0001193125-26-221936
SEC filingMixed Q1 with stable net investment income offset by significant realized and unrealized losses, driven by portfolio markdowns and credit events.
Net investment income remained stable as lower interest income from declining benchmark rates was offset by reduced interest expense due to a lower weighted average cost of debt. The decrease in per share net investment income was attributable to lower investment income earned during the quarter.
Net realized and unrealized losses on investments resulted in a net loss of $15.5 million for the quarter, compared to net income of $3.9 million in the prior year period. The losses were driven by mark-to-market adjustments on portfolio investments and credit events at certain portfolio companies.
During the quarter, the company continued to deploy capital into new investments while managing credit risk. Non-accrual status is applied to investments where PIK income is not expected to be realized, consistent with company policy.