Oaktree Specialty Lending reports Q4 adjusted NII 61c, consensus 59c

Reports Q4 total investment income $79.18M, consensus $73.16M. Net asset value per share was $19.63 as of December 31, 2022 vs. $20.38 as of September 30, 2022. CEO Armen Panossian said, "We produced excellent results to start the fiscal year, with adjusted net investment income of 61c per share, up 10% from the prior quarter, supported by robust origination activity, which drove our annualized return on equity to just under 12%. Drawing upon the breadth of the Oaktree platform, we identified attractive investments across a mix of both sponsor and non-sponsor deals at a weighted average yield of 13%. Still, we remain highly selective, prudently focusing on deals that are appropriately risk-adjusted. Our continued solid credit quality reflects this, and we believe our portfolio is defensively positioned for the current market environment. Subsequent to the end of the quarter, we closed our previously announced merger with Oaktree Strategic Income II, Inc. Following closing, we now have more than $3.3B of assets and significantly more scale and financial flexibility to leverage as we pursue compelling new investments in the year ahead. Altogether, we believe we are in excellent financial shape in the new year and well-positioned to continue delivering attractive returns to our shareholders."