(NYSE:KED) Kayne Anderson Energy Development Company (the “Company”) today announced its financial results for the quarter ended February 28, 2014.
- The Company increased its quarterly distribution to $0.51 per share, up 2.0% from the prior quarter
- Net asset value of $31.02 per share at February 28, 2014, up $1.06 per share (3.5%) from November 30, 2013
- Net investment loss of $0.3 million
- Net realized gains of $13.2 million
- Net unrealized gains of $3.4 million
RESULTS OF OPERATIONS – QUARTER ENDED FEBRUARY 28, 2014
Investment income totaled $2.3 million for the quarter and consisted of net dividends and distributions. The Company received $8.3 million of dividends and distributions, of which $6.0 million was treated as a return of capital. The Company received $0.3 million of paid-in-kind dividends, which are not included in investment income, but are reflected as an unrealized gain.Operating expenses totaled $2.8 million, including $1.8 million of investment management fees (net of fee waiver), $0.6 million of interest expense and $0.4 million of other operating expenses. Interest expense included $0.2 million of amortization of debt offering costs. KA Fund Advisors, LLC, the Company’s investment adviser, agreed to waive 0.25% of its 1.75% management fee for a one-year period effective October 3, 2013. The Company’s net investment loss totaled $0.3 million and included a current tax benefit of $0.03 million and a deferred tax benefit of $0.2 million. The Company had net realized gains from investments of $13.2 million after taking into account a current tax expense of $1.2 million and a deferred tax expense of $6.5 million. The Company had a net increase in unrealized gains of $3.4 million. The net increase consisted of $5.4 million of unrealized gains from investments and a deferred tax expense of $2.0 million.