|Record Date||Payment Date||Per Share Amount|
|January 31, 2013||February 15, 2013||$0.077|
|February 28, 2013||March 15, 2013||$0.077|
|March 29, 2013||April 15, 2013||$0.077|
Financial Highlights for the First Quarter of Fiscal 2013
- Net asset value was $8.51 per share at September 30, 2012.
- Weighted average portfolio interest rate was 12.84% at September 30, 2012.
- Total investment income was $2.8 million, including fee income from structuring fees and other sources of $0.2 million.
- Net investment income was $1.2 million, or $0.20 per share.
- Net realized losses were $(0.9) million, or $(0.14) per share, and net unrealized gains were $0.5 million, or $0.08 per share, resulting in a net increase in net assets from operations of $0.9 million, or $0.14 per share.
- Total portfolio investments at September 30, 2012 were $75.5 million (excluding U.S. treasury bills of $25.0 million), compared to $72.3 million (excluding U.S. treasury bills of $22.5 million) at June 30, 2012.
- New originations were $3.25 million, consisting of a new debt facility to Global Energy Efficiency Holdings Inc. Additional funding to existing borrowers totaled $0.6 million (excluding revolvers).
- At September 30, 2012, 93% of portfolio company investments were first lien senior secured loans.
- At September 30, 2012, debt outstanding was $26.5 million consisting of $23.1 million drawn under the Company’s $35.0 million senior credit facility and $3.4 million of senior unsecured notes.
- Paid monthly distributions of $0.077 per share on August 15, 2012, September 14, 2012 and October 15, 2012.
“Our consistently strong investment portfolio metrics reflect our primary strategy of investing in first lien senior secured loans to smaller and lower middle-market companies with a desirable yield. We now have debt investments in 17 companies with first lien senior secured loans comprising 93% of the total investment portfolio. While the yield on the portfolio remains approximately 13%, we have retained flexibility in these investments with floating rate loans accounting for 93% of the portfolio, which we believe to be among the top tier of the BDC universe.”First Quarter Fiscal 2013 Results The Company’s net asset value at September 30, 2012 was $8.51 per share. During the quarter, the Company generated $2.6 million of interest income, of which 100% was paid in cash. Fee income from structuring fees and other sources totaled $0.2 million. The Company recorded net investment income of $1.2 million, or $0.20 per share, net realized losses of $(0.9) million, or $(0.14) per share, and unrealized gains of $0.5 million, or $0.08 per share, resulting in a net increase in net assets from operations of $0.9 million, or $0.14 per share. During the quarter, the Company originated a $3.25 million new loan facility of which $3.0 million was funded at closing. Net funding to existing borrowers, including revolver draws and repayments, was $0.3 million during the quarter. At September 30, 2012, the Company’s portfolio included investments in 20 companies, of which 17 were debt investments. The average portfolio company debt investment at September 30, 2012 was $4.3 million. The weighted average interest rate on investments was 12.84%. At fair value, 93% of portfolio investments were first lien loans, 5% were second lien loans and 2% were equity investments. Approximately 93% of the debt investment portfolio, at fair value, bore interest at floating rates. The loan-to-value ratio on the Company’s loans was 62% at September 30, 2012 and June 30, 2012.
Conference Call DetailsManagement will host a conference call to discuss these results on Friday, November 9, 2012 at 10:00 a.m. ET. To participate in the conference call, please call 866-305-6438 (domestic call-in) or 706-679-7161 (international call-in) and reference code # 55040729. A live webcast of the conference call and the accompanying slide presentation will be available at http://ir.fccapital.com/CorporateProfile.aspx?iid=4151676. All participants should call or access the website approximately 10 minutes before the conference begins. A telephone replay of the conference call will be available from 1:00 p.m. ET on November 9, 2012 until 11:59 p.m. ET on November 15, 2012 by calling 855-859-2056 (domestic) or 404-537-3406 (international) and entering confirmation # 55040729. An archived replay of the conference call and slide presentation will also be available in the investor relations section of the company’s website. About Full Circle Capital Corporation Full Circle Capital Corporation ( www.fccapital.com) is a closed-end investment company that has elected to be treated as a business development company under the Investment Company Act of 1940. Full Circle lends to and invests in senior secured loans and, to a lesser extent, mezzanine loans and equity securities issued by smaller and lower middle-market companies that operate in a diverse range of industries. Full Circle’s investment objective is to generate both current income and capital appreciation through debt and equity investments. For additional information visit the company’s web site www.fccapital.com. Forward-Looking Statements This press release contains forward-looking statements which relate to future events or Full Circle's future performance or financial condition. Any statements that are not statements of historical fact (including statements containing the words “believes,” “plans,” “anticipates,” “expects,” “estimates” and similar expressions) should also be considered to be forward-looking statements. These forward-looking 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 those described from time to time in Full Circle's filings with the Securities and Exchange Commission. Full Circle undertakes no duty to update any forward-looking statements made herein.
