NASDAQ$WHF

Whitehorse Finance Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Reported strong gross capital deployments and maintained high origination activity.

WhiteHorse Finance announced its financial results for the third quarter ended September 30, 2021, reporting a net investment income of $7.6 million, or $0.366 per share, and core net investment income of $7.8 million, or $0.372 per share. The company's investment portfolio totaled $687.1 million, with gross investment deployments of $122.5 million. The board declared a distribution of $0.355 per share for the quarter ending December 31, 2021.

  • Net Asset Value of $323.7 million, or $15.46 per share
  • Investment portfolio totaling $687.1 million
  • STRS JV investment portfolio totaling $239.0 million
  • Net investment income of $7.6 million, or $0.366 per share

Headline financials

Total Revenue

$18.4M

No prior period
EPS (adj)

$0.37

No prior period
Portfolio Yield

9.3%

No prior period
Net Income

$8.28M

No prior period
Operating Income

$8.28M

No prior period
Cash & Equivalents

$16.6M

No prior period
Total Assets

$730M

No prior period

Revenue & EPS history

Whitehorse Finance · Revenue · Quarterly

$18.4M

Q3 2021
Beat estimate in 4 of 12 quarters(33%)
ActualEstimate

Forward guidance

WhiteHorse Finance anticipates continuing rapid capital deployment, supported by a healthy pipeline and recent equity offering. The company believes its relationship with the H.I.G. platform and differentiated sourcing capabilities will drive growth, enabling disciplined deal sourcing and strong cash flow generation.

Tailwinds

  • Gross capital deployments remained strong
  • Maintained a high level of origination activity
  • Completed a follow-on equity offering, netting approximately $34 million in proceeds
  • Pipeline remains very healthy
  • New capital should enable continued growth through disciplined deal sourcing

Headwinds

  • Lending market has become more competitive in some segments
  • Pricing, leverage and documentation terms have returned to pre-COVID levels in some segments
  • Continuing repayments and refinancings within the portfolio offset gross capital deployments
  • Higher interest expense incurred due to higher leverage balances
  • Portfolio company investments are subject to legal restrictions on sales

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 2021

Historical avgQ3 2021

-0.4%

Avg return

Earnings day

-0.1%

Avg return

5 days after

-0.0%

Avg return

30 days after

47%

9 / 19 earnings

Positive

+6.0%

Q4 2025

Best reaction

-6.2%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.5%-4.6%-12.2%
Q4 2025+6.0%+17.8%+12.9%
Q3 2025-5.2%-1.0%+7.5%
Q1 2025+0.8%-1.1%-0.4%
Q4 2024-4.5%-5.5%-14.4%
Q3 2024-5.4%-9.5%-9.7%
Q2 2024-2.4%-2.6%+1.9%
Q1 2024+1.3%+0.4%+2.0%
Q4 2023-0.2%+0.5%-0.2%
Q3 2023-1.1%-0.2%+1.6%
Q2 2023-6.2%-5.8%-4.4%
Q1 2023+5.2%+5.5%+15.3%
Q4 2022+2.3%+0.4%-5.2%
Q3 2022+1.6%+4.9%+7.3%
Q2 2022+1.1%+6.0%-2.3%
Q1 2022-2.1%-6.0%-3.9%
Q4 2021-1.8%-3.6%-1.0%
Q3 2021+0.7%-0.1%+0.7%
Q4 2020+2.3%+2.2%+3.8%

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