Gladstone Investment (0IVR.L) Q1 2025 Earnings Report

Overview of QQ1 2025 results highlights a stark contrast between top-line economics and the strength of the company’s asset base. Revenue registered a modest USD 186,000 against a cost of revenue of USD 6.48 million, yielding a gross loss of USD 6.29 million and an EBIT/EBITDA print of negative USD 6.53 million. Net income for the quarter was negative USD 6.53 million (EPS -0.18). The negative earnings picture sits alongside a cash-flow story that is surprisingly constructive: cash from operations USD 9.92 million and free cash flow USD 9.92 million, supported by a substantial non-cash depreciation charge of USD 18.94 million and favorable working capital movements. Management commentary (where available) would be essential to interpret the deltas between net income and operating cash flow, but the provided transcript data is not present in the dataset. The balance sheet shows a robust asset base with total assets of USD 914.2 million, led by long-term investments of USD 899.1 million and total long-term debt of USD 395.4 million, yielding a net debt position of USD 392.2 million. Shareholders’ equity stands at USD 477.4 million (book value per share implied by P/B of ~1.08x). The dividend yield is indicated at roughly 1.71%, but the payout in the quarter produced a negative payout ratio in the data, underscoring a complex earnings-to-dividend dynamic in this period. Investors should weigh the ongoing profitability challenges against the strong cash-generating potential and sizable investment base, while monitoring credit quality, deployment of capital, and any management guidance going forward.