2024 Q1 Form 10-K Financial Statement

#000121390024027958 Filed on March 29, 2024

View on sec.gov

Income Statement

Concept 2024 Q1 2023 Q4 2023
Revenue -$82.10K $518.8K
YoY Change -129.64% 14.2%
Cost Of Revenue
YoY Change
Gross Profit
YoY Change
Gross Profit Margin
Selling, General & Admin $397.5K $393.4K $1.599M
YoY Change -7.9% -19.67% -31.32%
% of Gross Profit
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization
YoY Change
% of Gross Profit
Operating Expenses $397.5K $393.4K $1.599M
YoY Change -7.94% -19.67% -31.45%
Operating Profit
YoY Change
Interest Expense -$920.2K $207.00
YoY Change -195.86% -95.77%
% of Operating Profit
Other Income/Expense, Net
YoY Change
Pretax Income -$80.70K -$794.8K $881.6K
YoY Change -129.14% -185.96% -213.24%
Income Tax $1.402K $59.36K $64.99K
% Of Pretax Income 7.37%
Net Earnings -$6.634M -$854.1K -$178.9K
YoY Change 552.27% -192.39% -371.06%
Net Earnings / Revenue -164.63%
Basic Earnings Per Share $0.00 $0.01
Diluted Earnings Per Share $0.00 -$0.01 $0.01
COMMON SHARES
Basic Shares Outstanding 120.5M shares 120.5M shares 120.5M shares
Diluted Shares Outstanding 120.5M shares 120.5M shares

Balance Sheet

Concept 2024 Q1 2023 Q4 2023
SHORT-TERM ASSETS
Cash & Short-Term Investments $1.942M $1.938M $1.938M
YoY Change -6.16% 27.01% 27.01%
Cash & Equivalents $1.942M $1.938M
Short-Term Investments
Other Short-Term Assets $14.47K $47.31K $47.31K
YoY Change -29.48% -38.05% -38.05%
Inventory
Prepaid Expenses
Receivables
Other Receivables
Total Short-Term Assets $1.957M $1.985M $1.985M
YoY Change -93.83% -93.89% 23.9%
LONG-TERM ASSETS
Property, Plant & Equipment
YoY Change
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments $23.26M $29.73M $29.73M
YoY Change -20.54% -2.71% -2.71%
Other Assets $42.19K $41.89K
YoY Change 2.9% -85.73%
Total Long-Term Assets $23.85M $30.33M $30.33M
YoY Change -3889.36% -7631.68% -1.8%
TOTAL ASSETS
Total Short-Term Assets $1.957M $1.985M $1.985M
Total Long-Term Assets $23.85M $30.33M $30.33M
Total Assets $25.81M $32.31M $32.31M
YoY Change -16.92% 0.72% -0.53%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $293.6K $159.5K $159.5K
YoY Change -7.87% -11.45% -11.45%
Accrued Expenses $115.1K $120.8K $120.8K
YoY Change -36.4% 31.35% 31.35%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $539.6K $409.6K $409.6K
YoY Change -14.29% 1.72% 21.58%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00 $0.00
YoY Change
Other Long-Term Liabilities
YoY Change
Total Long-Term Liabilities $0.00 $0.00 $0.00
YoY Change -100.0%
TOTAL LIABILITIES
Total Short-Term Liabilities $539.6K $409.6K $409.6K
Total Long-Term Liabilities $0.00 $0.00 $0.00
Total Liabilities $539.6K $409.6K $409.6K
YoY Change -14.28% 1.72% 1.72%
SHAREHOLDERS EQUITY
Retained Earnings -$39.72M -$33.08M
YoY Change 17.09% 0.54%
Common Stock $64.99M $64.99M
YoY Change 53839.35% 0.0%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $25.27M $31.90M $31.90M
YoY Change
Total Liabilities & Shareholders Equity $25.81M $32.31M $32.31M
YoY Change -18.57% -0.53% -0.53%

