Saratoga Investment Corp (NYSE:SAR) Q3 2022 Earnings Conference Call January 6, 2022 10:00 AM ET Company Participants Henri Steenkamp - Chief Financial Officer, Chief Compliance Officer, Treasurer and Secretary Christian Oberbeck - Chairman of the Board, Chief Executive Officer and President Michael Grisius - Chief Investment Officer Conference Call Participants Casey Alexander - Compass Point Sarkis Sherbetchyan - B. Riley Securities Bryce Row - Hovde Group Mickey Schleien - Ladenburg Robert Dodd - Raymond ...

PART I. FINANCIAL INFORMATION [Consolidated Financial Statements](index=3&type=section&id=Item%201.%20Consolidated%20Financial%20Statements) This section presents Saratoga Investment Corp.'s unaudited consolidated financial statements as of November 30, 2021, and for the three and nine months then ended, including statements of assets, operations, net assets, cash flows, investment schedules, and explanatory notes [Consolidated Statements of Assets and Liabilities](index=3&type=section&id=Consolidated%20Statements%20of%20Assets%20and%20Liabilities) Total assets increased to **$811.7 million** by November 30, 2021, driven by investments and cash, leading to a rise in total net assets to **$342.6 million** and NAV per share to **$29.17** Consolidated Statements of Assets and Liabilities Highlights | Metric | November 30, 2021 | February 28, 2021 | | :--- | :--- | :--- | | **Total Investments at Fair Value** | $661.8 million | $554.3 million | | **Cash and Cash Equivalents** | $120.9 million | $18.8 million | | **Total Assets** | $811.7 million | $592.2 million | | **Total Liabilities** | $469.1 million | $288.0 million | | **Total Net Assets** | $342.6 million | $304.2 million | | **NAV Per Share** | $29.17 | $27.25 | [Consolidated Statements of Operations](index=5&type=section&id=Consolidated%20Statements%20of%20Operations) Net Investment Income for Q3 2021 was **$5.2 million**, with a **$8.3 million** net increase in net assets from operations, and a nine-month increase of **$37.3 million** or **$3.30** per share, significantly up from the prior year Key Operating Results (unaudited) | Metric | Q3 2021 (3 months) | Q3 2020 (3 months) | YTD 2021 (9 months) | YTD 2020 (9 months) | | :--- | :--- | :--- | :--- | :--- | | **Total Investment Income** | $16.5M | $14.3M | $51.8M | $41.4M | | **Net Investment Income** | $5.2M | $4.5M | $14.1M | $18.8M | | **Net Realized and Unrealized Gain (Loss)** | $3.9M | $1.9M | $25.5M | ($13.3M) | | **Net Increase in Net Assets** | $8.3M | $6.4M | $37.3M | $5.5M | | **Earnings (Loss) Per Share** | $0.73 | $0.57 | $3.30 | $0.49 | [Consolidated Statements of Changes in Net Assets](index=7&type=section&id=Consolidated%20Statements%20of%20Changes%20in%20Net%20Assets) Net assets increased by **$38.4 million** for the nine months ended November 30, 2021, driven by operations and capital share transactions, partially offset by shareholder distributions, contrasting with a prior year decrease Changes in Net Assets for the Nine Months Ended November 30 | Category | 2021 ($) | 2020 ($) | | :--- | :--- | :--- | | **Net Increase from Operations** | $37,330,286 | $5,521,006 | | **Distributions to Shareholders** | ($15,599,129) | ($9,068,484) | | **Net Increase from Capital Share Transactions** | $16,684,818 | ($886,485) | | **Total Increase (Decrease) in Net Assets** | $38,415,975 | ($4,433,963) | | **Net Assets, Beginning of Period** | $304,185,770 | $304,286,853 | | **Net Assets, End of Period** | $342,601,745 | $299,852,890 | [Consolidated Statements of Cash Flows](index=8&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Net cash used in operating activities was **$56.9 million**, offset by **$171.1 million** from financing, resulting in a **$114.2 million** net increase in cash and equivalents, totaling **$144.1 million** at period end Cash Flow Summary for the Nine Months Ended November 30 | Activity | 2021 ($) | 2020 ($) | | :--- | :--- | :--- | | **Net Cash Used in Operating Activities** | ($56,932,682) | ($66,971,071) | | **Net Cash Provided by Financing Activities** | $171,086,080 | $61,417,606 | | **Net Increase (Decrease) in Cash** | $114,153,398 | ($5,553,465) | | **Cash and Equivalents, End of Period** | $144,068,472 | $33,896,887 | [Consolidated Schedules of Investments](index=10&type=section&id=Consolidated%20Schedules%20of%20Investments) Total investments at fair value reached **$661.8 million** by November 30, 2021, diversified across industries like Healthcare Software and IT Services, categorized by control level Investment Portfolio Summary (at Fair Value) | Investment Category | November 30, 2021 | February 28, 2021 | | :--- | :--- | :--- | | **Non-control/Non-affiliate** | $546.8 million | $469.9 million | | **Affiliate** | $40.4 million | $19.4 million | | **Control** | $74.6 million | $65.0 million | | **Total Investments** | $661.8 million | $554.3 million | - As of November 30, 2021, the portfolio consisted of investments in various industries, with the largest concentrations in **Healthcare Software (25.3% of net assets)**, **Healthcare Services (12.3%)**, and **Structured Finance Securities (11.8%)**[25](index=25&type=chunk)[28](index=28&type=chunk) [Notes to Consolidated Financial Statements](index=23&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) This section details accounting policies, investment valuation, CLO investments, income