iCAD to Participate in the LifeSci Partners 10th Annual Healthcare Corporate Access Event

New ProFound AI risk software, offering a 2-year projected risk score to be featured

NASHUA, N.H., Jan. 06, 2021 (GLOBE NEWSWIRE) — iCAD, Inc. (NASDAQ: ICAD), a global medical technology leader providing innovative cancer detection and therapy solutions, today announced that it will participate in the 10th Annual LifeSci Partners Corporate Access Event, January 6-8 and 11-14, 2021.

Michael Klein, Chairman and CEO, will host 1×1 meetings and will participate in a panel, Innovations in Cancer Diagnostics, on Thursday, January 7th at 4pm EST.

Mr. Klein’s focus in diagnostics will be on iCAD’s newly launched ProFound AI Risk offering. This new breast cancer screening capability is the first and only commercially available clinical decision support tool that provides an accurate 2-year risk estimation based solely on a screening mammogram. Compelling research published in Radiology concluded that the ProFound AI Risk model is effective at identifying women at high likelihood of being diagnosed with breast cancer within two years of a negative screening mammogram and in possible need of supplemental screening.

To register to listen to the presentation or to request a meeting, visit: http://lifesci.events/LifeSci2021

About iCAD, Inc.

Headquartered in Nashua, NH, iCAD is a global medical technology leader providing innovative cancer detection and therapy solutions. For more information, visit www.icadmed.com.

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995

Certain statements contained in this News Release constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. For example, when the Company discusses the potential of ProFound AI Risk and its relationship with Change Healthcare, the benefits of the Company’s products, and clinical plans and updates, it is using forward-looking statements. Such forward-looking statements involve a number of known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, but are not limited, to the Company’s ability to achieve business and strategic objectives, increase sales and acceptance of products, adoption by CMS of a new payment model, and that such model will prove beneficial to the Company, which is not assured, implement expansion plans, the risks of uncertainty of patent protection, the impact of supply and manufacturing constraints or difficulties, uncertainty of future sales levels, protection of patents and other proprietary rights, the impact of supply and manufacturing constraints or difficulties, product market acceptance, possible technological obsolescence of products, increased competition, to successfully defend itself in litigation matters, government regulation, changes in Medicare or other reimbursement policies, risks relating to our existing and future debt obligations, competitive factors, the effects of a decline in the economy or markets served by the Company; the effects of a global pandemic, and other risks detailed in the Company’s filings with the Securities and Exchange Commission. The words “believe,” “demonstrate,” “intend,” “expect,” “estimate,” “will,” “continue,” “anticipate,” “likely,” “seek,” and similar expressions identify forward-looking statements. Readers are cautioned not to place undue reliance on those forward-looking statements, which speak only as of the date the statement was made. The Company is under no obligation to provide any updates to any information contained in this release. For additional disclosure regarding these and other risks faced by iCAD, please see the disclosure contained in our public filings with the Securities and Exchange Commission, available on the Investors section of our website at http://www.icadmed.com and on the SEC’s website at http://www.sec.gov.

Contact:

Media Inquiries:
Amy Cook, iCAD
+1-925-200-2125
[email protected]

Investor Relations:
Jeremy Feffer, LifeSci Advisors
+ 1-212-915-2568
[email protected]



LiveWorld Appoints Umar Siddiqui, MD as Medical Director

LiveWorld Appoints Umar Siddiqui, MD as Medical Director

Doctor and clinical research expert joins innovative healthcare agency

CAMPBELL, Calif. & NEW YORK–(BUSINESS WIRE)–
LiveWorld, Inc. (OTC Markets: LVWD), today announced the appointment of Umar Siddiqui, MD as the agency’s Medical Director reporting to Chairman & CEO Peter Friedman. This position signals a deep commitment to and expertise in digital and social media marketing for companies in the biopharma, life sciences and healthcare space.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20210106005831/en/

Umar Siddiqui, MD (Photo: Business Wire)

Umar Siddiqui, MD (Photo: Business Wire)

Umar Siddiqui is an award-winning MD and digital health professional with 15+ years of experience spanning clinical research, health-system leadership, strategy consulting, venture-capital and health technology.

“Umar lives at the intersection healthcare and digital marketing,” Mr. Friedman noted. “He’s a highly trained physician, a seasoned technology consultant, and a pharmaceutical marketing veteran with experience in the US and abroad. He brings a wealth of experience and insight to our clients and our team.”

Dr. Siddiqui joins LiveWorld after playing a role with PwC Health Industries Advisory, developing the clinical analytics expertise serving the Payer/Provider and Pharma/LifeSciences industries. He was part of the clinical digital transformation team implementing Scott & White Healthcare’s integration with Baylor Health, and he led regional programs for the Texas Health Services Authority. Umar consulted on digital technology and transformation at Merck as part of the Global Marketing Excellence team.

His digital health ventures include co-founding vPhysicians, and serving as a Medical Director a Clinical Advisor, scaling innovative health-tech solutions with Apple, Google, Accenture, Ascension Ventures, IQVIA, and Elligo Health Research.

Umar earned a BSci in Neuroscience from the University of Pittsburgh. He conducted NIH-funded cancer research at UPMC. He got his MD from American University School of Medicine and did further training with a clinical appointment and internship at The Barts London and at the Royal College of Surgeons in the UK.

About LiveWorld

LiveWorld is a digital agency and software company specializing in social media solutions that help companies build stronger customer relationships. We provide consulting, strategy, and creative along with human agents, conversation management software, and chatbots for digital campaigns and social media programs. Our solutions empower companies to deepen relationships with customers, professionals, patients, and healthcare providers with emotion driven behavior change through conversations and campaigns with a human touch. LiveWorld clients include the number one brands in pharmaceuticals, consumer packaged goods, and financial-travel services. LiveWorld is headquartered in San Jose, California, with an additional office in New York City. Learn more at www.liveworld.com.

IR Contact:

David Houston

LiveWorld

[email protected]

(408) 615-8496

PR Contact:

Jason Kapler

LiveWorld

[email protected]

(917) 722-8281

KEYWORDS: United States North America California New York

INDUSTRY KEYWORDS: Software Technology Social Media Communications

MEDIA:

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Umar Siddiqui, MD (Photo: Business Wire)

INVESTOR ALERT: Law Offices of Howard G. Smith Announces the Filing of a Securities Class Action on Behalf of QuantumScape Corporation f/k/a Kensington Capital Acquisition Corp. (QS) Investors

INVESTOR ALERT: Law Offices of Howard G. Smith Announces the Filing of a Securities Class Action on Behalf of QuantumScape Corporation f/k/a Kensington Capital Acquisition Corp. (QS) Investors

BENSALEM, Pa.–(BUSINESS WIRE)–
Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased QuantumScape Corporation (“QuantumScape” or the “Company”) (NYSE: QS) securities between December 8, 2020 and December 31, 2020, inclusive (the “Class Period”). QuantumScape investors have until March 8, 2021 to file a lead plaintiff motion.