Cashflow Statement

Concept 2024 Q1 2023 Q4 2023
OPERATING ACTIVITIES
Net Income -$6.634M -$854.1K -$178.9K
YoY Change 552.27% -192.39% -371.06%
Depreciation, Depletion And Amortization
YoY Change
Cash From Operating Activities $4.914K $113.1K $413.1K
YoY Change -99.1% -98.91% -95.88%
INVESTING ACTIVITIES
Capital Expenditures
YoY Change
Acquisitions
YoY Change
Other Investing Activities
YoY Change
Cash From Investing Activities
YoY Change
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities
YoY Change
NET CHANGE
Cash From Operating Activities $4.914K 113.1K $413.1K
Cash From Investing Activities
Cash From Financing Activities
Net Change In Cash $4.914K 113.1K $413.1K
YoY Change -99.1% -91.55% -58.78%
FREE CASH FLOW
Cash From Operating Activities $4.914K $113.1K $413.1K
Capital Expenditures
Free Cash Flow
YoY Change

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<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>NOTE 1 – NATURE OF OPERATIONS </b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><i> </i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><i>References herein to “we”, “us” or “our” refer to Princeton Capital Corporation (the “Company” or “Princeton Capital”), unless the context specifically requires otherwise.</i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Princeton Capital Corporation, a Maryland corporation, was incorporated under the general laws of the State of Maryland on July 25, 2013. We are a non-diversified, closed-end investment company that has filed an election to be regulated as a business development company (“BDC”), under the Investment Company Act of 1940, as amended (the “1940 Act”). A goal of a BDC is to annually qualify and elect to be treated as a regulated investment company (“RIC”) under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). The Company, however, did not meet the requirements to qualify as a RIC for the 2023 tax year and will be taxed as a corporation under Subchapter C of the Code and does not expect to meet the qualifications of a RIC until such time as certain strategic alternatives are achieved. While we have sought to invest primarily in private small and lower middle-market companies in various industries through first lien loans, second lien loans, unsecured loans, unitranche and mezzanine debt financing, often times with a corresponding equity investment, we are now (with a strategic alternatives process underway and limited resources) investing only in current investments and otherwise conserving cash. Our investment objective is to maximize the total return to our stockholders in the form of current income and capital appreciation through debt and related equity investments.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Prior to March 13, 2015, Princeton Capital’s predecessor operated under the name Regal One Corporation (“Regal One”). Regal One had been located in Scottsdale, Arizona, and was a Florida corporation initially incorporated in 1959 as Electro-Mechanical Services Inc. Since inception, Regal One had been involved in several industries. In 1998, Electro-Mechanical Services Inc. changed its name to Regal One Corporation.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">On March 7, 2005, Regal One’s board of directors determined it was in the shareholders’ best interest to change the focus of its operations to providing financial consulting services through its network of advisors and professionals, and to be regulated as a BDC under the 1940 Act. On September 16, 2005, Regal One filed a Form N54A (Notification of Election by Business Development Companies) with the Securities and Exchange Commission (“SEC”), which transformed Regal One into a BDC in accordance with sections 55 through 65 of the 1940 Act. Regal One reported as an operating BDC from March 31, 2006 until March 13, 2015 and since March 13, 2015 (following the Reincorporation described below) Princeton Capital has reported as an operating BDC.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">On December 27, 2017, the Board approved (specifically in accordance with Rule 15a-4(b)(1)(ii) of the Investment Company Act) and authorized the Company to enter into an Interim Investment Advisory Agreement between the Company and House Hanover, LLC, a Delaware limited liability company (“House Hanover”) (the “Interim Investment Advisory Agreement”), in accordance with Rule 15a-4 of the Investment Company Act. The effective date of the Interim Investment Advisory Agreement was January 1, 2018.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">On April 5, 2018, the Board, including a majority of the independent directors, conditionally approved the Investment Advisory Agreement between the Company and House Hanover (the “House Hanover Investment Advisory Agreement”) subject to the approval of the Company’s stockholders at the 2018 Annual Meeting of Stockholders. The House Hanover Investment Advisory Agreement replaced the Interim Investment Advisory Agreement. On May 30, 2018, the Company’s stockholders approved the House Hanover Investment Advisory Agreement. The effective date of the House Hanover Investment Advisory Agreement was May 31, 2018. The House Hanover Investment Advisory Agreement was last annually renewed by the Board and by a majority of the members of the Board who are not parties to the House Hanover Investment Advisory Agreement or “interested persons” (as such term is defined in the 1940 Act) of any such party, in accordance with the requirements of the 1940 Act and the House Hanover Investment Advisory Agreement on May 15, 2023.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Since January 1, 2018, House Hanover has acted as our investment advisor under the Interim Investment Advisory Agreement (from January 1, 2018 until May 31, 2018) and the House Hanover Investment Advisory Agreement (since May 31, 2018).