Stellus Capital Investment Corporation Reports Results for its First Fiscal Quarter Ended March 31, 2024

News provided by

Stellus Capital Investment Corporation

May 09, 2024, 16:10 ET

HOUSTON, May 9, 2024 /PRNewswire/ -- Stellus Capital Investment Corporation (NYSE:SCM) ("Stellus" or the "Company") today announced financial results for its first fiscal quarter ended March 31, 2024.

Robert T. Ladd, Chief Executive Officer of Stellus, stated, "I am pleased to report solid operating results for the quarter ended March 31, 2024, in which net asset value grew by $0.15 per share and U.S. GAAP net investment income of $0.42 per share and core net investment income of $0.44 per share covered the regular dividend declared of $0.40 per share. Our loan portfolio is yielding 11.9%, as of March 31, 2024. We have completed over eleven years of operations, during which our investors have received a total of $252 million in distributions, equivalent to $15.35 per share."

FINANCIAL HIGHLIGHTS
($ in millions, except data relating to per share amounts and shares outstanding)

	Three Months Ended
	March 31, 2024		March 31, 2023
	Amount	Per Share	Amount	Per Share
Net investment income	$10.24	$0.42	$9.07	$0.46
Core net investment income⁽¹⁾	10.61	0.44	8.87	0.45
Net realized (loss) gain on investments	(20.38)	(0.85)	0.03	—
Net realized loss on foreign currency translation	(0.03)	—	(0.04)	—
Total realized income⁽²⁾	($10.17)	($0.43)	$9.06	$0.46
Distributions	(9.65)	(0.40)	(7.95)	(0.40)
Net unrealized change in appreciation (depreciation) on investments	23.52	0.98	(4.25)	(0.22)
Provision for taxes on unrealized appreciation on investments in taxable subsidiaries	(0.20)	(0.01)	(0.07)	—
Net increase in net assets resulting from operations	$13.15	$0.54	$4.74	$0.24
Weighted average shares outstanding		24,125,642		19,779,988

(1)

Core net investment income, as presented, excludes the impact of capital gains incentive fees (reversal) and income taxes, the majority of which are excise taxes. The Company believes presenting core net investment income and the related per share amount is a useful supplemental disclosure for analyzing its financial performance. However, core net investment income is a non-U.S. generally accepted accounting principles ("U.S. GAAP") measure and should not be considered as a replacement for net investment income and other earnings measures presented in accordance with U.S. GAAP. A reconciliation of net investment income in accordance with U.S. GAAP to core net investment income is presented in the table below the financial statements.

(2)

Total realized income is the sum of net investment income, net realized gains (losses) on investments, net realized gains (losses) on foreign currency, and loss on debt extinguishment; all U.S. GAAP measures.

PORTFOLIO ACTIVITY
($ in millions, except data relating to per share amounts and number of portfolio companies)

	As of	As of
	March 31, 2024	December 31, 2023
Investments at fair value	$875.9	$874.5
Total assets	$935.2	$908.1
Net assets	$323.4	$319.9
Shares outstanding	24,125,642	24,125,642
Net asset value per share	$13.41	$13.26

	Three Months Ended
	March 31, 2024	March 31, 2023
New investments	$28.5	$41.2
Repayments of investments	(31.2)	(5.9)
Net activity	($2.7)	$35.3

	As of	As of
	March 31, 2024	December 31, 2023
Number of portfolio company investments	94	93
Number of debt investments	81	81

Weighted average yield of debt and other income producing investments ⁽³⁾
Cash	11.0 %	11.0 %
Payment-in-kind ("PIK")	0.5 %	0.5 %
Fee amortization	0.4 %	0.4 %
Total	11.9 %	11.9 %

Weighted average yield on total investments ⁽⁴⁾
Cash	10.3 %	10.3 %
Payment-in-kind ("PIK")	0.5 %	0.5 %
Fee amortization	0.3 %	0.3 %
Total	11.1 %	11.1 %

(3)

The dollar-weighted average annualized effective yield is computed using the effective interest rate for our debt investments and other income producing investments, including cash and PIK interest, as well as the accretion of deferred fees. The individual investment yields are then weighted by the respective cost of the investments (as of the date presented) in calculating the weighted average effective yield of the portfolio. The dollar-weighted average annualized yield on the Company's investments for a given period will generally be higher than what investors in the Company's common stock would realize in a return over the same period because the dollar-weighted average annualized yield does not reflect the Company's expenses or any sales load that may be paid by investors.

