-- For the year ended December 31, 2010, we recorded approximately $33.5
million of total investment income and $24.2 million of net investment
income, compared to $20.5 million of total investment income and $13.5
million of net investment income for the year ended December 31, 2009.
-- For the quarter ended December 31, 2010, we recorded net investment
income of approximately $6.7 million, or approximately $0.24 per share,
net unrealized appreciation on investments of approximately $30.3
million and net realized losses on investments of approximately $13.0
million. In total, we had a net increase in net assets resulting from
operations of approximately $0.84 per share for the fourth quarter.
-- Total investment income for the fourth quarter of 2010 amounted to
approximately $9.1 million which remained essentially the same as
the total investment income for the third quarter of 2010.
-- Expenses for the fourth quarter of 2010 were approximately $2.5
million which were also essentially the same as the expenses for
the third quarter of 2010.
-- During the quarter ended December 31, 2010, we recorded net
unrealized appreciation of approximately $30.3 million, comprised
of $19.3 million in gross unrealized appreciation, $3.0 million in
gross unrealized depreciation and approximately $14.0 million
relating to the reversal of prior period net unrealized
depreciation upon the realization events associated with certain
investments.
-- Our weighted average credit rating on a fair value basis moved
from 2.2 at the end of the third quarter of 2010 to 2.1 at the
end of the fourth quarter of 2010.
-- For the quarter ended December 31, 2010, we had net realized losses
on investments of approximately $13.0 million due primarily to the
loss on our investment in WAICCS Las Vegas, LLC. For accounting
purposes, the loss was realized as of December 31, 2010, although
the investment had been fully written-down earlier in the year.
This loss was partially offset by the gain associated with the
repayment of our debt investment in Cavtel Holdings, LLC of
approximately $1.5 million.
-- Our Board of Directors has declared a distribution of $0.24 per share
for the first quarter of 2011.
-- Payable Date: March 31, 2011
-- Record Date: March 21, 2011
-- During the fourth quarter of 2010, we deployed approximately $30.8
million in 8 investments in addition to the prior three quarters'
deployment of approximately $99.0 million.
-- With respect to our CLO investments for the quarter ending December 31,
2010, we received approximately $911,000 in interest payments,
$343,000 in principal payments at par and approximately $1.1 million
in CLO equity distributions. In total, since we began investing in this
asset class through December 31, 2010, we have received approximately
$3.0 million in interest payments, $2.0 million in principal payments
at par and $3.7 million in CLO equity distributions.
-- At the end of the fourth quarter, this asset class represented
approximately 24.0% of our total assets on a fair value basis.
-- Portfolio realizations amounted to $39.9 million during the fourth
quarter of 2010 (which had previously been carried at an aggregate book
value of $38.4 million).
-- At December 31, 2010, the weighted average yield of our debt
investments was approximately 14.1%, up from 13.8% at September 30,
2010.
-- As of the end of 2010 there were no loans on non-accrual status.
-- At December 31, 2010, net asset value per share was $9.85 compared
with the net asset value per share at September 30, 2010 of $9.27.
We will host a conference call to discuss our fourth quarter results today,
Wednesday, March 9 at 10:00 AM ET. Please call 877-317-6789 to participate.
A replay of the conference call will be available for approximately 30 days.
The replay number is 877-344-7529, and the replay passcode is 448816.
The following financial statements are unaudited and without footnotes.
Readers who would like additional information should obtain our Form 10-K
for the period ended December 31, 2010, and subsequent reports on Form 10-Q
as they are filed.
TICC CAPITAL CORP.
