Nuveen Churchill Direct Lending Corp. Announces Fourth Quarter and Full Year 2023 Results
Financial Highlights for the Quarter Ended
(all metrics compared to third quarter 2023, unless otherwise noted)
-
Net investment income per share of
$0.66 , compared to$0.62 -
Total net realized and unrealized gain per share of
$0.07 , compared to$(0.04) -
Net income per share of
$0.73 , compared to$0.58 -
Net asset value per share of
$18.13 , compared to$17.96 -
Declared a total fourth quarter distribution of
$0.55 per share, which represents a 12.0% total annualized yield based on the fourth quarter net asset value ("NAV") per share
"We are proud of NCDL’s successful IPO, which expands access to our institutional-caliber, leading middle market private credit platform to retail investors,” said
“We achieved record net investment income in 2023, an outstanding year characterized by continued earnings momentum,” said
Distribution Declaration
The Company’s Board of Directors has declared a first quarter 2024 distribution of
PORTFOLIO AND INVESTMENT ACTIVITY
As of
For the year ended
As of
RESULTS OF OPERATIONS
Investment Income
Investment income, attributable to interest and fees on our debt investments, increased to
Expenses
Total expenses increased to
Liquidity and Capital Resources
As of
CONFERENCE CALL AND WEBCAST INFORMATION
A live webcast of the conference call will also be available on the Events section of the Company's website at https://www.ncdl.com/news/events. A replay will be available under the same link following the conclusion of the conference call.
About
Forward-Looking Statements
Certain information contained herein may constitute “forward-looking statements” that involve substantial risks and uncertainties. Such statements involve known and unknown risks, uncertainties and other factors and undue reliance should not be placed thereon. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about us, our current and prospective portfolio investments, our industry, our beliefs, and our assumptions. Words such as “anticipates,” “expects,” “intends,” “plans,” “will,” “may,” “continue,” “believes,” “seeks,” “estimates,” “would,” “could,” “should,” “targets,” “projects,” “outlook,” “potential,” “predicts” and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond NCDL’s control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements including, without limitation, the risks, uncertainties and other factors identified in NCDL’s filings with the
CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES (dollars in thousands, except share and per share data) |
|||||||
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|
|
|
||||
Assets |
|
|
|
||||
Investments |
|
|
|
||||
Non-controlled/non-affiliated company investments, at fair value (amortized cost of |
$ |
1,641,686 |
|
|
$ |
1,200,376 |
|
Cash and cash equivalents |
|
67,395 |
|
|
|
39,270 |
|
Restricted cash |
|
50 |
|
|
|
50 |
|
Due from adviser expense support (See Note 5) |
|
— |
|
|
|
1,147 |
|
Interest receivable |
|
17,674 |
|
|
|
11,898 |
|
Receivable for investments sold |
|
3,919 |
|
|
|
719 |
|
Contribution receivable |
|
127 |
|
|
|
458 |
|
Prepaid expenses |
|
13 |
|
|
|
41 |
|
Total assets |
$ |
1,730,864 |
|
|
$ |
1,253,959 |
|
|
|
|
|
||||
Liabilities |
|
|
|
||||
Secured borrowings (net of |
$ |
943,936 |
|
|
$ |
699,772 |
|
Payable for investments purchased |
|
— |
|
|
|
56 |
|
Interest payable |
|
9,837 |
|
|
|
8,812 |
|
Due to adviser expense support (See Note 5) |
|
632 |
|
|
|
1,147 |
|
Management fees payable |
|
3,006 |
|
|
|
2,211 |
|
Distributions payable |
|
22,683 |
|
|
|
14,325 |
|
Directors’ fees payable |
|
96 |
|
|
|
96 |
|
Accounts payable and accrued expenses |
|
2,789 |
|
|
|
2,583 |
|
Total liabilities |
$ |
982,979 |
|
|
$ |
729,002 |
|
|
|
|
|
||||
Commitments and contingencies (See Note 7) |
|
|
|
||||
|
|
|
|
||||
Net Assets: (See Note 8) |
|
|
|
||||
Common shares, |
$ |
412 |
|
|
$ |
287 |
|
Paid-in-capital in excess of par value |
|
776,719 |
|
|
|
548,600 |
|
Total distributable earnings (loss) |
|
(29,246 |
) |
|
|
(23,930 |
) |
Total net assets |
$ |
747,885 |
|
|
$ |
524,957 |
|
|
|
|
|
||||
Total liabilities and net assets |
$ |
1,730,864 |
|
|
$ |
1,253,959 |
|
|
|
|
