Stellus Private Credit BDC Achieves Impressive Fiscal Results

Author: Logan Wright Updated: 03-06-2025 05:39 PM

Stellus Private Credit BDC Reports Strong Fiscal Performance

Stellus Private Credit BDC (NASDAQ: PBDC) has announced impressive financial results for its most recent fiscal quarter, concluding a successful year. The company reported remarkable gains in net investment income, which reached $0.37 per share during the fourth quarter, stabilizing its net asset value significantly. The firm's total portfolio increased to an impressive $301 million at fair value, underscoring growth in both investments and repayments.

Investment Activity and Financial Highlights

In the latest quarter, Stellus provided $53 million in funding for new investments while also receiving $11 million in repayments. This activity showcased the firm’s dedication to managing a diversified portfolio that aligns with its strategic goals. Moreover, the company declared a monthly dividend of $0.36 per share, a testament to its commitment to delivering shareholder value consistently.

Changes in Financial Metrics

On a comparative basis, Stellus reported total investment income of $7.8 million for the quarter, an increase from $7.1 million in the same period last year. This growth indicates robust performance primarily driven by interest earnings from its portfolio assets. Operating expenses saw an uptick, amounting to $5.0 million, compared to $4.3 million in the previous year, primarily due to increased management fees and expenses related to the company's growth activities.

Distribution and Shareholder Communication

Stellus announced aggregate distributions totaling $0.48 per share for the quarter, down from $0.50 the previous year. The Board of Directors aims to continue providing dividends while investing in growth strategies to support firm fundamentals and investor interests.

Strategic Initiatives and Future Outlook

The Company has strategically entered new agreements for increased credit facilities, totaling $175 million, while also working to enhance its existing facilities. Recent investment decisions have focused on lower middle-market companies, ensuring broad diversification across sectors to mitigate risks and maximize returns.

Portfolio Diversification and Risk Management

A review of the investment portfolio indicates a total of 59 unique investments, including a significant number of debt instruments. Additionally, completed transactions have placed Stellus in a solid position to capitalize on future investment opportunities while maintaining adherence to risk management protocols.

Frequently Asked Questions

What was Stellus Private Credit BDC's net investment income for the recent quarter?

Stellus Private Credit BDC reported a net investment income of $0.37 per share for the fourth fiscal quarter.

How much was declared as dividends for the quarter?

The company declared a dividend of $0.36 per share for the first quarter of 2025.

What is the total portfolio value of Stellus Private Credit BDC?

The total portfolio value has reached $301 million at fair value.

What were Stellus's total assets as of the end of the fiscal year?

The total assets stood at approximately $304.8 million.

How many portfolio companies does Stellus Private Credit BDC have?

Stellus has made investments in 59 unique portfolio companies.

About The Author

Dedicated Author and financial expert Logan Wright here, 29 years old. After earning an economics degree, I spent a number of years working in different financial industries. My great passion is enabling everyone, from any background or experience level, to understand and be literate in financial matters.

My books and writings are centered on simplifying difficult financial ideas into doable, understandable guidance. Whether it's retirement planning, investing, or budgeting, I want to arm readers with the information they need to make wise financial choices and realize their financial objectives.

Apart from writing, I also frequently post to financial blogs and organize webinars and workshops targeted at enlightening participants about personal finance. Always, my strategy is to offer concise, doable advice that can truly improve people's lives.

Away from work, I like to read, travel, and sample new foods. My goal is to infuse everything I do with the balance that I think is essential to both financial and personal well-being. By my profession, I want to encourage and enable people to confidently and clearly take charge of their financial futures.

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