Horizon Technology Finance Corp. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Horizon Technology Finance Corp. reported a slight increase in investment income and net investment income for Q1 2024, with total assets growing to $765.173 million.</b>

AI Summary

Horizon Technology Finance Corp (HTFC) filed a Quarterly Report (10-Q) with the SEC on April 30, 2024. Total investment income for Q1 2024 was $28.689 million, a slight increase from $28.677 million in Q1 2023. Net investment income for Q1 2024 was $15.028 million, up from $14.428 million in Q1 2023. Total assets as of March 31, 2024, were $765.173 million, compared to $759.182 million as of December 31, 2023. Total debt as of March 31, 2024, was $33.367 million, a slight increase from $34.469 million as of December 31, 2023. The company's net asset value per share was $215.03 as of March 31, 2024.

Why It Matters

For investors and stakeholders tracking Horizon Technology Finance Corp, this filing contains several important signals. The filing provides a detailed look at Horizon Technology Finance Corp.'s financial performance and position as of the end of the first quarter of 2024, offering insights into its investment portfolio and operational results. Investors can use this 10-Q filing to assess the company's profitability, asset growth, and debt levels, which are crucial for evaluating its investment strategy and overall financial health.

Risk Assessment

Risk Level: — Horizon Technology Finance Corp shows moderate risk based on this filing. The company operates in the technology finance sector, which is subject to market volatility and interest rate fluctuations that can impact its investment portfolio and profitability.

Analyst Insight

Monitor the company's investment income and net investment income trends in subsequent filings to assess the sustainability of its growth and profitability.

Key Numbers

• 28,689,000 — Total Investment Income (Q1 2024) (Q1 2024)
• 15,028,000 — Net Investment Income (Q1 2024) (Q1 2024)
• 765,173,000 — Total Assets (Mar 31, 2024) (As of March 31, 2024)
• 33,367,343 — Total Debt (Mar 31, 2024) (As of March 31, 2024)
• 215.03 — Net Asset Value Per Share (Mar 31, 2024) (As of March 31, 2024)

Key Players & Entities

• Horizon Technology Finance Corp. (company) — FILER
• 2024-03-31 (date) — CONFORMED PERIOD OF REPORT
• 2024-04-30 (date) — FILED AS OF DATE
• $28,689,000 (dollar_amount) — Total investment income for Q1 2024
• $15,028,000 (dollar_amount) — Net investment income for Q1 2024
• $765,173,000 (dollar_amount) — Total assets as of March 31, 2024
• $33,367,343 (dollar_amount) — Total debt as of March 31, 2024
• $215.03 (dollar_amount) — Net asset value per share as of March 31, 2024

FAQ

Risk Factors

• Market and Economic Conditions [medium — financial]: The company's financial results are significantly influenced by prevailing market and economic conditions, including interest rates and the overall health of the technology sector.
• Credit Risk of Investments [medium — financial]: The company is exposed to credit risk on its debt investments, as borrowers may default on their obligations, leading to potential losses.

Key Financial Figures

• $0.001 — ZN" on the Nasdaq Global Select Market, $0.001 par value per share, outstanding as of

Filing Documents

• hrzn20240331_10q.htm (10-Q) — 7512KB
• ex_634391.htm (EX-31.1) — 10KB
• ex_634392.htm (EX-31.2) — 10KB
• ex_634393.htm (EX-32.1) — 5KB
• ex_634394.htm (EX-32.2) — 5KB
• 0001437749-24-013992.txt (&nbsp;) — 33185KB
• hrzn-20240331.xsd (EX-101.SCH) — 96KB
• hrzn-20240331_cal.xml (EX-101.CAL) — 28KB
• hrzn-20240331_def.xml (EX-101.DEF) — 535KB
• hrzn-20240331_lab.xml (EX-101.LAB) — 469KB
• hrzn-20240331_pre.xml (EX-101.PRE) — 566KB
• hrzn20240331_10q_htm.xml (XML) — 11979KB

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 49 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 64 Item 4.

Controls and Procedures

Controls and Procedures 65 PART II Item 1.

Legal Proceedings

Legal Proceedings 65 Item 1A.

Risk Factors

Risk Factors 65 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 66 Item 3. Defaults Upon Senior Securities 66 Item 4. Mine Safety Disclosures 66 Item 5. Other Information 66 Item 6. Exhibits 66

Signatures

Signatures 67 EX31.1 EX31.2 EX32.1 EX32.2 2 Table of Contents

: FINANCIAL INFORMATION

PART I: FINANCIAL INFORMATION

Consolidated Financial Statements

Item 1. Consolidated Financial Statements Horizon Technology Finance Corporation and Subsidiaries Consolidated Statements of Assets and Liabilities (Dollars in thousands, except share and per share data) March 31, December 31, 2024 2023 (Unaudited) Assets Non-affiliate investments at fair value (cost of $ 721,456 and $ 716,077 , respectively) $ 684,895 $ 693,730 Non-controlled affiliate investments at fair value (cost of $ 28,689 and $ 28,677 , respectively) (Note 5) 12,577 1,132 Controlled affiliate investments at fair value (cost of $ 15,028 and $ 14,428 , respectively) (Note 5) 13,644 14,223 Total investments at fair value (cost of $ 765,173 and $ 759,182 , respectively) (Note 4) 711,116 709,085 Cash 46,921 46,630 Investments in money market funds 21,879 26,450 Restricted investments in money market funds 2,533 2,642 Interest receivable 16,579 13,926 Other assets 3,260 3,623 Total assets $ 802,288 $ 802,356 Liabilities Borrowings (Note 7) $ 452,490 $ 462,235 Distributions payable 13,099 11,011 Base management fee payable (Note 3) 1,058 1,052 Incentive fee payable (Note 3) 295 — Other accrued expenses 3,225 4,077 Total liabilities 470,167 478,375 Commitments and contingencies (Notes 3 and 8) Net assets Preferred stock, par value $ 0.001 per share, 1,000,000 shares authorized, zero shares issued and outstanding as of March 31, 2024 and December 31, 2023 — — Common stock, par value $ 0.001 per share, 100,000,000 shares authorized, 34,637,343 and 33,534,854 shares issued and 34,469,878 and 33,367,389 shares outstanding as of March 31, 2024 and December 31, 2023, respectively 37 36 Paid-in capital in excess of par 463,539 450,949 Distributable loss ( 131,455 ) ( 127,004 ) Total net assets 332,121 323,981 Total liabilities and net assets $ 802,288 $ 802,356 Net asset value per common share $ 9.64 $ 9.71 See Notes to Consolidated Financial Statements 3 Table of Contents

View Full Filing

View this 10-Q filing on SEC EDGAR