After-hours trading on Wednesday saw shares of BlackRock Capital Investment (NASDAQ:BKCC) rise by 2.6%. This comes after the business development company reported solid origination activity and a consistent level of capital deployment in its earnings report for the quarter ending in the second quarter.
Interim Chief Executive Officer and Chairman James E. Keenan stated that so far in the third quarter, “we are seeing a continuation of the level of deployment activity that we have seen in the first half of this year.” Additionally, “pricing and structures more favorable to lenders in the private credit market” have been observed.
The adjusted net investment income for the second quarter was $0.08 per share, which was in line with the consensus estimate and up from $0.07 in the second quarter of 2021.
Investment income during the second quarter came to a total of $12.3 million, up from $10.9 million in the same period of the previous year.
The non-controlled and unaffiliated investments as of June 30 totaled $11.6 million, an increase from $9.2 million on the same date the previous year.
The company’s net asset value was $4.57 per share as of June 30, down from $4.68 per share during the previous year’s period. This decline was principally caused by net unrealized losses in its portfolio of $9.7 million.
The BlackRock-affiliated Business Development Company (BDC) had a net growth in its portfolio of $48.4 million during the second quarter of 2018, as a result of the deployment of $73.5 million during that period while exits and repayments totaled just $25.1 million.
This resulted in the addition of 11 new portfolio firms, increasing the total number of portfolio companies at the end of the quarter to 100. This is an increase from 86 in the fourth quarter of 2021 and 55 at the end of 2020.
There will be a conference call on August 4 at 10:00 a.m. Eastern Time.
BlackRock Capital Investment made public its intention to pay shareholders a quarterly dividend of $0.10 per share in May.
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