Kayne Anderson BDC, Inc. Announces September 30, 2024 Financial Results and Declares Fourth Quarter 2024 Dividend of $0.40 Per Share
Kayne Anderson BDC (KBDC) reported strong Q3 2024 financial results with net investment income of $37.1 million ($0.52 per share). The company's net asset value increased to $16.70 per share from $16.57 in the previous quarter. New private credit and equity investment commitments reached $182.6 million, with fundings of $184.6 million and net funded investment increase of $101.8 million. Total investment income was $57.8 million, up from $52.5 million in Q2. The Board declared a regular dividend of $0.40 per share, payable January 15, 2025.
Kayne Anderson BDC (KBDC) ha riportato solidi risultati finanziari per il terzo trimestre del 2024, con un reddito da investimenti netto di $37,1 milioni ($0,52 per azione). Il valore netto degli attivi dell'azienda è aumentato a $16,70 per azione rispetto ai $16,57 del trimestre precedente. I nuovi impegni di investimento in crediti privati e capitale azionario hanno raggiunto $182,6 milioni, con finanziamenti di $184,6 milioni e un aumento dell'investimento netto finanziato di $101,8 milioni. Il reddito totale da investimenti è stato di $57,8 milioni, rispetto ai $52,5 milioni del secondo trimestre. Il Consiglio ha dichiarato un dividendo regolare di $0,40 per azione, pagabile il 15 gennaio 2025.
Kayne Anderson BDC (KBDC) informó resultados financieros sólidos para el tercer trimestre de 2024, con un ingreso neto por inversiones de $37.1 millones ($0.52 por acción). El valor neto de los activos de la compañía aumentó a $16.70 por acción desde los $16.57 del trimestre anterior. Los nuevos compromisos de inversión en crédito privado y capital alcanzaron $182.6 millones, con financiamientos de $184.6 millones y un aumento de inversiones netamente financiadas de $101.8 millones. El ingreso total por inversiones fue de $57.8 millones, en comparación con los $52.5 millones del segundo trimestre. La Junta declaró un dividendo regular de $0.40 por acción, pagadero el 15 de enero de 2025.
Kayne Anderson BDC (KBDC)는 2024년 3분기 강력한 재무 결과를 보고하였으며, 순투자소득이 3,710만 달러 ($0.52 주당)를 기록하였습니다. 회사의 순자산 가치는 이전 분기의 $16.57에서 $16.70 주당으로 증가하였습니다. 새로운 사모신용 및 주식 투자 약정은 $1억 8천 2백 60만 달러에 도달하였으며, 자금 조달은 $1억 8천 4백 60만 달러, 순 조달 투자 증가액은 $1억 1천 8백만 달러에 달합니다. 총 투자 소득은 $5천 7백 80만 달러로, 2분기의 $5천 2백 50만 달러에서 증가하였습니다. 이사회는 $0.40 주당 정기 배당금을 선언하였으며, 이는 2025년 1월 15일에 지급될 예정입니다.
Kayne Anderson BDC (KBDC) a rapporté de solides résultats financiers pour le troisième trimestre 2024, avec un revenu net d'investissement de 37,1 millions de dollars (0,52 dollar par action). La valeur nette des actifs de la société a augmenté à 16,70 dollars par action, contre 16,57 dollars au trimestre précédent. Les nouveaux engagements d'investissement en crédit privé et en actions ont atteint 182,6 millions de dollars, avec des financements de 184,6 millions de dollars et un accroissement des investissements nets financés de 101,8 millions de dollars. Le revenu total des investissements s'élevait à 57,8 millions de dollars, en hausse par rapport à 52,5 millions de dollars au deuxième trimestre. Le conseil d'administration a déclaré un dividende régulier de 0,40 dollar par action, payable le 15 janvier 2025.
