New Mountain Finance Corporation · NASDAQ:NMFC
New Mountain Finance — Q4 2025 Earnings Presentation
43 slides from New Mountain Finance's earnings presentation, Feb 25, 2026
Slide 1: Earnings Presentation Q4 2025
Earnings Presentation Q4 2025 February 25, 2026 14
Slide 2: Important Notices and Safe Harbor Statement
Important Notices and Safe Harbor Statement This presentation contains forward looking statements, which are not guarantees of future performance, conditions or results, and involve substantial risks and uncertainties, including the current conflict between Russia and Ukraine, conflict in the Middle
Slide 3: Important Notices and Safe Harbor Statement (cont.)
Important Notices and Safe Harbor Statement (cont.) Yield to Maturity (“YTM”) at Cost assumes that the accruing investments in our portfolio as of each date are purchased at cost on that date and held until their respective maturities with no prepayments or losses and are exited at par at maturity.
Slide 4: Today's Presenters
Today’s Presenters Steven B. Klinsky John R. Kline Laura C. Holson Kris Corbett Founder & Chairman President & CEO COO CFO Years at 26 17 16 2 4
Slide 5: New Mountain Capital Overview
New Mountain Capital Overview New Mountain Capital (“NMC”) was founded in 1999 to focus on “defensive growth” business building and deep fundamental research ~$60bn ~305 ~180 0 2bp Employees & Senior Investment Flagship Private Equity Realized Total Net Loss Rate for Assets Under Management(1) Advis
Slide 6: NMFC by the Numbers
NMFC by the Numbers New Mountain Finance Superior Credit Quality Attractive Return Profile $2.8bn ~95% 12% Green Annualized Div. Yield Portfolio Size(1) Portfolio Risk Rating as of Q2 2026(4) 17 Year Operating History 46% Avg. Loan to Value(2) 10% Annual Return Since IPO(5) Baa3 / 2bp Stable Realize
Slide 7: Chairman's Overview
Chairman’s Overview ▪ Q4 2025 adjusted net investment income (“NII”) of $0.32 covered our dividend of $0.32 per share (1) – NII was supported by recurring income, full utilization of the dividend protection program, and a $2.4 million incremental, voluntary incentive fee waiver by the manager ▪ Anno
Slide 8: Secondary Sale Announcement
Secondary Sale Announcement On February 21st, NMFC signed a definitive agreement to sell $477 million of assets across 15 portfolio companies to a third party, which accelerates progress on our strategic initiatives Increased Portfolio Diversification Reduced PIK Income Reduction of holdings in some
Slide 9: Secondary Sale Portfolio
Secondary Sale Portfolio(1) Portfolio sale decreases exposure to PIK, subordinated, and more concentrated assets Anaplan symplr Bullhorn 2% 1% DOCS 3% Benevis 15 4% 16% Portfolio Companies Associa 4% Foreside 5% ~23% Subordinated(2) Acumatica 5% 13% Dealer Tire ~33% Software insightsoftware 6% 6% ~3
Slide 10: Progress on Strategic Priorities
Progress on Strategic Priorities Strategic Focus and Target Recent Progress ▪ Maintain or increase senior assets ~81% senior assets post- ▪ Diversify top positions secondary sale, up from 75% Assets prior ‘year(2) – Target 1.5% - 2.0% maximum position(1) Top 5 positions decrease from ~17% to ~14% of
Slide 11: Defensive Growth Sector Selection
Defensive Growth Sector Selection Why NMFC? ACYCLICAL SECTORS(4) “Defensive Growth” Strategy Where NMC has deep expertise • Focused on investing in strong businesses in acyclical sectors • Achieving strong risk-adjusted returns despite Other Utility & Data Center Services economic volatility 7% 6% P
