[First Quarter 2025 Earnings Results](index=1&type=section&id=First%20Quarter%202025%20Earnings%20Results) [Financial and Operational Highlights](index=1&type=section&id=Financial%20and%20Operational%20Highlights) Sixth Street Specialty Lending reported Q1 2025 net investment income of **$0.62 per share** and **$0.39 net income per share**, with **NAV at $17.04**, while executing key financing activities | Metric | Q1 2025 Value | | :--- | :--- | | Net Investment Income (NII) per Share | $0.62 | | Adjusted NII per Share | $0.58 | | Net Income (NI) per Share | $0.39 | | Adjusted NI per Share | $0.36 | | Annualized ROE (NII) | 14.4% | | Annualized ROE (NI) | 9.2% | | NAV per Share (End of Period) | $17.04 | - The decline in NAV per share from **$17.16** (Q4 2024) to **$17.04** (Q1 2025) was mainly driven by a **$0.13 per share** reversal of unrealized gains from paydowns/sales and a **$0.06 per share** impact from widening credit spreads[4](index=4&type=chunk) | Dividend Type | Per Share Amount | Record Date | Payment Date | | :--- | :--- | :--- | :--- | | Q2 2025 Base Dividend | $0.46 | June 16, 2025 | June 30, 2025 | | Q1 2025 Supplemental Dividend | $0.06 | May 30, 2025 | June 20, 2025 | - The company issued **$300.0 million** of unsecured notes due in 2030 and entered an interest rate swap, resulting in an effective interest rate of **SOFR plus 153 basis points**[6](index=6&type=chunk) - In March, the company amended its Revolving Credit Facility, extending the maturity to March 2030 for **$1.525 billion** of commitments and reducing borrowing costs[7](index=7&type=chunk) [Portfolio and Investment Activity](index=2&type=section&id=PORTFOLIO%20AND%20INVESTMENT%20ACTIVITY) The company's Q1 2025 portfolio activity reflected reduced new investments and increased exits, resulting in a net reduction, while maintaining a conservative, predominantly floating-rate debt structure | Activity (Principal Amount, Millions) | Q1 2025 | Q4 2024 | | :--- | :--- | :--- | | New Investment Commitments | $154.4 | $479.0 | | Investments Funded | $136.8 | $323.5 | | Exits and Repayments | $269.6 | $304.7 | | Portfolio Composition (% of Fair Value) | Mar 31, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | First-Lien Debt | 92.9% | 93.9% | | Second-Lien Debt | 1.0% | 0.6% | | Mezzanine Debt | 1.5% | 1.1% | | Equity and Other | 4.6% | 4.4% | - As of March 31, 2025, **97.0%** of the company's debt investments by fair value were at floating rates, with **100%** of these subject to reference rate floors[12](index=12&type=chunk) | Weighted Average Yield | Mar 31, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | At Fair Value | 12.1% | 12.3% | | At Amortized Cost | 12.3% | 12.5% | - Portfolio credit quality remained stable, with investments on non-accrual status at **1.2%** of fair value as of March 31, 2025, a slight improvement from **1.4%** at year-end 2024[13](index=13&type=chunk) [Results of Operations](index=3&type=section&id=RESULTS%20OF%20OPERATIONS%20FOR%20THE%20THREE%20MONTHS%20ENDED%20MARCH%2031%2C%202025) For Q1 2025, total investment income slightly decreased to **$116.3 million**, while net expenses significantly reduced to **$57.0 million**, leading to an improved debt-to-equity ratio of **1.18x** - Total investment income for Q1 2025 was **$116.3 million**, down slightly from **$117.8 million** in Q1 2024, mainly due to lower interest rates, partially offset by higher activity-based fee income[16](index=16&type=chunk) - Net expenses for Q1 2025 decreased to **$57.0 million** from **$64.6 million** in Q1 2024, primarily because lower reference rates reduced the interest expense on the company's debt[17](index=17&type=chunk) | Debt and Capital Metrics (Millions) | As of Mar 31, 2025 | As of Dec 31, 2024 | | :--- | :--- | :--- | | Total Principal Debt Outstanding | $1,889.2 | - | | Undrawn Revolver Capacity | $1,012.8 | - | | Debt-to-Equity Ratio (Quarter End) | 1.18x | 1.22x | | Average Debt-to-Equity Ratio | 1.19x | 1.23x | [Liquidity and Funding Profile](index=4&type=section&id=LIQUIDITY%20AND%20FUNDING%20PROFILE) As of March 31, 2025, the company maintained a strong liquidity position of **$1.018 billion** (pre-unfunded commitments), with a funding mix of **66% unsecured** debt and a well-laddered maturity profile | Liquidity Position ($ Millions) | As of Mar 31, 2025 | | :--- | :--- | | Revolver Capacity | $1,675 | | Drawn on Revolver | ($639) | | Unrestricted Cash Balance | $5 | | Total Liquidity (Pre-Unfunded Commitments) | $1,018 | | Total Liquidity (Burdened for Unfunded Commitments) | $843 | - The company's funding mix at quarter-end was approximately **66% unsecured** and **34% secured** debt[23](index=23&type=chunk) - The company has a well-managed debt maturity profile, with the nearest maturity of **$300 million** in August 2026. The weighted average remaining maturity on debt is **~4.2 years**[23](index=23&type=chunk) [Financial Statements and Tables](index=6&type=section&id=Financial%20Statements%20and%20Tables) This section presents detailed unaudited financial statements and comparative tables, including financial highlights, consolidated balance sheets, statements of operations, and investment activity, for a comprehensive view of performance [Financial Highlights](index=6&type=section&id=Financial%20Highlights) The financial highlights table provides quarter-over-quarter and year-over-year comparisons, showing Q1 2025 Net Investment Income per share stable at **$0.62** and Net Income per share at **$0.39**, with weighted average debt yield at **12.1%** | Metric (per share) | Q1 2025 | Q4 2024 | Q1 2024 | | :--- | :--- | :--- | :--- | | Net Asset Value | $17.04 | $17.16 | $17.17 | | Net Investment Income | $0.62 | $0.62 | $0.59 | | Net Income | $0.39 | $0.55 | $0.53 | | Metric (Annualized ROE) | Q1 2025 | Q4 2024 | Q1 2024 | | :--- | :--- | :--- | :--- | | Based on Net Investment Income | 14.4% | 14.4% | 13.8% | | Based on Net Income | 9.2% | 12.8% | 12.5% | [Consolidated Balance Sheets](index=7&type=section&id=Consolidated%20Balance%20Sheets) As of March 31, 2025, the consolidated balance sheet reported total assets of **$3.499 billion** and total net assets of **$1.601 billion**, resulting in a NAV per share of **$17.04**, a slight decrease from year-end 2024 | Balance Sheet ($ thousands) | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total investments at fair value | $3,412,032 | $3,518,412 | | Total Assets | $3,498,500 | $3,582,225 | | Total Liabilities | $1,897,217 | $1,974,696 | | Total Net Assets | $1,601,283 | $1,607,529 | | Net Asset Value Per Share | $17.04 | $17.16 | [Consolidated Statements of Operations](index=8&type=section&id=Consolidated%20Statements%20of%20Operations) For Q1 2025, total investment income was **$116.3 million**, with net expenses of **$57.0 million**, leading to net investment income of **$58.0 million** and a final net income of **$37.0 million**, or **$0.39 per share** | Statement of Operations ($ thousands) | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | | :--- | :--- | :--- | | Total Investment Income | $116,349 | $117,783 | | Net Expenses | $57,021 | $64,571 | | Net Investment Income | $57,978 | $52,362 | | Total Net Unrealized and Realized Gains (Losses) | ($21,023) | ($4,844) | | Increase in Net Assets (Net Income) | $36,955 | $47,518 | | Earnings per common share | $0.39 | $0.53 | [Investment Activity](index=9&type=section&id=Investment%20Activity) Q1 2025 investment activity included **$154.4 million** in new commitments and **$269.6 million** in sales/repayments, with **85.1%** of new debt commitments at floating rates | Investment Activity ($ millions) | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | | :--- | :--- | :--- | | Total new investment commitments | $154.4 | $263.6 | | Principal amount of investments funded | $136.8 | $162.8 | | Principal amount of investments sold or repaid | $269.6 | $108.6 | - For new debt investment commitments in Q1 2025, **85.1%** were at floating rates, a decrease from **98.7%** in Q1 2024[37](index=37&type=chunk) [Supplemental Information](index=5&type=section&id=Supplemental%20Information) This section provides logistical details for the earnings call, company background, and important legal disclaimers regarding forward-looking statements and non-GAAP financial measures [Conference Call and Webcast](index=5&type=section&id=Conference%20Call%20and%20Webcast) The company will host a conference call and live webcast on **May 1, 2025**, at **8:30 a.m. Eastern Time**, to discuss its Q1 2025 financial results, with access details provided - A conference call to discuss financial results is scheduled for **8:30 a.m. Eastern Time** on **May 1, 2025**[27](index=27&type=chunk) - A live webcast and a slide