Financial Data and Key Metrics Changes - The company reported a record backlog of $1.3 billion, the highest in its history, with $650 million in new projects secured during the quarter, a $250 million increase from the same time last year [16][17]. - Adjusted EBITDA guidance was lowered by $55 million, primarily due to headwinds from a softer Oregon market and wet weather, with updated guidance for consolidated revenue between $3.1 billion and $3.3 billion [33][34]. Business Line Data and Key Metrics Changes - Contracting services revenue declined by 8.5% compared to last year, while asphalt revenue saw a 9% decline, although gross profit per ton improved by almost 8% [26][28]. - Aggregate revenue increased due to the acquisition of Strata, with prices rising by almost 12%, but lower volumes and production costs impacted gross margins [29]. - Ready mix volume and price improved, resulting in a 15% increase in revenue, with dynamic pricing contributing to an 8% price increase over last year [29]. Market Data and Key Metrics Changes - The Oregon market faced significant challenges, with aggregate volumes down about 25% year-over-year, impacting overall financial results [10]. - In contrast, the West region, particularly California, Hawaii, and Alaska, saw strong performance, with aggregate volumes up nearly 60% in Alaska and a 30% increase in contracting services revenue in California [11][12]. Company Strategy and Development Direction - The company is focused on a competitive edge strategy aimed at improving EBITDA margins, with a long-term goal of achieving a 20% adjusted EBITDA margin [19][98]. - Recent acquisitions, including Kramer Trucking and High Desert Aggregates, align with the company's growth strategy, targeting mid-sized high-growth markets [20][21][88]. Management's Comments on Operating Environment and Future Outlook - Management acknowledged the impact of unfavorable weather and project delays in Oregon, but expressed confidence in the overall demand for infrastructure work and the strength of DOT budgets in other states [5][9][27]. - The company remains optimistic about the second half of the year, expecting strong demand and volume growth driven by record backlog and ongoing infrastructure investments [19][24]. Other Important Information - The company has maintained a strong focus on dynamic pricing initiatives, which have contributed to improved pricing across product lines [23][96]. - SG&A expenses increased by $9.7 million due to overhead costs from recent acquisitions, but the company expects these costs to align with previous guidance for the year [30][31]. Q&A Session Summary Question: What are the expectations for the Oregon market in the second half of the year? - Management noted that the integration of Strata is on track, but the Oregon legislature's failure to pass a comprehensive transportation funding bill may delay paving work [39][40][41]. Question: What factors might drive lower margins in the backlog? - Management indicated that shifting revenue from higher-margin Oregon to other regions and the nature of larger projects could contribute to lower margins [46][47]. Question: How are the Strata and Albina acquisitions performing? - Both acquisitions are performing well, contributing about 8% to total revenue for the quarter, with expectations for increased contributions in the second half of the year [58][61]. Question: What is the company's approach to dynamic pricing? - The company is approximately 50% through the implementation of dynamic pricing, which has shown positive momentum and is expected to contribute to achieving the long-term EBITDA margin goal [96][98].

Imunon (IMNN) Q2 2025 Earnings Call August 05, 2025 11:00 AM ET Speaker0Good morning. My name is Dovan, and I will be your operator today. At this time, I would like to welcome you to ImmuNon's Second Quarter twenty twenty five Financial Results Conference Call. All lines have been placed on mute to prevent any background noise. Following the speakers' prepared remarks, there will be a question and answer session.I would now like to turn the call over to Peter Voso of ICR Healthcare Investor Relations repre ...

