StoneCastle Financial Corp. Reports Second Quarter 2018 Results
Second Quarter 2018 Investment Highlights:
- Invested
$5.26 million in one investment
- Received
$33,891 in pay downs from one investment
Investment Activity in the Second Quarter 2018 Included:
- Invested
$5.26 million in Preferred Shares of Community Funding 2018, LLC, 9.34%
A complete listing of investments as of the end of the quarter can be found on the Company’s website at www.stonecastle-financial.com.
The estimated annualized yield generated by the invested portfolio as of
Second Quarter 2018 Financial Results
Net investment income was
In the second quarter, the Company paid a cash distribution of
The Company had
Portfolio and Investment Summary
As of the close of business on
During the quarter, the Company had one pay down totaling
Quarterly Conference Call
The conference call can be accessed by dialing 1-877-407-9039 for domestic callers or 1-201-689-8470 for international callers. Participants may also access the call via live webcast by visiting
About
Disclaimer and Risk Factors:
There is no assurance that
The Annual Report, Semi-Annual Report and other regulatory filings of the Company with the
CONTACT:
Investor Contact:
347-887-0324
STONECASTLE FINANCIAL CORP. | ||||||||
Statement of Assets and Liabilities (unaudited) | ||||||||
June 30, 2018 | March 31, 2018 | |||||||
Assets | ||||||||
Investments in securities, at fair value (cost: $185,642,227 and $180,099,433 respectively) | $ | 186,961,326 | $ | 178,801,423 | ||||
Cash | 245,842 | 1,051,837 | ||||||
Interest and dividends receivable | 2,819,886 | 1,787,921 | ||||||
Prepaid assets | 891,027 | 954,861 | ||||||
Total assets | 190,918,081 | 182,596,042 | ||||||
Liabilities | ||||||||
Payable for securities purchased | - | 20,064,987 | ||||||
Loan payable | 45,500,000 | 20,000,000 | ||||||
Investment advisory fee payable (1) | 832,978 | 701,873 | ||||||
Loan interest payable | 159,951 | 123,337 | ||||||
Directors fee payable | 12,492 | 12,631 | ||||||
Accrued expenses payable | 312,122 | 401,774 | ||||||
Total liabilities | 46,817,543 | 41,304,602 | ||||||
Net Assets | $ | 144,100,538 | $ | 141,291,440 | ||||
Net Assets consist of: | ||||||||
Common stock at par ($0.001 per share) | $ | 6,548 | $ | 6,547 | ||||
Paid-in-capital | 144,984,096 | 144,948,534 | ||||||
Accumulated net investment loss | (734,105) | (856,640) | ||||||
Accumulated net realized loss on investments | (1,475,100) | (1,508,991) | ||||||
Net unrealized appreciation / (depreciation) on investments | 1,319,099 | (1,298,010) | ||||||
Net Assets | $ | 144,100,538 | $ | 141,291,440 | ||||
Net Asset Value Per Share: | ||||||||
Common Stock Shares Outstanding | 6,548,242 | 6,546,638 | ||||||
Net asset value per common share | $ | 22.01 | $ | 21.58 | ||||
Market price per share | $ | 22.89 | $ | 21.75 | ||||
Market price premium to net asset value per share | 4.00% | 0.79% | ||||||
(1) Investment advisory fee payable shown net of waiver for March 31, 2018 of $86,726. |
STONECASTLE FINANCIAL CORP. | ||||||||||
Statement of Operations (unaudited) | ||||||||||
For The Three Months Ended June 30, 2018 |
For The Three Months Ended March 31, 2018 |
|||||||||
Investment Income | ||||||||||
Interest | $ | 3,074,584 | $ | 3,099,378 | ||||||
Dividends | 1,050,289 | 553,888 | ||||||||
Origination fee income | 160,195 | 488,397 | ||||||||
Other Income | 95,409 | 91,881 | ||||||||
Total Investment Income | 4,380,477 | 4,233,544 | ||||||||
Expenses | ||||||||||
Investment advisory fees (1) | 833,660 | 789,284 | ||||||||