presentation will be available on the Investor Resources section of the company's website[27](index=27&type=chunk) [About the Company](index=10&type=section&id=About%20the%20Company) Sixth Street Specialty Lending (TSLX) is a regulated BDC focused on direct origination of senior secured loans to U.S. middle-market companies, externally managed by Sixth Street, a global investment firm with over **$100 billion** in assets - Sixth Street Specialty Lending is a specialty finance company and regulated BDC focused on lending to U.S. middle-market companies[38](index=38&type=chunk) - The company is externally managed by Sixth Street Specialty Lending Advisers, LLC, an affiliate of Sixth Street, a global investment firm with over **$100 billion** in assets under management[38](index=38&type=chunk)[39](index=39&type=chunk) [Forward-Looking Statements and Non-GAAP Measures](index=10&type=section&id=Forward-Looking%20Statements%20and%20Non-GAAP%20Measures) The report includes forward-looking statements subject to risks and uncertainties, and utilizes non-GAAP financial measures like adjusted net investment income to reflect fundamental earnings power - The document includes forward-looking statements, and actual results may differ materially from those projected. The company does not assume an obligation to update these statements[40](index=40&type=chunk) - The company uses non-GAAP measures like **'Adjusted net investment income'** and **'Adjusted net income'** which exclude accrued capital gains incentive fees to better reflect fundamental earnings power[41](index=41&type=chunk)

PART I. FINANCIAL INFORMATION [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited consolidated financial statements for Sixth Street Specialty Lending, Inc., detailing financial position and operational results for Q1 2025 [Consolidated Balance Sheets](index=4&type=section&id=Consolidated%20Balance%20Sheets) The Consolidated Balance Sheet shows total assets decreased to **$3.50 billion**, with net assets at **$1.60 billion** and NAV per share at **$17.04** Consolidated Balance Sheet Highlights (in thousands) | Metric | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total Investments at Fair Value | $3,412,032 | $3,518,412 | | Total Assets | $3,498,500 | $3,582,225 | | Total Liabilities | $1,897,217 | $1,974,696 | | Total Net Assets | $1,601,283 | $1,607,529 | | Net Asset Value Per Share | $17.04 | $17.16 | [Consolidated Statements of Operations](index=5&type=section&id=Consolidated%20Statements%20of%20Operations) Q1 2025 saw **$116.3 million** total investment income and **$58.0 million** net investment income, but net losses limited the increase in net assets from operations to **$37.0 million** Quarterly Operating Results (in thousands, except per share data) | Metric | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | | :--- | :--- | :--- | | Total Investment Income | $116,349 | $117,783 | | Net Expenses | $57,021 | $64,571 | | Net Investment Income | $57,978 | $52,362 | | Total Net Unrealized and Realized Losses | $(21,023) | $(4,844) | | Increase in Net Assets from Operations | $36,955 | $47,518 | | Earnings per common share—basic and diluted | $0.39 | $0.53 | [Consolidated Schedules of Investments](index=6&type=section&id=Consolidated%20Schedules%20of%20Investments) As of March 31, 2025, total investments at fair value were **$3.41 billion**, primarily debt, with top industry concentrations in Internet Services, Business Services, and Retail and Consumer Products Investment Portfolio Composition as of March 31, 2025 (in thousands) | Investment Type | Amortized Cost | Fair Value | | :--- | :--- | :--- | | Debt Investments | $3,292,781 | $3,253,992 | | Equity and Other Investments | $150,809 | $158,040 | | **Total Investments** | **$3,443,590** | **$3,412,032** | - As of March 31, 2025, non-qualifying assets under the 1940 Act represented **16.6%** of total assets[29](index=29&type=chunk) - The company holds one controlled, affiliated investment, IRGSE Holding Corp., with a fair value of **$66.8 million** as of March 31, 2025[30](index=30&type=chunk) [Consolidated Statements of Changes in Net Assets](index=24&type=section&id=Consolidated%20Statements%20of%20Changes%20in%20Net%20Assets) For Q1 2025, net assets decreased from **$1.608 billion** to **$1.601 billion**, as dividends declared exceeded the net increase from operations