NASDAQ$PNNT

PennantPark Investment Corp · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Announced financial results for the fourth quarter and fiscal year ended September 30, 2023.

PennantPark Investment Corporation reported a solid performance in Q4 2023, with earnings exceeding the dividend by a healthy margin due to strong credit performance and excellent returns from the PSLF Joint Venture. The portfolio totaled $1,001.9 million, and the company had one portfolio company on non-accrual.

  • Portfolio totaled $1,001.9 million as of September 30, 2023.
  • Net investment income was $15.6 million, or $0.24 per share.
  • Invested $61.1 million in two new and 31 existing portfolio companies with a weighted average yield on debt investments of 12.3%.
  • Sales and repayments of investments totaled $138.2 million, including $47.6 million of sales to PSLF.

Headline financials

Total Revenue

$34M

Previous: $28.9M+17.7%
EPS (adj)

$0.24

Previous: $0.14+71.4%
Net Income

$15.6M

Previous: $9.18M+69.9%
Operating Income

$15.6M

Previous: $9.18M+69.9%
Cash & Equivalents

$134M

Previous: $52.7M+155.2%
Total Assets

$1.15B

Previous: $1.32B-12.6%

Revenue & EPS history

PennantPark · Revenue · Quarterly

$34M

Q4 2023+17.7%vs Q4 2022
Beat estimate in 4 of 15 quarters(27%)
ActualEstimate

Revenue by segment

PennantPark · $28.7M total across 3 segments · Q4 2023

  • First Lien Secured Debt
    $24.5M
  • Second Lien Secured Debt
    $2.9M
  • Subordinated Debt
    $1.3M

Forward guidance

The Company expects to report certain material weaknesses in internal control over financial reporting in Item 9A of its Annual Report on Form 10-K for the fiscal year ended September 30, 2023. The material weaknesses identified to date relate to the control environment over the Company's review process of its cash and par reconciliations and its interest income analysis. The material weaknesses are not expected to impact the accuracy of the Company's financial statements to be reported in the 2023 Annual Report.

Headwinds

  • Expects to report certain material weaknesses in internal control over financial reporting.
  • Material weaknesses relate to the control environment over the Company's review process of its cash and par reconciliations.
  • Material weaknesses relate to the control environment over the Company's interest income analysis.
  • Preliminary unaudited results are based on current expectations and are subject to adjustment.
  • The Company is completing its assessment of the effectiveness of its internal control over financial reporting as of September 30, 2023.

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 Q4 2023

Historical avgQ4 2023

+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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