MAIN STREET ANNOUNCES SECOND QUARTER 2024 RESULTS
Main Street Capital (NYSE: MAIN) reported its Q2 2024 results, highlighting a net investment income of $87.3 million ($1.01 per share) and distributable net investment income of $92.3 million ($1.07 per share). Total investment income was $132.2 million. Net asset value (NAV) increased to $29.80 per share from $29.54 in Q1 2024. The company declared regular monthly dividends totaling $0.735 per share for Q3 2024, and a supplemental dividend of $0.30 per share, enhancing shareholder returns.
Key metrics include:
- Net increase in net assets: $102.7 million (16.1% ROI).
- Investment activity: $154.5 million in lower middle market (LMM) and $323.8 million in private loans.
- Capital structure: Issued $300 million in senior unsecured notes and increased total commitments under the Corporate Facility to $1.110 billion.
Despite a 4% YoY decline in net investment income per share, Main Street continues to show robust investment activity and a strong dividend growth trend.
Main Street Capital (NYSE: MAIN) ha riportato i suoi risultati del Q2 2024, evidenziando un reddito netto da investimenti di 87,3 milioni di dollari (1,01 dollari per azione) e un reddito netto da investimenti distribuibile di 92,3 milioni di dollari (1,07 dollari per azione). Il reddito totale da investimenti è stato di 132,2 milioni di dollari. Il valore netto degli attivi (NAV) è aumentato a 29,80 dollari per azione rispetto ai 29,54 dollari del Q1 2024. L'azienda ha dichiarato dividendi mensili regolari per un totale di 0,735 dollari per azione per il Q3 2024, e un dividendo supplementare di 0,30 dollari per azione, migliorando i ritorni per gli azionisti.
Le metriche chiave includono:
- Aumento netto degli attivi: 102,7 milioni di dollari (ROI del 16,1%).
- Attività di investimento: 154,5 milioni di dollari nel mercato medio ribassato (LMM) e 323,8 milioni di dollari in prestiti privati.
- Struttura del capitale: Emessi 300 milioni di dollari in notes senior non garantiti e aumentati gli impegni totali sotto il Corporate Facility a 1,110 miliardi di dollari.
Nonostante una diminuzione del 4% su base annua nel reddito netto da investimenti per azione, Main Street continua a mostrare un'attività di investimento robusta e una forte tendenza alla crescita dei dividendi.
Main Street Capital (NYSE: MAIN) reportó sus resultados del Q2 2024, destacando un ingreso neto por inversiones de 87,3 millones de dólares (1,01 dólares por acción) y un ingreso neto por inversiones distribuible de 92,3 millones de dólares (1,07 dólares por acción). El ingreso total por inversiones fue de 132,2 millones de dólares. El valor neto de los activos (NAV) aumentó a 29,80 dólares por acción desde los 29,54 dólares en el Q1 2024. La empresa declaró dividendos mensuales regulares que suman 0,735 dólares por acción para el Q3 2024, y un dividendo suplementario de 0,30 dólares por acción, mejorando así los retornos a los accionistas.
Las métricas clave incluyen:
- Aumento neto en activos: 102,7 millones de dólares (ROI del 16,1%).
- Actividad de inversión: 154,5 millones de dólares en el mercado medio bajo (LMM) y 323,8 millones de dólares en préstamos privados.
- Estructura de capital: Se emitieron 300 millones de dólares en notas senior no garantizadas y se incrementaron los compromisos totales bajo la instalación corporativa a 1,110 millones de dólares.
A pesar de una disminución del 4% interanual en el ingreso neto por inversiones por acción, Main Street continúa mostrando una sólida actividad de inversión y una fuerte tendencia de crecimiento de dividendos.
