Golub Capital Bdc, Inc. · NASDAQ:GBDC
Golub Capital Bdc — Q3 2016 Earnings Presentation
16 slides from Golub Capital Bdc's earnings presentation, Aug 3, 2016
Slide 1: Golub Capital BDC, Inc. Investor Presentation
0 GOLUB CAPITAL BDC, INC. INVESTOR PRESENTATION Quarter Ended June 30, 2016 GOLUBCAPITALBDC.COM GBDC
Slide 2: Disclaimer
1 DISCLAIMER Some of the statements in this presentation constitute forward - looking statements, which relate to future events or our future performance or financial condition. The forward - looking statements contained in this presentation involve risks and uncertainties, including statements as t
Slide 3: Summary of Quarterly Results
2 SUMMARY OF QUARTERLY RESULTS Third Fiscal Quarter 2016 Highlights Net increase in net assets resulting from operations (i.e. net income) for the quarter ended June 30, 2016 was $18.3 million, or $0.35 per share, as compared to $14.2 million, or $0.28 per share, for the quarter ended March 31, 2016
Slide 4: Portfolio Highlights
Percentage of Principal (Loans) 98.8% 98.6% 98.7% 98.5% 98.6% 1. As a supplement to GAAP financial measures, the Company has provided this non - GAAP performance result. The Company believes that this non - GAAP financial measure is useful as it excludes the accrual of the capital gain incentive fee
Slide 5: Portfolio Highlights – New Originations
4 PORTFOLIO HIGHLIGHTS – NEW ORIGINATIONS Originations and Net Funds Growth New investment commitments totaled $156.0 million for the quarter ended June 30, 2016. Total investments at fair value increased by 1.0%, or $16.8 million, for the quarter ended June 30, 2016 from March 31, 2016. During the
Slide 6: Portfolio Highlights – Portfolio Diversity
5 $1,571 $1,530 $1,528 $1,612 $1,629 $- $200 $400 $600 $800 $1,000 $1,200 $1,400 $1,600 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 6 % 4 % <1% PORTFOLIO HIGHLIGHTS ― PORTFOLIO DIVERSITY AS OF JUNE 30, 2016 11% 18% 16% 10% 9% 8% 4% 4% 3% 3% 3% 7% 15% Healthcare, Education and Childcare – 18% Diversified
Slide 7: Portfolio Highlights – Spread Analysis
6 8.4% 8.8% 8.2% 8.0% 8.2% 7.6% 8.0% 7.6% 7.6% 7.6% 3.2% 3.2% 3.3% 3.3% 3.3% 5.2% 5.6% 4.9% 4.7% 4.9% 0.3% 0.3% 0.6% 0.6% 0.7% 0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0% 8.0% 9.0% 10.0% Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Investment income yield Income yield Weighted average cost of debt Weighted a
Slide 8: Portfolio Highlights – Credit Quality
7 PORTFOLIO HIGHLIGHTS – CREDIT QUALITY Credit Quality – Investment Portfolio Fundamental credit quality at June 30, 2016 remains strong with non - accrual investments as a percentage of total investments at cost and fair value of 0.3% and 0.1%, respectively. These percentages improved from March 31
Slide 9: Portfolio Highlights – Portfolio Ratings
8 PORTFOLIO HIGHLIGHTS – PORTFOLIO RATINGS Rating Definition 5 Borrower is performing above expectations and the trends and risk factors are generally favorable 4 Borrower is generally performing as expected and the risk factors are neutral to favorable 3 Borrower may be out of compliance with debt
Slide 10: Quarterly Statements of Financial Condition
9 QUARTERLY STATEMENTS OF FINANCIAL CONDITION As of ( Dollar amounts in thousands , except per share data) June 30, 2016 (unaudited) March 31, 2016 (unaudited) December 31, 2015 (unaudited) September 30, 2015 (audited) June 30, 2015 (unaudited) Assets Investments, at fair value $ 1,628,509 $ 1,611,7
Slide 11: Quarterly Operating Results
10 QUARTERLY OPERATING RESULTS For the three months ended ( Dollar amounts in thousands , except share and per share data) June 30, 2016 (unaudited) March 31, 2016 (unaudited) December 31, 2015 (unaudited) September 30, 2015 (unaudited) June 30, 2015 (unaudited) Investment Income Interest income $ 3
Slide 12: Financial Performance Highlights
11 9.2% 9.5% 10.1% 7.0% 9.0% 8.0% 8.0% 8.0% 8.0% 8.0% 7.7% 7.6% 7.3% 8.3% 7.8% 6% 8% 10% 12% Q3'15 Q4'15 Q1'16 Q2'16 Q3'16 Net Income NII before accrual for capital gain incentive fee NII $14.58 $14.60 $14.66 $14.80 $15.12 $15.21 $15.23 $15.41 $15.44 $15.55 $15.55 $15.61 $15.74 $15.80 $15.89 $15.85
Slide 13: Portfolio Highlights – Senior Loan Fund LLC
12 PORTFOLIO HIGHLIGHTS – SENIOR LOAN FUND LLC The annualized quarterly return for the quarter ended June 30, 2016 was 12.6%. Total investments at fair value for the quarter ended June 30, 2016 were $350.6 million, a decrease of 2.9%, or $10.3 million , f rom March 31, 2016. SLF purchased $29.4 mill
Slide 14: Liquidity and Investment Capacity
13 LIQUIDITY AND INVESTMENT CAPACITY Cash and Cash Equivalents Unrestricted cash and cash equivalents totaled $3.2 million as of June 30, 2016. Restricted cash and cash equivalents totaled $58.7 million as of June 30, 2016. Restricted cash is held in our securitizatio n v ehicles, SBIC subsidiaries
Slide 15: Debt Facilities and Securitization Tranches
14 Tranche Rating (M/S) Par Amount ($mm) Interest Rate Stated Maturity Reinvestment Period Class A - 1 Notes Aaa/AAA $191.0 3 Month LIBOR + 1.75% April 25, 2026 April 28, 2018 Class A - 2 Notes Aaa/AAA $20.0 3 Month LIBOR + 1.95% April 25, 2026 April 28, 2018 Class B Notes Aa2/AA $35.0 3 Month LIBOR
Slide 16: Common Stock and Distribution Information
15 COMMON STOCK AND DISTRIBUTION INFORMATION Common Stock Data Distribution Data Date Declared Record Date Payment Date Amount Per Share Total Amount (in thousands) May 6, 2014 June 16, 2014 June 27, 2014 $0.32 $15,048 August 5, 2014 September 16, 2014 September 26, 2014 $0.32 $15,061 November 17, 2