PHILADELPHIA, May 10, 2017 /PRNewswire/ -- FS Investment
Corporation (NYSE: FSIC), a publicly traded business development
company focused on providing customized credit solutions to private
middle market U.S. companies, announced its operating results for
the quarter ended March 31, 2017, and
announced that its board of directors has declared its second
quarter 2017 regular distribution.
Financial Highlights for the Quarter Ended March 31, 20171
- Net investment income of $0.22
per share, compared to $0.21 per
share for the quarter ended March 31,
2016
- Adjusted net investment income of $0.22 per share, compared to $0.21 per share for the quarter ended
March 31, 20162
- Total net realized loss of $0.41 per share and total net change in
unrealized appreciation of $0.45 per
share, compared to a total net realized loss of $0.06 per share and a total net change in
unrealized depreciation of $0.20 per
share for the quarter ended March 31,
2016
- Paid cash distributions to stockholders totaling
$0.22275 per
share3
- Total purchases of $539.7
million versus $364.3 million
of sales and repayments
- Net asset value of $9.45 per
share, compared to $9.41 per share as
of December 31, 2016
"Our performance remained resilient amid a persistently tight
credit backdrop," said Michael C.
Forman, Chairman and Chief Executive Officer of FSIC. "In
the face of challenging market conditions, we will continue to be
disciplined investors to ensure we deliver strong risk-adjusted
performance for our stockholders."
Declaration of Regular Distribution for Second Quarter
2017
FSIC's board of directors has declared a regular cash
distribution for the second quarter of $0.22275 per share, which will be paid on or
about July 5, 2017 to stockholders of
record as of the close of business on June
21, 2017.
Summary
Consolidated Results
|
|
|
|
|
Three Months
Ended
|
(dollars in
thousands, except per share data)
(all per share amounts are basic and
diluted)1
|
March 31,
2017
|
December 31,
2016
|
March 31,
2016
|
Total investment
income
|
$106,064
|
$108,978
|
$103,063
|
Net investment
income
|
52,590
|
51,542
|
49,938
|
Net increase
(decrease) in net assets resulting from operations
|
63,393
|
51,862
|
(12,097)
|
|
|
|
|
Net investment income
per share
|
$0.22
|
$0.21
|
$0.21
|
Adjusted net
investment income per share2
|
$0.22
|
$0.23
|
$0.21
|
Total net realized
and unrealized gain (loss) per share
|
$0.04
|
$0.00
|
$(0.26)
|
Net increase
(decrease) in net assets resulting from operations
(Earnings per Share)
|
$0.26
|
$0.21
|
$(0.05)
|
Stockholder
distributions per share3
|
$0.22275
|
$0.22275
|
$0.22275
|
Net asset value per
share at period end
|
$9.45
|
$9.41
|
$8.82
|
Weighted average
shares outstanding
|
244,554,969
|
244,016,474
|
242,847,016
|
Shares outstanding,
end of period
|
244,599,661
|
244,063,357
|
242,847,016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As
of
|
As of
|
(dollar amounts in
thousands)
|
|
|
|
March 31,
2017
|
March 31,
2016
|
Total fair value of
investments
|
|
|
|
$3,924,168
|
$3,866,748
|
|
Total
assets
|
|
|
|
4,286,351
|
3,992,829
|
|
Total stockholders'
equity
|
|
|
|
2,311,635
|
2,142,738
|
|
Portfolio Highlights as of March 31, 2017
- Total fair value of investments was $3.9
billion.
- Core investment strategies4 represented 97% of the
portfolio by fair value as of March 31,
2017, including 87% from direct originations and 10% from
opportunistic investments. Broadly syndicated/other investments
represented the remaining 3% of the portfolio by fair value.
- Gross portfolio yield prior to leverage (based on amortized
cost and excluding non-income producing assets)5 was
10.2%, compared to 10.1% as of December 31,
2016.
- Total commitments to direct originations (including unfunded
commitments) made during the first quarter of 2017 was $429.4 million in 12 companies, 5 of which were
existing portfolio companies.
