PhenixFIN Corporation (NASDAQ:PFX) reported an EPS of $0.433, slightly above the estimated $0.43, showcasing its ability to surpass expectations.The company's revenue for the fourth quarter of 2025 was $6.9 million, exceeding the estimated $5.81 million and continuing its trend of outperforming revenue expectations.PhenixFIN's net asset value (NAV) stood at $160.8 million as of September 30, 2025, with a weighted average yield on debt and other income-producing investments of 12.8%.PhenixFIN Corporation, tr ...

PhenixFIN (PFX) came out with quarterly earnings of $0.69 per share, beating the Zacks Consensus Estimate of $0.24 per share. This compares to earnings of $0.26 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +187.50%. A quarter ago, it was expected that this investment firm would post earnings of $0.54 per share when it actually produced earnings of $0.58, delivering a surprise of +7.41%.Over the last four quarters, the compa ...

Financial Ratios and Coverage - As of September 30, 2025, the company's asset coverage ratio was 207.8%, exceeding the minimum requirement of 200% under the 1940 Act[133]. - The company's asset coverage ratio was 207.8% as of September 30, 2025, exceeding the minimum requirement of 200% under the 1940 Act[148]. - The company's asset coverage was 207.8% after giving effect to leverage, exceeding the minimum requirement of 200% under the 1940 Act[193]. Debt and Borrowing - The company has issued $57.5 million in aggregate principal amount of 5.25% unsecured notes due November 1, 2028, and has a revolving credit facility increased to $100 million[130][131]. - The company has a revolving credit facility that was amended to increase the principal amount available by $12.5 million to $62.5 million[130]. - As of September 30, 2025, the company had $149.2 million in outstanding borrowings with a weighted average interest rate of 6.5%[154]. - The terms of the Credit Facility impose restrictions on the company's ability to incur additional debt, which could affect liquidity and investment strategy[213]. Investment Risks - Rising interest rates may increase borrowing costs and reduce net investment income, potentially leading to defaults on loans from portfolio companies[117][118]. - Economic downturns could impair portfolio companies' ability to repay debt investments, increasing the risk of non-performing assets[120][121]. - The company is exposed to risks associated with leverage, which could increase the risk of credit and capital losses during economic recessions[129][130]. - The company may face challenges in paying required distributions if it recognizes income before receiving cash, potentially affecting its RIC tax treatment[146]. - The company may need to raise additional capital to finance growth, but such capital may not be available on favorable terms[151]. - The company may suffer losses on unitranche loans if borrowers are unable to make required payments[182]. - Covenant-Lite Loans may expose the company to different risks, including liquidity and credit risks[183]. - The company may face dilution of NAV per share if shares are sold below current NAV, impacting stockholder interests[210]. - The company faces risks from potential defaults or impairments in debt investments due to issuer financial condition deterioration[245]. Regulatory and Policy Risks - The company faces regulatory uncertainty due to potential changes in U.S. trade policy, which could adversely affect the profitability of portfolio companies reliant on imports[115][116]. - Changes in governmental policies, including tariffs, could have a material adverse impact on the company's investments and operations[116][122]. - Legislative changes regarding tax reform could adversely affect the company and its stockholders[197]. - The board of directors has the authority to change investment objectives and strategies without prior notice, which could impact the company's operations and stock value[152]. Investment Strategy and Diversification - The company is classified as a non-diversified investment company, allowing it to invest a significant portion of its assets in a limited number of issuers, which may lead to greater NAV fluctuations[137]. - The company has not adopted fixed guidelines for diversification, which could lead to concentrated investments in a few portfolio companies[137]. - The company may invest up to 30% of its portfolio in opportunistic investments to diversify and enhance returns[184]. - Significant investments in one or more economic sectors may expose the company to risks associated with economic, regulatory, political, or market events[191]. Insurance Business Risks - As of September 30, 2025, 15.3% of the company's total assets were invested in NSG, its insurance business, exposing the company to various associated risks[177]. - NSG's pricing accuracy relies on morbidity and mortality estimates, which may be based on insufficient or incorrect data, potentially leading to underpricing or overpricing risks[221]. - A material increase in the valuation of liabilities for future benefit payments could occur if actual policyholder behavior deviates from assumptions, impacting NSG's financial condition[219]. - NSG's liquidity may be adversely affected by unexpected policyholder withdrawals or surrenders, which could force the company to sell investments or seek third-party financing[223]. - The property and casualty insurance business is cyclical, with operating results subject to fluctuations based on market conditions and catastrophic events[231]. - Competition in the insurance industry is intense, with NSG facing challenges from larger competitors that may offer better pricing and broader product ranges[233]. - Changes in regulatory environments could limit NSG's operational flexibility and increase compliance costs, adversely affecting business objectives[237]. Cybersecurity and Technological Risks - The company does not maintain insurance coverage relating to cybersecurity risks, which may result in significant additional resource expenditures for protective measures and remediation[160]. - Cybersecurity failures or breaches from third-party service providers could disrupt business operations and lead to financial losses and regulatory penalties[159]. - The company is exposed to risks from technological innovations, including artificial intelligence and machine learning, which may disrupt market practices and increase competition[161]. Market and Economic Conditions - The competitive landscape has intensified, with larger entities potentially offering better terms, which may limit the company's investment opportunities[149]. - The market price of the company's common stock is subject to significant fluctuations due to various external factors, including regulatory changes and economic trends[205]. - Difficult conditions in capital markets and the economy could adversely affect demand for insurance products and overall business performance[250]. - Public health crises or extreme mortality events could significantly impact NSG's business and financial condition, affecting sales and claims[222]. Interest Rate Sensitivity - Interest rate fluctuations could negatively impact the company's investments and net interest income, particularly if new investments yield lower rates than current ones[138]. - The company utilizes SOFR-based loans for its Credit Facility, which may result in lower net interest margins compared to previous LIBOR-based rates[140]. - NSG's investment portfolio is significantly affected by interest rate changes, with 67.5% of its income-bearing investments linked to floating rates based on fair value[361]. - A rise in interest rates could lead to an increase in interest income from variable rate investments, while a decline may reduce gross investment income[362]. - As of September 30, 2025, the floating rate debt investments composition shows 44.1% of the portfolio has a SOFR floor between 1% to under 2%[363]. - Hypothetical interest rate changes indicate that a 300 basis points increase could result in a net increase of $1,300 thousand in net assets from operations[364].