|FULL CIRCLE CAPITAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES|
|September 30, 2012||June 30, 2012|
|Control Investments at Fair Value (Cost of $8,605,711 and $6,639,648, respectively)||$||8,502,142||$||6,777,511|
|Affiliate Investments at Fair Value (Cost of $7,914,999 and $6,802,017, respectively)||5,988,684||5,112,142|
|Investments at Fair Value (Cost of $87,201,156 and $85,181,617, respectively)||85,971,841||82,957,117|
|Total Investments at Fair Value (Cost of $103,721,866 and $98,623,282, respectively)||100,462,667||94,846,770|
|Deposit with Broker||2,752,519||2,350,000|
|Due from Portfolio Investment||-||11,140|
|Due from Affiliate||37,335||-|
|Deferred Offering Expenses||71,781||67,685|
|Deferred Credit Facility Fees||100,000||50,000|
|Due to Affiliate||643,272||580,353|
|Due to Broker||25,000,604||22,500,041|
|Accrued Offering Expenses||-||19,697|
|Line of Credit||23,098,577||18,544,660|
|Components of Net Assets|
|Common Stock, par value $0.01 per share|
|(100,000,000 authorized; 6,219,382 issued|
|Paid-in capital in excess of par||57,455,232||57,455,232|
|Distributions in excess of Net Investment Income||(321,195||)||(122,763||)|
|Accumulated Net Realized Gains (Losses)||(1,036,033||)||(175,366||)|
|Accumulated Net Unrealized Losses||(3,259,199||)||(3,776,512||)|
|Net Asset Value Per Share||$||8.51||$||8.59|
|FULL CIRCLE CAPITAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)|
|Three months ended September 30, 2012||Three months ended September 30, 2011|
|Interest Income from Affiliate Investments||279,941||234,864|
|Interest Income from Control Investments||279,173||27,573|
|Dividend Income from Control Investments||34,097||-|
|Other Income from Affiliate Investments||3,581||54,086|
|Other Income from Control Investments||12,500||105,000|
|Total Investment Income||2,773,303||2,558,243|
|Total Advisory Fees||641,968||657,562|
|Allocation of Overhead Expenses||56,756||85,685|
|Total Administration Fees||205,379||209,723|
|Professional Services Expense||165,161||220,873|
|Total Gross Operating Expenses||1,535,058||1,327,693|
|Management Fee Waiver and Expense Reimbursement||-||(313,792||)|
|Total Net Operating Expenses||1,535,058||1,013,901|
|Net Investment Income||1,238,245||1,544,342|
|Net Change in Unrealized Gain (Loss) on Investments||517,313||(70,815||)|
|Net Realized Gain (Loss) on Investments||(860,667||)||125,806|
|Net Increase in Net Assets Resulting from Operations||$||894,891||$||1,599,333|
|Earnings per Common Share Basic and Diluted||$||0.14||$||0.26|
|Weighted Average Shares of Common Stock Outstanding Basic and Diluted||6,219,382||6,219,382|
|FULL CIRCLE CAPITAL CORPORATION AND SUBSIDIARIES FINANCIAL HIGHLIGHTS (Unaudited)|
|Three months ended September 30, 2012||Three months ended September 30, 2011|
|Per Share Data (1) :|
|Net asset value at beginning of period||$||8.59||$||9.08|
|Net investment income||0.20||0.25|
|Change in unrealized gain (loss)||0.08||(0.01||)|
|Realized gain (loss)||(0.13||)||0.02|
|Net asset value at end of period||$||8.51||$||9.11|
|1 Financial highlights are based on average weighted shares outstanding.|