Investors suffering losses on their QuantumScape investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to [email protected].

On January 4, 2021, an article was published on Seeking Alpha pointing to several risks with QuantumScape’s solid-state batteries that make it “completely unacceptable for real world field electric vehicles.” Specifically, it stated that the battery’s power means it “will only last for 260 cycles or about 75,000 miles of aggressive driving.” As solid-state batteries are temperature sensitive, “the power and cycle tests at 30 and 45 degrees above would have been significantly worse if run even a few degrees lower.”

On this news, the Company’s stock price fell $34.49, or approximately 40.84%, to close at $49.96 per share on January 4, 2021, thereby injuring investors.

The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors (1) that the Company’s purported success related to its solid-state battery power, battery life, and energy density were significantly overstated; (2) that the Company is unlikely to be able to scale its technology to the multi-layer cell necessary to power electric vehicles; and (3) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

If you purchased QuantumScape securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to [email protected], or visit our website at www.howardsmithlaw.com.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

Law Offices of Howard G. Smith

Howard G. Smith, Esquire

215-638-4847

888-638-4847

[email protected]

www.howardsmithlaw.com

KEYWORDS: Pennsylvania United States North America

INDUSTRY KEYWORDS: Legal Professional Services

MEDIA:

Hancock Whitney Corporation to Announce Fourth Quarter 2020 Financial Results and Host Conference Call January 20

Hancock Whitney Corporation to Announce Fourth Quarter 2020 Financial Results and Host Conference Call January 20

GULFPORT, Miss.–(BUSINESS WIRE)–
Hancock Whitney Corporation (Nasdaq: HWC) will announce fourth quarter 2020 financial results on Wednesday, January 20, 2021 after the market closes. Management will host a conference call for analysts and investors at 4:00 p.m. Central Time on Wednesday, January 20, 2021 to review the results.

A live listen-only webcast of the call will be available under the Investor Relations section of Hancock Whitney’s website at www.investors.hancockwhitney.com. To participate in the Q&A portion of the call, dial 866-270-1533 or 412-317-0797.

An audio archive of the conference call will be available under the Investor Relations section of our website. A replay of the call will also be available through January 25, 2021 by dialing 877-344-7529 or 412-317-0088, access code 10151062.

About Hancock Whitney

Since the late 1800s, Hancock Whitney has embodied core values of Honor & Integrity, Strength & Stability, Commitment to Service, Teamwork, and Personal Responsibility. Hancock Whitney offices and financial centers in Mississippi, Alabama, Florida, Louisiana, and Texas offer comprehensive financial products and services, including traditional and online banking; commercial and small business banking; private banking; trust and investment services; healthcare banking; certain insurance services; and mortgage services. The company also operates a loan production office in Nashville, Tennessee. BauerFinancial, Inc., the nation’s leading independent bank rating and analysis firm, consistently recommends Hancock Whitney as one of America’s most financially sound banks. More information is available at www.hancockwhitney.com.

Trisha Voltz Carlson, EVP, Investor Relations Manager

504.299.5208 or [email protected]

KEYWORDS: United States North America Mississippi

INDUSTRY KEYWORDS: Banking Professional Services

MEDIA:

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U.S. Bank Acquires Debt Servicing and Securities Custody Services Client Portfolio of MUFG Union Bank

U.S. Bank Acquires Debt Servicing and Securities Custody Services Client Portfolio of MUFG Union Bank

MINNEAPOLIS–(BUSINESS WIRE)–
U.S. Bank announced today that it entered into a definitive agreement to purchase the Debt Servicing and Securities Custody Services client portfolio of MUFG Union Bank, N.A. Under the terms of the agreement, U.S. Bank will acquire approximately 600 client relationships and $320 billion in assets under custody and administration.

“This transaction is a great fit for U.S. Bank. We are thrilled to have the opportunity to increase our presence on the West Coast and solidify our position as a leading provider of corporate trust, institutional trust and fund custody services,” said Gunjan Kedia, vice chair, U.S. Bank Wealth Management and Investment Services.

Kedia added, “U.S. Bank is known for working with clients one-on-one to understand their unique requirements and deliver customized, proactive solutions that help them meet their objectives. We look forward to putting the resources of U.S. Bank to work for our new clients and providing an exemplary client experience.”

“After a thorough analysis of our market position in the Debt Servicing and Securities Custody product areas, we made the decision to sell these products and services within our Transaction Banking portfolio, which will enable us to reinvest capital in other strategic areas of focus to the benefit of our clients and MUFG Union Bank,” said Ranjana Clark, head of Global & Americas Transaction Banking and Bay Area President. “For those client relationships that are being acquired, we are confident that U.S. Bank will deliver high-quality service and support.”

U.S. Bank’s Investment Services division has more than $7.7 trillion in assets under custody and administration globally. In addition to offering global corporate trust and custody services, they also offer alternative investment and fund custody and administration services.

The deal was signed Dec. 23, 2020 and is expected to close in the first quarter of 2021, subject to regulatory approval and satisfaction of customary closing conditions. Financial terms are not disclosed.

About U.S. Bank

U.S. Bancorp, with more than 70,000 employees and $540 billion in assets as of Sept. 30, 2020, is the parent company of U.S. Bank National Association, the fifth-largest commercial bank in the United States. The Minneapolis-based bank blends its relationship teams, branches and ATM network with mobile and online tools that allow customers to bank how, when and where they prefer. U.S. Bank is committed to serving its millions of retail, business, wealth management, payment, commercial and corporate, and investment services customers across the country and around the world as a trusted financial partner, a commitment recognized by the Ethisphere Institute naming the bank one of the 2020 World’s Most Ethical Companies. Visit U.S. Bank at usbank.com or follow on social media to stay up to date with company news.

Kimberly Mikrot, U.S. Bank Public Affairs & Communications

[email protected] | 612.206.2553

Jane Yedinak, MUFG Union Bank Corporate Communications

[email protected] | 415.773.2497

KEYWORDS: Minnesota United States North America

INDUSTRY KEYWORDS: Banking Professional Services Insurance Finance

MEDIA:

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Amgen To Present At The 39th Annual J.P. Morgan Healthcare Conference

PR Newswire

THOUSAND OAKS, Calif., Jan. 6, 2021 /PRNewswire/ — Amgen (NASDAQ:AMGN) will present at the 39th Annual J.P. Morgan Healthcare Conference at 11:50 a.m. PT on Monday, Jan. 11, 2021. Robert A. Bradway, chairman and chief executive officer at Amgen, will present at the conference. Live audio of the presentation can be accessed from the Events Calendar on Amgen’s website, www.amgen.com, under Investors. A replay of the webcast will also be available on Amgen’s website for at least 90 days following the event.