Financial Data and Key Metrics Changes - Adjusted earnings per share increased by 8% compared to Q2 2024, reaching $2.95, which is at the high end of the guidance range [6][18] - Organic sales growth for the quarter was 8%, driven by strong performance in Electrical Americas, Aerospace, and Electrical Global [6][18] - Segment margins reached a record high, expanding by 20 basis points to 23.9% [6][18] Business Line Data and Key Metrics Changes - Electrical Americas segment reported organic sales growth of 12%, primarily driven by data center strength, which was up approximately 50% [18][19] - Aerospace segment achieved organic sales growth of 11%, with particular strength in defense and commercial aftermarket [25][26] - Vehicle segment experienced an 8% decline in both total and organic sales, mainly due to weaknesses in the North American truck market [27] Market Data and Key Metrics Changes - Electrical Americas backlog grew by 17% year-over-year, reaching an all-time record [7][20] - Orders in Electrical Americas accelerated to a 2% increase on a trailing twelve-month basis, recovering from a 4% decline in the previous quarter [19][20] - APAC region showed double-digit organic growth, while EMEA experienced mid-single-digit growth [23][24] Company Strategy and Development Direction - The company is focusing on a strategy anchored by three pillars: lead, invest, and execute for growth, with a strong emphasis on high-growth and high-margin markets [9][16] - Recent acquisitions, including Ultra PCS and Resilient Power Systems, are aimed at strengthening the company's position in aerospace and data center markets [11][12] - Partnerships with companies like NVIDIA and Siemens Energy are designed to enhance infrastructure capabilities and address power availability challenges for data centers [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong order momentum and negotiation pipeline, particularly in Electrical Americas, which is expected to continue into Q3 [40][41] - The company raised its guidance for organic growth to a range of 8.5% to 9.5% for the year, reflecting positive market conditions [30][31] - Management noted that while some segments like vehicle and e-mobility are facing challenges, overall market positioning remains strong [30][31] Other Important Information - The company is investing in AI and ERP systems to enhance operational efficiency and customer interaction, which is expected to yield long-term benefits [102][104] - The integration of Fiberbond is progressing well, with expectations of increased volume and new business opportunities [76][77] Q&A Session Summary Question: What is the expectation for Electrical Americas and global orders? - Management indicated strong momentum in orders and a robust negotiation pipeline, expecting continued acceleration in Q3 [40][41] Question: Is Electrical Americas gaining market share in the US? - Management confirmed that market data indicates share gains in North America, particularly in data centers [49][50] Question: Can you elaborate on the data center strategy regarding gray space and white space? - The company has a comprehensive strategy addressing power availability and construction speed, with partnerships and acquisitions enhancing their capabilities [51][52] Question: What is the outlook for Electrical Global margins? - Management expressed a cautious but optimistic view, aiming for margin improvements while being prudent in guidance [121][122] Question: How is the capacity coming online impacting orders? - Management noted that the new capacity is expected to strengthen orders and support growth, particularly in the data center segment [144][145]

Financial Data and Key Metrics Changes - The company reported adjusted earnings of $0.01 per share, a significant improvement from a loss of $0.14 per share a year ago, reflecting growth across all business segments [7][18] - Year-to-date capital expenditures totaled $700 million, with a nearly 20% increase in utility CapEx year over year [20] Business Line Data and Key Metrics Changes - The Gas Utilities segment had an adjusted loss of $10 million, which was $1 million better than the prior year, driven by higher contribution margin at Spire Missouri [18] - Earnings in the Gas Marketing segment increased by over $4 million, indicating strong performance [18] - The midstream segment saw strong earnings growth, attributed to additional capacity and asset optimization at Spire Storage [18] Market Data and Key Metrics Changes - The company is focused on a long-term EPS growth target of 5% to 7%, supported by a ten-year $7.4 billion capital investment plan [11][22] - The company expects to deliver within its fiscal 2025 earnings guidance of $4.4 to $4.6 per share [11][22] Company Strategy and Development Direction - The company announced the acquisition of the Piedmont Natural Gas Tennessee business, which is expected to enhance its scale and expand its regulated utility footprint [12][13] - The acquisition is projected to add $900 million to the five-year capital plan, focusing on system modernization and infrastructure resilience [13] - The company aims to maintain a strong balance sheet while supporting long-term adjusted EPS growth and dividend growth [13][26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving strong operational performance and financial discipline, emphasizing the importance of regulatory transparency and customer affordability [25][28] - The company is actively pursuing regulatory approvals for the acquisition and advancing integration planning [28] Other Important Information - A unanimous stipulation and agreement has been filed for an annual