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FS Credit Opportunities Corp. (FSCO) Increases Monthly Distribution

In an exciting development for shareholders, FS Credit Opportunities Corp. (NYSE: FSCO) has declared an increased monthly distribution rate for June 2025. The announcement, made on June 9, 2025, is expected to resonate positively within the investment community and among shareholders looking for returns on their investments.

The Details of the Distribution Increase

The Board of Directors has confirmed that the new monthly distribution of $0.0678 per share represents a 5.1% increase over the distribution of the previous month, May 2025. This marks a commendable moment for the Fund, as it reflects not only strong financial performance but also the strategic foresight of FSCO’s investment team.

Andrew Beckman, the Head of FS Investments' Global Credit business and Portfolio Manager for FSCO, expressed his satisfaction with the distribution increase: "We are pleased to announce an approximately 5.1% increase to FSCO's monthly distribution. Our new rate represents a staggering 59.5% increase over the distribution amount when the Fund was listed on the NYSE in November 2022." This consistent growth is a testament to the Fund’s proactive investment strategy and commitment to maximizing shareholder value.

Context of the Increase

This latest hike is part of a broader trend; it marks the fourth distribution increase over the last two years, demonstrating FSCO's capability to adapt to market conditions while maintaining fiscal responsibility. The increase is largely attributed to the Fund's impressive income generation from select investment opportunities, which have significantly outperformed expectations. FSCO has been able to capture lucrative opportunities in a fluctuating financial environment.

Reflecting on Financial Performance

As of May 30, 2025, the annualized distribution yield stands at 10.5% based on net asset value (NAV) and 10.7% based on the market price. Throughout 2025, the Fund's monthly distribution has been fully supported by its net investment income on a tax basis. Particularly noteworthy is the estimated total return of 7.2% on NAV and 10.8% on shares' market price year-to-date—indicative of the Fund’s resilience and robust performance amid economic fluctuations.

As an asset manager with approximately $2.2 billion in assets under management, FSCO’s focus lies primarily in event-driven credit, special situations, private capital solutions, and non-traditional credit opportunities. This diversified investment approach helps to mitigate risk and enhance returns, making FSCO a competitive player in the market.

Important Distribution Details

The upcoming distribution is set to be paid out on June 30, 2025, with important dates including:

• - Ex-Date: June 23, 2025
• - Record Date: June 23, 2025

These dates are crucial for shareholders, as they provide the timeline for eligibility to receive the upcoming distribution.

Looking Ahead

FS Credit Opportunities Corp. continues to demonstrate a strong commitment to its shareholders. Beckman emphasized that the Fund remains vigilant in monitoring market conditions, portfolio performance, and the overall macroeconomic landscape. He states, "We will continually reassess our distribution policy to ensure it aligns with the long-term interests of shareholders as market dynamics evolve."

In summary, FS Credit Opportunities Corp.’s increase in monthly distributions highlights its strong investment performance and commitment to shareholder value, making it a worthy consideration for investors seeking reliable income in the current economic landscape. The Firm remains focused on delivering innovative investment solutions while achieving superior performance to meet the needs of a diverse client base, which underscores its position as a leader in alternative asset management.