$0.44 Per Share Net Increase in Net Assets During the Fourth
Quarter and Record Level of Investment Activity Results In 38%
Investment Portfolio Growth During the Fiscal Year
Declares First Quarter 2017 Distribution of $0.36 Per Share
MENLO PARK, Calif.--(BUSINESS WIRE)--
TriplePoint Venture Growth BDC Corp. (NYSE:TPVG) (the “Company” or
"TPVG"), the leading financing provider to venture growth stage
companies backed by a select group of venture capital firms in the
technology, life sciences and other high growth industries, today
announced its financial results for the fourth quarter of 2016. TPVG
also declared a first quarter 2017 distribution of $0.36 per share.
Fourth Quarter 2016 Highlights:
-
Funded $64.5 million in new investments with a 13.6% weighted average
yield at origination, with approximately 79% of investment funding
occurring during the last two weeks of December.
-
$127.5 million of signed term sheets; closed $92.9 million of new debt
commitments to venture growth stage companies.
-
Total investment portfolio at fair value increased 21% during the
quarter to $374.3 million.
-
Achieved targeted leverage range of 0.60x – 0.80x, ending the year
with a 0.78x leverage ratio.
-
Net increase in net assets resulting from operations of $6.9 million,
or $0.44 per share, consisting of net investment income of $4.8
million, or $0.30 per share, and net realized and unrealized
investment gains of $2.1 million, or $0.13 per share.
-
No prepayments during the quarter; 13.7% weighted average annualized
portfolio yield on debt investments for the fourth quarter.
-
Net asset value per share increased by $0.07 to $13.51 as of December
31, 2016.
-
Subsequent to the end of the quarter, TPVG received prepayments from
two customers resulting in approximately $2.8 million of accelerated
interest income.
Fiscal Year 2016 Highlights:
-
$324.5 million of signed term sheets; closed $287.0 million of
additional debt and equity commitments.
-
Funded $158.5 million of new investments and received prepayments
totaling $41.1 million of principal balance.
-
Grew total investment portfolio at fair value by $102.6 million, or
38%.
-
Three portfolio company exits resulted in $1.2 million of realized
warrant and equity gains.
-
Seven portfolio companies raised follow on equity rounds, raising more
than $520 million of equity capital.
-
14.4% weighted average annualized portfolio yield on debt investments.
-
Paid $23.2 million of distributions, or $1.44 per share.
-
Pursuant to the Company’s $25 million share buy-back program, the
Company repurchased 485,986 shares during fiscal year 2016,
representing $5.4 million including commissions.
“We are pleased with our strong finish to 2016, which reflects the
ability of TriplePoint’s global platform to source attractive investment
opportunities that meet our highly selective underwriting criteria,”
said Jim Labe, chairman and chief executive officer of TPVG. “As a
result of our record level of investment activity during the fourth
quarter, we achieved our target leverage ratio, which we expect to give
us earnings momentum heading into 2017.”
“TriplePoint’s reputation, track record and unique approach to lending
attract leading venture growth stage companies seeking a financial
partner to continue their success,” said Sajal Srivastava, president and
chief investment officer of the Company. “We see the opportunity in 2017
to capitalize on the robust demand for capital from these rapidly
growing companies with disruptive technologies that drive deep value
creation.”