Core Insights - PhenixFIN Corporation reported its financial results for the fiscal year and fourth quarter of 2025, focusing on growing net asset value (NAV) per share and enhancing shareholder value [1][3]. Financial Performance - Total investment income for Q4 2025 was $6.9 million, with $6.7 million from portfolio interest and dividend income, and $0.2 million from fees and other income [4]. - Total net expenses for the quarter were $5.5 million, resulting in a net investment income of $1.4 million [4]. - The company recorded a net realized loss of $0.04 million and a net unrealized gain of $2.2 million during the quarter [4]. Portfolio and Investment Activities - The fair value of the investment portfolio was $302.3 million, consisting of 36 portfolio companies, with one company on non-accrual status valued at $0.0 million [5]. - The company actively managed its portfolio, selling its entire position in First Brands Group at nearly par (95.5) due to a delayed refinancing [3]. Liquidity and Capital Resources - As of September 30, 2025, the company had $7.3 million in cash and cash equivalents, $59.2 million in unsecured notes due 2028, and $90.0 million outstanding under its credit facility [6]. Net Asset Value - The net asset value (NAV) was reported at $160.8 million, or $80.24 per share, as of September 30, 2025, an increase from $79.37 per share a year earlier [8][14]. Yearly Financial Overview - For the fiscal year ended September 30, 2025, total investment income was $25.3 million, up from $22.2 million in 2024 [16]. - Net investment income for the year was $5.1 million, compared to $4.7 million in the previous year [17]. - The company experienced a net increase in net assets resulting from operations of $4.2 million for the year [17].

Investment Income - Total investment income for Q4 2025 was $6.9 million, with $6.7 million from portfolio interest and dividend income [3]. - Net investment income for Q4 2025 was $1.4 million, while total net expenses were $5.5 million [4]. Asset Valuation - The net asset value (NAV) as of September 30, 2025, was $160.8 million, or $80.24 per share, an increase from $79.37 per share a year earlier [9]. - The fair value of the investment portfolio totaled $302.3 million, consisting of 36 portfolio companies [6]. - Total assets increased to $316.9 million as of September 30, 2025, compared to $302.8 million a year earlier [16]. Financial Performance - The weighted average yield on debt and other income-producing investments was 12.8% at the fiscal year end [9]. - The company recorded a net realized loss of $0.04 million and a net unrealized gain of $2.2 million during the quarter [5]. Cash and Debt Management - The company had $7.3 million in cash and cash equivalents and $90.0 million outstanding under the Credit Facility as of September 30, 2025 [8]. Shareholder Returns - A special dividend of $1.43 per share was paid in February 2025 as part of the share repurchase program [2]. - The company aims to continue delivering value to shareholders in 2026 and beyond, focusing on growth in NAV per share [2].

