NAV Slides to $13.21 as Investment Income Drops 14% YoY
PSBD is trading near its 52-week low of $9.34 (6.1% above the low) on light trading volume (0.4× avg).
Summary
Q2 results show continued erosion: NAV per share fell to $13.21 from $13.30 last quarter and $15.68 a year ago. Total investment income dropped 14% year-over-year to $27.3M, with net investment income of $0.39 per share missing the prior year's $0.43. The portfolio saw $3.6M in net realized and unrealized losses, though that's an improvement from $6.7M a year ago. The company declared a $0.36 regular dividend for Q3, down from the $0.39 paid in Q2, and expects to announce a supplemental dividend in September. This follows the 10-Q filed today showing an 11% YTD NAV decline and substantial net loss, and the recent $300M CLO refinancing aimed at lowering capital costs. The stock trades at a 25% discount to NAV, and the expanded buyback program signals management sees value, but declining earnings power and rising non-accruals (0.29% of investments) warrant caution.
At the time of this announcement, PSBD was trading at $9.91 on NYSE in the Finance sector, with a market capitalization of approximately $308.4M. The 52-week trading range was $9.34 to $14.43. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: BusinessWire.