Changes in Net Assets for Q1 2025 (in thousands) | Description | Amount | | :--- | :--- | | Balance at December 31, 2024 | $1,607,529 | | Net increase from operations | $36,955 | | Stock issued via dividend reinvestment plan | $6,440 | | Dividends declared | $(49,641) | | **Balance at March 31, 2025** | **$1,601,283** | [Consolidated Statements of Cash Flows](index=25&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) For Q1 2025, net cash provided by operating activities was **$149.9 million**, while financing activities used **$130.0 million**, leading to a **$19.9 million** net increase in cash Cash Flow Summary for Q1 2025 vs Q1 2024 (in thousands) | Cash Flow Activity | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | | :--- | :--- | :--- | | Net Cash Provided by (Used in) Operating Activities | $149,919 | $(65,538) | | Net Cash Provided by (Used in) Financing Activities | $(129,978) | $76,232 | | Net Increase (Decrease) in Cash | $19,941 | $10,694 | | Cash, End of Period | $47,269 | $35,890 | [Notes to Consolidated Financial Statements](index=26&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) The notes detail accounting policies, fair value measurement, adviser agreements, investment portfolio specifics, debt structure, and financial highlights, including the company's **BDC** and **RIC** status - The company is managed by Sixth Street Specialty Lending Advisers, LLC and has elected to be regulated as a **Business Development Company (BDC)** and a **Regulated Investment Company (RIC)**[51](index=51&type=chunk) - For the three months ended March 31, 2025, the Adviser waived Management Fees of **$0.4 million** pursuant to the Leverage Waiver[110](index=110&type=chunk) - As of March 31, 2025, the company's asset coverage ratio was **185.1%**, above the **150%** regulatory requirement[167](index=167&type=chunk) - The company declared total dividends of **$0.53 per share** for the first quarter of 2025, consisting of a **$0.46 base dividend** and a **$0.07 supplemental dividend**[190](index=190&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=58&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's performance, financial condition, and market outlook, emphasizing direct origination of senior secured loans to U.S. middle-market companies and strong liquidity - The company focuses on lending to middle-market companies with annual EBITDA between **$10 million** and **$250 million**[200](index=200&type=chunk) - As of March 31, 2025, **97.0%** of debt investments bore floating interest rates, with **100.0%** of these having interest rate floors, providing a hedge against inflation[209](index=209&type=chunk) - Since inception through March 31, 2025, exited investments have generated an average realized gross internal rate of return (IRR) of **17.0%**[264](index=264&type=chunk) [Portfolio and Investment Activity](index=67&type=section&id=Portfolio%20and%20Investment%20Activity) As of March 31, 2025, the investment portfolio was valued at **$3.41 billion**, primarily first-lien debt, with Q1 2025 new fundings at **$136.8 million** and exits at **$269.6 million** Investment Activity (in millions) | Metric | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | | :--- | :--- | :--- | | Total new investment commitments | $154.4 | $263.6 | | Principal amount of investments funded | $136.8 | $162.8 | | Principal amount of investments sold or repaid | $269.6 | $108.6 | Portfolio Composition by Fair Value | Investment Type | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | First-lien debt | 92.9% | 93.9% | | Second-lien debt | 1.0% | 0.6% | | Mezzanine debt | 1.5% | 1.1% | | Equity and other | 4.6% | 4.4% | Non-Accrual Investments | Metric | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | As % of Fair Value | 1.2% | 1.4% | | As % of Amortized Cost | 3.7% | 3.6% | [Results of Operations](index=70&type=section&id=Results%20of%20Operations) For Q1 2025, total investment income was **$116.3 million**, net expenses decreased to **$57.0 million**, yielding **$58.0 million** net investment income, but net losses reduced the increase in net assets from operations to **$37.0 million** Investment Income Breakdown (in millions) | Income Source | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Interest from investments | $106.6 | $104.6 | | Paid-in-kind interest income | $5.4 | $8.1 | | Dividend