Main Street Capital (NYSE: MAIN)는 2024년 2분기 실적을 발표하며 8730만 달러(주당 1.01달러)의 순투자 소득과 9230만 달러(주당 1.07달러)의 분배가능 순투자 소득을 강조했습니다. 총 투자 소득은 1억 3220만 달러였습니다. 순자산가치(NAV)는 2024년 1분기의 29.54달러에서 29.80달러로 증가했습니다. 회사는 2024년 3분기 동안 주당 0.735달러의 정기 월 배당금을 선언했으며, 주당 0.30달러의 추가 배당금을 발표하여 주주 수익을 향상시켰습니다.
주요 지표는 다음과 같습니다:
- 순자산 증가: 1억 270만 달러 (ROI 16.1%).
- 투자 활동: 중간 하위 시장(LMM)에서 1억 5450만 달러, 개인 대출에서 3억 2380만 달러.
- 자본 구조: 3억 달러의 선순위 무담보 채권을 발행하고, 기업 시설에 대한 총 약정을 11억 1000만 달러로 증가시켰습니다.
주당 순투자 소득이 전년 동기 대비 4% 감소했음에도 불구하고, Main Street는 여전히 강력한 투자 활동과 배당금 성장 추세를 보이고 있습니다.
Main Street Capital (NYSE: MAIN) a publié ses résultats du Q2 2024, mettant en avant un revenu net d'investissement de 87,3 millions de dollars (1,01 dollar par action) et un revenu net d'investissement distribuable de 92,3 millions de dollars (1,07 dollar par action). Le revenu total d'investissement s'est élevé à 132,2 millions de dollars. La valeur nette des actifs (NAV) a augmenté à 29,80 dollars par action, contre 29,54 dollars au Q1 2024. L'entreprise a déclaré des dividendes mensuels réguliers totalisant 0,735 dollar par action pour le Q3 2024, ainsi qu'un dividende supplémentaire de 0,30 dollar par action, améliorant ainsi les rendements pour les actionnaires.
Les indicateurs clés incluent :
- Augmentation nette des actifs : 102,7 millions de dollars (ROI de 16,1%).
- Activité d'investissement : 154,5 millions de dollars sur le marché intermédiaire inférieur (LMM) et 323,8 millions de dollars dans des prêts privés.
- Structure capitalistique : Émission de 300 millions de dollars en obligations non garanties senior et augmentation des engagements totaux dans le cadre des installations d'entreprise à 1,110 milliard de dollars.
Malgré une baisse de 4 % du revenu net d'investissement par action d'une année sur l'autre, Main Street continue de montrer une activité d'investissement robuste et une forte tendance à la croissance des dividendes.
Main Street Capital (NYSE: MAIN) hat seine Q2 2024 Ergebnisse bekannt gegeben und einen Nettoinvestitionsertrag von 87,3 Millionen US-Dollar (1,01 USD pro Aktie) sowie einen ausschüttungsfähigen Nettoinvestitionsertrag von 92,3 Millionen US-Dollar (1,07 USD pro Aktie) hervorgehoben. Der Gesamtertrag aus Investitionen belief sich auf 132,2 Millionen US-Dollar. Der Nettoinventarwert (NAV) stieg von 29,54 USD im Q1 2024 auf 29,80 USD pro Aktie. Das Unternehmen erklärte regelmäßige monatliche Dividenden von insgesamt 0,735 USD pro Aktie für das Q3 2024 und eine ergänzende Dividende von 0,30 USD pro Aktie, um die Renditen für die Aktionäre zu verbessern.
Wichtige Kennzahlen sind:
- Nettowachstum der Nettovermögen: 102,7 Millionen US-Dollar (16,1% ROI).
- Investitionstätigkeit: 154,5 Millionen US-Dollar im Lower Middle Market (LMM) und 323,8 Millionen US-Dollar in Privatkredite.
- Kapitalstruktur: Emission von 300 Millionen US-Dollar an unbesicherten Anleihen und Erhöhung der Gesamtabsprachen im Rahmen der Unternehmensfinanzierung auf 1,110 Milliarden US-Dollar.