About Amgen
 
Amgen is committed to unlocking the potential of biology for patients suffering from serious illnesses by discovering, developing, manufacturing and delivering innovative human therapeutics. This approach begins by using tools like advanced human genetics to unravel the complexities of disease and understand the fundamentals of human biology.  

Amgen focuses on areas of high unmet medical need and leverages its expertise to strive for solutions that improve health outcomes and dramatically improve people’s lives. A biotechnology pioneer since 1980, Amgen has grown to be one of the world’s leading independent biotechnology companies, has reached millions of patients around the world and is developing a pipeline of medicines with breakaway potential.  

For more information, visit www.amgen.com and follow us on www.twitter.com/amgen.  

CONTACT: Amgen, Thousand Oaks 
Megan Fox, 805-447-1423 (media)
Trish Rowland, 805-447-5631 (media) 
Arvind Sood, 805-447-1060 (investors) 

 

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SOURCE Amgen

Converge Technology Solutions Corp. Completes Acquisition of CarpeDatum LLC.

PR Newswire

TORONTO, Jan. 6, 2021 /PRNewswire/ – Converge Technology Solutions Corp. (“Converge” or “the Company“) (TSXV: CTS)  (FSE: 0ZB) (OTCQX: CTSDF), a national platform of regionally focused Hybrid IT solution providers in the U.S. and Canada, is pleased to announce the closing of its previously announced acquisition of CarpeDatum LLC., an analytics consulting organization headquartered in Denver, CO with offices in Los Angeles and Dallas.

CarpeDatum builds best in class solutions around analytics for customers across every industry. It has over 20 years of successful deployment experience around planning and forecasting, enterprise reporting, and predictive analytics. The addition of CarpeDatum to the Converge analytics practice will give the Company an array of new capabilities regarding AI, analytics, and performance management to allow it to continue to scale and expand its current offerings throughout North America.

CarpeDatum LLC. marks the seventeenth acquisition completed by Converge since October 2017. Converge’s family of companies also includes Corus Group, LLC; Northern Micro, Inc.; 10084182 Canada Inc. operating as Becker-Carroll; Key Information Systems, Inc.; BlueChip Tek, Inc.; Lighthouse Computer Systems, Inc.; Software Information Systems LLC.; Nordisk Systems, Inc.; Essex Technology Group, Inc.; Datatrend Technologies, Inc.; VSS, LLC; Solutions PCD, Inc.; Unique Digital, Inc.;  Workgroup Connections, Inc.; and Vicom Computer Services, Inc.

About Converge
Converge Technology Solutions Corp. is a North American software-enabled, Hybrid IT solution provider focused on delivering industry-leading solutions and services. Converge’s regional sales and services organizations deliver advanced analytics, cloud, cybersecurity, and managed services offerings to clients across various industries. The Company supports these solutions with talent expertise and digital infrastructure offerings across all major IT vendors in the marketplace. This multi-faceted approach enables Converge to address the unique business and technology requirements for all clients in the public and private sectors. For more information, visit convergetp.com.

About CarpeDatum
CarpeDatum is a national IBM Analytics consulting organization and Alteryx Preferred Partner headquartered in Denver, CO and the creator of the TM1Compare and TM1Connect products. Founded 1997 by IT veterans, it has grown into what it is today because of its deep domain expertise in data and analytics and its staff of passionate individuals who seek to further what organizations can do with their data.

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SOURCE Converge Technology Solutions Corp.

Alkermes to Present at the 39th Annual J.P. Morgan Healthcare Conference

PR Newswire

DUBLIN, Jan. 6, 2021 /PRNewswire/ — Alkermes plc (Nasdaq: ALKS) announced today that its Chief Executive Officer, Richard Pops, will provide a corporate overview and update at the 39th Annual J.P. Morgan Healthcare Conference. The presentation will take place virtually on Wednesday, Jan. 13, 2021 at 10:00 a.m. EST (3:00 p.m. GMT), followed by a question and answer session. The live webcast may be accessed under the Investors tab on www.alkermes.com and will be archived for 14 days.


About Alkermes plc

Alkermes plc is a fully integrated, global biopharmaceutical company developing innovative medicines in the fields of neuroscience and oncology. The company has a portfolio of proprietary commercial products focused on addiction and schizophrenia, and a pipeline of product candidates in development for schizophrenia, bipolar I disorder, neurodegenerative disorders and cancer. Headquartered in Dublin, Ireland, Alkermes plc has an R&D center in Waltham, Massachusetts; a research and manufacturing facility in Athlone, Ireland; and a manufacturing facility in Wilmington, Ohio. For more information, please visit Alkermes’ website at www.alkermes.com.

Contact:
Alex Braun
Investor Relations
+1 781 296 8493

 

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SOURCE Alkermes plc

Cytokinetics to Present at the H.C. Wainwright BioConnect 2021 Virtual Conference

SOUTH SAN FRANCISCO, Calif., Jan. 06, 2021 (GLOBE NEWSWIRE) — Cytokinetics, Incorporated (Nasdaq: CYTK) today announced that Robert I. Blum, President and Chief Executive Officer, is scheduled to participate in a virtual fireside chat at the H.C. Wainwright BioConnect 2021 Virtual Conference taking place January 11-14, 2021.

The presentation will be available for on-demand listening beginning January 11, 2021 at 6:00 AM Eastern Time. Interested parties may access the recorded webcast of this presentation by visiting the Investors & Media section of the Cytokinetics website at www.cytokinetics.com. The webcast will be archived on the Presentations page within the Investors & Media section of Cytokinetics’ website for 90 days following the conclusion of the event.

