MCLEAN, Va., May 23, 2011 /PRNewswire/ -- Gladstone Investment
Corporation (Nasdaq: GAIN) (the "Company") today announced earnings
for the fourth quarter and fiscal year ended March 31, 2011. All per share references
are per basic and diluted weighted average common share
outstanding, unless noted otherwise.
(Logo:
http://photos.prnewswire.com/prnh/20101005/GLADSTONEINVESTMENT
)
Net Investment Income for the Quarter: Net
Investment Income for the quarters ended March 31, 2011 and 2010 was $1.9 million, or $0.09 per share, and $2.7
million, or $0.12 per share,
respectively, a decrease in Net Investment Income of 28.7%.
The decrease in Net Investment Income was primarily driven by
lower interest income resulting from a reduction in the size of the
Company's investment portfolio subsequent to March 31, 2010.
Net Investment Income for the Fiscal Year: Net
Investment Income for the fiscal years ended March 31, 2011 and 2010 was $16.2 million, or $0.73 per share, and $10.6
million, or $0.48 per share,
respectively, an increase in Net Investment Income of 52.6%. The
increase in Net Investment Income was primarily driven by dividend
and success fee income recognized during the fiscal year ended
March 31, 2011, most notably from the
sales of investments in two portfolio companies, A. Stucki Holding
Corp. ("A. Stucki") and Chase II Holdings Corp. ("Chase"),
partially offset by lower interest income resulting from a
reduction in the size of the Company's investment portfolio.
Net Increase in Net Assets Resulting from Operations for the
Quarter: Net Increase in Net Assets Resulting from
Operations for the quarters ended March 31,
2011 and 2010 was $2.8
million, or $0.13 per share,
and $20.6 million, or $0.93 per share, respectively. The decrease in
the Net Increase in Net Assets Resulting from Operations between
the quarter ended March 31, 2011 and
the prior year's period was primarily due to significant net
unrealized appreciation on the Company's investment portfolio in
the quarter ended March 31, 2010,
most notably in A. Stucki. The Company recorded net
unrealized appreciation on investments of $0.9 million in the quarter ended March 31, 2011, compared to $17.8 million for the quarter ended March 31, 2010.
Net Increase (Decrease) in Net Assets Resulting from
Operations for the Fiscal Year: Net Increase (Decrease)
in Net Assets Resulting from Operations for the fiscal years ended
March 31, 2011 and 2010 was
$16.4 million, or $0.74 per share, and ($11.1) million, or ($0.50) per share, respectively. The increase in
the Net Increase (Decrease) in Net Assets Resulting from Operations
between the fiscal years ended March 31,
2011 and 2010 was primarily due to the significant profits
realized on the sale of investments in A. Stucki and Chase during
the fiscal year ended March 31, 2011,
coupled with the significant net loss recorded on the Company's
investment portfolio during the prior year. The Company
recorded a net gain on investments of $0.3
million for the fiscal year ended March 31, 2011, compared to a net loss on
investments of $21.7 million for the
prior fiscal year, which was largely caused by the realized loss of
$35.9 million that was recorded
related to the sale or partial sale of 31 senior syndicated
loans.
Investment Portfolio Fair Value: As of March 31, 2011, the entire portfolio was fair
valued at 77.7% of cost, as compared to 90.9% as of March 31, 2010. The aggregate investment
portfolio depreciated during the fiscal year ended March 31, 2011, primarily due to the sale of A.
Stucki and Chase for cash, both of which had significant unrealized
appreciation recorded at March 31,
2010, which was reversed in the fiscal year ended
March 31, 2011. Excluding
reversals, net unrealized depreciation for the fiscal year ended
March 31, 2011 was $1.3 million.
Net Asset Value: Net asset value was $9.00 per share outstanding at March 31, 2011, as compared to $8.74 per share outstanding at March 31, 2010. Even though the Company's
investment portfolio size decreased year over year, the Company's
cash position, net of total borrowings, increased to $40.6 million as of March
31, 2011, compared to a cash position, net of total
borrowings, of $(15.1) million as of
March 31, 2010, primarily due to the
sale of investments in A. Stucki and Chase for cash.
