Golub Capital Bdc, Inc. · NASDAQ:GBDC
Golub Capital Bdc — Q3 FY2018 Earnings Presentation
17 slides from Golub Capital Bdc's earnings presentation, Aug 8, 2018
Slide 1: Golub Capital BDC, Inc. Investor Presentation Quarter Ended June 30, 2018
GOLUB CAPITAL BDC, INC. INVESTOR PRESENTATION QUARTER ENDED JUNE 30, 2018
Slide 2: Disclaimer
Disclaimer Some of the statements in this presentation constitute forward-looking statements, Such forward-looking statements may include statements preceded which relate to future events or our future performance or financial condition. The by, followed by or that otherwise include the words “may,”
Slide 3: Summary of Quarterly Results
Summary of Quarterly Results Third Fiscal Quarter 2018 Highlights − Net increase in net assets resulting from operations (i.e. net income) for the quarter ended June 30, 2018 was $21.7 million, or $0.36 per share, as compared to $23.0 million, or $0.39 per share, for the quarter ended March 31, 2018
Slide 4: Financial Highlights
Financial Highlights Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Earnings per share $ 0.35 $ 0.38 $ 0.36 $ 0.39 $ 0.36 Net investment income per share 0.31 0.31 0.31 0.31 0.31 Accrual for capital gain incentive fee per share 0.01 0.01 0.01 0.01 0.02 Net investment income before accrual for capital gain
Slide 5: New Originations
Portfolio Highlights – New Originations Originations and Net Funds Growth − New investment commitments totaled $198.5 million for the quarter ended June 30, 2018. − Total investments at fair value increased by 2.2%, or $38.7 million, as of June 30, 2018 from March 31, 2018. Select Portfolio Funds Ro
Slide 6: Diversity: Investment Portfolio
Portfolio Highlights – Portfolio Diversity as of June 30, 2018 Investment Portfolio $1,706mm1 // 192 Investments1 – Average Size $8.9mm Historical Investment Portfolio ($mm) $2,000 $1,802 $1,799 $1,760 $1,800 $1,723 6% 5% $1,685 5% 5% 2% 3% 6% 3% $1,600 3% 1% 3% 1% 1% 1% 1% Inv. in SLF $1,400 Equity
Slide 7: Diversity by Investment Size and Industry
Portfolio Highlights – Portfolio Diversity as of June 30, 2018 Diversity by Investment Size Industry Diversity of Investments SLF Top 10 5% Investments Diversified/Conglomerate Service 24% 20% Healthcare, Education and Childcare 21% Retail Stores 6% Electronics 6% Top 25 Investments Beverage, Food a
Slide 8: Spread Analysis
Portfolio Highlights – Spread Analysis 10.0% Portfolio Rotation – Q3 Q4 Q1 Q2 Q3 9.1% 8.7% 8.8% Debt Investments 2017 2017 2018 2018 2018 9.0% 8.5% 8.5% Weighted average interest rate 7.3% 7.3% 7.5% 8.4% 7.8% 8.0% 8.5% of new investments 1 8.2% 7.9% 7.8% 7.9% 7.0% Weighted average interest rate on i
Slide 9: Credit Quality
Portfolio Highlights – Credit Quality Credit Quality – Investment Portfolio − Fundamental credit quality as of June 30, 2018 remained strong with over 90% of the investments in our portfolio having an Internal Performance Rating1 of 4 or higher as of June 30, 2018. − During the quarter ended June 30
Slide 10: Portfolio Risk Ratings
Portfolio Highlights – Portfolio Ratings Portfolio Risk Ratings December 31, 2017 March 31, 2018 June 30, 2018 Investments at % of Investments at % of Investments at % of Internal Fair Value Total Fair Value Total Fair Value Total Performance Rating (000s) Portfolio (000s) Portfolio (000s) Portfolio
Slide 11: Quarterly Statements of Financial Condition
Quarterly Statements of Financial Condition As of (Dollar amounts in 000s, June 30, 2017 September 30, 2017 December 31, 2017 March 31, 2018 June 30, 2018 except per share data) (unaudited) (audited) (unaudited) (unaudited) (unaudited) Assets Investments, at fair value $ 1,801,808 $ 1,685,015 $ 1,72
Slide 12: Quarterly Operating Results
Quarterly Operating Results For the three months ended (Dollar amounts in 000s, June 30, 2017 September 30, 2017 December 31, 2017 March 31, 2018 June 30, 2018 except share and per share data) (unaudited) (unaudited) (unaudited) (unaudited) (unaudited) Investment Income Interest income $ 33,249 $ 33
Slide 13: Financial Performance Highlights
Financial Performance Highlights Quarterly Distributions Annualized Return on Average Equity1 $0.50 12% $0.40 $0.40 $0.08 9.7% $0.30 10% 9.3% 5 qtr. 8.8% 8.8% 9.0% wtd. avg.: $0.20 9.1% $0.32 $0.32 $0.32 $0.32 $0.32 8% $0.10 $0.00 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 6% Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 Regula
Slide 14: Senior Loan Fund LLC
Portfolio Highlights – Senior Loan Fund LLC − The annualized quarterly return was 6.2% for the quarter ended June 30, 2018. The quarterly return was negatively impacted by mark-to- market unrealized losses on two portfolio company investments and below target leverage. − Total investments at fair va
Slide 15: Liquidity and Investment Capacity
Liquidity and Investment Capacity Cash and Cash Equivalents − Unrestricted cash and cash equivalents totaled $6.9 million as of June 30, 2018. − Restricted cash and cash equivalents totaled $65.3 million as of June 30, 2018. Restricted cash is held in our securitization vehicles, SBIC subsidiaries a
Slide 16: Debt Facilities
Debt Facilities* 2010 Debt Securitization Par Amount Tranche Rating (M/S) ($mm) Interest Rate Stated Maturity Reinvestment Period Class A-Refi Notes Aaa/AAA $205.0 3-Month LIBOR + 1.90% July 20, 2023 July 20, 2018 Total Notes Issued 1,2 $205.0 2014 Debt Securitization Par Amount Tranche Rating (M/S)
Slide 17: Common Stock and Distribution Information
Common Stock and Distribution Information Common Stock Data Fiscal Year Ended September 30, 2017 High Low End of Period First Quarter $18.76 $17.55 $18.39 Second Quarter $19.88 $18.38 $19.88 Third Quarter $20.44 $19.10 $19.12 Fourth Quarter $19.71 $18.24 $18.82 Fiscal Year Ending September 30, 2018