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SAR

Saratoga Investment Corp.

SAR

Saratoga Investment Corp. • NYSE
$23.23 ▲ 0.00% (+0.00)
Market Cap $374.09 M
52w High $26.17
52w Low $21.10
Dividend Yield 3.00%
P/E 10.01
Volume 50.45K
Outstanding Shares 16.10M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q2-2026 $32.626M ▲ $5.773M ▲ $11.315M ▼ 34.681% ▼ $0.71 ▼ $1.262B ▲
Q1-2026 $29.294M ▲ $2.8M ▲ $13.932M ▲ 47.56% ▲ $0.91 ▲ $14.042M ▲
Q4-2025 $17.467M ▼ $2.186M ▼ $-676.762K ▼ -3.875% ▼ $-0.046 ▼ $2.357M ▼
Q3-2025 $24.883M ▼ $2.841M ▲ $8.835M ▼ 35.506% ▼ $0.64 ▼ $8.998M ▼
Q2-2025 $28.966M $2.238M $13.318M 45.977% $0.97 $13.599M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q2-2026 $200.805M ▲ $1.206B ▲ $795.712M ▼ $410.5M ▲
Q1-2026 $131.563M ▼ $1.202B ▲ $805.9M ▲ $396.369M ▲
Q4-2025 $148.218M ▲ $1.192B ▼ $798.878M ▼ $392.665M ▲
Q3-2025 $147.615M ▲ $1.22B ▲ $845.054M ▲ $374.866M ▲
Q2-2025 $84.57M $1.215B $842.65M $372.054M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q2-2026 $0 $3.044M ▼ $-22.346M ▼ $-4.18M ▲ $-23.482M ▼ $3.044M ▼
Q1-2026 $0 ▲ $32.291M ▲ $0 $-12.728M ▲ $19.563M ▲ $32.291M ▲
Q4-2025 $-19.928M ▼ $-19.917M ▼ $0 $-25.523M ▼ $-45.44M ▼ $-19.917M ▼
Q3-2025 $0 ▼ $94.161M ▲ $0 $-6.001M ▼ $88.16M ▲ $94.161M ▲
Q2-2025 $13.318M $71.149M $0 $-2.442M $68.707M $71.149M

Five-Year Company Overview

Income Statement

Income Statement Revenue and profits have generally trended upward over the last five years, but with noticeable bumps along the way. Saratoga had an especially strong profitability year earlier in the period, followed by two softer years where earnings and margins came under pressure, and then a meaningful recovery in the most recent year. Earnings per share have swung quite a bit, which indicates the business is sensitive to credit conditions, interest rates, and portfolio performance. Still, the company has remained profitable throughout, suggesting its core lending model is intact but exposed to normal credit-cycle ups and downs.

Balance Sheet

Balance Sheet The balance sheet shows a steadily growing investment portfolio, funded by a mix of debt and equity. Borrowing has increased meaningfully over time, which has raised leverage compared with several years ago, while shareholder equity has also grown at a more measured pace. A notable positive is the jump in cash on hand in the latest year, which improves liquidity and flexibility. The flip side is that higher reliance on debt makes the company more exposed to changes in funding costs and capital market conditions, even if asset quality has been described as strong.

Cash Flow

Cash Flow Cash flow from operations was negative for several years, which is common for a growing lender that is continuously putting money to work in new investments. In the most recent year, operating cash flow turned clearly positive, suggesting either slower portfolio build, stronger cash income from loans, or both. Since capital expenditures are negligible, free cash flow essentially mirrors operating cash flow. Overall, the pattern points to a model that leans on external financing to fund growth, with the health of income-generating assets and access to capital markets being key to sustaining dividends and portfolio expansion.

Competitive Edge

Competitive Edge Saratoga operates as a focused business development company in the lower middle-market, a niche that is less crowded than the upper middle-market served by larger lenders. Its emphasis on first-lien, senior secured loans to established, cash-generative companies gives it a conservative credit posture and has contributed to very low problem-loan levels historically. Access to low-cost, long-term funding through government-backed small business programs and structured products provides a cost-of-capital edge over some peers. The firm’s relationship-driven approach and custom financing solutions can deepen client loyalty and generate repeat business. Main competitive risks include intensifying competition from private credit funds, potential pressure on loan spreads, and the impact of economic downturns on portfolio companies.

Innovation and R&D

Innovation and R&D Innovation here is financial and strategic rather than technological. Saratoga’s “R&D” shows up in how it structures capital, manages risk, and designs flexible financing packages. Key innovations include skillful use of special small-business licenses and loan securitizations to secure relatively low-cost leverage, and a disciplined underwriting framework that keeps most loans in strong credit standing. The firm also differentiates itself through tailored deal structures and equity co-investments that support portfolio company growth. Looking ahead, its ability to expand these funding platforms, maintain high credit quality, and adjust quickly to changing interest-rate and credit environments will matter more than any traditional research budget.

Summary

Overall, Saratoga Investment Corp. presents the picture of a specialized lender that has grown its balance sheet and maintained profitability through a mix of conservative credit selection and creative funding. The company’s earnings pattern shows that it can perform very well in favorable conditions but is not immune to swings when the environment becomes tougher. Leverage has increased alongside asset growth, which adds both return potential and risk. Its niche focus on the lower middle-market, strong credit culture, and advantaged funding sources provide notable strengths, while the main uncertainties lie in the broader credit cycle, funding costs, and the firm’s ongoing ability to protect asset quality and net asset value over time.

NEWS

November 12, 2025 · 8:30 AM UTC

Saratoga Investment Corp. Announces Special Dividend of $0.25 Per Share Fulfilling Its Fiscal 2025 Distribution Requirements

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November 6, 2025 · 5:08 PM UTC

Saratoga Investment Corp. Announces New $85 Million Credit Facility with Valley National Bank

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November 5, 2025 · 8:23 AM UTC

HKSTP Manifesting 20 Latest BFSI Tech and Translation of R&D at Hong Kong FinTech Week x StartmeupHK Festival 2025

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October 7, 2025 · 4:05 PM UTC

Saratoga Investment Corp. Announces Fiscal Second Quarter 2026 Financial Results

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September 26, 2025 · 8:30 AM UTC

Saratoga Investment Corp. to Report Fiscal Second Quarter 2026 Financial Results and Hold Conference Call

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