- As of March 31, 2017,
approximately 0.0% of investments were on non-accrual based on fair
value.6
Total Portfolio
Activity
|
|
|
Three Months
Ended
|
(dollar amounts in
thousands)
|
March 31,
2017
|
December 31,
2016
|
March 31,
2016
|
Purchases
|
$539,689
|
$495,071
|
$55,617
|
Sales and
redemptions
|
(364,308)
|
(715,567)
|
(169,128)
|
Net portfolio
activity
|
$175,381
|
$(220,496)
|
$(113,511)
|
|
|
|
Portfolio
Data
|
As of March
31, 2017
|
As of March 31,
2016
|
Total fair value of
investments
|
|
$3,924,168
|
$3,866,748
|
Number of Portfolio
Companies
|
|
108
|
111
|
Average Annual EBITDA
of Portfolio Companies
|
|
$86,100
|
$114,300
|
Weighted Average
Purchase Price of Debt Investments (as a % of par)
|
|
97.2%
|
98.3%
|
% of Investments on
Non-Accrual
(based on fair
value)6
|
|
0.0%
|
0.3%
|
|
|
|
Asset Class
(based on fair value)
|
|
Senior Secured Loans
— First Lien
|
|
57%
|
54%
|
Senior Secured Loans
— Second Lien
|
|
9%
|
15%
|
Senior Secured
Bonds
|
|
4%
|
5%
|
Subordinated
Debt
|
|
15%
|
12%
|
Collateralized
Securities
|
|
2%
|
2%
|
Equity/Other
|
|
13%
|
12%
|
|
|
|
Portfolio
Composition by Strategy (based on fair
value)4
|
|
Direct
Originations
|
|
87%
|
86%
|
Opportunistic
|
|
10%
|
11%
|
Broadly
Syndicated/Other
|
|
3%
|
3%
|
|
|
Interest Rate
Type (based on fair value)
|
|
% Variable
Rate
|
|
65.5%
|
66.2%
|
% Fixed
Rate
|
|
21.8%
|
21.6%
|
% Income Producing
Equity/Other Investments
|
|
2.7%
|
4.2%
|
% Non-Income
Producing Equity/Other Investments
|
|
10.0%
|
8.0%
|
|
|
Yields (based
on amortized cost)5
|
|
Gross Portfolio Yield
Prior to Leverage
|
|
9.3%
|
9.6%
|
Gross Portfolio Yield
Prior to Leverage — Excluding Non-Income Producing
Assets
|
|
10.2%
|
10.4%
|
|
|
|
|
|
Direct Origination
Activity
|
|
|
Three Months
Ended
|
(dollar amounts in
thousands)
|
March 31,
2017
|
December 31,
2016
|
March 31,
2016
|
Total
Commitments
(including unfunded
commitments)
|
$429,407
|
$526,589
|
$43,598
|
Exited Investments
(including partial paydowns)
|
(322,068)
|
(598,468)
|
(113,615)
|
Net Direct
Originations
|
$107,339
|
$(71,879)
|
$(70,017)
|
Direct
Originations Portfolio Data
|
As of March 31,
2017
|
As of March 31,
2016
|
Total Fair Value of
Direct Originations
|
$3,430,320
|
$3,340,429
|
Number of Portfolio
Companies
|
73
|
70
|
Average Annual EBITDA
of Portfolio Companies
|
$64,700
|
$65,300
|
Average Leverage
Through Tranche of Portfolio Companies —
Excluding
Equity/Other and Collateralized Securities
|
4.5x
|
5.0x
|
% of Investments on
Non-Accrual (based on fair value)6
|
—
|
0.1%
|
|
|
|
|
|
|
Three Months
Ended
|
|
New Direct
Originations by Asset Class
(including unfunded commitments)
|
March 31,
2017
|
December 31,
2016
|
March 31,
2016
|
|
Senior Secured Loans
— First Lien
|
81%
|
88%
|
20%
|
|
Senior Secured Loans
— Second Lien
|
1%
|
5%
|
—
|
|
Senior Secured
Bonds
|
2%
|
1%
|
—
|
|
Subordinated
Debt
|
15%
|
2%
|
26%
|
|
Collateralized
Securities
|
—
|
—
|
—
|
|
Equity/Other
|
1%
|
4%
|
54%
|
|
Average New Direct
Origination Commitment Amount
|
$35,784
|
$29,255
|
$8,720
|
|
Weighted Average
Maturity for New Direct Originations
|
3/2/2023
|
6/20/2023
|
11/23/2025
|
|
Gross Portfolio Yield
Prior to Leverage (based on
amortized cost) of New Direct Originations Funded during
Period5
|
9.8%
|
8.8%
|
6.0%
|
|
Gross Portfolio Yield
Prior to Leverage (based on
amortized cost) of New Direct Originations Funded during Period
—
Excluding Non-Income
Producing Assets5
|
10.0%
|
9.1%
|
10.9%
|
|
Gross Portfolio Yield
Prior to Leverage (based on
amortized cost) of Direct Originations Exited during
Period5
|
9.1%
|
8.0%
|
9.0%
|
|
|
|
|
|
|
|
Leverage and Liquidity as of March 31, 2017
- Debt to equity ratio of 80%, based on $1.84 billion in total debt outstanding and
stockholders' equity of $2.31
billion. FSIC's weighted average effective interest rate
(including the effect of non-usage fees) was 4.01%
- Cash and foreign currency of approximately $53.7 million and availability under its
financing arrangements of $147.4
million, subject to borrowing base and other
limitations
- Twenty unfunded debt investments with aggregate unfunded
commitments of $202.1 million and two
unfunded equity commitments with aggregate unfunded commitments of
$336 thousand
Conference Call Information
FSIC will host a conference call at 10:00
a.m. (Eastern Time) on Thursday, May
11, 2017, to discuss its first quarter financial results.