tax, related party agreements, borrowings, equity transactions, and dividend declarations [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=96&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial condition and results, covering company overview, accounting policies, investment portfolio analysis, operational performance, liquidity, capital resources, and recent developments including COVID-19 impacts - The company's investment objective is to generate current income and long-term capital appreciation by investing primarily in senior and unitranche leveraged loans and mezzanine debt of private U.S. middle-market companies with **EBITDA between $2 million and $50 million**[282](index=282&type=chunk) - The COVID-19 pandemic presents material uncertainty and risks to the value of portfolio companies and the company's overall financial condition, though economic activity has improved since the beginning of the pandemic[285](index=285&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=148&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's primary market risk is interest rate fluctuation, impacting floating-rate investment income and liabilities; a 100 basis point rate increase would boost net investment income by approximately **$0.5 million** annually - The company's primary market risk is interest rate volatility, as a large portion of its investment portfolio consists of floating-rate loans[499](index=499&type=chunk)[500](index=500&type=chunk) Interest Rate Sensitivity Analysis (Annualized) | Basis Point Change | (Increase) Decrease in Interest Income | (Increase) Decrease in Interest Expense | Increase (Decrease) in Net Investment Income | | :--- | :--- | :--- | :--- | | -100 | ($16,000) | $0 | ($16,000) | | +100 | $544,000 | ($43,000) | $501,000 | | +200 | $4,278,000 | ($168,000) | $4,110,000 | | +300 | $9,558,000 | ($293,000) | $9,265,000 | [Controls and Procedures](index=149&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including CEO and CFO, concluded that disclosure controls and procedures were effective as of November 30, 2021, with no material changes to internal control over financial reporting during the quarter - The CEO and CFO concluded that the company's disclosure controls and procedures were **effective** as of the end of the period covered by the report[507](index=507&type=chunk) - No material changes in the company's internal control over financial reporting occurred during the quarter ended November 30, 2021[507](index=507&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=150&type=section&id=Item%201.%20Legal%20Proceedings) The company and its wholly owned subsidiaries are not currently subject to any material legal proceedings - As of the reporting date, neither Saratoga Investment Corp. nor its subsidiaries were involved in any **material legal proceedings**[509](index=509&type=chunk) [Risk Factors](index=150&type=section&id=Item%201A.%20Risk%20Factors) This section highlights material risks, including the impact of LIBOR decommissioning on interest rates and the ongoing COVID-19 pandemic's potential effects on portfolio companies and financial performance - The company identifies significant risk related to the planned discontinuation of LIBOR after 2021 (for most tenors) and June 2023 (for key USD tenors), which could impact the value and terms of its floating-rate investments[511](index=511&type=chunk)[512](index=512&type=chunk) - The COVID-19 pandemic continues to create uncertainty and could negatively affect the financial performance and operations of portfolio companies, potentially leading to defaults, reduced valuations, and adverse impacts on the company's results[517](index=517&type=chunk)[518](index=518&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=152&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This item is not applicable for the reporting period - The company reported no unregistered sales of equity securities during the period[519](index=519&type=chunk) [Defaults Upon Senior Securities](index=152&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) This item is not applicable for the reporting period - The company reported no defaults upon its senior securities during the period[520](index=520&type=chunk) [Mine Safety Disclosures](index=152&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable for the reporting period - The company has no mine safety disclosures to report[521](index=521&type=chunk) [Other Information](index=152&type=section&id=Item%205.%20Other%20Information) There is no other information to report for this period - The company reported no other information for this period[522](index=522&type=chunk) [Exhibits](index=153&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed as part of the Form 10-Q, including corporate documents, key agreements, and CEO/CFO certifications

Saratoga Investment Corp (NYSE:SAR) Q2 2022 Earnings Conference Call October 6, 2021 10:00 AM ET Company Participants Henri Steenkamp - Chief Financial Officer, Chief Compliance Officer, Treasurer and Secretary Chris Oberbeck - Chairman of the Board, Chief Executive Officer and President Mike Grisius - Chief Investment Officer Conference Call Participants Bryce Rowe - Hovde Group Casey Alexander - Compass Point Robert Dodd - Raymond James Mickey Schleien - Ladenburg Thalmann Sarkis Sherbetchyan - B. Riley S ...

