Monroe Capital Corporation announced its third quarter 2024 financial results on November 12, 2024, reporting Adjusted Net Investment Income of $6.6 million, or $0.31 per share. This represents a slight decrease from $6.7 million, or $0.31 per share, reported in the second quarter of 2024. The company maintained its $0.25 per share dividend for the 18th consecutive quarter.
The company's Net Asset Value (NAV) decreased by $0.02 per share, or 0.2%, to $9.18 per share as of September 30, 2024, primarily due to net unrealized losses on certain portfolio companies. The debt-to-equity leverage ratio improved to 1.50 times, down from 1.54 times at June 30, 2024, driven by paydowns on the revolving credit facility.
Total investment income for the quarter was $15.7 million, a slight increase from $15.6 million in the prior quarter, primarily due to higher fee income from investment realizations. However, the weighted average contractual and effective yields on debt and preferred equity investments decreased to 11.0% from 11.9% in the previous quarter, partly due to an additional portfolio company being placed on non-accrual status.
As of September 30, 2024, the fair value of the investment portfolio stood at $474.3 million, a decrease from $485.8 million at June 30, 2024, with first lien loans comprising 80.0% of the portfolio. Investments on non-accrual status represented 3.1% of total investments at fair value.
Liquidity as of September 30, 2024, included $4.1 million in cash and cash equivalents, with $86.0 million available for additional borrowings on its revolving credit facility. The company had $169.0 million outstanding on its revolving credit facility and $130.0 million on its 2026 Notes.
The MRCC Senior Loan Fund I, LLC (SLF) saw its fair value decrease to $32.9 million from $33.1 million, with its average mark on underlying investments declining from 88.3% to 87.0%. The company received $0.9 million in dividend income from SLF during the quarter.
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