Capital Raising and Financial Position - Great Elm Capital Corp. raised nearly $150 million in capital during 2024, including $50 million of equity at net asset value[3] - Net assets increased to $136.1 million, or $11.79 per share, as of December 31, 2024, compared to $125.8 million, or $12.04 per share, at the end of Q3 2024[4] - Cash and money market fund investments totaled approximately $8.4 million, with an undrawn revolving line of credit availability of $25.0 million[9] Investment Income and Expenses - Net investment income (NII) for Q4 2024 was $2.1 million, or $0.20 per share, down from $4.1 million, or $0.39 per share in Q3 2024[4] - Total investment income for Q4 2024 was $9.1 million, or $0.85 per share, while net expenses were approximately $7.0 million, or $0.66 per share[8] - Total investment income for 2024 was $39,323,000, an increase of 9.2% from $35,825,000 in 2023[21] - Net investment income for 2024 was $12,453,000, slightly down from $12,542,000 in 2023[21] - Total expenses increased to $26,522,000 in 2024, up 15.0% from $22,996,000 in 2023[21] Investment Performance - Net realized gain on investment transactions was $1,871,000 in 2024, compared to a loss of $4,707,000 in 2023[21] - Net change in unrealized depreciation on investments was $(10,771,000) in 2024, contrasting with an appreciation of $17,498,000 in 2023[21] - Interest income from non-affiliated, non-controlled investments rose to $24,619,000 in 2024, up from $23,582,000 in 2023[21] - Total dividend income increased to $6,925,000 in 2024, compared to $3,478,000 in 2023[21] Shareholder Returns - A special cash distribution of $0.05 per common share was declared in December 2024, reflecting strong performance throughout the year[4] - The quarterly dividend was increased by 5.7% to $0.37 per share for Q1 2025, representing a 13.7% annualized yield based on the closing market price of $10.78 on March 7, 2025[4] Share Statistics - Earnings per share (basic and diluted) for 2024 was $0.36, a significant decrease from $3.33 in 2023[21] - Weighted average shares outstanding increased to 9,844,014 in 2024 from 7,601,958 in 2023[21] Asset Coverage and Cash Flow - The asset coverage ratio improved to 169.7% as of December 31, 2024, from 166.2% at the end of Q3 2024[4] - Cash distributions from the CLO JV decreased to $0.5 million in Q4 2024 from $3.2 million in Q3 2024[4]

Core Viewpoint - Great Elm Capital Corp. reported strong financial results for 2024, raising nearly $150 million in capital and enhancing its cash-generating capabilities through a CLO joint venture, while also increasing its dividend by 5.7% for the first quarter of 2025 [3][4]. Financial Highlights - For Q4 2024, the company reported earnings per share (EPS) of $0.17 and net investment income (NII) per share of $0.20, down from $0.39 in Q3 2024 [4][7]. - Total investment income for Q4 2024 was $9.1 million, with net expenses of approximately $7.0 million, resulting in net realized and unrealized losses of about $0.3 million [7]. - The net asset value (NAV) per share decreased to $11.79 as of December 31, 2024, from $12.99 at the end of Q4 2023 [4][20]. Portfolio and Investment Activity - As of December 31, 2024, GECC held total investments valued at $324.3 million, with a weighted average current yield on the debt portfolio of 12.4% [5][6]. - The company deployed approximately $47.2 million into 18 investments during Q4 2024, achieving a weighted average current yield of 12.9% [6]. - GECC monetized 48 investments for approximately $57.5 million during the same quarter, with a weighted average current yield of 9.9% [6]. Liquidity and Capital Resources - As of December 31, 2024, GECC had cash and money market fund investments totaling approximately $8.4 million, with an undrawn revolving line of credit of $25.0 million [8]. - Total debt outstanding was $195.4 million, with various senior notes maturing between 2026 and 2029 [9]. Distributions - The Board of Directors approved a quarterly cash distribution of $0.37 per share for Q1 2025, reflecting a 13.7% annualized yield based on the closing market price of $10.78 on March 7, 2025 [10].

Group 1 - Great Elm Capital Corp. (GECC) will release its financial results for Q4 and the full year ended December 31, 2024 on March 10, 2025, after market close [1] - A conference call to discuss these results is scheduled for March 11, 2025, at 8:30 a.m. ET [2] - Participants can access the call by dialing in five minutes before the start time and providing the passcode "GECC" [3] Group 2 - The call and presentation will be available via webcast on GECC's website [4] - GECC is an externally managed business development company focused on generating current income and capital appreciation through investments in debt and income-generating equity securities [5]

Core Points - Great Elm Capital Corp. (GECC) will release its financial results for Q4 and the full year ended December 31, 2024, after market close on March 10, 2025 [1] - A conference call to discuss these results is scheduled for March 11, 2025, at 8:30 a.m. ET [2] - The call will be accessible via dial-in numbers for both the United States and international participants, with a passcode required for access [2] - An accompanying slide presentation will be available on GECC's website after the earnings release [2][3] - GECC is an externally managed business development company focused on generating current income and capital appreciation through investments in debt and income-generating equity securities [4]

