NASDAQ$PNNT

PennantPark Investment Corp · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Announced an increase of its quarterly distribution and its financial results.

PennantPark Investment Corporation announced financial results for the third fiscal quarter ended June 30, 2022, with net investment income totaling $10.6 million, or $0.16 per share.

  • Portfolio totaled $1,314.8 million with investments in first lien secured debt, second lien secured debt, subordinated debt, and preferred and common equity.
  • Debt portfolio consisted of 96% variable-rate investments and 4% fixed-rate investments.
  • Invested $326.3 million in 11 new and 36 existing portfolio companies with a weighted average yield on debt investments of 8.7%.
  • Declared an increase of its fourth fiscal quarter 2022 distribution to $0.15 per share, payable on October 3, 2022.

Headline financials

Total Revenue

$23.3M

Previous: $20.5M+13.9%
EPS (adj)

$0.16

Previous: $0.14+14.3%
Weighted Average Yield on Debt Investments

9.3%

Previous: 9.2%+1.1%
Net Income

-$18.5M

Previous: $31.9M-158.0%
Operating Income

$10.5M

Previous: $8.2M+28.0%

Revenue & EPS history

PennantPark · Revenue · Quarterly

$23.3M

Q3 2022+13.9%vs Q3 2021
Beat estimate in 4 of 15 quarters(27%)
ActualEstimate

Revenue by segment

PennantPark · $20.8M total across 3 segments · Q3 2022

  • First Lien Secured Debt
    $17.6M
  • Second Lien Secured Debt
    $2.9M
  • Subordinated Debt
    $300K

Forward guidance

PennantPark anticipates future Net Investment Income growth through rising base rates, higher spreads, a growing PSLF joint venture, and rotation of equity proceeds.

Tailwinds

  • Rising base rates
  • Higher spreads on new loan originations
  • Growing PSLF joint venture
  • Potential to rotate equity proceeds into cash paying loans
  • Increase the facility size from $465.0 million to $500.0 million

Headwinds

  • Changes in the economy
  • Risks associated with possible disruption in the Company’s operations
  • Economy generally due to terrorism
  • Natural disasters
  • Pandemics such as COVID-19

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

+0.3%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+2.3%

Avg return

30 days after

52%

32 / 62 earnings

Positive

+19.3%

Q4 2020

Best reaction

-12.8%

Q2 2010

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-4.6%-10.4%
Q4 2025-5.6%-5.0%-8.1%
Q3 2025+0.8%-2.1%-2.3%
Q2 2025+3.3%+2.6%+3.5%
Q1 2025-0.7%+0.4%-3.8%
Q4 2024-1.0%-2.4%+1.3%
Q3 2024-0.4%+0.4%+0.1%
Q2 2024+3.2%+2.1%+7.8%
Q1 2024-2.2%-1.2%-1.9%
Q4 2023-2.5%-2.2%-2.8%
Q3 2023+3.6%+2.1%-1.0%
Q2 2023+7.4%+9.4%+20.1%
Q4 2022+0.3%+1.0%-4.8%
Q3 2022-1.7%-0.8%-3.6%
Q2 2022-0.8%-5.2%-5.8%
Q1 2022+6.3%+7.1%+5.6%
Q4 2021+1.0%+3.3%-3.2%
Q3 2021+4.6%+5.4%+1.4%
Q2 2021+4.4%+2.3%+5.1%
Q1 2021+0.4%-1.9%+3.7%
Q4 2020+19.3%+28.0%+28.9%
Q3 2020+3.2%+3.2%+2.3%
Q2 2020-4.6%-9.9%+27.4%
Q1 2020+2.9%+0.8%-11.1%
Q4 2019+1.7%+2.5%+11.3%
Q3 2019+0.6%-1.7%-3.7%
Q2 2019-3.6%-5.5%-6.5%
Q1 2019-3.5%-1.5%-3.3%
Q4 2018+4.1%+2.7%+2.4%
Q3 2018-0.5%+1.5%+1.5%
Q2 2018+2.5%+4.4%+10.2%
Q1 2018+4.8%+8.0%+9.9%
Q4 2017-4.0%-4.7%-8.1%
Q3 2017+0.7%+3.6%+1.1%
Q2 2017+4.4%-1.2%-3.1%
Q4 2016-6.0%-5.8%+2.3%
Q3 2016+2.0%+2.8%+10.1%
Q2 2016+0.2%
Q1 2016+5.7%
Q4 2015-7.8%
Q3 2015+2.8%
Q2 2015+0.4%
Q1 2015+4.5%
Q4 2014+0.4%
Q3 2014-0.5%
Q2 2014+1.0%
Q1 2014+0.7%
Q4 2013+1.3%
Q3 2013-1.2%
Q2 2013-2.0%
Q1 2013-2.4%
Q4 2012-2.4%
Q3 2012-0.2%
Q2 2012-1.4%
Q1 2012+0.0%
Q4 2011-4.4%
Q3 2011-4.6%
Q2 2011-0.2%
Q1 2010+4.2%
Q4 2010+0.0%
Q3 2010-1.5%
Q2 2010-12.8%

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