PhenixFIN (PFX) came out with quarterly earnings of $0.58 per share, beating the Zacks Consensus Estimate of $0.54 per share. This compares to earnings of $0.98 per share a year ago. These figures are adjusted for non- recurring items. This quarterly report represents an earnings surprise of +7.41%. A quarter ago, it was expected that this investment firm would post earnings of $0.82 per share when it actually produced earnings of $0.48, delivering a surprise of -41.46%. Over the last four quarters, the com ...

Company Overview - The company operates as a non-diversified closed-end management investment company regulated as a BDC under the 1940 Act, with a focus on generating current income and capital appreciation through investments primarily in privately-held companies valued between $25 million and $250 million [210]. - The company has a portfolio consisting mainly of senior secured first lien term loans, senior secured second lien term loans, senior secured bonds, preferred equity, and common equity, with a focus on investment sizes between $10 million and $50 million [212]. - The company is required to invest at least 70% of its total assets in qualifying assets, including securities of private or thinly traded public U.S. companies [213]. Financial Performance - As of June 30, 2025, the company's portfolio had a fair market value of approximately $294.4 million, up from $227.9 million as of September 30, 2024, representing a 29.1% increase [224]. - For the nine months ended June 30, 2025, the company received proceeds from sales and settlements of investments totaling $90.8 million, compared to $87.9 million for the same period in 2024, reflecting a 3.3% increase [224][225]. - The total investment income for the three months ended June 30, 2025, was $6.2 million, slightly down from $6.2 million in the same period of 2024, while for the nine months ended June 30, 2025, it increased to $18.4 million from $16.6 million in 2024, a growth of 10.8% [229][230][231]. - Operating expenses for the three months ended June 30, 2025, increased by $0.7 million, or 17.5%, compared to the same period in 2024, and for the nine months ended June 30, 2025, they rose by $2.3 million, or 18.5% [232]. - Interest and financing expenses for the three months ended June 30, 2025, increased by $0.9 million, or 54.5%, compared to the same period in 2024, and for the nine months ended June 30, 2025, they rose by $3.0 million, or 61.1% [233]. - The company recorded net realized losses of $(12.0) million on portfolio investments for the three months ended June 30, 2025, and $(11.9) million for the nine months ended June 30, 2025 [236]. - The weighted average yield on debt and other income-producing investments was 12.7% as of June 30, 2025, compared to 12.3% as of September 30, 2024 [227]. - The company experienced a net decrease in net assets from operations of $(1.5) million for the three months ended June 30, 2025, compared to a net increase of $2.6 million for the same period in 2024 [244]. - For the nine months ended June 30, 2025, the net increase in net assets from operations was $0.1 million, a significant decline from $12.5 million for the same period in 2024 [245]. Investment Activity - The company invested $159.5 million during the nine months ended June 30, 2025, compared to $85.5 million in the same period of 2024, indicating a significant increase in investment activity [224][225]. - For the three months ended June 30, 2025, the company reported net unrealized gains of $9.3 million, primarily due to reversals of unrealized losses on Black Angus Steakhouses, LLC ($9.1 million) and Lighting Science Group Corporation ($1.0 million) [239]. - For the nine months ended June 30, 2025, the company recorded net unrealized gains of $8.5 million, with significant contributions from Black Angus Steakhouses, LLC ($8.2 million) and Lighting Science Group Corporation ($1.0 million) [240]. Cash and Borrowings - As of June 30, 2025, the company had $7.3 million in cash and cash equivalents, a decrease from $67.6 million as of September 30, 2024 [248]. - The company has outstanding borrowings of $87.0 million under a $100 million revolving credit facility as of June 30, 2025, with a maturity date of April 17, 2030 [251][255]. - The company has commitments under loan and financing agreements to fund up to $4.7 million to five portfolio companies as of June 30, 2025 [258]. Dividends and Tax Treatment - The company must distribute at least 90% of its net ordinary income and realized net short-term capital gains to maintain its RIC tax treatment [213]. - The company intends to distribute substantially all of its taxable income to stockholders to maintain its RIC tax treatment [249]. - The company declared a special dividend of $2,645,925 on May 9, 2024, and a subsequent special dividend of $2,888,283 on February 6, 2025 [264]. - The company intends to distribute at least 90% of its investment company taxable income to maintain its RIC tax treatment [281]. - The company is subject to a 4% federal excise tax on undistributed income if it does not distribute at least 98% of its net ordinary income for any calendar year [281]. Employee Compensation - The company adopted a Long-Term Cash Incentive Plan in May 2022, providing performance-based cash awards to key employees based on pre-established financial goals [216]. - For the performance period ending September 30, 2024, key employees received cash awards of $1,403,530 and $599,260 based on the achievement of performance goals [217]. - The target performance award for the 2025 LTIP Plan is set at $1,000,000 for the CEO and $425,000 for the CFO [222]. Market Conditions and Risks - Rising interest rates may adversely affect the company's performance by increasing borrowing costs and potentially leading to defaults among portfolio companies [208]. - The company has faced market volatility due to global events, including the invasion of Ukraine, which has impacted operating results and may continue to do so [203]. - The higher interest rate environment has increased volatility in U.S. and global capital markets [283]. - The company anticipates potential future interest rate increases as indicated by the Federal Reserve [283]. Valuation and Fair Value Measurement - The company follows ASC 820 for measuring the fair value of portfolio investments, categorizing them into three levels based on the observability of inputs [272][273]. - The board of directors oversees a multi-step valuation process for investments without readily available market quotations, involving management estimates and judgments [276]. - At June 30, 2025, one investment was on non-accrual status with a fair value of approximately $0.0 million, representing 0% of the fair value of the portfolio [280]. - At September 30, 2024, three investments were on non-accrual status with a combined fair value of approximately $2.4 million, or 1.1% of the fair value of the portfolio [280]. Interest Rate Sensitivity - As of June 30, 2025, 53.1% of the income-bearing investment portfolio was based on floating rates, primarily linked to the SOFR reference rate [284]. - A prolonged reduction in interest rates could decrease gross investment income and net investment income if not offset by increased spreads or reduced operating expenses [284]. - The floating rate debt investments composition as of June 30, 2025 included 12.9% with a floor under 1%, 33.7% with a floor between 1% and under 2%, and 51.0% with no floor [284]. - A hypothetical increase of 300 basis points in interest rates could result in a net increase of $1,200,000 in income after expenses [285]. - Conversely, a decrease of 300 basis points could lead to a net decrease of $1,200,000 in income after expenses [285]. - The majority of variable rate investments have an interest rate floor, which may limit income increases until benchmark rates exceed a certain threshold [284]. Hedging Activities - The company did not engage in hedging activities for the nine months ended June 30, 2025, and the year ended September 30, 2024 [283]. - The company may hedge against interest rate fluctuations using standard hedging instruments, subject to regulatory requirements [283].

