Investment Overview - The company has invested approximately $4.2 billion in aggregate principal amount of debt and equity investments since operations began on October 13, 2016, through March 31, 2021[419]. - The company focuses on middle-market companies with annual EBITDA between $10 million and $150 million[420]. - The company may invest up to 30% of its portfolio in non-qualifying portfolio investments, such as non-U.S. companies[424]. - The company actively oversees its portfolio companies, including frequent communication to understand the financial performance impact of COVID-19[435]. - During the three months ended March 31, 2021, the company invested $386.3 million in 30 portfolio companies, resulting in a net decrease in investments of $163.1 million for the period[446]. - As of March 31, 2021, the investment portfolio consisted of 101 portfolio companies, with 99.1% of the debt bearing a floating rate[452]. - The total amortized cost of the investment portfolio as of March 31, 2021, was $2,378.2 million, with a fair value of $2,335.7 million[455]. - The company’s first lien senior secured loans represented 82.0% of the total portfolio as of March 31, 2021[448]. - The company’s preferred equity investments had a weighted average yield of 15.0% as of March 31, 2021[448]. - The total number of companies in the investment portfolio was 101 as of March 31, 2021, with no investments rated 4 (materially below expectations)[470]. Financial Performance - Total investment income for the three months ended March 31, 2021, was $49,831,000, compared to $51,496,000 for the same period in 2020[508]. - Total expenses for the same period were $27,666,000, down from $28,996,000 year-over-year[508]. - Net investment income for Q1 2021 was $22,165,000, slightly lower than $22,500,000 in Q1 2020[508]. - Net realized gain for the three months ended March 31, 2021, was $8,858,000, compared to a loss of $9,366,000 in the prior year[508]. - The net change in unrealized appreciation for the period was $730,000, a significant improvement from a loss of $117,581,000 in Q1 2020[508]. - The company reported a net increase in members' equity resulting from operations of $3,758,000 for the three months ended March 31, 2021[506]. - The total investment income for the company was $2,096,000 for the three months ended March 31, 2021[506]. - The company had total liabilities of $285,618,000, which included $146,153,000 in debt[504]. - The total unrealized gain on foreign currency transactions was $3,344,000 for the period[506]. - Interest income from investments fell to $44.3 million, down from $48.6 million, attributed to a decrease in LIBOR and the investment portfolio[509]. Debt and Financing - The company was in compliance with all financial covenants within its credit facilities as of March 31, 2021[438]. - As of March 31, 2021, total debt amounted to $1,714.5 million, an increase from $1,354.2 million as of December 31, 2020[539]. - The company completed a rights offering that generated net proceeds of $129.6 million, issuing 12,912,453 shares at a subscription price of $10.2163 per share[538]. - The BCSF Revolving Credit Facility had a maximum commitment amount of $500 million, which was later decreased to $425 million[545]. - The 2018-1 Notes, totaling $365.7 million, are secured by a diversified portfolio primarily consisting of senior secured loans[549]. - The Company issued $150.0 million of 8.50% senior unsecured notes due 2023, generating net proceeds of approximately $146.4 million[579]. - The Company issued $300.0 million of 2.950% notes due 2026, with a carrying value of $294.408 million as of March 31, 2021[583][585]. - The Company had $139.8 million in borrowings under the JPM Credit Facility as of March 31, 2021, down from $293.3 million as of December 31, 2020[566]. - The JPM Credit Facility currently has a facility amount of $450.0 million, with borrowings accruing interest at LIBOR plus 2.375%[562][565]. Portfolio Management - The company actively monitors portfolio investments and takes corrective actions when necessary, including raising interest rates and restructuring[443]. - The company emphasizes strong ESG management as part of its investment decision-making process to align with its goal of generating attractive risk-adjusted returns[445]. - The company’s Advisor monitors portfolio companies regularly to assess financial trends and compliance with business plans[463]. - The company has a total of $7.538 million in delayed draw commitments from TA/WEG Holdings, expiring on October 2, 2025[600]. - The company has a total of $8.900 million in revolver commitments from TLC Purchaser, Inc., expiring on October 13, 2025[600]. Valuation and Accounting - Investments are valued based on market quotations from independent pricing services or principal market makers, with oversight from the Board[609]. - For unquoted securities, the company uses discounted cash flow models and peer financial ratios for valuation, which may differ significantly from market values[610]. - The quarterly valuation process involves initial valuations by investment professionals or independent firms, followed by reviews and recommendations to the Audit Committee[611]. - Dividend income on preferred equity investments is recorded on an accrual basis, while common equity investments are recorded on the record date or ex-dividend date, depending on the type of company[606]. - PIK (Payment-in-Kind) interest or dividends are recorded as income but placed on non-accrual status if realization is uncertain[607].

Bain Capital Specialty Finance, Inc. (NYSE:BCSF) Q4 2020 Earnings Conference Call February 25, 2021 9:00 AM ET Company Representatives Michael Ewald - Chief Executive Officer Mike Boyle - President Sally Dornaus - Chief Financial Officer Katherine Schneider - Director, Investor Relations Conference Call Participants Finian O’Shea - Wells Fargo Securities Ryan Lynch - KBW Operator Good morning and welcome to the Bain Capital Specialty Finance Fourth Quarter and Fiscal Year Ended December 31, 2020 Earnings C ...

