Rand Capital(US:RAND)2025-11-07 13:35Investment Income - Total investment income for Q3 2025 was $1.6 million, a decrease of $639,000, or 29%, compared to the same period last year[4] - Total investment income for the three months ended September 30, 2025, was $1,579,623, a decrease from $2,218,454 for the same period in 2024, representing a decline of 29%[22] - Net investment income increased to $993,000, or $0.33 per share, compared to $887,000, or $0.34 per share in Q3 2024[11] - Net investment income before income taxes for the nine months ended September 30, 2025, was $4,666,715, compared to $1,208,254 for the same period in 2024, showing an increase of 287%[22] - The company reported a net investment income of $992,579 for the three months ended September 30, 2025, compared to $887,035 for the same period in 2024, an increase of 12%[25] - For the three months ended September 30, 2025, the net investment income per share was $0.33, a decrease from $0.34 for the same period in 2024[31] - For the nine months ended September 30, 2025, the net investment income per share was $1.60, significantly higher than $0.47 for the same period in 2024[31] - Adjusted net investment income per share for the three months ended September 30, 2025, was $0.33, compared to $0.46 for the same period in 2024[31] - Adjusted net investment income per share for the nine months ended September 30, 2025, was $1.06, down from $1.27 for the same period in 2024[31] Investment Portfolio - The investment portfolio had a fair value of $44.3 million across 19 portfolio companies, a decrease of $26.5 million, or 37%, from December 31, 2024[7] - The annualized weighted average yield on debt investments, including PIK interest, was 12.2%, down from 13.8% at year-end 2024[7] - Net realized loss on sales and dispositions of investments for the three months ended September 30, 2025, was $(2,927,329), compared to a gain of $7,230,082 for the same period in 2024[25] - The net change in unrealized appreciation/depreciation on investments for the nine months ended September 30, 2025, was $(11,812,832), compared to $(544,037) for the same period in 2024[25] Liquidity and Expenses - Rand ended the quarter with nearly $28 million in total liquidity and no debt outstanding[4] - The company received $8.3 million in loan repayments and funded $2.9 million in new and follow-on investments during the third quarter[4] - Adjusted expenses were $596,000, a decrease from $1.0 million in Q3 2024[11] - Total expenses for the nine months ended September 30, 2025, were $523,109, significantly lower than $5,213,568 for the same period in 2024, indicating a reduction of 90%[28] - Adjusted total expenses for the nine months ended September 30, 2025, were $2,088,109, down from $3,147,268 for the same period in 2024, a decrease of 34%[28] Dividends - A quarterly dividend of $0.29 per share was paid during the third quarter[13] - The company declared dividends totaling $861,246 for the three months ended September 30, 2025, compared to $748,496 for the same period in 2024, reflecting an increase of 15%[25] Shareholder Information - The weighted average shares outstanding increased to 2,969,814 for the three months ended September 30, 2025, compared to 2,581,021 for the same period in 2024[30] - The increase in shares outstanding was partly due to the fourth quarter 2024 dividend being paid in shares of common stock[30] - The company reported expenses (credits) for capital gains incentive fees of $0.12 per share for the three months ended September 30, 2024, and $(0.54) per share for the nine months ended September 30, 2025[31] Financial Performance Insights - The company emphasizes that Adjusted Net Investment Income should not be considered in isolation from GAAP financial results[29] - The presentation of Adjusted Net Investment Income per Share is intended to provide useful information regarding financial performance and trends[29] - The company believes that the Adjusted Net Investment Income per Share is a useful measure for investors to assess financial and business trends[29]