Capital Southwest Posts $0.58 Pre-Tax NII, Record $391M Origination Quarter
CSWC sits 16% above its 52-week low of $19.91.
Summary
Pre-tax net investment income came in at $0.58 per share, matching the $0.58-$0.59 range pre-announced on October 15 and covering the $0.58 regular dividend. The bigger news is the portfolio: $391.0 million of originations across 14 new and 16 existing companies, the largest origination quarter in company history, plus a $25.0 million commitment to Desert Star, a new joint venture with Trinity Capital aimed at technology lending. NAV per share edged up to $16.64 from $16.61 as ATM issuance above NAV offset $13.4 million of net realized and unrealized depreciation, mostly $14.6 million on the credit portfolio. Non-accruals sit at $34.8 million fair value, 1.4% of the portfolio, against a cost basis of $85.5 million. They raised $67.0 million of gross proceeds selling 2,732,562 shares at a $24.50 weighted average, and the SBA approved lifting SBIC II's leverage commitment to $250 million from $175 million. The earnings call is November 3 at 11:00 a.m. ET.
At the time of this announcement, CSWC was trading at $23.03 on NASDAQ in the Finance sector, with a market capitalization of approximately $1.5B. The 52-week trading range was $19.91 to $25.75. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: GlobeNewswire.