Gladstone Investment Corporation Announces Second Quarter Results

Gladstone Investment Corporation (Nasdaq:GAIN) reported its financial results for the second quarter ending September 30, 2024. The company's total investment income increased by 1.7% to $22.6 million, driven by higher interest income. However, net investment income decreased substantially by 41.3% to $7.3 million, primarily due to an increase in capital gains-based incentive fees.

The company recorded a notable net realized gain of $42.3 million, largely from exiting its investment in Nth Degree Investment Group. Net asset value per common share dropped to $12.49 from $13.01, reflecting distributions and net unrealized depreciation.

In terms of portfolio activity, Gladstone made a significant $18.5 million investment in Nocturne Luxury Villas for an add-on acquisition. The company declared a supplemental distribution of $0.70 per common share in September.