income | $0.9 | $0.8 | | Other income | $3.4 | $4.3 | | **Total Investment Income** | **$116.3** | **$117.8** | Expense Breakdown (in millions) | Expense Source | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Interest | $33.0 | $39.0 | | Management fees (net) | $12.7 | $12.2 | | Incentive fees | $7.8 | $10.1 | | **Net Expenses** | **$57.0** | **$64.6** | - Net realized gains were **$0.8 million** in Q1 2025, while net change in unrealized losses was **$21.8 million**[259](index=259&type=chunk) The unrealized losses were driven by widening credit spreads, negative credit-related adjustments, and foreign currency fluctuations[261](index=261&type=chunk)[263](index=263&type=chunk) [Financial Condition, Liquidity and Capital Resources](index=77&type=section&id=Financial%20Condition%2C%20Liquidity%20and%20Capital%20Resources) The company maintains strong liquidity with **$47.3 million** cash and **$1.0 billion** available on its Revolving Credit Facility, supported by a **185.1%** asset coverage ratio Debt Obligations as of March 31, 2025 (in millions) | Debt Instrument | Outstanding Principal | Carrying Value | | :--- | :--- | :--- | | Revolving Credit Facility | $639.2 | $621.3 | | 2026 Notes | $300.0 | $284.3 | | 2028 Notes | $300.0 | $298.0 | | 2029 Notes | $350.0 | $343.2 | | 2030 Notes | $300.0 | $298.0 | | **Total Debt** | **$1,889.2** | **$1,844.8** | - As of March 31, 2025, the company had total unfunded commitments to portfolio companies of **$322.6 million**[317](index=317&type=chunk) - The company's asset coverage ratio was **185.1%** as of March 31, 2025, providing significant cushion over the required **150%** level[273](index=273&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=70&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company faces **valuation**, **interest rate**, and **currency risks**, managed through a portfolio of primarily floating-rate assets and currency hedging strategies - The company's primary market risks are **valuation risk** for its illiquid private investments, **interest rate risk**, and **currency risk**[331](index=331&type=chunk) Annualized Impact of Hypothetical Interest Rate Changes on Net Interest Income (in millions) | Basis Point Change | Impact on Net Interest Income | | :--- | :--- | | Up 300 basis points | $36.9 | | Up 200 basis points | $24.6 | | Up 100 basis points | $12.3 | | Down 25 basis points | $(3.1) | | Down 50 basis points | $(6.2) | - Currency risk is primarily managed by borrowing in the same foreign currency as the investment to create a **natural hedge**[339](index=339&type=chunk) [Item 4. Controls and Procedures](index=71&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded the company's disclosure controls and procedures were **effective** as of March 31, 2025, with no material changes to internal control over financial reporting - The CEO and CFO concluded that the company's disclosure controls and procedures are **effective**[340](index=340&type=chunk) - No material changes to internal control over financial reporting occurred during the most recently completed fiscal quarter[341](index=341&type=chunk) PART II. OTHER INFORMATION [Item 1. Legal Proceedings](index=72&type=section&id=Item%201.%20Legal%20Proceedings) The company is not currently subject to any **material legal proceedings** or aware of any being threatened against it - The company is not currently a party to any **material legal proceedings**[342](index=342&type=chunk) [Item 1A. Risk Factors](index=72&type=section&id=Item%201A.%20Risk%20Factors) This section directs readers to the comprehensive risk factors detailed in the Annual Report on Form 10-K for the fiscal year ended December 31, 2024 - The report directs investors to review the risk factors detailed in the Annual Report on Form 10-K for the fiscal year ended December 31, 2024[343](index=343&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=72&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) There were no unregistered sales of equity securities during the period - None[344](index=344&type=chunk) [Item 5. Other Information](index=72&type=section&id=Item%205.