Saratoga Investment Corp. Fiscal Second Quarter 2022 Shareholder Presentation October 6, 2021 Continued Growth and Outperformance in Q2 Fiscal Second Quarter 2022 Highlights: • Continued high quality portfolio and strong performance ▫ Investment quality remains strong 93.2% of loan investments with highest internal rating and zero non-accruals ▫ Return on equity of 14.4% for LTM and 9.9% for Q2, net of realized loss on extinguishment Net realized gain of $1.5 million and unrealized appreciation of $3.4 mill ...

[PART I. FINANCIAL INFORMATION](index=4&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Item 1. Consolidated Financial Statements](index=4&type=section&id=Item%201.%20Consolidated%20Financial%20Statements) Saratoga Investment Corp.'s unaudited consolidated financial statements for August 31, 2021, detail assets, liabilities, operations, cash flows, and investments [Consolidated Statements of Assets and Liabilities](index=4&type=section&id=Consolidated%20Statements%20of%20Assets%20and%20Liabilities) Total assets **$745.8 million**, net assets **$324.1 million**, and NAV per share **$28.97** as of August 31, 2021 Consolidated Balance Sheet Highlights (in millions) | Metric | August 31, 2021 | February 28, 2021 | | :--- | :--- | :--- | | Total Investments at Fair Value | $666.1 | $554.3 | | Cash and Cash Equivalents | $73.3 | $29.9 | | **Total Assets** | **$745.8** | **$592.2** | | Total Liabilities | $421.7 | $288.0 | | **Total Net Assets** | **$324.1** | **$304.2** | | **NAV per Share** | **$28.97** | **$27.25** | [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) Total investment income **$35.3 million**, net investment income **$8.9 million**, and net assets increased by **$29.0 million** for the six months ended August 31, 2021 Six Months Ended August 31, 2021 vs 2020 (in millions, except per share data) | Metric | 2021 | 2020 | | :--- | :--- | :--- | | Total Investment Income | $35.3 | $27.2 | | Total Operating Expenses | $26.3 | $12.8 | | Net Investment Income | $8.9 | $14.4 | | Net Realized & Unrealized Gain (Loss) | $21.6 | ($15.2) | | Net Increase (Decrease) in Net Assets | $29.0 | ($0.8) | | Basic and Diluted EPS | $2.59 | ($0.08) | [Consolidated Statements of Changes in Net Assets](index=8&type=section&id=Consolidated%20Statements%20of%20Changes%20in%20Net%20Assets) Net assets increased by **$19.9 million** to **$324.1 million** for the six months ended August 31, 2021, driven by operations and offset by distributions - Net assets grew from **$304.2 million** at the beginning of the period to **$324.1 million** at the end, an increase of **$19.9 million**[18](index=18&type=chunk) - Key changes included a **$29.0 million** net increase from operations, offset by **$9.7 million** in shareholder distributions[18](index=18&type=chunk) [Consolidated Statements of Cash Flows](index=9&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Net cash used in operations **$72.2 million**, offset by **$115.6 million** from financing, led to a **$43.4 million** net cash increase for the six months ended August 31, 2021 Cash Flow Summary for the Six Months Ended August 31, 2021 (in millions) | Activity | Amount | | :--- | :--- | | Net Cash Used in Operating Activities | ($72.2) | | Net Cash Provided by Financing Activities | $115.6 | | **Net Increase in Cash** | **$43.4** | | Cash at Beginning of Period | $29.9 | | **Cash at End of Period** | **$73.3** | [Consolidated Schedules of Investments](index=11&type=section&id=Consolidated%20Schedules%20of%20Investments) Investment portfolio grew to **$666.1 million** across 43 companies as of August 31, 2021, diversified by industry and investment type Portfolio Composition by Investment Type (Fair Value, in millions) | Investment Type | August 31, 2021 | February 28, 2021 | | :--- | :--- | :--- | | Non-control/Non-affiliate | $531.4 | $476.1 | | Affiliate | $56.4 | $13.2 | | Control | $78.2 | $65.0 | | **Total Investments** | **$666.1** | **$554.3** | Portfolio Composition by Asset Class (Fair Value, in millions) | Asset Class | August 31, 2021 | February 28, 2021 | | :--- | :--- | :--- | | First lien term loans | $493.6 | $440.5 | | Second lien term loans | $44.9 | $24.9 | | Unsecured term loans | $2.7 | $2.1 | | Structured finance