Financial Data and Key Metrics Changes - For the December quarter, the company's net investment income (NII) was $96.9 million, or $0.24 per common share, with a net asset value (NAV) of $3.68 billion, down $0.33 from the prior quarter [4] - The net debt equity ratio was 46.2%, down 27.9 percentage points from March 2020 and down 0.3 percentage points from September 2023, indicating an under-leveraged balance sheet [4] Business Line Data and Key Metrics Changes - The company's originations in the December quarter comprised 53.8% middle-market lending, 30.2% real estate, 10.5% middle-market lending and buyouts, and 5.5% subordinated structured notes investments [8] - The portfolio at fair value included 58.7% first-lien debt, up 1.4% from the prior quarter, while second-lien debt decreased to 15.5% [20] Market Data and Key Metrics Changes - The company has invested $3.8 billion in 108 properties, focusing on multifamily workforce housing and stabilized yield acquisitions [8] - Non-accruals as a percentage of total assets stood at approximately 0.2%, unchanged from the prior quarter [21] Company Strategy and Development Direction - The company aims to maintain significant dry powder and balance sheet flexibility to capitalize on attractive opportunities during market downturns [6] - The investment strategy focuses on secured lending and senior loans, with a preference for avoiding cyclicality and maintaining a diversified portfolio [20] Management's Comments on Operating Environment and Future Outlook - Management noted that the current higher financing cost environment is starting to abate, and the new investment focus includes preferred equity structures with significant third-party capital support [38] - The company expects to continue generating attractive risk-adjusted yields, with performing interest-bearing investments yielding an annualized 12.3% as of December 2023 [7] Other Important Information - The company announced monthly cash common shareholder distributions of $0.06 per share for February, March, and April, marking the 78th to 80th consecutive distributions at this rate [18] - As of December 2023, the company held approximately $4.7 billion in unencumbered assets, representing about 60% of its portfolio [25] Q&A Session Summary Question: On the preferred stock and issuer optional conversion feature - Management clarified that there are no plans to exercise the optional conversion feature for the Series A preferreds and mentioned a new series that is not convertible into common stock [46] Question: Regarding the sale of a property in the REIT - Management confirmed the sale of a student housing asset close to its mark, with a well-performing portfolio and significant buyer interest in that segment [47][49] Question: On the CLO book strategy - Management stated that the CLO book is actively managed, with options including calling investments, refinancing, and selling positions, while expecting the CLO book to decline as other strategies grow [50]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 814-00659 PROSPECT CAPITAL CORPORATION (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) (I.R.S. Employer ...

