Financial Performance - Total investment income for Q1 2025 was $12.1 million, down from $16.5 million in Q1 2024, primarily due to a reversal of previously accrued income[3] - Net investment income (NII) for Q1 2025 was $4.3 million ($0.47 per share), compared to $6.2 million ($0.67 per share) in Q1 2024[8] - Total investment income for Q1 2025 was $12.118 million, a decrease of 26.5% from $16.526 million in Q1 2024[35] - Net investment income for Q1 2025 was $4.340 million, down 30.4% from $6.226 million in Q1 2024[35] - Total expenses decreased to $7.778 million in Q1 2025, a reduction of 24.6% compared to $10.300 million in Q1 2024[35] - Net realized and unrealized losses on investments for Q1 2025 amounted to $(4.422) million, compared to $(1.527) million in Q1 2024[35] - The net increase (decrease) in net assets resulting from operations was $(0.082) million in Q1 2025, contrasting with an increase of $4.486 million in Q1 2024[35] - Basic and diluted net investment income per common share for Q1 2025 was $0.47, down from $0.67 in Q1 2024[35] - Management fees for Q1 2025 were $1.466 million, a decrease of 15.2% from $1.729 million in Q1 2024[35] - Performance-based incentive fees dropped to $0.920 million in Q1 2025, down 25.4% from $1.234 million in Q1 2024[35] - Total payment-in-kind income increased to $3.061 million in Q1 2025, up 52.5% from $2.006 million in Q1 2024[35] Asset and Investment Portfolio - Net asset value (NAV) as of March 31, 2025, was $173.5 million ($18.85 per share), a decrease from $178.5 million ($19.41 per share) as of December 31, 2024[3] - The investment portfolio at fair value as of March 31, 2025, was $406.4 million, comprised of 93 different portfolio companies[8] - Total investments at fair value were reported at $406,423,000, slightly up from $405,021,000 in the previous quarter[33] - Debt investments on non-accrual as of March 31, 2025, were six, representing 2.6% of the investment portfolio at fair value[8] Financial Position and Liabilities - As of March 31, 2025, total assets amounted to $438,780,000, a decrease from $453,634,000 as of December 31, 2024[33] - Total liabilities as of March 31, 2025, were $265,269,000, down from $275,141,000 at the end of 2024[33] - The company has a total distributable loss of $(540,979,000) as of March 31, 2025, compared to $(535,930,000) at the end of the previous quarter[33] - The company had $255.4 million in outstanding borrowings with a current weighted average interest rate of 5.9%[12] Interest Rate Sensitivity - The company expects that a 1% increase in interest rates would result in an increase of $1,619,000 in net investment income[17] - Conversely, a 1% decrease in interest rates would lead to a decrease of $1,613,000 in net investment income[17] Corporate Actions and Management - The company encourages shareholders to vote for the proposed merger with Logan Ridge Finance Corporation, which is expected to enhance long-term shareholder value[7] - Portman Ridge Finance Corporation is pursuing a merger with Logan Ridge Finance Corporation, pending stockholder approval[27] - The company continues to focus on disciplined credit selection and prudent risk management amid macroeconomic uncertainties[6] - The company’s investment activities are managed by Sierra Crest Investment Management LLC, an affiliate of BC Partners Advisors L.P.[21] Upcoming Events - The company plans to hold a conference call on May 9, 2025, to discuss Q1 2025 financial results[18]

Portman Ridge Finance (PTMN) Q1 2025 Earnings Call May 09, 2025 10:00 AM ET Speaker0 Welcome to Apartment Ridge Finance Corporation's First Quarter Ended 03/31/2025 Earnings Conference Call. An earnings press release was distributed yesterday, 05/08/2025, after the close of the market. A copy of the release, along with an earnings presentation, is available on the company's website at www.courtmanridge.com in the Investor Relations section and should be reviewed in conjunction with the company's Form 10 Q f ...

Q1 2025 Earnings Presentation May 9, 2025 Important Information Cautionary Statement Regarding Forward-Looking Statements This presentation contains forward-looking statements. The matters discussed in this presentation, as well as in future oral and written statements by management of Portman Ridge Finance Corporation ("PTMN", "Portman Ridge" or the "Company"), that are forward-looking statements are based on current management expectations that involve substantial risks and uncertainties which could cause ...

Portman Ridge (PTMN) came out with quarterly earnings of $0.47 per share, missing the Zacks Consensus Estimate of $0.60 per share. This compares to earnings of $0.67 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -21.67%. A quarter ago, it was expected that this business development company would post earnings of $0.64 per share when it actually produced earnings of $0.60, delivering a surprise of -6.25%.Over the last four qu ...

