#United States #New York #financial results #Pearl Diver #Credit Company

Financial Overview

Pearl Diver Credit Company Inc. (NYSE: PDCC), a prominent player in the finance sector, has released its financial results for the fourth quarter ending December 31, 2024. The company has demonstrated impressive performance, solidifying its standing in the market.

Key Financial Highlights

• - Net Asset Value: As of December 31, 2024, the net asset value per share of the company’s common stock was reported at $19.89. This figure serves as a critical indicator of the company's overall financial health and market perception.

• - Net Investment Income (NII): For the fourth quarter, Pearl Diver achieved a net investment income of $3.4 million, equating to $0.50 per share. This was comprised of $5.4 million from investment income (or $0.80 per share) against expenses that amounted to $2.0 million (or $0.30 per share).

• - Realized and Unrealized Gains: The company noted an unrealized gain on investments of $0.5 million, translating to a gain of $0.07 per share, while also recognizing a realized loss that mirrored this figure, effectively breaking even in terms of realized performance for the quarter.

• - Leverage Position: As of the end of the quarter, Pearl Diver had total leverage of $35.6 million, representing 19.9% of its total assets, showing a conservative and strategic leverage approach in its financial operations.

Portfolio Insights

The portfolio managed by Pearl Diver also reflects strategic investment choices, focusing on collateralized loan obligations (CLOs). The weighted average effective yield from the CLO portfolio stood at an attractive 14.89% based on amortized cost.

• - Public Offering Success: Recently, the company completed an underwritten public offering of 1,200,000 shares of its 8.00% Series A Term Preferred Stock set to mature in 2029, reaffirming investor confidence in the company’s future prospects. Almost immediately post-offering, the overallotment option was exercised fully, resulting in an additional 180,000 shares sold, enhancing liquidity and capital structure.

• - Market Exposure: Through its CLO investments, Pearl Diver has indirect exposure to around 1,200 unique corporate obligors and more than 1,600 underlying loans, summing up to a substantial $19.0 billion. This diversification is critical in mitigating risks and ensuring steady returns from various sectors of the economy.

The focus on diversification is evident; the largest exposure to a single obligor represents just 0.7% of the total loans, while the top ten obligors together form only 4.3% of the underlying portfolio, showcasing a well-rounded approach to managing risks.

Upcoming Conference Call

In light of these solid results, Pearl Diver Credit Company plans to host a conference call to delve deeper into its fourth-quarter performance. Interested parties can tune in on January 28, 2025, at 11:00 AM Eastern Time, providing an opportunity for analysts and investors to gain more insights into the company’s strategies and outlook.

Participants can join the call by dialing 1-877-407-9208 for US callers or 1-201-493-6784 for international participants. There will also be a live audio webcast of the conference available on their official website.

About Pearl Diver Credit Company Inc.

Pearl Diver Credit Company Inc. operates as a closed-end management investment company with a focus on maximizing total return from its investments, primarily in equity and junior debt tranches of CLOs backed by portfolios of sub-investment grade, senior secured floating-rate debts.

Pearl Diver is managed externally by Pearl Diver Capital LLP, emphasizing its commitment to delivering superior financial outcomes for its shareholders.

For more details, prospective investors and interested parties are encouraged to visit www.pearldivercreditcompany.com for comprehensive information on its investment strategies and performance updates.