StoneCastle Financial Corp. Reports Fourth Quarter 2015 Results
Fourth Quarter 2015 Investment Highlights:
- Invested
$85.4 million in 14 investments - Received repayments of
$42.2 million from 6 investments - Received sales proceeds of
$51.2 million from 14 investments
Investment Activity in the Fourth Quarter 2015 Included:
$45.5 million in Preferred Shares of Community Funding CLO$9.7 million in First Reliance Bancshares Fixed Rate Cumulative Perpetual Preferred Stock, Series A, 9.00%$5.2 million in Universal Bancorp Fixed Rate Cumulative Perpetual Preferred Stock, Series A, 9.00%$5.2 million inF & M Financial Corporation , Fixed Rate Cumulative Perpetual Preferred Stock, Series B, 9.00%$5.0 million in Community 1st Bancorp Subordinated Term Loan, 7.99%,1/1/2026
A complete listing of investments as of the end of the quarter can be found in the 2015 annual report and on the Company's website at www.StoneCastle-Financial.com.
The estimated annualized yield generated by the invested portfolio as of
Fourth Quarter 2015 Financial Results
Net investment income was
Net Assets at quarter end were
The Company declared a fourth quarter cash distribution of
The Company had
Full Year 2015 Financial Results
For the full year, the Company had gross investment income of
Portfolio and Investment Summary
As of the close of business on
During the quarter, the Company deployed
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 StoneCastle Financial Corp.
Disclaimer and Risk Factors:
There is no assurance that
The Annual Report, Semi-Annual Report and other regulatory filings of the Company with the
Statement of Assets and Liabilities | |||||||||||||
Assets | |||||||||||||
Investments in securities, at fair value (cost: | $ | 184,753,872 | $ | 197,497,723 | |||||||||
Cash (1) | 4,009,133 | 4,018,444 | |||||||||||
Interest and dividends receivable | 2,948,819 | 443,451 | |||||||||||
Prepaid assets | 821,845 | 928,975 | |||||||||||
Receivable for securities sold | - | 231,371 | |||||||||||
Total assets | 192,533,669 | 203,119,964 | |||||||||||
Liabilities | |||||||||||||
Loan payable | 25,000,000 | 58,000,000 | |||||||||||
Payable for securities purchased | 23,184,943 | - | |||||||||||
Dividends payable | 2,278,834 | - | |||||||||||
Investment advisory fee payable (2) | 849,259 | 720,450 | |||||||||||
Loan interest payable | 34,032 | 47,669 | |||||||||||
Directors fee payable | 13,000 | 9,835 | |||||||||||
Accrued expenses payable | 403,681 | 534,094 | |||||||||||
Total liabilities | 51,763,749 | 59,312,048 | |||||||||||
Net Assets | 140,769,920 | 143,807,916 | |||||||||||
Net Assets consist of: | |||||||||||||
Common stock at par ( | 6,511 | 6,511 | |||||||||||
Paid-in-capital | 144,295,099 | 145,741,865 | |||||||||||
Accumulated Net Investment Loss | (2,278,834 | ) | (4,196,505 | ) | |||||||||
Accumulated net realized gains / (losses) on investments | (1,007,881 | ) | 1,998,015 | ||||||||||
Net unrealized appreciation / (depreciation) on investments | (244,975 | ) | 258,030 | ||||||||||
Net Assets | $ | 140,769,920 | $ | 143,807,916 | |||||||||
Net Asset Value Per Share: | |||||||||||||
Common Stock Shares Outstanding | 6,510,953 | 6,510,953 | |||||||||||
Net asset value per common share | $ | 21.62 | $ | 22.09 | |||||||||
Market price per share | $ | 16.30 | $ | 16.82 | |||||||||
Market price discount to net asset value per share | -24.61 | % | -23.86 | % | |||||||||
(1) Includes | |||||||||||||
(2) Investment advisory fee payable shown net of waiver for | |||||||||||||
Statement of Operations | ||||||||||||||||
For The Year Ended | For the Three Months Ended | |||||||||||||||
Investment Income | ||||||||||||||||
Interest | $ | 8,160,512 | $ | 2,302,180 | ||||||||||||
Dividends | 6,645,154 | 1,365,072 | ||||||||||||||
Origination fee income | 803,298 | 709,527 | ||||||||||||||
