PennantPark Floating Rate Capital Ltd. filed SEC Form 8-K: Results of Operations and Financial Condition, Other Events
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Item 2.02 Results of Operations and Financial Condition
Preliminary Estimates of Results as of June 30, 2024
On July 12, 2024, PennantPark Floating Rate Capital Ltd. (the “Company”) announced certain preliminary estimates of its financial results for the quarter ended June 30, 2024.
| - | Net asset value per share is estimated to be between $11.31 and $11.36 per common share at June 30, 2024. This compares to a net asset value per common share of $11.40 at March 31, 2024. |
| - | Net investment income is estimated to be between $0.30 and $0.32 per common share for the quarter ended June 30, 2024. This compares to net investment income of $0.31 per common share for the quarter ended March 31, 2024. |
| - | Core net investment income(1) is estimated to be between $0.30 and $0.32 per common share for the quarter ended June 30, 2024. This compares to core net investment income of $0.31 per common share for the quarter ended March 31, 2024. |
| - | The investment portfolio at fair value was $1.66 billion, compared to $1.48 billion as of March 31, 2024. |
| - | At June 30, 2024, there were three loans on non-accrual representing 1.5% of the portfolio at cost and 1.1% at fair market value versus one loan on non-accrual at March 31, 2024 representing 0.4% of the portfolio at cost and 0.3% at fair market value. |
| - | As of June 30, 2024, the Company had approximately $901.6 million of total debt consisting of, $218.9 million of borrowings outstanding under the Company’s multi-currency senior secured revolving credit facility, as amended from time to time, with Truist Bank and other lenders (the “Credit Facility”) at cost, $185.0 million in aggregate principal amount of 4.25% Notes due 2026 outstanding, $210.7 million in aggregate principal amount of asset-backed debt consisting of various notes due in 2031, and $287.0 million in aggregate principal amount of asset-backed debt consisting of various notes due in 2036. |
| - | At June 30, 2024, we had approximately $84.6 million in cash and approximately $392.1 million in unused capacity under the Credit Facility. |
These estimates are subject to the completion of the Company’s financial closing procedures and are not a comprehensive statement of the Company’s financial position, results of operations or cash flows for the quarter ended June 30, 2024. Final results may differ materially from these estimates as a result of the completion of the Company’s financial closing procedures, as well as any subsequent events, including the discovery of information affecting fair values of the Company’s portfolio investments as of June 30, 2024, arising between the date hereof and the completion of the Company’s financial statements and the filing of the Company’s Form 10-Q for the quarter then ended.
The preliminary financial estimates provided herein have been prepared by, and are the responsibility of the Company’s management. RSM US LLP, the Company’s independent registered public accounting firm, has not audited, reviewed, compiled, or performed any procedures with respect to the accompanying preliminary financial data. Accordingly, RSM US LLP does not express an opinion or any other form of assurance with respect thereto.
(1) Supplemental information regarding core net investment income
Core net investment income (“Core NII”) is a non-GAAP financial measure. The Company believes that Core NII provides useful information to investors and management because it reflects the Company's financial performance excluding one-time or non- recurring investment income and expenses. The presentation of this additional information is not meant to be considered in isolation or as a substitute for financial results prepared in accordance with GAAP. For the quarter ended June 30, 2024, there were no one- time or non-recurring investment income or expenses.
Forward-Looking Statements
This report on Form 8-K may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. You should understand that under Section 27A(b)(2)(B) of the Securities Act of 1933, as amended, and Section 21E(b)(2)(B) of the Exchange Act of 1934, as amended (the “Exchange Act”), the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 do not apply to forward-looking statements made in periodic reports that the Company files under the Exchange Act. All statements other than statements of historical facts included herein this press release are forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in filings with the Securities and Exchange Commission. The Company undertakes no duty to update any forward-looking statement made herein. You should not place undue influence on such forward-looking statements as such statements speak only as of the date on which they are made.
Item 8.01 Other Information
The information set forth under Item 2.02 above is incorporated herein by reference.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Dated: July 12, 2024 | PENNANTPARK FLOATING RATE CAPITAL LTD. | |
| By: | /s/ Richard T. Allorto, Jr. | |
| Richard T. Allorto, Jr. | ||
| Chief Financial Officer & Treasurer | ||