Carlyle Secured Lending : CGBD 20250331 8 K EX992 (Presentation) (2)

Published: 2025-05-07 04:12:47 ET CGBD

Published on 05/07/2025 at 04:12

' E V P ] P I 7 I G Y V I H 0 I R H M R K - R G

X I V

P ]

) E V R M

R K W

4 V I W

I R X E X M S R

L c

First Quarter Results

Portfolio &

Investment Activity

•

As of 3/31/25, total fair value of the portfolio was $2.2 billion across 138 portfolio companies with a

weighted average yield of 10.9%

As of 3/31/25, non-accrual investments represented 2.2% and 1.6% of the total portfolio based on amortized cost and fair value, respectively, compared to 1.0% and 0.6%, respectively, as of 12/31/24

(2)

(3)

(3)(4)

Liquidity & Capital Activity

On 3/27/25, we successfully completed the merger with CSL III, resulting in 18.9 million shares issued to CSL III shareholders and a $485.7 million increase in the fair value of our portfolio

In connection with the merger of CSL III, our preferred stock was exchanged for 3.0 million common shares at the closing net asset value of $16.64 compared to the 12/31/24 conversion price of $8.87

We entered into an equity distribution agreement to sell up to $150.0 million of our shares through an at-the-market offering

We amended the Credit Facility in March, increasing total commitments to $935.0 million and extending the maturity to March 2030

Note: Per share amounts within this presentation apply to common shares of the Company unless otherwise noted. (1) See appendix for a description of non-GAAP measures. (2) On income producing investments at amortized cost. (3) Excludes the effect of the CSL III Merger and Credit Fund II Purchase, each as defined in the Company's Form 10-Q as well as the return of capital distribution from Credit Fund. (4) Includes sales to Investment Funds.

(Dollar amounts in thousands, except per share data)

Q1 2024

Q2 2024

Q3 2024

Q4 2024

Q1 2025

SUMMARY INCOME STATEMENT

Total investment income

$ 62,007

$ 58,264

$ 55,965

$ 56,354

$ 54,864

Total expenses(1)

(34,433)

(32,266)

(31,956)

(32,183)

(34,061)

Net Investment Income(1)

$ 27,574

$ 25,998

$ 24,009

$ 24,171

$ 20,803

Acceleration of debt issuance costs, net of incentive fee impact

1,011

Amortization of premium/discount on acquired assets

321

Adjusted Net Investment Income(1)(2)

$ 27,574

$ 25,998

$ 25,020

$ 24,171

$ 21,124

Net realized and change in unrealized gains (losses)

815

(8,127)

(5,273)

(3,689)

(7,575)

Net Income (Loss)(1)

$ 28,389

$ 17,871

$ 18,736

$ 20,482

$ 13,228

Acceleration of debt issuance costs, net of incentive fee impact

1,011

Amortization of premium/discount on acquired assets

321

Reversal of unrealized appreciation from the amortization of premium/discount on acquired assets

(321)

Adjusted Net Income(1)(2)

$ 28,389

$ 17,871

$ 19,747

$ 20,482

$ 13,228

SUMMARY PER SHARE METRICS

Net Investment Income per Common Share(1)

$ 0.54

$ 0.51

$ 0.47

$ 0.40

Acceleration of debt issuance costs, net of incentive fee impact

0.02

Amortization of premium/discount on acquired assets

0.01

Adjusted Net Investment Income per Common Share(1)(2)

$ 0.54

$ 0.51

$ 0.49

$ 0.47

$ 0.41

Net Income (Loss) per Common Share(1)

$ 0.56

$ 0.35

$ 0.37

$ 0.40

$ 0.25

Acceleration of debt issuance costs, net of incentive fee impact

0.02

Amortization of premium/discount on acquired assets

0.01

Reversal of unrealized appreciation from the amortization of premium/discount on acquired assets

(0.01)

Adjusted Net Income per Common Share(1)(2)

$ 0.56

$ 0.35

$ 0.39

$ 0.40

$ 0.25

Weighted average shares of common stock outstanding

50,795

50,839

50,896

51,923

Please refer to the Company's Form 10-Q and Form 10-K for more information.

(1) Inclusive of the preferred stock dividend. (2) See appendix for a description of non-GAAP measures.

(Dollar amounts in thousands, except per share data)

Q1 2024

Q2 2024

Q3 2024

Q4 2024

Q1 2025

SUMMARY BALANCE SHEET

Total investments, at fair value

$ 1,784,893

$ 1,726,050

$ 1,709,537

$ 1,803,543

$ 2,245,626

Cash, cash equivalents and restricted cash

69,921

92,222

68,669

56,575

250,883

Other assets

40,257

48,358

38,721

65,875

37,299

Total Assets

$ 1,895,071

$ 1,866,876

$ 1,816,927

$ 1,925,993

$ 2,533,808

Debt and secured borrowings(1)

930,182

906,088

848,508

960,949

1,247,186

Accrued expenses and liabilities

48,069

49,971

61,815

59,840

74,233

Preferred stock

50,000

Total Liabilities and Preferred Stock

$ 1,028,251

$ 1,006,059

$ 960,323

$ 1,070,789

$ 1,321,419

Net Assets

$ 916,820

$ 910,817

$ 906,604

$ 905,204

$ 1,212,389

Preferred stock

(50,000)

Net Assets less preferred stock

$ 866,820

$ 860,817

$ 856,604

$ 855,204

$ 1,212,389

Common shares outstanding at end of period

50,795

50,848

50,906

72,903

Net Asset Value available to Common

$ 17.07

$ 16.95

$ 16.85

$ 16.80

$ 16.63

LEVERAGE

Statutory Debt to Equity(2)

1.14x

1.12x

1.05x

1.20x

1.04x

First lien debt

70.9%

72.2%

73.4%

83.4%

Second lien debt

9.3%

8.5%

7.1%

6.4%

5.8%

Equity

5.9%

6.2%

6.4%

6.5%

5.4%

Investment funds

13.9%

14.4%

14.3%

13.7%

5.4%

Total

100.0%

Investment funds - First lien debt held

98.4%

98.7%

98.6%

99.9%

Senior secured exposure(5)

94.8%

94.0%

93.7%

93.5%

94.4%

TOTAL INVESTMENT PORTFOLIO BY ASSET TYPE (3)(4)

Please refer to the Company's Form 10-Q and Form 10-K for more information.

(1) Inclusive of deferred financing costs and the effective interest rate swap hedge. (2) Reflects cumulative convertible preferred securities as debt. These securities are considered "senior securities" for the purposes of calculating asset coverage pursuant to the Investment Company Act. (3) At quarter end. (4) As a percentage of fair value. (5) Represents CGBD's exposure to the respective underlying portfolio companies, including CGBD's proportionate share of the portfolio companies held in Credit Fund and Credit Fund II, prior to February 2025.

Disclaimer

Carlyle Secured Lending Inc. published this content on May 06, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 07, 2025 at 07:47 UTC.