Chicago Atlantic BDC (LIEN) Q1 2025 Earnings Call May 14, 2025 09:00 AM ET Company Participants Tripp Sullivan - PresidentPeter Sack - CEOMartin Rodgers - CFODino Colonna - PresidentPablo Zuanic - Managing Partner Operator Day, and welcome to the Chicago Atlantic BDC First Quarter twenty twenty five Earnings Conference Call. All participants will be in listen only mode. After today's presentation, there will be an opportunity to ask questions. Please note, today's event is being recorded. I'd now like to tu ...

Financial Data and Key Metrics Changes - Gross investment income for Q1 2025 was $11.9 million, a decrease from $12.7 million in Q4 2024 [11] - Net investment income was $7.6 million or $0.34 per share, compared to $8.0 million or $0.35 per share in the previous quarter [12] - Net expenses were $4.3 million, slightly down from $4.4 million in the last quarter [12] - Net assets at quarter end were $301 million, with NAV per share at $13.19 [12] Business Line Data and Key Metrics Changes - The company has 31 portfolio companies, with 21% of the portfolio invested outside of cannabis [12] - The average debt position size is 3% of the debt portfolio, with 76% of the portfolio being floating rate [13] - The gross weighted average yield on company debt investments is approximately 16.6% [13] Market Data and Key Metrics Changes - The company has originated $52.8 million in gross fundings since October 1, 2024, with $32.3 million committed and $20.8 million funded in Q1 2025 [7] - The pipeline includes approximately $590 million in potential debt transactions across 35 unique companies, with $462 million in cannabis opportunities and $128 million in non-cannabis investments [16] Company Strategy and Development Direction - The company focuses on lending to cannabis companies and other underserved markets, aiming to deploy capital with differentiated risk-reward profiles [5] - The strategy includes maintaining a disciplined underwriting approach and being selective with borrowers to build durable investment portfolios [19] - The company aims to grow its dividend component as it scales its platform, having declared a total of $1.27 in dividends over the last four quarters [8] Management's Comments on Operating Environment and Future Outlook - Management believes the outlook for common sense reforms in the cannabis industry is positive, but the timing remains unpredictable [10] - The company is positioned well for 2025, focusing on proven operators and strong markets to support growth initiatives [10] - Management emphasizes a long-term view of partnership building with operators, regardless of broader market conditions [23] Other Important Information - The company has no non-accruals compared to an industry average of 3.9% [7] - A new $100 million credit facility was closed during the quarter, providing ample liquidity for future investments [14] Q&A Session Summary Question: General macro outlook and deployment readiness - The company maintains a focus on individual state markets rather than the broader U.S. cannabis industry, allowing for disciplined deployment of capital [23][25] Question: Pipeline activity comparison to previous quarters - There is no significant difference in the ratio of cannabis to non-cannabis investments, with fluctuations being ordinary [26] Question: Flexibility to increase the credit facility - The company sees room to grow its senior secured credit facility and add modest unsecured notes in a disciplined manner [27] Question: Debt leverage threshold - The company expects to remain well below industry averages for debt leverage in the foreseeable future [28] Question: Dividend growth expectations - The company does not provide specific dividend guidance but will distribute nearly all of its income by the end of the year [30]

Chicago Atlantic BDC, Inc. (LIEN) came out with a quarterly loss of $0.34 per share versus the Zacks Consensus Estimate of $0.34. This compares to loss of $0.01 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -200%. A quarter ago, it was expected that this company would post earnings of $0.29 per share when it actually produced earnings of $0.35, delivering a surprise of 20.69%.Over the last four quarters, the company has surp ...

Financial Reporting - Chicago Atlantic BDC, Inc. will report its financial results for Q1 2025 on May 14, 2025, before market open[5] - The earnings conference call and live audio webcast will take place at 9:00 a.m. Eastern Time on May 14, 2025[5] - The press release regarding the financial results is included as Exhibit 99.1 to the Current Report[5]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended March 31, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 001-40564 CHICAGO ATLANTIC BDC, INC. (Exact name of registrant as specified in its charter) | Maryland 86-2872887 | | | | --- | --- | --- | | (State or other jurisdi ...