Trotz eines Rückgangs von 4% im Nettorendertrag pro Aktie im Jahresvergleich zeigt Main Street weiterhin eine robuste Investitionstätigkeit und einen starken Trend bei den Dividendenwachstums.
- Net investment income of $87.3 million.
- Distributable net investment income of $92.3 million.
- Total investment income increased to $132.2 million.
- Net asset value increased to $29.80 per share.
- Declared regular monthly dividends totaling $0.735 per share for Q3 2024.
- Declared a supplemental dividend of $0.30 per share.
- Completed $154.5 million in LMM investments.
- Completed $323.8 million in private loan investments.
- Issued $300 million in senior unsecured notes.
- Increased total commitments under Corporate Facility to $1.110 billion.
- Net investment income per share decreased by $0.05 (5%) YoY.
- Distributable net investment income per share decreased by $0.05 (4%) YoY.
- Net increase in net assets resulting from operations decreased by $3.8 million (4%) YoY.
Main Street Capital's Q2 2024 results demonstrate solid performance and continued growth. Key highlights include:
- Net investment income of
$87.3 million ($1.01 per share) - Distributable net investment income of
$92.3 million ($1.07 per share) - Total investment income increased by
4% year-over-year to$132.2 million - Net asset value per share grew to
$29.80 , up0.9% from Q1 2024 and2.1% from year-end 2023
The company's diversified investment strategy and efficient cost structure (Operating Expenses to Assets Ratio of
Main Street's conservative leverage profile and strong liquidity position (
Main Street's investment portfolio shows robust performance across multiple segments:
- Lower Middle Market (LMM) portfolio:
$2.44 billion fair value,13% weighted-average yield - Private Loan portfolio:
$1.75 billion fair value,12.8% weighted-average yield - Middle Market portfolio:
$184 million fair value,13% weighted-average yield
The high percentage of first lien secured debt (over
The low non-accrual rate (
Main Street's performance should be viewed in the context of the broader market environment:
- Rising interest rates have benefited the company's floating rate investments, contributing to increased interest income
- The company's focus on lower middle market companies provides exposure to a segment less impacted by broader economic headwinds
- The growth in private credit markets has created opportunities in the Private Loan segment, as evidenced by the
12.8% increase in this portfolio's cost basis
The External Investment Manager's growth (
Main Street's ability to maintain its dividend growth trajectory and consistently trade at a premium to NAV suggests strong investor confidence in its business model and management team.
Second Quarter 2024 Net Investment Income of
Second Quarter 2024 Distributable Net Investment Income(1) of
Net Asset Value of
Second Quarter 2024 Highlights
- Net investment income of
$87.3 million $1.01 - Distributable net investment income(1) of
$92.3 million $1.07 - Total investment income of
$132.2 million - An industry leading position in cost efficiency, with a ratio of total non-interest operating expenses as a percentage of quarterly average total assets ("Operating Expenses to Assets Ratio") of
1.3% on an annualized basis for the quarter and for the trailing twelve-month ("TTM") period ended June 30, 2024 - Net increase in net assets resulting from operations of
$102.7 million $1.19 - Return on equity(2) of
16.1% on an annualized basis for the quarter and18.5% for the TTM period ended June 30, 2024 - Net asset value of
$29.80 $0.26 0.9% , compared to$29.54 $0.60 2.1% , compared to$29.20 - Declared regular monthly dividends totaling
$0.73 5$0.24 56.5% increase from the regular monthly dividends paid in the third quarter of 2023 - Declared and paid a supplemental dividend of
$0.30 $1.02 13.3% increase from the total dividends paid in the second quarter of 2023 - Completed
$154.5 million $87.9 million $69.0 million - Completed
$323.8 million $224.9 million - Net decrease of
$66.1 million - Further diversified our capital structure by issuing
$300.0 million 6.50% senior unsecured notes due June 4, 2027 (the "June 2027 Notes") - Amended our Corporate Facility (as defined in the Liquidity and Capital Resources section below) to increase the total commitments from