Portfolio and Investment Activity
During the fourth quarter of 2016, the Company entered into $92.9
million of new commitments, funded ten loans and one equipment financing
totaling $64.5 million in principal balance, and acquired warrants
valued at $0.7 million. The new debt investments funded during the
quarter had a 13.6% weighted average annualized portfolio yield at
origination. The Company had no prepayments during the quarter,
resulting in a weighted average annualized portfolio yield on debt
investments for the fourth quarter of 13.7%. The Company calculates
weighted average portfolio yield as the annualized rate of the interest
income recognized during the period divided by the average amortized
cost of debt investments in the portfolio at the beginning of each month
in the period.1
As of December 31, 2016, the Company had 99 investments in 33 companies,
and the total cost and fair value of these investments were $370.1
million and $374.3 million, respectively. Total portfolio investment
activity for the three months and years ended December 31, 2016 and 2015
was as follows:
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended December 31,
|
|
|
For the Years Ended December 31,
|
|
(dollars in thousands)
|
|
|
2016
|
|
2015
|
|
|
2016
|
|
2015
|
|
Beginning portfolio at fair value
|
|
|
$
|
308,857
|
|
|
$
|
262,130
|
|
|
|
$
|
271,717
|
|
|
$
|
257,971
|
|
|
New debt investments
|
|
|
|
61,839
|
|
|
|
30,233
|
|
|
|
|
153,771
|
|
|
|
98,934
|
|
|
Scheduled principal payments and sale proceeds received from
investments
|
|
|
|
(2,306
|
)
|
|
|
(1,823
|
)
|
|
|
|
(9,966
|
)
|
|
|
(16,223
|
)
|
|
Early principal payments
|
|
|
|
—
|
|
|
|
(16,506
|
)
|
|
|
|
(41,115
|
)
|
|
|
(73,387
|
)
|
|
Accretion of debt investment fees
|
|
|
|
1,537
|
|
|
|
3,036
|
|
|
|
|
6,358
|
|
|
|
8,249
|
|
|
New warrants
|
|
|
|
705
|
|
|
|
267
|
|
|
|
|
2,382
|
|
|
|
1,453
|
|
|
New equity investments
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
196
|
|
|
|
750
|
|
|
Payment-in-kind coupon
|
|
|
|
1,572
|
|
|
|
409
|
|
|
|
|
2,856
|
|
|
|
409
|
|
|
Net realized gains (losses) on investments
|
|
|
|
187
|
|
|
|
—
|
|
|
|
|
(20,719
|
)
|
|
|
(317
|
)
|
|
Net unrealized gains (losses) on investments
|
|
|
|
1,920
|
|
|
|
(6,029
|
)
|
|
|
|
8,831
|
|
|
|
(6,122
|
)
|
|
Ending portfolio at fair value
|
|
|
$
|
374,311
|
|
|
$
|
271,717
|
|
|
|
$
|
374,311
|
|
|
$
|
271,717
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Signed Term Sheets
During the fourth quarter of 2016, TriplePoint Capital LLC (“TPC”)
entered into $127.5 million of non-binding term sheets to venture growth
stage companies. All of these opportunities are subject to a number of
conditions including completion of due diligence, negotiation of
definitive documentation, and investment committee approval, as well as
compliance with TPC’s allocation policy. Accordingly, there is no
assurance that any or all of these transactions will be completed or
assigned to the Company even though the Company is the primary vehicle
through which TPC focuses its venture growth stage business.
Debt Investment Commitments
As of December 31, 2016, the Company’s unfunded commitments totaled
$117.4 million of which $60.0 million is dependent upon customers
reaching certain milestones. Of the $117.4 million of unfunded
commitments, $102.4 million will expire during 2017, $10.0 million will
expire during 2018 and $5.0 million will expire during 2019 if not drawn
prior to expiration. Since these commitments may expire without being
drawn upon, unfunded commitments do not necessarily represent future
cash requirements or future earning assets for the Company.
Results of Operations
For the fourth quarter of 2016, the Company’s total investment and other
income was $10.6 million as compared to $11.4 million for the fourth
quarter of 2015, representing a weighted average annualized portfolio
yield on its debt investments of 13.7% during the fourth quarter of 2016
as compared to 17.9% for the fourth quarter of 2015. The Company had no
investment and other income from prepayments for the fourth quarter of
2016, as compared to $1.6 million for the fourth quarter of 2015.
Excluding the benefit of prepayments, the Company’s weighted average
annualized portfolio yield on its debt investments was 13.7% during the
fourth quarter of 2016 as compared to 15.4% for the fourth quarter of
2015. For the year ended December 31, 2016, the Company’s total
investment and other income was $43.6 million, representing a weighted
average annualized portfolio yield on its debt investments of 14.4% as
compared to $42.1 million and a weighted average annualized portfolio
yield on its debt investments of 17.0% for the year ended December 31,
2015. The Company had $2.0 million of investment and other income from
prepayments for the year ended December 31, 2016, as compared to $3.7
million for the year ended December 31, 2015. Excluding the benefit of
prepayments, the Company’s weighted average annualized portfolio yield
on its debt investments of 13.7% for the year ended December 31, 2016,
as compared to 15.4% for the year ended December 31, 2015.
Operating expenses for the fourth quarter of 2016 were $5.8 million as
compared to $5.4 million for the fourth quarter of 2015. Operating
expenses for the fourth quarter of 2016 consisted of $2.1 million of
interest expense and amortization of deferred credit facility costs,
$1.4 million of base management fees, $1.2 million of income incentive
fees, $0.4 million of administration agreement expenses and $0.7 million
of general and administrative expenses. The Company’s operating expenses
were $20.6 million and $20.1 million for the years ended December 31,
2016 and 2015, respectively.