Asset Characteristics: Total assets were
$241.1 million at March 31, 2011, as compared to $297.2 million at March
31, 2010. At March 31, 2011,
the Company had investments in 17 portfolio companies with an
aggregate cost basis of $197.2
million and an aggregate fair value of $153.3 million. As of March 31, 2011, the Company's investment
portfolio at fair value was comprised of 79.2% in debt securities
and 20.8% in equity securities. Additionally, the Company
held $80.6 million in cash and cash
equivalents at March 31, 2011,
including $40.0 million from a
short-term loan that was subsequently repaid.
Investment Yield: The weighted average yield on the
Company's interest-bearing portfolio, excluding cash and cash
equivalents, was 11.4% for the fiscal year ended March 31, 2011, as compared to 11.0% for the
prior year fiscal year ended March 31,
2010. The increase in the weighted average yield for
the current year ended March 31, 2011
resulted primarily from the sale of lower interest-bearing senior
syndicated loans.
Highlights for Quarter: During the quarter ended
March 31, 2011, the following
significant events occurred:
- Investment Activity: Funded $2.0
million of investments to existing portfolio companies,
through revolver draws or addition of new term notes, and received
scheduled repayments of $0.7
million.
- Distributions: Paid monthly cash distributions to
stockholders of $0.04 per common
share for each of January, February and March 2011.
Comments from President Dave
Dullum: "During the year, we achieved strong
capital gains from the sale of investments in two of our portfolio
companies, invested additional capital in certain of our existing
portfolio companies and invested capital in some new portfolio
companies. In addition, many of our existing portfolio
companies experienced improved performance. After year end, we
achieved further strong capital gains through a partial sale of one
investment and invested capital in new investment. All of this
activity and effort enabled us to increase the monthly dividend by
12.5% for the months of April, May and June. We hope to continue
this healthy investment activity and to carry that momentum
throughout this new fiscal year."
Subsequent Events: After March 31, 2011, the following occurred:
- Investment Recapitalization: In April 2011, the Company recapitalized its
investment in Cavert II Holding Corp. ("Cavert"), in which the
Company received gross cash proceeds of $5.6
million from the sale of its common equity, resulting in a
realized gain of $5.5 million,
$2.3 million in a partial redemption
of its preferred stock and $0.7
million in preferred dividends. At the same time, the
Company invested $5.7 million in new
subordinated debt in Cavert.
- New Investment: In April
2011, the Company invested $16.4
million in a new control investment, Mitchell Rubber
Products, Inc. ("Mitchell"), consisting of subordinated debt and
preferred and common equity. Mitchell, headquartered in
Mira Loma, California, develops,
mixes and molds rubber compounds for specialized applications in
the non-tire rubber market.
- Increased Dividends Declared: The Company's Board
of Directors increased the monthly distribution by $0.005, or 12.5%, and declared the following
monthly distributions to stockholders:
|
|
|
Declared
|
Record
Date
|
Payment
Date
|
Cash Distribution
|
|
|
April 12, 2011
|
April 22,
2011
|
April 29,
2011
|
$
0.045
|
|
|
April 12, 2011
|
May 20,
2011
|
May 31,
2011
|
0.045
|
|
|
April 12, 2011
|
June 20,
2011
|
June 30,
2011
|
0.045
|
|
|
Total for the
Quarter:
|
$
0.135
|
|
|
|
|
|
|
|
While the Company's net investment income was $0.09 per share for the quarter ended
March 31, 2011, the Company's Board
of Director's determined to increase the monthly distribution based
on estimated taxable income for the fiscal year ending March 31, 2012.