About Cytokinetics

Cytokinetics is a late-stage biopharmaceutical company focused on discovering, developing and commercializing first-in-class muscle activators and next-in-class muscle inhibitors as potential treatments for debilitating diseases in which muscle performance is compromised and/or declining. As a leader in muscle biology and the mechanics of muscle performance, the company is developing small molecule drug candidates specifically engineered to impact muscle function and contractility. Cytokinetics is preparing for regulatory interactions for omecamtiv mecarbil, its novel cardiac muscle activator, following positive results from GALACTIC-HF, a large, international Phase 3 clinical trial in patients with heart failure. Cytokinetics is conducting METEORIC-HF, a second Phase 3 clinical trial of omecamtiv mecarbil. Cytokinetics is also developing CK-274, a next-generation cardiac myosin inhibitor, for the potential treatment of hypertrophic cardiomyopathies (HCM). Cytokinetics is conducting REDWOOD-HCM, a Phase 2 clinical trial of CK-274 in patients with obstructive HCM. Cytokinetics is also developing reldesemtiv, a fast skeletal muscle troponin activator for the potential treatment of ALS and other neuromuscular indications following conduct of FORTITUDE-ALS and other Phase 2 clinical trials. The company is considering potential advancement of reldesemtiv to a Phase 3 clinical trial. Cytokinetics continues its over 20-year history of pioneering innovation in muscle biology and related pharmacology focused to diseases of muscle dysfunction and conditions of muscle weakness.

For additional information about Cytokinetics, visit www.cytokinetics.com and follow us on Twitter, LinkedIn, Facebook and YouTube.

Forward-Looking Statements

This press release contains forward-looking statements for purposes of the Private Securities Litigation Reform Act of 1995 (the “Act”). Cytokinetics disclaims any intent or obligation to update these forward-looking statements and claims the protection of the Act’s Safe Harbor for forward-looking statements. Examples of such statements include, but are not limited to, statements relating to Cytokinetics’ and its partners’ research and development activities of Cytokinetics’ product candidates. Such statements are based on management’s current expectations, but actual results may differ materially due to various risks and uncertainties, including, but not limited to the risks related to Cytokinetics’ business outlined in Cytokinetics’ filings with the Securities and Exchange Commission. Forward-looking statements are not guarantees of future performance, and Cytokinetics’ actual results of operations, financial condition and liquidity, and the development of the industry in which it operates, may differ materially from the forward-looking statements contained in this press release. Any forward-looking statements that Cytokinetics makes in this press release speak only as of the date of this press release. Cytokinetics assumes no obligation to update its forward-looking statements whether as a result of new information, future events or otherwise, after the date of this press release.

Contact:
Cytokinetics                                       
Diane Weiser        
Senior Vice President, Corporate Communications, Investor Relations
(415) 290-7757



Saratoga Investment Corp. Announces Fiscal Third Quarter 2021 Financial Results and Increases Dividend by $0.01 to $0.42 per Share for the Quarter Ending November 30, 2020

NEW YORK, Jan. 06, 2021 (GLOBE NEWSWIRE) — Saratoga Investment Corp. (NYSE:SAR) (“Saratoga Investment” or “the Company”), a business development company (“BDC”), today announced financial results for its 2021 fiscal third quarter.

Summary Financial Information

The Company’s summarized financial information is as follows:

   
For the quarter
ended and as of
Nov 30, 2020


For the quarter
ended and as of
Aug 31, 2020


For the quarter
ended and as of
Nov 30, 2019

    ($ in thousands except per share)
AUM   546,944   508,117   487,031  
NAV   299,853   298,177   282,180  
NAV per share   26.84   26.68   25.30  
Investment Income   14,283   13,856   14,196  
Net Investment Income per share   0.40   0.48   0.46  
Adjusted Net Investment Income per share   0.50   0.49   0.61  
Earnings per share   0.57   1.95   1.37  
Dividends per share (declared)   0.42   0.41   0.56  
Return on Equity – last twelve months 11.0 % 14.3 % 17.6 %
  – annualized quarter 8.5 % 30.1 % 21.7 %
Originations   51,320   31,709   40,766  
Repayments   18,296   23,282   51,230  
         

“During the past nine challenging months, we and our portfolio companies have managed through substantial economic headwinds and uncertainties and we continue to believe that Saratoga remains well positioned to face potential future economic challenges,” said Christian L. Oberbeck, Chairman and Chief Executive Officer of Saratoga Investment. “Our third quarter results highlight the strength of our financial position and portfolio performance. Our quarterly metrics include LTM return on equity of 11.0%, adjusted NII per share of $0.50 per share, adjusted LTM NII yield of 8.0% and NAV per share growth of 16c per share, which is our eleventh quarterly increase in the last thirteen quarters. Significant economic uncertainty presented by the COVID-19 pandemic remains, and, as a result, balance sheet strength, liquidity and NAV preservation continues to be paramount, both for our portfolio companies and ourselves. Our current capital structure at quarter-end was strong, with $300 million of equity supporting $108 million of long-term covenant-free non-SBIC debt and $176 million of long-term covenant free SBIC debentures. Our quarter-end regulatory leverage of 377% substantially exceeds our 150% requirement, and in addition to our undrawn Madison revolving credit facility, we have $34 million of quarter-end cash to support our existing portfolio companies, and $149 million of available SBIC II facilities which can be used to finance new opportunities, all of which are expected to be highly accretive to earnings. Reflecting our current strong portfolio performance, the Board of Directors decided to increase our quarterly dividends by a further $0.01 per share and declare a $0.42 per share dividend for the quarter ended November 30, 2020.”

“Portfolio management continues to be critically important, and we are highly discerning in the current environment. Fortunately, we continued to bring new platform investments into the portfolio, with investments in three new companies added this quarter, in addition to the success we continue to have with follow-ons in existing borrowers with strong business models and balance sheets, all totaling $51.3 million invested in the fiscal quarter. We have also started seeing increased repayment activity, with two realizations occurring this quarter. Our credit quality remained at a high level at quarter-end and increased slightly from last quarter, with 93% of credits rated in our highest category and $6.0 million unrealized appreciation recognized in the quarter, putting our portfolio in a strong position from which to face the continued volatility and uncertainty ahead. With 75% of our investments at quarter-end in first lien debt and generally supported by strong enterprise values and balance sheets in industries that have historically performed well in stressed situations, we believe our portfolio is well structured for these uncertain times. We remain confident in our experienced management team, high underwriting standards and time-tested investment strategy. We believe our resources are sufficient to weather the economic challenges ahead, and that our team will be able to continue to steadily grow portfolio size and maintain quality and investment performance over the long-term.”

Discussion of Financial Results for the Quarter ended November 30, 2020:

As of November 30, 2020, Saratoga Investment’s assets under management (“AUM”) was $546.9 million, an increase of 12.3% from $487.0 million as of November 30, 2019, and an increase of 7.6% from $508.1 million as of August 31, 2020. The increase this past quarter consists of $51.3 million in originations, offset by $18.3 million of repayments and amortizations, as well as $6.0 million in unrealized appreciation, reflecting the impact of changes to market spreads, EBITDA multiples and/or revised portfolio company performance on the quarter-end valuations.  Saratoga Investment’s portfolio remains strong, with 74.5% of the portfolio in first liens, and a continued high level of investment quality in loan investments, with 92.8% of its loans this quarter at its highest internal rating. This quarter’s originations include three investments in new platforms, and five follow-ons in existing portfolio companies. Since Saratoga Investment took over the management of the BDC, $523.4 million of repayments and sales of investments originated by Saratoga Investment have generated a gross unlevered IRR of 16.6%.

