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SARATOGA INVESTMENT CORP. ALSO ANNOUNCES TRANSITION OF DIVIDEND FROM QUARTERLY TO MONTHLY AND DECLARES FIRST QUARTER FISCAL 2026 DIVIDEND OF $0.75 PER SHARE, IN THE AGGREGATE – AN INCREASE OF $0.01 PER SHARE, OR 1.4%
NEW YORK, Feb. 18, 2025 (GLOBE NEWSWIRE) -- Saratoga Investment Corp. (NYSE:SAR) (“Saratoga Investment” or “the Company”), a business development company, today announced that its Board of Directors has declared a base quarterly dividend of $0.74 per share for the fiscal fourth quarter ending February 28, 2025. The dividend is payable on March 25, 2025, to all stockholders of record at the close of business on March 6, 2025.
In addition, its Board of Directors also transitioned Saratoga Investment’s dividend payment schedule from quarterly to monthly beginning with the month ended March 31, 2025. As part of that transition, it increased its quarterly dividend by $0.01 per share to $0.75 per share in aggregate for the first quarter of fiscal 2026, declaring the following three monthly $0.25 per share dividends for the quarter ended May 31, 2025:
| Month | Amount per Share | Record Date | Payment Date |
| March 2025 | $0.25 | April 8, 2025 | April 24, 2025 |
| April 2025 | $0.25 | May 6, 2025 | May 22, 2025 |
| May 2025 | $0.25 | June 5, 2025 | June 24, 2025 |
“As a result of the strong overall performance of our diversified portfolio during the fiscal year, our board of directors approved a quarterly dividend of $0.74 per share for the quarter ended February 28, 2025, and increased our aggregated dividend for the first quarter of fiscal 2026 to $0.75 per share, representing an increase of $0.01 per share, or 1.4%, from the previous four quarters. Annualizing this dividend rate implies an industry leading 11.8% dividend yield based on Saratoga’s recent stock price of $25.39 per share on February 14, 2025. And we are also pleased to announce that we are changing the frequency of our dividend payments from quarterly to monthly. This decision is based on the Company's strong liquidity, stable asset quality and successful long-term origination track record. Our board of directors is pleased to continue delivering attractive returns to our shareholders via solid and consistent base dividends,” said Christian L. Oberbeck, Chairman and Chief Executive Officer of Saratoga Investment.
This is the fourth dividend declared in fiscal year 2025, with the new monthly dividends being the first dividends declared for fiscal year 2026.
Historical Dividend Distributions
| Period (Fiscal Year ends Feb) |
| Base |
|
| Special |
|
| Total |
| |||
| Fiscal Q1 2026 (May 2025) |
| $ | 0.25 |
|
|
| - |
|
| $ | 0.25 |
|
| Fiscal Q1 2026 (April 2025) |
| $ | 0.25 |
|
|
| - |
|
| $ | 0.25 |
|
| Fiscal Q1 2026 (March 2025) |
| $ | 0.25 |
|
|
| - |
|
| $ | 0.25 |
|
| Full Year Fiscal 2026 |
| $ | 0.75 |
|
|
| - |
|
| $ | 0.75 |
|
| Fiscal Q4 2025 |
| $ | 0.74 |
|
|
| - |
|
| $ | 0.74 |
|
| Fiscal Q3 2025 |
| $ | 0.74 |
|
| $ | 0.35 |
|
| $ | 1.09 |
|
| Fiscal Q2 2025 |
| $ | 0.74 |
|
|
| - |
|
| $ | 0.74 |
|
| Fiscal Q1 2025 |
| $ | 0.74 |
|
|
| - |
|
| $ | 0.74 |
|
| Full Year Fiscal 2025 |
| $ | 2.96 |
|
| $ | 0.35 |
|
| $ | 3.31 |
|
| Fiscal Q4 2024 |
| $ | 0.73 |
|
|
| - |
|
| $ | 0.73 |
|
| Fiscal Q3 2024 |
| $ | 0.72 |
|
|
| - |
|
| $ | 0.72 |
|
| Fiscal Q2 2024 |
| $ | 0.71 |
|
|
| - |
|
| $ | 0.71 |
|
| Fiscal Q1 2024 |
| $ | 0.70 |
|
|
| - |
|
| $ | 0.70 |
|
| Full Year Fiscal 2024 |
| $ | 2.86 |
|
|
| - |
|
| $ | 2.86 |
|
| Fiscal Q4 2023 |
| $ | 0.69 |
|
|
| - |
|
| $ | 0.69 |
|
| Fiscal Q3 2023 |
| $ | 0.68 |
|
|
| - |
|
| $ | 0.68 |
|
| Fiscal Q2 2023 |
| $ | 0.54 |
|
|
| - |
|
| $ | 0.54 |
|
| Fiscal Q1 2023 |
| $ | 0.53 |
|
|
| - |
|
| $ | 0.53 |
|
| Full Year Fiscal 2023 |
| $ | 2.44 |
|
|
| - |
|
| $ | 2.44 |
|
Shareholders will have the option to receive payment of the dividend in cash or receive shares of common stock pursuant to the Company’s dividend reinvestment plan (“DRIP”). Saratoga Investment shareholders who hold their shares with a broker must affirmatively instruct their brokers prior to the record date if they prefer to receive this dividend, and future dividends, in common stock. The number of shares of common stock to be delivered shall be determined by dividing the total dollar amount by 95% of the average of the market prices per share at the close of trading on the ten (10) trading days immediately preceding (and including) the payment date.