Summary Information: The following chart is a
summary of some of the information reported above (dollars in
thousands, except per share data) (unaudited):
|
|
|
|
March 31,
2011
|
|
March 31,
2010
|
|
|
For year
ended:
|
|
|
|
|
|
|
|
|
Net investment income
|
|
$
|
16,171
|
|
|
$
|
10,598
|
|
|
|
Net increase (decrease) in net
assets resulting from operations
|
|
16,439
|
|
|
(11,071)
|
|
|
|
Average yield on
interest-bearing investments
|
|
11.39%
|
|
|
11.02%
|
|
|
|
Total dollars
invested
|
|
$
|
43,634
|
|
|
$
|
4,788
|
|
|
|
Total dollars repaid
|
|
97,491
|
|
|
90,240
|
|
|
|
|
|
|
|
|
|
|
|
For quarter
ended:
|
|
|
|
|
|
|
|
|
Net investment income
|
|
1,932
|
|
|
2,709
|
|
|
|
Net increase in net assets
resulting from operations
|
|
2,795
|
|
|
20,629
|
|
|
|
Average yield on
interest-bearing investments
|
|
11.82%
|
|
|
11.13%
|
|
|
|
Total dollars
invested
|
|
$
|
2,018
|
|
|
$
|
2,375
|
|
|
|
Total dollars repaid
|
|
708
|
|
|
706
|
|
|
|
|
|
|
|
|
|
|
|
As
of:
|
|
|
|
|
|
|
Fair value as a percent of
cost
|
|
77.7%
|
|
|
90.9%
|
|
|
|
Net asset value per
share
|
|
$
|
9.00
|
|
|
$
|
8.74
|
|
|
|
Number of portfolio
companies
|
|
17
|
|
|
16
|
|
|
|
Total assets
|
|
$
|
241,109
|
|
|
$
|
297,161
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Conference Call for Stockholders: The Company will hold a
conference call Tuesday, May 24, 2011
at 8:30 am EDT. Please call
(800) 860-2442 to enter the conference. An operator will
monitor the call and set a queue for the questions. A replay of the
conference call will be available through June 27, 2011. To hear the replay, please
dial (877) 344-7529 and use conference number 449399. The
replay will be available approximately one hour after the call
concludes.
The live audio broadcast of the Company's quarterly conference
call will be available online at www.GladstoneInvestment.com. The
event will be archived and available for replay on the Company's
website through July 25, 2011.
Warning: The financial statements below are without
footnotes, so readers should obtain and carefully review the
Company's Form 10-K for the fiscal year ended March 31, 2011, including the footnotes to the
financial statements contained therein. The Company has filed the
Form 10-K today with the SEC, which can be retrieved from the SEC's
website at www.sec.gov or from the Company's website at
www.GladstoneInvestment.com. To obtain a paper copy from us, please
contact us at 1521 Westbranch Drive, Suite 200, McLean, VA 22102.
Who we are: Gladstone Investment Corporation is a
publicly traded business development company that seeks to make
debt and equity investments in small and mid-sized businesses in
the United States in connection
with acquisitions, changes in control and recapitalizations.
Information on the business activities of all the Gladstone funds can be found at
www.gladstonecompanies.com.
For Investor Relations inquiries related to any of the monthly
dividend paying Gladstone funds,
please visit www.gladstone.com.
The statements in this press release regarding the improved
performance of the Company's portfolio and the Company's projected
investment activities and other such statements are
"forward-looking statements." These forward-looking statements
inherently involve certain risks and uncertainties, although they
are based on the Company's current plans that are believed to be
reasonable as of the date of this press release. Factors that may
cause the Company's actual results to differ from these
forward-looking statements include, among others, the duration and
effects of current economic instability, the Company's ability to
access debt and equity capital and those factors listed under the
caption "Risk Factors" of the Company's Annual Report on Form 10-K
for the fiscal year ended March 31,
2011, as filed with the SEC on May
23, 2011. The risk factors set forth in the Form 10-K under
the caption "Risk Factors" are specifically incorporated by
reference into this press release. The Company undertakes no
obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise.