Chicago Atlantic BDC, Inc. (LIEN) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended March 2025. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released ...

NEW YORK, April 30, 2025 (GLOBE NEWSWIRE) -- Chicago Atlantic BDC, Inc. (the “Company”) (NASDAQ: LIEN), a specialty finance company that has elected to be regulated as a business development company, today announced details for the release of its financial results for the first quarter ended March 31, 2025. The Company plans to release its financial results for the first quarter ended March 31, 2025 before the market opens on Wednesday, May 14, 2025, and host a conference call and live audio webcast, both o ...

Financial Data and Key Metrics Changes - Gross investment income for the fourth quarter was $12.7 million, compared to $3.7 million in the same quarter last year, indicating a significant increase [4]. Business Line Data and Key Metrics Changes - The company funded seven investments in the fourth quarter with a par value of approximately $24.8 million, which included five investments to existing borrowers for about $18.9 million and two investments to new borrowers totaling approximately $5.9 million [5]. Market Data and Key Metrics Changes - The current pipeline across the Chicago Atlantic platform remains robust with approximately $644 million in potential debt transactions across 39 unique companies [5]. Company Strategy and Development Direction - The company aims to create a scaled, diversified portfolio of senior secured investments, focusing on generating attractive yields and leveraging expertise in cannabis and underserved lending markets [3]. Management's Comments on Operating Environment and Future Outlook - Management emphasized the importance of providing flexible capital solutions to borrowers, highlighting the strategic partnership aspect of the BDC model [9]. - The CEO noted the difficulty in forecasting deployment pacing due to the nature of credit facilities but expressed confidence in the ongoing focus on deploying existing resources [10][11]. Other Important Information - Subsequent to the quarter end, the company committed approximately $32.3 million in new debt investments and funded about $20.8 million of that [5]. Q&A Session Summary Question: Advantages of BDC for Borrowers - The CEO explained that borrowers prefer availability of capital and a strategic partner who understands their business rather than focusing on lender restrictions [9]. Question: Sustainability of New Debt Fundings - The CEO indicated that while it is difficult to forecast exact deployment pacing, a commitment of around $30 million in new debt funding per quarter is not unreasonable [10][13]. Question: Interest Rate Exposure - The CFO was asked about interest rate exposure, but the response was not included in the provided content [16].

Fourth Quarter and Full Year 2024 Earnings Presentation March 31, 2025 Disclaimers and Forward-Looking Statements The information contained in this presentation should be viewed in conjunction with the earnings conference call of Chicago Atlantic BDC, Inc. (the "Company") (Nasdaq: LIEN) held on March 31, 2025, and the Company's Annual Report on Form 10-K for the year ended December 31, 2024. The information contained herein may not be used, reproduced or distributed to others, in whole or in part, for any o ...

Financial Reporting - Chicago Atlantic BDC, Inc. will report its financial results for Q4 and the year ended December 31, 2024, on March 31, 2025[4]. - The earnings conference call will take place at 8:30 a.m. Eastern Time on March 31, 2025[4]. - The company has not disclosed specific financial metrics or performance indicators in this report[5]. Dividends - The company announced a cash dividend for the quarter ending March 31, 2025, details of which will be provided in a press release[13]. - The press release regarding the cash dividend is included as Exhibit 99.2 to the Current Report[14]. Leadership Changes - Mr. Andreas Bodmeier resigned as CEO on March 13, 2025, with no disagreements reported regarding company operations[10]. - Mr. Peter Sack has been appointed as the new CEO, bringing experience as a credit investor and portfolio manager[11][12]. - Ms. Supurna VedBrat and Mr. Patrick McCauley were appointed as Class 1 and Class 3 Directors, respectively, following the resignation of previous directors[6][7]. - The company has a history of strategic leadership changes, indicating a focus on governance and operational effectiveness[10][11]. Company Classification - The company is classified as an emerging growth company under the Securities Act[2].