UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) July 28, 2014
Gladstone Investment Corporation
(Exact name of registrant as specified in its charter)
| Delaware | 814-00704 | 83-0423116 |
| (State or other jurisdiction of incorporation) |
(Commission File Number) | (IRS Employer Identification No.) |
| 1521 Westbranch Drive, Suite 100, McLean, Virginia | 22102 |
| (Address of principal executive offices) | (Zip Code) |
Registrant's telephone number, including area code: (703) 287-5800
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| [ ] | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |
| [ ] | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |
| [ ] | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
| [ ] | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02. Results of Operations and Financial Condition.
On July 28, 2014, Gladstone Investment Corporation issued a press release announcing its financial results for the quarter ended June 30, 2014. The text of the press release is included as an exhibit to this Current Report on Form 8-K. The information in this Current Report on Form 8-K, including Exhibit 99.1 attached hereto, is being furnished and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.
Exhibit No.
Description
99.1
Press Release issued by Gladstone Investment Corporation, dated July 28, 2014.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Gladstone Investment Corporation
(Registrant) |
||
| July 28, 2014
(Date) |
/s/ DAVID WATSON
(David Watson, Chief Financial Officer & Treasurer) |
EXHIBIT INDEX
|
Exhibit No. |
|
Description |
|
99.1 |
|
Press Release issued by Gladstone Investment Corporation, dated July 28, 2014. |
EXHIBIT 99.1
MCLEAN, Va., July 28, 2014 (GLOBE NEWSWIRE) -- Gladstone Investment Corporation (Nasdaq:GAIN) (the "Company") today announced earnings for its first quarter ended June 30, 2014. Please read the Company's Form 10-Q filed today with the U.S. Securities and Exchange Commission (the "SEC"), which can be retrieved from the SEC's website at www.sec.gov or from the Company's website at www.gladstoneinvestment.com.
Summary Information: (dollars in thousands, except per share data):
|
June 30, 2014 |
March 31, 2014 |
Change |
% Change |
|
| For the Quarter Ended: | ||||
| Total investment income | $ 9,837 | $ 8,811 | $ 1,026 | 11.6% |
| Total expenses | (4,978) | (4,167) | 811 | 19.5 |
| Net investment income | 4,859 | 4,644 | 215 | 4.6 |
| Net investment income per common share | 0.18 | 0.18 | — | — |
| Cash distribution per common share | 0.18 | 0.18 | — | — |
| Total realized loss | — | (3,448) | 3,448 | 100.0 |
| Total unrealized appreciation (depreciation) | 5,911 | (259) | 6,710 | NM |
| Total unrealized depreciation excluding reversal of previously-recorded depreciation upon realization | 5,911 | (3,237) | (9,148) | NM |
| Net increase in net assets resulting from operations | 10,770 | 937 | 9,833 | 1,049.4 |
| Weighted average yield on interest-bearing investments | 12.6% | 12.6% | — | — |
| Total dollars invested | $ 2,039 | $ 32,096 | $ (30,057) | (93.6) |
| Total dollars repaid | 60 | 5,194 | (5,134) | (98.8) |
| As of: | ||||
| Total investments at fair value | $ 321,832 | $ 314,393 | $ 7,439 | 2.4% |
| Fair value as a percent of cost | 83.5% | 82.0% | 1.5% | 1.8 |
| Total net assets | $ 226,841 | $ 220,837 | $ 6,004 | 2.7 |
| Net asset value per common share | 8.57 | 8.34 | 0.23 | 2.8 |
| Asset coverage ratio | 300% | 298% | 2% | 0.7 |
| Number of portfolio companies | 28 | 29 | (1) | (3.4) |
| NM=Not Meaningful |
Highlights for the Quarter: During the quarter ended June 30, 2014, the following significant events occurred:
First Quarter 2015 Results: Net investment income for the quarters ended June 30, 2014 and March 31, 2014 was $4.9 million, or $0.18 per share, and $4.6 million, or $0.18 per share, respectively, an increase of 4.6%. The increase in net investment income for the quarter ended June 30, 2014, as compared to the prior quarter, was primarily due to the $0.4 million increase in interest income (primarily due to an increase in the weighted average principal balance of the Company's interest bearing investments of $11.5 million as compared to the prior quarter), and an increase in other income of $0.6 million (primarily due to increased dividend income in the current quarter). The investment income increase was partially offset by an increase in total expenses of $0.8 million (primarily due to a decrease in credits to fees of $0.3 million due to decreased investment activity) and an increase in other expenses of $0.2 million (due to a tax refund in the prior quarter). Net increase in net assets resulting from operations for the quarters ended June 30, 2014 and March 31, 2014 was $10.8 million, or $0.41 million, $0.9 million, or $0.03 per share, respectively. The quarter over quarter change was primarily due to a larger amount of unrealized appreciation in the current quarter compared with the quarter ended March 31, 2014.
Distributions Declared: Declared the following monthly cash distributions to stockholders:
| Record Date | Payment Date |
Distribution per Common Share |
Distribution per Term Preferred Share |
| July 25, 2014 | August 5, 2014 | $ 0.06 | $ 0.1484375 |
| August 20, 2014 | August 29, 2014 | 0.06 | 0.1484375 |
| September 19, 2014 | September 30, 2014 | 0.06 | 0.1484375 |
| Total for the Quarter | $ 0.18 | $ 0.4453125 | |
Conference Call for Stockholders: The Company will hold its earnings release conference call Tuesday, July 29, 2014, at 8:30 a.m. EDT. Please call (855) 376-7516 to enter the conference. An operator will monitor the call and set a queue for any questions. A replay of the conference call will be available through August 29, 2014. To hear the replay, please dial (855) 859-2056 and use conference number 72405133. The replay will be available beginning approximately one hour after the call concludes. The live audio broadcast of the Company's quarterly conference call will also be available online at www.gladstoneinvestment.com. The event will be archived and available for replay on the Company's website through September 29, 2014.
About Gladstone Investment Corporation: Gladstone Investment Corporation is a publicly traded business development company that seeks to make debt and equity investments in small and medium-sized businesses in the United States in connection with acquisitions, changes in control and recapitalizations. The Company has paid 108 consecutive monthly cash distributions on its common stock. Information on the business activities of all the Gladstone funds can be found at www.gladstonecompanies.com.
The Company undertakes no obligation to update the information contained herein to reflect subsequently occurring events or circumstances, except as required by applicable securities laws and regulations. For a description of certain risks to which the Company is or may be subject, please refer to the factors discussed under the captions "Cautionary Statement Concerning Forward Looking Statements" and "Risk Factors" included in the Company's filings with the SEC (accessible at www.sec.gov).
To obtain a paper copy of the Form 10-Q filed today with the SEC, please contact the Company at 1521 Westbranch Drive, Suite 100, McLean, VA 22102, ATTN: Investor Relations. The financial information above is not comprehensive and is without notes, so readers should obtain and carefully review the Company's Form 10-Q for the quarter ended June 30, 2014, including the notes to the consolidated financial statements contained therein.
CONTACT: Investor Relations Inquiries:
Please visit www.gladstone.com or +1-703-287-5893