For the three months ended November 30, 2020, total investment income of $14.3 million was up $0.1 million from $14.2 for the three months ended November 30, 2019. This quarter’s investment income was generated from an investment base that has grown by 12.3% since last year. All of this quarter’s originations occurred in the second half of the quarter, with repayments mostly in the first month of the quarter. In addition, the asset growth was offset by lower interest rates, with the weighted average current coupon on non-CLO BDC investments decreasing from 10.1% to 9.5% (based on cost) year-over-year. In addition, this quarter’s investment income was up 3.1% on a quarter-on-quarter basis from $13.9 million for the quarter ended August 31, 2020, primarily due to the growing investment base and the full-period impact of originations closed last quarter.

As compared to the three months ended November 30, 2019, net investment income decreased due to (i) increased base management fees, professional fees and administrator expenses generated from the management of this larger pool of investments, and (ii) the non-recurrence of a deferred income tax benefit recognized last year. This decrease was partially offset by decreased interest and debt financing expenses, reflecting the repayment of the $74.5 million baby bond last year.

Net investment income on a weighted average per share basis was $0.40 for the quarter ended November 30, 2020. Adjusted for the incentive fee accrual related to net capital gains, the net investment income on a weighted average per share basis was $0.50. This compares to adjusted net investment income per share of $0.49 for the quarter ended August 31, 2020, and $0.61 for the quarter ended November 30, 2019. During these periods, weighted average common shares outstanding increased from 10.0 million shares for the three months ended November 30, 2019, to 11.2 million shares for both the three months ended August 31, 2020, and November 30, 2020.

Net investment income yield as a percentage of average net asset value (“Net Investment Income Yield”) was 6.0% for the quarter ended November 30, 2020. Adjusted for the incentive fee accrual related to net capital gains, the Net Investment Income Yield was 7.4%. In comparison, adjusted Net Investment Income Yield was 7.6% and 9.7% for the quarters ended August 31, 2020, and November 30, 2019, respectively.

Net Asset Value (“NAV”) was $299.9 million as of November 30, 2020, an increase of $1.7 million from $298.2 million as of August 31, 2020, and an increase of $17.7 million from $282.2 million as of November 30, 2019.

  • For the three months ended November 30, 2020, $4.5 million of net investment income and $6.0 million of net unrealized appreciation were earned, offset by $3.9 million federal tax paid on net capital gains realized in fiscal 2020, $0.2 million deferred tax expense on net unrealized gains in Saratoga Investment’s blocker subsidiaries and $4.6 million of dividends declared. In addition, $0.8 million of stock dividend distributions were made through the Company’s dividend reinvestment plan (“DRIP”), and 50,000 shares were purchased for $0.9 million pursuant to the share repurchase plan, all in this quarter.

NAV per share was $26.84 as of November 30, 2020, compared to $26.68 as of August 31, 2020, $27.13 as of February 29, 2020, and $25.30 as of November 30, 2019.

  • For the three months ended November 30, 2020, NAV per share increased by $0.16 per share, reflecting the $0.40 per share net investment income and $0.54 per share unrealized appreciation on investments, offset by $0.35 per share tax expense impact on net capital gains realized in fiscal 2020, the second quarter dividend of $0.41 per share declared during this quarter and $0.02 deferred tax expense on net unrealized appreciation in Saratoga Investment’s blocker subsidiaries. The benefit of repurchasing shares below NAV pursuant to the share repurchase plan was offset by the DRIP shares issued during the quarter.

Return on equity for the last twelve months ended November 30, 2020, was 11.0%, down from 17.6% for the comparable period last year.

Earnings per share for the quarter ended November 30, 2020, was $0.57, compared to $1.95 for the quarter ended August 31, 2020, and earnings per share of $1.37 for the quarter ended November 30, 2019.

Investment portfolio activity for the quarter ended November 30, 2020:

  • Cost of investments made during the period: $51.3 million, including investments in three new portfolio companies.
  • Principal repayments during the period: $18.3 million.

Additional Financial Information

For the fiscal quarter ended November 30, 2020, Saratoga Investment reported net investment income of $4.5 million, or $0.40 on a weighted average per share basis, and a net realized and unrealized gain on investments of $1.9 million, or $0.17 on a weighted average per share basis, resulting in a net increase in net assets from operations of $6.4 million, or $0.57 on a weighted average per share basis. The $1.9 million net gain on investments was comprised of $6.0 million in net unrealized appreciation on investments, offset by $3.9 million in income tax provision from realized gain on investment and $0.2 million of net change in provision for deferred taxes on unrealized appreciation on investments. The $6.0 million unrealized appreciation reflects a 1.2% increase in the total value of the portfolio, primarily related to improvements in market spreads, EBITDA multiples and/or revised portfolio company performance – therefore, more than two thirds of the reduction in the value of the overall portfolio in the first quarter has been reversed since May 31, 2020. This is compared to the fiscal quarter ended November 30, 2019, with net investment income of $4.6 million, or $0.46 on a weighted average per share basis, and a net realized and unrealized gain on investments of $9.1 million, or $0.91 on a weighted average per share basis, resulting in a net increase in net assets from operations of $13.7 million, or $1.37 on a weighted average per share basis.

Adjusted for the incentive fee accrual related to net capital gains, the net investment income was $5.5 million and $6.1 million for the quarters ended November 30, 2020, and November 30, 2019, respectively – a decrease of $0.6 million year-over-year, or 10.0%.

Total expenses, excluding interest and debt financing expenses, base management fees, incentive management fees and income tax benefit, increased from $1.5 million for the quarter ended November 30, 2019 to $1.6 million for the same period ended November 30, 2020. This represented 1.1% of average total assets, also unchanged from last year.

Portfolio and Investment Activity

As of November 30, 2020, the fair value of Saratoga Investment’s portfolio was $546.9 million (excluding $33.9 million in cash and cash equivalents), principally invested in 42 portfolio companies and one collateralized loan obligation fund (“CLO”). The overall portfolio composition consisted of 74.5% of first lien term loans, 9.2% of second lien term loans, 4.9% of unsecured term loans, 5.7% of subordinated notes in a CLO and 5.7% of common equity.

