Financial Highlights (Tables)

12 Months Ended

Sep. 30, 2023

Summaries of the composition of the Company's portfolio at cost as a percentage of total investments and at fair value as a percentage of total investments and net assets are shown in the following tables:


	September 30, 2023				September 30, 2022
Cost:			% of Total Investments				% of Total Investments
Senior secured debt	$	2,594,640	85.24	%	$	2,227,245	85.08	%
Debt investments in the JVs	162,986		5.35	%	146,444		5.59	%
Preferred equity	99,597		3.27	%	85,300		3.26	%
Common equity and warrants	72,261		2.37	%	42,296		1.62	%
Subordinated debt	59,844		1.97	%	67,147		2.57	%
LLC equity interests of the JVs	54,791		1.80	%	49,322		1.88	%
Total	$	3,044,119	100.00	%	$	2,617,754	100.00	%


	September 30, 2023						September 30, 2022
Fair Value:			% of Total Investments		% of Net Assets				% of Total Investments		% of Net Assets
Senior secured debt	$	2,501,385	86.47	%	165.01	%	$	2,166,409	86.86	%	173.93	%
Debt investments in the JVs	162,673		5.62	%	10.73	%	146,533		5.88	%	11.77	%
Preferred equity	86,057		2.98	%	5.68	%	79,523		3.19	%	6.38	%
Common equity and warrants	57,710		2.00	%	3.81	%	24,011		0.96	%	1.93	%
Subordinated debt	55,717		1.93	%	3.68	%	56,920		2.28	%	4.57	%
LLC equity interests of the JVs	28,878		1.00	%	1.91	%	20,715		0.83	%	1.66	%
Total	$	2,892,420	100.00	%	190.82	%	$	2,494,111	100.00	%	200.24	%

The geographic composition is determined by the location of the corporate headquarters of the portfolio company, which may not be indicative of the primary source of the portfolio company's business. The following tables show the composition of the Company's portfolio by geographic region at cost as a percentage of total investments and at fair value as a percentage of total investments and net assets:


	September 30, 2023				September 30, 2022
Cost:			% of Total Investments				% of Total Investments
Northeast	$	1,012,955	33.27	%	$	747,420	28.55	%
International	418,595		13.75	%	301,242		11.51	%
West	393,390		12.92	%	358,306		13.69	%
Southeast	375,247		12.33	%	356,041		13.60	%
Midwest	360,506		11.84	%	373,236		14.26	%
South	202,374		6.65	%	168,819		6.45	%
Southwest	153,318		5.04	%	221,308		8.45	%
Northwest	127,734		4.20	%	91,382		3.49	%
Total	$	3,044,119	100.00	%	$	2,617,754	100.00	%


	September 30, 2023						September 30, 2022
Fair Value:			% of Total Investments		% of Net Assets				% of Total Investments		% of Net Assets
Northeast	$	945,422	32.69	%	62.37	%	$	696,368	27.93	%	55.90	%
International	414,079		14.32	%	27.32	%	279,646		11.21	%	22.45	%
West	384,055		13.28	%	25.34	%	345,251		13.84	%	27.72	%
Southeast	354,444		12.25	%	23.38	%	344,567		13.82	%	27.66	%
Midwest	350,620		12.12	%	23.13	%	356,934		14.31	%	28.66	%
South	188,541		6.52	%	12.44	%	166,230		6.66	%	13.35	%
Southwest	130,455		4.51	%	8.61	%	214,984		8.62	%	17.26	%
Northwest	124,804		4.31	%	8.23	%	90,131		3.61	%	7.24	%
Total	$	2,892,420	100.00	%	190.82	%	$	2,494,111	100.00	%	200.24	%

Below is a summary of SLF JV I's portfolio, followed by a listing of the individual loans in SLF JV I's portfolio as of September 30, 2023 and September 30, 2022:


	September 30, 2023	September 30, 2022
Senior secured loans (1)	$332,637	$383,194
Weighted average interest rate on senior secured loans (2)	10.62%	8.33%
Number of borrowers in SLF JV I	48	60
Largest exposure to a single borrower (1)	$11,286	$10,093
Total of five largest loan exposures to borrowers (1)	$54,051	$48,139

__________

(1) At principal amount.

(2) Computed using the weighted average annual interest rate on accruing senior secured loans at fair value.

Below is a summary of the Glick JV's portfolio, followed by a listing of the individual loans in the Glick JV's portfolio as of September 30, 2023 and September 30, 2022:


	September 30, 2023	September 30, 2022
Senior secured loans (1)	$130,589	$143,225
Weighted average current interest rate on senior secured loans (2)	10.77%	8.52%
Number of borrowers in the Glick JV	38	43
Largest loan exposure to a single borrower (1)	$6,230	$6,562
Total of five largest loan exposures to borrowers (1)	$28,396	$28,973

__________

(1) At principal amount.