$995.0 million $1.11 0 billion$1.03 5 billion
In commenting on the Company's operating results for the second quarter of 2024, Dwayne L. Hyzak, Main Street's Chief Executive Officer, stated, "We are pleased with our performance in the second quarter, which resulted in another quarter of strong operating results highlighted by a return on equity of
Mr. Hyzak continued, "The total dividends paid to our shareholders in the second quarter of 2024 increased by
Second Quarter 2024 Operating Results
The following table provides a summary of our operating results for the second quarter of 2024:
Three Months Ended June 30, | |||||||
2024 | 2023 | Change ($) | Change (%) | ||||
Interest income | $ 100,031 | $ 97,273 | $ 2,758 | 3 % | |||
Dividend income | 26,688 | 25,599 | 1,089 | 4 % | |||
Fee income | 5,435 | 4,711 | 724 | 15 % | |||
Total investment income | $ 132,154 | $ 127,583 | $ 4,571 | 4 % | |||
Net investment income | $ 87,300 | $ 85,728 | $ 1,572 | 2 % | |||
Net investment income per share | $ 1.01 | $ 1.06 | $ (0.05) | (5) % | |||
Distributable net investment income(1) | $ 92,286 | $ 90,328 | $ 1,958 | 2 % | |||
Distributable net investment income per share(1) | $ 1.07 | $ 1.12 | $ (0.05) | (4) % | |||
Net increase in net assets resulting from operations | $ 102,688 | $ 106,516 | $ (3,828) | (4) % | |||
Net increase in net assets resulting from operations per share | $ 1.19 | $ 1.32 | $ (0.13) | (10) % | |||
The
Total cash expenses(3) increased
Non-cash compensation expenses(3) increased
Our Operating Expenses to Assets Ratio (which includes non-cash compensation expenses(3)) was
The
The
The following table provides a summary of the total net unrealized appreciation of
Three Months Ended June 30, 2024 | |||||||||
LMM | Private | Middle | Other | Total | |||||
(dollars in millions) | |||||||||
Accounting reversals of net unrealized (appreciation) | $ (8.7) | $ (0.6) | $ 4.8 | $ (0.3) | $ (4.8) | ||||
Net unrealized appreciation (depreciation) relating to | 16.6 | (1.1) | 4.8 | 7.5 | (b) | 27.8 | |||
Total net unrealized appreciation (depreciation) relating | $ 7.9 | $ (1.7) | $ 9.6 | $ 7.2 | $ 23.0 | ||||
(a) | LMM includes unrealized appreciation on 33 LMM portfolio investments and unrealized depreciation on 26 LMM portfolio investments. |
(b) | Includes (i) |
Liquidity and Capital Resources
As of June 30, 2024, we had aggregate liquidity of
Several details regarding our capital structure as of June 30, 2024 are as follows:
- Our Corporate Facility included
$1.11 0 billion$1.66 5 billion $465.0 million 7.3% based on SOFR effective for the contractual reset date of July 1, 2024.- Our SPV Facility included
$430.0 million $450.0 million $160.0 million 7.9% based on SOFR effective for the contractual reset date of July 1, 2024.$500.0 million 3.00% per year (the "July 2026 Notes"). The July 2026 Notes mature on July 14, 2026 and may be redeemed in whole or in part at any time at our option subject to certain make-whole provisions.$350.0 million 6.95% per year (the "March 2029 Notes"). The March 2029 Notes mature on March 1, 2029 and may be redeemed in whole or in part at any time at our option subject to certain make-whole provisions.$300.0 million 6.50% per year. The June 2027 Notes mature on June 4, 2027 and may be redeemed in whole or in part at any time at our option subject to certain make-whole provisions.$286.2 million U.S. Small Business Administration (the "SBA"), had a weighted-average annual fixed interest rate of2.82% and mature ten years from original issuance. The first maturity related to our existing SBIC debentures occurs in the first quarter of 2027, and the weighted-average remaining duration was 5.1 years. Under our SBIC licenses and subject to the approval of the SBA, we maintain the capacity for$63.8 million $350.0 million $150.0 million 7.74% per year (the "December 2025 Notes"). The December 2025 Notes mature on December 23, 2025 and may be redeemed in whole or in part at any time at our option subject to certain make-whole provisions.- We maintain investment grade debt ratings from each of Fitch Ratings and S&P Global Ratings, both of which have assigned us investment grade corporate and credit ratings of BBB- with a stable outlook. S&P Global Ratings affirmed their rating during the third quarter of 2024.
