Q1 27 EPS Adjusted
$0.26
BEAT +20.93%
Est. $0.22
GAAP net investment income of $0.40/share includes reversal of $5.6 million ($0.14/share) of capital gains-based incentive fees; adjusted NII of $0.26/share excludes this non-cash incentive fee impact
Q1 27 Revenue
$28.4M
BEAT +11.35%
Est. $25.5M
vs S&P Since Q1 27
-1.6%
TRAILING MARKET
GAIN -1.3% vs S&P +0.3%
Market Reaction
Did GAIN Beat Earnings? Q1 2027 Results
Gladstone Investment Corporation delivered a strong beat across the board in fiscal Q1 2027, with adjusted net investment income of $0.26 per share clearing the $0.21 consensus estimate by 20.93%, while total investment income of $28.36 million toppe… Read more Gladstone Investment Corporation delivered a strong beat across the board in fiscal Q1 2027, with adjusted net investment income of $0.26 per share clearing the $0.21 consensus estimate by 20.93%, while total investment income of $28.36 million topped expectations by 11.35% and grew 10.2% year over year. The decisive driver was a dramatic swing in expenses, as total costs plunged 65.3% sequentially to $12.43 million, largely reflecting a $5.57 million reversal of capital gains-based incentive fee accruals versus $18.53 million accrued in the prior quarter. That shift propelled GAAP net investment income to $15.93 million, or $0.40 per share, swinging from a net investment loss of $10.61 million in Q4 FY2026. The quarter was not without headwinds, as net asset value per share slipped 3.2% to $16.24 amid $18.78 million in net unrealized depreciation and a $9.00 million realized loss tied to a loan restructuring. Looking ahead, management expects to close the acquisition of Extrude Hone LLC in the second fiscal quarter and anticipates full debt repayment plus a significant capital gain from portfolio company SFEG Holdings, with monthly distributions of $0.08 per share declared through September 2026.
Key Takeaways
- • Decrease in capital gains-based incentive fee accruals reduced total expenses by 65.3% sequentially
- • $3.0 million increase in dividend and success fee income drove total investment income growth
- • Weighted average yield on interest-bearing investments of 12.9%
- • 100% of debt investments are variable rate indexed to 30-day SOFR
GAIN Forward Guidance & Outlook
Gladstone Investment expects to close the acquisition of Extrude Hone LLC, a precision surface-finishing solutions provider, in the second fiscal quarter. The company also expects to receive full repayment of its debt investment and realize a significant capital gain on its equity interest in portfolio company SFEG Holdings, whose subsidiary sale is expected to close in Q3 or Q4 of calendar year 2026. Monthly distributions of $0.08 per common share have been declared through September 2026. The credit facility was expanded to $405 million with maturity extended to June 2031, providing additional investment capacity with $163.2 million of adjusted availability as of quarter end.
GAIN YoY Financials
Q1 2027 vs Q1 2026, source: SEC Filings
GAIN Earnings Trends
GAIN vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
GAIN EPS Trend
Earnings per share: estimate vs actual
GAIN Revenue Trend
Quarterly revenue: estimate vs actual
GAIN Quarterly Results
6 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 27 BEAT GAAP net investment income of $0.40/share includes reversal of $5.6 million ($0.14/share) of capital gains-based incentive fees; adjusted NII of $0.26/share excludes this non-cash incentive fee impact | $0.22 | $0.26 | +20.93% | $28.4M | +11.35% |
| Q4 26 MISS FY | $0.21 | $-0.27 | -227.06% | $25.2M | -2.35% |
| FY Full Year | — | $-0.10 | — | $99.1M | — |
| Q3 26 MISS | $0.23 | $0.21 | -7.69% | $25.1M | -2.42% |
| Q2 26 BEAT | $0.23 | $0.24 | +5.26% | $25.3M | +2.85% |
| Q1 26 BEAT | $0.23 | $0.24 | +6.19% | $23.5M | -3.00% |
| Q4 25 BEAT FY | $0.23 | $0.26 | +11.11% | $27.5M | +6.39% |
| FY Full Year | $0.84 | $0.97 | +14.93% | $93.7M | +2.51% |