OFS Capital Corporation Announces Third Quarter 2024 Financial Results

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            <h1 style="font-size: 2em; text-align: center;"><b>OFS Capital Corporation Announces Third Quarter 2024 Financial Results</b></h1>
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                <p><b>Declares Fourth Quarter Distribution of $0.34 Per Share</b></p>
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            <time datetime="2024-10-31T20:30:00Z" itemprop="dateModified">October 31, 2024 04:30 PM Eastern Daylight Time</time>
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            <p>CHICAGO--(<span itemprop="provider publisher copyrightHolder" itemscope="itemscope" itemtype="https://schema.org/Organization" itemid="https://www.businesswire.com"><span itemprop="name"><a referrerpolicy="unsafe-url" rel="nofollow" itemprop="url" href="https://www.businesswire.com/">BUSINESS WIRE</a></span></span>)--OFS Capital Corporation (Nasdaq: OFS) (“OFS Capital,” the “Company,” “we,” “us,” or “our”) today announced its financial results for the fiscal quarter ended September 30, 2024.</p>
            <p><b>THIRD QUARTER FINANCIAL HIGHLIGHTS</b></p>
            <ul style="list-style-type: disc; padding-left: 20px;">
                <li>Net investment income increased to $0.27 per common share for the quarter ended September 30, 2024 from $0.26 per common share for the quarter ended June 30, 2024.</li>
                <li>Net loss on investments was $0.15 per common share for the quarter ended September 30, 2024. See additional information under “Results of Operations” below.</li>
                <li>Net asset value per common share decreased to $11.29 as of September 30, 2024 from $11.51 as of June 30, 2024.</li>
                <li>As of September 30, 2024, based on fair value, 91% of our loan portfolio consisted of floating rate loans and 100% of our loan portfolio consisted of first lien and second lien loans.</li>
                <li>For the quarter ended September 30, 2024, the investment portfolio’s weighted-average performing income yield increased to 13.6% from 13.4% during the prior quarter, primarily due to the sale of certain structured finance securities and the redeployment of proceeds into higher yielding CLO subordinated note securities.</li>
                <li>The number of issuers with loans on non-accrual status, and the percentage of non-accrual investments to total investments at fair value, remained stable quarter-over-quarter. See additional information under “Portfolio and Investment Activities” below.</li>
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            <p><b>OTHER RECENT EVENTS</b></p>
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                <li>On October 29, 2024, our Board of Directors declared a distribution of $0.34 per common share for the fourth quarter of 2024, payable on December 31, 2024 to stockholders of record as of December 20, 2024.</li>
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                            <th style="border: 1px solid #ccc; padding: 10px;"><b>SELECTED FINANCIAL HIGHLIGHTS (unaudited)</b></th>
                            <th style="border: 1px solid #ccc; padding: 10px;" colspan="7"><b>Three Months Ended</b></th>
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                            <th style="border: 1px solid #ccc; padding: 10px;">(Per common share)</th>
                            <th style="border: 1px solid #ccc; padding: 10px;" colspan="3"><b>September 30, 2024</b></th>
                            <th style="border: 1px solid #ccc; padding: 10px;">&nbsp;</th>
                            <th style="border: 1px solid #ccc; padding: 10px;" colspan="3"><b>June 30, 2024</b></th>
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                            <td style="border: 1px solid #ccc; padding: 10px;"><b>Net Investment Income</b></td>
                            <td style="border: 1px solid #ccc; padding: 10px;">$</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">0.27</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">&nbsp;</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">&nbsp;</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">$</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">0.26</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">&nbsp;</td>
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                            <th style="border: 1px solid #ccc; padding: 10px;"><b>Balance Sheet Highlights (unaudited)</b></th>
                            <th style="border: 1px solid #ccc; padding: 10px;" colspan="7"><b>As of</b></th>
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                            <th style="border: 1px solid #ccc; padding: 10px;"><i>(in millions)</i></th>
                            <th style="border: 1px solid #ccc; padding: 10px;" colspan="2"><b>September 30, 2024</b></th>
                            <th style="border: 1px solid #ccc; padding: 10px;">&nbsp;</th>
                            <th style="border: 1px solid #ccc; padding: 10px;" colspan="2"><b>June 30, 2024</b></th>