securities | $44.4 | $49.8 | | Equity interests | $80.5 | $37.0 | | **Total** | **$666.1** | **$554.3** | [Notes to Consolidated Financial Statements](index=27&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Details accounting policies, BDC/RIC status, investment valuation (ASC 820), Saratoga CLO, income taxes, related party transactions, borrowings, and shareholder equity - The company is a non-diversified closed-end management investment company regulated as a Business Development Company (BDC) and has elected to be treated as a Regulated Investment Company (RIC) for tax purposes[55](index=55&type=chunk) - All investments are accounted for at fair value in accordance with ASC 820. Investments without readily available market quotes are valued in good faith by the board of directors, utilizing a multi-step process involving the Manager, an audit committee, and an independent valuation firm[69](index=69&type=chunk)[70](index=70&type=chunk)[71](index=71&type=chunk) - As of August 31, 2021, all investments were classified as Level 3 in the fair value hierarchy, indicating that their valuations are based on unobservable inputs[106](index=106&type=chunk) - The company manages a collateralized loan obligation fund, Saratoga CLO, for which it receives management fees. The CLO was refinanced and upsized to approximately **$650 million** in February 2021[125](index=125&type=chunk)[127](index=127&type=chunk) - The company utilizes two licensed Small Business Investment Company (SBIC) subsidiaries, which allows it to borrow up to a combined maximum of **$350 million** in SBA-guaranteed debentures. As of August 31, 2021, **$172.0 million** was outstanding[215](index=215&type=chunk)[216](index=216&type=chunk)[224](index=224&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=83&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial performance for the three and six months ended August 31, 2021, covering business overview, investment portfolio, operating results, liquidity, and financing activities [Portfolio and Investment Activity](index=109&type=section&id=Portfolio%20and%20Investment%20Activity) Investment portfolio grew to **$666.1 million** across 43 companies, with **$85.4 million** net investments, **74.1%** in first lien term loans, and **77.0%** rated 'Green' - During the six months ended August 31, 2021, net investment activity was **$85.4 million**, resulting from **$235.2 million** in new/existing investments and **$149.8 million** in exits and repayments[368](index=368&type=chunk) Portfolio CMR Distribution (Fair Value) | Color Score | August 31, 2021 (%) | February 28, 2021 (%) | | :--- | :--- | :--- | | Green | 77.0% | 81.8% | | Yellow | 5.6% | 5.9% | | Red | 0.0% | 0.0% | | N/A (CLO/Equity) | 17.4% | 12.3% | - As of August 31, 2021, there were no investments on non-accrual status, an improvement from **$2.1 million** on non-accrual status at February 28, 2021[365](index=365&type=chunk)[377](index=377&type=chunk) [Results of Operations](index=114&type=section&id=Results%20of%20Operations) Total investment income rose **33.1%** to **$18.4 million**, operating expenses increased, resulting in **$6.4 million** net investment income and a **$7.9 million** net asset increase for the three months ended August 31, 2021 Operating Results for the Three Months Ended August 31 (in millions) | Metric | 2021 | 2020 | | :--- | :--- | :--- | | Total Investment Income | $18.4 | $13.9 | | Total Operating Expenses | $12.0 | $8.5 | | Net Investment Income | $6.4 | $5.3 | | Net Realized & Unrealized Gain | $3.1 | $16.5 | | Net Increase in Net Assets | $7.9 | $21.8 | - The increase in investment income was primarily due to a **31.1%** year-over-year increase in total investments, partially offset by a reduction in LIBOR and a higher allocation to non-interest-bearing equity[388](index=388&type=chunk) - The rise in operating expenses was driven by a **$1.9 million** increase in interest and debt financing expenses due to higher average debt outstanding, and a **$0.8 million** increase in base management fees from a larger asset base[396](index=396&type=chunk)[400](index=400&type=chunk) [Financial Condition, Liquidity and Capital Resources](index=117&type=section&id=Financial%20Condition%2C%20Liquidity%20and%20Capital%20Resources) Total