Oxford Lane Capital Corp · NASDAQ:OXLC
Oxford Lane Capital — Q3 FY2020 Earnings Presentation
17 slides from Oxford Lane Capital's earnings presentation, Dec 31, 2019
Slide 1: Oxford Lane Capital Corp. Investor Presentation Quarter Ended December 31, 2019
Oxford Lane Capital Corp. Investor Presentation Quarter Ended December 31, 2019
Slide 2: Disclaimer
Disclaimer This presentation is neither an offer to sell, nor a solicitation of an offer to purchase, an interest in Oxford Lane Capital Corp. (“Oxford Lane”, “OXLC” or the “Fund”). This presentation and the summaries contained herein, do not purport to be complete and no obligation to update or oth
Slide 3: Financial Highlights
Financial Highlights (FYE March 31, $ per share) 1 Q3-20 Q2-20 Q1-20 Q4-19 Q3-19 GAAP net investment income $ 0.32 $ 0.31 $ 0.35 $ 0.34 $ 0.33 GAAP realized (losses) gains $ (0.03) $ (0.04) $ (0.01) $ (0.13) $ 0.01 GAAP unrealized appreciation (depreciation) $ 0.01 $ (1.70) $ (0.56) $ 0.75 $ (2.37)
Slide 4: Summary Portfolio Highlights
Summary Portfolio Highlights Portfolio Activity Q3-20 Q2-20 Q1-20 Q4-19 Q3-19 (FYE March 31, $ in millions) New investments $ 106.4 $ 108.1 $ 138.5 $ 145.4 $ 74.1 Sales / Repayments 1 16.2 8.6 51.1 89.3 72.0 Net investment activity $ 90.2 $ 99.5 $ 87.4 $ 56.1 $ 2.1 Investment Portfolio by Asset Type
Slide 5: CLO Equity & Warehouse Investment Highlights
CLO Equity & Warehouse Investment Highlights (FYE March 31, $ in millions) Q3-20 Q2-20 Q1-20 Q4-19 Q3-19 CLO Equity Cash income producing CLO equity at original cost 1 $ 851.1 $ 685.3 $ 620.2 $ 549.5 $ 500.5 Non-cash income producing CLO equity at original cost 1,2,3 36.3 123.7 102.3 104.5 74.9 Tota
Slide 6: CLO Portfolio Summary
CLO Portfolio Summary As of Decemb er 31, 2019 Junior Tranche Interest Diversion Weighted Weighted Average Non-Call Reinvestment AAA Spread Weighted Average Diversity CLO Equity Positions CLO Vintage Year1 Tranche Type Overcollateralization Overcollateralization Average Rating Portfolio Life Period
Slide 7: CLO Portfolio Summary (Continued)
CLO Portfolio Summary (Continued) Junior Tranche Interest Diversion Weighted Weighted Average Non-Call Reinvestment AAA Spread Weighted Average Diversity CLO Equity Positions CLO Vintage Year1 Tranche Type Overcollateralization Overcollateralization Average Rating Portfolio Life Period End* Period E
Slide 8: CLO Collateral Characteristics
CLO Collateral Characteristics* 12/31/2019 9/30/2019 Number of Collateral Obligations 1 2,043 2,054 Number of Obligors 2 1,599 1,615 Top 10 Collateral Obligation Positions as % of Total Collateral3 3.84% 3.95% Collateral Weighted Average Price3 96.62% 94.99% Largest Individual Obligor Exposure3 0.84
Slide 9: CLO Portfolio Metrics
CLO Portfolio Metrics 12/31/2019 9/30/2019 1 Weighted average yield of CLO debt investments at current cost 12.4% 10.4% Weighted average effective yield of CLO equity investments at current cost 16.4% 16.4% Weighted average effective yield of total investments at current cost 16.1% 16.2% Weighted av
Slide 10: Investment Portfolio Composition
Investment Portfolio Composition* ▪ Top 30 aggregate industry exposures of the CLO vehicles represent ~99.7%1 of combined investments Top 30 Moody's Industry Exposure 1 Top 30 Moody's Industry Exposure 1 1. Healthcare & Pharmaceuticals 10.4% 16. Containers, Packaging & Glass 2.4% 2. High Tech 9.2% 1
Slide 11: Capital Structure Overview
Capital Structure Overview ($ in thousands) Principal Carrying 1 1 Cost of Debt Call Date Maturity Amount Value Series 2023 Term Preferred Stock (OXLCO) $ 90,400 $ 87,142 7.50% Callable Jun-23 Series 2024 Term Preferred Stock (OXLCM) $ 68,235 $ 66,734 6.75% 6/30/2020 Jun-24 Master Repurchase Agreeme
Slide 12: Appendix
APPENDIX
Slide 13: Investment Portfolio Composition – CLO Debt
Investment Portfolio Composition – CLO Debt 1,2 Company Investment Manager Fair Value % of Total BlueMountain CLO 2018-1 Ltd. Class F BlueMountain Capital Management $ 4,627,800 0.7% Cathedral Lake II, Ltd. Class E1R Carlson Capital $ 4,346,100 0.7% CIFC Funding 2014, Ltd. Class FR2 CIFC Asset Manag
Slide 14: Investment Portfolio Composition – CLO Equity
Investment Portfolio Composition – CLO Equity1 Company Manager Fair Value % of Total2,3 ALM XVII, Ltd. Apollo Capital Management $ 3,105,414 0.5% AMMC CLO XI, Ltd. American Money Management $ 966,000 0.1% AMMC CLO XII, Ltd. American Money Management $ 3,885,714 0.6% Anchorage Capital CLO 4-R, Ltd. A
Slide 15: Investment Portfolio Composition – CLO Equity (Continued)
Investment Portfolio Composition – CLO Equity1 (Continued) Company Manager Fair Value % of Total2,3 Midocean Credit CLO III MidOcean Credit Fund Management $ 3,996,000 0.6% Midocean Credit CLO VI MidOcean Credit Fund Management $ 15,147,000 2.3% Mountain Hawk II CLO, Ltd. Western Asset Management $
Slide 16: Reconciliation of Core Net Investment Income
Reconciliation of Core Net Investment Income We provide information relating to core net investment income (“Core NII”) (a non-GAAP measure) on a supplemental basis. This measure is not provided as a substitute for GAAP net investment income (“GAAP NII”), but in addition to it. Our non-GAAP measures
Slide 17: Corporate Information
Corporate Information Board of Directors Fiscal Year End Executive Corporate Officers Mark J. Ashenfelter - Chairman March 31 Jonathan H. Cohen Board Member and Chief Executive Officer John Reardon Saul B. Rosenthal Board Member and President David S. Shin Independent Audit Firm Bruce L. Rubin Chief
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