Slide 12: New Mountain Approach to Software
New Mountain Approach to Software AI Taskforce since the Significant Software Early Days of ChatGPT Proprietary AI Framework Expertise Comprised of technology investment Standardized framework to qualitatively 20+ years of industry experience by New specialists and AI thought leaders, and quantitati
Slide 13: Summary of Risk Rating Changes
Summary of Risk Rating Changes(1) Q3 2025 Risk Ratings Q4 2025 Risk Ratings (Fair Value as of 9/30/2025) (Fair Value as of 12/31/2025) 0.5% 3.2% 3.1% 2.0% 1.9% Positions representing $17m improved in Rating No positions worsened in Rating 94.5% 94.8% Weighted Average Risk Rating Mark(2) Green 99% Ye
Slide 14: Q4 2025 NAV Update
Q4 2025 NAV Update Q4 2025 NAV declined $0.54 per share (or 4.5%) compared to the prior quarter $12.06 $0.02 ($0.60) $0.05 $11.52 Net $0.58 NAV ($0.01) Per Share Decrease Company $ / Share Edmentum – $0.35 Affordable Care – $0.11 Other – $0.12 9/30/2025 Credit-Specific Broad Market Effect of Share 1
Slide 15: Credit Performance Track Record
Credit Performance Track Record ▪ Non-accruals represent just 1.4% of total portfolio fair value ▪ ~$10.4 billion of cumulative investments since IPO have generated net realized losses of just $24 million ($ in millions) As of 12/31/2025 Cumulative Since IPO (14+ years)(1) Investments Investments Fa
Slide 16: Total Value Generated for Shareholders
Cumulative Performance Since IPO(1) ($ in millions) Since IPO in 2011, NMFC has earned $1.5 billion while creating ~$1.3 billion of total value for shareholders $1,264 $1,400 NMFC has generated $1,499 million of Adj. NII, $24 million of net realized losses and $1,200 $211 million of net unrealized l
Slide 17: Credit Market Conditions
Credit Market Conditions …and provides strong value proposition to sponsors during periods Direct Lending continues to provide attractive returns… of volatility Direct Lending vs. Broadly Syndicated Spreads(1) Direct Lending vs. Broadly Syndicated Market Share(1) 100% 700 87% 84% 84% 79% 600 80% % o
Slide 18: Interest Rate Sensitivity
Interest Rate Sensitivity Continuing to migrate our fixed / floating liability mix to better align with our asset mix Asset Mix Liability Mix Pro Forma Liability Mix(3) (Aggregate par value of ($1,687 million drawn as of 12/31/2025)(2) (See footnote disclosure) $2,304 million as of 12/31/2025)(1) Fi
Slide 19: Q4 2025 Portfolio Activity
Q4 2025 Portfolio Activity ($ in millions) Type of Company Industry $ Invested Investment Spread Total Originations $29.5 (1) Repayments OEConnection Business Services - Data & Information Services $(47.5) First Lien S + 5.25% Paradigm Software Software - ERP (25.5) First Lien S + 6.00% Calabrio Sof
Slide 20: Portfolio Mix by Type
Portfolio Mix by Type (Fair Value as of 12/31/2025)(2) Pro forma for the secondary sale, ~81% of the portfolio is senior in nature(3) Common Equity & Other Positions(4) Common Equity & Other Positions(4) Preferred Subordinated 4% 6% Company FMV 2nd Lien 4% Benevis $30.4 5% Equity Co-invests 21.8 Oth
Slide 21: Diverse Portfolio (By Fair Value as of 12/31/2025)
Diverse Portfolio (By Fair Value as of 12/31/2025)(1) Pro forma for the secondary sale, top 10 portfolio companies represent $521.5 million, or 22.8%, of consolidated investments(2)(3) Benevis UniTek 3.6% 3.2% Permian 2.8% SmartSheet 2.4% Associa 2.0% Model N 1.9% Deca Dental Top 1.9% 10 Po Edmentum
Slide 22: Balance Sheet Highlights
