Golub Capital BDC, Inc. · NASDAQ:GBDC
Golub Capital BDC — Q4 2016 Earnings Presentation
17 slides from Golub Capital BDC's earnings presentation, Sep 30, 2016
Slide 1: Golub Capital BDC, Inc. Investor Presentation
GBDC GOLUB CAPITAL BDC, INC. INVESTOR PRESENTATION Quarter Ended September 30, 2016 GOLUBCAPITALBDC.COM 0
Slide 2: Disclaimer
DISCLAIMER Some of the statements in this presentation constitute forward-looking Such forward-looking statements may include statements preceded statements, which relate to future events or our future performance or by, followed by or that otherwise include the words “may,” “might,” financial condi
Slide 3: Summary of Quarterly Results
SUMMARY OF QUARTERLY RESULTS Fourth Fiscal Quarter 2016 Highlights Net increase in net assets resulting from operations (i.e. net income) for the quarter ended September 30, 2016 was $16.1 million, or $0.30 per share, as compared to $18.3 million, or $0.35 per share, for the quarter ended June 30, 2
Slide 4: Financial Highlights
FINANCIAL HIGHLIGHTS Q4 2016 Q3 2016 Q2 2016 Q1 2016 Q4 2015 Earnings per share $ 0.30 $ 0.35 $ 0.28 $ 0.40 $ 0.38 Net investment income per share 0.32 0.31 0.33 0.29 0.30 Accrual for capital gain incentive fee per share 0.00 0.01 (0.01) 0.03 0.02 Net investment income before capital gain incentive
Slide 5: Portfolio Highlights – New Originations
PORTFOLIO HIGHLIGHTS – NEW ORIGINATIONS Originations and Net Funds Growth New investment commitments totaled $179.4 million for the quarter ended September 30, 2016. Total investments at fair value increased by 2.0%, or $32.1 million, for the quarter ended September 30, 2016 from June 30, 2016. Duri
Slide 6: Portfolio Highlights – Portfolio Diversity as of September 30, 2016
PORTFOLIO HIGHLIGHTS ― PORTFOLIO DIVERSITY AS OF SEPTEMBER 30, 2016 Historical Investment Portfolio ($mm) Diversity by Investment Size $1,661 $1,612 $1,629 SLF $1,530 $1,528 7% 6% $1,600 7% 7% 4% 4% 6% 6% 4% <1% 2% Top 10 4% 4% <1% $1,400 <1% <1% 2% 2% Investments 3% 3% $1,200 19% $1,000 Remaining $
Slide 7: Portfolio Highlights – Spread Analysis
PORTFOLIO HIGHLIGHTS – SPREAD ANALYSIS 10.0% Portfolio Rotation – Q4 Q3 Q2 Q1 Q4 8.8% Debt Investments 2016 2016 2016 2016 2015 9.0% 8.5% 8.2% 8.2% 8.0% Weighted average interest 8.0% 7.6% 7.2% 7.2% 6.7% 6.8% rate of new investments 1,2 8.0% 7.8% 7.0% 7.6% 7.6% 7.6% Weighted average interest rate on
Slide 8: Portfolio Highlights – Credit Quality
PORTFOLIO HIGHLIGHTS – CREDIT QUALITY Credit Quality – Investment Portfolio Fundamental credit quality at September 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. Nearly 90% of the investments in our po
Slide 9: Portfolio Highlights – Portfolio Ratings
PORTFOLIO HIGHLIGHTS – PORTFOLIO RATINGS Strong Portfolio Risk Ratings September 30, 2016 June 30, 2016 March 31, 2016 Internal Investments at % of Investments at % of Investments at % of Performance Rating Fair Value (in thousands) Total Portfolio Fair Value (in thousands) Total Portfolio Fair Valu
Slide 10: Quarterly Statements of Financial Condition
QUARTERLY STATEMENTS OF FINANCIAL CONDITION As of (In thousands, except share September 30, 2016 June 30, 2016 March 31, 2016 December 31, 2015 September 30, 2015 and per share data) (audited) (unaudited) (unaudited) (unaudited) (audited) Assets Investments, at fair value $ 1,660,612 $ 1,628,509 $ 1
Slide 11: Quarterly Operating Results
QUARTERLY OPERATING RESULTS For the three months ended (In thousands, except share September 30, 2016 June 30, 2016 March 31, 2016 December 31, 2015 September 30, 2015 and per share data) (unaudited) (unaudited) (unaudited) (unaudited) (unaudited) Investment Income Interest income $ 32,615 $ 30,867
Slide 12: Financial Performance Highlights
FINANCIAL PERFORMANCE HIGHLIGHTS Quarterly EPS Composition Annualized Return on Average Equity2,3 $0.50 12% $0.40 $0.38 $0.40 $0.35 10.1% $0.32 $0.32 $0.32 $0.32 $0.32 $0.30 10% 9.5% $0.28 9.0% $0.30 8.3% 8.0% 8.0% 8.0% $0.20 8.0% 8% 8.0% 8.0% $0.10 7.8% 7.6% 7.5% 7.3% 7.0% $0.00 6% Q4'15 Q1'16 Q2'1
Slide 13: Portfolio Highlights – Senior Loan Fund LLC
PORTFOLIO HIGHLIGHTS – SENIOR LOAN FUND LLC The annualized quarterly return for the quarter ended September 30, 2016 was 3.0%. The quarterly return was negatively impacted primarily as a result of a mark-to-market unrealized loss on one middle-market loan. Total investments at fair value for the qua
Slide 14: Liquidity and Investment Capacity
LIQUIDITY AND INVESTMENT CAPACITY Cash and Cash Equivalents Unrestricted cash and cash equivalents totaled $10.9 million as of September 30, 2016. Restricted cash and cash equivalents totaled $78.6 million as of September 30, 2016. Restricted cash is held in our securitization vehicles, SBIC subsidi
Slide 15: Liquidity and Investment Capacity
LIQUIDITY AND INVESTMENT CAPACITY Common Stock Issuances Private Placement – On July 18, 2016, we entered into a Securities Purchase Agreement for the sale of 1,433,486 shares of our common stock to a third party institutional investor at a price per share of $17.44. Proceeds in cash of $25.0 millio
Slide 16: Debt Facilities
DEBT FACILITIES 2010 Debt Securitization Par Amount Tranche Rating (M/S) ($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 Issued1 $205.0 2014 Debt Securitization Par Amount Tranche Rating (M/S) ($m
Slide 17: Common Stock and Distribution Information
COMMON STOCK AND DISTRIBUTION INFORMATION Common Stock Data Fiscal Year Ended September 30, 2015 High Low End of Period First Quarter $18.15 $16.15 $17.93 Second Quarter $18.04 $17.05 $17.55 Third Quarter $17.90 $16.56 $16.56 Fourth Quarter $17.13 $15.90 $15.98 Fiscal Year Ended September 30, 2016 F