thanks our everyone third our found which our prepared on us for And year earnings to Chris. refer earnings www.capitalsouthwest.com. website in will at joining to various call. our XXXX for slides presentation, remarks, Throughout fiscal quarter be Thanks, can we
to We a announce flow the originations we of which a our teams excellent deal our continue significant closing. want to deal we quarter an deals as investment summary, generating discipline this allowing our quarter. job exercise net to In are results had morning to determining, solid us do with to quarter income conservative growth in for for pursue to investment and pleased strong you be
stable the at fellow at facility added for internally interest increasing a repurchased Southwest during two out managed NAV dividends, closely efficiency, of we preservation growth. of cost Laid slide execute quarter. upside we follow-on through sustainable remains and consistently XXbX-X structure, across Capital-led market We general, equity Debt per prominent on gain. shareholders We co-investments one the consisting of our shares Lower focus from opportunistically shareholder interest are foundation capital different refinance and points In with ING completed We long-term December. credit our a its opportunity balance significant Secured where exited equity and exists. assets to company's stated, of through believe ever loan value in share Market have Senior under the $XX.X volatility sheet largely six we our our we Capital generating of friendly our we portfolio operating the our stock As Lien we summary quarter. portfolio, remaining building continue which the aligns upsize of Middle our Xst Further, some predominantly in offering, million time equity our performance saw raising BDC investors. legacy program on a important that the completed modest equity excessive on two first with
of paid per we earned During investment regular share. of $X.XX per income a share $X.XX and the quarter, dividend net pre-tax
investment In and addition, or our funded from from accumulated sizable, per our undistributed gains income our excess capital date. balance Supplemental Dividend Program income generated share, by paid UTI strategy out taxable to $X.XX
annualized dividend the out of quarter, dividends, yield paid the per a total For total $X.XX X.X%. in share generated
existing portfolio quarter, the our million $XX September XXXX. demonstrate $XXX total during continue traction net on offset the led XXXX quarter. an teams by to to During XX, in in from by the originated all company, this deployed deals directly a in Capital they commitments $XXX portfolio XX, Southwest Originating $XX million exits our capital as the at market. we our was of add-on in Again portfolio two by quarter and investment basis grew December and million million to new one investments at companies in proceeds from
I-XX solid the quarter. fund on yield annualized capital our providing fund loan performance for continued its XX.X% the senior Our in also a
increasing by the grow to balance sheet our balance size the continued we quarter, credit the side our of During facility. sheet right of
of bank obtain to pricing for while a part increase significant and credit reducing facility in our our commitments facility. able of As lenders the were we the amendment comprehensive overall cost
to the passed also in access increased the Credit were to Business Availability ability Act the leverage we Small Importantly, under XXXX. allowable able incorporate
legislation amendment As amended at moment. Southwest at us a X.X:X. reminder, credit Mike regulatory limiting the BDC Board while of leverage two-to-one both and to discuss allows the a increase policy equity, of our will than more no in the the to a Capital specifics our facility the at approved debt leverage also
our in an in also which asset leverage to from the BDC, increasing we increase flow internally leverage will base of virtually prudently the higher increase All portfolio, our at to quality our to shareholders. driving -- the through X% the will Internet ability loan enhance while While shareholders. returns our structure of managed economics
to levels our leverage target Turning as continued track of assets. dividends a shareholder migrate softly illustrate record through the we growing slide to income-generating continue portfolio of we well-performing BDC to seven, building
both per per time over as supplemental NAV NAV well which for illustrate adjusted as On to adjusts paid dividends out share the also share slide shareholders. we
depreciation a this -- for net -- XX, $X.X comment quarter approximately of NAV $X.XX investment the $XX.XX I'll quarter of the moment. $XX.XX from which decreased things; three For in September or experienced first, on per was X% in decrease XX, as XXXX dollars in XXXX. as driven NAV share December million The XX% of or by a net portfolio $X.XX on share we our
Second, third, $X.XX Southwest the employees. of to we quarterly an paid out grant stock our made per supplemental annual share the UTI Board Capital restricted and a balance; of from dividend
grants shares upon While stock shares years, four restricted our total immediately all granted to grant. over invest are outstanding added