long-term debt **$410.1 million**, asset coverage ratio **236.1%**, with liquidity from operations, borrowings, and equity, and **$58.7 million** in unfunded commitments as of August 31, 2021 - The company's asset coverage ratio was **236.1%** as of August 31, 2021, exceeding the **150%** regulatory minimum[427](index=427&type=chunk)[450](index=450&type=chunk) Long-Term Debt Obligations as of August 31, 2021 (in millions) | Debt Instrument | Amount Outstanding | | :--- | :--- | | SBA debentures | $172.0 | | 7.25% 2025 Notes | $43.1 | | 7.75% 2025 Notes | $5.0 | | 4.375% 2026 Notes | $175.0 | | 6.25% 2027 Notes | $15.0 | | **Total** | **$410.1** | - The company had **$58.7 million** in unfunded commitments to portfolio companies as of August 31, 2021[515](index=515&type=chunk) - Subsequent to the quarter-end, on October 4, 2021, the company entered into a new **$50.0 million** senior secured revolving credit facility with Encina Lender Finance, LLC and terminated its existing facility with Madison Capital[519](index=519&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=117&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) Primary market risk is interest rate fluctuation, impacting floating-rate investment income; a 100 basis point rate increase would raise annual interest income by **$0.4 million**, with ongoing LIBOR transition monitoring - The company's principal market risk is interest rate volatility, as a large portion of its investment portfolio consists of floating-rate loans indexed to LIBOR[521](index=521&type=chunk)[522](index=522&type=chunk)[523](index=523&type=chunk) Interest Rate Sensitivity Analysis (Annualized, as of Aug 31, 2021) | Basis Point Change | Change in Interest Income (in thousands) | Change in Net Investment Income per Share | | :--- | :--- | :--- | | +300 | $8,775 | $0.79 | | +200 | $3,728 | $0.33 | | +100 | $409 | $0.04 | | -100 | ($11) | ($0.00) | - The company is actively monitoring the planned discontinuation of LIBOR after 2021 and is working with portfolio companies and lenders to manage the transition to alternative reference rates like SOFR[537](index=537&type=chunk)[538](index=538&type=chunk)[539](index=539&type=chunk) [Item 4. Controls and Procedures](index=118&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded disclosure controls and procedures were effective as of August 31, 2021, with no material changes to internal control over financial reporting - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of the end of the period covered by the report[530](index=530&type=chunk) - No material changes in internal control over financial reporting occurred during the quarter ended August 31, 2021[530](index=530&type=chunk) [PART II. OTHER INFORMATION](index=119&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Item 1. Legal Proceedings](index=119&type=section&id=Item%201.%20Legal%20Proceedings) Neither Saratoga Investment Corp. nor its subsidiaries are currently subject to any material legal proceedings - As of the reporting date, neither Saratoga Investment Corp. nor its subsidiaries were involved in any material legal proceedings[532](index=532&type=chunk) [Item 1A. Risk Factors](index=119&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors, except for expanded discussion on LIBOR discontinuation risks and the potential impact of transitioning to alternative reference rates like SOFR - The company highlights the risk associated with the planned cessation of LIBOR after 2021, which is used as a reference rate for a significant portion of its floating-rate debt investments and credit facilities[534](index=534&type=chunk)[537](index=537&type=chunk) - The transition to an alternative rate like the Secured Overnight Financing Rate (SOFR) could impact the value of LIBOR-linked securities and may require renegotiating credit agreements, potentially affecting financial results[538](index=538&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=120&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This item is not applicable for the reporting period - Not applicable[540](index=540&type=chunk) [Item 3. Defaults Upon Senior Securities](index=120&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) This item is not applicable for the reporting period - Not applicable[541](index=541&type=chunk) [Item 4. Mine Safety Disclosures](index=120&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable for the reporting period - Not applicable[542](index=542&type=chunk) [Item 5. Other Information](index=120&type=section&id=Item%205.