Stellus Capital (SCM) Misses Q4 Earnings and Revenue Estimates

Core Insights - Stellus Capital (SCM) reported quarterly earnings of $0.37 per share, missing the Zacks Consensus Estimate of $0.38 per share, and down from $0.50 per share a year ago, representing an earnings surprise of -2.63% [1] - The company posted revenues of $25.62 million for the quarter ended December 2024, missing the Zacks Consensus Estimate by 0.14% and down from $28.02 million year-over-year [2] - Stellus Capital shares have increased by approximately 12.7% since the beginning of the year, contrasting with a -0.5% decline in the S&P 500 [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.36 on revenues of $25.67 million, and for the current fiscal year, it is $1.45 on revenues of $102.14 million [7] - The estimate revisions trend for Stellus Capital is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Financial - SBIC & Commercial Industry, to which Stellus Capital belongs, is currently in the top 33% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8] - WhiteHorse Finance (WHF), another company in the same industry, is expected to report quarterly earnings of $0.40 per share, reflecting a year-over-year decline of 13% [9]