Blackstone Secured Lending Fund · NYSE:BXSL
Blackstone Secured Lending Fund — Q3 2022 Earnings Presentation
20 slides from Blackstone Secured Lending Fund's earnings presentation, Nov 10, 2022
Slide 1: Blackstone Secured Lending Fund Reports Third Quarter 2022 Results
Blackstone Secured Lending Fund Reports Third Quarter 2022 Results NEW YORK — November 10, 2022 — Blackstone Secured Lending Fund (NYSE: BXSL, or the “Company”) today reported its third quarter 2022 results. Brad Marshall, Chief Executive Officer of Blackstone Secured Lending Fund, said, “BXSL repor
Slide 2: About BXSL and Forward-Looking Statements
For those unable to listen to the live broadcast, there will be a webcast replay on the Shareholders section of BXSL’s website at https://ir.bxsl.com. About Blackstone Secured Lending Fund Blackstone Secured Lending Fund (NYSE:BXSL) is a specialty finance company that invests primarily in the debt o
Slide 3: Blackstone Secured Lending Fund Third Quarter 2022 Results
Blackstone Secured Lending Fund Third Quarter 2022 Results NOVEMBER 10, 2022 This presentation should be read in conjunction with BXSL’s latest quarterly report filed on Form 10-Q for the period ended September 30, 2022. Numbers are approximate and may not add up due to rounding.
Slide 4: Highlights
BXSL HIGHLIGHTS Powerful earnings expansion as ~100% floating rate portfolio yields benefit from higher interest rates. Net investment income of $0.80 per share in the quarter, up 29% from the prior quarter Portfolio is well-positioned with no loans on non-accrual and solid company fundamentals.
Slide 5: Third Quarter Results
THIRD QUARTER RESULTS Net investment income of $132 million, or $0.80 per share in the quarter, up 29% from $0.62 in the prior quarter Net income of $96 million, or $0.58 per share in the quarter, up 23% from $0.47 in the Earning Summary prior quarter Total dividends of $0.80 per share(1), res
Slide 6: Material Growth in Net Investment Income
MATERIAL GROWTH IN NET INVESTMENT INCOME Net investment income growth driven by higher base rates benefitting portfolio yields, averaging 9.1% in the quarter up from 7.8% in the prior quarter. 76% of debt portfolio was LIBOR based as of quarter-end Net investment income increased to $0.80 from $
Slide 7: Third Quarter 2022 Selected Financial Highlights
BXSL THIRD QUARTER 2022 SELECTED FINANCIAL HIGHLIGHTS ($ in millions, unless otherwise noted) 3Q'21 3Q'22 3Q'21 LTM 3Q'22 LTM Operating results Net investment income $ 94 $ 132 $ 326 $ 451 Net income 110 96 459 405 Net investment income per share 0.63 0.80 2.34 2.69 Net income per share 0.74 0.58 3.
Slide 8: Third Quarter 2022 Net Asset Value Bridge
NET ASSET VALUE BRIDGE Third Quarter 2022 Net Asset Value Bridge ($ per share) $0.80 $0.09 $(0.60) $25.96 $25.89 (3) $25.76 $(0.22) $(0.20) (1) (2) (4) (2) 6/30/22 NAV Net investment Regular dividends Net realized Share repurchase 9/30/22 NAV before Special dividends 9/30/22 NAV income declared and
Slide 9: Dividend Coverage History
BXSL DIVIDEND COVERAGE HISTORY Regular dividend increased to $0.60 per share from $0.53 per share with an additional $0.20 per share special dividend payable on November 14, 2022 Regular dividend exceeded by net investment income, with a dividend coverage ratio of 133%(1) $0.78 $0.80 Quarterly D
Slide 10: Investment Activity
BXSL INVESTMENT ACTIVITY Portfolio fair market value increased to $9.7 billion at quarter end from $8.2 billion as of September 30, 2021 Net funded investment activity of $(373) million in the quarter: – New investment commitments of $272 million (at par); new investment fundings of $235 million
Slide 11: Portfolio Characteristics
BXSL PORTFOLIO CHARACTERISTICS 97.9% 99.9% $9.7B of investments in first lien, of debt investments are investments at fair value senior secured debt(1) floating rate(1) 46.7% 172 0% Average loan to value portfolio companies non-accrual debt (LTV)(2)(3) investments(1) Portfolio Predominantly Portfoli
Slide 12: Portfolio Construction
BXSL PORTFOLIO CONSTRUCTION Portfolio well-diversified across industries with no issuer accounting for more than 4% of the portfolio Broad industry representation with largest exposures in software, health care providers & services, and professional services Top Ten Portfolio Companies(1,2) Top
Slide 13: Funding Profile
BXSL FUNDING PROFILE Well structured, diversified capital structure with significant available liquidity Well positioned for current environment with 58% of liabilities unsecured, fixed rate at 2.97% and a low level of debt maturities over the next few years with only 6% of commitments maturing
Slide 14: Statements of Financial Condition
BXSL STATEMENTS OF FINANCIAL CONDITION ($ in millions, except per share data) 9/30/21 6/30/22 9/30/22 Assets Investments at fair value $ 8,223 $ 10,085 $ 9,672 Cash and cash equivalents 260 169 131 Interest receivable 52 72 68 Deferred financing costs 9 18 14 Receivable for investments 278 40 40 Oth
Slide 15: Summary of Operating Results – Comparative
BXSL SUMMARY OF OPERATING RESULTS – COMPARATIVE ($ in millions, except share and per share data) 3Q'21 4Q'21 1Q'22 2Q'22 3Q'22 Investment income Interest income $ 165 $ 186 $ 171 $ 175 $ 213 Payment-in-kind interest income 1 5 9 11 11 Dividend income — 0 6 - - Fee income 0 1 0 1 3 Total investment i
Slide 16: Supplemental Details
Supplemental Details
Slide 17: Selected Financial Highlights
SELECTED FINANCIAL HIGHLIGHTS ($ in millions, except share and per share data) 3Q'21 4Q'21 1Q'22 2Q'22 3Q'22 Operating results Net investment income $ 94 $ 111 $ 103 $ 105 $ 132 Net income 110 122 107 80 96 Net investment income per share 0.63 0.67 0.61 0.62 0.80 Net income per share 0.74 0.73 0.63
Slide 18: Funding Sources Summary
BXSL FUNDING SOURCES SUMMARY No debt maturities until July 2023 $1.1B of liquidity in cash and undrawn debt(1) as of September 30, 2022 ($ in millions) Counterparty and Principal Total Outstanding Initial Date Entered Interest Rate Maturity Date Committed (Par) Jackson Hole Funding JPM – 11/16/1
Slide 19: Important Disclosure Information
Important Disclosure Information
Slide 20: Forward Looking Statements
FORWARD LOOKING STATEMENTS Certain information contained in this communication constitutes “forward-looking statements” within the meaning of the federal securities laws and the Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by the use of forward
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