For the fourth quarter of 2016, the Company recorded net investment
income and core net investment income2 of $4.8 million, or
$0.30 per share, as compared to $6.0 million, or $0.36 per share, of net
investment income and $5.8 million, or $0.35 per share, of core net
investment income for the fourth quarter of 2015. The Company’s net
investment income and core net investment income were both $23.0
million, or $1.42 per share, during the year ended December 31, 2016.
This compares to $22.0 million, or $1.46 per share, of net investment
income and $21.7 million, or $1.44 per share, of core net investment
income during the year ended December 31, 2015.
For the fourth quarter of 2016, the Company recorded net realized and
unrealized gains of $2.1 million, or $0.13 per share, as compared to net
realized and unrealized losses of $6.0 million, or $(0.36) per share,
for the fourth quarter of 2015. The Company’s net realized and
unrealized losses were $11.8 million, or $(0.73) per share, during the
year ended December 31, 2016. This compares to net realized and
unrealized losses of $6.4 million, or $(0.43) per share, during the year
ended December 31, 2015.
The Company’s net increase in net assets resulting from operations for
the fourth quarter of 2016 was approximately $6.9 million, or $0.44 per
share, as compared to a net increase of $19.0 thousand, or $0.00 per
share, for the fourth quarter of 2015. For the year ended December 31,
2016, the Company’s net increase in net assets resulting from operations
was approximately $11.1 million, or $0.69 per share, as compared to
$15.5 million, or $1.03 per share, for the year ended December 31, 2015.
Credit Quality
The Company maintains a credit watch list with borrowers placed into one
of five categories, where Clear, or 1, is the highest rating and all new
loans are initially assigned a rating of White, or 2. As of December 31,
2016, the weighted average investment ranking of the Company’s debt
investment portfolio was 1.85, as compared to 2.05 at the end of the
prior quarter. Additional information regarding our credit rating
methodology is detailed in our Form 10-K for the year ended December 31,
2016.
The following table shows the credit rankings for the Company’s debt
investments at fair value as of December 31, 2016 and as of September
30, 2016.
|
|
|
|
|
|
|
|
|
|
|
|
As of December 31, 2016
|
|
|
As of September 30, 2016
|
|
(dollars in thousands)
Category
|
|
|
Fair Value
|
|
Percentage of Debt
Investment Portfolio
|
|
|
Number of Portfolio
Companies
|
|
|
Fair Value
|
|
Percentage of Debt
Investment Portfolio
|
|
|
Number of Portfolio
Companies
|
|
Clear (1)
|
|
|
$
|
129,878
|
|
36.1
|
%
|
|
4
|
|
|
$
|
61,437
|
|
21.0
|
%
|
|
3
|
|
White (2)
|
|
|
|
166,908
|
|
46.4
|
|
|
11
|
|
|
|
170,279
|
|
58.2
|
|
|
10
|
|
Yellow (3)
|
|
|
|
51,014
|
|
14.2
|
|
|
2
|
|
|
|
46,264
|
|
15.8
|
|
|
2
|
|
Orange (4)
|
|
|
|
12,207
|
|
3.3
|
|
|
2
|
|
|
|
14,585
|
|
5.0
|
|
|
2
|
|
Red (5)
|
|
|
|
—
|
|
—
|
|
|
—
|
|
|
|
—
|
|
—
|
|
|
—
|
|
|
|
|
$
|
360,007
|
|
100.0
|
%
|
|
19
|
|
|
$
|
292,565
|
|
100.0
|
%
|
|
17
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Asset Value
As of December 31, 2016, the Company’s net assets were $215.9 million,
or $13.51 per share, compared to $214.4 million, or $13.44 per share, as
of September 30, 2016.
Share Repurchase Program
As part of the Company’s $25 million share repurchase program approved
in October 2015 and extended to October 2017, during fiscal year 2016,
485,986 shares were repurchased at a weighted average price of $11.06,
including commissions, with a total cost of approximately $5.4 million,
bringing total repurchases to 952,206 shares, representing $10.9 million
including commissions.
Liquidity and Capital Resources
As of December 31, 2016, the Company had total cash of $15.5 million,
with available capacity of $85.0 million under its revolving credit
facility. As of December 31, 2016, the Company had short term
investments of $39.9 million in fair value, consisting of U.S. Treasury
bills that the Company sold on January 4, 2017.
