Oaktree Specialty Lending reports Q4 adjusted NII 62c, consensus 63c

Reports Q4 total investment income $101.9M, consensus $103.45M. Q3 NAV per share was $19.63 as of September 30, 2023, up slightly as compared with $19.58 as of June 30, 2023 and down from $20.38 as of September 30, 2022. CEO Armen Panossian said, “We delivered solid Q4 results, culminating a fiscal year defined by strong earnings growth and attractive new deployment activity. We produced record adjusted net investment income for the year, driven by higher base rates that highlighted the power of our predominantly floating rate loan portfolio, as well as our ability to deploy capital at wider spreads. This enabled us to generate an ROE of over 12% for the year. Additionally, our merger with Oaktree Strategic Income II, Inc. contributed to our record results. The transaction, which closed in January and proved accretive to earnings, created greater scale and financial flexibility that we believe will drive continued positive investment performance. We also strengthened our capital structure in August through the issuance of $300M of notes due 2029, creating additional flexibility and increased investment capacity that positions OCSL to prudently pursue new investment opportunities and favorable returns for our shareholders.”