|
GLADSTONE
INVESTMENT CORPORATION
CONSOLIDATED
STATEMENTS OF ASSETS AND LIABILITIES
(DOLLAR
AMOUNTS IN THOUSANDS, EXCEPT PER SHARE DATA)
|
|
|
|
March
31,
|
|
|
|
|
2011
|
|
2010
|
|
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
Investments at fair
value
|
|
|
|
|
|
|
|
Control
investments (Cost of $136,306 and $152,166,
respectively)
|
|
$
|
104,062
|
|
$
|
148,248
|
|
|
|
Affiliate
investments (Cost of $45,145 and $52,727, respectively)
|
|
34,556
|
|
37,664
|
|
|
|
Non-Control/Non-Affiliate investments (Cost of $15,741 and $22,674,
respectively)
|
|
14,667
|
|
20,946
|
|
|
|
Total investments (Cost of $197,192 and $227,567,
respectively)
|
|
153,285
|
|
206,858
|
|
|
|
Cash and cash
equivalents
|
|
80,580
|
|
87,717
|
|
|
|
Restricted cash
|
|
4,499
|
|
--
|
|
|
|
Interest receivable
|
|
737
|
|
1,234
|
|
|
|
Due from Custodian
|
|
859
|
|
935
|
|
|
|
Deferred financing
fees
|
|
373
|
|
83
|
|
|
|
Prepaid assets
|
|
224
|
|
221
|
|
|
|
Other assets
|
|
552
|
|
113
|
|
|
|
TOTAL ASSETS
|
|
$
|
241,109
|
|
$
|
297,161
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
Borrowings at fair
value
|
|
|
|
|
|
|
|
Short-term loan (Cost of
$40,000 and $75,000, respectively)
|
|
$
|
40,000
|
|
$
|
75,000
|
|
|
|
Credit Facility (Cost of
$0 and $27,800, respectively)
|
|
--
|
|
27,812
|
|
|
|
Total borrowings (Cost of
$40,000 and $102,800, respectively)
|
|
40,000
|
|
102,812
|
|
|
|
Accounts payable and accrued
expenses
|
|
201
|
|
206
|
|
|
|
Fees due to Adviser
|
|
499
|
|
721
|
|
|
|
Fee due to
Administrator
|
|
171
|
|
149
|
|
|
|
Other liabilities
|
|
1,409
|
|
295
|
|
|
|
TOTAL LIABILITIES
|
|
42,280
|
|
104,183
|
|
|
|
NET ASSETS
|
|
$
|
198,829
|
|
$
|
192,978
|
|
|
|
|
|
|
|
|
|
|
ANALYSIS OF NET
ASSETS
|
|
|
|
|
|
|
|
Common
stock, $0.001 par value per share, 100,000,000 shares authorized,
22,080,133 shares issued and outstanding at March 31, 2011 and
2010
|
|
$
|
22
|
|
$
|
22
|
|
|
|
Capital in excess of par
value
|
|
257,192
|
|
257,206
|
|
|
|
Net unrealized depreciation of
investment portfolio
|
|
(43,907)
|
|
(20,710)
|
|
|
|
Net unrealized depreciation of
other, net
|
|
(76)
|
|
(51)
|
|
|
|
Undistributed net investment
income
|
|
165
|
|
--
|
|
|
|
Accumulated net realized
investment loss
|
|
(14,567)
|
|
(43,489)
|
|
|
|
TOTAL NET ASSETS
|
|
$
|
198,829
|
|
$
|
192,978
|
|
|
|
|
|
|
|
|
|
|
NET ASSETS PER
SHARE
|
|
$
|
9.00
|
|
$
|
8.74
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GLADSTONE
INVESTMENT CORPORATION
CONSOLIDATED
STATEMENTS OF OPERATIONS