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                            <td style="border: 1px solid #ccc; padding: 10px;"><b>Investment portfolio, at fair value</b></td>
                            <td style="border: 1px solid #ccc; padding: 10px;">$</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">394.7</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">&nbsp;</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">$</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">398.2</td>
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            <p>
                As of September 30, 2024, based on fair value, our investment portfolio was comprised of the following:
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            <ul style="list-style-type: disc; padding-left: 20px;">
                <li>Total investments of $394.7 million, which was equal to approximately 106% of amortized cost;</li>
                <li>Debt investments of $231.1 million, of which approximately 82% and 18% were first lien and second lien loans, respectively;</li>
                <li>Equity investments of $89.8 million; and</li>
                <li>Structured finance securities of $73.8 million.</li>
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                            <th style="border: 1px solid #ccc; padding: 10px;"><b>RESULTS OF OPERATIONS (unaudited)</b></th>
                            <th style="border: 1px solid #ccc; padding: 10px;" colspan="6"><b>Three Months Ended</b></th>
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                            <th style="border: 1px solid #ccc; padding: 10px;"><i>(in thousands)</i></th>
                            <th style="border: 1px solid #ccc; padding: 10px;" colspan="3"><b>September 30, 2024</b></th>
                            <th style="border: 1px solid #ccc; padding: 10px;">&nbsp;</th>
                            <th style="border: 1px solid #ccc; padding: 10px;" colspan="2"><b>June 30, 2024</b></th>
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                            <td style="border: 1px solid #ccc; padding: 10px;"><b>Total investment income</b></td>
                            <td style="border: 1px solid #ccc; padding: 10px;">$</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">10,918</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">&nbsp;</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">$</td>
                            <td style="border: 1px solid #ccc; padding: 10px;">11,165</td>
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            <p><b>ABOUT OFS CAPITAL</b></p>
            <p>
                The Company is an externally managed, closed-end, non-diversified management investment company that has elected to be regulated as a business development company. The Company’s investment objective is to provide stockholders with both current income and capital appreciation primarily through debt investments and, to a lesser extent, equity investments. The Company invests primarily in privately held middle-market companies in the United States, including lower-middle-market companies, targeting investments of $3 million to $20 million in companies with annual EBITDA between $5 million and $50 million. The Company offers flexible solutions through a variety of asset classes including senior secured loans, which includes first-lien, second-lien and unitranche loans, as well as subordinated loans and, to a lesser extent, warrants and other equity securities.
            </p>
            <p><b>CONFERENCE CALL</b></p>
            <p>
                OFS Capital will host a conference call to discuss these results on Friday, November 1, 2024, at 10:00 AM Eastern Time. Interested parties may participate in the call via the following:
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            <p>
                INTERNET: Go to <a referrerpolicy="unsafe-url" target="_blank" href="https://cts.businesswire.com/ct/CT?id=smartlink&amp;url=http%3A%2F%2Fwww.ofscapital.com&amp;esheet=54145598&amp;newsitemid=20241031667769&amp;lan=en-US&amp;anchor=www.ofscapital.com&amp;index=1&amp;md5=d79d01f3afbf8390f5011b1039936416" rel="nofollow">www.ofscapital.com</a> at least 15 minutes prior to the start time of the call to register, download, and install any necessary audio software. 
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            <div class="bw-release-contact">
                <h2>Contacts</h2>
                <p>
                    INVESTOR RELATIONS CONTACT:<br>
                    Steve Altebrando<br>
                    847-734-2084<br>
                    <a referrerpolicy="unsafe-url" target="_blank" href="mailto:investorrelations@ofscapital.com" rel="nofollow">investorrelations@ofscapital.com</a>
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Net investment income rose slightly to $0.27 per share.
Net asset value decreased to $11.29 per share.
Declared a distribution of $0.34 per share for Q4 2024.
Net loss on investments recorded at $0.15 per share.
Investment portfolio's yield increased to 13.6%.

OFS Capital Corporation Announces Third Quarter 2024 Financial Results

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