Financial Data and Key Metrics Changes - The annualized basic net investment income (NII) yield is reported at 10.8% on a book basis and 18.7% based on the stock price close on November 7 [4] - The net investment income for the September quarter was $125.6 million, translating to a basic NII of $0.25 per common share, exceeding the distribution rate by $0.07, with a coverage ratio of 139% [20][55] - The net asset value (NAV) per common share stood at $9.25, reflecting a slight increase of $0.01 or 0.1% from the prior quarter [4] Business Line Data and Key Metrics Changes - The portfolio as of September 2023 comprised 57.3% first-lien debt, up 0.8% from the prior quarter, while second-lien debt decreased by 0.5% to 15.9% [25] - Originations in the September quarter were 48.5% real estate, 40.6% middle market lending, and 10.9% middle market buyouts [10] - The structured credit portfolio generated a GAAP yield of 10.7% and a cash yield of 17.5% [62] Market Data and Key Metrics Changes - The company has deployed significant capital in real estate, focusing on multifamily workforce housing and senior living, with a total of $3.8 billion invested across 105 properties [11] - The non-accruals as a percentage of total assets stood at approximately 0.2%, down 0.9% from the prior quarter, indicating improved asset quality [26] Company Strategy and Development Direction - The company emphasizes a diversified investment strategy, focusing on secured lending and senior loans to mitigate downside risk while achieving above-market yields [8] - The management plans to capitalize on secondary opportunities during economic downturns, maintaining significant dry powder and balance sheet flexibility [24] - The company has a strong focus on maintaining an under-leveraged balance sheet, with a net debt-to-equity ratio of 46.5%, down 27.6 percentage points since March 2020 [55] Management's Comments on Operating Environment and Future Outlook - Management noted that the current high financing costs are a challenge across the corporate world, not just in real estate [1] - The company has outperformed peers during macro volatility due to prior derisking and risk management controls [21] - Management expressed confidence in the ability to generate earnings for shareholders while controlling portfolio and balance sheet risk [21] Other Important Information - The company has raised nearly $1.7 billion in aggregate issuance of perpetual preferred stock, demonstrating strong support from the lender community [17] - The weighted average cost of unsecured debt financing was reported at 4.08%, reflecting a slight increase from the previous quarter [46] Q&A Session Summary Question: Inquiry about NP REIT's mortgage liability profile - Management explained that investments enhance net operating income through value-add renovation programs, benefiting from strong rent growth and occupancy [36][37] Question: Discussion on refinancing needs and capital expenditures - Management clarified that they have not needed to inject capital for refinancing and emphasized the use of fixed-rate funding to mitigate risks [49][50] Question: Valuation of Series A fixed-rate preferred stock - Management described the tender offer as a balancing act, aiming for net investment income and net asset value accretiveness [74][75] Question: Anticipation of changes in terminal cap rates - Management stated that they operate in private markets and do not predict cap rates, relying on independent valuations [76][79]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 814-00659 PROSPECT CAPITAL CORPORATION (Exact name of registrant as specified in its charter) Maryland 43-2048643 (State or other jurisdiction of incorporation or organizat ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 814-00659 PROSPECT CAPITAL CORPORATION (Exact name of Registrant as specified in its charter) Maryland 43-2048643 (State or other jurisdiction of incorporation or organization) 10 East ...

Prospect Capital Corporation (NASDAQ:PSEC) Q4 2023 Results Conference Call August 30, 2023 11:00 AM ET Company Participants John Barry - Chairman and CEO Grier Eliasek - President and COO Kristin Van Dask - CFO Conference Call Participants Finian O’Shea - Wells Fargo Robert Dodd - Raymond James Operator Hello and welcome to Prospect Capital’s Fourth Quarter Fiscal Year 2023 Earnings Release and Conference Call. All participants will be in listen-only mode. [Operator Instructions] Please note, this event is ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 814-00659 PROSPECT CAPITAL CORPORATION (Exact name of registrant as specified in its charter) FORM 10-Q Maryland 43-2048643 (State or other jurisdiction of incorporation or organization) ...

Prospect Capital Corporation (NASDAQ:PSEC) Q2 2023 Earnings Conference Call February 9, 2023 9:30 AM ET Company Participants John Barry - Chairman and CEO Grier Eliasek - President and COO Kristin Van Dask - CFO Conference Call Participants Operator Welcome to the Prospect Capital Second Fiscal Quarter Earnings Release and Conference Call. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the conference over to Mr. John Barry, Chairman and CEO. Please go ahead. Joh ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Maryland 43-2048643 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 10 East 40th Street, 42nd Floor New York, New York 10016 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (212) 448-0702 For the quarterly period ended December 31, ...

Prospect Capital Corporation (NASDAQ:PSEC) Q1 2023 Earnings Conference Call November 10, 2022 10:00 AM ET Company Participants John Barry – Chairman and Chief Executive Officer Grier Eliasek – President and Chief Operating Officer Kristin Van Dask – Chief Financial Officer Conference Call Participants Operator Good day and welcome to the Prospect Capital First Quarter Fiscal Year 2023 Earnings Release and Conference Call. All participants will be in a listen-only mode. [Operator Instructions] After today's ...