Monroe Capital Q3 adjusted interest income drops

Monroe Capital

05/11/2025 22:50

Overview

Monroe Capital Q3 adjusted NII falls to $1.9 mln from $3.3 mln in Q2

Net asset value declines to $173 mln from $179.6 mln in Q2

Company anticipates merger with Horizon Technology to close in Q1 2026

Outlook

Company anticipates merger with Horizon Technology Finance to close in Q1 2026

Company expects merger to unlock value and provide long-term upside

Result Drivers

DIVIDEND SUPPORT - Utilization of spillover income supported the quarterly dividend, contributing to NAV decline

INCOME DECLINE - Decline in interest and dividend income led to reduced net investment income

MERGER ANTICIPATION - Expected merger with Horizon Technology Finance Corporation anticipated to unlock value and provide synergies

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Net Asset Value
$173 mln
Q3 Net Asset Value Per Share
$7.99


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the closed end funds peer group is "buy"

Wall Street's median 12-month price target for Monroe Capital Corp is $8.25, about 15.2% above its November 4 closing price of $7.00

The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release: ID:nGNXhWL8Y

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)