AFCG
Advanced Flower Capital Inc.3.2000
-0.0900-2.74%
Dec 16, 4:00:01 PM EST
Earnings Call Transcripts
This Quarter (Q4 '25)
No earnings call transcript available yet
Last Quarter (Q3 '25)
No earnings call transcript available
Key Stats
Market Cap
72.30MP/E (TTM)
-Basic EPS (TTM)
-1.06Dividend Yield
0.26%Recent Filings
8-K
Shareholders approve BDC conversion
Advanced Flower Capital's shareholders approved key proposals on November 6, 2025, to convert from a REIT to a BDC under the 1940 Act, including a new investment advisory agreement with AFC Management and reduced 150% asset coverage for higher leverage. This shift broadens investment beyond real estate-backed loans into wider opportunities, aiming for sustainable growth. Conversion awaits board approval and targets Q1 2026 completion. Shareholders backed the vision.
10-Q
Q2 FY2025 results
Advanced Flower Capital swung to a net loss from continuing operations of $13.2 million in Q2 FY2025 ended June 30, 2025, or $(0.60) per diluted share, down from $15.2 million income or $0.74 per share a year earlier, as interest income dropped 55% y/y to $8.1 million amid fewer loan exits and more nonaccrual loans, while a $15.9 million provision for credit losses (derived) overshadowed the 18% y/y rise in interest expense to $1.9 million. YTD through June, the net loss widened to $9.1 million or $(0.42) per share from $13.6 million income or $0.66 per share, with interest income down 49% y/y to $16.5 million and a $15.2 million credit loss provision, though operating cash flow held at $5.7 million versus $14.0 million last year. The portfolio stood at $359.6 million outstanding principal across 15 loans, with four on nonaccrual totaling $145.0 million or 40% of commitments, but liquidity remained solid at $3.4 million cash and $39.6 million revolver availability against $100.4 million total debt including $90.0 million 5.75% senior notes due 2027. Free cash flow, derived as operating cash minus $0 capex, matched operating cash; EPS reconciles to 22.1 million diluted shares with no anti-dilution flagged. Non-GAAP metrics not disclosed in the 10-Q. Ongoing litigation with a major borrower highlights collection risks in the cannabis lending space.
8-K
AFCG Q2 loss, eyes BDC shift
Advanced Flower Capital Inc. reported a Q2 2025 GAAP net loss of $13.2 million, or $0.60 per share, yet Distributable Earnings came in at $3.4 million, or $0.15 per share, amid efforts to resolve non-accrual loans in a capital-scarce cannabis market. The company expanded its investment mandate to include ancillary cannabis and non-cannabis middle-market loans, and announced plans to convert from a mortgage REIT to a BDC, pending shareholder approval, to broaden its lending scope beyond real estate. This shift promises diversification. Conversion hinges on regulatory and shareholder nods.
8-K
Expands credit facility to $50M
Advanced Flower Capital Inc. amended its loan and security agreement on June 6, 2025, boosting its senior secured revolving credit facility to $50 million with a $20 million additional commitment from its existing FDIC-insured banking partner. The expansion supports funding for existing borrowers, new commercial loans to cannabis operators, and general corporate purposes, while remaining expandable to $100 million subject to lender approval. This bolsters AFC's lending platform amid scaling efforts. Yet risks like locating suitable opportunities persist.
8-K
Annual meeting results announced
Advanced Flower Capital Inc. held its 2025 Annual Meeting on May 19, 2025, where shareholders reelected Robert Levy as Class II director with 4,985,845 votes for and 31,513 withheld, his term expiring in 2028. They also ratified CohnReznick LLP as independent auditors for the year ending December 31, 2025, with 15,160,714 votes in favor against 514,645. Votes signal strong governance support. No other proposals were presented.
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