All interested parties are welcome to participate. You can access
the conference call by dialing (877) 443-2408 and using the
conference ID 4086487 approximately 10 minutes prior to the call.
The conference call will also be webcast, which can be accessed
from the Investor Relations section of FSIC's website at
www.fsinvestmentcorp.com under Presentations and
Reports.
A replay of the call will be available for a period of 30 days
following the call by visiting the Investor Relations section of
FSIC's website at www.fsinvestmentcorp.com under
Presentations and Reports.
Supplemental Information
An investor presentation of financial information will be made
available prior to the call in the Investor Relations section of
FSIC's website at www.fsinvestmentcorp.com under
Presentations and Reports.
About FS Investment Corporation
FS Investment Corporation (NYSE: FSIC) is a publicly traded
business development company ("BDC") focused on providing
customized credit solutions to private middle market U.S.
companies. FSIC seeks to invest primarily in the senior secured
debt and, to a lesser extent, the subordinated debt of private
middle market companies to achieve the best risk-adjusted returns
for its investors. In connection with its debt investments, FSIC
may receive equity interests such as warrants or options.
FSIC is advised by FB Income Advisor, LLC, an affiliate of FS
Investments, and is sub-advised by GSO / Blackstone Debt Funds
Management LLC, an affiliate of GSO Capital Partners ("GSO"). GSO,
with approximately $93.1 billion in
assets under management as of March 31,
2017, is the credit platform of Blackstone, one of the
world's leading managers of alternative investments. For more
information, please visit www.fsinvestmentcorp.com.
About FS Investments
FS Investments is a leading asset manager dedicated to helping
individuals, financial professionals and institutions design better
portfolios. The firm provides access to alternative sources of
income and growth through funds managed in partnership with top
institutional investment advisers. It focuses on setting industry
standards for investor protection, education and
transparency.
FS Investments is headquartered in Philadelphia with offices in Orlando and Washington, DC. The firm currently manages
seven funds with over $20 billion in
assets under management as of March 31,
2017.
Visit www.fsinvestments.com to learn more.
Forward-Looking Statements and Important Disclosure
Notice
This announcement may contain certain forward-looking
statements, including statements with regard to future events or
the future performance or operations of FSIC. Words such as
"believes," "expects," "projects," and "future" or similar
expressions are intended to identify forward-looking statements.
These forward-looking statements are subject to the inherent
uncertainties in predicting future results and conditions. Certain
factors could cause actual results to differ materially from those
projected in these forward-looking statements. Factors that could
cause actual results to differ materially include changes in the
economy, risks associated with possible disruption in FSIC's
operations or the economy generally due to terrorism or natural
disasters, future changes in laws or regulations and conditions in
FSIC's operating area, and the price at which shares of FSIC's
common stock trade on the New York Stock Exchange. Some of these
factors are enumerated in the filings FSIC makes with the SEC. FSIC
undertakes no obligation to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise.
The press release above contains summaries of certain financial
and statistical information about FSIC. The information contained
in this press release is summary information that is intended to be
considered in the context of FSIC's SEC filings and other public
announcements that FSIC may make, by press release or otherwise,
from time to time. FSIC undertakes no duty or obligation to update
or revise the information contained in this press release. In
addition, information related to past performance, while helpful as
an evaluative tool, is not necessarily indicative of future
results, the achievement of which cannot be assured. Investors
should not view the past performance of FSIC, or information about
the market, as indicative of FSIC's future results.