STATEMENTS OF ASSETS AND LIABILITIES
December 31, December 31,
2010 2009
------------ ------------
ASSETS
Investments, at fair value (cost:
$226,200,687 @ 12/31/10; $260,752,699 @
12/31/09)
Non-affiliated/non-control investments
(cost: $206,750,687 @ 12/31/10;
$241,169,345 @ 12/31/09) $229,385,715 $180,226,123
Control investments (cost: $19,450,000 @
12/31/10; $19,583,354 @ 12/31/09) 18,150,000 20,025,000
------------ ------------
Total investments at fair value 247,535,715 200,251,123
------------ ------------
Cash and cash equivalents 68,780,866 23,972,885
Interest receivable 1,488,984 860,271
Prepaid expenses and other assets 94,518 256,012
------------ ------------
Total assets $317,900,083 $225,340,291
============ ============
LIABILITIES
Investment advisory fee payable to
affiliate $ 1,760,896 $ 1,119,544
Securities purchased not settled 1,837,500 -
Accrued expenses 184,146 128,752
------------ ------------
Total liabilities 3,782,542 1,248,296
------------ ------------
NET ASSETS
Common stock, $0.01 par value, 100,000,000
shares authorized, and 31,886,367 and
26,813,216 issued and outstanding,
respectively 318,864 268,132
Capital in excess of par value 369,163,104 320,175,874
Net unrealized appreciation (depreciation)
on investments 21,335,028 (60,501,576)
Accumulated net realized losses on
investments (74,545,034) (32,412,374)
Distributions in excess of investment
income (2,154,421) (3,438,061)
------------ ------------
Total net assets 314,117,541 224,091,995
------------ ------------
Total liabilities and net assets $317,900,083 $225,340,291
============ ============
Net asset value per common share $ 9.85 $ 8.36
TICC CAPITAL CORP.
STATEMENTS OF OPERATIONS
Year Ended Year Ended Year Ended
December 31, December 31, December 31,
2010 2009 2008
------------- ------------- -------------
INVESTMENT INCOME
From non-affiliated/
non-control investments:
Interest income - debt
investments $ 26,959,707 $ 17,907,924 $ 33,355,098
Distributions from
securitization vehicles -
equity investments 3,728,638 - -
Commitment, amendment fee
income and other income 968,317 129,265 904,363
------------- ------------- -------------
Total investment income from
non-affiliated/non-control
investments 31,656,662 18,037,189 34,259,461
------------- ------------- -------------
From control investments:
Interest income - debt
investments 1,849,929 2,470,603 2,921,174
Other income - - 125,000
------------- ------------- -------------
Total investment income from
control investments 1,849,929 2,470,603 3,046,174
------------- ------------- -------------
Total investment income 33,506,591 20,507,792 37,305,635
------------- ------------- -------------
EXPENSES
Compensation expense 1,020,950 971,356 906,109
Investment advisory fees 6,447,570 4,122,005 7,001,236
Professional fees 1,033,650 1,305,894 1,626,028
Interest expense - - 4,814,408
Insurance 75,419 75,974 76,734
Directors' fees 178,750 193,000 184,750
Transfer agent and custodian
fees 105,389 98,012 104,572
General and administrative 401,366 249,567 400,635
------------- ------------- -------------
Total expenses 9,263,094 7,015,808 15,114,472
------------- ------------- -------------
Net investment income 24,243,497 13,491,984 22,191,163
------------- ------------- -------------
Net change in unrealized
appreciation (depreciation)
on investments 81,836,604 32,203,525 (66,947,503)
------------- ------------- -------------
Net realized losses on
investments (42,132,660) (10,513,051) (8,509,814)
------------- ------------- -------------
Net increase (decrease) in net
assets resulting from
operations $ 63,947,441 $ 35,182,458 $ (53,266,154)
============= ============= =============
Net increase in net assets
resulting from net investment
income per common share:
Basic and diluted $ 0.89 $ 0.51 $ 0.91
Net increase in net assets
resulting from operations per
common share:
Basic and diluted $ 2.35 $ 1.32 $ (2.19)
Weighted average shares of
common stock outstanding:
Basic and diluted 27,253,552 26,624,217 24,314,512
TICC CAPITAL CORP.
