New Mountain Finance Corp. ( (NMFC) ) has released its Q3 earnings. Here is a breakdown of the information New Mountain Finance Corp. presented to its investors.
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New Mountain Finance Corporation is a business development company that specializes in providing direct lending solutions to U.S. middle-market companies, focusing primarily on senior secured loans and junior capital positions in defensive industries.
For the third quarter ending September 30, 2024, New Mountain Finance Corporation reported an adjusted net investment income of $0.34 per share. The company also declared a regular fourth-quarter distribution of $0.32 per share and a supplemental distribution of $0.01 per share.
Key financial highlights include an adjusted net investment income of $36.7 million, a slight decrease in net asset value to $12.62 per share from $12.74 in the previous quarter, and strong credit performance with 97.3% of the portfolio rated green. The company generated $146.2 million in gross originations while offsetting this with $100.6 million in repayments and $1.5 million in asset sales.
The portfolio maintained robust asset quality, with the majority of investments rated green, indicating they are performing in line with or above expectations. Additionally, New Mountain successfully extended and upsized its credit facilities at lower costs, enhancing its financial flexibility.
Looking forward, New Mountain Finance Corporation aims to sustain its disciplined, defensive growth strategy, focusing on markets that perform well across economic cycles. The management emphasizes providing value and stability for shareholders through strategic financial maneuvers and a continued commitment to dividend protection.