Individual investors and endowments may have different
investment horizons, liquidity needs and risk tolerances. In
addition, fees that may be incurred by an investor in a fund
sponsored by FS Investments may be different than fees incurred by
an endowment investing in similar assets as those in which the
funds invest.
Other Information
The information in this press release is summary information
only and should be read in conjunction with FSIC's quarterly report
on Form 10-Q for the quarterly period ended March 31, 2017, which FSIC filed with the U.S.
Securities and Exchange Commission (the "SEC") on May 10, 2017, as well as FSIC's other reports
filed with the SEC. A copy of FSIC's quarterly report on Form 10-Q
for the quarterly period ended March 31,
2017 and FSIC's other reports filed with the SEC can be
found on FSIC's website at www.fsinvestmentcorp.com and the
SEC's website at www.sec.gov.
Certain Information About Distributions
The determination of the tax attributes of FSIC's distributions
is made annually as of the end of its fiscal year based upon its
taxable income and distributions paid, in each case, for the full
year. Therefore, a determination as to the tax attributes of the
distributions made on a quarterly basis may not be representative
of the actual tax attributes for a full year. FSIC intends to
update stockholders quarterly with an estimated percentage of its
distributions that resulted from taxable ordinary income. The
actual tax characteristics of distributions to stockholders will be
reported to stockholders annually on Form 1099-DIV.
The timing and amount of any future distributions on FSIC's
shares of common stock are subject to applicable legal restrictions
and the sole discretion of its board of directors. There can be no
assurance as to the amount or timing of any such future
distributions.
FSIC may fund its cash distributions to stockholders from any
sources of funds legally available to it, including proceeds from
the sale of shares of FSIC's common stock, borrowings, net
investment income from operations, capital gains proceeds from the
sale of assets, non-capital gains proceeds from the sale of assets
and dividends or other distributions paid to it on account of
preferred and common equity investments in portfolio companies.
FSIC has not established limits on the amount of funds it may use
from available sources to make distributions. There can be no
assurance that FSIC will be able to pay distributions at a specific
rate or at all.
Contact Information:
Investors
Chris Condelles
christopher.condelles@fsinvestments.com
267-439-4365
Dominic Mammarella
dominic.mammarella@fsinvestments.com
215-220-4280
Media
Marc Yaklofsky / Kate Beers
media@fsinvestments.com
215-495-1174
Income
Statement
|
|
|
|
|
Three Months
Ended
|
|
|
March
31,
|
|
|
2017
|
|
2016
|
Investment
income
|
|
|
|
|
From
non-controlled/unaffiliated investments:
|
|
|
|
|
Interest
income
|
|
$
|
79,719
|
|
|
$
|
99,452
|
|
Fee income
|
|
19,530
|
|
|
1,642
|
|
From
non-controlled/affiliated investments:
|
|
|
|
|
Interest
income
|
|
4,290
|
|
|
967
|
|
Fee income
|
|
29
|
|
|
—
|
|
Dividend
income
|
|
—
|
|
|
224
|
|
From
controlled/affiliated investments:
|
|
|
|
|
Interest
income
|
|
2,496
|
|
|
778
|
|
Total investment
income
|
|
106,064
|
|
|
103,063
|
|
|
|
|
|
|
Operating
expenses
|
|
|
|
|
Management
fees
|
|
18,367
|
|
|
17,812
|
|
Subordinated income
incentive fees
|
|
13,147
|
|
|
12,485
|
|
Administrative
services expenses
|
|
734
|
|
|
1,196
|
|
Accounting and
administrative fees
|
|
265
|
|
|
228
|
|
Interest
expense
|
|
19,439
|
|
|
18,894
|
|
Directors'
fees
|
|
271
|
|
|
229
|
|
Other general and
administrative expenses
|
|
1,251
|
|
|
2,281
|
|
Total operating
expenses
|
|
53,474
|
|
|
53,125
|
|
Net investment
income
|
|
52,590
|
|
|
49,938
|
|
|
|
|
|
|
Realized and
unrealized gain/loss
|
|
|
|
|
Net realized gain
(loss) on investments:
|
|
|
|
|
Non-controlled/unaffiliated investments
|
|
(48,447)
|
|
|
(13,779)
|
|
Non-controlled/affiliated investments
|
|
305
|
|
|
—
|
|
Controlled/affiliated
investments
|
|
(52,879)
|
|
|
—
|
|
Net realized gain
(loss) on foreign currency
|
|
123
|
|
|
84
|
|
Net change in
unrealized appreciation (depreciation) on investments:
