Analyst Summary:
Business development company Rand Capital Corporation (Nasdaq: RAND) has reported a 40% increase in total investment income for Q4 2022. The company's debt portfolio now makes up more than half of its total portfolio mix at 56% compared to 46% at the end of 2021. Rand’s portfolio included investments with a fair value of $61.5 million across 29 portfolio businesses by the end of 2022, up $1.8 million, or 3%, from September 30, 2022. Commenting on the results, CEO Daniel P. Penberthy said that “2022 was a strong year and continued to demonstrate the execution of our strategy". Rand paid a total of $2.1 million in dividends, including raising its regular quarterly cash dividend by 33%, or $0.05 per share, to $0.20 per share in Q4 2022. The company's investment activities are managed by its external investment adviser, Rand Capital Management, LLC.
Quotes:
“2022 was a strong year and continued to demonstrate the execution of our strategy. We advanced our investment portfolio composition towards more debt instruments with the addition of four interest-yielding investments over the past year. Equally important has been our focus on expense management, which translated into strong net investment income growth for the year and enabled us to increase our return to shareholders" - Daniel P. Penberthy, President and CEO of Rand Capital Corporation.
Forward-looking statements:
All statements, other than historical facts, including but not limited to statements regarding the company's strategy and outlook, and any assumptions underlying any of the foregoing, are forward-looking statements. Actual results may vary materially from those indicated or anticipated by such forward-looking statements due to risks and uncertainties.