Princeton Capital Corporation reported significant declines in its financial performance for the nine months ended September 30, 2024, compared to the same period in 2023. Total investment income fell to $963,124, down from $1,962,067, primarily due to a decrease in interest income, which dropped from $1,956,560 to $951,721. The company experienced a net investment loss after tax of $(192,385), contrasting sharply with a net investment income of $750,503 in the prior year.

The company's net assets decreased from $32,758,699 as of September 30, 2023, to $23,125,404 in the current period. This decline was reflected in the net asset value per share, which fell from $0.272 to $0.192. The total investments at fair value also decreased significantly, from $29,734,953 at the end of 2023 to $21,254,340 as of September 30, 2024.

Princeton Capital's strategic focus remains on conserving cash and managing existing investments, as it continues a strategic review process initiated in November 2019. This review aims to explore various alternatives, including asset sales and mergers, although no agreements have been reached as of the reporting date. The company did not qualify as a regulated investment company (RIC) for the 2023 tax year and will be taxed as a corporation under Subchapter C of the Internal Revenue Code.

The company’s control investments, which include Advantis Certified Staffing Solutions, Inc. and Rockfish Seafood Grill, Inc., saw a decline in fair value. For instance, the fair value of Rockfish Seafood Grill decreased from $9,877,041 at the end of 2023 to $7,485,392, contributing to unrealized losses of $(2,391,649). Advantis Certified Staffing Solutions also reported a decrease in fair value from $4,736,141 to $4,194,843.

In terms of operational expenses, total net operating expenses decreased slightly from $1,205,934 in the previous nine-month period to $1,152,153. However, the ratio of net investment income (loss) to average net assets worsened, reflecting a loss of (0.9%) compared to a gain of 3.1% in the prior year.

The company’s cash and cash equivalents totaled $1,438,998 as of September 30, 2024, down from $1,937,768 at the end of 2023. No dividends were declared or distributed to stockholders during the reporting period. The management fees earned by House Hanover, the investment advisor, also decreased, totaling $202,098 for the nine months ended September 30, 2024, compared to $238,657 in the same period of 2023.