Private Credit Portfolio Analysis | PennantPark Floating Rate Capital Reports Q1 2025 Results
- Editor
- Feb 10
- 2 min read
Whats New:
PennantPark Floating Rate Capital Ltd. reported its Q1 2025 financial results, showing significant growth in assets and investments compared to the previous quarter. The fund's total assets increased to $2.34 billion as of December 31, 2024, up from $2.11 billion at the end of September 2024. Investments owned at fair value rose to $2.19 billion from $1.98 billion in the same period.
Portfolio Dynamics:
Total assets grew to $2.34 billion as of December 31, 2024, compared to $2.11 billion at the end of September 2024.
Investments owned at fair value increased to $2.19 billion, up from $1.98 billion at the end of September 2024.
Cash and cash equivalents decreased to $102.26 million from $112.05 million at the end of September 2024.
Investment Activity:
Long-term investments and receivables net increased significantly to $29.09 million from $0 at the end of September 2024.
Interest receivable rose to $13.02 million from $12.17 million at the end of September 2024.
Prepaid expenses and other assets increased to $5.03 million from $0.20 million at the end of September 2024.
Capital Structure:
Line of credit increased to $608.79 million from $443.88 million at the end of September 2024.
Stockholders' equity grew to $962.65 million from $877.29 million at the end of September 2024.
The fund issued additional common stock, with the value increasing to $85 million from $78 million at the end of September 2024.
Performance Profile:
Net asset value per share increased to $11.34 as of December 31, 2024, compared to $11.31 at the end of September 2024.
Retained earnings deficit decreased to $96.38 million from $99.53 million at the end of September 2024.
Additional paid-in capital increased to $1.06 billion from $976.74 million at the end of September 2024.
Risk & Quality:
Incentive fee payable increased to $7.49 million from $3.19 million at the end of September 2024.
Management fee payable rose to $5.26 million from $4.59 million at the end of September 2024.
Deferred income tax liabilities net decreased to $1.08 million from $1.71 million at the end of September 2024.
The Wrap:
PennantPark Floating Rate Capital demonstrated strong growth in Q1 2025, with significant increases in total assets, investments at fair value, and stockholders' equity. The fund's net asset value per share also improved slightly. However, the increase in line of credit and various fee payables suggests higher costs associated with the fund's expanded operations and investment activities. The decrease in cash and cash equivalents, coupled with the increase in long-term investments, indicates a more aggressive investment strategy.
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