Distribution Announcements - Great Elm Capital Corp. declared a special cash distribution of $0.05 per common share, payable on January 15, 2025, to stockholders of record as of December 31, 2024 [1] - The Board of Directors approved a quarterly cash distribution of $0.37 per share for the first quarter of 2025, equating to a 14.5% annualized yield based on the closing market price of $10.24 on December 16, 2024, payable on March 31, 2025, to stockholders of record as of March 17, 2025 [2] Financial Performance - The base quarterly distribution increased by 5.7% from $0.35 per share to $0.37 per share, reflecting the company's strong income generation throughout the year [3] Company Overview - Great Elm Capital Corp. is an externally managed business development company focused on generating current income and capital appreciation through investments in debt and income-generating equity securities, including specialty finance businesses and CLOs [4]

Core Points - Great Elm Capital Corp. (GECC) has declared a special cash distribution of $0.05 per common share, payable on January 15, 2025, to stockholders of record as of December 31, 2024 [1] - The Board of Directors has approved a quarterly cash distribution of $0.37 per share for the first quarter of 2025, representing a 14.5% annualized yield based on the closing market price of $10.24 on December 16, 2024 [2] - The base quarterly distribution has increased by 5.7% from $0.35 to $0.37 per share, reflecting the company's strong income generation throughout the year [3] Company Overview - Great Elm Capital Corp. is an externally managed business development company focused on generating current income and capital appreciation through investments in debt and income-generating equity securities, including specialty finance businesses and CLOs [4]

Group 1 - Business Development Companies (BDCs) have experienced strong performance over the past 2.5 years due to favorable conditions from higher interest rates [1] - Recent interest rate cuts of 75 basis points and an additional 25 basis points may impact the future performance of BDCs [1] Group 2 - iREIT® offers comprehensive research on various investment vehicles including REITs, mREITs, Preferreds, BDCs, MLPs, ETFs, Builders, and Asset Managers [2] - The iREIT® Tracker provides data on over 250 tickers, including quality scores, buy targets, and trim targets [2] - A new Ratings Tracker called iREIT Buy Zone has been introduced to assist members in screening for value [2]

PALM BEACH GARDENS, Fla., Dec. 12, 2024 (GLOBE NEWSWIRE) -- Great Elm Capital Corp. (the “Company” or “GECC”), (NASDAQ: GECC), a business development company, announced it issued approximately 1.1 million shares of the Company’s common stock at a current net asset value of $12.06 per share, for an aggregate gross purchase price of $13.2 million, to Summit Grove Partners, LLC (“SGP”). Great Elm Group, Inc. (“GEG”) made a $3.3 million investment in SGP, further aligning the Company’s investment manager with s ...

Financial Data and Key Metrics Changes - Great Elm Capital Corporation reported a net investment income (NII) of $4.1 million or $0.39 per share for Q3 2024, an increase from $3.1 million or $0.32 per share in Q2 2024, exceeding the quarterly distribution of $0.35 [10][20] - The net asset value (NAV) per share was $12.04 as of September 30, 2024, slightly down from $12.06 as of June 30, 2024 [10][20] - The asset coverage ratio was 166.2% as of September 30, 2024, compared to 171% as of June 30, 2024 [21] Business Line Data and Key Metrics Changes - The CLO joint venture strategy has seen early success, with approximately $33 million deployed through September 30, 2024, generating about $3 million in distributions [14][15] - The portfolio composition has shifted, with first lien loans and CLO positions now making up 60% of the portfolio, up from 44% last year [23] Market Data and Key Metrics Changes - Nonaccruals declined to $1.3 million, or less than 1% of portfolio fair value, down from $9.4 million, or approximately 3% of portfolio fair value, as of June 30, 2024 [11] Company Strategy and Development Direction - The company aims to enhance portfolio quality by increasing secured debt positions and focusing on CLO investments, which are expected to provide high returns over time [17][23] - The company is taking a measured approach to capital deployment amid macroeconomic uncertainties [24] Management's Comments on Operating Environment and Future Outlook - Management expects NII to decrease in Q4 2024 due to the uneven nature of CLO distributions at the start of their life, but anticipates normalization over time as the asset base expands [12] - The company remains optimistic about the future, believing it is well-positioned to maintain dividend coverage and deliver attractive risk-adjusted returns [25] Other Important Information - The company successfully issued $36 million of 8.125% GECCH notes due 2029, extending its debt maturity profile into 2026 and beyond [18] - A cash distribution of $0.35 per share for Q4 2024 has been authorized, equating to an 11.6% annualized dividend yield on the September 30 NAV [22] Q&A Session Summary - There were no questions during the Q&A session, and the call concluded with management expressing satisfaction with the quarter's performance and a commitment to continued investor dialogue [32][34]

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