Distribution
The Company’s board of directors declared a quarterly distribution of
$0.36 per share for the first quarter of 2017 payable on April 17, 2017,
to stockholders of record as of March 31, 2017.
Subsequent Events
Since December 31, 2016:
-
The Company closed $22.0 million of additional debt commitments.
-
The Company funded $9.0 million in new investments.
-
TPC’s direct originations platform entered into $38.8 million of
additional non-binding signed term sheets with venture growth stage
companies.
-
The Company received prepayments from two customers totaling $35.0
million of outstanding principal balance.
Conference Call
The Company will host a conference call at 5:00 p.m. Eastern time today,
March 13, 2017, to discuss its financial results for the quarter and
year ended December 31, 2016. To listen to the call, investors and
analysts should dial 1 (866) 652-5200 (domestic) or 1 (412) 317-6060
(international) and ask to join the TriplePoint Venture Growth call.
Please dial in at least five minutes before the scheduled start time. A
replay of the call will be available through April 13, 2017, by dialing
1 (877) 344-7529 or 1 (412) 317-0088 (international) and entering
conference ID 10102310. The conference call also will be available via a
live audio webcast in the investor relations section of the Company’s
website, http://www.tpvg.com.
An online archive of the webcast will be available on the Company’s
website for 30 days after the call.
About TriplePoint Venture Growth BDC Corp.
The Company serves as the primary financing source for the venture
growth stage business segment of TriplePoint Capital LLC, the leading
global provider of financing across all stages of development to
technology, life sciences and other high growth companies backed by a
select group of venture capital firms. The Company’s investment
objective is to maximize its total return to stockholders primarily in
the form of current income and, to a lesser extent, capital appreciation
by primarily lending with warrants to venture growth stage companies.
The Company is an externally managed, closed-end, non-diversified
management investment company that has elected to be regulated as a
business development company under the Investment Company Act of 1940,
as amended. More information is available at http://www.tpvg.com.
Forward-Looking Statements
Certain statements contained in this press release constitute
forward-looking statements. Forward-looking statements are not
guarantees of future performance, condition or results and involve a
number of substantial risks and uncertainties, many of which are
difficult to predict and are generally beyond the Company's control.
Words such as "anticipates," "expects," "intends," "plans," "will,"
"may," "continue," "believes," "seeks," "estimates," "would," "could,"
"should," "targets," "projects," and variations of these words and
similar expressions are intended to identify forward-looking statements.
Actual results may differ materially from those in the forward-looking
statements as a result of a number of factors, including those described
from time to time in the Company’s filings with the Securities and
Exchange Commission. The Company undertakes no obligation to publicly
update or revise any forward-looking statements, whether as a result of
new information, future events or otherwise, except as may be required
by law.
|
|
|
|
|
|
|
|
TRIPLEPOINT VENTURE GROWTH BDC CORP
CONSOLIDATED
STATEMENTS OF ASSETS AND LIABILITIES
(dollars in
thousands, except share data)
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2016
|
|
December 31, 2015
|
|
Assets
|
|
|
|
|
|
|
Investments at fair value (amortized cost of $370,116 and $276,352,
respectively)
|
|
|
$
|
374,311
|
|
|
$
|
271,717
|
|
|
Short-term investments at fair value (cost of $39,990 and $69,998,
respectively)
|
|
|
|
39,990
|
|
|
|
69,995
|
|
|
Cash
|
|
|
|
7,776
|
|
|
|
32,451
|
|
|
Restricted cash
|
|
|
|
7,702
|
|
|
|
6,028
