Main Street Capital Corporation reported second-quarter results that pushed net asset value to $33.92 per share, up from $33.46 at the end of March, while extending its streak of dividend increases. Net investment income climbed to $90.3 million, and return on equity annualized to 18.9% for the quarter. The standout was the full exit of Centre Technologies Holdings LLC, which produced a $46.4 million realized gain and, since the 2019 investment, an internal rate of return of 23.2% and 2.4 times the money invested across debt and equity combined. Shareholders benefited directly: Main Street declared regular monthly dividends totaling $0.795 per share for the third quarter, up 3.9% from a year earlier, plus a $0.30 per share supplemental dividend paid in September, its twentieth straight quarterly supplemental payout. However, per-share net investment income fell to $0.97 from $0.99 a year earlier, and distributable net investment income slipped to $1.04 from $1.06, as weighted average shares outstanding rose 4.5% year over year due to stock issuance. Dividend income dropped $10.4 million, or 28%, and the company took a $13.3 million realized loss restructuring one private loan investment. Main Street also widened its Corporate Facility by $65.0 million to push the maturity to June 2031 and issued $150.0 million of notes due April 2031, leaving aggregate liquidity at $1.153 billion and investment-grade ratings of BBB- from both Fitch and S&P.
Main Street Capital CorporationStrong Q2 results, NAV increase, dividend hike, and successful exit boosting earnings.
CTBC Financial Holding Co Ltd