Sound Point Meridian Capital, Inc. · NYSE:SPMC
Sound Point Meridian Capital — Q1 2025 Earnings Presentation
28 slides from Sound Point Meridian Capital's earnings presentation, Aug 12, 2025
Slide 1: Sound Point Meridian Capital Quarterly Earnings Presentation
Sound Point Meridian Capital (“SPMC, SPMA, SPME”) Quarterly Earnings Presentation First Fiscal Quarter Ended June 30, 2025 | Page 1
Slide 2: Important Legal Disclosures
Important Legal Disclosures This presentation (“Presentation”) relating to Sound Point Meridian Capital, Inc. (the “Fund” or “SPMC”) was prepared by Sound Point Meridian Management Company LLC (together with its affiliates, “Sound Point”). This Presentation is being provided for informational purpos
Slide 3: Important Legal Disclosures
Important Legal Disclosures Comparisons to Indices and Benchmarks. The selected benchmarks (indices and comparable funds) are provided for comparative and illustrative purposes only. All index and benchmark performance information has been obtained from third-party sources and should not be relied u
Slide 4: Sound Point: Firm Overview
Sound Point: Firm Overview 2 Founded in 2008 by $42+ billion in assets Focused on providing Headquartered in New York, ~205 employees; Stephen Ketchum and 5 under management from credit solutions for our with offices in London, 85 investment 3 Principals of Stone Point, a global client base investor
Slide 5: Credit Platform: Thoughtful Synergies
Credit Platform: Thoughtful Synergies We believe Sound Point’s $42+ billion integrated credit platform1 strengthens each individual strategy and drives enhanced returns for our investors over the long-term Loans are Core to our Foundation Ability to Originate, Trade and Restructure Broad Scope Impac
Slide 6: Sound Point's Edge
Sound Point’s Edge As an experienced CLO manager, we can leverage our credit foundation and sector expertise to enhance our CLO investment process • In-house loan views from $32.7 billion credit platform1 • Institutional infrastructure and a proprietary set of analytical tools developed by Sound Poi
Slide 7: Sound Point Meridian Capital (SPMC) Overview
Sound Point Meridian Capital (“SPMC”) Overview Focused on achieving attractive risk-adjusted returns in the structured credit, CLO space1 SPMC Management Overview2 Fund Overview2 • Highly experienced investment team led by Ujjaval Desai (CEO, 29 years of experience) Diversified Across portfolio of 2
Slide 8: SPMC Portfolio Overview
SPMC Portfolio Overview1 CLO Manager Exposure2 Underlying Industry3,4 High Tech Onex Credit Partners 11% Banking, Finance, Insurance & Real 11% Blackstone Liquid Credit Estate Services: Business Strategies 10% Healthcare & Pharmaceuticals 33% 10% AGL CLO Credit Management Hotels, Gaming & Leisure Ca
Slide 9: SPMC Portfolio Overview
SPMC Portfolio Overview Summary of Underlying Portfolio Characteristics - June 30, 20251 Diversified Portfolio across 86 unique CLOs managed by 26 different CLO Managers SPMC Market Median Number of Underlying Loans 1,577 -- Aggregate Balance of Underlying Assets ($ billion) 37.94 -- Average Individ
Slide 10: SPMC Portfolio Overview
SPMC Portfolio Overview CLO Underlying Collateral Date 6/30/2024 9/30/2024 12/31/2024 3/31/2025 6/30/2025 12 Month Change Weighted Average Portfolio Spread1 364 353 344 329 326 -38 CLO Liabilities Estimated Non-Call (“NC”) End % of CLO Equity Months to RP Months to NC Estimated Refi Current WACD WAC
Slide 11: Results for the Quarter (April 1 – June 30)
Results for the Quarter (April 1 – June 30) • Net investment income was $0.53 per common share First Fiscal Quarter • Net realized loss on exited investments was ($0.01) per common share Results • Distributions paid during the quarter totaled $0.75 per common share • NAV per common share was $18.50
Slide 12: Operating Results (April – June 30)
Operating Results (April 1 – June 30) (Dollar amounts in thousands, except per share data) June 30, 2025 Summary Income Statement (For the Period From April 1 – June 30) Total Investment Income 19,211.96 Total Expenses (8,442.40) Net Investment Income 10,769.56 Change in Unrealized Gains (Losses) (9
Slide 13: Balance Sheet Detail
Balance Sheet Detail (Dollar amounts in thousands, except per share data) June 30, 2025 Assets Investments, at Fair Value (Cost: $550,375.58) 522,283.90 Cash, Cash Equivalents and Restricted Cash 1,527.54 Accrued Interest Income Receivable 48.22 Other Assets 569.77 Total Assets 524,429.43 Liabilitie
Slide 14: Quarterly Income Statement Detail
Quarterly Income Statement Detail (Dollar amounts in thousands, except per share data) April 1 – June 30, 2025 Investment Income CLO Interest Income 17,196.00 Other Interest Income 2,015.96 Total Investment Income 19,211.96 Expenses Advisor Fee 1,917.62 Incentive Fee 2,692.39 Insurance Fees 65.20 Ad
Slide 15: Supplemental Information
Supplemental Information1 (Dollars per share, Fiscal Year End is March 31) FQ1 2026 FQ4 2025 FQ3 2025 FQ2 2025 GAAP Net Investment Income 0.53 0.66 0.62 0.86 GAAP Realized Gains (Losses) (0.01) (0.08) 0.10 (0.02) GAAP Unrealized Appreciation (Depreciation) (0.05) (1.59) 0.87 (0.47) GAAP Net Income 0
Slide 16: Quarterly Per Share and Supplemental Data
Quarterly Per Share and Supplemental Data1,2 (Dollars per share, Fiscal Year End is March 31) Investment Income FQ1 2026 FQ4 2025 FQ3 2025 FQ2 2025 CLO Equity Income 0.84 0.87 0.79 0.78 Loan Accumulation Income 0.06 0.19 0.16 0.33 Other Income 0.04 0.06 0.04 0.13 Total Investment Income 0.94 1.12 0.