Kayne Anderson BDC (KBDC) hat starke finanzielle Ergebnisse für das 3. Quartal 2024 berichtet, mit einem Nettoanlageertrag von 37,1 Millionen Dollar (0,52 Dollar pro Aktie). Der Nettovermögenswert des Unternehmens stieg auf 16,70 Dollar pro Aktie von 16,57 Dollar im Vorquartal. Neue private Kredit- und Eigenkapitalverpflichtungen erreichten 182,6 Millionen Dollar, mit Finanzierungen von 184,6 Millionen Dollar und einem Anstieg der netto finanzierten Investitionen von 101,8 Millionen Dollar. Das Gesamteinkommen aus Investitionen betrug 57,8 Millionen Dollar, ein Anstieg von 52,5 Millionen Dollar im 2. Quartal. Der Vorstand erklärte eine reguläre Dividende von 0,40 Dollar pro Aktie, zahlbar am 15. Januar 2025.
- Net investment income increased to $37.1 million ($0.52 per share) from $34.4 million ($0.51 per share) in Q2
- NAV per share grew to $16.70 from $16.57 in previous quarter
- Total investment income rose to $57.8 million from $52.5 million in Q2
- Strong origination activity with $182.6 million in new commitments
- Portfolio quality remains stable with only 1% of investments on non-accrual
- Debt-to-equity ratio increased to 0.66x from 0.53x in previous quarter
- Net expenses increased to $20.8 million from $18.1 million due to higher interest expenses
- Weighted average yield on total debt portfolio decreased to 11.3% from 11.7%
Insights
The Q3 2024 results demonstrate solid financial performance with several positive indicators. Net investment income increased to
Key strengths include a conservative debt-to-equity ratio of 0.66x, well below their target range of 1.0x-1.25x, indicating room for portfolio growth. The portfolio maintains high quality with
The
“We are pleased to report strong origination activity during the third quarter,” said Doug Goodwillie, Co-Chief Executive Officer. “Origination volumes have picked-up substantially during 2024 and we see this pace continuing based on the current level of private equity investment activity.”
“Our portfolio, which is diversified by end-market and industry, continues to perform well for our shareholders,” said Ken Leonard, Co-Chief Executive Officer. “The stable industries we focus on have produced attractive debt financing opportunities and a portfolio with lower leverage and higher interest coverage.”
Financial Highlights for the Quarter Ended September 30, 2024
-
Net investment income of
$37.1 million $0.52 -
Net asset value of
$16.70 $16.57 -
New private credit and equity investment commitments of
$182.6 million $184.6 million $82.8 million $101.8 million -
Net repayments of broadly syndicated loans of
$2.2 million -
The Company’s Board of Directors (the “Board”) declared a regular dividend of
$0.40
Selected Financial Highlights
|
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As of |
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(in thousands, expect per share data) |
|
September 30,
|
|
|
June 30,
|
||
|
|
|
|
|
|
|
|
Investment portfolio, at fair value |
|
$ |
1,943,439 |
|
|
$ |
1,847,058 |
Total assets |
|
$ |
2,028,245 |
|
|
$ |
1,909,850 |
Total debt outstanding, at principal |
|
$ |
788,000 |
|
|
$ |
622,000 |
Net assets |
|
$ |
1,186,205 |
|
|
$ |
1,178,176 |
Net asset value per share |
|
$ |
16.70 |
|
|
$ |
16.57 |
Total debt-to-equity ratio |
|
|
0.66x |
|
|
|
0.53x |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the quarter ended |
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|
September 30,
|
|
|
June 30,
|
||
|
|
|
|
|
|
|
|
Net investment income per share |
|
$ |
0.52 |
|
|
$ |
0.51 |
Net realized and unrealized gains (losses) per share |
