BlackRock TCP Capital Corp. ( (TCPC) ) has released its Q4 earnings. Here is a breakdown of the information BlackRock TCP Capital Corp. presented to its investors.
BlackRock TCP Capital Corp. is a specialty finance company focused on direct lending to middle-market and small businesses, primarily investing in companies with strong market positions and competitive advantages across various industries. The company recently reported its financial results for the fourth quarter and full year of 2024, highlighting a net investment income of $0.40 per share for the quarter and declaring a first-quarter dividend of $0.25 per share along with a special dividend of $0.04 per share.
Key financial metrics from the report include a net investment income of $33.8 million for the fourth quarter, surpassing the regular dividend payout. However, the company experienced a decrease in net asset value per share from $10.11 to $9.23 over the quarter, with a net decrease in net assets from operations amounting to $38.6 million. The portfolio’s non-accrual debt investments increased to 5.6% at fair value, and the company engaged in significant acquisition and disposition activities during the quarter.
The company’s management remains optimistic about future prospects, despite challenges faced in 2024, and has implemented measures such as a voluntary waiver of one-third of the base management fee for three quarters in 2025. The board has also declared intentions to continue special dividends in the upcoming quarters, subject to approval.
Looking forward, BlackRock TCP Capital Corp. aims to navigate the challenges encountered in 2024 and return to historical performance levels, with a focus on maintaining sustainable dividend levels and aligning interests with shareholders.