FINANCIAL HIGHLIGHTS (UNAUDITED)
Year Ended Year Ended Year Ended Year Ended Year Ended
December December December December December
31, 31, 31, 31, 31,
2010 2009 2008 2007 2006
---------- ---------- ---------- ---------- ----------
Per Share
Data
Net asset
value at
beginning of
period $ 8.36 $ 7.68 $ 11.94 $ 13.77 $ 13.77
---------- ---------- ---------- ---------- ----------
Net
investment
income(1) 0.89 0.51 0.91 1.32 1.30
Net realized
and
unrealized
capital
gains
(losses)(2) 1.19 0.81 (2.94) (1.79) 0.05
---------- ---------- ---------- ---------- ----------
Total from
investment
operations 2.08 1.32 (2.03) (0.47) 1.35
---------- ---------- ---------- ---------- ----------
Dividends
from net
investment
income (0.81) (0.60) (0.98) (1.37) (1.28)
Distributions
from net
realized
capital
gains (0.00) (0.00) (0.00) (0.05) (0.10)
Tax return of
capital
distributions (0.00) (0.00) (0.08) (0.02) (0.00)
---------- ---------- ---------- ---------- ----------
Total
distributions
(3) (0.81) (0.60) (1.06) (1.44) (1.38)
---------- ---------- ---------- ---------- ----------
Effect of
shares
issued, net
of offering
expenses 0.22 (0.04) (1.17) 0.08 0.03
---------- ---------- ---------- ---------- ----------
Net asset
value at end
of period $ 9.85 $ 8.36 $ 7.68 $ 11.94 $ 13.77
========== ========== ========== ========== ==========
Per share
market value
at beginning
of period $ 6.05 $ 3.80 $ 9.23 $ 16.14 $ 15.10
Per share
market value
at end of
period $ 11.21 $ 6.05 $ 3.80 $ 9.23 $ 16.14
Total
return(4) 102.39% 81.15% (50.23)% (36.26)% 17.02%
Shares
outstanding
at end of
period 31,886,367 26,813,216 26,483,546 21,563,717 19,705,824
Ratios/
Supplemental
Data
Net assets at
end of
period
(000's) $ 314,118 $ 224,092 $ 203,367 $ 257,370 $ 271,335
Average net
assets
(000's) $ 243,723 $ 206,183 $ 251,320 $ 277,994 $ 270,309
Ratio of
expenses to
average net
assets 3.80% 3.40% 6.01 % 5.99 % 3.90%
Ratio of
expenses,
excluding
interest
expense, to
average net
assets 3.80% 3.40% 4.10 % 3.72 % 3.20%
Ratio of net
investment
income to
average net
assets 9.95% 6.54% 8.83 % 9.78 % 9.40%
(1) Represents per share net investment income for the period, based upon
average shares outstanding.
(2) Net realized and unrealized capital gain (losses) includes rounding
adjustment to reconcile change in net asset value per share.
(3) For the years ending December 31, 2008 and 2007, approximately $0.08
per share and $0.02 per share of the Company's distributions were
characterized as a tax return of capital to the Company's stockholders,
respectively.
(4) Total return equals the increase or decrease of ending market value
over beginning market value, plus distributions, divided by the
beginning market value, assuming dividend reinvestment prices obtained
under the Company's dividend reinvestment plan.
About TICC Capital Corp.
We are a publicly traded business development company principally engaged
in providing capital to small to mid-size companies. While the structures
of our financings vary, we look to invest primarily in the debt of
established businesses. Companies interested in learning more about
financing opportunities should contact Debdeep Maji at (203) 983-5285 or
visit our website at www.ticc.com.
Forward-Looking Statements
This press release contains forward-looking statements subject to the
inherent uncertainties in predicting future results and conditions. 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. Certain factors could cause actual results and
conditions to differ materially from those projected in these
forward-looking statements. These factors are identified from time to time
in our filings with the Securities and Exchange Commission. We undertake no
obligation to update such statements to reflect subsequent events.
Contact Information: Contacts: Bruce Rubin 203-983-5280 Patrick Conroy 203-983-5282