Q2 net income -57% to $10.7M on below-the-line costs as credit stress rises

Filed August 10, 2026 · Period ending June 30, 2026 · Compared to 10-Q Aug 11, 2025 · ~1 min read

Key Changes

• high

  Net income fell 57% to $10.7M while operating loss narrowed 2%, driven by undisclosed below-the-line costs. Diluted EPS rose 5% to $0.42.

  MD&A: Results of Operations verify on EDGAR →
• high

  Non-accrual debt rose from 1.6% to 2.7% of fair value; watch-list investments increased from $78.2M (3.6%) to $120.0M (5.4%) across 9 companies. Realized losses totaled $14.5M in H1 2026 vs $0.6M gain in H1 2025, driven by Sundance liquidation ($9.4M) and two debt restructures.

  MD&A: Portfolio Credit Quality verify on EDGAR →
• high

  Issued $200M of senior unsecured notes (Series C/D/E) and entered interest-rate swaps on $160M to convert fixed coupons to floating (SOFR+2.37% and SOFR+2.66%), aligning debt costs with the floating-rate loan portfolio. Total debt rose 17% to $1,238M.

  Notes: Senior Unsecured Notes verify on EDGAR →