Welcome to our dedicated page for Capital Southwest news (Ticker: CSWC), a resource for investors and traders seeking the latest updates and insights on Capital Southwest stock.
Capital Southwest Corp (NASDAQ: CSWC) is an internally-managed Business Development Company (BDC) that specializes in credit-focused investments. The company is a prominent lender to middle-market businesses across the capital structure, offering flexible capital solutions that address financing needs unmet by traditional first lien senior lenders. Headquartered in Dallas, Texas, Capital Southwest is uniquely positioned to finance lower middle-market companies with EBITDA ranging from $3 to $12 million.
Capital Southwest's investment strategy focuses on providing financings between $5 and $50 million, with individual commitments ranging from $5 to $20 million per deal. Their robust network of co-investors enables the company to effectively meet the needs of its clients. The company's criteria for investment include a minimum EBITDA of $3 million, a proven management team motivated by continued ownership, an established market position, and a history of positive cash flow.
The company offers a range of investment structures, including unitranche debt through a network of first out senior lending relationships, first lien debt, second lien, and subordinated debt. Additionally, the company's portfolio may comprise preferred stocks, common stocks, and warrants.
The primary revenue sources for Capital Southwest include interest income and dividend income from its investments, along with management fees. The company aims to generate attractive risk-adjusted returns by producing current income from debt investments and capital appreciation from equity and equity-related investments. Their investment team, boasting decades of experience working together, is committed to delivering value to shareholders.
The company has recently reported several key achievements and financial highlights:
- Special Meeting: Scheduled for October 11, 2023 to discuss forward-looking statements and company performance.
- Q2 FY2024 Financial Highlights: Pre-tax net investment income of $0.67 per share and a regular dividend of $0.57 per share, along with a supplemental dividend of $0.06 per share for the quarter ended December 31, 2023.
- Q3 FY2024 Financial Highlights: Pre-tax net investment income of $0.72 per share and consistent dividend payouts, reflecting robust financial health and commitment to shareholder returns.
- Upcoming Events: Scheduled calls on January 30, 2024, and May 15, 2024, to provide updates on financial performance and strategic initiatives.
Investors and stakeholders should note the forward-looking statements regarding the company’s future performance and financial condition. These are based on management’s current expectations and are subject to various risks and uncertainties. Readers are encouraged to review the company’s Annual Report on Form 10-K for a comprehensive discussion of these risks.
Capital Southwest Corporation (NASDAQ: CSWC) announced a public offering of approximately $46.0 million in common stock, with underwriters granted a 30-day option for additional shares. The net proceeds will be used to repay debt, invest according to its strategies, and cover general corporate expenses. The offering is contingent on market conditions, and the effective shelf registration statement has been filed with the SEC. Notable joint book-runners include Raymond James, UBS, Wells Fargo, and Goldman Sachs.
Capital Southwest Corporation (CSWC) reported a Pre-Tax Net Investment Income of $0.54 per share for the quarter ended September 30, 2022. Total investment income rose to $26.8 million, up from $22.5 million in the previous quarter. The total investment portfolio reached $1.1 billion, with a credit portfolio of $903.5 million, primarily in 1st Lien Senior Secured Debt. Dividends increased to $0.52 per share from $0.50, alongside a declared supplemental dividend of $0.05. The company's Net Asset Value per share was $16.53.
Capital Southwest Corporation (CSWC) announced a supplemental dividend of $0.05 per share, adding to its regular dividend of $0.52 per share. This brings the total dividends for the quarter ending December 31, 2022, to $0.57 per share. Both dividends will be payable on December 30, 2022, with an ex-dividend date of December 14, 2022 and a record date of December 15, 2022. The company emphasizes its commitment to providing flexible financing solutions to support middle market business growth.
Capital Southwest Corporation (CSWC) announced preliminary operating results for Q2 2023, reporting an estimated pre-tax net investment income per share between $0.52 and $0.54. The net investment income estimate falls between $0.50 and $0.53 per share, with a preliminary net asset value per share estimated at $16.45 to $16.60. The final financial results will be released on October 31, 2022, followed by a conference call on November 1, 2022. The company emphasizes that these preliminary results are subject to changes upon customary quarter-end closing.
Capital Southwest Corporation (CSWC) has declared a quarterly dividend of $0.52 per share for the quarter ending December 31, 2022. The ex-dividend date is set for December 14, 2022, with the record date on December 15, 2022, and payments distributed by December 30, 2022. With around $1.0 billion in investments, Capital Southwest focuses on providing flexible financing solutions to middle market businesses. The company also offers a dividend reinvestment plan for eligible shareholders, promoting long-term investment strategies.
Capital Southwest Corporation (CSWC) reported a pre-tax net investment income of $0.50 per share for the quarter ending June 30, 2022, totaling $12.6 million. The company announced a quarterly dividend increase to $0.50 per share for the September quarter, reflecting strong portfolio performance and a 105% coverage of the regular dividend. CSWC's total investment portfolio reached $1.0 billion with a $865.4 million credit portfolio yielding a 9.3% average. However, net realized and unrealized losses on investments totaled $9.9 million, contributing to a decrease in net asset value per share to $16.54.
Capital Southwest Corporation (Nasdaq: CSWC) will announce its first quarter 2023 financial results on August 1, 2022, following the market's closure. A live webcast for investors is scheduled for August 2, 2022, at 11:00 a.m. ET. The company, based in Dallas, Texas, manages approximately $937 million in investments at fair value as of March 31, 2022. Capital Southwest focuses on providing flexible financing solutions for middle market businesses. The press release also highlights that the company is positioned to adapt to varying economic conditions.
Capital Southwest Corporation (CSWC) reported a pre-tax net investment income of $0.50 per share for the quarter ending March 31, 2022. The total investment portfolio rose to $936.6 million, marking a 36.1% increase year-over-year. The company declared total dividends of $2.52 per share for the fiscal year, with a regular dividend of $1.82 and supplemental dividends of $0.70. The net asset value (NAV) per share increased by 4.1% to $16.86.
On May 11, 2022, Capital Southwest Corporation (Nasdaq: CSWC) announced an amendment to its senior secured credit facility, increasing total commitments from $335 million to $380 million. This adjustment involved a $45 million increase, facilitated by the existing lender group of ten participants. The benchmark interest rate has shifted from LIBOR to Term SOFR. As of December 31, 2021, Capital Southwest reported approximately $877 million in investments at fair value, focusing on financing middle market businesses with flexible solutions.
Capital Southwest Corporation (Nasdaq: CSWC) announced a quarterly regular dividend of $0.48 per share and a special dividend of $0.15 for the quarter ending June 30, 2022. The ex-dividend date is set for June 14, 2022, with a record date of June 15, 2022, and payments due on June 30, 2022. The company aims to provide flexible financing to middle market businesses, boasting approximately $877 million in investments at fair value as of December 31, 2021. The dividend reinvestment plan allows registered stockholders to reinvest dividends into additional shares.
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