Reports Net Investment Income of $0.47 Per Share and Net Asset Value of $18.85 Per Share Deployment of Approximately $17.5 Million and Sales and Repayments of Approximately $15.7 Million for Net Deployment of Approximately $1.8 Million Announces Second Quarter 2025 Quarterly Base Distribution of $0.47 Per Share Investors are Encouraged to Vote FOR the Acquisition of Logan Ridge Finance Corporation NEW YORK, May 08, 2025 (GLOBE NEWSWIRE) -- Portman Ridge Finance Corporation (Nasdaq: PTMN) (the “Company” or ...

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 March 31, 2025 TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File No. 814-00735 Portman Ridge Finance Corporation (Exact name of Registrant as specified in its charter) (State or other jurisdiction of Incorporation or organ ...

Group 1 - Portman Ridge Finance Corporation will release its financial results for Q1 2025 on May 8, 2025, after market close [1] - A conference call to discuss the results is scheduled for May 9, 2025, at 10:00 a.m. ET [1] - The call can be accessed by phone or via a live audio webcast [2][3] Group 2 - Portman Ridge is a publicly traded investment company regulated as a business development company under the Investment Company Act of 1940 [4] - The company focuses on middle market investments, including term loans, mezzanine investments, and selected equity securities [4] - Investment activities are managed by Sierra Crest Investment Management LLC, an affiliate of BC Partners Advisors, LP [4]

Financial Performance - Total investment income for the full year 2024 was $62.4 million, a decrease from $76.3 million in 2023[12]. - Net investment income ("NII") for the full year 2024 was $24.0 million ($2.59 per share), down from $34.8 million ($3.66 per share) in 2023[14]. - Core investment income for the full year 2024 was $62.2 million, down $12.3 million from $74.5 million in 2023[12]. - Total investment income for the year ended December 31, 2024, was $62.432 million, a decrease of 18.2% from $76.315 million in 2023[38]. - Net investment income decreased to $24.044 million in 2024, down 30.9% from $34.773 million in 2023[38]. - Interest income from non-controlled/non-affiliated investments was $45.036 million in 2024, down from $55.675 million in 2023, representing a decline of 19.1%[38]. - Total payment-in-kind income increased to $8.186 million in 2024, up 15.8% from $7.068 million in 2023[38]. Asset Valuation - Net asset value ("NAV") as of December 31, 2024, was $178.5 million ($19.41 per share), a decrease from $213.5 million ($22.76 per share) as of December 31, 2023[14]. - The net asset value per common share decreased to $19.41 as of December 31, 2024, down from $22.76 in the previous year[36]. - Total net assets were reported at $178.5 million as of December 31, 2024, compared to $213.5 million as of December 31, 2023[36]. - As of December 31, 2024, the fair value of total investments was $405.0 million, a decrease from $467.9 million as of December 31, 2023, representing a decline of approximately 13.3%[19]. Shareholder Returns - The company announced a regular quarterly base distribution of $0.47 per share and a supplemental distribution of $0.07 per share for Q1 2025[9]. - Total stockholder distributions for 2024 amounted to $2.76 per share[7]. - The company repurchased a total of 202,357 shares for approximately $3.8 million in 2024, which was accretive to NAV by $0.07 per share[7]. Investment Portfolio - The investment portfolio composition included 71.6% in First Lien Debt, 7.2% in Second Lien Debt, and 13.4% in Joint Ventures as of December 31, 2024[17]. - Approximately 90.1% of the Debt Securities Portfolio was floating rate, with 89.8% of these loans containing interest rate floors between 0.50% and 5.25%[20]. - The weighted average contractual interest rate on the interest-earning Debt Securities Portfolio as of December 31, 2024, was approximately 11.3%[14]. Borrowings and Liquidity - The Company had $267.5 million in borrowings outstanding at a weighted average interest rate of 6.2%, with $108.0 million at a fixed rate and $159.5 million at a floating rate[18]. - The Company had $40.5 million of available borrowing capacity under the JPM Credit Facility as of December 31, 2024[19]. - Unrestricted cash increased to $17.5 million from $13.7 million as of September 30, 2024, while restricted cash decreased to $22.4 million from $13.0 million[19]. Operational Efficiency - Non-accrual investments decreased from nine to six from September 30, 2024, to December 31, 2024[8]. - The proposed merger with Logan Ridge Finance Corporation aims to enhance shareholder value through greater scale and improved operational efficiencies[6]. Expenses and Losses - Total expenses for 2024 were $38.388 million, a reduction of 18.0% compared to $46.851 million in 2023[38]. - Net realized losses from investment transactions amounted to $31.183 million in 2024, compared to losses of $26.766 million in 2023[38]. - The net change in unrealized appreciation on investments was a loss of $29.324 million in 2024, compared to a loss of $23.030 million in 2023[38]. - Basic and diluted net increase (decrease) in net assets resulting from operations was $(5.935) million in 2024, contrasting with an increase of $11.381 million in 2023[38]. Conference Call - The Company will hold a conference call on March 14, 2024, to discuss the fourth quarter and full year 2024 financial results[24].