(4)

The dollar-weighted average yield on total investments takes the same yields as calculated in the footnote above but weights them to determine the weighted average effective yield as a percentage of the Company's total investments, including non-income producing loans and equity.

Results of Operations

Investment income for the three months ended March 31, 2024 and 2023 totaled $26.0 million and $24.1 million, respectively, most of which was interest income from portfolio investments.

Gross operating expenses for the three months ended March 31, 2024 and 2023, totaled $16.0 million and $15.0 million, respectively. The increase was driven primarily by increased incentive fees. For the same respective periods, base management fees totaled $3.9 million and $3.7 million, income incentive fees totaled $2.5 million and $2.1 million, capital gains incentive fee reversals totaled ($0.0) million and ($0.6) million, fees and expenses related to our borrowings totaled $7.8 million and $7.9 million (including interest and amortization of deferred financing costs), administrative expenses totaled $0.5 million for both periods, income tax totaled $0.4 million for both periods and other expenses totaled $0.9 million and $1.0 million. For the three months ended March 31, 2024, the Company waived income incentive fees totaling $0.2 million for net operating expenses of $15.8 million. No such income incentive fees were waived for the three months ended March 31, 2023.

Net investment income was $10.2 million and $9.1 million, or $0.42 and $0.46 per common share based on weighted average common shares outstanding of 24,125,642 and 19,779,988 for the three months ended March 31, 2024 and 2023, respectively. Core net investment income, which is a non-U.S. GAAP measure that excludes the capital gains incentive fee (reversal) and income tax expense accruals, for the three months ended March 31, 2024 and 2023 was $10.6 million and $8.9 million, or $0.44 and $0.45 per share, respectively.

For the three months ended March 31, 2024 and 2023, the Company's investment portfolio had a net change in unrealized appreciation (depreciation) of $23.5 million and ($4.2) million, respectively, and the Company had net realized (losses) gains of ($20.4) million and less than $0.1 million, respectively. The full realizations for the three months ended March 31, 2024 had previously been reflected as unrealized depreciation which were reversed during the three months then ended and included in the $23.5 million of unrealized appreciation as of March 31, 2024.

Net increase in net assets resulting from operations totaled $13.1 million and $4.7 million, or $0.54 and $0.24 per common share, based on weighted average common shares outstanding of 24,125,642 and 19,779,988 for the three months ended March 31, 2024 and 2023, respectively.

Liquidity and Capital Resources

As of March 31, 2024, the Company's amended senior secured revolving credit agreement with certain bank lenders and Zions Bancorporation, N.A. dba Amegy Bank, as administrative agent (as amended from time to time, the "Credit Facility") provided for borrowings in an aggregate amount of up to $260.0 million on a committed basis. As of March 31, 2024 and December 31, 2023, the Credit Facility had an accordion feature which allowed for potential future expansion of the facility size up to $350.0 million.

As of March 31, 2024 and December 31, 2023, the Company had $184.7 million and $160.1 million in outstanding borrowings under the Credit Facility, respectively.

Distributions

During the three months ended March 31, 2024 and 2023, the Company declared aggregate distributions of $0.40 per share for both periods ($9.6 million and $8.0 million in the aggregate, respectively). Tax characteristics of all distributions will be reported to stockholders on Form 1099-DIV after the end of the calendar year. None of these dividends are expected to include a return of capital.

Recent Portfolio Activity

The Company invested in the following portfolio companies during the three months ended March 31, 2024:

