MCLEAN, Va., May 21, 2012 /PRNewswire/ -- Gladstone
Investment Corporation (NASDAQ: GAIN) (the "Company") today
announced earnings for the fourth quarter and fiscal year ended
March 31, 2012. 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, 2012 and 2011 was $3.5 million, or $0.16 per share, and $1.9
million, or $0.09 per share,
respectively, an increase in Net Investment Income of 80.7%.
The increase in Net Investment Income was primarily due to holding
a larger investment portfolio with higher-yielding debt investments
during the quarter ended March 31,
2012, as compared to the prior year period.
Net Investment Income for the Fiscal Year: Net
Investment Income for the fiscal years ended March 31, 2012 and 2011 was $13.7 million, or $0.62 per share, and $16.2
million, or $0.73 per share,
respectively, a decrease in Net Investment Income of 15.0%.
The decrease in Net Investment Income was primarily due to a
significant amount of dividend and success fee income recorded in
the prior year period as part of the exits of A. Stucki Holding
Corp. and Chase II Holding Corp., partially offset by a decrease in
the incentive fee paid to the Company's investment adviser,
Gladstone Management Corporation, when compared to the prior year
period.
Net (Decrease) Increase in Net Assets Resulting from
Operations for the Quarter: Net (Decrease) Increase in
Net Assets Resulting from Operations for the quarters ended
March 31, 2012 and 2011 was
($0.4) million, or ($0.02) per share, and $2.8 million, or $0.13 per share, respectively. The Company
recorded net unrealized depreciation on investments of $3.9 million for the quarter ended March 31, 2012, primarily due to unrealized
depreciation experienced on certain control investments. For
the quarter ended March 31, 2011, the
Company recorded a net unrealized appreciation on investments of
$0.9 million.
Net Increase in Net Assets Resulting from Operations for the
Fiscal Year: Net Increase in Net Assets Resulting from
Operations for the fiscal years ended March
31, 2012 and 2011 was $22.0
million, or $0.99 per share,
and $16.4 million, or $0.74 per share, respectively. The Company
recorded a net gain on investments of $8.3
million for the fiscal year ended March 31, 2012, primarily due to unrealized
appreciation recognized on certain control and affiliate
investments. For the fiscal year ended March 31, 2011, the Company recorded a net gain
on investments of $0.3 million,
primarily due to the unrealized depreciation recorded on Galaxy
Tool Holding Corp., which experienced decreased performance and
completed a restructuring, partially offset by unrealized
appreciation on certain control and affiliate investments.
Investment Portfolio at Fair Value: As of
March 31, 2012, the Company's
portfolio was fair valued at 84.7% of cost, as compared to 77.7% as
of March 31, 2011. The
Company's aggregate investment portfolio appreciated during the
fiscal year ended March 31, 2012,
primarily due to the net unrealized appreciation experienced in
certain control and affiliate investments.
Net Asset Value: Net asset value was $9.38 per common share outstanding at
March 31, 2012, as compared to
$9.00 per common share outstanding at
March 31, 2011.
Asset Characteristics: Total assets were
$325.3 million at March 31, 2012, as compared to $241.1 million at March
31, 2011. At March 31,
2012, the Company had investments in 17 portfolio companies
with an aggregate cost basis of $266.4
million and an aggregate fair value of $225.7 million. As of March 31, 2012, the Company's investment
portfolio at fair value was comprised of 73.4% in debt securities
and 26.6% in equity securities. Additionally, the Company
held $91.5 million in cash and cash
equivalents at March 31, 2012,
including $76.0 million from a
short-term loan that was repaid subsequent to quarter end.
Investment Yield: The weighted average yield on the
Company's interest-bearing portfolio, excluding cash and cash
equivalents, was 12.3% for the fiscal year ended March 31, 2012, as compared to 11.4% for the
prior fiscal year ended March 31,
2011. The increase in the weighted average yield for the
fiscal year ended March 31, 2012,
resulted primarily from the exits of lower interest-bearing debt
investments and the addition of higher-yielding debt
investments.
