost of $90,793,284 and $82,437,692, respectively)
73,307,525
63,640,043
Total Investments at fair value
220,049,334
226,460,691
Cash and cash equivalents
19,123,796
5,988,223
Receivables:
Interest receivable
920,769
971,115
Dividends receivable
243,302
161,479
Other receivable
-
31,425
Due from Affiliate
5,326,933
409,214
Other assets
1,173,608
833,000
Deferred financing costs
724,568
699,124
Prepaid share repurchase
132,295
199,019
Receivable for investments sold
-
3,940,175
Total Assets
$
247,694,605
$
239,693,465
Liabilities:
Credit facility and note payable (net of debt issuance costs of $1,522,586 and $1,688,835, respectively)
$
84,419,355
$
84,253,106
Payable for investments purchased
5,036,284
4,123,059
Accounts payable and accrued expenses
2,707,303
3,066,984
Interest and fees payable
724,564
690,398
Other liabilities
360,477
432,698
Due to Affiliate
99,725
-
Administrator expenses payable (see Note 6)
75,000
-
Deferred revenue
-
421,685
Total Liabilities
93,422,708
92,987,930
Commitments and Contingencies (see Note 8)
Net Assets:
Common Shares, $0.001 par value; 5,000,000 shares authorized; 2,723,709 shares issued; 2,020,490 and 2,073,713 common shares outstanding, respectively
2,021
2,074
Capital in excess of par value
692,472,513
694,812,239
Total distributable earnings (loss)
(538,202,637
)
(548,108,778
)
Total Net Assets
154,271,897
146,705,535
Total Liabilities and Net Assets
$
247,694,605
$
239,693,465
Net Asset Value Per Common Share
$
76.35
$
70.75
PHENIXFIN CORPORATION Consolidated Statements of Operations (Unaudited)
For the Three Months Ended March 31,
For the Six Months Ended March 31,
2024
2023
2024
2023
Interest Income:
Interest from investments
Non-controlled, non-affiliated investments:
Cash
$
1,950,898
$
2,116,741
$
4,633,041
$
4,032,782
Payment in-kind
90,530
119,593
181,204
225,780
Affiliated investments:
Cash
276,484
261,028
732,176
459,481
Payment in-kind
-
-
-
-
Controlled investments:
Cash
294,028
57,188
580,266
251,815
Payment in-kind
118,864
155,994
268,831
245,737
Total interest income
2,730,804
2,710,544
6,395,518
5,215,595
Dividend income
1,652,262
1,503,375
3,665,988
3,535,733
Interest from cash and cash equivalents
199,266
125,471
240,374
217,697
Fee income (see Note 9)
76,517
171,055
78,625
244,654
Other income
-
401,986
22
401,986
Total Investment Income
4,658,849
4,912,431
10,380,527
9,615,665
Expenses:
Interest and financing expenses
1,567,352
1,381,596
3,109,413
2,614,772
Salaries and benefits
1,524,508
802,090
2,949,500
1,659,623
General and administrative expenses
310,776
201,181
635,837
421,158
Professional fees, net
343,150
377,229
700,704
725,146
Directors fees
187,500
176,500
375,000
370,500
Insurance expenses
96,694
121,387
194,450
245,471
Administrator expenses (see Note 6)
57,550
77,937
135,402
155,821
Total expenses
4,087,530
3,137,920
8,100,306
6,192,491
Net Investment Income
571,319
1,774,511
2,280,221
3,423,174
Realized and unrealized gains (losses) on investments
Non-controlled, non-affiliated investments
200,754
(838,070
)
430,558
(824,622
)
Affiliated investments
(1,991,456
)
-
(1,991,456
)
-
Controlled investments
-
23,273
-
23,273
Total net realized gains (losses)
(1,790,702
)
(814,797
)
(1,560,898
)
(801,349
)
Net change in unrealized gains (losses):
Non-controlled, non-affiliated investments
1,796,767
803,513
3,161,010
2,326,612
Affiliated investments
2,282,655
274,063
4,713,918
989,600
Controlled investments
2,512,263
4,670,928
1,311,890
4,722,097
Total net change in unrealized gains (losses)
6,591,685
5,748,504
9,186,818
8,038,309
Total realized and unrealized gains (losses)
4,800,983
4,933,707
7,625,920
7,236,960
Net Increase (Decrease) in Net Assets Resulting from Operations
$
5,372,302
$
6,708,218
$
9,906,141
$
10,660,134
Weighted average basic and diluted earnings per common share
$
2.62
$
3.20
$
4.81
$
5.08
Weighted average common shares outstanding - basic and diluted (see Note 11)