|
$ |
0.01 |
|
|
$ |
(0.05) |
Earnings per share |
|
$ |
0.53 |
|
|
$ |
0.46 |
Regular dividend per share |
|
$ |
0.40 |
|
|
$ |
0.40 |
Special dividend per share |
|
$ |
- |
|
|
$ |
- |
Results of Operations
Total investment income for the quarter ended September 30, 2024 was
Net investment income for the quarter ending September 30, 2024 was
For the quarter ended September 30, 2024, the net change in unrealized gains was
Portfolio and Investment Activity
|
As of |
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($ in thousands) |
September 30,
|
|
June 30,
|
|||
|
|
|
|
|
||
Investments at fair value |
$ |
1,943,439 |
|
$ |
1,847,058 |
|
Number of portfolio companies |
|
110 |
|
|
106 |
|
Average portfolio company investment size |
$ |
17,668 |
|
$ |
17,425 |
|
|
|
|
|
|
|
|
Asset class: |
|
|
|
|
|
|
First lien debt |
|
|
|
|
|
|
Subordinated debt |
|
|
|
|
|
|
Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-accrual debt investments: |
|
|
|
|
|
|
Non-accrual investments at fair value |
$ |
19,229 |
|
$ |
18,897 |
|
Non-accrual investments as a percentage of debt investments at fair value |
|
|
|
|
|
|
Number of investments on non-accrual |
|
2 |
|
|
2 |
|
|
|
|
|
|
|
|
Interest rate type: |
|
|
|
|
|
|
Percentage floating-rate |
|
|
|
|
|
|
Percentage fixed-rate |
|
|
|
|
|
|
|
|
|
|
|
|
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Yields (at fair value): |
|
|
|
|
|
|
Weighted average yield on private middle market loans |
|
|
|
|
|
|
Weighted average yield on broadly syndicated loans |
|
|
|
|
|
|
Weighted average yield on total debt portfolio |
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment activity during the quarter ended: |
|
|
|
|
|
|
Gross new investment commitments |
$ |
182,559 |
(1) |
$ |
171,836 |
(2) |
Principal amount of investments funded |
$ |
184,566 |
(1) |
$ |
166,161 |
(2) |
Principal amount of investments sold or repaid |
$ |
(85,009) |
(1) |
$ |
(98,968) |
(2) |
Net principal amount of investments funded |
$ |
99,557 |
|
$ |
67,193 |
|
_________________ |
|
|
|
|
|
|
(1) For the quarter ending September 30, 2024, broadly syndicated loans represent |
|
|||||
(2) For the quarter ending June 30, 2024, broadly syndicated loans represent |
|
|||||
Liquidity and Capital Resources
As of September 30, 2024, the Company had
As of September 30, 2024, the Company’s debt-to-equity ratio was 0.66x and its asset coverage ratio was
Recent Developments
-
On November 6, 2024, the Board of Directors of the Company declared a regular dividend to common stockholders in the amount of
$0.40
Conference Call Information
KBDC will host a conference call at 10:00 am ET on Thursday, November 14, 2024, to review its financial results. All interested parties are invited to participate using the following telephone dial-in or the webcast details:
Telephone Dial-in
- Domestic: 800-579-2543
- International: +1 785-424-1789
- Conference ID: KBDC3Q
Webcast Link
To avoid potential delays, please join at least 10 minutes prior to the start of the earnings call. A telephone replay will also be available by dialing 800-839-2383 (domestic) and +1 402-220-7202 (international). The replay will be available until November 21, 2024.
Kayne Anderson BDC, Inc. Consolidated Statements of Assets and Liabilities (amounts in 000’s, except share and per share amounts) |
||||||
|
|
September 30,
|
|
December 31,
|
||
Assets: |
|
(Unaudited) |
|
|
||
Investments, at fair value: |
|
|
|
|
|
|
Non-controlled, non-affiliated investments (amortized cost of |
|
$ |
1,931,243 |
|
$ |
1,363,498 |
Non-controlled, affiliated investments (amortized cost of |