Activity Type	Date	Company Name	Company Description	Investment Amount		Instrument Type
Add-On Investment	January 5, 2024	Whisps Holdings LP*	Manufacturer of cheese-based snacks	$	75,192	Equity
Add-On Investment	January 8, 2024	EH Real Estate Services, LLC*	Offers residential property brokerage, title & settlement, and property and casualty insurance brokerage services to home buyers and sellers	$	475,233	Senior Secured – First Lien
Add-On Investment	January 9, 2024	Morgan Electrical Group Intermediate Holdings, Inc.*	Provider of commercial electrical services	$	23,531	Equity
Add-On Investment	January 12, 2024	Impact Home Services LLC*	Residential garage door, electrical, and plumbing services provider	$	50,914	Equity
Add-On Investment	January 31, 2024	Impact Home Services LLC*	Residential garage door, electrical, and plumbing services provider	$	22,331	Equity
Add-On Investment	February 7, 2024	Unicat Catalyst Holdings, LLC*	Manufacturer and distributor of catalysts and other industrial products	$	7,032	Equity
Add-On Investment	March 1, 2024	Monitorus Holding, LLC*	Provider of media monitoring and evaluation services	$	13,290	Unsecured Convertible Bond
New Investment	March 11, 2024	Exec Connect Intermediate LLC	Facilitator of executive-level in-person events and remote peer-to-peer industry insights	$	4,311,584	Senior Secured – First Lien
				$	627,139	Delayed Draw Term Loan Commitment
				$	391,962	Revolver Commitment
New Investment	March 11, 2024	Titan Meter Bidco Corp.	Provider of liquid metering products and integrated solutions to the energy infrastructure sector	$	10,029,219	Senior Secured – First Lien
				$	1,055,707	Revolver Commitment
				$	515,578	Equity
Add-On Investment	March 20, 2024	Advanced Barrier Extrusions, LLC*	Manufacturer of high barrier forming web films	$	32,489	Equity
New Investment	March 26, 2024	Med Learning Group, LLC	Provider of continuing medical education services	$	8,977,710	Senior Secured – First Lien
				$	2,445,188	Delayed Draw Term Loan Commitment
Add-On Investment	March 28, 2024	Rogers Mechanical Contractors, LLC*	HVAC and plumbing designer, installer, and service provider for new/existing DCs, fulfilment sortation facilities, and warehouses.	$	45,212	Senior Secured – First Lien
______________________________
*Existing portfolio company

The Company realized investments in the following portfolio companies during the three months ended March 31, 2024:

Activity Type	Date	Company Name	Company Description	Proceeds Received		Instrument Type
Full Repayment	January 8, 2024	Peltram Plumbing Holdings, LLC*	Provider of plumbing solutions	$	16,160,003	Senior Secured – First Lien
Full Realization	March 4, 2024	NuMet Machining Techniques, LLC*	Supplier of complex, mission critical engine components, fabrications and assemblies for the global aerospace and power generation industries	$	(12,675,000)	Senior Secured – Second Lien
		Bromford Industries Limited*		$	(7,800,000)	Senior Secured – Second Lien
Full Repayment	March 5, 2024	Dresser Utility Solutions, LLC*	Manufacturer of rotary meters, pipeline distribution repair/upgrade products, electric actuators and chemical pumps to natural gas utilities and energy/industrial distributors	$	10,000,000	Senior Secured – Second Lien
______________________________
*Existing portfolio company

Events Subsequent to March 31, 2024

The Company's management has evaluated subsequent events through May 9, 2024. There have been no subsequent events that require recognition or disclosure except for the following described below.

Investment Portfolio

The Company invested in the following portfolio companies subsequent to March 31, 2024:

Activity Type	Date	Company Name	Company Description	Investment Amount		Instrument Type
New Investment	April 1, 2024	FairWave Holdings, LLC	Specialty coffee platform	$	7,615,265	Senior Secured – First Lien
				$	2,665,343	Delayed Draw Term Loan Commitment
				$	1,142,290	Revolver Commitment
				$	285,572	Equity
New Investment	April 11, 2024	WER Holdings, LLC	Regional provider of commercial landscaping services	$	2,704,164	Senior Secured – First Lien
				$	1,338,695	Delayed Draw Term Loan Commitment
				$	401,609	Revolver Commitment
				$	180,300	Equity
Add-On Investment	April 16, 2024	Impact Home Services LLC*	Residential garage door, electrical, and plumbing services provider	$	8,932	Equity
				$	90,773	Senior Secured – First Lien
Add-On Investment	April 22, 2024	Exacta Land Surveyors, LLC*	Provider of land survey and field management services to facilitate real estate transactions	$	2,164	Equity
______________________________
*Existing portfolio company

The Company realized investments in the following portfolio company subsequent to March 31, 2024:

Activity Type

Date

Company Name

Company Description

Proceeds Received

Realized Gain

Instrument Type

Full Repayment

May 1, 2024

Nutritional Medicinals, LLC*

Manufacturer and distributor of
organic whole food, plant-based
feeding tube formulas and meal
replacement kits.

