Horizon Technology Finance ( (HRZN) ) has released its Q3 earnings. Here is a breakdown of the information Horizon Technology Finance presented to its investors.
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Horizon Technology Finance Corporation, a specialty finance company, provides secured loans to venture capital and private equity-backed companies in technology, life sciences, healthcare, and sustainability sectors. The company recently announced its third-quarter 2025 financial results, highlighting a net investment income per share of $0.32 and a net asset value per share of $7.12. Horizon reported a debt portfolio yield of 18.6% and ended the quarter with a committed backlog of $119 million, while declaring regular monthly distributions totaling $0.33 per share through March 2026.
Key financial metrics for the third quarter include a total investment income of $26.3 million, an increase from $24.6 million in the same period last year, driven by higher fee and interest income. The company also reported net investment income of $14.0 million, consistent with the previous year. Horizon’s net unrealized appreciation on investments was $40.5 million, demonstrating a positive shift compared to the prior year’s $29.3 million. Additionally, Horizon raised approximately $10.6 million through its at-the-market offering program.
Strategically, Horizon completed a $40 million convertible notes offering and acquired the remaining assets of a co-lender, which contributed positively to its net asset value per share. The company also experienced liquidity events from eight portfolio companies, enhancing its financial flexibility. Horizon’s merger with Monroe Capital Corporation is expected to position the company for larger venture lending transactions and portfolio growth.
Looking ahead, Horizon’s management remains optimistic about completing the merger with Monroe Capital Corporation, which is anticipated to enhance its capabilities in the venture lending market. The company’s focus on strategic growth and maintaining a strong balance sheet suggests a positive outlook for future financial performance.