Eagle Point Credit Company Inc. (NYSE:ECC) (NYSE:ECCA) (NYSE:ECCZ) (the “Company”) today announced financial results for the quarter and fiscal year ended December 31, 2015 and net asset value (“NAV”) as of December 31, 2015 in addition to certain portfolio activity through February 23, 2016.

FOURTH QUARTER 2015 AND YEAR END 2015 RESULTS

The Company’s net investment income for the quarter ended December 31, 2015 was $0.53 per share of common stock, which compares favorably to net investment income per share of $0.51 for the quarter ended September 30, 2015, and $0.31 per share for the quarter ended December 31, 2014. For the fiscal year ended December 31, 2015, the Company recorded net investment income of $1.89 per share of common stock.

For the quarter ended December 31, 2015, the Company recorded a net loss of $20.7 million, or $1.50 per share of common stock. The net loss was comprised of total investment income of $12.1 million, offset by total expenses of $4.8 million and net unrealized depreciation, or unrealized mark-to-market loss on investments, of $28.0 million.

For the fiscal year ended December 31, 2015, the Company recorded a net loss of $41.0 million. The loss was comprised of total investment income of $42.3 million and a net realized gain on investments of $0.3 million, offset by total expenses of $16.3 million and net unrealized depreciation, or unrealized mark-to-market loss on investments, of $67.3 million. Expenses include, among other items, interest expense and amortization of deferred debt issuance costs related to the Company’s 7.75% Series A Term Preferred Stock due 2022 (the “Series A Term Preferred Stock”) and the Company’s 7.00% Unsecured Notes due 2020.

During the quarter ended December 31, 2015, the Company received $21.1 million of cash flow from its investment portfolio, or $1.53 per share of common stock. For the fiscal year ended December 31, 2015, the Company received $66.6 million of cash flow from its investment portfolio, or $4.82 per share of common stock.

The NAV of the Company as of December 31, 2015 was $189.6 million, or $13.72 per share of common stock. This was a decrease of $29.0 million or $2.10 per share from the quarter ended September 30, 2015 and a decrease of $74.0 million or $5.36 per share from December 31, 2014. The change in the Company’s NAV during the 2015 fiscal year was principally attributable to mark-to-market pricing pressure faced by the investments held within the Company’s portfolio.

Chief Executive Officer Thomas Majewski commented, “Despite a decrease in NAV quarter-on-quarter (which was driven by unrealized depreciation), we are pleased with the growth in the Company’s net investment income from $0.51 per share of common stock in the third quarter of 2015 to $0.53 per share of common stock in the fourth quarter of 2015.”

During the quarter ended December 31, 2015, the Company made net new investments totaling $10.0 million. For the fiscal year ended December 31, 2015, the Company made net new investments totaling $114.6 million.

As of December 31, 2015, the weighted average effective yield on the Company’s CLO equity portfolio was 16.68%, slightly up from 16.65% as of September 30, 2015 and up from 15.30% as of December 31, 2014. The weighted average effective yield of these CLO equity investments includes a provision for credit losses.

The closing price per share of the Company’s common stock on December 31, 2015 was $16.43, representing a 19.75% premium to NAV as of such date.

As of December 31, 2015 on a look-through basis, and based on the most recent CLO trustee reports received by such date, the Company had exposure to approximately 1,078 unique corporate obligors. The largest look-through obligor represented 1.0% of the Company’s CLO equity and loan accumulation facility portfolio. The top-ten largest look-through obligors represented 7.3% of the Company’s CLO equity and loan accumulation facility portfolio.

As of December 31, 2015, the Company had debt and preferred securities outstanding which totaled approximately 27.4% of its total assets, which is in line with management’s expectations under current market conditions of operating the Company with leverage (in the form of borrowings, debt securities and/or preferred stock) within a range of 25% to 35% of total assets. As market conditions evolve, or should significant opportunities present themselves, the Company may incur leverage outside of this range, subject to applicable regulatory limits.

ADDITIONAL INFORMATION

The Company has made its 2015 Annual Report available on its website, http://eaglepointcreditcompany.com. The 2015 Annual Report includes the Company’s audited financial statements as of and for the period ended December 31, 2015. The Company also published on its website an investor presentation which contains additional information about the Company and its portfolio as of and for the period ended December 31, 2015. In addition, the Company makes a monthly estimate of NAV and certain additional financial information available to investors via its website. This information includes an estimated range of the Company’s NAV per share of common stock for the prior month end, generally made available within the first fifteen days after each calendar month end, and, during the latter part of each month, certain additional portfolio-level information and an updated estimate of NAV, if applicable. Going forward, in connection with the publication of management’s estimate of the Company’s calendar quarter end NAV, the Company intends to publish management’s estimate of the Company’s net investment income for that quarter.

FIRST QUARTER 2016 PORTFOLIO ACTIVITY THROUGH FEBRUARY 23, 2016 AND OTHER UPDATES

Since December 31, 2015 and through February 23, 2016, the Company has received cash distributions on its investment portfolio totaling $20.3 million, or $1.47 per share of common stock. In addition, as published on the Company’s website earlier this week, the Company’s unaudited estimate of the NAV per share of its common stock as of January 31, 2016 was $12.99. This estimate reflects management’s estimate as of January 31, 2016, was published for information purposes only, and is subject to revision.