TABLE OF CONTENTS UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 814-01175 BAIN CAPITAL SPECIALTY FINANCE, INC. (Exact Name of Registrant as Specified in its Charter) Delaware (State or Other Jurisdiction of Incorpora ...

Bain Capital Specialty Finance, Inc. (NYSE:BCSF) Q3 2020 Earnings Conference Call November 6, 2020 8:30 AM ET Company Participants Katherine Schneider – Investor Relations Michael Ewald – President and Chief Executive Officer Mike Boyle – Vice President and Treasurer Sally Dornaus – Chief Financial Officer Conference Call Participants Finian O’Shea – Wells Fargo Securities Ryan Lynch – KBW Derek Hewett – Bank of America Operator Good morning, and welcome to the Bain Capital Specialty Finance Third Quarter 2 ...

Financial Data and Key Metrics Changes - Net investment income for Q2 2020 was $0.37 per share, compared to $0.44 per share in Q1 2020, reflecting a decrease in overall performance [13][32] - Total investment income decreased to $47.9 million from $51.5 million in the previous quarter, primarily due to a decline in interest income driven by lower LIBOR rates [30][32] - Net asset value (NAV) per share remained flat at $15.81, with a slight dilution impact from the rights offering [14][34] Business Line Data and Key Metrics Changes - New investment fundings totaled $49 million across 16 portfolio companies, while sales and repayments amounted to $67 million, indicating a decrease in activity compared to previous quarters [19][20] - The fair value of the investment portfolio was $2.5 billion, unchanged from the prior quarter, with 88% of the portfolio invested in first lien debt [21][30] Market Data and Key Metrics Changes - The portfolio is geographically diverse, with 83% of investments in the U.S. and 17% outside, showing resilience in performance across different regions [25][26] - The weighted average portfolio yield at amortized cost decreased to 6.6% from 7.3% due to significant declines in LIBOR rates [24] Company Strategy and Development Direction - The company emphasizes capital preservation and a disciplined investment approach, focusing on first lien senior secured floating rate assets [9][12] - The management plans to capitalize on attractive investment opportunities arising from market volatility and dislocation [12][38] Management's Comments on Operating Environment and Future Outlook - The management expressed cautious optimism regarding portfolio performance, attributing better-than-expected results to proactive cost-cutting measures by portfolio companies [8][15] - The company remains vigilant about potential challenges in the middle market and sectors heavily impacted by COVID-19 [9][17] Other Important Information - The company completed a transferable rights offering, raising approximately $132 million to strengthen its balance sheet and reduce net leverage ratio to 1.4x [10][34] - The company issued $150 million in unsecured debt at an 8.5% interest rate to enhance financial flexibility, despite the higher cost of capital [11][36] Q&A Session Summary Question: Impact of LIBOR on earnings - The weighted average LIBOR floor across the portfolio is about 74 basis points, with most U.S. borrowers having a 1% LIBOR floor [41] Question: Commentary on valuation and portfolio performance - The company maintained consistent credit quality, with no new nonaccruals and stable risk ratings across the portfolio [46] Question: Low level of sales and repayments - The muted M&A activity contributed to lower sales and repayments, with repayments primarily driven by revolver draws returning to the system [50] Question: Amendments in portfolio companies - Amendments were made for 11 companies, representing about 8% of the portfolio, with more than half accompanied by equity contributions from sponsors [53][54] Question: High-cost unsecured notes issuance - The issuance of unsecured notes was aimed at providing greater flexibility in the capital structure, despite the higher cost of debt [56]

Portfolio Composition and Strategy - The company primarily focuses on directly originating loans to middle market, sponsor-backed companies with $10-150 million of EBITDA, with a portfolio median EBITDA of $46.2 million[12] - The investment portfolio is highly diversified across 109 companies and 30 industries[12, 14] - The portfolio is mainly comprised of 88% first lien senior secured loans and 99.2% floating rate loans, with 91% having financial covenants[12] - Since inception, the company has invested approximately $3.7 billion in aggregate principal[13] Financial Performance and Credit Quality - The net investment income (NII) for Q2 2020 was $20.0 million, or $0.37 per share[12] - The return on equity (ROE) for Q2 2020 was 8.4%[12] - As of June 30, 2020, non-accrual investments represented 1.1% of the total investment portfolio at fair value[12] - The weighted average yield at amortized cost decreased to 6.6% as of June 30, 2020[14, 18] Balance Sheet and Debt - The total fair value of investments as of June 30, 2020, was $2476.0 million[14, 18, 35, 42] - The company's net asset value (NAV) per share decreased from $19.77 in Q2 2019 to $15.81 in Q2 2020[17, 23] - Total debt outstanding was $1550.2 million, resulting in a debt-to-equity ratio of 1.52x[19]

Bain Capital Specialty Finance, Inc. (NYSE:BCSF) Q1 2020 Earnings Conference Call May 7, 2020 8:30 AM ET Company Participants Katherine Schneider – Investor Relations Michael Ewald – President and Chief Executive Officer Mike Boyle – Vice President and Treasurer Sally Dornaus – Chief Financial Officer Conference Call Participants Chris York – JMP Securities Arren Cyganovich – Citi Operator Greetings. Welcome to the Bain Capital Specialty Finance First Quarter 2020 Earnings Conference Call. [Operator Instruc ...