(2) Computed using the weighted average annual interest rate on accruing senior secured loans at fair value.


(Share amounts in thousands)	Year ended September 30, 2023(6)	Year ended September 30, 2022(6)	Year ended September 30, 2021(6)	Year ended September 30, 2020(6)	Year ended September 30, 2019(6)
Net asset value per share at beginning of period	$20.38	$21.84	$19.47	$19.81	$18.26
Net investment income (1)	2.51	2.45	1.80	1.53	1.45
Net unrealized appreciation (depreciation) (1)(7)	(0.17)	(2.23)	2.19	(0.44)	0.82
Net realized gains (losses) (1)	(0.46)	0.28	0.49	(0.30)	0.44
(Provision) benefit for taxes on realized and unrealized gains (losses) (1)	(0.02)	(0.01)	(0.02)	0.04	(0.02)
Distributions of net investment income to stockholders	(2.61)	(1.95)	(1.52)	(1.17)	(1.14)
Issuance of common stock	—	—	(0.57)	—	—
Net asset value per share at end of period	$19.63	$20.38	$21.84	$19.47	$19.81
Per share market value at beginning of period	$18.00	$21.18	$14.52	$15.54	$14.88
Per share market value at end of period	$20.12	$18.00	$21.18	$14.52	$15.54
Total return (2)	27.30%	(6.71)%	57.61%	2.10%	12.56%
Common shares outstanding at beginning of period	61,125	60,120	46,987	46,987	46,987
Common shares outstanding at end of period	77,225	61,125	60,120	46,987	46,987
Net assets at beginning of period	$1,245,563	$1,312,823	$914,879	$930,630	$858,035
Net assets at end of period	$1,515,764	$1,245,563	$1,312,823	$914,879	$930,630
Average net assets (3)	$1,437,728	$1,308,518	$1,150,662	$871,305	$909,264
Ratio of net investment income to average net assets (3)	12.57%	11.36%	8.44%	8.26%	7.47%
Ratio of total expenses to average net assets (3)	14.19%	8.68%	9.65%	7.57%	9.65%
Ratio of net expenses to average net assets (3)	13.81%	8.45%	9.51%	8.16%	8.78%
Ratio of portfolio turnover to average investments at fair value	26.12%	26.99%	39.66%	38.99%	32.50%
Weighted average outstanding debt (4)	$1,659,701	$1,361,151	$964,390	$647,080	$573,891
Average debt per share (1)	$23.01	$22.41	$17.85	$13.77	$12.21
Asset coverage ratio at end of period (5)	187.74%	188.64%	201.68%	227.22%	294.91%

__________


(1)			Calculated based upon weighted average shares outstanding for the period.
(2)			Total return equals the increase or decrease of ending market value over beginning market value, plus distributions, divided by the beginning market value, assuming dividend reinvestment prices obtained under the Company's DRIP. Total return does not include sales load.
(3)			Calculated based upon the weighted average net assets for the period.
(4)			Calculated based upon the weighted average of principal debt outstanding for the period.
(5)			Based on outstanding senior securities of $1,660.0 million, $1,350.0 million, $1,280.0 million, $714.8 million and $476.1 million as of September 30, 2023, 2022, 2021, 2020 and 2019, respectively.
(6)			The share and per share information disclosed in this table has been retroactively adjusted to reflect the Company's 1-for-3 reverse stock split completed on January 20, 2023 and effective as of the commencement of trading on January 23, 2023.
(7)			For the year ended September 30, 2023, the amount shown for net unrealized appreciation (depreciation) includes the effect of the timing of common stock issuances in connection with the OSI2 Merger. For the year ended September 30, 2021, the amount shown for net unrealized appreciation (depreciation) includes the effect of the timing of common stock issuances in connection with the OCSI Merger.

Senior Securities

Information about our senior securities (including debt securities and other indebtedness) is shown in the following table as of the fiscal years ended September 30 for the years indicated below.