For the fiscal quarter ended November 30, 2020, Saratoga Investment invested $51.3 million in three new and five existing portfolio companies and had $18.3 million in aggregate amount of exits and repayments, resulting in net investments of $33.0 million for the quarter. 

As of November 30, 2020, the weighted average current yield on Saratoga Investment’s portfolio based on current fair values was 9.4%, which was comprised of a weighted average current yield of 9.5% on first lien term loans, 11.5% on second lien term loans, 4.4% on unsecured term loans, 17.6% on CLO subordinated notes and 0.0% on equity interests.

Liquidity and Capital Resources

As of November 30, 2020, Saratoga Investment had no outstanding borrowings under its $45 million senior secured revolving credit facility with Madison Capital Funding LLC. At the same time, Saratoga Investment had $150.0 million SBA debentures outstanding in its SBIC I license, $26.0 million SBA debentures outstanding in its SBIC II license, $108.1 million of baby bonds issued, including two listed issuances of 60.0 million and $43.1 million, respectively, and one unlisted issuance of $5.0 million, and an aggregate of $33.9 million in cash and cash equivalents.

With $45.0 million available under the credit facility and the $33.9 million of cash and cash equivalents as of November 30, 2020, Saratoga Investment has a total of $78.9 million of undrawn borrowing capacity and cash and cash equivalents for new investments or to support its existing portfolio companies. In addition, Saratoga Investment has $149.0 million in undrawn SBA debentures from the most recently approved SBIC II license to finance new SBIC-eligible portfolio companies. It should be noted that, depending on portfolio company performance, availability under the Madison credit facility might be reduced. In addition, certain follow-on investments in SBIC I and the BDC will not qualify for SBIC II funding. As of quarter-end, Saratoga Investment had $30.1 million of committed undrawn lending commitments and $18.8 million of discretionary funding commitments.

On March 16, 2017, Saratoga Investment entered into an equity distribution agreement with Ladenburg Thalmann & Co. Inc., through which Saratoga may offer for sale, from time-to-time, up to $30.0 million of its common stock through an ATM offering. Subsequent to this, BB&T Capital Markets and B. Riley FBR, Inc. were also added to the agreement. On July 11, 2019, the amount of common stock to be offered through this offering was increased to $70.0 million, and on October 8, 2019, the amount of common stock to be offered through this offering was further increased to $130.0 million. As of November 30, 2020, the Company sold 3,992,018 shares for gross proceeds of $97.1 million at an average price of $24.77 for aggregate net proceeds of $95.9 million (net of transaction costs). During the nine months ended November 30, 2020, there was no activity related to the ATM offering.

On September 14, 2020, the Company entered into a fifth amendment to the Credit Facility with Madison Capital Funding LLC to, among other things:

  • extend the commitment termination date of the Credit Facility from September 17, 2020 to September 17, 2021, with no change to the maturity date of September 17, 2025.
  • provide for the transition away from the LIBOR Rate in the market, and
  • expand the definition of Eligible Loan Asset to allow investments with certain recurring revenue features to qualify as Collateral and be included in the borrowing base

Dividend

Saratoga Investment has raised its dividend for the past five years. In light of the dramatic uncertainties currently present in the economy, and to ensure we retain liquidity to not only support our current portfolio companies during these challenged times, but to also create new, important relationships through the provision of critically crucial liquidity in new situations, Saratoga Investment’s Board of Directors (the “Board of Directors”) deferred its dividend for the final quarter of fiscal 2020.

Furthermore, while many BDCs have spillover obligations from prior years, representing taxable income from past obligations yet to be distributed, Saratoga Investment has historically managed its distributions conservatively so it is current with all spillover obligations, other than those related to our Easy Ice long-term net capital gains. This therefore means that Saratoga Investment is not obligated to pay current dividends related to historical earnings and enabling preservation of precious liquidity in this challenging market environment.

Taking all of this into account, including Saratoga Investment’s recent baby bond issuances and substantially improved position, and the current performance of its portfolio, the Board of Directors paid a $0.40 per share dividend for the quarter ended May 31, 2020 and a $0.41 per share dividend for the quarter ended August 31, 2020. Furthermore, the Board of Directors declared a $0.42 per share dividend for this quarter ended November 30, 2020, increasing last quarter’s dividend by $0.01 per share. The Board of Directors will continue to assess this on at least a quarterly basis as better visibility is gained on the economy and business performance. An important consideration for this decision arises from Saratoga Investment’s historically conservative management of its RIC compliance obligations, such that it has no ordinary income spillover obligations and therefore substantial spillover flexibility and consequent liquidity.

The Board of Directors declared this quarter’s dividend on January 5, 2021, and is payable on February 10, 2021, to common stockholders of record on January 26, 2021. Stockholders have the option to receive payment of the dividend in cash, or receive shares of common stock pursuant to the Company’s DRIP.

Total dividends declared thus far for fiscal year 2021 is $1.23 per share. In fiscal year 2020, the Company declared a quarterly dividend of $0.56 per share for the quarter ended November 30, 2019, $0.56 per share for the quarter ended August 31, 2019, $0.55 per share for the quarter ended May 31, 2019, and $0.54 per share for the quarter ended February 28, 2019. Total dividends declared for the fiscal years ended February 28, 2019, and 2018, were $2.06 per share and $1.90 per share, respectively.

Share Repurchase Plan

In fiscal year 2015, the Company announced the approval of an open market share repurchase plan that allows it to repurchase up to 200,000 shares of its common stock at prices below its NAV as reported in its then most recently published financial statements. During fiscal year 2017, the share repurchase plan was increased to 600,000 shares of common stock, and during fiscal years 2018 through 2021, this share repurchase plan was extended for another year at the same level of approval, currently through January 15, 2022. On May 4, 2020, the Board of Directors increased the share repurchase plan to 1.3 million shares of common stock. During the three months ended November 30, 2020, the Company purchased 50,000 shares of common stock, at the average price of $18.28 for approximately $0.9 million pursuant to this repurchase plan. These share repurchases during the quarter offset the 45,706 shares issued as part of the DRIP shares issued in November 2020. During the nine months ended November 30, 2020, the Company purchased 140,321 shares of common stock, at the average price of $17.56 for approximately $2.5 million pursuant to the Share Repurchase Plan.

2021 Fiscal Third Quarter Conference Call/Webcast Information

When: Thursday, January 7, 2021, 10:00 a.m. Eastern Time (ET)
   
Call: Interested parties may participate by dialing (877) 312-9208 (U.S. and Canada) or (678) 224-7872 (outside U.S. and Canada) 
   
  A replay of the call will be available from 1:00 p.m. ET on Thursday, January 7, 2021 through 1:00 p.m. ET on Thursday, January 14, 2021 by dialing (855) 859-2056 (U.S. and Canada) or (404) 537-3406 (outside U.S. and Canada), passcode for both replay numbers: 6679522.
   