|
|
|
|
|
Non-controlled/unaffiliated investments
|
|
129,260
|
|
|
(54,703)
|
|
Non-controlled/affiliated investments
|
|
(12,328)
|
|
|
6,367
|
|
Controlled/affiliated
investments
|
|
(4,499)
|
|
|
1,633
|
|
Net change in
unrealized appreciation (depreciation) on secured
borrowing
|
|
(10)
|
|
|
—
|
|
Net change in
unrealized gain (loss) on foreign currency
|
|
(722)
|
|
|
(1,637)
|
|
Total net realized and
unrealized gain (loss)
|
|
10,803
|
|
|
(62,035)
|
|
Net increase
(decrease) in net assets resulting from operations
|
|
$
|
63,393
|
|
|
$
|
(12,097)
|
|
Per share
information—basic and diluted
|
|
|
|
|
Net increase
(decrease) in net assets resulting from operations (Earnings per
Share)
|
|
$
|
0.26
|
|
|
$
|
(0.05)
|
|
Weighted average
shares outstanding
|
|
244,554,969
|
|
|
242,847,016
|
|
Balance
Sheet
|
|
|
|
|
|
|
March 31,
2017
|
|
|
|
|
(Unaudited)
|
|
December 31,
2016
|
|
Assets
|
|
|
|
|
Investments, at fair
value
|
|
|
|
|
Non-controlled/unaffiliated investments (amortized
cost—$3,535,672 and $3,509,899, respectively)
|
|
$
|
3,595,984
|
|
|
$
|
3,440,951
|
|
Non-controlled/affiliated investments (amortized
cost—$211,318 and $153,167, respectively)
|
|
248,618
|
|
|
202,795
|
|
Controlled/affiliated
investments (amortized cost—$81,869 and $80,874,
respectively)
|
|
79,566
|
|
|
83,070
|
|
Total investments, at
fair value (amortized cost—$3,828,859 and $3,743,940,
respectively)
|
|
3,924,168
|
|
|
3,726,816
|
|
Cash
|
|
53,015
|
|
|
264,594
|
|
Foreign currency, at
fair value (cost—$667 and $4, respectively)
|
|
669
|
|
|
4
|
|
Receivable for
investments sold and repaid
|
|
252,782
|
|
|
75,921
|
|
Income
receivable
|
|
47,044
|
|
|
36,106
|
|
Deferred financing
costs
|
|
8,246
|
|
|
5,828
|
|
Prepaid expenses and
other assets
|
|
427
|
|
|
802
|
|
Total
assets
|
|
$
|
4,286,351
|
|
|
$
|
4,110,071
|
|
|
|
|
|
|
Liabilities
|
|
|
|
|
Payable for
investments purchased
|
|
$
|
40,000
|
|
|
$
|
5,748
|
|
Credit facilities
payable
|
|
755,128
|
|
|
619,932
|
|
Unsecured notes
payable (net of deferred financing costs of $1,880 and $1,884,
respectively)
|
|
1,071,263
|
|
|
1,070,701
|
|
Secured borrowing, at
fair value (proceeds of $2,832 and $2,831, respectively)
|
|
2,891
|
|
|
2,880
|
|
Stockholder
distributions payable
|
|
54,485
|
|
|
54,364
|
|
Management fees
payable
|
|
18,367
|
|
|
18,022
|
|
Subordinated income
incentive fees payable
|
|
13,147
|
|
|
12,885
|
|
Administrative
services expense payable
|
|
346
|
|
|
516
|
|
Interest
payable
|
|
17,463
|
|
|
20,144
|
|
Directors' fees
payable
|
|
270
|
|
|
281
|
|
Other accrued
expenses and liabilities
|
|
1,356
|
|
|
7,221
|
|
Total
liabilities
|
|
1,974,716
|
|
|
1,812,694
|
|
Commitments and
contingencies
|
|
—
|
|
|
—
|
|
|
|
|
|
|
Stockholders'
equity
|
|
|
|
|
Preferred stock,
$0.001 par value, 50,000,000 shares authorized, none issued and
outstanding
|
|
—
|
|
|
—
|
|
Common stock, $0.001
par value, 450,000,000 shares authorized, 244,599,661 and
244,063,357 shares issued
and outstanding,
respectively
|
|
245
|
|
|
244
|
|
Capital in excess of
par value
|
|
2,266,389
|
|
|
2,261,040
|
|
Accumulated
undistributed net realized gain/loss on investments and gain/loss
on foreign currency
|
|
(205,172)
|
|
|
(104,274)
|
|
Accumulated
undistributed (distributions in excess of) net investment
income
|
|
146,131
|
|
|
148,026
|
|
Net unrealized
appreciation (depreciation) on investments and secured borrowing
and unrealized gain/loss on
foreign
currency
|
|
104,042
|
|
|
(7,659)
|
|
Total
stockholders' equity
|
|
2,311,635
|
|
|
2,297,377
|
|
Total
liabilities and stockholders' equity
|
|
$
|
4,286,351
|
|
|
$
|
4,110,071
|
|
Net asset value per
share of common stock at period end
|
|
$
|
9.45
|
|
|
$
|
9.41
|
|
Non-GAAP Financial Measures
This press release contains certain financial measures that have
not been prepared in accordance with generally accepted accounting
principles in the United States
("GAAP"). FSIC uses these non-GAAP financial measures internally in
analyzing financial results and believes that the use of these
non-GAAP financial measures is useful to investors as an additional
tool to evaluate ongoing results and trends and in comparing FSIC's
financial results with other BDCs.