Financial Data and Key Metrics Changes - For Q4 2024, Portman generated $14.4 million of investment income, a decrease of $0.8 million compared to $15.2 million in Q3 2024, primarily due to lower investment income from net repayments and sales of $19.2 million and decreases in base rates [19][20] - Total expenses for Q4 2024 were $8.9 million, a decrease of $0.5 million from $9.4 million in Q3 2024, mainly due to lower average debt outstanding and a reduction in spread on the JPMorgan credit facility [20] - Net investment income for Q4 2024 was $5.5 million or $0.60 per share, a decrease of $0.3 million or $0.03 per share from the prior quarter [20] - Net asset value (NAV) as of December 31, 2024, was $178.5 million, a decrease of $9.5 million from $180 million in the prior quarter, with a per share NAV decrease of $0.95 [20][21] Business Line Data and Key Metrics Changes - The investment portfolio at year-end remained highly diversified, with a debt investment portfolio (excluding CLO funds, equities, and joint ventures) spread across 26 different industries [15] - Nonaccrual investments decreased from 9 as of September 30, 2024, to 6 as of December 31, 2024, improving overall asset quality [9][16] Market Data and Key Metrics Changes - Approximately 90.1% of the debt securities portfolio was floating rate as of December 31, 2024, linked to interest rate indices such as SOFR [12] - Originations for the quarter were higher than the previous quarter but below repayment and sales levels, resulting in net repayments and sales of approximately $19.2 million [13] Company Strategy and Development Direction - The proposed merger with Logan Ridge is seen as a significant milestone in the long-term growth strategy, aimed at creating a stronger, more competitive combined company with increased scale and operational efficiencies [6][7] - The company is focused on disciplined capital management and prudent portfolio management initiatives to drive shareholder value [7][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the credit quality of the portfolio and the ability to drive the best outcomes for shareholders despite idiosyncratic challenges [5] - The company anticipates being active in the market and net deployers of capital in 2025, aiming to restore net investment income to more normalized levels [10][11] Other Important Information - The Board of Directors approved a modification of the dividend policy to introduce quarterly base distributions and supplemental distributions, with a base distribution of $0.47 per share and a supplemental cash distribution of $0.07 per share for Q1 2025 [9][10] - The company repurchased 202,357 shares of common stock for approximately $3.8 million, which was accretive to NAV by $0.07 per share [10] Q&A Session Summary Question: What was the generator of the realized loss in the quarter? - The realized loss was primarily from former nonaccrual investments in Robertshaw and Palmer, as well as CLOs, with significant contributions from STG Logistics [28] Question: How much of the repurchases contributed to NAV in the quarter? - The repurchases were accretive, contributing about 40 basis points to net per share quarter-over-quarter [30] Question: What levers are being considered to improve returns given lower base rates and spread compression? - Cost savings from the merger, reduced administrative costs, and waived incentive fees were highlighted as key strategies [32][34] Question: Can you provide details on the current mix of new versus add-on investments? - The pipeline has seen fluctuations, with a preference for incremental opportunities in existing portfolio companies due to better understanding and pricing [41][42] Question: How did the nonaccrual resolutions come to fruition? - Continuous engagement with portfolio companies led to resolutions, including a merger that converted some debt into reinstated debt [46] Question: Can you elaborate on the dividend policy restructuring? - The change was influenced by industry trends, aiming for a base plus supplemental structure to adapt to volatility in short-term rates [52][55] Question: What is the current capacity for net deployments? - The company has a net deployment capacity of approximately $19 million, with additional capacity from cash on the balance sheet [74][82] Question: Were there any changes to the internal watch list investments this quarter? - There were no significant negative credit surprises, and the number of watch list investments remained stable [86][90]

Portman Ridge Finance (PTMN) Q4 2024 Earnings Call March 14, 2025 10:30 AM ET Company Participants Ted Goldthorpe - CEO, President & DirectorPatrick Schafer - Chief Investment Officer & DirectorBrandon Satoren - Chief Financial Officer, Secretary & TreasurerChristopher Nolan - Senior VP - Equity ResearchJustin Marca - VP - Equity ResearchSteven L. Martin - PresidentPaul Johnson - Vice President Operator Welcome to Portman Ridge Finance Corporation's Fourth Quarter and Full Year Ended 12/31/2024 Earnings Con ...