Highlights for the Quarter: During the quarter
ended March 31, 2012, the following
significant events occurred:
- Term Preferred Stock Offering: In March 2012, the Company issued 1.6 million shares
of 7.125% Series A Cumulative Term Preferred Stock ("Term Preferred
Stock") at a public offering price of $25.00 per share for net proceeds of $38.0 million, after deducting underwriting
discounts and offering expenses borne by the Company. The
proceeds were used to repay borrowings under the Company's line of
credit, with the remaining proceeds being held to make additional
investments and for general corporate purposes. The Company
is required to redeem all of the outstanding Term Preferred Stock
on February 28, 2017, for cash at a
redemption price equal to $25.00 per
share plus an amount equal to accumulated but unpaid dividends, if
any, to the date of redemption. The Term Preferred Stock has
a preference over the Company's common stock with respect to these
dividends, whereby no distributions are payable on the Company's
common stock unless the stated dividends, including any accrued and
unpaid dividends, on the Term Preferred Stock have been paid in
full. The Term Preferred Stock trades on NASDAQ under the
symbol "GAINP."
- Recurring Distributions: The Company paid monthly
cash distributions to common stockholders of $0.05 per common share for each of January,
February and March 2012. Additionally, the Company paid the
pro-rata amount for March 2012 to
holders of its Term Preferred Stock of $0.12369792 per preferred share.
- Bonus Distributions: In March 2012, the Company declared and paid a bonus
dividend to common stockholders of $0.03 per common share.
Comments from the Company's President, Dave Dullum: "2012 was a solid
year. We originated approximately $76.9 million in new investments and we were able
to increase our recurring income from the portfolio, both of which
enabled us to increase the monthly common dividend by 25% and to
pay a bonus common dividend in March 2012. We have a good
liquidity position going into 2013, which allows us to continue
putting solid investments on the books. Just last week, we
invested $9.5 million in a new
affiliate investment. We are excited about our investment pipeline
and look to deliver strong results again in fiscal year
2013."
Subsequent Events: Subsequent to March 31, 2012, the following events
occurred:
- New Investment: In May
2012, the Company invested $9.5
million in a new affiliate investment through a combination
of debt and equity.
- Distributions Declared: In April 2012, the Company's board of directors
declared the following monthly cash distributions:
|
Record
Date
|
|
Payment
Date
|
|
Distribution per
Common
Share
|
|
Distribution per Term
Preferred Share
|
|
April 20, 2012
|
|
April 30, 2012
|
|
$
|
0.05
|
|
$
|
0.1484375
|
|
May 18, 2012
|
|
May 31, 2012
|
|
0.05
|
|
0.1484375
|
|
June 20, 2012
|
|
June 29, 2012
|
|
0.05
|
|
0.1484375
|
|
Total
for the Quarter:
|
$
|
0.15
|
|
$
|
0.4453125
|
|
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, 2012
|
|
March
31, 2011
|
|
For
Year Ended:
|
|
|
|
|
|
|
|
Net investment income
|
|
$
|
13,743
|
|
|
$
|
16,171
|
|
|
Net increase in net assets resulting from
operations
|
|
21,966
|
|
|
16,439
|
|
|
Weighted average yield on interest-bearing
investments
|
|
12.32
|
%
|
|
11.36
|
%
|
|
Total dollars invested
|
|
$
|
91,298
|
|
|
$
|
43,634
|
|
|
Total dollars repaid
|
|
27,185
|
|
|
97,491
|
|
|
|
|
|
|
|
|
|
For
Quarter Ended:
|
|
|
|
|
|
|
|
Net investment income
|
|
3,491
|
|
|
1,932
|
|
|
Net (decrease) increase in net assets resulting from
operations
|
|
(412)
|
|
|
2,795
|
|
|
Weighted average yield on interest-bearing
investments
|
|
12.44
|
%
|
|
11.88
|
%
|
|
Total dollars invested
|
|
$
|
4,972
|
|
|
$
|
2,018
|
|
|
Total dollars repaid
|
|
2,200
|
|
|
708
|
|
|
|
|
|
|
|
|
|
|
March
31, 2012
|
|
March
31, 2011
|
|
As
of:
|
|
|
|
|
|
|
|
Fair value as a percent of cost
|
|
84.7
|
%
|
|
77.7
|
%
|
|
Net asset value per share
|
|
$
|
9.38
|
|
|
$
|
9.00
|
|
|
Number of portfolio companies
|
|
17
|
|
|
17
|
|
|
Total assets at fair value
|
|
$
|
325,297
|
|
|
$
|
241,109
|
|
|
|
|
|
|
|
|
|
|
|
Conference Call for Stockholders: The Company will
hold a conference call Tuesday, May 22,
2012, at 8:30 a.m. EDT.