</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">On November 15, 2019, our Board announced that the Company has initiated a strategic review process to identify, examine, and consider a range of strategic alternatives available to the Company, including but not limited to, (i) selling the Company’s assets to a business development company or other potential buyer, (ii) merging with another business development company, (iii) liquidating the Company’s assets in accordance with a plan of liquidation, (iv) raising additional funds for the Company, or (v) otherwise entering into another business combination, with the objective of maximizing stockholder value. As of December 31, 2023 and through the date of filing this Annual Report, the Company has not entered into any strategic alternative and the strategic process remains ongoing.</p>
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InvestmentCompanyNetAssetsValue
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InvestmentCompanyNetAssetsValue
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0.04 pure
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0.052 pure
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0.049 pure
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RatioOfNetInvestmentLossToAverageNetAssets
0.025 pure
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RatioOfNetInvestmentLossToAverageNetAssets
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RatioOfNetInvestmentLossToAverageNetAssets
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RatioOfNetInvestmentLossToAverageNetAssets
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RatioOfNetInvestmentLossToAverageNetAssets
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0.025 pure
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-0.023 pure
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NetInvestmentIncomeLossToAverageNetAssetsExcludingOtherIncomeFromNoninvestment
-0.03 pure
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-0.03 pure
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-0.028 pure
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RatioOfNetIncreaseDecreaseInNetAssetsResultingFromOperationsToAverageNetAsset
0.188 pure
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RatioOfNetIncreaseDecreaseInNetAssetsResultingFromOperationsToAverageNetAsset
0.412 pure
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-0.427 pure
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CY2023 us-gaap Investment Company Portfolio Turnover
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InvestmentCompanyPortfolioTurnover
0.323 pure
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InvestmentCompanyPortfolioTurnover
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InvestmentCompanyPortfolioTurnover
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CY2023 piac Unconsolidated Significant Subsidiaries Description
UnconsolidatedSignificantSubsidiariesDescription
The Company has determined that Rockfish Seafood Grill, Inc., a majority owned or control investment, was considered a significant subsidiary at the 20% level at December 31, 2023 as prescribed under Rule 3-09 of Regulation S-X.
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CY2023 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Asset Sales
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CY2023 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Asset Transfers Out Of Level3
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CY2022 us-gaap Fair Value Measurement With Unobservable Inputs Reconciliation Recurring Basis Asset Purchases
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CY2022 us-gaap Interest Income Operating Paid In Kind
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CY2022 us-gaap Fair Value Net Derivative Asset Liability Measured On Recurring Basis Unobservable Inputs Reconciliation Transfers Out Of Level3
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CY2023Q4 us-gaap Other Assets
OtherAssets
4307000 usd
CY2022Q4 us-gaap Other Assets
OtherAssets
2843000 usd
CY2023Q4 us-gaap Other Liabilities Current
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CY2023Q4 ecd Non Rule10b51 Arr Trmntd Flag
NonRule10b51ArrTrmntdFlag
false
CY2023Q4 ecd Non Rule10b51 Arr Adopted Flag
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false
CY2023Q4 ecd Rule10b51 Arr Trmntd Flag
Rule10b51ArrTrmntdFlag
false
CY2023Q4 ecd Rule10b51 Arr Adopted Flag
Rule10b51ArrAdoptedFlag
false
CY2022Q4 us-gaap Taxes Payable Current And Noncurrent
TaxesPayableCurrentAndNoncurrent
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CY2023 piac Interest Income Paidinkind From Control Investments
InterestIncomePaidinkindFromControlInvestments
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CY2022 piac Interest Income Paidinkind From Control Investments
InterestIncomePaidinkindFromControlInvestments
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CY2022 us-gaap Interest Income Operating Paid In Kind
InterestIncomeOperatingPaidInKind
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CY2021 us-gaap Interest Income Operating Paid In Kind
InterestIncomeOperatingPaidInKind
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CY2023 piac Other Professional Fees
OtherProfessionalFees
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CY2021 piac Noncontrolnonaffiliate Investments
NoncontrolnonaffiliateInvestments
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CY2021 us-gaap Realized Investment Gains Losses
RealizedInvestmentGainsLosses
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CY2023Q4 us-gaap Dividends Payable Current And Noncurrent