(DOLLAR
AMOUNTS IN THOUSANDS, EXCEPT PER SHARE DATA)
(UNAUDITED)
|
|
|
Quarter
Ended March 31,
|
|
|
2011
|
|
2010
|
|
|
INVESTMENT INCOME
|
|
|
|
|
|
Interest
income
|
|
|
|
|
|
Control
investments
|
$
|
2,407
|
|
$
|
3,152
|
|
|
Affiliate
investments
|
972
|
|
1,144
|
|
|
Non-Control/Non-Affiliate
investments
|
403
|
|
553
|
|
|
Cash and cash
equivalents
|
12
|
|
1
|
|
|
Total interest
income
|
3,794
|
|
4,850
|
|
|
Other Control
investment income
|
(16)
|
|
(98)
|
|
|
Total investment
income
|
3,778
|
|
4,752
|
|
|
|
|
|
|
|
EXPENSES
|
|
|
|
|
|
Loan servicing
fee
|
619
|
|
855
|
|
|
Base management
fee
|
390
|
|
149
|
|
|
Administration
fee
|
171
|
|
149
|
|
|
Interest
expense
|
143
|
|
348
|
|
|
Amortization of deferred
financing fees
|
108
|
|
431
|
|
|
Professional
fees
|
167
|
|
124
|
|
|
Stockholder related
costs
|
28
|
|
19
|
|
|
Insurance
expense
|
74
|
|
72
|
|
|
Directors fees
|
49
|
|
49
|
|
|
Other expenses
|
146
|
|
82
|
|
|
Expenses before credit from
Adviser
|
1,895
|
|
2,278
|
|
|
Credit to fees from
Adviser
|
(49)
|
|
(235)
|
|
|
Total expenses net of credits to
fees
|
1,846
|
|
2,043
|
|
|
|
|
|
|
|
NET INVESTMENT INCOME
|
1,932
|
|
2,709
|
|
|
|
|
|
|
|
UNREALIZED GAIN
(LOSS):
|
|
|
|
|
|
Net unrealized
appreciation of investment portfolio
|
866
|
|
17,804
|
|
|
Net unrealized
(depreciation) appreciation of other, net
|
(3)
|
|
116
|
|
|
Net gain on investments and
other
|
863
|
|
17,920
|
|
|
|
|
|
|
|
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS
|
$
|
2,795
|
|
$
|
20,629
|
|
|
|
|
|
|
|
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS PER COMMON SHARE:
|
|
|
|
|
|
Basic and
diluted
|
$
|
0.13
|
|
$
|
0.93
|
|
|
|
|
|
|
|
WEIGHTED AVERAGE SHARES OF
COMMON STOCK OUTSTANDING:
|
|
|
|
|
|
Basic and diluted weighted
average shares
|
22,080,133
|
|
22,080,133
|
|
|
|
|
|
|
|
|
|
|
|
|
GLADSTONE
INVESTMENT CORPORATION
CONSOLIDATED
STATEMENTS OF OPERATIONS
(DOLLAR
AMOUNTS IN THOUSANDS EXCEPT PER SHARE AMOUNTS)
|
|
|
|
Year Ended
March 31,
|
|
|
|
|
2011
|
|
2010
|
|
|
|
INVESTMENT INCOME
|
|
|
|
|
|
|
|
Interest income
|
|
|
|
|
|
|
|
Control
investments
|
|
$
|
10,108
|
|
$
|
11,745
|
|
|
|
Affiliate
investments
|
|
4,003
|
|
5,677
|
|
|
|
Non-Control/Non-Affiliate
investments
|
|
1,578
|
|
2,393
|
|
|
|
Cash and cash
equivalents
|
|
33
|
|
2
|
|
|
|
Total interest
income
|
|
15,722
|
|
19,817
|
|
|
|
Other Control investment
income
|
|
10,342
|
|
968
|
|
|
|
Total investment
income
|
|
26,064
|
|
20,785
|
|
|
|
|
|
|
|
|
|
