Monroe Capital Corporation BDC Announces First Quarter 2025 Results

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Monroe Capital Corporation
Monroe Capital Corporation

CHICAGO, May 07, 2025 (GLOBE NEWSWIRE) -- Monroe Capital Corporation (NASDAQ: MRCC) today announced its financial results for the first quarter ended March 31, 2025.

Except where the context suggests otherwise, the terms “Company,” “we,” “us,” and “our” refer to Monroe Capital Corporation (together with its subsidiaries).

First Quarter 2025 Financial Highlights

  • Net Investment Income ("NII") of $4.1 million, or $0.19 per share

  • Adjusted Net Investment Income (a non-GAAP measure described below) of $4.2 million, or $0.19 per share

  • Net increase (decrease) in net assets resulting from operations of $0.5 million, or $0.03 per share

  • Net Asset Value (“NAV”) of $186.9 million, or $8.63 per share

  • Paid quarterly dividend of $0.25 per share on March 31, 2025

  • Current annual cash dividend yield to stockholders of approximately 14.3%(1)

Chief Executive Officer Theodore L. Koenig commented, “We are pleased to announce that we paid a $0.25 per share dividend during the first quarter representing an approximate 14.3% annualized dividend yield. The dividend was supported by the meaningful spillover income we have accumulated from prior strong performance. Our approach remains centered on prioritizing asset quality and positioning the portfolio for long-term performance across changing market conditions."

Monroe Capital Corporation is a business development company affiliate of the award-winning private credit investment firm and lender, Monroe Capital LLC.

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(1)
Based on an annualized dividend and closing share price as of May 6, 2025.

Management Commentary

Adjusted Net Investment Income totaled $4.2 million, or $0.19 per share for the quarter ended March 31, 2025, a decrease from $6.2 million, or $0.29 per share for the quarter ended December 31, 2024. NAV decreased by $0.22 per share, or 2.5%, to $186.9 million or $8.63 per share as of March 31, 2025, compared to $191.8 million or $8.85 per share as of December 31, 2024. The decrease in NAV this quarter was primarily the result of net unrealized losses associated with certain portfolio companies and the first quarter dividend being in excess of the Company's NII for the quarter. As of March 31, 2025, the Company has an estimated $0.53 per share in undistributed spillover income.

At quarter end, the Company's debt-to-equity leverage decreased from 1.53 times debt-to-equity at December 31, 2024 to 1.45 times debt-to-equity at March 31, 2025, as a result of paydowns of the revolving credit facility with proceeds from investment sales and paydowns during the quarter. We continue to focus on managing the Company's investment portfolio and selectively redeploying capital resulting from future repayments.