Please call (800) 860-2442 to enter the conference. An
operator will monitor the call and set a queue for any questions. A
replay of the conference call will be available through
June 22, 2012. To hear the
replay, please dial (877) 344-7529 and use conference number
10013203. The replay will be available beginning
approximately one hour after the call concludes.
The live audio broadcast of the Company's quarterly conference
call will also be available online at www.GladstoneInvestment.com.
The event will be archived and available for replay on the
Company's website through July 23,
2012.
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, 2012, including the footnotes to the
financial statements contained therein. The Company has filed
the Form 10-K today with the Securities and Exchange Commission
(the "SEC"), which you can find on 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.
About us: 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.
Including payments made through April
2012, the Company has paid 82 consecutive monthly cash
distributions on its common stock, in addition to a bonus dividend
paid on its common stock in March 2012. 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
longer-term prospects of the Company and its management team may be
deemed "forward-looking statements," as that term is defined in
Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended. 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 the current economic
instability, the Company's ability to access debt and equity
capital and those other factors listed under the caption "Risk
Factors" in the Company's Annual Report on Form10-K for its
fiscal year ended March 31, 2012,
filed by the Company with the U.S. Securities and Exchange
Commission (the "SEC") on May 21,
2012 (the "Form 10-K"). 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
AMOUNTS)
|
|
|
March
31,
|
|
2012
|
|
2011
|
|
|
|
|
|
ASSETS
|
|
|
|
|
Investments at fair value
|
|
|
|
|
Control investments (Cost of
$186,743 and $136,306, respectively)
|
$
|
157,544
|
|
$
|
104,062
|
|
Affiliate investments (Cost
of $70,015 and $45,145, respectively)
|
58,831
|
|
34,556
|
|
Non-Control/Non-Affiliate
investments (Cost of $9,637 and $15,741,
respectively)
|
9,277
|
|
14,667
|
|
Total investments at fair value (Cost of $266,395 and
$197,192, respectively)
|
225,652
|
|
153,285
|
|
Cash and
cash equivalents
|
91,546
|
|
80,580
|
|
Restricted
cash
|
1,928
|
|
4,499
|
|
Interest
receivable
|
1,250
|
|
737
|
|
Due from
Custodian
|
1,527
|
|
859
|
|
Deferred
financing costs
|
2,792
|
|
373
|
|
Other
assets
|
602
|
|
776
|
|
TOTAL
ASSETS
|
$
|
325,297
|
|
$
|
241,109
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
Borrowings
at fair value:
|
|
|
|
|
Short-term loan (Cost of $76,005 and $40,000,
respectively)
|
$
|
76,005