revenue increase of $210 million, pending approval by the Missouri Public Service Commission [9][15] - The company is committed to maintaining a strong focus on customer affordability through disciplined cost management [25] Q&A Session Summary Question: Is the FFO to debt target of 15% to 16% still applicable? - Management confirmed that these targets remain the right framework, although progress may be slower during the acquisition transition [31][32] Question: How much of the midstream results is attributable to storage expansion? - Management indicated that about 90% of the increase in midstream results was due to storage, with a 75% to 25% split on net income basis [35][36] Question: Does the long-term 5% to 7% growth rate include impacts from the Missouri rate case settlement? - Management clarified that the growth rate is based on capital deployment and does not directly include the impacts of the rate case [51][52] Question: How does the company see O&M expenses evolving? - Management stated the target is to keep O&M expenses at or below the rate of inflation, with current year-to-date O&M run rate being less than 1% higher than the prior year [55]

Financial Data and Key Metrics Changes - The average household income of residents moving in during Q2 increased by 8.5% year-over-year, while rent as a percentage of income remains low at 20% [11] - The blended rate growth was 3%, driven by a strong renewal rate of 5.2% with 60% of residents renewing [12] - Physical occupancy was reported at 96.6%, with new lease rates slightly negative due to price sensitivity and continued concession use in several markets [12] Business Line Data and Key Metrics Changes - The company experienced strong revenue results in urban markets like New York City and Downtown San Francisco, where supply has declined significantly [6] - The acquisition of an eight-property portfolio in Atlanta was completed, expanding the company's presence in a market expected to see quicker supply declines [8] - The company lowered its acquisition expectations for the year from $1.5 billion to $1 billion, reflecting a competitive transaction market [9] Market Data and Key Metrics Changes - New York continues to show high occupancy and minimal competitive supply, leading to strong blended rate growth [13] - Washington DC has seen high occupancy and good retention, but recent job market uncertainties have led to a slight slowdown [14] - San Francisco reported the best blended rate growth in the portfolio at 5.8%, driven by strong demand and favorable migration patterns [17] Company Strategy and Development Direction - The company aims to maintain a balanced portfolio of urban and suburban assets to capture changing renter demographics [7] - The focus remains on higher-earning renters, with a strategy to prioritize occupancy and renewal rates over new lease growth in uncertain environments [6] - The company is optimistic about future revenue growth due to declining apartment supply and societal trends favoring renting [6] Management's Comments on Operating Environment and Future Outlook - Management noted that the overall unemployment rate is 4.2%, with a lower rate of 2.7% for college-educated individuals, supporting demand for rentals [5] - The company expects blended rates to moderate in the third quarter, with continued strong retention and occupancy [25] - For 2026, management anticipates normal embedded growth and strong renewal performance against a backdrop of reduced competitive supply [25] Other Important Information - The company is implementing AI technology to improve operational efficiency and customer experience, with full deployment expected by the end of the year [23][24] - The company is also focusing on maintaining occupancy in markets like DC and LA, with expectations of increased concession use in certain submarkets [61] Q&A Session Summary Question: What are the growth prospects considering supply and job market conditions? - Management highlighted that reduced competitive supply will enhance pricing power, even with a slowing job market [34][35] Question: How does the company view its portfolio mix between expansion and established markets? - The company remains committed to a balanced portfolio, with a focus on higher-earning customers and a cautious approach to expansion markets [36][39] Question: Can you elaborate on concession use this leasing season? - Concession use was higher than expected, averaging about seven days per move-in, but management anticipates a reduction as markets stabilize [44][46] Question: What are the expectations for the DC and LA markets in the second half of the year? - Management plans to maintain occupancy in DC while expecting continued concession use in LA, particularly in certain submarkets [60][62] Question: How does the company view pricing power and market dynamics? - Management indicated that improved consumer confidence and job growth are necessary for pricing power, with expectations of easier comps in the second half of the year [87][88] Question: What is the impact of AI on demand and job creation? - The company sees potential benefits from AI in tech hubs like San Francisco, but the overall impact on entry-level jobs remains uncertain [99][100] Question: How does the company prioritize capital allocation? - The company is focused on acquisitions if priced correctly, while also considering buybacks funded by asset sales, and maintaining a small development platform [102][106]

