PennantPark Investment’s Fiscal Year 2024 Financial Results

Pennantpark Investment ( (PNNT) ) has released its Q4 earnings. Here is a breakdown of the information Pennantpark Investment presented to its investors.

PennantPark Investment Corporation is a business development company that primarily invests in U.S. middle-market private companies through first lien secured debt, second lien secured debt, subordinated debt, and equity investments.

In its latest earnings report, PennantPark Investment Corporation announced financial results for the fourth quarter and fiscal year ended September 30, 2024. The company reported a net asset value per share of $7.56, consistent with a slight quarterly increase of 0.5%. The company also highlighted an upsizing of its joint venture with PennantPark Senior Loan Fund, LLC.

The company’s investment portfolio reached $1,328.1 million, with net investment income for the fiscal year totaling $60.1 million, or $0.92 per share. The weighted average yield on debt investments stood at 12.3% by the year’s end. The company’s expenses increased compared to the previous year, primarily due to higher debt-related interest expenses, contributing to a decrease in net investment income per share from the prior year.

PennantPark’s strategic move to increase its investment in the PennantPark Senior Loan Fund by $52.5 million, alongside an increased credit facility, aims to expand the joint venture’s investment capacity significantly. The company reported net realized losses of $33.6 million for the year, but a net increase in unrealized appreciation of $26.8 million, reflecting changes in market conditions and investment values.

Looking forward, PennantPark Investment Corporation remains focused on leveraging its liquidity and capital resources to pursue its investment objectives, with a strong emphasis on managing its portfolio in response to evolving market conditions.