DividendsPayableCurrentAndNoncurrent
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CY2021Q4 us-gaap Dividends Payable Current And Noncurrent
DividendsPayableCurrentAndNoncurrent
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CY2023 us-gaap Revenue From Contract With Customer Including Assessed Tax
RevenueFromContractWithCustomerIncludingAssessedTax
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CY2021 us-gaap Revenue From Contract With Customer Including Assessed Tax
RevenueFromContractWithCustomerIncludingAssessedTax
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CY2023 us-gaap Gain Loss On Sale Of Investments
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CY2022 us-gaap Interest And Dividend Income Operating Paid In Kind
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CY2023 us-gaap Provision For Doubtful Accounts
ProvisionForDoubtfulAccounts
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CY2021 us-gaap Provision For Doubtful Accounts
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CY2022 us-gaap Increase Decrease In Accrued Income Taxes Payable
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CY2023 us-gaap Payments Of Dividends
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CY2022 us-gaap Current Income Tax Expense Benefit
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CY2021 us-gaap Current Income Tax Expense Benefit
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CY2023 us-gaap Deferred Income Tax Expense Benefit
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CY2022 us-gaap Deferred Income Tax Expense Benefit
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CY2021 us-gaap Deferred Income Tax Expense Benefit
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CY2022 us-gaap Other Income Tax Expense Benefit Continuing Operations
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CY2021 us-gaap Other Income Tax Expense Benefit Continuing Operations
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CY2023Q4 us-gaap Deferred Tax Assets Net
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CY2022Q4 us-gaap Deferred Tax Assets Net
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CY2021Q4 us-gaap Deferred Tax Assets Net
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CY2023 piac Effective Income Tax Rate Reconciliation Federal Payable True Up
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pure
CY2022 piac Effective Income Tax Rate Reconciliation Federal Payable True Up
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pure
CY2021 piac Effective Income Tax Rate Reconciliation Federal Payable True Up
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CY2022 us-gaap Effective Income Tax Rate Reconciliation State And Local Income Taxes
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pure
CY2021 us-gaap Effective Income Tax Rate Reconciliation State And Local Income Taxes
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CY2023 piac Effective Income Tax Rate Reconciliation Permanent Items
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CY2022 piac Effective Income Tax Rate Reconciliation Permanent Items
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CY2021 piac Effective Income Tax Rate Reconciliation Permanent Items
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CY2023 us-gaap Effective Income Tax Rate Reconciliation Other Adjustments
EffectiveIncomeTaxRateReconciliationOtherAdjustments
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CY2022 us-gaap Effective Income Tax Rate Reconciliation Other Adjustments
EffectiveIncomeTaxRateReconciliationOtherAdjustments
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CY2021 piac Effective Income Tax Rate Reconciliation Deferred Trueup
EffectiveIncomeTaxRateReconciliationDeferredTrueup
pure
CY2023 us-gaap Effective Income Tax Rate Reconciliation Change In Enacted Tax Rate
EffectiveIncomeTaxRateReconciliationChangeInEnactedTaxRate
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CY2022 us-gaap Effective Income Tax Rate Reconciliation Change In Enacted Tax Rate
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CY2021 us-gaap Effective Income Tax Rate Reconciliation Change In Enacted Tax Rate
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CY2023 us-gaap Effective Income Tax Rate Reconciliation Other Reconciling Items Percent
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CY2022 us-gaap Effective Income Tax Rate Reconciliation Other Reconciling Items Percent
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pure
CY2021 us-gaap Effective Income Tax Rate Reconciliation Other Reconciling Items Percent
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pure
CY2022 us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
pure
CY2021 us-gaap Effective Income Tax Rate Continuing Operations
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CY2023 us-gaap Investment Company Gain Loss On Investment Per Share
InvestmentCompanyGainLossOnInvestmentPerShare
CY2021 us-gaap Investment Company Gain Loss On Investment Per Share
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CY2023Q4 us-gaap Dividends Payable Amount Per Share
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CY2023Q4 us-gaap Other Assets Noncurrent
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CY2023Q4 us-gaap Other Liabilities Noncurrent
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CY2022Q4 us-gaap Other Liabilities Noncurrent
OtherLiabilitiesNoncurrent
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CY2023 dei Amendment Flag
AmendmentFlag
false
CY2023 dei Document Fiscal Period Focus
DocumentFiscalPeriodFocus
FY
CY2023 dei Entity Central Index Key
EntityCentralIndexKey
0000845385

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