#United States #New York #stock repurchase #quarterly distribution #WhiteHorse Finance

WhiteHorse Finance, Inc. Reports Third Quarter 2025 Results

WhiteHorse Finance, Inc. (Nasdaq: WHF) has disclosed its financial outcomes for the third quarter of 2025, emphasizing its strategic moves to enhance shareholder value amidst challenges. The results show progress in repositioning the investment portfolio, but not without some obstacles affecting earnings.

Key Highlights

In its latest update, WhiteHorse Finance announced a quarterly distribution of $0.25 per share, which is set to be paid on January 5, 2026, for stockholders recorded by December 22, 2025. This decision was made in part to align dividend payouts with the company’s current earnings potential. CEO Stuart Aronson expressed that the realignment of the distribution was a hard but vital step to secure sustainable profits in the future.

In an effort to bolster its capital structure, the Board has also greenlit a stock repurchase initiative, allowing for the repurchase of up to $15 million of the company's common stock. This program aims to repurchase shares below their current net asset value in a bid to enhance overall shareholder value. The management team will assess market conditions to determine the timing and volume of shares to buy back.

Financial Overview

For the three-month period ending on September 30, 2025, the financial results indicate total investment income of $17.7 million, a slight decrease from $18.8 million in the previous quarter. The total expenses decreased to $11.6 million compared to $12.3 million previously, leading to a net investment income of $6.1 million. However, this marks a decline from the $6.6 million net income reported for the previous quarter.

Performance Indicators

• - Total investment income: $17,691,000
• - Net investment income per share: $0.263
• - Distributions per share: $0.385

These figures underline the company's ongoing attempts to navigate challenging market dynamics while ensuring consistent returns for its investors.

Portfolio Management

As of the end of September, WhiteHorse Finance's investment portfolio was valued at approximately $568.4 million, which shows a decline from the previous total of $629.3 million as of June 30, 2025. The portfolio consists of 125 positions spread across 66 companies, with a weighted average effective yield of 11.6% on the income-producing debt obligations.

During the quarter, the firm made investments totaling $14.3 million in two new portfolio companies, along with $4.9 million allocated to existing portfolio investments. Moreover, notable repayments amounting to $50.5 million were received from several portfolio entities, indicating healthy cash flow within its operations.

Strategic Moves

Aronson noted that WhiteHorse Finance would continue to work through its restructured investments as part of a long-term strategy. A key part of their focus will also be on new investments that are projected to yield favorable risk-adjusted returns. The recently authorized fee reduction coupled with the stock buyback program are strategic steps aimed at fostering sustained long-term gains for shareholders.

Looking Ahead

The company plans to discuss its Q3 2025 results in further detail during a conference call set for November 10, 2025, at 2 p.m. ET. Investors can participate by dialing the provided access numbers or through the official WhiteHorse Finance website.

In summary, despite the challenges faced during the quarter, WhiteHorse Finance remains consistently dedicated to enhancing its operational health and maximizing shareholder returns. The measures taken indicate a company poised for future growth and sustainability in the competitive financial sector.