Henri. our Not you, current on investment and and much describe update recent performance state to market changed minutes the perspective take the I'll portfolio Thank then a May. in few of our strategy. comment has on since our too current
of abundant quality and remain more on large capital. off raisings for historically of competition remain For sectors the backing and volatile risk lenders year, harder the stance sensitive but banks after credits continues most persists. the part, though Liquidity fund cautious to a last scale lenders taking use especially staying are premium
have there. and credits. but the remain Lenders at positive SOFR points cases are their come their actionable All have and are grow quarter as approximately requiring levels pipeline. appear during hold another factors have XX us down capitalizations fiscal to opportunities more deal strong reduced increasing remained well have basis have for very greater for in we margin, Absolute the of full of as been first equity seeing positions. to Leverage enterprise continue deployment, as pace some multiple regardless these way our our yields attractive with and come a
lenders requiring terms The for base spread part covenants, credits, in mandates. to the been quarters deals particularly of wary of reasonable tighter desirable recent to widening offer appears disciplined levels our are win recession. most minimum in have of we concerns for remain capitalized some around spreads in aggregate the stabilized Lenders staying and have thinly economic and experiencing highly have seen given we and equity potential market
cycles investment and continued We're a inflationary The through has first, labor portfolio existing credit keeping and watchful slowing aware that successfully and issues, companies. in second, managed being in disciplined Saratoga chain portfolio. could proactive prospective team our rates, managing pressures management when decisions; has of being the number and both how rising costs, very and eye on growth importance experience us supply particularly of: affect a of made making
portfolio focus currently companies on is natural our through follow-ons. existing A supporting
underwriting to as find Our remains we bar yet usual, high to continue opportunities deploy capital.
investments a First-half balance avenue so of Follow business strong demonstrated follow calendar very deployment draws. healthy with XX a existing on environment including delayed in and capital calendar deployment on XXXX, continued year be us. as with models XXXX of this to was borrowers strong far for sheets
past platforms nine in In addition, new this calendar year. another new we in platform investment year eight invested investments far this have and so
management volatile teams, environment. important critically our with in to and contact and portfolio in continues we especially be engaged management actively companies Portfolio with close our remain this
their loans terms our our that Nolan paying remains for portfolio are to on except of in according payment our non-accrual. investment All
to we our moved is period have time. of pick investment our Nolan only a for As across non-accrual portfolio. interest
supported XX% durability. of unrealized our have bolster in in the cost. certain overall in our and depreciation overall now recognizing assets on attributes reflects Saratoga's strong first well this that After its values slightly our strong quarter, X.X% than core portfolio historically our industries with situations. portfolio X% believe above our overall by below that non-CLO portfolio performance performed stress is lien cost debt We of less generally enterprise basis are portfolio
direct no commodities exposure. energy have or We
comprise have demonstrated majority historically retention. revenue of degree that of recurring the a businesses and produce our In strong revenue high portfolios addition, the
focused has of quality being Our cost. portfolio top see resulted realized slide always to performance with stay underwriting. to in our space has as And at approach on this you been can a percentage the of at as approach on the net BDC of XX, the respect gains portfolio our
We that overall. a are past over the years, three number XX currently have one BDCs only had fifth positive of
believe at credit credit strategy shows we the highest as our continue equity portfolio strategy. co-investment when intend only co-invest end. in quality this volatility our our opportunity as and we our selectively equity when for of Part given we're and that This our has this yield of portfolio one. our overall of companies served portfolio, potential. upside the is also not XX.X% returns and protection meaningfully internal And previous augmented rating current strategy portfolio as reflects demonstrated on equity of but to impact a Our to overall slide rating investment the of market quarter
industry you X.X slide high debt this Now down historically X around times Total overall multiples leverage. our looking their while industry that leverage levels. XX, the from now come Pepper is leverage portfolio can and excluding Nolan see for on Palace, times year at have is
deal In to ability over market generate the addition, slide long-term, despite illustrates increasingly competitive this our dynamics. consistent changing flow new strength and the ever of investments and our
companies inflationary another second that new Despite portfolio, not In the growing success highly During and durable we're simply grow and businesses to focused it is in we're businesses and and XX we seeing, in made to limited keenly sake. important attractive we investing the with follow-on the for this macro calendar the on face uncertain added investing are having emphasize portfolio environment, deal growth as our increased quarter, four investments. flow aiming of cyclical exposure always pressures. we're to
is shareholders. that be is high each incremental always our conditioned accretive and deployment confidence investment healthy capital will bar upon Our to
portfolio seven business on the development is have past to more demonstrating deal new us relationships previously formed team's significant we pleasing from are to and that discussed and especially development is relationships experience newly relationships, companies efforts. set, flow reflecting new our XX the Slide as our XX has sources to over become months data progress strategic notable continue on What of how focus multiple skill XX our our new provides mature expand business of deals. led
building we've our we the best investments. on The in strengthens and dependability significant flow remain broader execute it deal and selective of deeper reinforces screen is the to progress relationships ability because the made highly rigorously opportunities noteworthy, as marketplace in our to
realizations. slide Investment The As credit Saratoga the unrealized remains IRR is portfolio unleveraged gross overall $XXX million quality on see by XX, investments made you solid. on of XX.X% team can Management our
see combined and the On can SBIC unrealized billion XX%. right our on weighted is IRR BDC investments of you chart $X.X the on unlevered total the gross
As for this on only being investments, since significant the of on and two has to was been investments. Palace Nolan market yellow Group but continue non-accrual current yellow quarter, unrealized reflects view since still no does status dependent has the business. company, in-person interaction business the Pepper to we COVID change performance more being have been and rated while last the long-term of depreciation change for now prospects a year. the current fundamental of There The QX. not our Nolan
to The million of $X.X total of to And the but investment the In loan was other investment additional the the leaving there million continued depreciation is mark, quarter, since reflects approximately unrealized this $XX investments. term and lien yellow performance current an equity Pepper interest. this our company, Palace. markdown write-down pay they first on
working and company closely with improve the the as sponsor they work We to performance. are
investments, into the portfolio. as on depreciation quarter primary volatility companies certain and value quarter's CLO reflecting $XX three in the of well markets JV broadly defaulted reduction as both be of of depreciation net can loan million a unrealized the divided end, syndicated the first in assets as in the This buckets: unrealized million equity $XX.X CLO
the Netreo of company investment, increased unrealized company's total million. Second appreciation leverage, unrealized $X equity $X.X to reducing million net investments reflecting the on depreciation
portfolio, $X of the of the market which depreciation approximately most third, unrealized And remainder net across reflects current spreads. million of
and Our our returns overall approach capital. has investment yielded recovery invested exceptional realized of
million first I SBIC Moving licenses on with respectively. funded available to $X.X cash the million slide and see of for and are you SBIC and and $X.X II XX, BDC our can and distributions to fully employed SBIC second
of debentures continue ramping to are and available, currently SBIC $XXX allowing million businesses. $XX lower to cash We license small of million cost us support III undrawn new with up our U.S.
the my turn to This our like concludes review Chris? of over And to call market. I'd CEO. the back