Advanced Flower Capital
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Advanced Flower Capital (AFCG) investor relations material

Advanced Flower Capital Q4 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q4 2025 earnings summary4 Mar, 2026

Executive summary

  • Completed conversion from REIT to BDC as of January 1, 2026, expanding investment flexibility and sector reach.

  • Focused on reducing exposure to underperforming credits and active portfolio management throughout 2025.

  • Originated $53 million in new commitments in 2025 and closed $89.7 million in new commitments post year-end.

  • Leadership team with extensive experience in private credit, real estate, and public company management, supporting robust credit discipline and risk management.

  • 2025 dividends characterized as return of capital, making distributions tax-free for shareholders.

Financial highlights

  • Q4 2025 net interest income: $5.2 million; Distributable Earnings: -$2.8 million (-$0.12/share); GAAP net income: $0.9 million ($0.04/share).

  • FY 2025 net interest income: $24.6 million; Distributable Earnings: $8.7 million ($0.39/share); GAAP net loss: $20.7 million (-$0.95/share).

  • FY 2025 interest income: $31.3 million.

  • Ended Q4 2025 with $317.4 million principal outstanding across 15 loans; as of Feb 25, 2026, $366.4 million across 15 loans.

  • Total assets at December 31, 2025: $275.6 million; total shareholder equity: $175.6 million.

Outlook and guidance

  • Board declared Q1 2026 dividend of $0.05/share, payable April 15, 2026.

  • Active pipeline increased to over $1.4 billion, driven by BDC conversion and expanded investment universe.

  • Focus remains on redeploying capital from non-accrual loans into performing credits to unlock future earnings.

  • As a BDC, aims to diversify portfolio across industries and loan types, increasing selectivity and reducing risk.

  • High bar for new cannabis loans due to regulatory and industry challenges; focus shifting to lower middle market non-cannabis opportunities.

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Frequently asked questions

AFC Gamma Inc. is a real estate investment trust (REIT) that provides loans and capital solutions to companies operating in the cannabis industry. The company specializes in originating, structuring, and managing senior secured loans for cannabis operators in states where the substance is legal. AFC Gamma’s financing solutions support various aspects of the cannabis supply chain, including cultivation, processing, and distribution. The company aims to help cannabis businesses grow while generating returns through its lending operations. The company is headquartered in West Palm Beach, Florida, and its shares are listed on the NASDAQ.

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