|
|
$
|
40,000
|
|
Line of credit (Cost of $0)
|
—
|
|
—
|
|
Total borrowings (Cost of $76,005 and $40,000,
respectively)
|
76,005
|
|
40,000
|
|
Mandatorily redeemable preferred stock, $0.001 par
value per share, $25 liquidation
preference per share; 1,610,000
and no shares authorized; 1,600,000 and no shares
issued and outstanding at March 31, 2012 and
2011, respectively
|
40,000
|
|
—
|
|
Accounts
payable and accrued expenses
|
506
|
|
201
|
|
Fees due
to Adviser
|
496
|
|
499
|
|
Fee due to
Administrator
|
218
|
|
171
|
|
Other
liabilities
|
856
|
|
1,409
|
|
TOTAL
LIABILITIES
|
118,081
|
|
42,280
|
|
Commitments and contingencies
|
|
|
|
|
NET
ASSETS
|
$
|
207,216
|
|
$
|
198,829
|
|
|
|
|
|
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, 2012 and 2011,
respectively
|
$
|
22
|
|
$
|
22
|
|
Capital in
excess of par value
|
257,131
|
|
257,192
|
|
Cumulative
net unrealized depreciation of investments
|
(40,743)
|
|
(43,907)
|
|
Cumulative
net unrealized depreciation of other
|
(68)
|
|
(76)
|
|
Net
investment income in excess of distributions
|
321
|
|
165
|
|
Accumulated net realized loss
|
(9,447)
|
|
(14,567)
|
|
TOTAL
NET ASSETS
|
$
|
207,216
|
|
$
|
198,829
|
|
|
|
|
|
NET
ASSET VALUE PER SHARE AT END OF PERIOD
|
$
|
9.38
|
|
$
|
9.00
|
|
GLADSTONE INVESTMENT CORPORATION
CONSOLIDATED STATEMENTS OF
OPERATIONS
(DOLLAR
AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
(UNAUDITED)
|
|
|
Quarter
Ended March 31,
|
|
2012
|
|
2011
|
|
INVESTMENT
INCOME
|
|
|
|
|
Interest income:
|
|
|
|
|
Control investments
|
$
|
3,473
|
|
$
|
2,407
|
|
Affiliate investments
|
1,635
|
|
972
|
|
Non-Control/Non-Affiliate investments
|
292
|
|
403
|
|
Cash and cash equivalents
|
—
|
|
12
|
|
Total interest income
|
5,400
|
|
3,794
|
|
Other income:
|
|
|
|
|
Control investments
|
276
|
|
(16)
|
|
Non-Control/Non-Affiliate investments
|
100
|
|
—
|
|
Total other income
|
376
|
|
(16)
|
|
Total investment income
|
5,776
|
|
3,778
|
|
|
|
|
|
EXPENSES
|
|
|
|
|
Base management fee
|
1,174
|
|
1,009
|
|
Administration fee
|
216
|
|
171
|
|
Interest expense on borrowings
|
218
|
|
132
|
|
Dividends on mandatorily redeemable preferred
stock
|
198
|
|
—
|
|
Amortization of deferred financing costs
|
138
|
|
108
|
|
Professional fees
|
138
|
|
167
|
|
Other general and administrative expenses
|
292
|
|
309
|
|
Expenses before credits from Adviser
|
2,374
|
|
1,896
|
|
Credits to fees
|
(89)
|
|
(50)
|
|
Total expenses net of credits to fees
|
2,285
|
|
1,846
|
|
NET
INVESTMENT INCOME
|
$
|
3,491
|
|
$
|
1,932
|
|
|
|
|
|
UNREALIZED
(LOSS) GAIN
|
|
|
|
|
Net unrealized appreciation
(depreciation):
|
|
|
|
|
Control investments
|
(1,323)
|
|
258
|
|
Affiliate investments
|
(2,629)
|
|
462
|
|
Non-Control/Non-Affiliate investments
|
61
|
|
146
|
|
Other
|
(12)
|
|
(3)
|
|
Net unrealized (loss) gain
