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Saratoga Investment Corp. (NYSE:SAR) Earnings Report Analysis

  • Earnings per Share (EPS) of $0.58 missed the estimated $0.67, marking a 13.43% negative surprise.
  • Revenue for the quarter was $30.63 million, 5.47% below the Zacks Consensus Estimate.

Saratoga Investment Corp. (NYSE:SAR) is a business development company that provides financing solutions to middle-market companies in the United States. It operates within the Zacks Financial - SBIC & Commercial Industry. SAR's recent earnings report on October 7, 2025, revealed an earnings per share (EPS) of $0.58, which fell short of the estimated $0.67.

The reported EPS of $0.58 represents a 13.43% negative surprise compared to the Zacks Consensus Estimate. This is a significant drop from the $1.33 per share reported a year ago. In the previous quarter, SAR also missed expectations, reporting $0.66 per share against an expected $0.69, resulting in a 4.35% negative surprise. Over the past four quarters, SAR has only exceeded consensus EPS estimates once.

SAR's revenue for the quarter ending August 2025 was $30.63 million, which is 5.47% below the Zacks Consensus Estimate of $32.5 million. This is a decrease from the $43 million reported in the same quarter last year. The company has only surpassed consensus revenue estimates once in the last four quarters, indicating a trend of underperformance.

The company's financial ratios provide further insight into its performance. SAR has a price-to-earnings (P/E) ratio of approximately 10.12, suggesting how the market values its earnings. The price-to-sales ratio is about 3.70, reflecting its market value relative to sales. The earnings yield is approximately 9.88%, providing insight into the return on investment for shareholders.