Stellus Capital Investment Corporation Reports Results for its First Fiscal Quarter Ended March 31, 2025

Core Insights - Stellus Capital Investment Corporation reported solid operating results for the fiscal quarter ended March 31, 2025, with U.S. GAAP net investment income of $0.35 per share and core net investment income of $0.37 per share [2][9] - The company funded $55 million in investments and received $15 million in repayments, resulting in a total portfolio value of $991 million at fair value [2][5] - Since inception, investors have received a total of $295 million in distributions, equating to $16.95 per share [2] Financial Highlights - For the three months ended March 31, 2025, net investment income was $9.79 million, down from $10.24 million in the same period of 2024 [3][9] - Core net investment income for the same period was $10.29 million, compared to $10.61 million in 2024 [3][9] - The company experienced a net realized loss on investments of $5.97 million, an improvement from a loss of $20.38 million in the previous year [3][10] Portfolio Activity - As of March 31, 2025, investments at fair value increased to $991.1 million from $953.5 million at the end of 2024 [5] - The company made new investments totaling $55.4 million during the quarter, significantly higher than $28.5 million in the same period last year [5] - The weighted average yield on total investments remained stable at 9.6% [5] Liquidity and Capital Resources - The company had $221.8 million in outstanding borrowings under its credit facility as of March 31, 2025, up from $175.4 million at the end of 2024 [13] - The credit facility allows for borrowings of up to $315 million, with an accordion feature for potential expansion to $350 million [12] Distributions - The company declared aggregate distributions of $0.40 per share for both the three months ended March 31, 2025, and 2024, totaling $11.1 million and $9.6 million, respectively [15] Recent Developments - On April 1, 2025, the company issued $75 million in 7.250% Notes due 2030, which will bear interest payable semi-annually [22] - The company has declared regular monthly dividends for April, May, and June 2025, at $0.1333 per share [26]