Crescent Capital Bdc, Inc. · NASDAQ:CCAP
Crescent Capital Bdc — Q4 2020 Earnings Presentation
19 slides from Crescent Capital Bdc's earnings presentation, Feb 24, 2021
Slide 1: Quarterly Earnings Presentation
Quarterly Earnings Presentation December 31, 2020
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 $1,034 Ticker CCAP Exchange NASDAQ Total Net Assets $560 million Net Asset Value per Share $19.88 Total Assets $1.1 billion Debt-to-Equity 0.85x BBB- (KBRA) Investment
Slide 4: Summary of Financial Results
Summary of Financial Results
Slide 5: Fourth Quarter 2020 Highlights
Fourth Quarter 2020 Highlights Fourth Quarter • Net investment income for the quarter ended December 31, 2020 was $13.2 million, or $0.47 per share, as compared to $12.2 million, or $0.43 per share, for the prior quarter. Performance • Net realized and unrealized gains on investments(1) for the quar
Slide 6: Financial Highlights
Financial Highlights $ in millions, except per share data Q4 2019 Q1 2020(1) Q2 2020 Q3 2020 Q4 2020 Net investment income per share $0.41 $0.44 $0.46 $0.43 $0.47 Net realized gains (losses) per share ($0.33) ($0.00) ($0.04) ($0.02) ($0.49) Net unrealized gains (losses) per share(2) $0.37 ($3.14) $1
Slide 7: Portfolio Highlights – Selected Metrics
Portfolio Highlights – Selected Metrics $ in millions, except per share data Q4 2019 Q1 2020(1) Q2 2020 Q3 2020 Q4 2020 Investments at Fair Value $727 $883 $895 $961 $1,034 Number of Portfolio Companies 98 127 124 128 132 Median Portfolio Company EBITDA $29 $28 $29 $29 $29 Asset Mix of Investment Po
Slide 8: Quarterly Statements of Assets and Liabilities
Quarterly Statements of Assets and Liabilities As of ($ in thousands, except per share data) 12/31/2019 3/31/2020 6/30/2020 9/30/2020 12/31/2020 Assets Investments, at fair value $726,531 $883,216 $895,234 $961,051 $1,034,001 Cash and cash equivalents 13,427 11,528 11,557 11,569 14,849 Interest rece
Slide 9: Net Asset Value per Share Bridge – Q4 2020
Net Asset Value per Share Bridge – Q4 2020 Strong Dividend Coverage and Unrealized Appreciation Drove a NAV Per Share Increase of 4.2% from September 30th $19.88 $0.47 ($0.41) $1.24 $19.07 ($0.49) $18.64 September 30, 2020 Net Investment Income Dividend Distributions Net Realized Losses on Exits Net
Slide 10: Operating Results Detail
Operating Results Detail For the Three Months Ended ($ in thousands, except per share data) 12/31/2019 3/31/2020 6/30/2020 9/30/2020 12/31/2020 Investment Income Interest & Dividend income $14,548 $18,391 $18,707 $18,674 $20,281 Other income 119 440 620 - - Total Investment Income $14,667 $18,831 $1
Slide 11: Portfolio Highlights
Portfolio Highlights
Slide 12: Disciplined Portfolio Construction
Disciplined Portfolio Construction Designed to minimize losses via strong credit and non-credit risk mitigation $1,034mm 132 $29mm Investments Portfolio companies Median portfolio at fair value(1) company EBITDA(2) 99% Sponsored 78% First Debt Lien(1) Positions(3) 79% with Financial 98% Floating Cov
Slide 13: Portfolio Diversity
Portfolio Diversity Diversification by Obligor Diversification by Industry Top 10 15 Other 18% Industries Health Care 19% Equipment & LLC / LP Services Investments Pharmaceuticals, 26% 6% Biotechnology & Life Sciences 4% ~$8mm / 0.8% Next 11-25 Average Position 20% Diversified Financials 6% Software
Slide 14: Investment Activity
Investment Activity Conservative investment strategy with 78% of portfolio in first lien loans New Investment Fundings End of Period Investments At Cost. $ in millions At Fair Value. $ in millions $1,034.0 $124.1 $961.1 7% $117.4 6% <1% $883.2 $895.2 6% 5% 7% <1% 7% 4% 5% 6% <1% 10% 5% 6% 1% 1% 10%
Slide 15: 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") 9.0% 8.1% 8.0% 7.9% 7.9% 7.9
Slide 16: Investment Portfolio Performance Ratings
Investment Portfolio Performance Ratings Improving borrower performance, proactive portfolio management and focus on recession-resistant industries have led to an improvement in CCAP’s risk ratings since the initial onset of COVID-19 Internal Performance Rating Migration % of Portfolio at Fair Value
Slide 17: Alcentra Capital Corp. Acquisition – Performance Update
Alcentra Capital Corp. Acquisition – Performance Update In January 2020, CCAP completed its strategic acquisition of Alcentra Capital Corp. In addition to providing enhanced scale and diversification, the acquired portfolio has, to date, delivered strong investment performance $ in millions $242.9 2
Slide 18: Capital Structure
Capital Structure
Slide 19: Liquidity Management
Liquidity Management Short term flexibility of $139.9 million of undrawn debt capacity as of quarter-end On February 17, 2021, CCAP agreed to issue $135 million of senior unsecured notes, improving our funding mix and further enhancing flexibility Debt Summary Debt Maturities ($ in millions) ($ in m