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OFS Capital Corporation Announces Third Quarter 2021 Financial Results & Increases Quarterly Cash Distribution
Quarterly Distribution Increased by 4% Compared to Prior Quarter CHICAGO--(BUSINESS WIRE)-- OFS Capital Corporation (NASDAQ: OFS) ("OFS Capital," the
About this update from Ofs Capital Corporation
[{"type":"text","content":"\nQuarterly Distribution Increased by 4% Compared to Prior Quarter\n\n CHICAGO--(BUSINESS WIRE)--\nOFS Capital Corporation (NASDAQ: OFS) (\"OFS Capital,\" the \"Company,\" \"we,\" \"us,\" or \"our\") today announced its financial results for the quarter ended September 30, 2021.\n\nFINANCIAL HIGHLIGHTS\n\n\nNet investment income of $3.2 million, or $0.24 per common share.\n\n\nAdjusted net investment income(1) of $3.3 million, or $0.25 per common share.\n\n\nNet asset value (\"NAV\") per common share increased 5.5% to $14.16 at September 30, 2021 from $13.42 at June 30, 2021. During the three months ended September 30, 2021, our portfolio experienced realized and unrealized net gains of $10.2 million.\n\n\nNo new loans placed on non-accrual status in the quarter.\n\n\nAt September 30, 2021, 95% and 66% of our loan portfolio and total portfolio, respectively, consisted of senior secured loans, based on fair value.\n\n\nAs of September 30, 2021, 92% of our debt matures in 2024 and beyond and 64% of our outstanding debt is unsecured.\n\n\nOn November 2, 2021, OFS Capital's Board of Directors declared a distribution of $0.25 per share for the fourth quarter of 2021, payable on December 31, 2021, to stockholders of record as of December 24, 2021.\n\n\n“Our net asset value increased 5.5% from the end of the second quarter of 2021, primarily driven by continued appreciation of our equity investments,” said Bilal Rashid, OFS Capital's Chairman and Chief Executive Officer. “We are pleased that our net asset value per share now exceeds pre-pandemic levels and we believe our portfolio is well positioned for the future. We increased our quarterly distribution for the fifth consecutive quarter. In late October, we closed on a seven year unsecured bond and expect to redeem outstanding debt with a higher cost. The October offering extended our debt maturities and will help reduce our borrowing costs.”\n\n(1) Supplemental information regarding adjusted net investment income:\n\nOn a supplemental basis, management provides disclosure of adjusted net investment income (\"Adjusted NII\"), which is a financial measure calculated and presented on a basis of accounting other than in accordance with generally accepted accounting principles of the United States of America (“GAAP”). Adjusted NII excludes the expense related to capital gains incentives i...