Non-GAAP financial measures are not meant to be considered in
isolation or as a substitute for comparable GAAP financial
measures, and should be read only in conjunction with FSIC's
consolidated financial statements prepared in accordance with GAAP.
A reconciliation of non-GAAP financial measures to the most
directly comparable GAAP measures has been provided in this press
release, and investors are encouraged to review the
reconciliation.
Reconciliation of
Non-GAAP Financial Measures1
|
|
|
Three Months
Ended
|
|
March 31,
2017
|
December 31,
2016
|
March 31,
2016
|
GAAP net investment
income per share
|
$0.22
|
$0.21
|
$0.21
|
Plus capital gains
incentive fees per share
|
—
|
—
|
—
|
Plus excise taxes per
share
|
—
|
0.02
|
—
|
Plus one-time
expenses per share
|
—
|
—
|
0.00
|
Adjusted net
investment income per share2
|
$0.22
|
$0.23
|
$0.21
|
1)
|
Per share data was
derived by using the weighted average shares of FSIC's common stock
outstanding during the applicable
period. Per share numbers may not sum due to rounding.
|
|
|
2)
|
Adjusted net
investment income is a non-GAAP financial measure. Adjusted net
investment income is presented for all
periods as GAAP net investment income excluding (i) the accrual for
the capital gains incentive fee for realized and
unrealized gains; (ii) excise taxes; and (iii) certain
non-recurring operating expenses that are one-time in nature and
are not
representative of ongoing operating expenses incurred during FSIC's
normal course of business (referred to herein as
one-time expenses). FSIC uses this non-GAAP financial measure
internally in analyzing financial results and believes that the
use
of this non-GAAP financial measure is useful to investors as an
additional tool to evaluate ongoing results and trends and in
comparing its financial results with other business development
companies. The presentation of this additional information
is not meant to be considered in isolation or as a substitute for
financial results prepared in accordance with GAAP. A
reconciliation
of GAAP net investment income to adjusted net investment income can
be found above.
|
|
|
3)
|
The per share data
for distributions reflects the amount of distributions paid per
share of our common stock to stockholders of
record during each applicable period.
|
|
|
4)
|
See FSIC's quarterly
report on Form 10-Q for the three months ended March 31, 2017 for a
description of FSIC's investment strategies.
|
|
|
5)
|
Gross portfolio yield
represents the expected annualized yield of FSIC's investment
portfolio based on the
composition of the portfolio as of the applicable date. FSIC's
estimated gross portfolio yield may be higher than an
investor's yield on an investment in shares of FSIC's common stock
because it does not reflect sales commissions or charges
that may be incurred in connection with the purchase or sale of
such shares, or operating expenses that may be incurred by
FSIC.
FSIC's estimated gross portfolio yield does not represent an actual
investment return to stockholders, is subject to change and, in
the future, may be greater or less than the rates set forth
herein.
|
|
|
6)
|
Interest income is
recorded on an accrual basis. See FSIC's quarterly report on Form
10-Q for the three months ended March 31, 2017
for a description of FSIC's revenue recognition policy.
|
|
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/fsic-reports-first-quarter-2017-financial-results-and-declares-regular-distribution-for-second-quarter-300455520.html
SOURCE FS Investment Corporation