Jun 30, 2022

OFS Capital Q2 2022 Earnings Report

Announced financial results for the fiscal quarter ended June 30, 2022 and declared a distribution of $0.29 per common share for the third quarter of 2022.

Key Takeaways

OFS Capital Corporation announced its financial results for the second quarter of 2022, reporting a net investment income of $6.2 million, or $0.47 per common share. The company's net asset value per common share was $14.57 as of June 30, 2022.

Net investment income was $6.2 million, or $0.47 per common share.

Adjusted net investment income was $3.3 million, or $0.24 per common share.

Net loss on investments was $1.12 per common share, primarily due to unrealized losses.

Net asset value per common share was $14.57 as of June 30, 2022, a decrease from $15.52 at March 31, 2022.

Total Revenue
$10.4M
EPS
$0.24
Cash and Equivalents
$14.8M
Total Assets
$567M

OFS Capital

OFS Capital

Forward Guidance

OFS Capital believes its balance sheet is well positioned to navigate through an uncertain economic environment with rising interest rates and a slow down in the economy.

Positive Outlook

  • Balance sheet is well positioned to navigate through an uncertain economic environment
  • High percentage of floating rate loans in the portfolio
  • Majority of liabilities have a fixed rate of interest
  • Approximately, 98% of loan portfolio is senior secured
  • 93% of loans are floating rate

Challenges Ahead

  • Uncertain economic environment
  • Rising interest rates
  • Slow down in the economy
  • No assurance that such a composition will lead to future success
  • Net losses of $15.1 million in the second quarter of 2022