Gladstone Investment Corporation (NASDAQ: GAIN) has reported its financial results for the first fiscal quarter ending June 30, 2025. The company's total investment income decreased by $4,004 thousand, or 14.5%, from the previous quarter, amounting to $23,544 thousand. Net investment income increased significantly by $1,859 thousand, or 25.7%, from the previous quarter, reaching $9,088 thousand. However, the company reported a net decrease in net assets resulting from operations of $10,101 thousand, or 56.5%, compared to the previous quarter, totaling $7,772 thousand.
The net investment income per weighted-average common share saw a 25.0% increase, rising from $0.20 to $0.25. Adjusted net investment income per weighted-average common share decreased by $0.02, or 7.7%, from the previous quarter, amounting to $0.24. Additionally, the net increase in net assets resulting from operations per weighted-average common share decreased by 57.1%, from $0.49 to $0.21.
The company's quarterly total investments at fair value increased by $57,425 thousand, or 5.9%, from the previous quarter, reaching $1,036,745 thousand. The fair value, as a percent of cost, decreased by 0.4%, from 104.3% to 103.9%.
The number of portfolio companies increased by 2, or 8.0%, from the previous quarter, totaling 27 as of June 30, 2025. The total shares of common stock outstanding also saw an increase of 515,295, or 1.4%, from the previous quarter, amounting to 37,352,676 shares.
In terms of portfolio activity, the company made significant investments in new portfolio companies, including Smart Chemical Solutions, LLC and Sun State Nursery and Landscaping, LLC, and restructured its investment in PSI Molded Plastics, Inc. Subsequent to June 30, 2025, the company also made a substantial investment in a new portfolio company, Global Grab Technologies, Inc.
The company's total expenses, net, decreased by $5,863 thousand, or 28.9%, from the previous quarter, amounting to $14,456 thousand. Additionally, the weighted-average yield on interest-bearing investments increased by 0.9%, from 13.2% to 14.1%.
Gladstone Investment Corporation paid cash distributions per common share from net investment income and net realized gains, with the latter seeing a significant increase of 112.5% from the previous quarter.
The net asset value per common share as of June 30, 2025, decreased by $0.56, or 4.1%, from the previous quarter, reaching $12.99. Subsequent to June 30, 2025, the company declared monthly distributions to common stockholders and sold 866,554 shares of its common stock under its common stock ATM program, raising approximately $12.1 million in net proceeds.
These figures demonstrate the company's financial performance and investment activities during the first quarter of the fiscal year 2025. Following these announcements, the company's shares moved 0.07%, and are now trading at a price of $14.28. Check out the company's full 8-K submission here.
