Palmer Square Capital BDC Inc. Announces Third Quarter 2025 Financial Results

About this update from Palmer Square Capital Bdc Inc.

Declares Fourth Quarter 2025 Base Dividend of $0.36 Per Share with Supplemental Dividend Expected to be Announced in December MISSION WOODS, Kan., November 05, 2025 --( BUSINESS WIRE )--Palmer Square Capital BDC Inc. (NYSE: PSBD) ("PSBD" or the "Company"), an externally managed business development company, today announced its financial results for the third quarter ended September 30, 2025. Financial and Operating Highlights "We are very pleased with our financial performance in the third quarter, supported by our focus on high quality assets and prudent portfolio construction," said Christopher D. Long, Chairman and Chief Executive Officer of Palmer Square Capital BDC. "Our team is encouraged by the acceleration in deal activity, yet remains committed to disciplined capital deployment with the goal of maximizing long-term value for investors. The depth of our experience across primary and secondary syndicated loan markets, combined with our ability to pursue attractive private credit opportunities, positions us well to take advantage of a dynamic market environment. This agility is further enhanced by our seasoned investment team and strong alignment with shareholders." Portfolio and Investment Activity As of September 30, 2025, we had 262 investments in 209 portfolio companies with an aggregate fair value of approximately $1.2 billion. Based on a total fair value of $1.3 billion, including short term investments, the portfolio consisted of 86.10% first lien senior secured debt investments, 4.90% second lien senior secured debt investments, 4.30% short-term investments, 3.60% collateralized loan obligation structured credit funds ("CLOs") mezzanine and equity investments, 0.60% corporate bond investments, and 0.50% equity investments. As of September 30, 2025, 98% of the long-term investments based on fair value in our portfolio were at floating rates. At the end of the third quarter, 99.60% of the portfolio at fair value was income producing. There were two portfolio companies on non-accrual status. As of September 30, 2025, the weighted average total yield to maturity of debt and income producing securities at fair value was 10.07%, and weighted average total yield to maturity of debt and income producing securities at amortized cost was 8.00%. For the third quarter of 2025, the principal amount of new investments funded was $138.7 million which included 28 investments at an average value of approximately $4.8 million. For this period, the Company had $156.0 million aggregate principal amount in sales and repayments. Liquidity and Capital Resources As of September 30, 2025, the Company had $4.2 million in cash and cash equivalents and approximately $752.4 million in total aggregate principal amount of debt outstanding. Subject to borrowing base and other restrictions, the Company had available liquidity, consisting of cash and undrawn capacity on credit facilities of approximately $252.8 million compared to $16.4 million of unfunded investment commitments as of September 30, 2025. Recent Developments On November 05, 2025, PSBD’s Board of Directors announced that it had declared a fourth quarter regular base dividend distribution of $0.36 per share, payable on January 14, 2026, to shareholders of record as of December 29, 2025. We expect to announce an additional quarterly supplemental dividend distribution for the fourth quarter of 2025 in December. Earnings Conference Call The Company will host a conference call on Wednesday, November 05, 2025, at 1:00 pm ET to review its financial performance and conduct a question-and-answer session. To participate in the earnings call, participants should register online at the Palmer Square Investor Relations website. To avoid potential delays, please join at least 10 minutes prior to the start of the call. The conference call can be accessed through the following links: A replay of the live conference call will be available shortly after the conclusion of the event and accessible on the events and presentations section of the Palmer Square Investor Relations website. About Palmer Square Capital BDC Inc. Palmer Square Capital BDC Inc. (NYSE: PSBD) is an externally managed, non-diversified closed-end management investment company that primarily lends to and invests in corporate debt loans, including but not limited to large private U.S. companies in the broadly syndicated loan market, as well as the direct large cap private credit market. PSBD has elected to be regulated as a business development company under the Investment Company Act of 1940. PSBD’s investment objective is to maximize total return, comprised of current income and capital appreciation. PSBD’s current investment focus is guided by two strategies that facilitate its investment opportunities and core competencies: (1) investing in corporate debt loans and, to a lesser extent, (2) investing in other debt securities which may include collateralized loan obligation debt and equity. PSBD’s investment activities are managed by its investment adviser, Palmer Square BDC Advisor LLC, an affiliate of Palmer Square Capital Management LLC. Forward-Looking Statements Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties. The forward-looking statements may include statements as to our future base and supplemental dividend distributions and the prospects of our portfolio companies. These and other forward-looking statements can be identified by the use of forward-looking terminology such as "may," "will," "should," "seek," "expect," "anticipate," "project," "estimate," "intend," "continue," "target," or "believe" or the negatives thereof or other variations thereon or comparable terminology. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in PSBD’s filings with the SEC. PSBD undertakes no duty to update any forward-looking statement made herein unless required by law. All forward-looking statements speak only as of the date of this press release. Although PSBD undertakes no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise, you are advised to consult any additional disclosures that PSBD may make directly to you or through reports that in the future may be filed with the SEC, including annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. The accompanying notes are an integral part of these consolidated financial statements. The accompanying notes are an integral part of these consolidated financial statements. View source version on businesswire.com: https://www.businesswire.com/news/home/20251104264621/en/ Contacts Investors Matt Bloomfield and Jeremy Goff Palmer Square Capital BDC Inc. [email protected] Media Josh Clarkson Prosek Partners [email protected]

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