Webcast: Interested parties may access a simultaneous webcast of the call and find the Q3 2021 presentation by going to the “Events & Presentations” section of Saratoga Investment Corp.’s investor relations website, http://ir.saratogainvestmentcorp.com/events-presentations
   

About Saratoga Investment Corp.

Saratoga Investment is a specialty finance company that provides customized financing solutions to U.S. middle-market businesses. The Company invests primarily in senior and unitranche leveraged loans and mezzanine debt, and, to a lesser extent, equity to provide financing for change of ownership transactions, strategic acquisitions, recapitalizations and growth initiatives in partnership with business owners, management teams and financial sponsors. Saratoga Investment’s objective is to create attractive risk-adjusted returns by generating current income and long-term capital appreciation from its debt and equity investments. Saratoga Investment has elected to be regulated as a business development company under the Investment Company Act of 1940 and is externally-managed by Saratoga Investment Advisors, LLC, an SEC-registered investment advisor focusing on credit-driven strategies. Saratoga Investment owns two SBIC-licensed subsidiaries and manages a $500 million collateralized loan obligation (“CLO”) fund. It also owns 100% of the Class F-R-2, G-R-2 and subordinated notes of the CLO. The Company’s diverse funding sources, combined with a permanent capital base, enable Saratoga Investment to provide a broad range of financing solutions.

Forward Looking Statements

Statements included herein contain certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, which relate to future events or our future performance or financial condition. Forward-looking statements can be identified by the use of forward looking words such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or negative versions of those words, other comparable words or other statements that do not relate to historical or factual matters. The forward-looking statements are based on our beliefs, assumptions and expectations of our future performance, taking into account all information currently available to us. These statements are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including but not limited to the impact of the COVID-19 pandemic and the pandemic’s impact on the U.S. and global economy, as well as those described from time-to-time in our filings with the Securities and Exchange Commission. Any forward-looking statement speaks only as of the date on which it is made. Saratoga Investment Corp. undertakes no duty to update any forward-looking statements made herein or on the webcast/conference call, whether as a result of new information, future developments or otherwise, except as required by law.

Financials

Saratoga Investment Corp.
Consolidated Statements of Assets and Liabilities
       
  November 30, 2020   February 29, 2020
   
(unaudited)
 
   
ASSETS      
Investments at fair value      
Non-control/Non-affiliate investments (amortized cost of $463,588,455 and $418,006,725, respectively) $ 456,552,179     $ 420,442,928  
Affiliate investments (amortized cost of $28,338,471 and $23,998,917, respectively)   21,403,802       18,485,854  
Control investments (amortized cost of $65,055,003 and $44,293,619, respectively)   68,987,521       46,703,192  
Total investments at fair value (amortized cost of $556,981,929 and $486,299,261, respectively)   546,943,502       485,631,974  
Cash and cash equivalents   21,060,224       24,598,905  
Cash and cash equivalents, reserve accounts   12,836,663       14,851,447  
Interest receivable (net of reserve of $1,982,033 and $1,238,049, respectively)   4,192,177       4,810,456  
Management fee receivable   284,256       272,207  
Other assets   740,361       701,007  
Total assets $ 586,057,183     $ 530,865,996  
       
LIABILITIES      
Revolving credit facility $     $  
Deferred debt financing costs, revolving credit facility   (674,638 )     (512,628 )
SBA debentures payable   176,000,000       150,000,000  
Deferred debt financing costs, SBA debentures payable   (2,725,309 )     (2,561,495 )
6.25% Notes Payable 2025   60,000,000       60,000,000  
Deferred debt financing costs, 6.25% notes payable 2025   (1,766,709 )     (2,046,735 )
7.25% Notes Payable 2025   43,125,000        
Deferred debt financing costs, 7.25% notes payable 2025   (1,480,977 )      
7.75% Notes Payable 2025   5,000,000        
Deferred debt financing costs, 7.75% notes payable 2025   (252,746 )      
Base management and incentive fees payable   4,775,801       15,800,097  
Deferred tax liability   1,434,505       1,347,363  
Accounts payable and accrued expenses   1,514,585       1,713,157  
Interest and debt fees payable   931,938       2,234,042  
Directors fees payable   44,500       61,500  
Due to manager   278,343       543,842  
Total liabilities   286,204,293       226,579,143  
       
NET ASSETS      
Common stock, par value $0.001, 100,000,000 common shares      
authorized, 11,170,028 and 11,217,545 common shares issued and outstanding, respectively   11,170       11,218  
Capital in excess of par value   288,590,554       289,476,991  
Total distributable earnings   11,251,166       14,798,644  
Total net assets   299,852,890       304,286,853  
Total liabilities and net assets $ 586,057,183     $ 530,865,996  
NET ASSET VALUE PER SHARE $ 26.84     $ 27.13  
       
Asset Coverage Ratio   377.3 %     607.1 %
       

 

Saratoga Investment Corp.
Consolidated Statements of Operations
(unaudited)
       
  For the three months ended
  November 30, 2020   November 30, 2019
INVESTMENT INCOME      
Interest from investments      
Interest income:      
Non-control/Non-affiliate investments $ 10,422,586     $ 9,749,294  
Affiliate investments   418,418       356,958  
Control investments   1,654,359       1,300,923  
Payment-in-kind interest income:      
Non-control/Non-affiliate investments   214,422       198,984  
Affiliate investments   49,333       42,397  
Control investments   44,896       1,250,824  
Total interest from investments   12,804,014       12,899,380  
Interest from cash and cash equivalents   770       119,539  
Management fee income   623,817       629,671  
Structuring and advisory fee income*   545,354       511,500  
Other income*   308,802       35,665  
Total investment income   14,282,757       14,195,755  
       
OPERATING EXPENSES      
Interest and debt financing expenses   3,559,870       3,896,968  
Base management fees   2,324,564       2,146,214  
Incentive management fees expense (benefit)   2,295,000       3,102,139  
Professional fees   502,979       401,010  
Administrator expenses   693,750       556,250  
Insurance   67,010       63,936  
Directors fees and expenses   60,000       60,000  
General & administrative   278,734       395,024  
Income tax expense (benefit)   29,748       (1,001,089 )
Total operating expenses   9,811,655       9,620,452  
NET INVESTMENT INCOME   4,471,102       4,575,303  
       