Financial Data and Key Metrics Changes - The total asset footprint increased by 5% year over year, reaching $986 billion [4] - Assets Under Management (AUM) grew by $11 billion or 9% compared to the prior year, totaling $141 billion [5] - Assets Under Administration (AUA) rose by $35 billion or 4% year over year, amounting to $845 billion [5] - Quarterly GAAP EPS was $1.28, with non-GAAP EPS at $1.31 based on adjusted net income of $72 million [6] - Fee-related earnings for the quarter increased by 31% compared to the prior year [6] Business Line Data and Key Metrics Changes - Total fee-earning AUM reached $74 billion, growing by $6.7 billion or 10% year over year [7] - Customized separate account fee-earning AUM grew by $2.1 billion or 5% over the last twelve months [10] - Specialized funds fee-earning AUM increased by $4.6 billion or 16% year over year, totaling $34 billion [11] - The blended fee rate improved to 64 basis points, benefiting from a shift towards higher fee rate specialized funds [9] Market Data and Key Metrics Changes - The evergreen platform AUM approached $12.5 billion, representing a growth of nearly 65% over the last twelve months [16] - Net inflows for the evergreen platform surpassed $1 billion for the first time in a quarter [16] Company Strategy and Development Direction - The company is focused on expanding strategic partnerships and enhancing distribution channels to meet diverse customer needs [31][33] - Continued emphasis on the evergreen platform as a key growth driver, with plans to launch new products targeting various investor segments [19][20] - The company aims to maintain a long-term growth perspective, viewing its investments alongside clients as crucial for future expansion [27] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth trajectory, citing strong performance across all business fronts [7][62] - The company anticipates increased exit activity in the second half of the year, contingent on a favorable macroeconomic environment [49] - Management highlighted the importance of educating clients on the tactical use of evergreen products as a portfolio management tool [56] Other Important Information - Management and advisory fees decreased by 4% year over year, primarily due to retro fees [21] - Total expenses decreased by $8 million compared to the prior year, with compensation and benefits down by $9 million [24] Q&A Session Summary Question: Insights on the DBS private banking relationship - Management described the relationship as an expansion of existing strategies, focusing on diverse distribution methods and technology integration [31][36] Question: Status of fund secondary fund six and marketing for fund seven - Management confirmed that fund six is more than halfway invested and that marketing for fund seven has not yet begun [38][39] Question: Drivers of growth in customized separate accounts - Management indicated that growth was driven by new sales, re-ups, and increased investment activity, with a strong pipeline of business [42][45] Question: Incentive fee trajectory and market conditions - Management noted that a positive macro backdrop could lead to increased exit opportunities and a rise in incentive fees in the latter half of the year [48][49] Question: Institutional demand for the Evergreen Fund - Management reported that approximately 15% of flows into the Evergreen product came from institutional investors, with the remainder from retail wealth [52][56] Question: Outlook for G&A expenses - Management expects G&A expenses to remain around $33 million per quarter, with some increases anticipated due to revenue-related expenses [58][59]

Financial Data and Key Metrics Changes - The company reported an EBITDA margin of 54.4% for Q3, supported by growth in the commercial aftermarket and effective operating strategies [11] - Operating cash flow for Q3 exceeded $630 million, with a cash balance of nearly $2.8 billion at the end of the quarter [11] - Full fiscal year 2025 sales guidance was decreased by $60 million to a midpoint of $8.79 billion, while EBITDA guidance was increased by $40 million to a midpoint of $4.725 billion, reflecting a 13% increase year-over-year [12][14] Business Line Data and Key Metrics Changes - Commercial OEM revenues decreased by 7% year-over-year in Q3, attributed to lower production rates at Boeing and Airbus [22][23] - Commercial aftermarket revenue increased by approximately 6% compared to the prior year, with growth across all submarkets [25] - Defense market revenue grew by approximately 13% year-over-year, with healthy bookings supporting continued growth expectations [27][28] Market Data and Key Metrics Changes - The commercial OEM market is expected to see revenue growth in the flat to low single-digit percentage range, a decrease from previous expectations [14] - The commercial aftermarket and defense markets are projected to grow in the high single-digit to low double-digit percentage range, with no changes to previous guidance [14] Company Strategy and Development Direction - The company aims to provide private equity-like returns with public market liquidity, focusing on proprietary aerospace businesses with significant aftermarket content [6][7] - Recent acquisitions, including Servotronics and Simmons Precision, align with the company's strategy to enhance its portfolio and drive growth [18][19] - The company maintains a disciplined approach to capital allocation, prioritizing reinvestment in businesses, accretive M&A, and returning capital to shareholders [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the recovery of the commercial OEM market, despite current challenges, and expects a return to positive growth in Q4 [58] - The company remains vigilant regarding supply chain improvements, noting that while challenges persist, conditions are better than in