|
(3,903)
|
|
863
|
|
|
|
|
|
NET
(DECREASE) INCREASE IN NET ASSETS RESULTING FROM
OPERATIONS
|
$
|
(412)
|
|
$
|
2,795
|
|
NET
(DECREASE) INCREASE IN NET ASSETS RESULTING FROM OPERATIONS PER
COMMON SHARE:
|
|
|
|
|
Basic and Diluted
|
$
|
(0.02)
|
|
$
|
0.13
|
|
WEIGHTED
AVERAGE SHARES OF COMMON STOCK OUTSTANDING:
|
|
|
|
|
Basic and diluted
|
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,
|
|
2012
|
|
2011
|
|
2010
|
|
INVESTMENT
INCOME
|
|
|
|
|
|
|
Interest income:
|
|
|
|
|
|
|
Control investments
|
$
|
12,548
|
|
$
|
10,108
|
|
$
|
11,745
|
|
Affiliate investments
|
5,593
|
|
4,003
|
|
5,677
|
|
Non-Control/Non-Affiliate investments
|
1,440
|
|
1,578
|
|
2,393
|
|
Cash and cash equivalents
|
7
|
|
33
|
|
2
|
|
Total interest income
|
19,588
|
|
15,722
|
|
19,817
|
|
Other income:
|
|
|
|
|
|
|
Control investments
|
1,477
|
|
10,342
|
|
968
|
|
Non-Control/Non-Affiliate investments
|
177
|
|
—
|
|
—
|
|
Total other income
|
1,654
|
|
10,342
|
|
968
|
|
Total investment income
|
21,242
|
|
26,064
|
|
20,785
|
|
|
|
|
|
|
|
EXPENSES
|
|
|
|
|
|
|
Base management fee
|
4,386
|
|
3,979
|
|
4,484
|
|
Incentive fee
|
19
|
|
2,949
|
|
588
|
|
Administration fee
|
684
|
|
753
|
|
676
|
|
Interest expense on borrowings
|
768
|
|
690
|
|
1,984
|
|
Dividends on mandatorily redeemable preferred
stock
|
198
|
|
—
|
|
—
|
|
Amortization of deferred financing costs
|
459
|
|
491
|
|
1,618
|
|
Professional fees
|
591
|
|
473
|
|
626
|
|
Other general and administrative expenses
|
1,554
|
|
1,238
|
|
1,037
|
|
Expenses before credits from Adviser
|
8,659
|
|
10,573
|
|
11,013
|
|
Credits to fees
|
(1,160)
|
|
(680)
|
|
(826)
|
|
Total expenses net of credits to fees
|
7,499
|
|
9,893
|
|
10,187
|
|
NET
INVESTMENT INCOME
|
$
|
13,743
|
|
$
|
16,171
|
|
$
|
10,598
|
|
|
|
|
|
|
|
REALIZED
AND UNREALIZED GAIN (LOSS)
|
|
|
|
|
|
|
Net realized gain (loss):
|
|
|
|
|
|
|
Control investments
|
5,087
|
|
23,471
|
|
—
|
|
Non-Control/Non-Affiliate investments
|
4
|
|
18
|
|
(35,923)
|
|
Other
|
(40)
|
|
—
|
|
(53)
|
|
Total net realized gain (loss)
|
5,051
|
|
23,489
|
|
(35,976)
|
|
Net unrealized appreciation
(depreciation):
|
|
|
|
|
|
|
Control investments
|
3,045
|
|
(28,325)
|
|
(20,001)
|
|
Affiliate investments
|
(596)
|
|
4,473
|
|
(4,061)
|
|
Non-Control/Non-Affiliate investments
|
714
|
|
655
|
|
38,367
|
|
Other
|
9
|
|
(24)
|
|
2
|
|
Total net unrealized appreciation
(depreciation)
|
3,172
|
|
(23,221)
|
|
14,307
|
|
Net realized and unrealized gain (loss)
|
8,223
|
|
268
|
|
(21,669)
|
|
|
|
|
|
|
|
NET
INCREASE (DECREASE) IN NET ASSETS RESULTING FROM
OPERATIONS
|
$
|
21,966
|
|
$
|
16,439
|
|
$
|
(11,071)
|
|
|
|
|
|
|
|
NET
INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS PER
COMMON SHARE:
|
|
|
|
|
|
|
Basic and Diluted
|
$
|
0.99
|
|
$
|
0.74
|
|
$
|
(0.50)
|
|
|
|