NEW YORK, Aug. 06, 2025 (GLOBE NEWSWIRE) -- PhenixFIN Corporation (NASDAQ: PFX, PFXNZ) (the “Company”), a publicly traded business development company, today announced its financial results for the fiscal third quarter for its year ending September 30, 2025. Highlights: Third quarter total investment income of $6.2 million; net investment income of $1.2 millionNet asset value (NAV) of $157 million, or $78.20 per share as of June 30, 2025On April 17, 2025, amended the credit facility to $100mm with a $50mm a ...

Investment Income - Total investment income for Q3 2025 was $6.2 million, with $5.5 million from portfolio interest and dividend income [3]. - Net investment income for the quarter was $1.2 million, while total net expenses were $5.0 million [4]. - The company recorded a net realized loss of $12.0 million and a net unrealized gain of $9.3 million during the quarter [5]. Investment Portfolio - The fair value of the investment portfolio was $294.4 million, consisting of 34 portfolio companies [6]. - The weighted average yield on debt and other income-producing investments was 12.66% [8]. Financial Position - As of June 30, 2025, the company had $7.3 million in cash and cash equivalents and $87.0 million outstanding under the Credit Facility [7]. - The net asset value (NAV) was $157 million, or $78.20 per share as of June 30, 2025 [8]. - The company amended its credit facility to $100 million with a $50 million accordion and extended maturity to April 17, 2030 [8]. - Total assets increased to $306.8 million from $302.8 million year-over-year [15]. - The net increase in net assets resulting from operations was a decrease of $1.5 million for the quarter [17].

Group 1 - PhenixFIN (NASDAQ: PFX) is a Business Development Company (BDC) that was formerly known as Medley Capital Corporation and has undergone a transformation under new management [1] - The management structure of PhenixFIN was internalized at the beginning of 2021, leading to significant changes in operations [1]