BlackRock Capital Investment Corporation (NASDAQ: BKCC) announced financial results for the fourth quarter of fiscal 2017 after the bell on Wednesday. Shares of the company increased 2.9% in premarket trading on Thursday.
According to the company, GAAP net investment income for the fourth quarter was $14.5 million, or $0.20 per share, for the fourth quarter, compared with $12.1 million, or $0.17 per share for the third quarter. The result beat analysts’ estimates by $0.02 per share. In addition, the distribution was $0.18 per share.
Net asset value per share decreased from $7.99 to $7.83 for the fourth quarter. According to the company, the drop in the net asset value was primarily due to net markdown in legacy portfolio investments.
“Our NII covered the distribution for the fourth quarter by 110% as total investment income increased $1.6 million compared to the third quarter driven by increased fee income in the quarter. Additionally, the reduction in NAV that we experienced was mainly due to a net markdown in certain legacy portfolio investments,” Michael J. Zugay, the CEO of BlackRock Capital Investment Corporation, said in the statement on Wednesday.
“After the repayment in full of our remaining 5.50% convertible notes in February 2018, we have no debt maturing until 2022. Additionally, $365 million of available liquidity provides us with significant operating flexibility and deployment capacity,” he continued.