%20Other%20Information) No directors or officers adopted, modified, or terminated any Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during Q1 2025 - No directors or officers adopted, modified, or terminated any Rule 10b5-1 trading plans during the first quarter of 2025[347](index=347&type=chunk) [Item 6. Exhibits](index=73&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including amendments to credit agreements, indentures, and CEO/CFO certifications - Key exhibits filed include the **Sixteenth Amendment to the Senior Secured Revolving Credit Agreement** and **CEO/CFO certifications** pursuant to the Sarbanes-Oxley Act[348](index=348&type=chunk) Signatures The report was duly signed on **April 30, 2025**, by **Joshua Easterly**, Chief Executive Officer, and **Ian Simmonds**, Chief Financial Officer - The report was duly signed on **April 30, 2025**, by **Joshua Easterly, Chief Executive Officer**, and **Ian Simmonds, Chief Financial Officer**[352](index=352&type=chunk)

Core Insights - Mr. Mavroudis is a professional portfolio manager with a focus on risk management and in-depth financial market analysis [1] - He has successfully navigated major crises, including the COVID-19 pandemic and the PSI [1] - Mr. Mavroudis is the CEO of FAST FINANCE Investment Services, a registered Greek company [1] Professional Background - Mr. Mavroudis holds multiple degrees: MSc in Financial and Banking Management, LLM in Law, and BSc in Economics, graduating as valedictorian [1] - He is a certified portfolio manager and analyst for financial instruments, as well as a specialist in derivatives and securities market-making [1] - He is also a licensed Class A accountant-tax consultant and a member of the Economic Chamber of Greece [1] Contributions to the Industry - Mr. Mavroudis writes daily articles for reputable financial media and appears as a guest commentator on television and online programs [1] - He teaches in educational seminars and has published three books on investments [1] - By writing on Seeking Alpha, he aims to engage with a community of investors and market enthusiasts, fostering mutual growth and knowledge sharing [1]

Company Overview - Sixth Street (TSLX) shares increased by 6.4% to close at $20.38, following a notable trading volume, contrasting with a 13.2% loss over the past four weeks [1] - The company is expected to report quarterly earnings of $0.56 per share, reflecting a year-over-year decline of 3.5%, with revenues projected at $118.57 million, a slight increase of 0.7% from the previous year [2] Earnings Estimates and Market Sentiment - The consensus EPS estimate for Sixth Street has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [3] - The stock currently holds a Zacks Rank of 3 (Hold), suggesting a neutral outlook [3] Industry Comparison - Crescent Capital BDC (CCAP), a peer in the same industry, saw its shares rise by 7.9% to $15.32, but has experienced a -16.4% return over the past month [3] - CCAP's consensus EPS estimate is $0.52, representing a year-over-year decline of 17.5%, and it currently holds a Zacks Rank of 4 (Sell) [4]

Core Insights - The article emphasizes the importance of innovation and disruption in the financial sector, particularly focusing on high-tech and early growth companies [1] Group 1: Investment Focus - The company is keen on identifying growth buyouts and value stocks as potential investment opportunities [1] - There is a strong emphasis on monitoring the pace of high-tech advancements and their impact on investment strategies [1] Group 2: Research and Analysis - The article aims to provide readers with comprehensive research and insights into current events affecting the industry [1] - It highlights the significance of understanding market dynamics to uncover potential investment risks and opportunities [1]

Core Insights - The article emphasizes the importance of a hybrid investment strategy that combines high-quality dividend stocks with other investment vehicles such as Business Development Companies, REITs, and Closed End Funds to enhance income while achieving total returns comparable to traditional index funds [1]. Investment Strategy - The company advocates for a balanced approach to investing, focusing on both growth and income to maximize investment returns [1]. - The strategy aims to create a solid base of classic dividend growth stocks, which can lead to efficient income generation [1]. Performance Comparison - The total return from the proposed hybrid investment strategy is reported to be on par with the S&P 500 index, indicating its effectiveness in delivering competitive returns [1].