Interest expense | 493,347 | 304,188 | ||||||||
Professional fees | 98,059 | 118,126 | ||||||||
Transfer agent, custodian fees and administrator fees | 57,701 | 65,256 | ||||||||
Bank fees | 54,154 | 53,886 | ||||||||
Directors' fees | 51,230 | 50,668 | ||||||||
ABA marketing and licensing fees | 37,285 | 37,328 | ||||||||
Investor relations fees | 30,865 | 30,526 | ||||||||
Delaware franchise tax | 22,438 | 22,192 | ||||||||
Insurance expense | 17,951 | 17,753 | ||||||||
Valuation fees | 16,062 | 16,961 | ||||||||
Printing | 14,173 | 22,691 | ||||||||
Due diligence expense | - | 16,000 | ||||||||
Miscellaneous fees | 43,294 | 66,129 | ||||||||
Total expenses before waiver | 1,770,219 | 1,610,988 | ||||||||
Less: Advisory fee waiver (2) | (0) | (86,726) | ||||||||
Net expenses after waiver | 1,770,219 | 1,524,262 | ||||||||
Net Investment Income | $ | 2,610,258 | $ | 2,709,282 | ||||||
Realized and Unrealized Gain / (Loss) on Investments | ||||||||||
Net realized gain / (loss) on investments | $ | 33,891 | $ | (1,432,027) | ||||||
Net change in unrealized appreciation on investments | 2,617,109 | 1,362,187 | ||||||||
Net realized and unrealized gain / (loss) on investments | 2,651,000 | (69,840) | ||||||||
Net Increase in Net Assets Resulting From Operations | $ | 5,261,258 | $ | 2,639,442 | ||||||
(1) Investment advisory fee reflects gross contractual fee. | ||||||||||
(2) Investment advisory fee waiver reflects waiver of fees related to purchase of | ||||||||||
$20.1 million iShares U.S. Preferred Stock Index ETF on March 28th and March 29th 2018. |
STONECASTLE FINANCIAL CORP. | |||
Financial Highlights (unaudited) | |||
For The Three Months Ended June 30, 2018 |
|||
Per Share Operating Performance | |||
Net Asset Value, beginning of period | $ | 21.58 | |
Net investment income(1) | 0.40 | ||
Net realized and unrealized gain on investments(1) | 0.41 | ||
Total from investment operations | 0.81 | ||
Less distributions to shareholders | |||
From net investment income | (0.38) | ||
Total distributions | (0.38) | ||
Net asset value, end of period | $ | 22.01 | |
Per share market value, end of period | $ | 22.89 | |
Total Investment Return (2) | |||
Based on market value | 7.04% | ||
Based on net asset value | 3.74% | ||
Ratios and Supplemental Data | |||
Net assets, end of period (in millions) | $ | 144.1 | |
Ratios (as a percentage to average net assets): | |||
Expenses before waivers(3)(4)* | 4.98% | ||
Expenses after waivers(5)* | 4.98% | ||
Net investment income(6)* | 7.34% | ||
Portfolio turnover rate ** | 0% | ||
Revolving Credit Agreement | |||
Total revolving credit agreement outstanding (000's) | $ | 45,500 | |
Asset coverage per $1,000 for revolving credit agreement(7) | 4,167 |
(1) | Based on the average shares outstanding during quarter. |
(2) | Reflects reinvestment of distributions at the price obtained under the Dividend Reinvestment Plan. |
Total return does not include sales load and offering expenses and are not annualized. | |
(3) | Excluding interest expense, the ratio would have been 3.59%. |
(4) | Ratio of expenses before waivers to average managed assets equals 3.80%. |
(5) | Ratio of expenses after waivers to average managed assets equals 3.80%. |
(6) | Ratio of net investment income to average managed assets equals 5.61%. |
(7) | Calculated by subtracting the Company's total liabilities (excluding the loan) from the Company's total assets and dividing the amount by the loan outstanding in 000's. |
* | Annualized |
** | Not-annualized |
Source: StoneCastle Financial Corp.