NAV decreased of adding on quarters the restricted and effect by the both annual points. representing frame share supplemental of XX approximately dividend paid share valuations, reference, the the back X% asset per the from or portfolio NAV effect effect from isolate solely our grant to basis a from stock per $X.XX decrease share, a three employees of would by have per if As you
extreme portfolios the including valuations expect, year. BDC this all was quarterly valuations we as of near case the were generally had on lows the as at of the markets measured the in quarter, ours might day you December which when the market negative are in for of saw last effect volatility As a
the quarter which of quarterly the are of relevant levels meaningfully of end our down from the indices, key at quarter. inputs the process, evaluation Specifically at levels market various September were the the end
syndication instances discounted As On of this the quarter's public we for our significantly the quotes the a saw in estimation fall. market portfolio. on corporate majority syndicated this saw side loan a the rise all was in down the credit come accompanied at equity side syndicated we the not down while "was markets from multiples at were fundamental the rather Though virtually sale of spreads overall to significant our debt by desks volatility market and paper than result performance Southwest depreciation market the portfolio price Capital lower levels." related year-end
weighted companies compared investment Southwest rating In grew due rating two our companies portfolio, within market upgrade, internal quarter average end. an downgrade. Within across to investment Capital investment the decreased Security our and fact, Southwest lower the prior and portfolio average a while quarter-over-quarter – to process, an portfolio our middle weighted received the received on rating revenue basis, three portfolio capital EBITDA leverage in internal
the as one signed are performance the we scale of and an portfolio the investments one being all four investment highest being portfolio rating. two with as investment portfolio upon were or a and as are investment investment the investment grade lowest rating two, an the four companies of rating in the of rated on pleased rated is initially XX% no origination As is Overall, reminder, at with a of rated X% four. grade three portfolio point grade
place quarter, downgrades. Kings This was are senior first we of which the one AG our lien secured to did loan two non-accrual
cost alongside $X.X as a particular this a other in invested million few middle participant at market loan lenders. have We prominent club
call Therefore, too payments While I interest payment discussion. careful EBITDA, lender the times amendment to certain will current lender a approximately to regarding sponsor the of that, provide not be default the for the posture company on want with enterprise resolved specifics and withhold in aggressive value a has group on is lender of company's default Based company, optimistic are in be to broader of of say its into level covenants manner be group and four is December we a company of on to many I the rolled and decided favorable today remains a of its estimation aggressively in experience revenues. payment addition pursuing our the public will private to financial the partners. debt that defaulted that Southwest leverage monthly this Capital this
X. slide to Turning
Our consistent, investment strategy has XXXX. launch the in January since remained
the NAV find middle Market co-investments Middle equity mitigating it attractive co-investments capability strategic ability when difficult over robust equity per Market in assets of so the Middle syndicated returns losses. has on our we a blend flexibility been in returns or opportunities in driving out Upper Market, a past we focus us loans. as the opportunistically the to have to as Lower directly portfolio exist. built market market, in continue Upper and we we made have to in share, liquid value reminder, our granular attractive very debt. of and risk-adjusted and debt where core the both Building seek more highly is environment markets. while the provides important to performing growth alongside As of year At In credit In same Market us upper in a providing market, our Middle originate well risk-adjusted investments future presence a time, invest an the both Lower capabilities Middle been as to consisting
the investment deals chosen spreads see and small into we to possibly origination in opportunities wide generate to origination strong generations additional highly our thoughtfully ability cycle. deals and portfolio I-XX. continues array funnel consider $X increasing on exposure perspective, acceptable allowing through often a that Market is balance our able our that through credit ensures some close of which market the contrast from critical underwriting such to are To maximizing robust from found opportunities competitive especially extent the we opportunities or in Lower either deal to sheet well that and market. million, us the we've the syndicated attractive over to Upper the to we of end that, attractive approximately top it fit risk-return positions strong structures, on the Middle In that economic flow take risk-return Market, on capitalize For of through a our invest at will so standards Middle size a time the continue I-XX. We performance loans we platform of perform generating a a in liquidity have have employ believe perspective. conservative we to build as And