Balance Sheet Highlights Quarter Ended ($ in millions, except per share data) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 Assets Portfolio $3,104.5 $3,047.7 $3,014.2 $2,957.1 $2,755.5 Cash & Equivalents 80.3 85.5 57.4 63.7 80.7 (1) Other Assets 61.9 63.5 88.1 68.1 66.7 Total Assets $3,246.7
Slide 23: Income Statement Highlights (Quarterly)
Income Statement Highlights (Quarterly) Quarter Ended ($ in millions, except per share data) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 Investment Income Interest income $67.3 $61.5 $62.9 $59.4 $56.3 Dividend income 21.1 20.8 19.2 19.1 18.7 Other income 2.7 3.2 1.3 1.9 2.3 Total investment
Slide 24: Investment Income Detail
Investment Income Detail Quarter Ended ($ in millions) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 Investment Income Build Cash Interest and Dividend Income $57.8 $54.3 $52.2 $50.7 $47.3 (1) SLP and Net Lease Income 11.7 12.1 11.7 11.7 11.7 Recurring Cash Investment Income $69.5 $66.4 $63.9
Slide 25: Investment Income Mix
Investment Income Mix Our investment income continues to be predominantly paid in cash PIK Interest / Dividend Income via Modification(2) Other(3) 77% of investment income is cash and only 3% 4% of investment income is generated from 4% PIK Interest / Dividend Income via Origination(1) PIK via modif
Slide 26: Dividend Summary and Coverage
Dividend Summary and Coverage ▪ Declared a Q1 dividend of $0.32 per share (payable in March 2026) ▪ Investment Adviser has pledged to reduce its incentive fee to 15% through Q4 2026 to support the quarterly dividend ▪ Upon expiration of our dividend protection program at the end of 2026, we plan to
Slide 27: Leverage Profile
Leverage Profile (As of 1/30/2026(1), Outstanding Percentage of $ in millions) / Facility Size Interest Rate(2) Maturity Outstanding NMFC Credit Facility $171(3) / $527 Base Rate + 1.90%(4) September 2029 10.1% Corporate Revolving Credit Facilities $171 / $527 Base Rate + 1.90%(4) 10.1% Holdings Cre
Slide 28: Leverage Maturity Schedule
Leverage Maturity Schedule(1) (As of 1/30/2026(2), $ in millions) $490 $466 $388 $19 $13 $116 $300 $208 $75 $145 $18 $350 $300 $30 $190 $171 $115 2026 2027 2028 2029 2030 % of Total 12.2% 22.9% 8.6% 28.9% 27.5% Outstanding Holdings Credit Facility (3) NMFC Credit Facility 6.200% Unsecured Notes Seri
Slide 29: Appendix
NIM] NEw MOUNTAIN FINANCE CORPORATION Appendix
Slide 30: Appendix A: Key Highlights
Appendix A: Key Highlights Financial Highlights Quarter Ended 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 Adjusted NII Per Share(1) $0.32 $0.32 $0.32 $0.32 $0.32 NAV Per Share $12.55 $12.45 $12.21 $12.06 $11.52 Dividends Per Share $0.32 $0.32 $0.32 $0.32 $0.32 (2) Pro Forma Statutory Debt /
Slide 31: Appendix B: Income Statement Highlights (Annual)
Appendix B: Income Statement Highlights (Annual) Year Ended ($ in millions, except per share data) 12/31/2023 12/31/2024 12/31/2025 Investment Income Interest income $290.8 $276.2 $240.1 Dividend income 72.5 83.8 77.8 Other income 10.5 11.2 8.7 Total investment income $373.8 $371.2 $326.6 Expenses (
Slide 32: Appendix C: Portfolio – Risk Ratings
Appendix C: Portfolio – Risk Ratings (FMV as of 12/31/2025) ($ in millions / company count) $43 / 3 $74 / 7 Software $23 / 1 Healthcare $54 / 5 Business Characteristics(2) (A = Best; C = Worst) Business Services $20 / 2 Education $18 / 1 C Sierra Hamilton $2 / 1 $159 / 7 $710 / 22 $12 / 2 $15 / 2 So
Slide 33: Appendix D: Risk Rating Migration from Prior Quarter