- Our net asset value totaled
$2.6 billion $29.80
After quarter end, we have received approval from the SBA for the
Investment Portfolio Information as of June 30, 2024(4)
The following table provides a summary of the investments in our LMM portfolio, private loan portfolio and middle market portfolio as of June 30, 2024:
As of June 30, 2024 | ||||||
LMM (a) | Private Loan | Middle Market | ||||
(dollars in millions) | ||||||
Number of portfolio companies | 83 | 92 | 19 | |||
Fair value | $ 2,440.0 | $ 1,747.5 | $ 184.0 | |||
Cost | $ 1,920.9 | $ 1,768.0 | $ 220.6 | |||
Debt investments as a % of portfolio (at cost) | 72.6 % | 95.4 % | 88.3 % | |||
Equity investments as a % of portfolio (at cost) | 27.4 % | 4.6 % | 11.7 % | |||
% of debt investments at cost secured by first priority lien | 99.2 % | 99.9 % | 98.6 % | |||
Weighted-average annual effective yield (b) | 13.0 % | 12.8 % | 13.0 % | |||
Average EBITDA (c) | $ 9.3 | $ 32.3 | $ 57.7 | |||
(a) | We had equity ownership in all of our LMM portfolio companies, and our average fully diluted equity ownership in those portfolio companies was |
(b) | The weighted-average annual effective yields were computed using the effective interest rates for all debt investments at cost, including amortization of deferred debt origination fees and accretion of original issue discount but excluding fees payable upon repayment of the debt instruments and any debt investments on non-accrual status. |
(c) | The average EBITDA is calculated using a simple average for the LMM portfolio and a weighted-average for the private loan and middle market portfolios. These calculations exclude certain portfolio companies, including four LMM portfolio companies, four private loan portfolio companies and three middle market companies, as EBITDA is not a meaningful valuation metric for our investments in these portfolio companies, and those portfolio companies whose primary purpose is to own real estate. |
The fair value of our LMM portfolio company equity investments was
As of June 30, 2024, our investment portfolio also included:
- Other portfolio investments in 14 entities, collectively totaling
$179.5 million $175.0 million 3.8% and4.3% of our investment portfolio at fair value and cost, respectively; and - Our investment in the External Investment Manager, with a fair value of
$186.6 million $29.5 million 3.9% and0.7% of our investment portfolio at fair value and cost, respectively.
As of June 30, 2024, non-accrual investments comprised
External Investment Manager
MSC Adviser I, LLC is our wholly owned portfolio company and registered investment adviser that provides investment management services to external parties (the "External Investment Manager"). We share employees with the External Investment Manager and allocate costs related to such shared employees and other operating expenses to the External Investment Manager. The total contribution of the External Investment Manager to our net investment income consists of the combination of the expenses we allocate to the External Investment Manager and the dividend income we earn from the External Investment Manager. During the second quarter of 2024, the External Investment Manager earned
We continue to execute our fund-raising activities of limited partner commitments for our second private loan fund managed by the External Investment Manager and held a subsequent closing in June 2024. This fund is exclusively focused on investments in our private loan investment strategy and provides us an additional opportunity for continued growth of the benefits from the External Investment Manager.
The External Investment Manager ended the second quarter of 2024 with total assets under management of
Second Quarter 2024 Financial Results Conference Call / Webcast
Main Street has scheduled a conference call for Friday, August 9, 2024 at 10:00 a.m. Eastern Time to discuss the second quarter 2024 financial results.