|
|
|
|
WEIGHTED
AVERAGE SHARES OF COMMON STOCK OUTSTANDING:
|
|
|
|
|
|
|
Basic and diluted
|
22,080,133
|
|
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,
|
|
|
2012
|
|
2011
|
|
|
Per Share
Data
|
|
|
|
|
|
|
Net asset
value at beginning of period(A)
|
|
$
|
9.58
|
|
$
|
9.00
|
|
|
Net investment income(B)
|
|
0.16
|
|
0.08
|
|
|
Net unrealized (depreciation) appreciation of
investments(B)
|
|
(0.18)
|
|
0.04
|
|
|
Total from investment operations(B)
|
|
(0.02)
|
|
0.12
|
|
|
Cash distributions from net investment
income(B)(C)
|
|
(0.18)
|
|
(0.12)
|
|
|
Net asset
value at end of period(A)
|
|
$
|
9.38
|
|
$
|
9.00
|
|
|
|
|
|
|
|
|
Per share
market value at beginning of period
|
|
$
|
7.45
|
|
$
|
7.71
|
|
|
Per share
market value at end of period
|
|
7.57
|
|
7.76
|
|
|
Total
return(D)
|
|
3.97
|
%
|
2.23
|
%
|
|
Shares
outstanding at end of period
|
|
22,080,133
|
|
22,080,133
|
|
|
|
|
|
|
|
|
Statement
of Assets and Liabilities Data:
|
|
|
|
|
|
|
Net assets
at end of period
|
|
$
|
207,216
|
|
$
|
198,829
|
|
|
Average
net assets(E)
|
|
209,704
|
|
197,674
|
|
|
|
|
|
|
|
|
Senior
Securities Data:
|
|
|
|
|
|
|
Total
borrowings, at cost
|
|
$
|
76,005
|
|
$
|
40,000
|
|
|
Mandatorily redeemable preferred stock
|
|
40,000
|
|
—
|
|
|
Asset
coverage ratio(F)
|
|
268
|
%
|
534
|
%
|
|
Average
coverage per unit(G)
|
|
$
|
2,676
|
|
$
|
5,344
|
|
|
|
|
|
|
|
|
Ratios/Supplemental Data:
|
|
|
|
|
|
|
Ratio of
expenses to average net assets(H)(J)
|
|
4.53
|
%
|
3.83
|
%
|
|
Ratio of
net expenses to average net assets(I)(J)
|
|
4.36
|
%
|
3.74
|
%
|
|
Ratio of
net investment income to average net assets(J)
|
|
6.66
|
%
|
3.91
|
%
|
|
(A)
|
|
Based on
actual shares outstanding at the end of the corresponding
year.
|
|
(B)
|
|
Based on
weighted average per basic common share data.
|
|
(C)
|
|
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.
|
|
(D)
|
|
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. Total return does not take into account
distributions that may be characterized as a return of
capital.
|
|
(E)
|
|
Calculated
using the average balance of net assets at the end of each month of
the respective periods.
|
|
(F)
|
|
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 the aggregate amount of senior
securities. The Company's mandatorily redeemable preferred stock is
characterized as a senior security for purposes of the asset
coverage ratio.
|
|
(G)
|
|
Asset
coverage per unit is the asset coverage ratio expressed in terms of
dollar amounts per one thousand dollars of indebtedness.
|
|
(H)
|
|
Ratio of
expenses to average net assets is computed using expenses before
credits from the Adviser.
|
|
(I)
|
|
Ratio of
net expenses to average net assets is computed using total expenses
net of credits to the management fee.
|
|
(J)
|
|
Amounts
are annualized.
