Daily News: May 10, 2019

Golub Capital BDC Reports $41.8MM Investment Income for Q2/2019


Golub Capital BDC reported the financial results for its second fiscal quarter ended March 31, 2019, which included total investment income of $41.8 million, as compared to $39.4 million for the quarter ending December 31, 2018.

The $2.4 million increase was primarily attributable to an increase in London Interbank offered Rate (LIBOR) and an increase in the average earning investment balance.

Other Q2 highlights included:

  • Net increase in net assets resulting from operations was $17.8 million, or $0.29per share, as compared to $18.4 million, or $0.31 per share, for the quarter ended December 31, 2018
  • Net investment income was $20.1 million, or $0.33 per share, as compared to $19.8 million, or $0.33 per share, for the quarter ended December 31, 2018
  • Net investment income excluding a $0.7 million reversal for the capital gain incentive fee under GAAP, was $19.4 million, or $0.32 per share, as compared to $19.3 million, or $0.32 per share, excluding a $0.5 million reversal for the capital gain incentive fee under GAAP, for the quarter ended December 31, 2018
  • Net loss on investments and foreign currency was $2.3 million, or $0.04 per share, as compared to a net loss of $1.4 million, or $0.02 per share, for the quarter ended December 31, 2018

Total expenses for the quarters ended March 31, 2019 and December 31, 2018 were $21.7 million and $19.6 million, respectively. This $2.1 million increase was primarily attributable to an increase in incentive fee expense and higher interest and other debt financing expenses caused by an increase in the weighted average of outstanding borrowings.

Golub Capital BDC is an externally-managed, non-diversified closed-end management investment company which invests primarily in one-stop and other senior secured loans of U.S. middle market companies that are often sponsored by private equity investors.