Welcome to Cash Flow Venue, where we discuss dividend investing opportunities, as they allowed me to build another pillar od my financial life and I believe it's the most accessible way to seek financial freedom.I'm a finance professional with extensive experience in M&A and business valuation. Analyst's Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Short position through short-selling of the stock, or purchase of put o ...

olm26250/iStock via Getty Images Since BDCs distribute almost all of its earnings in dividends and employ high amounts of external leverage to fund investments that provide a decent spread from the cost of debt, this specific asset class is quite attractive for high-yield seeking investors. An additional layer, which renders BDCs interesting is that in contrast to pure fixed income securities or preferred shares, where decent yields could be found as well, by investing in BDCs investors can access a slight ...

Galeanu Mihai I have been covering Fidus Investment (NASDAQ:FDUS) since late December last year, and issuing follow-up articles after each earnings report. The overarching investment thesis is based on durable cash flow that is underpinned by a strong portfolio base operating in inherently defensive industries. In other words, FDUS is one of the few BDCs out there, where investors could really count on capturing the base dividends in a sustainable manner even if the interest rates fall back to extremely acc ...

Financial Data and Key Metrics Changes - Adjusted net investment income for Q2 2024 grew 17.7% to $18.4 million compared to $15.6 million in the same period last year, primarily due to higher interest income [5][10] - Net asset value increased to $646.8 million, a 9.7% rise from $589.5 million as of December 31, 2023, with a per share value of $19.50 compared to $19.37 [6][12] - Total investment income was $35.7 million for Q2 2024, a $1 million increase from Q1 2024, driven by a $3.2 million rise in interest income [10] Business Line Data and Key Metrics Changes - Originations totaled $62.4 million in Q2, including $17.8 million in one new portfolio company, with follow-on investment activity amounting to $44.6 million [6] - Equity investments totaled $4.3 million, continuing co-investment in portfolio companies [6] Market Data and Key Metrics Changes - The portfolio grew to $1.1 billion on a fair value basis, consisting of a debt portfolio of $945.7 million and an equity portfolio of $132.7 million [7][12] - The weighted average yield on debt investments remained at 14% as of June 30, 2024 [12] Company Strategy and Development Direction - The company remains focused on the lower middle market, seeking opportunities that meet strict underwriting standards and investing in businesses with strong cash flow [8] - The strategy includes maintaining a high degree of equity cushion in debt investments to ensure both current income and potential enhanced returns [8] Management's Comments on Operating Environment and Future Outlook - Management expects deal flow and M&A activity to remain reasonable for the remainder of the year, with a potential increase in repayments as portfolio companies evaluate strategic alternatives [8][19] - The overall portfolio remains healthy, with 65% of companies growing their cash flow or EBITDA [24] Other Important Information - The company declared dividends totaling $0.57 per share for Q3 2024, consisting of a base dividend of $0.43 and a supplemental dividend of $0.14 [5] - Liquidity as of June 30 included cash of $48.3 million and $67 million available on the line of credit, totaling approximately $115.8 million [13] Q&A Session Summary Question: Update on capital structure and liquidity profile - Management expressed confidence in the SBIC license process and noted the benefits of the expanded revolving credit facility and investment grade rating [16][17] Question: Outlook for the second half of the year - Management indicated expectations for a pickup in M&A activity and new platform investments, despite a slower Q2 [18][19] Question: Dynamics of repayments and refinancing activity - Management highlighted that several portfolio companies are evaluating strategic alternatives, with some seeking refinancing opportunities [21][22] Question: Credit quality concerns amid economic pressures - Management reported strong portfolio performance, with a focus on high free cash flow companies, and noted that 65% of companies grew cash flow or EBITDA [24][25] Question: Activity in non-sponsored deals - Management confirmed ongoing interest in non-sponsored deals but emphasized that the majority of current opportunities are still in sponsored deals [28][29]

susandaniels/iStock via Getty Images Overview Fidus Investment (NASDAQ:FDUS) operates as a business development company that generates its earnings by making debt and equity investments within lower middle market companies. I previously covered FDUS in May and rated it a hold. The total return since then has been mostly flat, but FDUS just released their Q2 earnings, so I wanted to revisit this BDC to provide some updated insights and outlook. FDUS has been a strong performer over the course of the pandemic ...

Fidus Investment (FDUS) came out with quarterly earnings of $0.57 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.62 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this closed-end investment company would post earnings of $0.59 per share when it actually produced earnings of $0.59, delivering no surprise. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Fidus Investme ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ________________ FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 814-00861 Fidus Investment Corporation (Exact Name of Registrant as Specified in its Charter) Maryland 27-5017321 (S ...

Exhibit 99.1 FIDUS INVESTMENT CORPORATION ANNOUNCES SECOND QUARTER 2024 FINANCIAL RESULTS Board of Directors Declared Total Dividends of $0.57 per Share for Third Quarter 2024 Base Dividend of $0.43 and Supplemental Dividend of $0.14 Per Share EVANSTON, Ill., August 1, 2024 – Fidus Investment Corporation (NASDAQ:FDUS) ("Fidus" or the "Company"), a provider of customized debt and equity financing solutions, primarily to lower middle-market companies based in the United States, today announced its financial r ...

Board of Directors Declared Total Dividends of $0.57 per Share for Third Quarter 2024 Base Dividend of $0.43 and Supplemental Dividend of $0.14 Per Share EVANSTON, Ill., Aug. 01, 2024 (GLOBE NEWSWIRE) -- Fidus Investment Corporation (NASDAQ:FDUS) ("Fidus" or the "Company"), a provider of customized debt and equity financing solutions, primarily to lower middle-market companies based in the United States, today announced its financial results for the second quarter ended June 30, 2024. Second Quarter 2024 Fi ...

EVANSTON, Ill., July 25, 2024 (GLOBE NEWSWIRE) -- Fidus Investment Corporation (NASDAQ: FDUS) ("Fidus" or the "Company") today announced that it will report its second quarter 2024 financial results on Thursday, August 1, 2024 after the close of the financial markets. Company Contact: Investor Relations Contact: Shelby E. Sherard LHA Investor Relations Chief Financial Officer Jody Burfening Fidus Investment Corporation (212) 838-3777 (847) 859-3938 JBurfening@lhai.com Management will host a conference call ...