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Private Credit Portfolio Analysis | Horizon Technology Finance Reports 2024 Annual Results

  • Editor
  • Mar 4
  • 2 min read

Whats New:

Horizon Technology Finance Corp reported its 2024 annual financial results, showing total assets of $821.8 million as of December 31, 2024, up from $802.4 million at the end of 2023. The fund's net assets increased to $336.2 million from $324.0 million, while net asset value per share decreased to $8.43 from $9.71 year-over-year.


Portfolio Dynamics:

  • Total assets grew to $821.8 million as of December 31, 2024, compared to $802.4 million at the end of 2023.

  • Investments owned at fair value decreased slightly to $697.9 million from $709.1 million at the end of 2023.

  • Cash and cash equivalents, including money market funds, increased to $97.5 million from $73.1 million at the end of 2023.


Investment Activty:

  • Interest receivable increased to $16.6 million from $13.9 million at the end of 2023.

  • Other assets grew to $6.5 million from $3.6 million at the end of 2023.

  • Restricted investments rose to $3.3 million from $2.6 million at the end of 2023.


Capital Structure:

  • Long-term debt increased to $467.9 million from $462.2 million at the end of 2023.

  • Total liabilities grew to $485.7 million from $478.4 million at the end of 2023.

  • Additional paid-in capital increased to $518.2 million from $450.9 million at the end of 2023.


Performance Profile:

  • Net asset value per share decreased to $8.43 as of December 31, 2024, compared to $9.71 at the end of 2023.

  • Retained earnings deficit increased to $182.1 million from $127.0 million at the end of 2023.

  • Common stock value increased to $44,000 from $36,000 at the end of 2023.


Risk & Quality:

  • Distribution payable increased to $13.2 million from $11.0 million at the end of 2023.

  • Management fee payable decreased slightly to $1.0 million from $1.1 million at the end of 2023.

  • Other accrued liabilities decreased to $3.5 million from $4.1 million at the end of 2023.


The Wrap:

Horizon Technology Finance Corp's 2024 annual results show mixed performance with increased total assets and net assets, but a decrease in net asset value per share. The fund saw growth in cash and cash equivalents, while maintaining a relatively stable investment portfolio. However, the increase in long-term debt and retained earnings deficit suggests potential challenges in profitability and leverage management.


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