credit on Capital Lower seen sheet to I-XX origination grew at by at million from activity. at on-balance Southwest XX, portfolio X, Our $XXX XXXX Market million December as XX, September continued excluding XXXX Slide $XXX Middle driven
As the the the Market by has percentage has portfolio of credit represented grown Lower design portfolio Middle the to XX%. now increased by
we portfolio Market, the emphasize to increased in represented we've the Secured have percentage investment While, Lien Middle also Lower Senior Debt continued by our strategy. of the Xst heavily
we Lien XX% Xst in As Debt. the of quarter, portfolio on-balance the of had end our Senior of Secured sheet credit
company. During the existing new to million we committed two and quarter and Slide on one investments add-on portfolio portfolio seen XX, investment to $XX an
yield the All all investments a during Market originated the basis by quarter weighted maturity and average had and Lower directly Middle led investments On Capital the debt Southwest. a in of made XX.X%. of the to were were
-- this million million split million companies. in investment for secured million of and $X.X Our debt, $X.X up draw Xst Xst an a a debt, portfolio originations existing term $XX.X secured Xst made of for included million Lien secured lien Lien delayed secured secured debt senior $XX Lien quarter $XX.X loan
portfolio We co-investment an funded new one million alongside invested of $X in also transactions. our equity of
as quarter Slide investment million the one on $XX and Market Upper seen investments; we three Middle XX in exit received two proceeds the During Middle Market investments. from of Lower
$X.XX the in was to per two XXXX, outcome of a legacy position share. a its through positions. last back one our in buyer, resulted a remaining XXXX strategic recover preferred was nice in the sale tough and Deepwater, Corrosion and gain exits sale, a million time a able for Deepwater investment originated energy Services equity to a realized or stock strategic of services $X.X during of resulting itself XXXX shareholders. for going Deepwater One from of our producing After industry
to million average shareholders ago, continue the exits $XXX risk-adjusted generating quarter's strong as our This XX our of four years exits approximately weighted capital, record we IRR a launch generating on our track credit now in proceeds have on representing the of of strategy, since returns portfolio. an under investment remaining Recovery exit does last and banner team continues Media excellent of XX.X%. This Spotsee’s Recovery Media as business. our management now growing the the Spotsee. equity business the increasing profitability leads in job legacy the do
As the we have continues there acquisition to be company. this prior significant of on interest calls, mentioned earnings in
We the working banker expect during a Consistent launch Market. Upper been and our past the with Slide them earnest Middle commentary, excluding again portfolio On calendar have this investment credit with XX out XXXX. to year between have investment now sheet Middle to on-balance exit hired an sales Lower we our and Market we in break process. I-XX the
security Lower weighted Middle Middle X.X Market Middle the and and the from our Within the XX.X% weighted XX% total with prior portfolio size note debt-to-EBITDA Middle end the Market of weighted yield X.X and leverage times end of of measured EBITDA times. of as as companies. portfolio As the to We $X.X quarter. end as is a approximately investments $XX.X portfolio, equity held average basis. to the hold and portfolio average the X.X should of of in quarter, of quarter, portfolio I through weighted average of Lower Middle leverage on cost ownership XX% an that our also Lower approximately down average Market Market our of of Upper the we of the million XX was Lower times Market our had XX% million in
$X.X portfolio million, security X.X and average XX.X% which weighted average average size leverage was of consisted of Our million, EBITDA prior our of $XX.X a an a Upper hold quarter. weighted XX Market of from with loans Middle flat yield through of times the
have we Xst a heavily XX, slide strong security capital. our Secured for preservation Debt investments, biased established towards portfolio, on illustrated capital well-diversified As shareholders providing Lien
benefit be on of to interest our XX, in seen is slide rate that XX% should to securities should addition, floating can our rates shareholders continue In such exposure invested credit as continue rise.
security the XX, on industries average among had quarter diversity of The Xst slide shown with I-XX and and at leverage average As of an through portfolio a weighted the of of of million the average from of of portfolio. $XX end prior portfolio XX% I-XX was times times quarter. I-XX EBITDA the weighted the size X.X% as X.X the X.X the approximately hold end down the Lien,
of years. with on I generating weighted in fund our call We IRR million of have been Street over and Michael invested Capital, I-XX, hand have now of performance I-XX exits $XXX proceeds to Main for specifics three-and-a-half XX a pleased the $XXX quarter. partner review performance solid through the financial approximately the XX.X%. We past exits, our in million the will and average the to at the the over harvested
