<span item_type="fundamental" item_id="966401df8c7c0b5e186a8457e1cdc8c8" counter_id="ST/US/HRZN" env="prod"></span><span item_type="announcement" item_id="645117936146911745" env="prod"></span><p>Revenue: As of FY2026 Q1, the actual value is USD 24.08 M, beating the estimate of USD 23.69 M.</p><p>EPS: As of FY2026 Q1, the actual value is USD 0.06, missing the estimate of USD 0.1959.</p><p>EBIT: As of FY2026 Q1, the actual value is USD -5.665 M.</p><p></p><h4>Net Investment Income (NII)</h4><p>Horizon Technology Finance Corp reported Net Investment Income (NII) of $9.0 million, or $0.19 per basic share, for the first quarter ended March 31, 2026, compared to $10.7 million, or $0.27 per basic share, for the prior-year period <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. Net investment income before excise tax was $9.2 million for the first quarter of 2026, compared to $11.1 million for the first quarter of 2025 <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>.</p><h4>Total Investment Income</h4><p>Total investment income for the first quarter ended March 31, 2026, was $24.1 million, a decrease from $24.5 million for the quarter ended March 31, 2025 <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. This decrease was primarily due to lower interest income on debt investments from a smaller debt investment portfolio <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>.</p><h4>Expenses</h4><p>Total expenses for the first quarter ended March 31, 2026, were $14.8 million, an increase from $13.4 million for the first quarter ended March 31, 2025 <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. This increase was mainly due to a $1.8 million rise in incentive fees, partially offset by a $0.5 million decrease in interest expense and a $0.1 million decrease in base management fee <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>.</p><h4>Net Realized and Unrealized Loss</h4><p>Net realized loss on investments for the first quarter of 2026 was -$0.2 million, compared to a slight net realized gain for the first quarter of 2025 <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. Net realized loss on extinguishment of debt was -$1.4 million, or -$0.03 per basic share, for the first quarter of 2026 <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. Net unrealized depreciation on investments was -$4.6 million, or -$0.10 per basic share, for the first quarter of 2026, significantly lower than the -$32.2 million, or -$0.80 per basic share, for the prior-year period <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>.</p><h4>Net Assets Resulting from Operations</h4><p>Net increase in net assets resulting from operations was $2.8 million, or $0.06 per basic share, for the first quarter of 2026, a notable improvement from a net decrease of -$21.4 million, or -$0.53 per basic share, for the first quarter of 2025 <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>.</p><h4>Investment Portfolio</h4><p>As of March 31, 2026, the total investment portfolio was $695.7 million <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. The debt portfolio consisted of 41 secured loans with an aggregate fair value of $645.6 million <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. The company held warrant and equity positions in 91 companies with an aggregate fair value of $50.1 million <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. The annualized portfolio yield on debt investments for the quarter was 15.2% <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. During the quarter, Horizon Technology Finance Corp funded five loans totaling $120.0 million <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>.</p><h4>Net Asset Value (NAV)</h4><p>Net asset value was $333.9 million, or $6.98 per share, as of March 31, 2026 <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. This compares to $305.5 million, or $7.57 per share, as of March 31, 2025, and $318.5 million, or $6.98 per share, as of December 31, 2025 <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>.</p><h4>Liquidity and Capital Resources</h4><p>As of March 31, 2026, Horizon Technology Finance Corp had $105.3 million in available liquidity, comprising $73.3 million in cash and money market funds and $32.0 million in credit facility capacity <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. Borrowings totaled $447.2 million as of March 31, 2026, down from $473.0 million as of December 31, 2025 <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. The net debt to equity leverage ratio was 113%, which is below the company’s 120% targeted leverage, and the asset coverage ratio for borrowed amounts was 174% <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>.</p><h4>Undistributed Spillover Income</h4><p>Undistributed spillover income was $0.52 per share as of March 31, 2026 <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>.</p><h4>Distributions</h4><p>Horizon Technology Finance Corp declared regular monthly cash distributions of $0.06 per share and special monthly cash distributions of $0.03 per share, both payable in July, August, and September 2026 <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. The total distributions declared for the third quarter of 2026 amount to $0.27 per share, consisting of $0.18 regular and $0.09 special <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>.</p><h4>Outlook/Guidance</h4><p>Management anticipates strong portfolio and pipeline growth, driven by new capital from the merger with Monroe Capital Corporation and Monroe Capital’s resources <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. The new RoHo joint venture is expected to offer additional growth financing options and contribute to portfolio expansion <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>. With a strengthened balance sheet and robust pipeline, Horizon Technology Finance Corp aims to execute its growth strategy, remain a leading financial partner to the innovation economy, and drive long-term shareholder value <span class="superscript" item_id="0" item_type="announcement_file" value="1" url="https://www.sec.gov/Archives/edgar/data/1487428/000143774926014892/ex_956523.htm"></span>.</p>

Horizon Tech | 8-K: FY2026 Q1 Revenue Beats Estimate at USD 24.08 M