Reports Net Investment Income of $0.67 Per Share and Net Asset Value of $22.57 Per Share Continued Share Repurchase Program: Total of 51,015 Shares for an Aggregate Cost of Approximately $1.0 Million Repurchased During the First Quarter; Accretive to NAV by $0.02 Per Share Announces Second Quarter 2024 Quarterly Distribution of $0.69 Per Share NEW YORK, May 08, 2024 (GLOBE NEWSWIRE) -- Portman Ridge Finance Corporation (NASDAQ:PTMN) (the "Company" or "Portman Ridge") announced today its financial results for the first quarter ended March 31, 2024. First Quarter 2024 Highlights Total investment income for the first quarter of 2024 was $16.5 million (inclusive of the reversal $0.4 million, or $0.04 per share, of previously accrued income on two loans that were placed on non-accrual status in the first quarter), as compared to $17.8 million for the fourth quarter of 2023. Core investment income1, excluding the impact of purchase price accounting, for the first quarter of 2024 was $16.5 million, as compared to $17.7 million for the fourth quarter of 2023. Net investment income ("NII") for the first quarter of 2024 was $6.2 million ($0.67 per share) as compared to $11.2 million ($1.18 per share) in the fourth quarter of 2023. The decrease in NII was the result of reversing $0.4 million ($0.04 per share) of previously accrued income on two loans that were placed on non-accrual status and $0.1 million ($0.01 per share) of incremental expenses in the first quarter, as well as a one-time expense reimbursement from the Company's investment adviser during the fourth quarter of 2023. Net asset value ("NAV"), as of March 31, 2024, was $210.6 million ($22.57 per share), as compared to NAV of $213.5 million ($22.76 per share) as of December 31, 2023. Total shares repurchased in open market transactions under the Renewed Stock Repurchase Program during the quarter ended March 31, 2024, were 51,015 shares at an aggregate cost of approximately $1.0 million, which was accretive to NAV by $0.02 per share. _________________________________1 Core investment income represents reported total investment income as determined in accordance with U.S. generally accepted accounting principles, or U.S. GAAP, less the impact of purchase price discount accounting in connection with the Garrison Capital Inc. ("GARS") and Harvest Capital Credit Corporation ("HCAP") mergers. Portman Ridge believes presenting core investment income and the related per share amount is useful and appropriate supplemental disclosure for analyzing its financial performance due to the unique circumstance giving rise to the purchase accounting adjustment. However, core investment income is a non-U.S. GAAP measure and should not be considered as a replacement for total investment income and other earnings measures presented in accordance with U.S. GAAP. Instead, core investment income should be reviewed only in connection with such U.S. GAAP measures in analyzing Portman Ridge's financial performance. Subsequent Events Declared stockholder distribution of $0.69 per share for the second quarter of 2024, payable on May 31, 2024, to stockholders of record at the close of business on May 21, 2024. Management Commentary Ted Goldthorpe, Chief Executive Officer of Portman Ridge, stated, "Following the strong earnings we saw in 2023, Portman Ridge is off to a solid start in 2024, ending the first quarter with net deployment and a robust pipeline. During the quarter, we continued to grow and diversify our portfolio, with exposure to 29 industries and 103 portfolio companies with an average par balance per entity of $3.1 million. Additionally, we continue to believe that our stock remains undervalued and thus, during the three months ended March 31, 2024, we repurchased 51,015 shares for an aggregate cost of $1.0 million which was accretive to net asset value by $0.02 per share, further reinforcing our commitment to increasing shareholder value. As we proceed further into 2024, we believe we are well positioned to take advantage of new investment opportunities, while also remaining selective and diligent in our investment and capital deployment process." Selected Financial Highlights Total investment income for the quarter ended March 31, 2024, was $16.5 million, of which $14.2 million was attributable to interest income from the Debt Securities Portfolio. This compares to total investment income of $20.3 million for the quarter ended March 31, 2023, of which $16.7 million was attributable to interest income from the Debt Securities Portfolio. Core investment income for the first quarter of 2024, excluding the impact of purchase price accounting, was $16.5 million, a decrease of $2.8 million as compared to core investment income of $19.3 million for the first quarter of 2023. Net