|
|
|
Deferred credit facility costs and other assets
|
|
|
|
4,443
|
|
|
|
2,132
|
|
|
Total Assets
|
|
|
|
434,222
|
|
|
|
382,323
|
|
|
|
|
|
|
|
|
|
Liabilities
|
|
|
|
|
|
|
Revolving credit facility payable
|
|
|
|
115,000
|
|
|
|
18,000
|
|
|
2020 Notes, net
|
|
|
|
53,288
|
|
|
|
52,910
|
|
|
Payable for U.S. Treasury bill assets
|
|
|
|
39,990
|
|
|
|
69,998
|
|
|
Other payables, accrued expenses, and liabilities
|
|
|
|
10,081
|
|
|
|
9,769
|
|
|
Total Liabilities
|
|
|
|
218,359
|
|
|
|
150,677
|
|
|
|
|
|
|
|
|
|
Net Assets
|
|
|
$
|
215,863
|
|
|
$
|
231,646
|
|
|
|
|
|
|
|
|
|
Preferred stock, par value $0.01 per share (50,000,000 shares
authorized; no shares issued and outstanding as of December 31, 2016
and December 31, 2015)
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
Common stock, par value $0.01 per share (450,000,000 shares
authorized; 15,980,768 and 16,302,036 shares issued and outstanding
as of December 31, 2016 and December 31, 2015, respectively)
|
|
|
|
160
|
|
|
|
163
|
|
|
Paid-in capital in excess of par value
|
|
|
|
231,518
|
|
|
|
235,205
|
|
|
Net investment income
|
|
|
|
57,778
|
|
|
|
34,767
|
|
|
Accumulated net realized losses on investments
|
|
|
|
(21,035
|
)
|
|
|
(317
|
)
|
|
Accumulated net unrealized gains (losses) on investments
|
|
|
|
4,195
|
|
|
|
(4,638
|
)
|
|
Distributions
|
|
|
|
(56,753
|
)
|
|
|
(33,534
|
)
|
|
Net Assets
|
|
|
$
|
215,863
|
|
|
$
|
231,646
|
|
|
|
|
|
|
|
|
|
Net Asset Value per Share
|
|
|
$
|
13.51
|
|
|
$
|
14.21
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TRIPLEPOINT VENTURE GROWTH BDC CORP
CONSOLIDATED
STATEMENTS OF OPERATIONS
(dollars in thousands, except
share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months Ended December 31,
|
|
|
|
For the Years Ended December 31,
|
|
|
|
|
|
2016
|
|
|
2015
|
|
|
|
2016
|
|
|
2015
|
|
|
Investment Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income from investments
|
|
|
$
|
10,553
|
|
|
$
|
11,072
|
|
|
|
$
|
41,767
|
|
|
$
|
39,904
|
|
|
Other income
|
|
|
|
96
|
|
|
|
355
|
|
|
|
|
1,868
|
|
|
|
2,182
|
|
|
Total Investment and Other Income
|
|
|
|
10,649
|
|
|
|
11,427
|
|
|
|
|
43,635
|
|
|
|
42,086
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Base management fee
|
|
|
|
1,449
|
|
|
|
1,375
|
|
|
|
|
5,525
|
|
|
|
5,428
|
|
|
Income incentive fee
|
|
|
|
1,207
|
|
|
|
1,453
|
|
|
|
|
2,775
|
|
|
|
4,360
|
|
|
Capital gains incentive fee
|
|
|
|
—
|
|
|
|
(215
|
)
|
|
|
|
—
|
|
|
|
(296
|
)
|
|
Interest expense and amortization of fees
|
|
|
|
2,126
|
|
|
|
1,791
|
|
|
|
|
7,859
|
|
|
|
6,285
|
|
|
Administration agreement expenses
|
|
|
|
362
|
|
|
|
323
|
|
|
|
|
1,552
|
|
|
|
1,517
|
|
|
General and administrative expenses
|
|
|
|
675
|
|
|
|
652
|
|
|
|
|
2,913
|
|
|
|
2,833
|
|
|
Total Operating Expenses
|
|
|
|
5,819
|
|
|
|
5,379
|
|
|
|
|
20,624
|
|
|
|
20,127
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Investment Income
|
|
|
|
4,830
|
|
|
|
6,048
|
|
|
|
|
23,011
|
|
|
|
21,959
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Realized and Unrealized Gains (Losses) on Investments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net realized gains (losses) on investments
|
|
|
|
188
|
|
|
|
—
|
|
|
|
|
(20,718
|
)
|
|
|
(317
|
)
|
|
Net change in unrealized gains (losses) on investments
|
|
|
|
1,927
|
|
|
|
(6,029
|
)
|
|
|
|
8,833
|
|
|
|
(6,121
|
)
|
|
Net Realized and Unrealized Gains (Losses) on Investments
|
|
|
|
2,115
|
|
|
|
(6,029
|
)
|
|
|
|
(11,885
|
)
|
|
|
(6,438
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Increase in Net Assets Resulting from Operations
|
|
|
$
|
6,945
|
|
|
$
|
19
|
|
|
|
$
|
11,126
|
|
|
$
|
15,521
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted net investment income per share
|
|
|
$
|
0.30
|
|
|
$
|
0.36
|
|
|
|
$
|
1.42
|
|
|
$
|
1.46
|
|
|
Basic and diluted net increase in net assets per share
|
|
|
$
|
0.44
|
|
|
$
|
—
|
|
|
|
$
|
0.69
|
|
|
$
|
1.03
|
|
|
