Crescent Capital Bdc, Inc. · NASDAQ:CCAP
Crescent Capital Bdc — Q2 2023 Earnings Presentation
22 slides from Crescent Capital Bdc's earnings presentation, Aug 10, 2023
Slide 1: Quarterly Earnings Presentation
Quarterly Earnings Presentation June 30, 2023
Slide 2: Disclaimer and Forward-Looking Statement
Disclaimer and Forward-Looking Statement This presentation (the “Presentation”) has been prepared by Crescent Capital BDC, Inc. (together with its consolidated subsidiaries, “CCAP,” “Crescent BDC” or the “Company”) and may be used for informational purposes only. This Presentation contains summaries
Slide 3: Crescent Capital BDC, Inc. (CCAP)
Crescent Capital BDC, Inc. (CCAP) Specialty finance company focused on investing in the debt of private U.S. middle-market companies $1,581 Ticker CCAP Exchange NASDAQ Total Net Assets $726 million Net Asset Value per Share $19.58 Total Assets $1.6 billion Debt-to-Equity 1.19x Total Portfolio Invest
Slide 4: Track Record of NAV Stability and Resilience
Track Record of NAV Stability and Resilience Since its inception, CCAP has consistently delivered a stable NAV profile $31.18 $11.60 $19.90 $19.58 NAV Per Share Cumulative Dividends Per Share Note: Past performance does not guarantee or indicate future results. 4
Slide 5: Summary of Financial Results
Summary of Financial Results
Slide 6: Second Quarter 2023 Highlights
Second Quarter 2023 Highlights Second Quarter • Net investment income for the quarter ended June 30, 2023 was $20.6 million, or $0.56 per share, as compared to $17.5 million, or $0.54 per share, for the prior quarter Performance • Net realized and unrealized gains on investments for the quarter ende
Slide 7: Supplemental Dividend Policy
Supplemental Dividend Policy Revised dividend policy enhances dividend yield while preserving the stability of CCAP’s NAV over time • Calculated as 50% of NII in excess of our regular dividend, rounded to the nearest penny and subject to a measurement test. The measurement test will cap the suppleme
Slide 8: Financial Highlights
Financial Highlights $ in millions, except per share data Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Net investment income per share $0.50 $0.52 $0.52 $0.54 $0.56 Adjusted net investment income per share(1) $0.41 $0.42 $0.49 $0.54 $0.56 Net realized gains (losses) per share(2) ($0.06) ($0.08) ($0.00) $
Slide 9: Portfolio Highlights – Selected Metrics
Portfolio Highlights – Selected Metrics $ in millions, except per share data Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Investments at Fair Value $1,285 $1,293 $1,263 $1,566 $1,581 Number of Portfolio Companies 137 136 129 187 187 Median Portfolio Company EBITDA $29 $30 $30 $26 $26 Asset Mix of Investm
Slide 10: Quarterly Statements of Assets and Liabilities
Quarterly Statements of Assets and Liabilities As of ($ in thousands, except per share data) 6/30/2022 9/30/2022 12/31/2022 3/31/2023 6/30/2023 Assets Investments, at fair value $1,285,280 $1,292,873 $1,262,956 $1,566,045 $1,581,130 Cash, cash equivalents and restricted cash 18,864 22,153 17,067 34,
Slide 11: Net Asset Value per Share Bridge – Q2 2023
Net Asset Value per Share Bridge – Q2 2023 $0.56 ($0.41) $0.23 $19.58 $19.38 ($0.18) $19.35 March 31, 2023 Net Regular Net Realized Net Change in June 30, 2023 NAV/Share Investment Dividend Losses on Exits Unrealized NAV/Share Income Distribution and Sales Appreciation (1) (1) (2) of Investments (De
Slide 12: Operating Results Detail
Operating Results Detail For the Three Months Ended ($ in thousands, except per share data) 6/30/2022 9/30/2022 12/31/2022 3/31/2023 6/30/2023 Investment Income Interest & Dividend income $26,602 $28,814 $34,470 $39,235 $46,411 Other income 172 174 106 46 330 Total Investment Income $26,774 $28,988
Slide 13: Portfolio Highlights
Portfolio Highlights
Slide 14: Disciplined Portfolio Construction
Disciplined Portfolio Construction Designed to minimize losses via strong credit and non-credit risk mitigation $1,581mm 187 $26mm Investments Portfolio companies Median portfolio at fair value(1) company EBITDA(2) 98% Sponsored 89% First Debt Positions(3) Lien(1) 72% with Financial 99% Floating Cov
Slide 15: Portfolio Diversity
Portfolio Diversity Diversification by Obligor Diversification by Industry LLC / LP Top 10 14 Other Investments 15% Industries Health Care 1% 15% Equipment & Services Logan JV 28% 3% Next 11-25 Insurance Logan JV 17% 5% 3% ~$8mm / 0.5% Average Position Diversified Financials 6% Commercial & Professi
Slide 16: Investment Activity
Investment Activity Conservative investment strategy with 89% of portfolio in first lien loans New Investment Fundings End of Period Investments At Cost. $ in millions At Fair Value. $ in millions $1,566.0 $1,581.0 3% 3% 4% 4% <1% <1% 4% 4% <1% $1,285.3 $1,292.9 $1,263.0 <1% 4% 4% 2% 4% 3% <1% <1% 1
Slide 17: Portfolio Net Interest Margin
Portfolio Net Interest Margin(1) Weighted Average Yield of Income Producing Securities (at Cost) Weighted Average Spread Over LIBOR of Floating Rate Debt Investments Weighted Average Stated Interest Rate on Debt Outstanding 3 Month London Interbank Offered Rate ("LIBOR") 3 Month Term Secured Overnig
Slide 18: Investment Portfolio Performance Ratings
Investment Portfolio Performance Ratings Internal Performance Rating Migration % of Portfolio at Fair Value 89% 87% 85% 87% 89% 11% 12% 10% 11% 10% 1% 1% 2% 3% 1% Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Internal Performance Ratings 4 & 5 Internal Performance Rating 3 Internal Performance Ratings 1 &
Slide 19: Capital Structure
Capital Structure
Slide 20: Liquidity Management
Liquidity Management Short term flexibility of $314.5 million of undrawn debt capacity Debt Summary Debt Maturities(3) ($ in millions) ($ in millions) Total Principal Interest Maturity Committed Amount Rate Date Amount Outstanding $46 SPV Asset Facility $500 $231 S+275 3/7/28 SMBC Corporate S+187.5
Slide 21: Appendix
Appendix
Slide 22: Reconciliation of Adjusted Net Investment Income
Reconciliation of Adjusted Net Investment Income As of $ in thousands, except per share data 6/30/2022 9/30/2022 12/31/2022 3/31/2023 6/30/2023 Net investment income $15,533 $15,953 $16,103 $17,663 $20,572 Capital gains based incentive fees (2,870) (3,103) (1,072) - - Adjusted net investment income