You may access the conference call by dialing 412-902-0030 at least 10 minutes prior to the start time. The conference call can also be accessed via a simultaneous webcast by logging into the investor relations section of the Main Street website at https://www.mainstcapital.com.
A telephonic replay of the conference call will be available through Friday, August 16, 2024 and may be accessed by dialing 201-612-7415 and using the passcode 13747903#. An audio archive of the conference call will also be available on the investor relations section of the company's website at https://www.mainstcapital.com shortly after the call and will be accessible until the date of Main Street's earnings release for the next quarter.
For a more detailed discussion of the financial and other information included in this press release, please refer to the Main Street Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2024 to be filed with the Securities and Exchange Commission (www.sec.gov) and Main Street's Second Quarter 2024 Investor Presentation to be posted on the investor relations section of the Main Street website at https://www.mainstcapital.com.
ABOUT MAIN STREET CAPITAL CORPORATION
Main Street (www.mainstcapital.com) is a principal investment firm that primarily provides long-term debt and equity capital to lower middle market companies and debt capital to middle market companies. Main Street's portfolio investments are typically made to support management buyouts, recapitalizations, growth financings, refinancings and acquisitions of companies that operate in diverse industry sectors. Main Street seeks to partner with entrepreneurs, business owners and management teams and generally provides "one-stop" financing alternatives within its lower middle market investment strategy. Main Street's lower middle market portfolio companies generally have annual revenues between
Main Street, through its wholly owned portfolio company MSC Adviser I, LLC ("MSC Adviser"), also maintains an asset management business through which it manages investments for external parties. MSC Adviser is registered as an investment adviser under the Investment Advisers Act of 1940, as amended.
FORWARD-LOOKING STATEMENTS
Main Street cautions that statements in this press release which are forward–looking and provide other than historical information, including but not limited to Main Street's ability to successfully source and execute on new portfolio investments and deliver future financial performance and results, are based on current conditions and information available to Main Street as of the date hereof and include statements regarding Main Street's goals, beliefs, strategies and future operating results and cash flows. Although its management believes that the expectations reflected in those forward–looking statements are reasonable, Main Street can give no assurance that those expectations will prove to be correct. Those forward-looking statements are made based on various underlying assumptions and are subject to numerous uncertainties and risks, including, without limitation: Main Street's continued effectiveness in raising, investing and managing capital; adverse changes in the economy generally or in the industries in which Main Street's portfolio companies operate; the impacts of macroeconomic factors on Main Street and its portfolio companies' business and operations, liquidity and access to capital, and on the
MAIN STREET CAPITAL CORPORATION | |||||||
Consolidated Statements of Operations | |||||||
(in thousands, except shares and per share amounts) | |||||||
(Unaudited) | |||||||
Three Months Ended | Six Months Ended | ||||||
2024 | 2023 | 2024 | 2023 | ||||
