NASDAQ$PSEC

Prospect Capital Corp · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Prospect Capital reported financial results for the quarter ended September 30, 2020, declared 39th, 40th, and 41st consecutive $0.06 per common share monthly cash distributions, declared 1st monthly cash preferred share distribution, and announced a 3% increase in net asset value per common share.

Prospect Capital Corporation announced financial results for the fiscal quarter ended September 30, 2020, reporting a net investment income of $57.545 million, net income of $167.746 million, and a net asset value per common share of $8.40.

  • Net investment income was $57.545 million.
  • Net income was $167.746 million.
  • NAV per common share at period end was $8.40.
  • The company declared distributions to common shareholders for November 2020, December 2020 and January 2021 of $0.06 per share.

Headline financials

Total Revenue

$143M

Previous: $162M-11.7%
EPS (adj)

$0.15

Previous: $0.19-21.1%
NII per share

$0.15

No prior period
NAV per share

$8.40

No prior period
Debt to total assets

69.8%

No prior period
Net Income

$168M

No prior period
Cash & Equivalents

$28.3M

No prior period
Total Assets

$5.44B

No prior period

Revenue & EPS history

Prospect Capital · Revenue · Quarterly

$143M

Q1 2021-11.7%vs Q1 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Prospect Capital · $143M total across 3 segments · Q1 2021

  • Interest income
    $132M
  • Other income
    $10.6M
  • Dividend income
    $25K

Forward guidance

Prospect expects to declare February 2021, March 2021, and April 2021 distributions to common shareholders in February 2021.

Tailwinds

  • Targeted $1 billion perpetual preferred equity program.
  • Greater utilization of cost efficient revolving credit facility.
  • Retirement of higher cost liabilities.
  • Increased originations in senior secured debt and selected equity investments.
  • Deployment of available capital from underleveraged balance sheet.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

+0.4%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+0.5%

Avg return

30 days after

55%

23 / 42 earnings

Positive

+10.7%

Q1 2024

Best reaction

-16.3%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026-9.9%-17.9%-18.6%
Q2 2026+10.3%+16.9%+1.5%
Q1 2026+0.4%+12.2%+5.1%
Q3 2025-1.9%+0.8%-10.2%
Q2 2025-1.0%+3.8%+0.7%
Q1 2025-16.3%-18.2%-13.4%
Q4 2024-1.8%+2.8%+4.3%
Q3 2024+3.6%+4.0%+6.3%
Q1 2024+10.7%+3.9%+7.9%
Q4 2023+1.0%+0.7%+0.8%
Q3 2023-1.7%-4.7%-0.9%
Q2 2023-0.7%+1.7%-9.7%
Q1 2023+0.8%+2.5%-2.2%
Q3 2022-1.2%-1.8%-0.8%
Q2 2022+2.0%-1.0%-4.3%
Q1 2022+6.9%+6.3%+2.2%
Q3 2021-2.0%-1.5%+12.6%
Q2 2021+4.9%+8.0%+11.2%
Q1 2021+4.2%+3.2%+9.3%
Q4 2020-0.8%-1.4%-2.3%
Q3 2020+5.9%+8.1%+36.0%
Q2 2020-0.5%-0.6%-27.6%
Q1 2020-0.6%+1.4%+1.7%
Q4 2019-5.4%-4.4%+0.5%
Q3 2019-0.6%-1.3%-4.0%
Q2 2019-4.6%-7.9%-5.6%
Q1 2019+2.7%+3.7%-0.7%
Q4 2018+2.8%+4.5%+2.6%
Q3 2018+1.6%+2.9%+6.8%
Q2 2018+3.3%+8.4%+4.6%
Q1 2018-4.9%+1.9%+14.4%
Q4 2017-3.8%-6.0%-6.5%
Q3 2017-6.8%-12.5%-13.0%
Q2 2017+3.5%+6.6%+4.6%
Q1 2017+0.8%+3.3%+8.5%
Q4 2016+2.0%+0.4%-3.2%
Q3 2016+1.8%
Q2 2016+2.5%
Q1 2015-1.9%
Q4 2015+7.1%
Q3 2015+2.0%
Q2 2014+0.1%

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