|
||||
Net asset value per share (See Note 9) |
$ |
18.13 |
|
|
$ |
18.32 |
|
CONSOLIDATED STATEMENTS OF OPERATIONS (dollars in thousands, except share and per share data) |
||||||||||||
|
|
For the Years Ended |
||||||||||
|
|
|
2023 |
|
|
|
2022 |
|
|
|
2021 |
|
Investment income: |
|
|
|
|
|
|
||||||
Non-controlled/non-affiliated company investments: |
|
|
|
|
|
|
||||||
Interest income |
|
$ |
156,868 |
|
|
$ |
79,868 |
|
|
$ |
34,902 |
|
Payment-in-kind interest income |
|
|
3,644 |
|
|
|
789 |
|
|
|
113 |
|
Dividend income |
|
|
101 |
|
|
|
225 |
|
|
|
213 |
|
Other income |
|
|
1,143 |
|
|
|
1,571 |
|
|
|
1,062 |
|
Total investment income |
|
|
161,756 |
|
|
|
82,453 |
|
|
|
36,290 |
|
|
|
|
|
|
|
|
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Expenses: |
|
|
|
|
|
|
||||||
Interest and debt financing expenses |
|
|
61,206 |
|
|
|
25,695 |
|
|
|
9,827 |
|
Management fees (See Note 5) |
|
|
10,509 |
|
|
|
7,464 |
|
|
|
4,049 |
|
Professional fees |
|
|
3,455 |
|
|
|
1,811 |
|
|
|
1,316 |
|
Directors' fees |
|
|
383 |
|
|
|
383 |
|
|
|
383 |
|
Administration fees (See Note 5) |
|
|
1,598 |
|
|
|
1,111 |
|
|
|
660 |
|
Other general and administrative expenses |
|
|
751 |
|
|
|
684 |
|
|
|
324 |
|
Total expenses before expense support |
|
|
77,902 |
|
|
|
37,148 |
|
|
|
16,559 |
|
Expense support (See Note 5) |
|
|
(158 |
) |
|
|
(179 |
) |
|
|
(522 |
) |
Net expenses after expense support |
|
|
77,744 |
|
|
|
36,969 |
|
|
|
16,037 |
|
Net investment income before excise taxes |
|
|
84,012 |
|
|
|
45,484 |
|
|
|
20,253 |
|
Excise taxes |
|
|
6 |
|
|
|
— |
|
|
|
— |
|
Net investment income |
|
|
84,006 |
|
|
|
45,484 |
|
|
|
20,253 |
|
|
|
|
|
|
|
|
||||||
Realized and unrealized gain (loss) on investments: |
|
|
|
|
|
|
||||||
Net realized gain (loss) on non-controlled/non-affiliated company investments |
|
|
(7,952 |
) |
|
|
(262 |
) |
|
|
819 |
|
Net change in unrealized appreciation (depreciation): |
|
|
|
|
|
|
||||||
Non-controlled/non-affiliated company investments |
|
|
714 |
|
|
|
(27,912 |
) |
|
|
6,194 |
|
Income tax (provision) benefit |
|
|
(830 |
) |
|
|
(24 |
) |
|
|
— |
|
Total net change in unrealized gain (loss) |
|
|
(116 |
) |
|
|
(27,936 |
) |
|
|
6,194 |
|
Total net realized and unrealized gain (loss) on investments |
|
|
(8,068 |
) |
|
|
(28,198 |
) |
|
|
7,013 |
|
|
|
|
|
|
|
|
||||||
Net increase (decrease) in net assets resulting from operations |
|
$ |
75,938 |
|
|
$ |
17,286 |
|
|
$ |
27,266 |
|
|
|
|
|
|
|
|
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Per share data: |
|
|
|
|
|
|
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Net investment income per share - basic and diluted |
|
$ |
2.52 |
|
|
$ |
1.95 |
|
|
$ |
1.58 |
|
Net increase (decrease) in net assets resulting from operations per share - basic and diluted |
|
$ |
2.27 |
|
|
$ |
0.74 |
|
|
$ |
2.12 |
|
Weighted average common shares outstanding - basic and diluted |
|
|
33,385,880 |
|
|
|
23,279,341 |
|
|
|
12,849,333 |
|
PORTFOLIO AND INVESTMENT ACTIVITY (information presented herein is at amortized cost; dollar amounts in thousands) |
|||||||
|
For the Years Ended |
||||||
|
|
2023 |
|
|
|
2022 |
|
Investments: |
|
|
|
||||
Total investments, beginning of period |
$ |
1,225,573 |
|
|
$ |
770,298 |
|
Purchase of investments |
|
589,000 |
|
|
|
502,250 |
|
Proceeds from principal repayments and sales of investments |
|
(146,428 |
) |
|
|
(49,264 |
) |
Payment-in-kind interest |
|
3,268 |
|
|
|
789 |
|
Amortization of premium/accretion of discount, net |
|
2,708 |
|
|
|
1,762 |
|
Net realized gain (loss) on investments |
|
(7,952 |
) |
|
|
(262 |
) |
Total investments, end of period |
$ |
1,666,169 |
|
|
$ |
1,225,573 |
|
|
|
|
|
||||
Portfolio companies at beginning of period |
|
145 |
|
|
|
96 |
|
Number of new portfolio companies funded |
|
45 |
|
|
|
52 |
|
Number of portfolio companies sold or repaid |
|
(11 |
) |
|
|
(3 |
) |
Portfolio companies at end of period |
|
179 |
|
|
|
145 |
|
Count of investments |
|
385 |
|
|
|
288 |
|
Count of industries |
|
25 |
|
|
|
23 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20240226700070/en/
Investors:
Investor Relations
NCDL-IR@churchillam.com
Media:
Pro-churchill@prosek.com
PS-3410504PR-O0224W
Source: