Fs Kkr Capital Corp. · NYSE:FSK
Fs Kkr Capital — Q2 2024 Earnings Presentation
16 slides from Fs Kkr Capital's earnings presentation, Aug 7, 2024
Slide 1: FS KKR Capital Corp. Financial Information, Quarter Ended June 30, 2024
F S KKR Cap i t al Co rp . Financial Information Quarter Ended June 30, 2024 All information is as of June 30, 2024 unless otherwise noted
Slide 2: Summary of Quarterly Results
Summary of Quarterly Results • Net investment income (NII) for the quarter ended June 30, 2024 was $215 million, or $0.77 per share, as compared to $212 million, or $0.76 per share, for the quarter ended March 31, 2024. • Adjusted net investment income (Adjusted NII) for the quarter ended June 30, 2
Slide 3: Financial Results
Financial Results (Dollar amounts in millions, except per share data) 6/30/23 9/30/23 12/31/23 3/31/24 6/30/24 NII per share $0.82 $0.84 $0.71 $0.76 $0.77 Adjusted NII per share(1) $0.78 $0.80 $0.75 $0.73 $0.75 Net realized and unrealized gains (losses) per share ($0.31) $0.11 ($0.39) ($0.14) ($0.39
Slide 4: Portfolio Highlights
Portfolio Highlights As of and for Three Months Ended (Dollar amounts in millions) 6/30/23 9/30/23 12/31/23 3/31/24 6/30/24 Investment at Fair Value: First Lien Senior Secured Loans 59.5% 59.8% 58.2% 57.0% 58.1% Second Lien Senior Secured Loans 7.9% 7.5% 7.5% 7.1% 6.6% Other Senior Secured Debt 0.9%
Slide 5: FSK Investment Portfolio Overview
FSK Investment Portfolio Overview Investment Portfolio Summary Security Exposure (by fair value) $14.1bn Portfolio Fair Value 6.2% 1.5% Senior Secured Loans—First Lien 9.8% Senior Secured Loans—Second Lien Other Senior Secured Debt 208 Portfolio Companies Subordinated Debt 14.4% Asset Based Finance
Slide 6: Quarterly Investment Activity
Quarterly Investment Activity Asset Mix of New Purchases(1) $1,444 $1,260 69% $680 81% $504 (2) 3% $363 59% 3% 3% 1% 2% 92% 1% 83% 5% 24% 1% 6% 37% 10% 2% 1% 16% 1% 0% Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Portfolio Roll ($ in millions) 6/30/23 9/30/23 12/31/23 3/31/24 6/30/24 Investment Purchases
Slide 7: Net Asset Value Bridge
Net Asset Value Bridge $0.77 ($0.70) ($0.05) ($0.39) $24.32 $24.32 $24.39 $24.34 $23.95 $23.95 3/31/2024 Net Investment Regular & Supplemental Special Distribution Net Realized 6/30/2024 NAV Income Distribution & Unrealized Losses NAV Note: Per share data derived using the weighted average shares ou
Slide 8: Capital Structure: Overview
Capital Structure: Overview Key Highlights Capital Structure Overview • 1.09x Net Debt-to-Equity as of June 30, 2024, compared to 1.09x as of March 31, 2024(1) Funding Source Committed Outstanding Undrawn Maturity Wtd. Avg. Rate Senior Secured Revolver due 2028 4,595 687 3,885(3) 10/31/2028 S+1.75%
Slide 9: Credit Opportunities Partners JV, LLC Overview
Credit Opportunities Partners JV, LLC Overview FSK’s joint venture with South Carolina Retirement 6.3% Senior Secured Loans—First Lien Systems Group Trust (SCRS) 0.2% 12.9% Senior Secured Loans—Second Lien 0.8% Primarily senior secured assets Security Exposure 3.8% Other Senior Secured Debt (by fair
Slide 10: Direct Origination Investments EBITDA and Credit Statistics
Direct Origination Investments EBITDA and Credit Statistics Direct Origination Portfolio Company EBITDA Direct Origination Portfolio Company Coverage Ratios $236.4 7.0x $224.7 $217.7 $212.4 6.1x 6.1x $207.4 6.0x 6.0x 6.0x 6.0x 6.0x 6.0x $203.8 $202.9 $202.1 5.9x 5.9x 5.9x 6.0x 5.6x 5.6x $182.2 $178.
Slide 11: Appendix
APPENDIX FSK | FS KKR Capital Corp.
Slide 12: Operating Results
Operating Results For The Three Months Ended (Dollar amounts in millions, except per share data) 6/30/23 9/30/23 12/31/23 3/31/24 6/30/24 Total investment income $462 $465 $447 $434 $439 Net expenses (233) (231) (225) (222) (224) Net investment income before taxes $229 $234 $222 $212 $215 Excise tax
Slide 13: Operating Results Detail
Operating Results Detail For The Three Months Ended (Dollar amounts in millions, except per share data) 6/30/23 9/30/23 12/31/23 3/31/24 6/30/24 Investment income: Interest income $320 $316 $332 $315 $310 Payment-in-kind interest income 56 58 36 35 43 Fee income 6 12 12 17 18 Total dividend and othe
Slide 14: Balance Sheet
Balance Sheet As of (Dollar amounts in millions, except per share data) 6/30/23 9/30/23 12/31/23 3/31/24 6/30/24 Assets Total investments, at fair value $14,764 $14,666 $14,649 $14,221 $14,087 Cash 225 171 223 234 408 Foreign currency, at fair value 49 5 8 8 25 Receivable for investments sold and re
Slide 15: Quarterly Gain/Loss Information
Quarterly Gain/Loss Information For The Three Months Ended (Dollar amounts in millions, except per share data) 6/30/23 9/30/23 12/31/23 3/31/24 6/30/24 Realized gain/loss Net realized gain (loss) on investments: Non-controlled/unaffiliated investments ($39) ($50) - ($225) ($65) Non-controlled/affili
Slide 16: Important Disclosure Notice
Important Disclosure Notice Forward-Looking Statements Statements included herein may constitute “forward-looking” statements as that term is defined in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended, i