Prospect Capital Corporation (NASDAQ:PSEC) Q3 2022 Results Conference Call May 10, 2022 4:00 PM ET
Company Participants
John Barry - Chairman and CEO
Grier Eliasek - President and COO
Kristin Van Dask - CFO
Conference Call Participants
Matt Tjaden - Raymond James
Operator
Good afternoon, and welcome to Prospect Capital’s Third Fiscal Quarter Earnings Release and Conference Call. All participants will be in a listen-only mode. [Operator Instructions] Please note this event is being recorded.
I would now like to turn the conference over to the Chairman and Chief Executive Officer, John Barry. Please go ahead.
John Barry
Thank you, Joe. I hope everyone can hear me. Joining on the call today are Grier Eliasek, our President and Chief Operating Officer; and Kristin Van Dask, our Chief Financial Officer. Kristin?
Kristin Van Dask
Thanks, John. This call is the property of Prospect. Unauthorized use is prohibited. This call contains forward-looking statements that are intended to be subject to safe harbor protection. Actual developments and results are highly likely to vary materially, and we do not undertake to update our forward-looking statements unless required by law. For additional disclosure, see our earnings press release and 10-Q filed previously and available on our website, prospectstreet.com.
Now, I’ll turn the call back over to John.
John Barry
Thank you, Kristin. Welcome, everyone. In the March quarter, our net investment income, or NII, was $87 million or $0.22 per common share, exceeding our distribution rate per common share by $0.04. Our basic net income attributable to common shareholders was $157.2 million or $0.40 per common share as the overall value of our investment portfolio increased for the eighth consecutive quarter due to a combination of positive company-specific and macro factors.
Our NAV stood at $10.81 per common share in March, up $0.21 and 2% from the prior quarter and representing our eighth quarter in a row with NAV growth. Our NAV per common share is now at the highest level since September 2015 over six years ago. Over the eight quarters from the pre-pandemic December 2019 quarter to the December 2021 quarter, Prospect has delivered the highest growth in the business development company industry in net asset value per common share with NAV per common share increasing by 25% over that time period.
Since inception in 2004, Prospect has invested $18.7 billion across 394 investments, exiting 270 of those investments. We have outperformed our peers during the past multiple quarters of macro volatility as a direct result of our previous derisking, not chasing leverage as well as other risk management controls. We are staying true to that strategy that has served us well since 1988, controlling and reducing portfolio and balance sheet risk, both to protect the capital entrusted to us and to protect the ability of such capital to generate earnings for our shareholders.