• Net Asset Value per Share: $4.91 as of June 30, 2024, compared to $4.90 in the prior quarter.

• GAAP Total Investment Income: $89.8 million for the quarter ended June 30, 2024.

• GAAP Net Investment Income: $56 million or $0.22 per share for the quarter ended June 30, 2024.

• Core Net Investment Income: $107.2 million or $0.41 per share for the quarter ended June 30, 2024.

• Net Unrealized Depreciation on Investments: $14.4 million for the quarter ended June 30, 2024.

• Net Realized Gains: $6.1 million for the quarter ended June 30, 2024.

• Net Increase in Net Assets from Operations: $47.7 million or $0.18 per share for the first fiscal quarter.

• Weighted Average Yield of CLO Debt Investments: 17.4% as of June 30, 2024.

• Weighted Average Effective Yield of CLO Equity Investments: 16.8% as of June 30, 2024.

• Weighted Average Cash Distribution Yield of CLO Equity Investments: 26.9% as of June 30, 2024.

• Common Stock Issuance: Approximately 45.9 million shares, resulting in net proceeds of $242.1 million.

• Additional CLO Investments: Approximately $216.9 million during the quarter ended June 30, 2024.

• Proceeds from Sales and Repayments: Approximately $96.3 million during the quarter ended June 30, 2024.

• Monthly Common Stock Distributions: $0.09 per share for October, November, and December 2024.

• Warning! GuruFocus has detected 5 Warning Sign with OXLC.

Release Date: July 26, 2024

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Oxford Lane Capital Corp (NASDAQ:OXLC) reported an increase in GAAP total investment income to approximately $89.8 million, up by $7.1 million from the previous quarter.

• The company recorded a core net investment income of approximately $107.2 million or $0.41 per share, showing a significant increase from $79.9 million or $0.35 per share in the prior quarter.

• The weighted average cash distribution yield of CLO equity investments increased to 26.9%, up from 23.5% in the previous quarter.

• Oxford Lane Capital Corp (NASDAQ:OXLC) successfully issued approximately 45.9 million shares through an at-the-market offering, resulting in net proceeds of approximately $242.1 million.

• The company declared monthly common stock distributions of $0.09 per share for October, November, and December 2024, indicating a commitment to shareholder returns.

Negative Points

• Oxford Lane Capital Corp (NASDAQ:OXLC) recorded net unrealized depreciation on investments of approximately $14.4 million for the quarter.

• The weighted average effective yield of CLO equity investments slightly decreased to 16.8% from 16.9% in the previous quarter.

• The distress ratio, defined as the percentage of loans with a price below 80% of par, increased to 4.4% from 3.5% at the end of March.

• The company faced a decrease in median US CLO equity net asset values due to a decline in US loan prices.

• There was an increase in expenses, attributed to the larger size of the fund and significant capital raised in recent quarters.