investment income ("NII") for the first quarter of 2024 was $6.2 million ($0.67 per share) as compared to $8.5 million ($0.89 per share) for the same period the prior year. Non-accruals on debt investments, as of March 31, 2024, were seven debt investments representing 0.5% and 3.2% of the Company's investment portfolio at fair value and amortized cost, respectively. This compares to seven debt investments representing 1.3% and 3.2% of the Company's investment portfolio at fair value and amortized cost, respectively, as of December 31, 2023. Total investments at fair value as of March 31, 2024, was $471.3 million; when excluding CLO funds, joint ventures, and short-term investments, these investments are spread across 29 different industries and 103 different entities with an average par balance per entity of approximately $3.1 million. This compares to $467.9 million of total investments at fair value as of December 31, 2023, comprised of investments in 27 different industries and 100 different entities, with an average par balance per entity of approximately $3.1 million. Weighted average contractual interest rate on our interest earning Debt Securities Portfolio as of March 31, 2024 was approximately 12.1%. Par value of outstanding borrowings, as of March 31, 2024, was $291.7 million compared to $325.7 million as of December 31, 2023, with an asset coverage ratio of total assets to total borrowings of 171% and 165%, respectively. On a net basis, leverage as of March 31, 2024 was 1.2x2 compared to net leverage of 1.2x2 as of December 31, 2023. Results of Operations Operating results for the three months ended March 31, 2024, and March 31, 2023, were as follows:       For the Three Months Ended March 31,         2024     2023   Total investment income     $ 16,526     $ 20,327   Total expenses       10,300       11,798   Net Investment Income       6,226       8,529   Net realized gain (loss) on investments       (2,057 )     (3,085 ) Net change in unrealized gain (loss) on investments       71       (5,960 ) Tax (provision) benefit on realized and unrealized gains (losses) on investments     $ 459     $ 571   Net realized and unrealized appreciation (depreciation) on investments, net of taxes     $ (1,527 )   $ (8,474 ) Net realized gain (loss) on extinguishment of debt     $ (213 )   $ -   Net Increase (Decrease) in Net Assets Resulting from Operations     $ 4,486     $ 55   Net Increase (Decrease) In Net Assets Resulting from Operations per Common Share:               Basic and Diluted:     $ 0.48     $ 0.01   Net Investment Income Per Common Share:               Basic and Diluted:     $ 0.67     $ 0.89   Weighted Average Shares of Common Stock Outstanding—Basic and Diluted       9,344,994       9,555,125   Investment Income The composition of our investment income for the three months ended March 31, 2024, and March 31, 2023, was as follows:     For the Three Months Ended March 31,   ($ in thousands)   2024   2023   Interest from investments in debt excluding accretion   $ 12,088   $ 14,105   Purchase discount accounting     73     1,042   PIK Investment Income     2,006     1,600   CLO Income     555     548   JV Income     1,653     2,459   Service Fees     151     573   Investment Income   $ 16,526   $ 20,327   Less: Purchase discount accounting   $ (73 ) $ (1,042 ) Core Investment Income   $ 16,453   $ 19,285   _________________________________2 Net leverage is calculated as the ratio between (A) debt, excluding unamortized debt issuance costs, less available cash and cash equivalents, and restricted cash and (B) NAV. Portman Ridge believes presenting a net leverage ratio is useful and appropriate supplemental disclosure because it reflects the Company's financial condition net of $39.6 million and $71.6 million of cash and cash equivalents and restricted cash as of March 31, 2024 and December 31, 2023, respectively. However, the net leverage ratio is a non-U.S. GAAP measure and should not be considered as a replacement for the regulatory asset coverage ratio and other similar information presented in accordance with U.S. GAAP. Instead, the net leverage ratio should be reviewed only in connection with such U.S. GAAP measures in analyzing Portman Ridge's financial condition. Fair Value of Investments The composition of our investment portfolio as of March 31, 2024 and December 31, 2023, at cost and fair value was as follows: ($ in thousands)   March 31, 2024(Unaudited) December 31, 2023   Security Type   Cost/AmortizedCost     Fair Value     %(¹)     Cost/AmortizedCost     Fair Value     %(¹)   Senior Secured Loan   $ 364,981     $ 349,844       74     $ 356,358     $ 340,159       73   Junior Secured Loan     52,951       36,270       8       53,888       38,875       8   Senior Unsecured Bond     -