Stellus Capital Investment Corp

NYSE:SCMUnited States

May 9, 2024

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• Press Release: Stellus Capital Investment Corporation Reports Results for its First Fiscal Quarter Ended March 31, 2024, from 4:11PM ET on Thursday May 09, 2024 by Dow Jones

  4:11PM ET on Thursday May 09, 2024 by Dow Jones
  Companies Mentioned: SCM
  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
  

• Stellus Capital Investment Corporation Reports Results for its First Fiscal Quarter Ended March 31, 2024, from 4:10PM ET on Thursday May 09, 2024 by PR Newswire

  4:10PM ET on Thursday May 09, 2024 by PR Newswire
  Companies Mentioned: SCM

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

  https://mma.prnewswire.com/media/416430/Stellus_Capital_Investment_Corporation_Logo.jpg

• Stellus Capital Investment Corporation Reports Results for its First Fiscal Quarter Ended March 31, 2024, from 4:10PM ET on Thursday May 09, 2024 by Dow Jones

  4:10PM ET on Thursday May 09, 2024 by Dow Jones
  Companies Mentioned: SCM
  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