previous years [71] - Management anticipates continued growth in the commercial aftermarket, supported by stable airline demand and operational excellence [15][25] Other Important Information - The company announced key leadership changes, with Mike Lisman set to become CEO following Kevin Stein's retirement [4][5][34] - The company is actively monitoring credit markets and assessing opportunities for leverage to support future acquisitions and shareholder returns [20][36] Q&A Session Summary Question: About the aftermarket performance and future growth - Management indicated that the commercial aftermarket growth aligns with expectations, and they feel confident about achieving the guidance for the year [42][44] Question: Visibility into fourth quarter growth rates - Management noted that they expect a significant acceleration in aftermarket growth in Q4, driven by improved production rates and easier comparisons [56][58] Question: Supply chain improvements and potential headwinds - Management reported ongoing improvements in the supply chain, though some bottlenecks remain, and they are hopeful for a quick resolution to any disruptions [71][72] Question: Defense business bookings and growth - Defense bookings were strong, with growth evenly distributed across operating units, supporting positive outlooks for the upcoming fiscal year [88][90] Question: Competitive landscape and second sourcing - Management stated that there have been no significant changes in the competitive landscape regarding second sourcing or PMA competition [96][97]

Financial Data and Key Metrics Changes - Adjusted net investment income (NII) per share was $0.39, corresponding to a return on equity of 10.4% [5] - Adjusted net income per share was $0.34, with a return on equity of 9.1% [5] - The internal rate of return for GBDC shareholders since IPO is 9.6% over fifteen years [5] - Net asset value (NAV) per share decreased by $0.04 to $15 due to net unrealized losses [11][14] - Net debt to equity increased modestly to 1.26 turns, with average net leverage at 1.21 turns [12][20] Business Line Data and Key Metrics Changes - Investment portfolio grew by 4% quarter over quarter, reaching just under $9 billion at fair value [10] - New investment commitments totaled $557 million, with $411 million funded and $306 million in repayments [10] - Investments on nonaccrual status remained low at 60 basis points of the total investment portfolio [8][14] - The weighted average rate on new investments was 9.2%, while repaid investments had a rate of 9.8% [14] Market Data and Key Metrics Changes - The investment income yield was 10.6%, a sequential decline of 20 basis points [9][15] - The cost of debt decreased to 5.7%, reflecting a floating rate debt funding structure [15][20] - Nearly 90% of the investment portfolio remains in the highest performing internal rating categories [7][17] Company Strategy and Development Direction - GBDC focuses on providing first lien senior secured loans to middle market companies backed by strong private equity sponsors [4] - The company remains selective in underwriting, closing on just 3.1% of deals reviewed [10] - GBDC aims to minimize realized credit losses and proactively address borrower underperformance [32] Management's Comments on Operating Environment and Future Outlook - The management expects a protracted credit cycle to continue, with elevated default rates likely persisting [24][29] - There is optimism regarding the M&A environment improving slowly in the remainder of the year and more quickly next year [30][31] - Management emphasizes the importance of humility in forecasting due to the unpredictable nature of the current economic environment [22][32] Other Important Information - Total distributions paid in the quarter were $0.39 per share, representing an annualized dividend yield of 10.4% [12] - The liquidity position remains strong, with approximately $950 million available from unrestricted cash and undrawn commitments [20] Q&A Session Summary Question: Is it fair to say that you're expecting a significant wave of repayments to eventually lever down? - Management indicated that while there are some repayments in the pipeline, they do not anticipate significant deleveraging or further leveraging [35][36] Question: Do you think the lag time between liquid loan markets and BDC will remain the same? - Management acknowledged that private credit spreads are stickier, especially in the middle market, but significant spread compression has been observed in the broader market [41][42]

Financial Data and Key Metrics Changes - Core FFO per share was reported at $0.84, and AFFO per share at $0.85, each up 1.2% year over year [15] - Annualized base rent reached $894 million, an increase of almost 7% year over year [15] - The company announced a 3.4% increase in its common stock dividend, marking the thirty-sixth consecutive year of annual dividend increases [4][20] Business Line Data and Key Metrics Changes - The company renewed 17 out of 20 leases, achieving rental rates 108% above prior rents [8] - Seven properties were leased to new tenants at rates 105% above prior rents, indicating strong demand for assets [8] - Acquisitions during the quarter totaled over $230 million across 45 new properties, with an initial cap rate of 7.4% and an average lease term of over 17 years [9] Market Data and Key Metrics Changes - The company has a portfolio of approximately 3,663 freestanding single-tenant properties across all 50 states [7] - The average debt maturity is reported at 11 years, positioning the company strongly in the capital markets [3][12] Company Strategy and Development Direction - The