During the first quarter of 2016 through February 23, 2016, the Company has made net new investments totaling $25.1 million.

While the Company does not intend to provide regular guidance on its projected performance, based on the cash flows and the investment income recognized on the portfolio investments through February 23, 2016 and management’s expectation of such items through March 31, 2016 under current market conditions, the Company expects its GAAP net investment income per share for the quarter ending March 31, 2016 to be between $0.57 and $0.62.

DISTRIBUTIONS

On January 29, 2016, the Company paid a distribution of $0.60 per share of common stock for stockholders of record as of December 31, 2015. This is consistent with prior distributions paid by the Company. The Company intends to pay a quarterly distribution on its shares of common stock for the first quarter of 2016, which the Company expects to declare within the next few weeks. The Company expects the distribution to be in line with its prior distributions.

The Company paid a distribution of $0.161459 per share of the Series A Term Preferred Stock (NYSE: ECCA) on January 29, 2016, to stockholders of record on January 15, 2016. The distribution represented a 7.75% annualized rate, based on the Series A Term Preferred Stock’s $25 liquidation preference per share. Additionally, and as previously disclosed, the Company declared distributions of $0.161459 per share on its Series A Term Preferred Stock, payable on each of February 29, 2016 and March 31, 2016, to stockholders of record on February 16, 2016 and March 15, 2016, respectively.

CONFERENCE CALL

As previously disclosed, the Company will host a conference call at 11:00 a.m. (Eastern Time) on Friday, February 26, 2016 to discuss the Company’s financial results for the fourth quarter and year ended December 31, 2015, and a portfolio update. All interested parties may participate in the conference call by dialing (877) 201-0168 (domestic) or (647) 788-4901(international), and entering Conference ID 38781945 approximately 10 to 15 minutes prior to the call. An archived replay of the call will be available shortly afterwards until March 26, 2016. To hear the replay, please dial (855) 859-2056 (domestic) or (404) 537-3406 (international). For the replay, enter conference ID 38781945.

ABOUT EAGLE POINT CREDIT COMPANY

The Company is a non-diversified, closed-end management investment company. The Company’s investment objectives are to generate high current income and capital appreciation primarily through investment in equity and junior debt tranches of collateralized loan obligations. The Company is externally managed and advised by Eagle Point Credit Management LLC. The principals of Eagle Point Credit Management LLC are Thomas P. Majewski, Daniel W. Ko and Daniel M. Spinner. The Company makes a monthly estimate of NAV and certain additional financial information available to investors via its website (www.eaglepointcreditcompany.com). This information includes an estimated range of the Company’s NAV per share of common stock for the prior month end, generally made available within the first fifteen days after each calendar month end, and, during the latter part of each month, certain additional portfolio-level information and an updated estimate of NAV, if applicable.

FORWARD-LOOKING STATEMENTS

This press release may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described in the Company’s filings with the U.S. Securities and Exchange Commission (“SEC”). The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

FURTHER INFORMATION REGARDING PROJECTED FINANCIAL INFORMATION

The projection of net investment income for the fiscal quarter ending March 31, 2016 reflects management’s judgment as of the date of this press release of conditions it expects to exist and the course of action it expects the Company to take during the three months ending March 31, 2016. The projected amount is based on investment income to date and assumes that the CLO investments held by the Company comply with their distribution waterfall requirements for the current period and that current market conditions continue. Although the Company considers its assumptions to be reasonable as of the date of this press release, such assumptions are subject to a wide variety of significant business, economic and competitive risks and uncertainties that could cause actual results to differ materially from those contained in the projection, including risks and uncertainties described in the Company’s filings with the SEC, such as the risks described as under the heading “Investment Risk Factors and Concentration of Investments” in the notes to the Company’s consolidated financial statements included in the Company’s Annual Report to Stockholders for the fiscal year ended December 31, 2015. Accordingly, there can be no assurance that the projection is indicative of the Company’s future performance or that actual results will not differ materially from those presented in the projection.

The projected net investment income information was not prepared with a view toward complying with the guidelines established by the American Institute of Certified Public Accountants with respect to prospective financial information, but, in the Company’s view, was prepared on a reasonable basis and reflects the best currently available estimates and judgments of Company management. However, this information is not fact and readers of this press release should not rely upon this information as being necessarily indicative of future results or to place undue reliance on the projected financial information. Inclusion of the projected financial information in this press release should not be regarded as a representation by any person that the results contained in the projected financial information will be achieved.

Neither the Company’s independent registered public accounting firm nor any other independent accountants has compiled, examined, or performed any procedures with respect to the projected financial information contained herein, nor has either one of them expressed any opinion or any other form of assurance on such information or its achievability, and assume no responsibility for, and disclaim any association with, the prospective financial information.

The Company does not generally plan to publish projected financial information. Accordingly, the Company does not intend to update or otherwise revise the projected financial information for the fiscal quarter ending March 31, 2016 to reflect circumstances existing since its preparation or to reflect the occurrence of unanticipated events, even in the event that any or all of the underlying assumptions are shown to be in error. Furthermore, the Company does not intend to update or revise the prospective financial information to reflect changes in general economic or industry conditions.

Source: Eagle Point Credit Company

Investor Relations:Eagle Point Credit Company Inc.Kenneth P. Onorio, 203-340-8500Chief Financial Officerir@EaglePointCredit.comwww.eaglepointcreditcompany.com

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