|
EXPENSES
|
|
|
|
|
|
|
|
Loan servicing
fee
|
|
2,743
|
|
3,747
|
|
|
|
Base management
fee
|
|
1,236
|
|
737
|
|
|
|
Incentive fee
|
|
2,949
|
|
588
|
|
|
|
Administration
fee
|
|
753
|
|
676
|
|
|
|
Interest
expense
|
|
701
|
|
1,988
|
|
|
|
Amortization of deferred
financing fees
|
|
491
|
|
1,618
|
|
|
|
Professional
fees
|
|
473
|
|
626
|
|
|
|
Stockholder related
costs
|
|
273
|
|
295
|
|
|
|
Insurance
expense
|
|
293
|
|
262
|
|
|
|
Directors fees
|
|
201
|
|
196
|
|
|
|
Other expenses
|
|
460
|
|
280
|
|
|
|
Expenses before credits
from Adviser
|
|
10,573
|
|
11,013
|
|
|
|
Credits to fees from
Adviser
|
|
(680)
|
|
(826)
|
|
|
|
Total expenses net of
credits to fees
|
|
9,893
|
|
10,187
|
|
|
|
|
|
|
|
|
|
|
NET INVESTMENT INCOME
|
|
16,171
|
|
10,598
|
|
|
|
|
|
|
|
|
|
|
REALIZED AND UNREALIZED GAIN
(LOSS)
|
|
|
|
|
|
|
|
Realized gain (loss) on
sale of investments
|
|
23,489
|
|
(35,923)
|
|
|
|
Realized loss on
other
|
|
--
|
|
(53)
|
|
|
|
Net unrealized
(depreciation) appreciation of investment portfolio
|
|
(23,197)
|
|
14,305
|
|
|
|
Net unrealized
(depreciation) appreciation of other, net
|
|
(24)
|
|
2
|
|
|
|
Net gain (loss) on
investments and other
|
|
268
|
|
(21,669)
|
|
|
|
|
|
|
|
|
|
|
NET INCREASE (DECREASE) IN NET
ASSETS RESULTING FROM OPERATIONS
|
|
$
|
16,439
|
|
$
|
(11,071)
|
|
|
|
|
|
|
|
|
|
|
NET INCREASE (DECREASE) IN NET
ASSETS RESULTING FROM OPERATIONS PER COMMON SHARE
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
$
|
0.74
|
|
$
|
(0.50)
|
|
|
|
|
|
|
|
|
|
|
WEIGHTED AVERAGE SHARES OF
COMMON STOCK OUTSTANDING
|
|
|
|
|
|
|
|
Basic and diluted weighted
average shares
|
|
22,080,133
|
|
22,080,133
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GLADSTONE
INVESTMENT
CORPORATION
CONSOLIDATED
FINANCIAL HIGHLIGHTS
(DOLLAR
AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AND PER UNIT
DATA)
(UNAUDITED)
|
|
|
|
Quarter
Ended March 31,
|
|
|
|
|
2011
|
|
2010
|
|
|
|
Per Share Data
(1)
|
|
|
|
|
|
|
|
Net asset value at beginning of
period
|
|
$
|
9.00
|
|
$
|
7.93
|
|
|
|
|
|
|
|
|
|
|
Income from investment
operations:
|
|
|
|
|
|
|
|
Net investment
income(2)
|
|
0.08
|
|
0.12
|
|
|
|
Net unrealized
appreciation of investments(2)
|
|
0.04
|
|
0.81
|
|
|
|
Total from investment
operations
|
|
0.12
|
|
0.93
|
|
|
|
|
|
|
|
|
|
|
Distributions to
stockholders:(3)
|
|
(0.12)
|
|
(0.12)
|
|
|
|
|
|
|
|
|
|
|
Net asset value at end of
period
|
|
$
|
9.00
|
|
$
|
8.74
|
|
|
|
|
|
|
|
|
|
|
Per share market value at
beginning of period
