NAV Per Share Grew 14% In Last 12 Months (taking into account the distribution of the Special Dividend) Expanded Credit Facility To $87.5 Million
NEW YORK, Aug. 06, 2024 (GLOBE NEWSWIRE) -- PhenixFIN Corporation (NASDAQ: PFX, PFXNZ) (the "Company"), a publicly traded business development company, today announced its financial results for the fiscal third quarter of 2024.
Highlights
Third quarter total investment income of $6.2 million; net investment income of $2.0 million
Net asset value (NAV) of $154.2 million, or $76.35 per share as of June 30, 2024, taking into account the distribution of the special dividend
Weighted average yield is 13.8% on debt and other income producing investments
On August 5, 2024, the Credit Facility was amended to increase the principal amount available to $87.5 million
On May 9, 2024 the Board of Directors declared a special dividend of $1.31 per share which was paid on June 10, 2024 to stockholders of record as of May 27, 2024
David Lorber, Chief Executive Officer of the Company, stated:
“We had a strong quarter with increased investment activity, continued strong credit fundamentals, and a robust weighted average yield for income producing investments. Our flexible capital solutions continue to provide opportunities for our portfolio companies while we diligently seek to grow our investment portfolio. This approach allows for a unique portfolio of investments which we believe is well-positioned to grow our NAV per share.”
Selected Third Quarter 2024 Financial Results for the Quarter Ended June 30, 2024:
Total investment income was $6.2 million which was attributable to portfolio interest and dividend income.
Total expenses were $4.2 million and total net investment income was $2.0 million.
The Company recorded total realized and unrealized gains of $0.5 million due to the sale of Kemmerer Holdings, LLC.
Portfolio and Investment Activities for the Quarter Ended June 30, 2024:
The fair value of the Company's investment portfolio totaled $233.7 million and consisted of 43 portfolio companies.
Liquidity and Capital Resources
At June 30, 2024, the Company had $8.9 million in cash and cash equivalents, $59.1 million in aggregate principal amount of its 5.25% unsecured notes due 2028 and $27.6 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
June 30, 2024 (Unaudited)
September 30, 2023
Assets:
Investments at fair value
Non-controlled, non-affiliated investments (amortized cost of $152,515,155 and $134,339,121 respectively)
$
148,691,260
$
125,531,031
Affiliated investments (amortized cost of $20,564,242 and $48,233,910, respectively)
14,407,827
37,289,617
Controlled investments (amortized cost of $98,034,975 and $82,437,692, respectively)
70,582,278
63,640,043
Total Investments at fair value
233,681,365
226,460,691
Cash and cash equivalents
8,866,519
5,988,223
Receivables:
Interest receivable
1,715,284
971,115
Dividends receivable
215,705
161,479
Other receivable
205,984
31,425
Deferred financing costs
649,042
699,124
Due from Affiliate
451,178
409,214
Other assets
410,565
833,000
Prepaid share repurchase
101,115
199,019
Receivable for investments sold
-
3,940,175
Total Assets
$
246,296,757
$
239,693,465
Liabilities:
Credit facility and notes payable (net of debt issuance costs of $1,439,916 and $1,688,835, respectively)
$
85,294,535
$
84,253,106
Payable for investments purchased
1,834,831
4,123,059
Accounts payable and accrued expenses
3,789,402
3,066,984
Interest and fees payable
520,057
690,398
Other liabilities
327,045
432,698
Administrator expenses payable (see Note 6)
143,936
-
Due to Affiliate
183,548
-
Deferred revenue
-
421,685
Total Liabilities
92,093,354
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; 2,019,778 and 2,073,713 common shares outstanding, respectively
2,021
2,074
Capital in excess of par value
692,441,333
694,812,239
Total distributable earnings (loss)
(538,239,951
)
(548,108,778
)
Total Net Assets
154,203,403
146,705,535
Total Liabilities and Net Assets
$
246,296,757
$
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 June 30,
For the Nine Months Ended June 30,
2024
2023
2024
2023
Interest Income:
Interest from investments
Non-controlled, non-affiliated investments:
Cash
$
2,971,965
$
1,794,974
$
7,605,006
$
5,827,756
Payment in-kind
231,113
110,477
412,317
336,257
Affiliated investments:
Cash
10,682
652,304
742,858
1,111,785
Payment in-kind
-
-
-
-
Controlled investments:
Cash
650,244
30,610
1,230,510
282,425
Payment in-kind
334,398
134,550
603,229
380,287
Total interest income
4,198,402
2,722,915
10,593,920
7,938,510
Dividend income
Non-controlled, non-affiliated investments
531,151
1,216,137
1,963,744
2,824,666
Affiliated investments
-
-
-
-
Controlled investments
982,903
709,912
3,216,298
2,637,116
Total dividend income
1,514,054
1,926,049
5,180,042
5,461,782
Interest from cash and cash equivalents
147,127
95,356
387,501
313,053
Fee income (see Note 9)
375,363
94,482
453,988
339,136
Other income
-
-
22
401,986
Total Investment Income
6,234,946
4,838,802
16,615,473
14,454,467
Expenses:
Interest and financing expenses
1,721,767
1,415,102
4,831,180
4,029,874
Salaries and benefits
1,514,872
1,277,797
4,464,372
2,937,420
Professional fees, net
432,416
310,878
1,133,120
1,036,024
General and administrative expenses
226,903
253,298
862,740
674,456
Directors fees
187,500
170,833
562,500
541,333
Insurance expenses
95,983
115,654
290,433
361,125
Administrator expenses (see Note 6)
75,351
76,351
210,753
232,172
Total expenses
4,254,792
3,619,913
12,355,098
9,812,404
Net Investment Income
1,980,154
1,218,889
4,260,375
4,642,063
Realized and unrealized gains (losses) on investments
Non-controlled, non-affiliated investments
155,419
(1,374,437
)
585,977
(2,199,059
)
Affiliated investments
-
30,211
(1,991,456
)
30,211
Controlled investments
8,542,831
858
8,542,831
24,131
Total net realized gains (losses)
8,698,250
(1,343,368
)
7,137,352
(2,144,717
)
Net change in unrealized gains (losses):
Non-controlled, non-affiliated investments
1,823,185
3,907,130
4,984,195
6,233,742
Affiliated investments
73,960
2,322,910
4,787,878
3,312,510
Controlled investments
(9,966,938
)
2,811,099
(8,655,048
)
7,533,196
Total net change in unrealized gains (losses)
(8,069,793
)
9,041,139
1,117,025
17,079,448
Total realized and unrealized gains (losses)
628,457
7,697,771
8,254,377
14,934,731
Net Increase (Decrease) in Net Assets Resulting from Operations
$
2,608,611
$
8,916,660
$
12,514,752
$
19,576,794
Weighted average basic and diluted earnings per common share
$
1.29
$
4.26
$
6.11
$
9.34
Weighted average common shares outstanding - basic and diluted (see Note 11)