|
|
12,196 |
|
|
- |
Short-term investments (amortized cost of |
|
|
22,670 |
|
|
12,802 |
Cash and cash equivalents |
|
|
39,083 |
|
|
34,069 |
Receivable for principal payments on investments |
|
|
501 |
|
|
104 |
Interest receivable |
|
|
22,391 |
|
|
12,874 |
Prepaid expenses and other assets |
|
|
161 |
|
|
319 |
Total Assets |
|
$ |
2,028,245 |
|
$ |
1,423,666 |
|
|
|
|
|
|
|
Liabilities: |
|
|
|
|
|
|
Corporate Credit Facility (Note 6) |
|
$ |
221,000 |
|
$ |
234,000 |
Unamortized Corporate Credit Facility issuance costs |
|
|
(1,127) |
|
|
(1,715) |
Revolving Funding Facility (Note 6) |
|
|
409,000 |
|
|
306,000 |
Unamortized Revolving Funding Facility issuance costs |
|
|
(5,277) |
|
|
(2,019) |
Revolving Funding Facility II (Note 6) |
|
|
83,000 |
|
|
70,000 |
Unamortized Revolving Funding Facility II issuance costs |
|
|
(1,411) |
|
|
(1,805) |
Subscription Credit Agreement (Note 6) |
|
|
- |
|
|
10,750 |
Unamortized Subscription Credit Facility issuance costs |
|
|
- |
|
|
(41) |
Notes (Note 6) |
|
|
75,000 |
|
|
75,000 |
Unamortized notes issuance costs |
|
|
(696) |
|
|
(851) |
Payable for investments purchased |
|
|
17,397 |
|
|
- |
Shares repurchased payable (Note 7) |
|
|
10 |
|
|
- |
Distributions payable |
|
|
28,420 |
|
|
22,050 |
Management fee payable (Note 3) |
|
|
3,573 |
|
|
2,996 |
Incentive fee payable (Note 3) |
|
|
- |
|
|
14,195 |
Accrued expenses and other liabilities |
|
|
13,151 |
|
|
11,949 |
Accrued excise tax expense |
|
|
- |
|
|
101 |
Total Liabilities |
|
$ |
842,040 |
|
$ |
740,610 |
|
|
|
|
|
|
|
Commitments and contingencies (Note 8) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Assets: |
|
|
|
|
|
|
Common Shares, |
|
$ |
71 |
|
$ |
42 |
Additional paid-in capital |
|
|
1,153,001 |
|
|
669,990 |
Total distributable earnings (deficit) |
|
|
33,133 |
|
|
13,024 |
Total Net Assets |
|
$ |
1,186,205 |
|
$ |
683,056 |
Total Liabilities and Net Assets |
|
$ |
2,028,245 |
|
$ |
1,423,666 |
Net Asset Value Per Common Share |
|
$ |
16.70 |
|
$ |
16.42 |
Kayne Anderson BDC, Inc. Consolidated Statements of Operations (amounts in 000’s, except share and per share amounts) (Unaudited) |
|||||||||||
|
For the three months ended |
|
For the nine months ended |
||||||||
September 30, |
September 30, |
||||||||||
|
2024 |
2023 |
|
2024 |
|
2023 |
|||||
Income: |
|
|
|
|
|
|
|
||||
Investment income from investments: |
|
|
|
|
|
|
|
||||
Interest income from non-controlled, non-affiliated investments |
$ |
57,541 |
|
$ |
41,041 |
|
$ |
155,015 |
|
$ |
117,960 |
Interest income from non-controlled, affiliated investments |
- |
- |
754 |
- |
|||||||
Dividend income |
|
278 |
|
|
156 |
|
|
997 |
|
|
349 |
Total Investment Income |
57,819 |
41,197 |
156,766 |
118,309 |
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
Expenses: |
|
|
|
|
|
|
|
|
|
|
|
Management fees |
|
4,764 |
|
|
2,905 |
|
|
12,537 |
|
|
8,438 |
Incentive fees |
|
5,605 |
|
|
2,371 |
|
|
12,345 |
|
|
6,929 |
Interest expense |
|
16,069 |
|
|
13,871 |
|
|
44,964 |
|
|
38,396 |
Professional fees |
|
403 |
|
|
189 |
|
|
1,042 |
|
|
482 |
Directors fees |
|
158 |
|
|
147 |
|
|
463 |
|
|
464 |
Other general and administrative expenses |
|
563 |
|
|
345 |
|
|
1,542 |
|
|
1,216 |
Total Expenses |
|
27,562 |
|
|
19,828 |
|
|
72,893 |
|
|
55,925 |
Less: Management fee waiver (Note 3) |
|
(1,191) |
|
|
- |
|
|
(1,662) |
|
|
- |
Less: Incentive fee waiver (Note 3) |
|
(5,605) |
|
|
- |
|
|
(9,714) |
|
|
- |
Net Expenses |
|
20,766 |
|
|
19,828 |
|
|
61,517 |
|
|
55,925 |
Net Investment Income (Loss) |
|
37,053 |
|
|
21,369 |
|
|
95,249 |