INVESTMENT INCOME: | |||||||
Interest, fee and dividend income: | |||||||
Control investments | $ 51,318 | $ 47,979 | $ 102,437 | $ 96,841 | |||
Affiliate investments | 23,201 | 20,999 | 40,928 | 38,455 | |||
Non–Control/Non–Affiliate investments | 57,635 | 58,605 | 120,394 | 112,542 | |||
Total investment income | 132,154 | 127,583 | 263,759 | 247,838 | |||
EXPENSES: | |||||||
Interest | (29,161) | (26,754) | (55,937) | (51,752) | |||
Compensation | (11,322) | (12,188) | (23,581) | (23,300) | |||
General and administrative | (5,375) | (4,514) | (9,595) | (8,591) | |||
Share–based compensation | (4,883) | (4,087) | (8,986) | (8,187) | |||
Expenses allocated to the External Investment Manager | 5,887 | 5,688 | 11,446 | 10,686 | |||
Total expenses | (44,854) | (41,855) | (86,653) | (81,144) | |||
NET INVESTMENT INCOME | 87,300 | 85,728 | 177,106 | 166,694 | |||
NET REALIZED GAIN (LOSS): | |||||||
Control investments | (361) | (48,111) | (352) | (51,077) | |||
Affiliate investments | 7,863 | 9,997 | 753 | (16,267) | |||
Non–Control/Non–Affiliate investments | (4,088) | (37,392) | (9,355) | (36,542) | |||
Total net realized gain (loss) | 3,414 | (75,506) | (8,954) | (103,886) | |||
NET UNREALIZED APPRECIATION (DEPRECIATION): | |||||||
Control investments | 5,589 | 75,779 | 37,659 | 92,940 | |||
Affiliate investments | 9,502 | (11,469) | 15,428 | 21,672 | |||
Non–Control/Non–Affiliate investments | 7,953 | 40,631 | 10,606 | 25,447 | |||
Total net unrealized appreciation | 23,044 | 104,941 | 63,693 | 140,059 | |||
INCOME TAXES: | |||||||
Federal and state income, excise and other taxes | (1,597) | (1,671) | (3,728) | (3,407) | |||
Deferred taxes | (9,473) | (6,976) | (18,282) | (13,353) | |||
Income tax provision | (11,070) | (8,647) | (22,010) | (16,760) | |||
NET INCREASE IN NET ASSETS RESULTING FROM | $ 102,688 | $ 106,516 | $ 209,835 | $ 186,107 | |||
NET INVESTMENT INCOME PER SHARE-BASIC AND | $ 1.01 | $ 1.06 | $ 2.07 | $ 2.08 | |||
NET INCREASE IN NET ASSETS RESULTING FROM | $ 1.19 | $ 1.32 | $ 2.45 | $ 2.32 | |||
WEIGHTED-AVERAGE SHARES OUTSTANDING-BASIC AND DILUTED | 86,194,092 | 80,807,861 | 85,666,311 | 80,190,630 | |||
MAIN STREET CAPITAL CORPORATION | ||||
Consolidated Balance Sheets | ||||
(in thousands, except per share amounts) | ||||
June 30, | December 31, | |||
2024 | 2023 | |||
(Unaudited) | ||||
ASSETS | ||||
Investments at fair value: | ||||
Control investments | $ 2,075,429 | $ 2,006,698 | ||
Affiliate investments | 752,764 | 615,002 | ||
Non–Control/Non–Affiliate investments | 1,909,318 | 1,664,571 | ||
Total investments | 4,737,511 | 4,286,271 | ||
Cash and cash equivalents | 30,472 | 60,083 | ||
Interest and dividend receivable and other assets | 116,003 | 89,337 | ||
Receivable for securities sold | 63,615 | - | ||
Deferred financing costs, net | 9,734 | 7,879 | ||
Total assets | $ 4,957,335 | $ 4,443,570 | ||
LIABILITIES | ||||
Credit Facilities | $ 625,000 | $ 360,000 | ||
July 2026 Notes (par: | 498,925 | 498,662 | ||
March 2029 Notes (par: | 346,642 | - | ||
June 2027 Notes (par: | 297,660 | - | ||
SBIC debentures (par: | 280,617 | 344,535 | ||
December 2025 Notes (par: | 149,224 | 148,965 | ||
May 2024 Notes (par: | - | 450,182 | ||
Accounts payable and other liabilities | 51,143 | 62,576 | ||
Interest payable | 25,823 | 17,025 | ||
Dividend payable | 21,205 | 20,368 | ||
Deferred tax liability, net | 82,140 | 63,858 | ||
Total liabilities | 2,378,379 | 1,966,171 | ||
NET ASSETS | ||||
Common stock | 865 | 848 | ||
Additional paid–in capital | 2,337,879 | 2,270,549 | ||
Total undistributed earnings | 240,212 | 206,002 | ||
Total net assets | 2,578,956 | 2,477,399 | ||
Total liabilities and net assets | $ 4,957,335 | $ 4,443,570 | ||