company is committed to a disciplined underwriting approach while emphasizing acquisition volume through sale-leaseback transactions [10] - The company plans to increase its acquisition volume guidance to a range of $650 million to $700 million for the year [21] - The focus remains on optimizing the portfolio by disposing of underperforming assets while maintaining strong tenant relationships [11][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the overall health of the portfolio, with no significant tenant concerns [8] - The company is taking a conservative approach to future acquisitions due to heightened competition and market conditions [27] - Management remains optimistic about the long-term prospects for properties associated with At Home, which filed for bankruptcy [9][51] Other Important Information - The company successfully completed a $500 million five-year unsecured bond offering with a 4.6% coupon [6][19] - The balance sheet is described as one of the strongest in the sector, with nearly $1.5 billion in available liquidity [12][19] Q&A Session Summary Question: What is driving the implied deceleration in investment guidance? - Management indicated that the deceleration is likely due to a conservative outlook, despite robust market opportunities and heightened competition [27] Question: Can you discuss the new relationships in acquisitions? - Management noted that new relationships are developed through long-term calling efforts, but specific details on new relationships were not disclosed [28] Question: Update on available assets for sale or retenanting? - Management reported strong demand for certain assets, with 28 out of 64 assets currently being worked on for re-leasing [35] Question: What is the timeline for releasing vacant properties? - Management stated that while initial marketing activity occurs within 30-40 days, the full release process may take 9-12 months depending on redevelopment needs [45] Question: How is the company managing bad debt? - Management maintains a conservative approach, embedding 60 basis points of bad debt in guidance, primarily due to uncertainties surrounding At Home [50][52] Question: What is the strategy regarding lease termination fees? - Management indicated that lease termination fees have been higher than historical averages due to proactive portfolio management [106] Question: How does the company plan to use shorter-term debt? - Management explained that shorter-term debt is being utilized to balance asset and liability durations, providing flexibility for future financing needs [70][104]

Financial Data and Key Metrics Changes - GBDC reported adjusted net investment income (NII) per share of $0.39, corresponding to a return on equity of 10.4% [4] - Adjusted net income per share was $0.34, with a return on equity of 9.1% [4] - The internal rate of return for GBDC shareholders since IPO is 9.6% over fifteen years [4] - The net asset value (NAV) per share decreased by $0.04 to $15, primarily due to net unrealized losses [10][12] Business Line Data and Key Metrics Changes - GBDC's investment portfolio grew by 4% quarter over quarter, reaching just under $9 billion at fair value [9] - New investment commitments totaled $557 million, with $411 million funded during the quarter [9] - The weighted average rate on new investments was 9.2%, while repaid investments had a weighted average rate of 9.8% [13] Market Data and Key Metrics Changes - GBDC's investment income yield was 10.6%, a sequential decline of about 20 basis points [7][16] - Nonaccrual investments remained low at 60 basis points of the total investment portfolio at fair value, below the industry average [7][18] - The median EBITDA for new originations was $79 million, indicating a focus on resilient middle-market companies [10] Company Strategy and Development Direction - GBDC's investment strategy focuses on providing first lien senior secured loans to middle-market companies backed by strong private equity sponsors [3] - The company remains selective in underwriting, closing on just 3.1% of deals reviewed, with a weighted average loan-to-value (LTV) of approximately 34% [9] - GBDC aims to minimize realized credit losses and proactively address borrower underperformance [34] Management's Comments on Operating Environment and Future Outlook - Management expects a protracted credit cycle to continue, with elevated default rates across public and private credit markets [25][30] - The M&A environment is anticipated to improve slowly in the remainder of the year and more quickly next year, despite ongoing tariff uncertainties [32] - Management emphasizes the importance of maintaining a humble approach to forecasting in the current unpredictable environment [24] Other Important Information - Total distributions paid in the quarter were $0.39 per share, representing an annualized dividend yield of 10.4% based on NAV [11] - GBDC's liquidity position remains strong, ending the quarter with approximately $950 million in liquidity [21] Q&A Session Summary Question: Regarding leverage, is it fair to say that you're expecting a significant wave of repayments to eventually lever down? - Management acknowledged that while there are some repayments in the pipeline, they do not anticipate significant deleveraging or further leveraging [37][38] Question: With spreads across floating rate markets being tight, do you think the lag time between liquid loan markets and BDC will remain the same? - Management confirmed that there has been significant spread compression in the broadly syndicated market, and while private credit spreads are stickier, they are not immune to these trends [42][43]