Oxford Square Capital (OXSQ) Q2 2024 earnings summary

Executive summary

• Net investment income for Q2 2024 was $7.7 million ($0.13 per share), up from $6.5 million ($0.11 per share) in the prior quarter.

• Net asset value per share was $2.43 as of June 30, 2024, up from $2.42 in Q1 2024 but down from $2.88 a year ago.

• Total investment income for Q2 2024 was $11.4 million, compared to $10.7 million in Q1 2024.

• Total fair value of investments was $252.1 million, with 61 portfolio investments at quarter end.

• Board declared monthly distributions of $0.035 per share for October, November, and December 2024.

Financial highlights

• Distributions declared and paid per share were $0.105 for Q2 2024, consistent with the prior quarter.

• Net realized losses for Q2 2024 were $30.4 million, offset by $28.0 million in net unrealized gains.

• Net increase in net assets from operations was $0.09 per share in Q2 2024.

• Total net assets increased to $152.4 million from $144.3 million in the previous quarter.

• Issued 2.9 million shares via at-the-market offering, raising $8.9 million in net proceeds.

Outlook and guidance

• Monthly distributions of $0.035 per share are scheduled through December 2024.

• Weighted average yield of debt investments at cost was 13.7% as of June 30, 2024.

• CLO equity expected to make initial distributions of $6.7 million by Q3 2024.

• Management emphasizes portfolio diversification and risk management.

• Forward-looking statements highlight risks and uncertainties in future results and market conditions.