Group 1 - Investors in Sixth Street Specialty Lending, Inc. (TSLX) should monitor the stock due to significant activity in the options market, particularly the Jun 20, 2025 $30.00 Call which has high implied volatility [1] - Implied volatility indicates the market's expectation of future price movement, suggesting that investors anticipate a significant change in the stock's price, potentially due to an upcoming event [2] - Sixth Street Specialty Lending currently holds a Zacks Rank 3 (Hold) in the Financial - Mortgage & Related Services industry, which is in the bottom 44% of the Zacks Industry Rank [3] Group 2 - Over the past 60 days, two analysts have raised their earnings estimates for the current quarter while two have lowered theirs, resulting in a flat Zacks Consensus Estimate of 56 cents for the current quarter [3] - The high implied volatility may indicate a developing trading opportunity, as options traders often seek to sell premium on options with high implied volatility, aiming for the underlying stock to not move as much as expected at expiration [4]

Sixth Street Specialty Lending, Inc. (NYSE:TSLX) Q4 2024 Earnings Conference Call February 14, 2025 8:30 AM ET Company Participants Cami VanHorn - Head, Investor Relations Joshua Easterly - Chief Executive Officer Bo Stanley - President Ian Simmonds - Chief Financial Officer Conference Call Participants Finian O'Shea - Wells Fargo Securities Brian McKenna - Citizens JMP Mickey Schleien - Ladenburg Ken Lee - RBC Capital Markets Melissa Wedel - JPMorgan Robert Dodd - Raymond James Maxwell Fritscher - Truist P ...

S I X T H S T R E E T S P E C I A L EARNINGS PRESENTATION Quarter Ended December 31, 2024 T Y L E N D I N G DISCLAIMER AND FORWARD-LOOKING STATEMENT References in this presentation ("Presentation") to "TSLX," "we," "us," "our" and "the Company" refer to Sixth Street Specialty Lending, Inc. This Presentation includes forward-looking statements about TSLX that involve substantial risks and uncertainties. These forward-looking statements are not historical facts, but rather are based on current expectations, e ...

Core Insights - Sixth Street (TSLX) reported revenue of $123.7 million for Q4 2024, a year-over-year increase of 3.5% [1] - The earnings per share (EPS) for the same period was $0.61, slightly down from $0.62 a year ago [1] - The reported revenue exceeded the Zacks Consensus Estimate of $120.07 million by 3.03%, while the EPS surpassed the consensus estimate of $0.57 by 7.02% [1] Financial Performance Metrics - Total investment income from non-controlled non-affiliated investments was $121.26 million, exceeding the two-analyst average estimate of $118.02 million [4] - Investment income from controlled, affiliated investments was $2.44 million, matching the average estimate from two analysts [4] - Overall, the stock has returned +3.8% over the past month, slightly underperforming the Zacks S&P 500 composite's +3.9% change [3] Analyst Ratings - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]