Appendix D: Risk Rating Migration from Prior Quarter (FMV as of 12/31/2025) ($ in millions / company count) Business Characteristics(2) (A = Best; C = Worst) C B Healthcare Consumer Products $2 / 1 $14 / 1 A ** Excludes Green to Green Migration ** Tier 4 Tier 3 Tier 2 Tier 1 Operating Performance(1)
Slide 34: Appendix E: Portfolio Mix as of 12/31/2025
Appendix E: Portfolio Mix as of 12/31/2025(1) Portfolio Mix by Type Portfolio Concentration Common Equity & Benevis Other Positions(3) Dealer Tire Preferred 5.6% Alliance Animal Health 3.2% 3.0% UniTek Subordinated 2.7% Permian 4% 2nd Lien 6% 2.3% Associa 4% 2.3% Mercer 5% 2.1% Advisors Net 2.0% Sma
Slide 35: Appendix F: Q4 2025 Investment Activity Roll
Appendix F: Q4 2025 Investment Activity Roll YTM at Cost(1) / Purchase(2) 11.8% 10.4% 10.4% 10.5% 9.1% 9/30/2025 9/30/2025 Q4 Originations Q4 Sales & 12/31/2025 PF for 12/31/2025 Repayments Base Rate Changes(3) Cost ($m)(4) $3,092.3 $3,092.3 $29.5 $194.9 $2,942.1 1 Assumes that investments are purch
Slide 36: Appendix G: Portfolio Company EBITDA and Credit Statistics
Appendix G: Portfolio Company EBITDA and Credit Statistics (Dollars in millions) Portfolio Weighted Average EBITDA(1) $200 $184 $180 $181 $176 $180 $170 $160 $140 $120 $100 $80 $60 $40 $20 $0 Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 Portfolio Credit Statistics(2)(3) 10.0x 9.0x 8.0x 7.0x 6.3x 6.4x 6.5x 6.5x 6.2
Slide 37: Appendix H: Income Reconciliation
Appendix H: Income Reconciliation (in millions, except per share data) Year Ended (unaudited) IPO - 12/31/17 12/31/18 12/31/19 12/31/20 12/31/21 12/31/22 12/31/23 12/31/24 12/31/25 GAAP net investment income ("NII") $490.5 $106.0 $117.2 $117.3 $118.8 $119.6 $159.9 $146.0 $136.4 Non-controlling inter
Slide 38: Appendix I: Performance Since IPO Detail
Appendix I: Performance Since IPO Detail IPO - (1) ($ in millions) 12/31/2017 2018 2019 2020 2020 2022 2023 2024 2025 Regular & Supplemental Dividend(2) $475.1 $103.4 $117.4 $120.1 $116.5 $122.4 $154.8 $147.2 $135.7 Cumulative Regular & Supplemental Dividend 475.1 578.5 695.9 816.0 932.5 1,054.9 1,2
Slide 39: Appendix J: Capital Structure Snapshot
Appendix J: Capital Structure Snapshot(1) Focus on maintaining healthy unsecured debt mix, while increasing liquidity and asset coverage 1.21x 58% 178% Statutory Leverage as Asset Coverage Unsecured Debt(3) of 12/31(2) Ratio(4) 2.1x 3.4x 251% Coverage of unfunded Fixed Charge Asset Coverage for inve
Slide 40: Appendix K: Capital Structure Philosophy
Appendix K: Capital Structure Philosophy Committed to consistently accessing Unsecured Debt Markets Unsecured ▪ NMFC has issued multiple series of unsecured debt: $200 million in 2021, $275 million in 2022, $175 Issuances million in 2023 and $600 million in 2024 – Includes two Public Investment Grad
Slide 41: Appendix L: Credit Performance
Appendix L: Credit Performance (2) (2) (2) NMFC Leverage Ratio NMFC Leverage Ratio NMFC Leverage Ratio Variance Variance Variance (1) (1) (1) Company / Asset Type (Vintage) Purchase Current + / (-) Company / Asset Type (Vintage) Purchase Current + / (-) Company / Asset Type (Vintage) Purchase Curren
Slide 42: Appendix M: Broad Industry Analyst Coverage
Appendix M: Broad Industry Analyst Coverage Bank of America Securities B Riley J.P. Morgan – Fixed Income Keefe, Bruyette & Woods Derek Hewett Sean Paul-Adams Kabir Caprihan Paul Johnson Lucid Capital Markets Oppenheimer & Co. Raymond James Wells Fargo Securities Ethan Kaye Mitchel Penn Robert Dodd
Slide 43: INIMIF]
INIMIF] New MountTAIN FINANCE CORPORATION