%20Other%20Information) No other information was reported under this item for the period [Item 6. Exhibits](index=121&type=section&id=Item%206.%20Exhibits) Lists all exhibits filed, including articles of incorporation, bylaws, indentures, key agreements, and CEO/CFO certifications - Key exhibits filed with this report include the Investment Advisory and Management Agreement (10.1), Administration Agreement (10.3), various credit and indenture agreements, and CEO/CFO certifications (31.1, 31.2, 32.1, 32.2)[545](index=545&type=chunk)[548](index=548&type=chunk)[549](index=549&type=chunk)

Saratoga Investment Corp (NYSE:SAR) Q1 2022 Earnings Conference Call July 8, 2021 10:00 AM ET Company Participants Chris Oberbeck - Chairman of the Board, Chief Executive Officer and President Henri Steenkamp - Chief Financial Officer, Chief Compliance Officer, Treasurer and Secretary Mike Grisius - Chief Investment Officer Conference Call Participants Bryce Rowe - Hovde Group Casey Alexander - Compass Point Sarkis Sherbetchyan - B. Riley Securities Matt Julian - Raymond James Operator Good morning, ladies ...

Financial Performance - Saratoga Investment Corp's investment quality remains strong, with 92.9% of loan investments holding the highest internal rating[2] - The company's Return on Equity (ROE) for the last twelve months (LTM) was 19.4%, surpassing the BDC industry average of 17.6%[2] - Saratoga Investment Corp experienced unrealized appreciation of $16.8 million in Q1, fully recovering from the value reduction in Q1 of the previous year[2] - The Adjusted Net Investment Income (NII) reached $6.3 million, an increase of 8.2%, with Adjusted NII per share rising by 4 cents to 56 cents[2] - The Net Asset Value (NAV) per share increased by $1.45, or 5.3%, to $28.70, reaching its highest level yet[2] Asset Growth and Portfolio - Assets Under Management (AUM) increased by 22% since the last quarter and 40% since the previous year, driven by originations of $119.2 million in Q1[2] - The fair value of the investment portfolio is $677.8 million, exceeding the total cost of the portfolio by 3.2%[2] - The company has $157 million in total available liquidity at quarter-end, enabling AUM growth by 23% without new external financing[17] - The portfolio yield is 8.6%, representing the weighted average current yield of the existing portfolio[18] Dividend and Returns - The company increased its dividend by $0.01 to $0.44 per share for the quarter ended May 31, 2021[2] - Saratoga Investment Corp's LTM total return was 68%, outperforming the BDC Index at 54%[80]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended May 31, 2021 ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Commission File No. 814-00732 SARATOGA INVESTMENT CORP. (Exact name of registrant as specified in its charter) Maryland 20-8700615 (State or other jurisdiction of incorporation or organization) (I.R.S. Emp ...

Saratoga Investment Corp (NYSE:SAR) Q4 2021 Earnings Conference Call May 6, 2021 1:00 PM ET Company Participants Henri Steenkamp - Chief Financial & Compliance Officer Christian Oberbeck - Chairman & Chief Executive Officer Michael Grisius - Chief Investment Officer Conference Call Participants Bryce Rowe - Hovde Group Mickey Schleien - Ladenburg Sarkis Sherbetchyan - B. Riley Securities Operator Good afternoon, ladies and gentlemen. Thank you for standing by. Welcome to Saratoga Investment Corporation’s Fi ...

Saratoga Investment Corp. Fiscal Fourth Quarter and Fiscal Year 2021 Shareholder Presentation May 6, 2021 Continued Growth and Outperformance in FY21 & Q4 Fiscal Year-End and Fourth Quarter 2021 Highlights: • Continued high quality portfolio and strong performance ▫ Investment quality remains strong 93.3% of loan investments with highest internal rating ▫ Return on equity of 5.0% for LTM and 12.3% for Q4, beating BDC industry mean of 0.4% Unrealized appreciation of $5.6 million in Q4, over 95% of Q1 reducti ...