Item 2.02 Results of Operations and Financial Condition Preliminary Estimates of Results as of December 31, 2024 On January 16, 2025, PennantPark Investment Corporation (the “Company”) announced certain preliminary estimates of its financial results for the quarter ended December 31, 2024. •Net asset value per share is estimated to be between $7.55 and $7.60 per common share at December 31, 2024. This compares to a net asset value per common share of $7.56 at September 30, 2024. •Net investment income is estimated to be between $0.19 and $0.21 per common share for the quarter ended December 31, 2024. This compares to net investment income of $0.22 per common share for the quarter ended September 30, 2024. •Core net investment income(1) is estimated to be between $0.19 and $0.21 per common share for the quarter ended December 31, 2024. This compares to core net investment income of $0.22 per common share for the quarter ended September 30, 2024. •The investment portfolio at fair value was $1.30 billion, compared to $1.33 billion as of September 30, 2024. •At December 31, 2024, there were two loans on non-accrual representing 4.3% of the portfolio at cost and 1.5% at fair market value versus two loans on non-accrual at September 30, 2024 representing 4.1% of the portfolio at cost and 2.3% at fair market value. •As of December 31, 2024, the Company had approximately $779.5 million of total debt consisting of, $464.5 million of borrowings outstanding under the Company’s multi-currency senior secured revolving credit facility with Truist Bank, as amended and restated (the “Credit Facility”), at cost, $150.0 million in aggregate principal amount of 4.5% Notes due 2026 outstanding, and $165.0 million in aggregate principal amount of 4.0% Notes due 2026 outstanding. •At December 31, 2024, we had approximately $66.4 million in cash and unused capacity under the Credit Facility. •At December 31, 2024, PennantPark Senior Loan Fund, LLC, the Company’s joint venture, had approximately $370.1 million in cash and unused capacity under its credit facility. These estimates are subject to the completion of the Company’s financial closing procedures and are not a comprehensive statement of the Company’s financial position, results of operations or cash flows for the quarter ended December 31, 2024. Final results may differ materially from these estimates as a result of the completion of the Company’s financial closing procedures, as well as any subsequent events, including the discovery of information affecting fair values of the Company’s portfolio investments as of December 31, 2024, arising between the date hereof and the completion of the Company’s financial statements and the filing of the Company’s Form 10-Q for the quarter then ended. The preliminary financial estimates provided herein have been prepared by, and are the responsibility of the Company’s management. RSM US LLP, the Company’s independent registered public accounting firm, has not audited, reviewed, compiled, or performed any procedures with respect to the accompanying preliminary financial data. Accordingly, RSM US LLP does not express an opinion or any other form of assurance with respect thereto. (1) Supplemental information regarding core net investment income Core net investment income (“Core NII”) is a non-GAAP financial measure. The Company believes that Core NII provides useful information to investors and management because it reflects the Company's financial performance excluding one-time or non-recurring investment income and expenses. The presentation of this additional information is not meant to be considered in isolation or as a substitute for financial results prepared in accordance with GAAP. For the quarter ended December 31, 2024, there were no one-time or non-recurring investment income or expenses. |