Other Income | 156,511 | 106,000 | ||||||||||||||
Total Investment Income | 15,765,475 | 4,482,779 | ||||||||||||||
Expenses | ||||||||||||||||
Investment advisory fees (1) | 3,390,760 | 849,259 | ||||||||||||||
Interest expense | 1,367,125 | 345,840 | ||||||||||||||
ABA marketing and licensing fees | 437,500 | 77,868 | ||||||||||||||
Professional fees | 343,760 | 75,393 | ||||||||||||||
Transfer agent, custodian fees and administrator fees | 273,242 | 70,558 | ||||||||||||||
Bank fees | 190,709 | 70,478 | ||||||||||||||
Directors' fees | 180,000 | 44,915 | ||||||||||||||
Due diligence expense | 165,582 | 9,999 | ||||||||||||||
Valuation fees | 119,500 | 37,970 | ||||||||||||||
Investor relations fees | 118,800 | 30,430 | ||||||||||||||
Insurance expense | 90,000 | 22,530 | ||||||||||||||
Miscellaneous fees (proxy, printing, rating agency, etc.) | 259,362 | 97,801 | ||||||||||||||
Total expenses before waivers | 6,936,340 | 1,733,041 | ||||||||||||||
Less: Advisory fee waiver (2) | (520,789 | ) | - | |||||||||||||
Net expenses after waivers | 6,415,551 | 1,733,041 | ||||||||||||||
Net Investment Income | 9,349,924 | 2,749,738 | ||||||||||||||
Realized and Unrealized Gain / (Loss) on Investments | ||||||||||||||||
Net realized loss on investments | (1,007,881 | ) | (3,005,896 | ) | ||||||||||||
Net change in unrealized depreciation on investments | (55,305 | ) | (503,005 | ) | ||||||||||||
Net realized and unrealized loss on investments | (1,063,186 | ) | (3,508,901 | ) | ||||||||||||
Net Increase / (decrease) in Net Assets Resulting From Operations | $ | 8,286,738 | $ | (759,163 | ) | |||||||||||
(1) Investment advisory fee reflects gross contractual fee. | ||||||||||||||||
(2) Investment advisory fee waiver reflects waiver of fees related to proceeds of issuance of common stock issued on | ||||||||||||||||
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Financial Highlights | ||||
For the Three Months Ended 2015 | ||||
Per Share Operating Performance | ||||
Net Asset Value, beginning of period | $ | 22.09 | ||
Net investment income(1) | 0.42 | |||
Net realized and unrealized gain / (loss) on investments(1) | (0.54 | ) | ||
Total from investment operations | (0.12 | ) | ||
Less distributions to shareholders | ||||
From net investment income | (0.35 | ) | ||
Total distributions | (0.35 | ) | ||
Net asset value, end of period | $ | 21.62 | ||
Per share market value, end of period | $ | 16.30 | ||
Total investment return based on market value (2) | -0.98 | % | ||
Ratios and Supplemental Data | ||||
Net assets, end of period (in millions) | $ | 140.8 | ||
Ratios (as a percentage to average net assets): | ||||
Expenses before waivers (3)(7) | 4.83 | % | ||
Expenses after waivers (3)(4)(8) | 4.83 | % | ||
Net investment income(3)(9) | 7.67 | % | ||
Portfolio turnover rate (5) | 47 | % | ||
Revolving Credit Agreement | ||||
Total revolving credit agreement outstanding (000's) | $ | 25,000 | ||
Asset coverage per | 6,631 | |||
(1) Based on the average shares outstanding during quarter. | ||||
(2) Based on share market price and reinvestment of distributions at the price obtained under the Dividend | ||||
Reinvestment Plan. Total return does not include sales load and offering expenses. | ||||
(3) Annualized | ||||
(4) Excluding interest expense, the ratio would have been 3.87%. | ||||
(5) Not annualized | ||||
(6) 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. | ||||
(7) Ratio of expenses before waivers to average managed assets equals 3.48%. | ||||
(8) Ratio of expenses after waivers to average managed assets equals 3.48%. | ||||
(9) Ratio of net investment income to average managed assets equals 5.51%. | ||||
Investor Contact:Source:Julie Muraco 347-887-0324
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