Crescent Capital BDC(CCAP) - 2024 Q3 - Quarterly Results

Q3 2024 Earnings and Dividend Announcement Crescent Capital BDC announced its Q3 2024 earnings, reporting specific per-share metrics and declaring both base and supplemental dividends Earnings Summary For the third quarter of 2024, Crescent Capital BDC reported a net investment income of $0.64 per share and a net income of $0.41 per share, with net asset value per share at $20.20 as of September 30, 2024 Key Earnings Metrics per Share | Metric | Value per Share | | :--- | :--- | | Net Investment Income | $0.64 | | Net Income | $0.41 | | Net Asset Value | $20.20 | Dividend Declarations The Board of Directors declared a fourth-quarter 2024 base dividend of $0.42 per share and a third-quarter 2024 supplemental dividend of $0.07 per share Declared Dividends | Dividend Type | Quarter | Amount per Share | Record Date | Payment Date | | :--- | :--- | :--- | :--- | :--- | | Regular Cash Dividend | Q4 2024 | $0.42 | Dec 31, 2024 | Jan 15, 2025 | | Supplemental Cash Dividend | Q3 2024 | $0.07 | Nov 29, 2024 | Dec 16, 2024 | Financial and Portfolio Overview This section provides a comprehensive overview of the company's financial performance, portfolio composition, and liquidity position Selected Financial Highlights In Q3 2024, Crescent BDC's net investment income per share increased to $0.64, while net assets slightly decreased to $748.8 million and net asset value per share declined to $20.20 Selected Financial Highlights (Millions USD, except per share) | Selected Financials | Sep 30, 2024 | Jun 30, 2024 | Sep 30, 2023 | | :--- | :--- | :--- | :--- | | Total net assets | $748.8 | $752.4 | $730.3 | | Net asset value per share | $20.20 | $20.30 | $19.70 | | Investment income | $51.6 | $48.9 | $48.2 | | Net investment income | $23.5 | $21.7 | $21.7 | | Net investment income per share | $0.64 | $0.59 | $0.59 | | Net increase (decrease) in net assets from operations | $15.3 | $20.4 | $22.6 | Portfolio & Investment Activity As of September 30, 2024, the company's portfolio was valued at $1.59 billion across 183 companies, with unitranche first lien loans comprising 64.4% - In Q3 2024, the company invested $72.7 million and had $92.3 million in exits and repayments, compared to $119.3 million in investments and $73.4 million in exits in Q2 2024[2] Portfolio Asset Composition (Millions USD) | Portfolio Asset Types | Fair Value (Sep 30, 2024) | Percentage (Sep 30, 2024) | Fair Value (Dec 31, 2023) | Percentage (Dec 31, 2023) | | :--- | :--- | :--- | :--- | :--- | | Senior secured first lien | $401.7M | 25.2% | $429.2M | 27.0% | | Unitranche first lien | $1,023.7M | 64.4% | $973.9M | 61.5% | | Senior secured second lien | $41.8M | 2.6% | $58.2M | 3.7% | | Equity & other | $59.2M | 3.7% | $50.1M | 3.2% | | Total investments | $1,591.4M | 100.0% | $1,582.1M | 100.0% | Results of Operations For the third quarter of 2024, investment income rose to $51.6 million, while net expenses increased to $28.1 million, primarily due to higher weighted average debt outstanding Key Operational Metrics (Millions USD) | Metric | Q3 2024 | Q3 2023 | Change | | :--- | :--- | :--- | :--- | | Investment Income | $51.6 | $48.2 | +$3.4M | | Net Expenses | $28.1 | $26.4 | +$1.7M | - The increase in investment income was attributed to a rise in one-time non-recurring income[4] - The increase in net expenses was primarily due to a higher weighted average debt outstanding[4] Liquidity and Capital Resources As of September 30, 2024, the company maintained a solid liquidity position with $37.8 million in cash and $317.0 million available on its credit facilities Liquidity and Capital Metrics | Liquidity & Capital Metric | As of Sep 30, 2024 | | :--- | :--- | | Cash and cash equivalents | $37.8 million | | Undrawn credit capacity | $317.0 million | | Weighted average cost of debt | 6.59% | | Debt to equity ratio | 1.15x | Financial Statements This section presents the company's consolidated financial statements, including assets, liabilities, and operational results Consolidated Statements of Assets and Liabilities As of September 30, 2024, total assets were $1.645 billion, total liabilities were $896.2 million, and total net assets grew to $748.8 million Consolidated Balance Sheet (Thousands USD) | Balance Sheet | September 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Investments, at fair value | $1,591,433 | $1,582,075 | | Total assets | $1,645,049 | $1,627,379 | | Total liabilities | $896,242 | $884,785 | | Total net assets | $748,807 | $742,594 | Consolidated Statements of Operations For Q3 2024, total investment income was $51.6 million, resulting in a net increase in net assets from operations of $15.3 million, and $63.7 million for the nine months ended September 30, 2024 Consolidated Statement of Operations (Three Months Ended, Thousands USD) | Operations | Three Months Ended Sep 30, 2024 | Three Months Ended Sep 30, 2023 | | :--- | :--- | :--- | | Total investment income | $51,633 | $48,152 | | Net expenses | $27,437 | $26,079 | | Net investment income | $23,541 | $21,723 | | Net realized and unrealized (losses) gains | ($8,217) | $975 | | Net increase in net assets | $15,268 | $22,621 | Consolidated Statement of Operations (Nine Months Ended, Thousands USD) | Operations | Nine Months Ended Sep 30, 2024 | Nine Months Ended Sep 30, 2023 | | :--- | :--- | :--- | | Total investment income | $150,944 | $134,176 | | Net expenses | $80,930 | $73,497 | | Net investment income | $68,559 | $59,789 | | Net realized and unrealized (losses) | ($5,365) | ($7,540) | | Net increase in net assets | $63,658 | $52,979 | Corporate Information and Disclaimers This section provides details on the upcoming conference call, information about Crescent BDC and its manager, and important forward-looking statements Conference Call Information The company will host a conference call and webcast on November 12, 2024, at 12:00 p.m. Eastern Time to discuss its third-quarter financial results - A conference call to discuss Q3 2024 results is scheduled for Tuesday, November 12, 2024, at 12:00 p.m. ET, with access available via telephone or webcast[6][7] About Crescent BDC and Crescent Capital Group Crescent BDC is a business development company focused on providing capital to middle-market companies, externally managed by Crescent Capital Group, a global credit investment manager with $43 billion of assets under management - Crescent BDC's objective is to maximize total return through current income and capital appreciation by investing in middle-market companies[12] - The external manager, Crescent Capital Group, is a global credit investment manager with $43 billion AUM, specializing in below-investment-grade credit for over 30 years[13] Forward-Looking Statements This press release contains forward-looking statements subject to various risks and uncertainties, with actual results potentially differing materially from those anticipated - The document includes a standard safe harbor statement, warning that forward-looking statements are not guarantees of future performance and are subject to risks such as economic conditions, competition, and geopolitical unrest[14]