11,421,291

Senior Secured – First Lien

2,950,929

1,978,126

Equity

______________________________

*Existing portfolio company

Credit Facility

The outstanding balance under the Credit Facility as of May 9, 2024 was $172.5 million.

Distributions Declared

On April 3, 2024, our Board of Directors declared a regular monthly distribution for each of April, May, and June 2024, as follows:

	Ex-Dividend	Record	Payment	Amount per
Declared	Date	Date	Date	Share
4/3/2024	4/29/2024	4/30/2024	5/15/2024	$	0.1333
4/3/2024	5/31/2024	5/31/2024	6/14/2024	$	0.1333
4/3/2024	6/28/2024	6/28/2024	7/15/2024	$	0.1333

Conference Call Information

Stellus Capital Investment Corporation will host a conference call to discuss these results on Friday, May 10, 2024 at 11:00 AM, Central Time. The conference call will be led by Robert T. Ladd, Chief Executive Officer, and W. Todd Huskinson, Chief Financial Officer, Chief Compliance Officer, Treasurer, and Secretary.

For those wishing to participate by telephone, please dial (888) 506-0062. Use passcode 292372. Starting approximately two hours after the conclusion of the call, a replay will be available through Friday, May 24, 2024 by dialing (877) 481-4010 and entering passcode 50586. The replay will also be available on the Company's website.

For those wishing to participate via Live Webcast, connect via the Public (SCIC) section of our website at www.stelluscapital.com, under the Events tab. A replay of the conference will be available on our website for approximately 90 days.

About Stellus Capital Investment Corporation

The Company is an externally-managed, closed-end, non-diversified investment management company that has elected to be regulated as a business development company under the Investment Company Act of 1940, as amended. The Company's investment objective is to maximize the total return to its stockholders in the form of current income and capital appreciation by investing primarily in private middle-market companies (typically those with $5.0 million to $50.0 million of EBITDA (earnings before interest, taxes, depreciation and amortization)) through first lien (including unitranche) loans, second lien loans and unsecured debt financing, with corresponding equity co-investments. The Company's investment activities are managed by its investment adviser, Stellus Capital Management. To learn more about Stellus Capital Investment Corporation, visit www.stelluscapital.com under the "Public (SCIC)" tab.

Forward-Looking Statements

Statements included herein may contain "forward-looking statements" which relate to future performance or financial condition. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of assumptions, risks and uncertainties, which change over time. Actual results may differ materially from those anticipated in any forward-looking statements as a result of a number of factors, including those described from time to time in filings by the Company with the Securities and Exchange Commission including the final prospectus that will be filed with the Securities and Exchange Commission. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contacts
Stellus Capital Investment Corporation
W. Todd Huskinson, Chief Financial Officer
(713) 292-5414
[email protected]

STELLUS CAPITAL INVESTMENT CORPORATION
CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES

	March 31, 2024
	(unaudited)		December 31, 2023
ASSETS
Controlled investments at fair value (amortized cost of $17,934,808 and $17,285,138, respectively)	$	7,362,234	$	6,175,994
Non-controlled, non-affiliated investments, at fair value (amortized cost of $862,218,903 and $884,858,412, respectively)		868,521,912		868,284,689
Cash and cash equivalents		48,761,721		26,125,741
Receivable for sales and repayments of investments		776,417		371,877
Interest receivable		6,484,400		4,882,338
Income tax receivable		2,673,730		1,588,708
Other receivables		42,995		42,995
Deferred offering costs		12,521		7,312
Prepaid expenses		585,418		606,674
Total Assets	$	935,221,348	$	908,086,328
LIABILITIES
Notes Payable	$	99,107,786	$	98,996,412
Credit Facility payable		181,343,929		156,564,776
SBA-guaranteed debentures		320,587,412		320,273,358
Dividends payable		3,215,948		—
Management fees payable		1,852,233		2,918,536
Income incentive fees payable		2,745,073		2,885,180
Interest payable		1,493,044		5,241,164
Unearned revenue		412,314		397,725
Administrative services payable		425,048		402,151
Deferred tax liability		381,500		188,893
Other accrued expenses and liabilities		216,657		278,345
Total Liabilities	$	611,780,944	$	588,146,540
Commitments and contingencies (Note 7)
Net Assets	$	323,440,404	$	319,939,788
NET ASSETS
Common stock, par value $0.001 per share (100,000,000 shares authorized; 24,125,642 issued and outstanding for both periods)	$	24,125	$	24,125
Paid-in capital		335,918,984		335,918,984
Total distributable loss		(12,502,705)		(16,003,321)
Net Assets	$	323,440,404	$	319,939,788
Total Liabilities and Net Assets	$	935,221,348	$	908,086,328
Net Asset Value Per Share	$	13.41	$	13.26