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS      
Net realized gain (loss) from investments:      
Non-control/Non-affiliate investments   1,798       10,739,678  
Net realized gain (loss) from investments   1,798       10,739,678  
Income tax (provision) benefit from realized gain on investments   (3,895,354 )      
Net change in unrealized appreciation (depreciation) on investments:      
Non-control/Non-affiliate investments   4,348,888       (4,322,305 )
Affiliate investments   385,414       (41,295 )
Control investments   1,264,528       3,827,449  
Net change in unrealized appreciation (depreciation) on investments   5,998,830       (536,151 )
Net change in provision for deferred taxes on unrealized (appreciation) depreciation on investments   (210,057 )     (1,061,608 )
Net realized and unrealized gain (loss) on investments   1,895,217       9,141,919  
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $ 6,366,319     $ 13,717,222  
       
WEIGHTED AVERAGE – BASIC AND DILUTED EARNINGS (LOSS) PER COMMON SHARE $ 0.57     $ 1.37  
       
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING – BASIC AND DILUTED   11,169,817       10,036,086  
       
* Certain prior period amounts have been reclassified to conform to current period presentation.      
       

 

Saratoga Investment Corp.
Consolidated Statements of Operations
(unaudited)
       
  For the nine months ended
  November 30, 2020   November 30, 2019
INVESTMENT INCOME      
Interest from investments      
Interest income:      
Non-control/Non-affiliate investments $ 30,585,868     $ 26,862,643  
Affiliate investments   1,204,840       873,816  
Control investments   4,037,915       4,627,395  
Payment-in-kind interest income:      
Non-control/Non-affiliate investments   1,125,306       530,728  
Affiliate investments   143,574       123,812  
Control investments   117,449       3,226,060  
Total interest from investments   37,214,952       36,244,454  
Interest from cash and cash equivalents   14,176       316,691  
Management fee income   1,883,825       1,888,932  
Structuring and advisory fee income*   1,798,660       1,875,225  
Other income*   523,862       509,850  
Total investment income   41,435,475       40,835,152  
       
OPERATING EXPENSES      
Interest and debt financing expenses   9,452,193       11,628,266  
Base management fees   6,694,144       5,955,623  
Incentive management fees expense (benefit)   1,966,367       7,300,794  
Professional fees   1,257,420       1,181,010  
Administrator expenses   1,852,083       1,575,000  
Insurance   202,463       193,174  
Directors fees and expenses   195,000       217,500  
General & administrative   963,372       1,036,498  
Income tax expense (benefit)   28,304       (1,464,878 )
Total operating expenses   22,611,346       27,622,987  
NET INVESTMENT INCOME   18,824,129       13,212,165  
       
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS      
Net realized gain (loss) from investments:      
Non-control/Non-affiliate investments   22,207       12,609,767  
Net realized gain (loss) from investments   22,207       12,609,767  
Income tax (provision) benefit from realized gain on investments   (3,895,354 )      
Net change in unrealized appreciation (depreciation) on investments:      
Non-control/Non-affiliate investments   (9,472,477 )     (1,563,573 )
Affiliate investments   (1,421,606 )     859,953  
Control investments   1,522,945       5,614,471  
Net change in unrealized appreciation (depreciation) on investments   (9,371,138 )     4,910,851  
Net change in provision for deferred taxes on unrealized (appreciation) depreciation on investments   (58,838 )     (1,786,801 )
Net realized and unrealized gain (loss) on investments   (13,303,123 )     15,733,817  
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $ 5,521,006     $ 28,945,982  
       
WEIGHTED AVERAGE – BASIC AND DILUTED EARNINGS (LOSS) PER COMMON SHARE $ 0.49     $ 3.33  
       
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING – BASIC AND DILUTED   11,198,287       8,702,190  
       
* Certain prior period amounts have been reclassified to conform to current period presentation.      
       

Supplemental Information Regarding Adjusted Net Investment Income, Adjusted Net Investment Income Yield and Adjusted Net Investment Income per share

On a supplemental basis, Saratoga Investment provides information relating to adjusted net investment income, adjusted net investment income yield and adjusted net investment income per share, which are non-GAAP measures. These measures are provided in addition to, but not as a substitute for, net investment income, net investment income yield and net investment income per share. Adjusted net investment income represents net investment income excluding any capital gains incentive fee expense or reversal attributable to realized and unrealized gains. The management agreement with the Company’s advisor provides that a capital gains incentive fee is determined and paid annually with respect to cumulative realized capital gains (but not unrealized capital gains) to the extent such realized capital gains exceed realized and unrealized losses for such year. In addition, Saratoga Investment accrues, but does not pay, a capital gains incentive fee in connection with any unrealized capital appreciation, as appropriate. All capital gains incentive fees are presented within net investment income within the Consolidated Statements of Operations, but the associated realized and unrealized gains and losses that these incentive fees relate to, are excluded. As such, Saratoga Investment believes that adjusted net investment income, adjusted net investment income yield and adjusted net investment income per share is a useful indicator of operations exclusive of any capital gains incentive fee expense or reversal attributable to gains. 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. The following table provides a reconciliation of net investment income to adjusted net investment income, net investment income yield to adjusted net investment income yield and net investment income per share to adjusted net investment income per share for the three and six months ended November 30, 2020, and November 30, 2019.

  For the three months ended

November 30
  For the nine months ended

November 30
    2020       2019       2020       2019  
                     
Net Investment Income $ 4,471,102     $ 4,575,303     $ 18,824,129     $ 13,212,165  
Changes in accrued capital gains incentive fee expense/reversal   1,058,955       1,566,202       (2,035,048 )     3,197,010  
Adjusted net investment income $ 5,530,057     $ 6,141,505     $ 16,789,081     $ 16,409,175  
               
Net investment income yield   6.0 %     7.2 %     8.5 %     8.1 %
Changes in accrued capital gains incentive fee expense/reversal   1.4 %     2.5 %     (0.9 %)     1.9 %
Adjusted net investment income yield (1)   7.4 %     9.7 %     7.6 %     10.0 %

 

Net investment income per share

$ 0.40     $ 0.46     $ 1.68     $ 1.52  
Changes in accrued capital gains incentive fee expense/reversal $ 0.10     $ 0.15     ($ 0.18 )   $ 0.37  
Adjusted net investment income per share (2) $ 0.50     $ 0.61     $ 1.50     $ 1.89  

(1) Adjusted net investment income yield is calculated as adjusted net investment income divided by average net asset value.
(2) Adjusted net investment income per share is calculated as adjusted net investment income divided by weighted average common shares outstanding.

Contact: Henri Steenkamp
Saratoga Investment Corp.
212-906-7800