|
|
$
|
7.71
|
|
$
|
4.66
|
|
|
|
Per share market value at end of
period
|
|
7.76
|
|
5.98
|
|
|
|
Total return for the
period(4)
|
|
2.23%
|
|
31.24%
|
|
|
|
Shares outstanding at end of
period
|
|
22,080,133
|
|
22,080,133
|
|
|
|
|
|
|
|
|
|
|
Statement of Assets and
Liabilities Data:
|
|
|
|
|
|
|
|
Net assets at end of
period
|
|
$
|
198,829
|
|
$
|
192,978
|
|
|
|
Average net assets(5)
|
|
197,674
|
|
180,099
|
|
|
|
|
|
|
|
|
|
|
Senior Securities
Data:
|
|
|
|
|
|
|
|
Total borrowings
|
|
$
|
40,000
|
|
$
|
102,812
|
|
|
|
Asset coverage
ratio(6)(7)
|
|
534%
|
|
281%
|
|
|
|
Average coverage per
unit(7)
|
|
$
|
5,344
|
|
$
|
2,814
|
|
|
|
|
|
|
|
|
|
|
Ratios/Supplemental
Data:
|
|
|
|
|
|
|
|
Ratio of expenses to average net
assets(8)(9)
|
|
3.83%
|
|
5.06%
|
|
|
|
Ratio of net expenses to average
net assets(8)(10)
|
|
3.74%
|
|
4.54%
|
|
|
|
Ratio of net investment income
to average net assets(8)
|
|
3.91%
|
|
6.02%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
|
Based on actual shares
outstanding at the end of the corresponding period.
|
|
|
(2)
|
|
Based on weighted average basic
per share data.
|
|
|
(3)
|
|
Distributions are determined
based on taxable income calculated in accordance with income tax
regulations which may differ from amounts determined under
accounting principles generally accepted in the United States of
America.
|
|
|
(4)
|
|
Total return equals the change
in the market value of the Company's common stock from the
beginning of the period taking into account distributions
reinvested in accordance with the terms of our dividend
reinvestment plan.
|
|
|
(5)
|
|
Calculated using the average of
the ending monthly net assets for the respective
periods.
|
|
|
(6)
|
|
As a business development
company, the Company is generally required to maintain a ratio of
at least 200% of total assets to total borrowings.
|
|
|
(7)
|
|
Asset coverage ratio is the
ratio of the carrying value of the Company's total consolidated
assets, less all liabilities and indebtedness not represented by
senior securities, to the aggregate amount of senior securities
representing indebtedness. Asset coverage per unit is expressed in
terms of dollar amounts per $1,000 of indebtedness.
|
|
|
(8)
|
|
Amounts are
annualized.
|
|
|
(9)
|
|
Ratio of expenses to average net
assets is computed using expenses before credit from the
Adviser.
|
|
|
(10)
|
|
Ratio of net expenses to average
net assets is computed using total expenses net of credits to the
management fee.