|
|
62,384 |
|
|
|
|
|
|
|
|
|
|
|
|
Realized and unrealized gains (losses) on investments |
|
|
|
||||||||
Net realized gains (losses): |
|
|
|
|
|
|
|
|
|
|
|
Non-controlled, non-affiliated investments |
|
- |
|
|
- |
|
|
(138) |
|
|
- |
Total net realized gains (losses) |
|
- |
|
|
- |
|
|
(138) |
|
|
- |
Net change in unrealized gains (losses): |
|||||||||||
Non-controlled, non-affiliated investments |
|
1,031 |
|
|
(7,497) |
|
|
3,323 |
|
|
(8,103) |
Non-controlled, affiliated investments |
|
(528) |
|
- |
|
(1,943) |
|
- |
|||
Total net change in unrealized gains (losses) |
|
503 |
|
|
(7,497) |
|
|
1,380 |
|
|
(8,103) |
Total realized and unrealized gains (losses) |
|
503 |
|
(7,497) |
|
1,242 |
|
(8,103) |
|||
|
|
|
|
|
|
|
|
|
|
|
|
Net Increase (Decrease) in Net Assets Resulting from Operations |
$ |
37,556 |
|
$ |
13,872 |
|
$ |
96,491 |
|
$ |
54,281 |
|
|
|
|
|
|
|
|
|
|
|
|
Per Common Share Data: |
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted net investment income per common share |
$ |
0.52 |
|
$ |
0.53 |
|
$ |
1.55 |
|
$ |
1.62 |
Basic and diluted net increase in net assets resulting from operations |
$ |
0.53 |
|
$ |
0.34 |
|
$ |
1.57 |
|
$ |
1.41 |
Weighted Average Common Shares Outstanding - Basic and Diluted |
71,083,885 |
|
40,499,327 |
|
61,321,163 |
|
38,461,385 |
||||
About Kayne Anderson BDC, Inc.
Kayne Anderson BDC, Inc. is a business development company (“BDC”) that invests primarily in first lien senior secured loans, with a secondary focus on unitranche and split-lien loans to middle market companies. KBDC is externally managed by its investment adviser, KA Credit Advisors, LLC, an indirect controlled subsidiary of Kayne Anderson Capital Advisors, L.P., a prominent alternative investment management firm. KBDC has elected to be regulated as a BDC under the Investment Company Act of 1940, as amended (“1940 Act”). KBDC’s investment objective is to generate current income and, to a lesser extent, capital appreciation. For more information, please visit www.kaynebdc.com.
Forward-looking Statements
This press release may contain “forward-looking statements” that involve substantial risks and uncertainties. Such statements involve known and unknown risks, uncertainties and other factors and undue reliance should not be placed thereon. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about KBDC, its current and prospective portfolio investments, its industry, its beliefs and opinions, and its assumptions. Words such as “anticipates,” “expects,” “intends,” “plans,” “will,” “may,” “continue,” “believes,” “seeks,” “estimates,” “would,” “could,” “should,” “targets,” “projects,” “outlook,” “potential,” “predicts” and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond KBDC’s control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements including, without limitation, the risks, uncertainties and other factors identified in KBDC’s filings with the SEC. All forward-looking statements speak only as of the date of this press release. KBDC does not undertake any obligation to update or revise any forward-looking statements or any other information contained herein, except as required by applicable law.
View source version on businesswire.com: https://www.businesswire.com/news/home/20241112515986/en/
Investor Relations
kaynebdc@kaynecapital.com
Source: Kayne Anderson BDC, Inc.
FAQ
What was KBDC's net investment income per share for Q3 2024?
How much is KBDC's Q4 2024 dividend payment?
What was KBDC's net asset value (NAV) as of September 30, 2024?
How much were KBDC's new investment commitments in Q3 2024?