|
|
GLADSTONE INVESTMENT CORPORATION
CONSOLIDATED FINANCIAL HIGHLIGHTS
(DOLLAR
AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AND PER UNIT
DATA)
|
|
|
|
Years
Ended March 31,
|
|
|
|
2012
|
|
2011
|
|
|
Per Share
Data
|
|
|
|
|
|
|
Net asset
value at beginning of year(A)
|
|
$
|
9.00
|
|
$
|
8.74
|
|
|
Net investment income(B)
|
|
0.62
|
|
0.73
|
|
|
Realized gain on sale of investments(B)
|
|
0.23
|
|
1.06
|
|
|
Net unrealized appreciation (depreciation) of
investments(B)
|
|
0.14
|
|
(1.05)
|
|
|
Total from investment operations(B)
|
|
0.99
|
|
0.74
|
|
|
Cash distributions from net investment
income(B)(C)
|
|
(0.61)
|
|
(0.48)
|
|
|
Net asset
value at end of year(A)
|
|
$
|
9.38
|
|
$
|
9.00
|
|
|
|
|
|
|
|
|
Per share
market value at beginning of year
|
|
$
|
7.79
|
|
$
|
6.01
|
|
|
Per share
market value at end of year
|
|
7.57
|
|
7.76
|
|
|
Total
return(D)
|
|
5.58
|
%
|
38.56
|
%
|
|
Shares
outstanding at end of year
|
|
22,080,133
|
|
22,080,133
|
|
|
|
|
|
|
|
|
Statement
of Assets and Liabilities Data:
|
|
|
|
|
|
|
Net assets
at end of year
|
|
$
|
207,216
|
|
$
|
198,829
|
|
|
Average
net assets(E)
|
|
204,595
|
|
192,893
|
|
|
|
|
|
|
|
|
Senior
Securities Data:
|
|
|
|
|
|
|
Total
borrowings, at cost
|
|
$
|
76,005
|
|
$
|
40,000
|
|
|
Mandatorily redeemable preferred stock
|
|
40,000
|
|
—
|
|
|
Asset
coverage ratio(F)
|
|
268
|
%
|
534
|
%
|
|
Average
coverage per unit(G)
|
|
$
|
2,676
|
|
$
|
5,344
|
|
|
|
|
|
|
|
|
Ratios/Supplemental Data:
|
|
|
|
|
|
|
Ratio of
expenses to average net assets(H)
|
|
4.23
|
%
|
5.48
|
%
|
|
Ratio of
net expenses to average net assets(I)
|
|
3.67
|
%
|
5.13
|
%
|
|
Ratio of
net investment income to average net assets
|
|
6.72
|
%
|
8.38
|
%
|
|
|
|
|
|
|
|
(A)
|
|
Based on
actual shares outstanding at the end of the corresponding
year.
|
|
(B)
|
|
Based on
weighted average per basic common share data.
|
|
(C)
|
|
Distributions are determined based on taxable income
calculated in accordance with income tax regulations, which may
differ from amounts determined under GAAP.
|
|
(D)
|
|
Total
return equals the change in the market value of our common stock
from the beginning of the year, taking into account dividends
reinvested in accordance with the terms of our dividend
reinvestment plan. Total return does not take into account
distributions that may be characterized as a return of
capital.
|
|
(E)
|
|
Calculated
using the average balance of net assets at the end of each month of
the reporting year.
|
|
(F)
|
|
As a BDC,
we are 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 the aggregate
amount of senior securities. Our mandatorily redeemable preferred
stock is characterized as a senior security for purposes of the
asset coverage ratio.
|
|
(G)
|
|
Asset
coverage per unit is the asset coverage ratio expressed in terms of
dollar amounts per one thousand dollars of indebtedness.
|
|
(H)
|
|
Ratio of
expenses to average net assets is computed using expenses before
credits from the Adviser.
|
|
(I)
|
|
Ratio of
net expenses to average net assets is computed using total expenses
net of credits to the management fee.
|
SOURCE Gladstone Investment Corporation
