New Mountain Finance (NMFC) - 2024 Q1 - Quarterly Results

Financial Performance - Net Investment Income for Q1 2024 was $37.3 million, or $0.36 per weighted average share, compared to $0.38 per share in Q1 2023[3] - Net investment income for the three months ended March 31, 2024, was $37,554 thousand, slightly down from $38,388 thousand in the same period last year, a decrease of 2.17%[25] - Total investment income for the quarter was $90,556 thousand, a decrease from $91,953 thousand year-over-year, reflecting a decline of 1.52%[25] - Basic earnings per share decreased to $0.26 for the quarter, down from $0.44 in the prior year, a decline of 40.91%[27] - The net increase in net assets resulting from operations was $28,084 thousand, down from $44,812 thousand in the previous year, a decrease of 37.51%[25] Distributions - The Company declared a regular second quarter distribution of $0.32 per share and a supplemental distribution of $0.02 per share, payable on June 28, 2024[5] - Distributions declared and paid per share increased to $0.36, compared to $0.32 in the same quarter last year, an increase of 12.50%[27] Asset and Liability Management - The Company's Net Asset Value (NAV) per share decreased to $12.77 from $12.87 as of December 31, 2023, reflecting a 0.8% decline[5] - Total assets increased to $3,255,607 thousand as of March 31, 2024, up from $3,159,214 thousand at December 31, 2023, representing a growth of 3.04%[22] - Total liabilities rose to $1,886,424 thousand, compared to $1,827,491 thousand in the previous quarter, marking an increase of 3.22%[22] - The statutory debt to equity ratio improved from 1.14x as of December 31, 2023, to 1.08x as of March 31, 2024[5] Investment Portfolio - The investment portfolio had a fair value of $3,086.5 million as of March 31, 2024, with a weighted average Yield to Maturity (YTM) at Cost of approximately 11.1%[5] - The investment portfolio composition included 56.9% in First Lien, 14.0% in Second Lien, and 7.0% in Preferred Equity[12] - 96.5% of the portfolio was rated green on the risk rating scale, an improvement from 94.5% as of December 31, 2023[5] Cash and Financing Activities - The Company generated $191.8 million in originations during the quarter, partially offset by cash repayments of $144.9 million[5] - As of March 31, 2024, the Company had cash and cash equivalents of $107.5 million and total statutory debt outstanding of $1,471.0 million[13] - The Company sold 3,730,434 shares of common stock during the quarter, resulting in net proceeds of approximately $47.9 million[13] Non-Controlled Investments - Non-controlled/non-affiliated investments reported a net realized loss of $11,858 thousand for the quarter, compared to a loss of $1,308 thousand in the same period last year[25] Business Focus - The company focuses on providing direct lending solutions to U.S. middle market companies, primarily through senior secured loans, aiming for attractive risk-adjusted returns[28]