Exhibit 99.1

 

LOGO

FOR IMMEDIATE RELEASE

NEWSTAR REPORTS NET INCOME OF $1.2 MILLION, OR $0.02 PER DILUTED SHARE FOR THE FOURTH QUARTER AND $10.6 MILLION, OR $0.21 PER DILUTED SHARE FOR 2014

Relationship with Blackstone’s GSO Capital and Franklin Square helps drive strong growth in managed assets as the Company closes new credit fund and begins deploying capital from recent strategic investment

 

    Strategic Relationship – Closed a new $400 million managed credit fund with an anchor investment from funds sponsored by Franklin Square Capital Partners (“Franklin Square”) and sub-advised by Blackstone’s GSO Capital (“GSO”) and completed the initial closing of their strategic investment in the Company.

 

    New Loan Volume – Originated new loan volume of $775 million in the fourth quarter and $1.8 billion for the full year, up 89% from the prior quarter and 38% from 2013.

 

    Growth – Increased total assets under management by 30% from the prior quarter and $1.0 billion from the prior year to approximately $3.8 billion. Total assets held by managed funds reached approximately $1 billion at year end.

 

    Asset Quality – Asset quality improved in the fourth quarter as NPAs decreased as a percentage of total loans, but remained stable in dollar terms. Strategy to underweight energy sectors limited exposure to approximately 1% of portfolio at year-end.

 

    Credit Costs – Provision for credit losses increased by $1.9 million from the prior quarter due primarily to the impact of net loan growth. Provision expense for the year was up $17.4 million from the prior year due primarily to specific charges recognized in connection with the resolution of legacy loans in the second quarter and strong growth in the second half of the year.

 

    Net Interest Margin – Margin narrowed to 2.90% for the fourth quarter from 3.24% in the prior quarter, and 3.17% for 2014, down from 3.90% for the prior year due primarily to increased leverage and higher cost of funds.

 

    Operating Expenses – Expenses in the fourth quarter decreased by 2% from the prior quarter to approximately 1.65% of average assets, while full year expenses in 2014 decreased $3.9 million, or 8%, from the prior year.

 

    Stockholders Equity – Increased book value per share to $13.75 at year-end, up 8.6% or $1.09 from the end of 2013 and returned $34.6 million of capital to stockholders in 2014, or $0.74 per outstanding share, through share repurchase programs.

 

 

Boston, February 11, 2015

– NewStar Financial, Inc. (NASDAQ: NEWS) (“NewStar” or the “Company”), an internally-managed, specialized commercial finance company, today reported net income of $1.2 million, or $0.02 per diluted share for the fourth quarter of 2014. These results compare to net income of $5.0 million, or $0.10 per diluted share in the third quarter of 2014 and consolidated net income of $6.4 million, or $0.12 per diluted share in the fourth quarter of 2013. Operating income before income taxes was $2.2 million for the fourth quarter of 2014 compared to $8.5 million for the third quarter of 2014 and $9.4 million in the fourth quarter of 2013.

 

1


The following information was filed by Newstar Financial, Inc. (NEWS) on Wednesday, February 11, 2015 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-K Annual Report statement of earnings and operation as management may choose to highlight particular information in the press release.

View differences made from one year to another to evaluate Newstar Financial, Inc.'s financial trajectory

Compare SEC Filings Year-over-Year (YoY) and Quarter-over-Quarter (QoQ)
Sample 10-K Year-over-Year (YoY) Comparison

Compare this 10-K Annual Report to its predecessor by reading our highlights to see what text and tables were  removed  ,   added    and   changed   by Newstar Financial, Inc..

Continue

Never Miss A New SEC Filing Again


Real-Time SEC Filing Notifications
Screenshot taken from Gmail for a new 10-K Annual Report
Last10K.com Member Feature

Receive an e-mail as soon as a company files an Annual Report, Quarterly Report or has new 8-K corporate news.

Continue

We Highlighted This SEC Filing For You


SEC Filing Sentiment Analysis - Bullish, Bearish, Neutral
Screenshot taken from Wynn's 2018 10-K Annual Report
Last10K.com Member Feature

Read positive and negative remarks made by management in their entirety without having to find them in a 10-K/Q.

Continue

Widen Your SEC Filing Reading Experience


Increased Reading Area for SEC Filings
Screenshot taken from Adobe Inc.'s 10-Q Quarterly Report
Last10K.com Member Feature

Remove data columns and navigations in order to see much more filing content and tables in one view

Continue

Uncover Actionable Information Inside SEC Filings


SEC Filing Disclosures
Screenshot taken from Lumber Liquidators 10-K Annual Report
Last10K.com Member Feature

Read both hidden opportunities and early signs of potential problems without having to find them in a 10-K/Q

Continue

Adobe PDF, Microsoft Word and Excel Downloads


Download Annual and Quarterly Reports as PDF, Word and Excel Documents
Screenshots of actual 10-K and 10-Q SEC Filings in PDF, Word and Excel formats
Last10K.com Member Feature

Export Annual and Quarterly Reports to Adobe PDF, Microsoft Word and Excel for offline viewing, annotations and analysis

Continue

FREE Financial Statements


Download Annual and Quarterly Reports as PDF, Word and Excel Documents
Screenshot of actual balance sheet from company 10-K Annual Report
Last10K.com Member Feature

Get one-click access to balance sheets, income, operations and cash flow statements without having to find them in Annual and Quarterly Reports

Continue for FREE

Intrinsic Value Calculator


Intrinsic Value Calculator
Screenshot of intrinsic value for AT&T (2019)
Last10K.com Member Feature

Our Intrinsic Value calculator estimates what an entire company is worth using up to 10 years of financial ratios to determine if a stock is overvalued or not

Continue

Financial Stability Report


Financial Stability Report
Screenshot of financial stability report for Coco-Cola (2019)
Last10K.com Member Feature

Our Financial Stability reports uses up to 10 years of financial ratios to determine the health of a company's EPS, Dividends, Book Value, Return on Equity, Current Ratio and Debt-to-Equity

Continue

Get a Better Picture of a Company's Performance


Financial Ratios
Available Financial Ratios
Last10K.com Member Feature

See how over 70 Growth, Profitability and Financial Ratios perform over 10 Years

Continue

Log in with your credentials

or    

Forgot your details?

Create Account