STELLUS CAPITAL INVESTMENT CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited)

	For the three months ended
	March 31, 2024		March 31, 2023
INVESTMENT INCOME
From controlled investments:
Interest income	$	81,636	$	—
From non-controlled, non-affiliated investments
Interest income		24,956,851		23,408,604
Other income		958,262		666,743
Total Investment Income	$	25,996,749	$	24,075,347
OPERATING EXPENSES
Management fees	$	3,852,233	$	3,735,102
Valuation fees		156,507		147,073
Administrative services expenses		490,901		461,964
Income incentive fees		2,509,110		2,124,835
Capital gains incentive fee		—		(569,528)
Professional fees		339,627		430,848
Directors' fees		108,250		117,250
Insurance expense		124,989		120,546
Interest expense and other fees		7,767,573		7,886,424
Income tax expense		370,719		374,763
Other general and administrative expenses		245,275		178,450
Total Operating Expenses	$	15,965,184	$	15,007,727
Income incentive fee waiver		(204,351)		—
Total Operating Expenses, net of fee waivers	$	15,760,833	$	15,007,727
Net Investment Income	$	10,235,916	$	9,067,620
Net realized (loss) gain on non-controlled, non-affiliated investments	$	(20,384,731)	$	34,967
Net realized loss on foreign currency translation		(25,106)		(39,912)
Net change in unrealized appreciation on controlled investments		536,570		—
Net change in unrealized appreciation (depreciation) on non-controlled, non-affiliated investments		22,982,020		(4,249,642)
Net change in unrealized (depreciation) appreciation on foreign currency translations		(3,602)		1,874
Provision for taxes on net unrealized appreciation on investments		(192,607)		(78,760)
Net Increase in Net Assets Resulting from Operations	$	13,148,460	$	4,736,147
Net Investment Income Per Share—basic and diluted	$	0.42	$	0.46
Net Increase in Net Assets Resulting from Operations Per Share – basic and diluted	$	0.54	$	0.24
Weighted Average Shares of Common Stock Outstanding—basic and diluted		24,125,642		19,779,988
Distributions Per Share—basic and diluted	$	0.40	$	0.40

STELLUS CAPITAL INVESTMENT CORPORATION
CONSOLIDATED STATEMENTS OF CHANGES IN NET ASSETS (unaudited)

	Common Stock					Total
	Number	Par		Paid-in		distributable
	of shares	value		capital		earnings (loss)		Net Assets
Balances at December 31, 2022	19,666,769	$	19,667	$	275,114,720	$	642,226	$	275,776,613
Net investment income	—		—		—		9,067,620		9,067,620
Net realized gain on investments	—		—		—		34,967		34,967
Net realized loss on foreign currency translations	—		—		—		(39,912)		(39,912)
Net change in unrealized depreciation on investments	—		—		—		(4,249,642)		(4,249,642)
Net change in unrealized appreciation on foreign currency translations	—		—		—		1,874		1,874
Provision for taxes on unrealized appreciation on investments	—		—		—		(78,760)		(78,760)
Distributions from net investment income	—		—		—		(7,951,284)		(7,951,284)
Issuance of common stock, net of offering costs⁽¹⁾	581,614		581		8,289,988		—		8,290,569
Balances at March 31, 2023	20,248,383	$	20,248	$	283,404,708	$	(2,572,911)	$	280,852,045

Balances at December 31, 2023	24,125,642	$	24,125	$	335,918,984	$	(16,003,321)	$	319,939,788
Net investment income	—		—		—		10,235,916		10,235,916
Net realized loss on investments	—		—		—		(20,384,731)		(20,384,731)
Net realized loss on foreign currency translations	—		—		—		(25,106)		(25,106)
Net change in unrealized appreciation on investments	—		—		—		23,518,590		23,518,590
Net change in unrealized depreciation on foreign currency translations	—		—		—		(3,602)		(3,602)
Provision for taxes on unrealized appreciation on investments	—		—		—		(192,607)		(192,607)
Distributions from net investment income	—		—		—		(9,647,844)		(9,647,844)
Balances at March 31, 2024	24,125,642	$	24,125	$	335,918,984	$	(12,502,705)	$	323,440,404

______________________________
(1)	See Note 4 to the Consolidated Financial Statements on Form 10-Q filed with the Securities and Exchange Commission on May 9, 2024 for more information on offering costs.

