BlackRock TCP Capital (TCPC)2024-11-06 13:05Financial Performance - Net investment income for Q3 2024 was $33.9 million, or $0.40 per share, exceeding the regular dividend of $0.34 per share[2] - Adjusted net investment income for Q3 2024 was $30.8 million, or $0.36 per share, reflecting a 9.4% decrease from $28.3 million, or $0.49 per share in Q3 2023[4] - Total investment income for Q3 2024 was approximately $70.9 million, or $0.83 per share[11] - Net increase in net assets resulting from operations for Q3 2024 was $21.6 million, or $0.25 per share[13] - Total investment income for the three months ended September 30, 2024, was $70,932,487, an increase of 30.9% compared to $54,210,941 for the same period in 2023[22] - Net investment income before taxes for the three months ended September 30, 2024, was $33,877,641, up from $28,333,076 in the prior year, representing a growth of 19.0%[22] - Basic and diluted earnings per share for the three months ended September 30, 2024, were $0.25, compared to $0.22 for the same period in 2023[22] Dividends - The company declared a fourth quarter dividend of $0.34 per share and a special dividend of $0.10 per share, both payable on December 31, 2024[2] - For the three months ended September 30, 2024, approximately $0.7 million of cash distributions were reinvested through the new dividend reinvestment plan (DRIP)[17] Assets and Liabilities - Net asset value per share decreased to $10.11 as of September 30, 2024, down from $10.20 as of June 30, 2024[2] - Total assets as of September 30, 2024, amounted to $2,047,700,892, up from $1,698,772,353 at the end of 2023, indicating an increase of about 20.6%[21] - The net assets applicable to common shareholders as of September 30, 2024, were $865,636,898, an increase from $687,601,546 at the end of 2023, representing a growth of about 26%[21] - Total debt outstanding as of September 30, 2024, was $1,160,042,987, an increase from $985,200,609 as of December 31, 2023, representing a growth of approximately 17.7%[21] - Cash and cash equivalents as of September 30, 2024, were $104,181,765, down from $112,241,946 at the end of 2023, a decrease of approximately 7.5%[21] Investment Activity - Total acquisitions during Q3 2024 were approximately $72.8 million, while total investment dispositions were $139.2 million[2] - The total investments at fair value as of September 30, 2024, were $1,909,089,361, compared to $1,554,941,110 at the end of 2023, reflecting an increase of approximately 22.7%[21] - The company has a stock repurchase plan approved to acquire up to $50.0 million of its common stock, although no shares were repurchased during the three months ended September 30, 2024[18] Portfolio Quality - Debt investments on non-accrual status represented 3.8% of the portfolio at fair value as of September 30, 2024, down from 4.9% as of June 30, 2024[2] - The weighted average annual effective yield of the debt portfolio was approximately 13.4% as of September 30, 2024, compared to 13.7% as of June 30, 2024[8] - The net realized loss on investments for the three months ended September 30, 2024, was $(31,425,777), compared to a loss of $(128,841) in the same period last year[22] - Total operating expenses for the three months ended September 30, 2024, were $37,054,846, a 43.5% increase from $25,877,865 in the same quarter of 2023[22] Management and Strategy - The company is focused on direct lending to middle-market companies and small businesses, aiming for high total returns through current income and capital appreciation[23] - BlackRock TCP Capital Corp. is externally managed by a wholly-owned, indirect subsidiary of BlackRock, Inc., ensuring professional management of its investment portfolio[23] - The company emphasizes principal protection in its investment strategy, which is crucial in the current economic environment[23]