Earnings call transcript: WhiteHorse Finance misses Q3 2026 estimates

WhiteHorse Finance reported mixed third-quarter results, with core net investment income improving sequentially despite a miss on headline EPS and revenue estimates. The adjusted earnings per share (EPS) of $0.22 fell short of the $0.25 analyst estimate, and revenue was $14.83 million, below the $15.20 million forecast. The company's net asset value per share rose to $11.82, up from $11.77 in the previous quarter, fueled by unrealized gains in several portfolio companies.

WhiteHorse Finance remains cautious about a December 2026 debt maturity, but management is optimistic about addressing it through refinancing discussions with multiple lenders. The company declared a fourth-quarter base distribution of $0.25 a share and a special distribution of $0.17 a share. WhiteHorse remains active in new investments and views the current lending environment as the best in three to four years, offering stronger pricing and better covenant protection.

The company's chief executive, Stuart Aronson, noted that Chase Products and PlayMonster could be sold in the first half of 2027, which could help address the company's financing challenges.