STELLUS CAPITAL INVESTMENT CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited)

	For three months ended
	March 31, 2024		March 31, 2023
Cash flows from operating activities
Net increase in net assets resulting from operations	$	13,148,460	$	4,736,147
Adjustments to reconcile net increase in net assets from operations to net cash used in operating activities:
Purchases of investments		(28,516,430)		(41,237,273)
Proceeds from sales and repayments of investments		31,169,595		5,890,813
Net change in unrealized (appreciation) depreciation on investments		(23,518,590)		4,249,642
Net change in unrealized depreciation on foreign currency translations		3,602		10,126
Increase in investments due to PIK		(750,054)		(769,954)
Amortization of premium and accretion of discount, net		(702,543)		(665,998)
Deferred tax provision		192,607		78,760
Amortization of loan structure fees		264,707		143,822
Amortization of deferred financing costs		111,374		110,150
Amortization of loan fees on SBA-guaranteed debentures		314,055		317,508
Net realized loss (gain) on investments		20,384,731		(34,967)
Changes in other assets and liabilities
Increase in interest receivable		(1,602,062)		(187,420)
Increase in income tax receivable		(1,085,022)		—
Decrease in prepaid expenses		21,256		148,414
Decrease in management fees payable		(1,066,303)		(2,592,566)
(Decrease) increase in income incentive fees payable		(140,107)		2,124,835
Decrease in capital gains incentive fees payable		—		(569,528)
Increase in administrative services payable		22,897		39,951
Decrease in interest payable		(3,748,120)		(3,437,073)
Decrease in related party payable		—		(646,393)
Increase (decrease) in unearned revenue		14,589		(47,573)
Increase in income tax payable		—		374,460
Decrease in other accrued expenses and liabilities		(61,688)		(78,907)
Net Cash Provided (Used) in Operating Activities	$	4,456,954	$	(32,043,024)
Cash flows from Financing Activities
Proceeds from the issuance of common stock	$	—	$	8,487,127
Sales load for common stock issued		—		(126,303)
Offering costs paid for common stock issued		(5,209)		(72,955)
Stockholder distributions paid		(6,431,896)		(5,252,174)
Financing costs paid on Credit Facility		(49,969)		—
Borrowings under Credit Facility		50,000,000		13,300,000
Repayments of Credit Facility		(25,333,900)		(14,483,900)
Net Cash Provided by Financing Activities	$	18,179,026	$	1,851,795
Net Increase (Decrease) in Cash and Cash Equivalents	$	22,635,980	$	(30,191,229)
Cash and Cash Equivalents Balance at Beginning of Period	$	26,125,741	$	48,043,329
Cash and Cash Equivalents Balance at End of Period	$	48,761,721	$	17,852,100
Supplemental and Non-Cash Activities
Cash paid for interest expense	$	10,825,557	$	10,752,017
Income and excise tax paid		1,455,741		303
Increase in distributions payable		3,215,948		2,699,110
Increase in deferred offering costs		5,209		2,700
Exchange of investments		8,256,411		—

Reconciliation of Core Net Investment Income⁽¹⁾
(Unaudited)

	Three Months Ended
	March 31, 2024	March 31, 2023
Net investment income	$10,235,916	$9,067,620
Capital gains incentive fee reversal	—	(569,528)
Income tax expense	370,719	374,763
Core net investment income	$10,606,635	$8,872,855

Per share amounts:
Net investment income per share	$0.42	$0.46
Core net investment income per share	$0.44	$0.45

Reconciliation of Realized Net Investment Income⁽²⁾
(Unaudited)

	Three Months Ended
	March 31, 2024	March 31, 2023
Net investment income	$10,235,916	$9,067,620
Net realized loss on investments	(20,384,731)	34,967
Net realized loss on foreign currency translation	(25,106)	(39,912)
Total Realized Net Investment Income	($10,173,921)	$9,062,675

Per share amounts:
Net investment income per share	$0.42	$0.46
Realized net investment income per share	($0.43)	$0.46