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MSC Income Fund Reports Strong Financial Results for Q2 2026

The MSC Income Fund, Inc. (NYSE: MSIF), widely recognized in the investment community, has recently disclosed its financial outcomes for the second quarter of 2026, ending June 30. The Fund has exhibited strong financial performance, underscoring its commitment to providing value to its investors and stakeholders.

Major Highlights of Q2 2026

The second quarter has proven to be a fruitful one for the MSC Income Fund, with several key financial metrics showcasing the health of the Fund's operations:

• - Net Investment Income (NII): The Fund reported a net investment income of $12.0 million, translating to $0.26 per share.
• - Adjusted Net Investment Income (ANII): The adjusted net investment income reached $14.9 million, equating to $0.33 per share, reflecting the Fund's efforts to optimize its earnings.
• - Investment Income: Total investment income rose to $35.7 million, indicating a steady inflow from various portfolio companies.
• - Net Asset Value (NAV): As of June 30, the NAV stood at $16.51 per share, up from $15.87 at the end of the previous quarter, representing a remarkable increase.
• - Return on Equity: The Fund achieved an annualized return on equity of 15.9% for the quarter, a positive indicator of its performance relative to shareholders' equity.

Dividend Payouts and Changes

Reflecting positively on its financial success, MSC Income Fund announced a significant change in its dividend policy. Starting July 2026, the Fund will change its regular dividend payment frequency from quarterly to monthly, with a declared monthly dividend total of $0.33 per share for the third quarter. This adjustment aims to enhance cash flow management for its shareholders.

Additionally, in light of its strong quarterly results, the Fund declared a supplemental dividend of $0.03 per share, payable in September 2026, which brings total dividends declared for the second quarter to $0.36 per share.

Strong Operating Performance

MSC Income's operating results revealed the Fund's financial agility amid the current market conditions. The total investment expenses have increased but were primarily attributed to increased capital gains performance fees, which showcases the effectiveness in managing and growing its investment portfolio.

Dwayne L. Hyzak, the Chief Executive Officer of MSC Income, remarked: “We are pleased with the Fund's performance in the second quarter. The positive results included significant net fair value appreciation of the Fund's investment portfolio.” He further emphasized the Fund's positive outlook, citing the quality of its existing investments and the favorable liquidity position as critical components in anticipating future growth.

Investment Portfolio Insights

As of June 30, the composition of MSC Income's investment portfolio largely consisted of private loans, which made up about 61% of the total portfolio. The Fund also reported investments in lower middle markets (36%) and a small percentage in middle market and others (3%). This diversified investment strategy helps bolster its revenue streams while maintaining a balanced risk profile.

With the current economic climate, the Fund’s ability to navigate market changes and provide robust returns is a testament to its strategic management. The quarterly results not only indicate operational success but also project a strong trajectory for the forthcoming quarters.

Conclusion

The MSC Income Fund's impressive financial performance for the second quarter of 2026, combined with its proactive dividend strategy and strategic portfolio management, reinforces its commitment to delivering substantial value to its investors. Stakeholders can look forward to the upcoming conference call scheduled for August 7, 2026, where further insights into the Fund's performance and strategies will be discussed.