Basic and diluted weighted average shares of common stock outstanding
|
|
|
|
15,961,592
|
|
|
|
16,574,508
|
|
|
|
|
16,160,043
|
|
|
|
15,041,088
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WEIGHTED AVERAGE PORTFOLIO YIELD ON DEBT INVESTMENTS
|
|
|
|
|
|
For the Three Months Ended
December 31,
|
|
For the Years Ended December 31,
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average portfolio yield on debt investments
|
|
13.7%
|
|
17.9%
|
|
14.4%
|
|
17.0%
|
|
Coupon income
|
|
10.4%
|
|
10.4%
|
|
10.4%
|
|
10.6%
|
|
Net amortization and accretion of premiums and discounts
|
|
0.8%
|
|
0.8%
|
|
0.8%
|
|
0.8%
|
|
Net accretion of end-of-term payments
|
|
2.5%
|
|
4.2%
|
|
2.5%
|
|
4.0%
|
|
Impact of prepayments
|
|
0.0%
|
|
2.5%
|
|
0.7%
|
|
1.6%
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average portfolio yield on debt investments for periods
shown are the annualized rate of the interest income recognized
during the period divided by the average amortized cost of debt
investments in the portfolio at the beginning of each month in the
period.
|
|
|
|
|
|
|
|
|
|
RECONCILIATION OF CORE NET INVESTMENT INCOME
(dollars
in thousands, except share data)
|
|
|
|
|
|
|
|
|
|
Net Investment Income and Core Net Investment Income
|
|
|
For the Three Months Ended
December 31,
|
|
|
For the Years Ended December 31,
|
|
(dollars in thousands, except per share amounts)
|
|
|
|
2016
|
|
|
2015
|
|
|
|
|
2016
|
|
|
2015
|
|
|
Net Investment Income
|
|
|
$
|
4,830
|
|
$
|
6,048
|
|
|
|
$
|
23,011
|
|
$
|
21,959
|
|
|
Capital gains incentive fee
|
|
|
|
—
|
|
|
(215
|
)
|
|
|
|
—
|
|
|
(296
|
)
|
|
Core Net Investment Income
|
|
|
$
|
4,830
|
|
$
|
5,833
|
|
|
|
$
|
23,011
|
|
$
|
21,663
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Investment Income per Share
|
|
|
$
|
0.30
|
|
$
|
0.36
|
|
|
|
$
|
1.42
|
|
$
|
1.46
|
|
|
Capital gains incentive fee per share
|
|
|
|
—
|
|
|
(0.01
|
)
|
|
|
|
—
|
|
|
(0.02
|
)
|
|
Core Net Investment Income per Share
|
|
|
$
|
0.30
|
|
$
|
0.35
|
|
|
|
$
|
1.42
|
|
$
|
1.44
|
|
|
For the three months and year ended December 31, 2016, the Company
had no accrued capital gains incentive fee and for the three
months and year ended December 31, 2015, the Company recorded
reversal of accrued capital gains incentive fee of $0.2 million
and $0.3 million, respectively. The capital gains incentive fee
accrual, as reported under generally accepted accounting
principles, is calculated on the basis of net realized and
unrealized gains and losses at the end of each applicable calendar
year.
|
|
|
|
The actual capital gains incentive fee payable to the Company’s
investment adviser is calculated and paid as of the end of each
calendar year and is only based on net realized gains, if any,
offset by gross unrealized depreciation for the calendar year. No
effect is given to gross unrealized appreciation in this
calculation.
|
|
|
1 The Company’s weighted average annualized portfolio yield
on debt investments may be higher than an investor’s yield on an
investment in shares of its common stock. The weighted average
annualized portfolio yield on debt investments does not reflect
operating expenses that may be incurred by the Company. In addition, the
Company’s weighted average annualized portfolio yield on debt
investments disclosed above does not consider the effect of any sales
commissions or charges that may be incurred in connection with the sale
of shares of its common stock.
2 Core net investment income is a non-GAAP measure and is
provided in addition to, but not as a substitute for, net investment
income. Core net investment income represents net investment income
excluding the Company’s capital gains incentive fee. A reconciliation
of net investment income to core net investment income is provided at
the end of this press release.
View source version on businesswire.com: http://www.businesswire.com/news/home/20170313006322/en/
Source: TriplePoint Venture Growth BDC Corp.