SLR Investment reports Q2 EPS 45c, consensus 43c

Reports SLRC‘s gross investment income totaled $59M and $56.3 M, respectively, for the three months ended June 30, 2024 and 2023. The year-over-year increase of 4.7% in gross investment income was primarily due to a combination of an increase in other income, the ramp of the SSLP, and an increase in index rates..”NII per share in the second quarter reached the highest level in 5 years, reflecting our deliberate approach to rebuild the Company’s investment portfolio after a period of conservatism during the pandemic. Importantly, SLRC’s portfolio growth over the last couple of years has been driven by originations in both sponsor finance and specialty finance investments, enabling us to take advantage of our complementary niches within the private credit market that are not as competitive as the sponsor market,” said Michael Gross, Co-CEO. “Our multi-strategy approach provides greater earnings stability across cycles due to the relative consistency of the returns in our specialty finance strategies.” “Our portfolio continues to perform well, which is evidenced by another quarter of NAV stability, a decline in non-accrual investments, a low level of watch list investments, and minimal payment-in-kind income,” said Bruce Spohler, Co-CEO. “We believe the recent stability in the NAV reflects our multi-strategy portfolio, which was substantially constructed in 2023 and 2024 and underwritten to withstand higher interest rates and a softening economy.”