|
|
|
|
|
|
|
|
GLADSTONE
INVESTMENT CORPORATION
CONDENSED
CONSOLIDATED FINANCIAL HIGHLIGHTS
(DOLLAR
AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AND PER UNIT
DATA)
(UNAUDITED)
|
|
|
|
Year Ended
March 31,
|
|
|
|
|
2011
|
|
2010
|
|
|
|
Per Share Data
(1)
|
|
|
|
|
|
|
|
Net asset value at beginning of
year
|
|
$
|
8.74
|
|
$
|
9.73
|
|
|
|
|
|
|
|
|
|
|
Income from investment
operations:
|
|
|
|
|
|
|
|
Net investment
income(2)
|
|
0.73
|
|
0.48
|
|
|
|
Realized loss on sale of
investments(2)
|
|
1.06
|
|
(1.63)
|
|
|
|
Net unrealized
appreciation (depreciation) of investments(2)
|
|
(1.05)
|
|
0.65
|
|
|
|
Total from investment
operations
|
|
0.74
|
|
(0.50)
|
|
|
|
|
|
|
|
|
|
|
Distributions
from:
|
|
|
|
|
|
|
|
Net investment
income
|
|
(0.48)
|
|
(0.48)
|
|
|
|
Tax return on
capital
|
|
--
|
|
--
|
|
|
|
Total
distributions(3)
|
|
(0.48)
|
|
(0.48)
|
|
|
|
|
|
|
|
|
|
|
Effect of shelf
offering:
|
|
|
|
|
|
|
|
Shelf registration
offering costs
|
|
--
|
|
(0.01)
|
|
|
|
|
|
|
|
|
|
|
Net asset value at end of
year
|
|
$
|
9.00
|
|
$
|
8.74
|
|
|
|
|
|
|
|
|
|
|
Per share market value at
beginning of year
|
|
$
|
6.01
|
|
$
|
3.67
|
|
|
|
Per share market value at end of
year
|
|
7.76
|
|
5.98
|
|
|
|
Total return for the
year(5)
|
|
38.56%
|
|
79.80%
|
|
|
|
Shares outstanding at end of
year
|
|
22,080,133
|
|
22,080,133
|
|
|
|
|
|
|
|
|
|
|
Statement of Assets and
Liabilities Data:
|
|
|
|
|
|
|
|
Net assets at end of
year
|
|
$
|
198,829
|
|
$
|
192,978
|
|
|
|
Average net assets(6)
|
|
192,893
|
|
191,112
|
|
|
|
|
|
|
|
|
|
|
Senior Securities
Data:
|
|
|
|
|
|
|
|
Total borrowings
|
|
$
|
40,000
|
|
$
|
102,812
|
|
|
|
Asset coverage
ratio(7)(8)
|
|
534%
|
|
281%
|
|
|
|
Average coverage per
unit(8)
|
|
$
|
5,344
|
|
$
|
2,814
|
|
|
|
|
|
|
|
|
|
|
Ratios/Supplemental
Data:
|
|
|
|
|
|
|
|
Ratio of expenses to average net
assets (9)
|
|
5.48%
|
|
5.76%
|
|
|
|
Ratio of net expenses to average
net assets(10)
|
|
5.13%
|
|
5.33%
|
|
|
|
Ratio of net investment income
to average net assets
|
|
8.38%
|
|
5.55%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
|
Based on actual shares
outstanding at the end of the corresponding period.
|
|
|
(2)
|
|
Based on weighted average basic
per share data.
|
|
|
(3)
|
|
Distributions are determined
based on taxable income calculated in accordance with income tax
regulations, which may differ from amounts determined under
accounting principles generally accepted in the United States of
America.
|
|
|
(4)
|
|
The effect of distributions from
the stock rights offering after the record date represents the
effect on net asset value of issuing additional shares after the
record date of a distribution.
|
|
|
(5)
|
|
Total return equals the change
in the market value of the Company's common stock from the
beginning of the period, taking into account dividends reinvested
in accordance with the terms of the Company's dividend reinvestment
plan.
|
|
|
(6)
|
|
Calculated using the average of
the balance of net assets at the end of each month of the reporting
period.
|
|
|
(7)
|
|
As a business development
company, the Company is generally required to maintain an asset
coverage ratio of at least 200% of total consolidated assets, less
all liabilities and indebtedness not represented by senior
securities, to total borrowings and guaranty
commitments.
|
|
|
(8)
|
|
Asset coverage ratio is the
ratio of the carrying value of the Company's total consolidated
assets, less all liabilities and indebtedness not represented by
senior securities, to the aggregate amount of senior securities
representing indebtedness. Asset coverage per unit is the asset
coverage ratio expressed in terms of dollar amounts per one
thousand dollars of indebtedness.
|
|
|
(9)
|
|
Ratio of expenses to average net
assets is computed using expenses before credits from the
Adviser.
|
|
|
(10)
|
|
Ratio of net expenses to average
net assets is computed using total expenses net of credits to the
management fee.
|
|
|
|
|
|
|
SOURCE Gladstone Investment Corporation