Slide 17: July 2025 Monthly Results Summary
July 2025 Monthly Results Summary (Dollar amounts in thousands, except per share data and common shares outstanding) July 31, 2025 Per Share Data1 Net Investment Income (Loss) 0.20 Net Income (Loss) 0.28 Net Realized Gain (Loss) - Change in Unrealized Gains (Losses) 0.08 Distributions Paid 0.25 CLO
Slide 18: Investment Positions as of June 30, 2025
Investment Positions as of June 30, 2025 Years Market Weighted Moody's Facility Junior Vintage Investment Diversity Market Remaining in Investment Value Average Rating Size Bid Depth OC Year Type Score Price Reinvestment ($000s) Spread Factor ($B) Cushion Period Market Median 3.25% 85 2,747 97.7 1,8
Slide 19: Investment Positions as of June 30, 2025
Investment Positions as of June 30, 2025 Years Market Weighted Moody's Facility Junior Vintage Investment Diversity Market Remaining in Investment Value Average Rating Size Bid Depth OC Year Type Score Price Reinvestment ($000s) Spread Factor ($B) Cushion Period Market Median 3.25% 85 2,747 97.7 1,8
Slide 20: Investment Positions as of June 30, 2025
Investment Positions as of June 30, 2025 Years Market Weighted Moody's Facility Junior Vintage Investment Diversity Market Remaining in Investment Value Average Rating Size Bid Depth OC Year Type Score Price Reinvestment ($000s) Spread Factor ($B) Cushion Period Market Median 3.25% 85 2,747 97.7 1,8
Slide 21: Investment Positions as of June 30, 2025
Investment Positions as of June 30, 2025 Years Market Weighted Moody's Facility Junior Vintage Investment Diversity Market Remaining in Investment Value Average Rating Size Bid Depth OC Year Type Score Price Reinvestment ($000s) Spread Factor ($B) Cushion Period Market Median 3.25% 85 2,747 97.7 1,8
Slide 22: Appendix: CLO Market Overview
Appendix: CLO Market Overview | Page 22
Slide 23: CLO Market Overview
CLO Market Overview As the largest buyer of senior secured, corporate loans, CLOs play an integral role in the market Representative Borrowers1 Institutional Demand for Leveraged Loans2 2% 1% CLOs 5% Banks 9% Loan Mutual Funds 8% Hedge, Distressed, and High Yield Funds 52% Insurance Companies 23% Se
Slide 24: Introduction to CLOs – The Assets
Introduction to CLOs – The Assets As the underlying collateral portfolio, corporate loans form the building blocks of CLOs Representative Corporate Capital Structure Typical Loan Characteristics % of Total Capitalization Senior: First position in corporate capital structure Senior Secured Loans 30-5
Slide 25: Corporate Loan Market Performance
Corporate Loan Market Performance Low historical defaults and higher recoveries have contributed to the strong historical performance of the loan market Morningstar Leveraged Loan Index Performance Since Inception1 60% 50% 40% 30% 20% 5.71% average return 1997 - 2024 10% 0% -10% -20% -30% 2020 2022
Slide 26: Introduction to CLO Structure
Introduction to CLO Structure We believe the CLO structure provides an effective and attractive way to invest in senior secured, corporate loans1 CLO Assets (Use of Funds) CLO Structure (Source of Funds)3 CLO Structural Features3 Diversified portfolio of primarily Actively managed, diversified senio
Slide 27: CLO Equity Performance
CLO Equity Performance CLO equity has historically realized high cash distributions and a double-digit annualized average total return CLO Equity Historical Distribution % by Quarter1 (LHS) and CLO Equity Total Return Performance, Value of $1 Invested2 (RHS) 7.0% 4.50 6.0% 4.00 11.8% Annualized CLO
Slide 28: Investor Relations
Sound Point Meridian Capital 375 Park Avenue, 34th Floor New York, New York 10152 Investor Relations ir@soundpointmeridiancap.com 833.217.6665 | Page 28
Sound Point Meridian Capital — Q1 2025 Earnings Presentation on 6ix