NET ASSET VALUE PER SHARE | $ 29.80 | $ 29.20 | ||
MAIN STREET CAPITAL CORPORATION | |||||||
Reconciliation of Distributable Net Investment Income, | |||||||
Total Cash Expenses, Non-Cash Compensation Expenses | |||||||
and Cash Compensation Expenses | |||||||
(in thousands, except per share amounts) | |||||||
(Unaudited) | |||||||
Three Months Ended | Six Months Ended | ||||||
June 30, | June 30, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
Net investment income | $ 87,300 | $ 85,728 | $ 177,106 | $ 166,694 | |||
Non-cash compensation expenses(3) | 4,986 | 4,600 | 9,551 | 9,076 | |||
Distributable net investment income(1) | $ 92,286 | $ 90,328 | $ 186,657 | $ 175,770 | |||
Per share amounts: | |||||||
Net investment income per share - | |||||||
Basic and diluted | $ 1.01 | $ 1.06 | $ 2.07 | $ 2.08 | |||
Distributable net investment income per share - | |||||||
Basic and diluted(1) | $ 1.07 | $ 1.12 | $ 2.18 | $ 2.19 | |||
Three Months Ended | Six Months Ended | ||||||
June 30, | June 30, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
Share–based compensation | $ (4,883) | $ (4,087) | $ (8,986) | $ (8,187) | |||
Deferred compensation expense | (103) | (513) | (565) | (889) | |||
Total non-cash compensation expenses(3) | (4,986) | (4,600) | (9,551) | (9,076) | |||
Total expenses | (44,854) | (41,855) | (86,653) | (81,144) | |||
Less non-cash compensation expenses(3) | 4,986 | 4,600 | 9,551 | 9,076 | |||
Total cash expenses(3) | $ (39,868) | $ (37,255) | $ (77,102) | $ (72,068) | |||
Compensation | $ (11,322) | $ (12,188) | $ (23,581) | $ (23,300) | |||
Share-based compensation | (4,883) | (4,087) | (8,986) | (8,187) | |||
Total compensation expenses | (16,205) | (16,275) | (32,567) | (31,487) | |||
Non-cash compensation expenses(3) | 4,986 | 4,600 | 9,551 | 9,076 | |||
Total cash compensation expenses(3) | $ (11,219) | $ (11,675) | $ (23,016) | $ (22,411) | |||
MAIN STREET CAPITAL CORPORATION | |
Endnotes | |
(1) | Distributable net investment income is net investment income as determined in accordance with |
(2) | Return on equity equals the net increase in net assets resulting from operations divided by the average quarterly total net assets for the three month and trailing twelve-month periods ended June 30, 2024. |
(3) | Non-cash compensation expenses consist of (i) share-based compensation and (ii) deferred compensation expense or benefit, both of which are non-cash in nature. Share-based compensation does not require settlement in cash. Deferred compensation expense or benefit does not result in a net cash impact to Main Street upon settlement. The appreciation (depreciation) in the fair value of deferred compensation plan assets is reflected in Main Street's Consolidated Statements of Operations as unrealized appreciation (depreciation) and an increase (decrease) in compensation expenses, respectively. Cash compensation expenses are total compensation expenses as determined in accordance with |
(4) | Portfolio company financial information has not been independently verified by Main Street. |
(5) | These credit statistics exclude portfolio companies on non-accrual or for which EBITDA is not a meaningful metric. |
Contacts:
Main Street Capital Corporation
Dwayne L. Hyzak, CEO, dhyzak@mainstcapital.com
Jesse E. Morris, CFO and COO, jmorris@mainstcapital.com
713-350-6000
Dennard Lascar Investor Relations
Ken Dennard / ken@dennardlascar.com
Zach Vaughan / zvaughan@dennardlascar.com
713-529-6600
View original content:https://www.prnewswire.com/news-releases/main-street-announces-second-quarter-2024-results-302218323.html
SOURCE Main Street Capital Corporation
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