Class and Year(1)	Total Amount Outstanding Exclusive of Treasury Securities (2)		Asset Coverage Per Unit(3)	Involuntary Liquidating Preference Per Unit(4)	Average Market Value Per Unit(5)
Syndicated Facility and Prior ING Facility
Fiscal 2014	$	267,395	2,595	—	N/A
Fiscal 2015	383,495		2,389	—	N/A
Fiscal 2016	472,495		2,208	—	N/A
Fiscal 2017	226,495		2,274	—	N/A
Fiscal 2018	241,000		2,330	—	N/A
Fiscal 2019	314,825		2,949	—	N/A
Fiscal 2020	414,825		2,272	—	N/A
Fiscal 2021	495,000		2,017	—	N/A
Fiscal 2022	540,000		1,886	—	N/A
Fiscal 2023	430,000		1,877	—	N/A

Citibank Facility
Fiscal 2021	$	135,000	2,017	—	N/A
Fiscal 2022	160,000		1,886	—	N/A

OSI2 Citibank Facility
Fiscal 2023	$	280,000	1,877	—	N/A

Sumitomo Facility
Fiscal 2014	$	50,000	2,595	—	N/A
Fiscal 2015	43,800		2,389	—	N/A
Fiscal 2016	43,800		2,208	—	N/A
Fiscal 2017	29,500		2,274	—	N/A

Convertible Notes
Fiscal 2014	$	115,000	2,595	—	N/A
Fiscal 2015	115,000		2,389	—	N/A

Secured Borrowings
Fiscal 2014	$	84,750	2,595	—	N/A
Fiscal 2015	21,787		2,389	—	N/A
Fiscal 2016	18,929		2,208	—	N/A
Fiscal 2017	13,489		2,274	—	N/A
Fiscal 2018	12,314		2,330	—	N/A

2019 Notes
Fiscal 2014	$	250,000	2,595	—	N/A
Fiscal 2015	250,000		2,389	—	N/A
Fiscal 2016	250,000		2,208	—	N/A
Fiscal 2017	250,000		2,274	—	N/A
Fiscal 2018	228,825		2,330	—	N/A


Class and Year(1)	Total Amount Outstanding Exclusive of Treasury Securities (2)		Asset Coverage Per Unit(3)	Involuntary Liquidating Preference Per Unit(4)	Average Market Value Per Unit(5)
2024 Notes
Fiscal 2014	$	75,000	2,595	—	966.96
Fiscal 2015	75,000		2,389	—	991.94
Fiscal 2016	75,000		2,208	—	993.70
Fiscal 2017	75,000		2,274	—	1,006.74
Fiscal 2018	75,000		2,330	—	1,010.72
Fiscal 2019	75,000		2,949	—	1,012.76

2025 Notes
Fiscal 2020	$	300,000	2,272	—	N/A
Fiscal 2021	300,000		2,017	—	N/A
Fiscal 2022	300,000		1,886	—	N/A
Fiscal 2023	300,000		1,877	—	N/A

2027 Notes
Fiscal 2021	$	350,000	2,017	—	N/A
Fiscal 2022	350,000		1,886	—	N/A
Fiscal 2023	350,000		1,877	—	N/A

2028 Notes
Fiscal 2014	$	86,250	2,595	—	943.73
Fiscal 2015	86,250		2,389	—	988.06
Fiscal 2016	86,250		2,208	—	999.29
Fiscal 2017	86,250		2,274	—	1,007.51
Fiscal 2018	86,250		2,330	—	994.82
Fiscal 2019	86,250		2,949	—	993.33

2029 Notes
Fiscal 2023	$	300,000	1,877	—	N/A

Total Senior Securities
Fiscal 2014	$	928,395	2,595	—
Fiscal 2015	975,332		2,389	—
Fiscal 2016	946,474		2,208	—
Fiscal 2017	680,734		2,274	—
Fiscal 2018	643,389		2,330	—
Fiscal 2019	476,075		2,949	—
Fiscal 2020	714,825		2,272	—
Fiscal 2021	1,280,000		2,017	—
Fiscal 2022	1,350,000		1,886	—
Fiscal 2023	1,660,000		1,877	—

______________

(1)This table excludes any SBA-guaranteed debentures outstanding during the relevant periods because the SEC has granted the Company exemptive relief that permits it to exclude such debentures from the definition of senior securities in the asset coverage ratio the Company is required to maintain under the Investment Company Act.

(2)Total amount of each class of senior securities outstanding at the end of the period, presented in thousands.

(3)The asset coverage ratio for a class of senior securities representing indebtedness is calculated as the Company's consolidated total assets, less all liabilities and indebtedness not represented by senior securities, divided by total senior securities representing indebtedness. This asset coverage ratio is multiplied by $1,000 to determine the “Asset Coverage Per Unit.”

(4)The amount to which such class of senior security would be entitled upon the involuntary liquidation of the issuer in preference to any security junior to it. The “-” indicates information that the Securities and Exchange Commission expressly does not require to be disclosed for certain types of senior securities.

(5)Calculated on a daily average basis.