Oxford Square Cuts Net Asset Value per Share to $1.21 in Third Quarter
Key Facts
Oxford Square Capital said net asset value per share was $1.21 on September 30, 2026, compared with $1.29 on June 30, according to third-quarter results published via GlobeNewswire on October 30. The company recorded net investment income of about $4.9 million, or $0.04 per share, for the quarter, versus $5.1 million and $0.05 per share in the second quarter. By contrast, total investment income rose to about $9.9 million from $9.4 million. The company declared monthly distributions of $0.015 per share for January, February and March 2027. The figures show net investment income per share declining alongside higher quarterly expenses, while net asset value per share fell from the end of June.
Total expenses were about $5.0 million in the third quarter, compared with about $4.3 million in the previous quarter, according to the statement. Total investment income therefore increased, but net investment income fell from about $5.1 million to about $4.9 million, and income per share declined from $0.05 to $0.04. The comparison highlights the differing movements in gross and net income during the period, with net asset value falling from $1.29 per share at the end of June to $1.21 at the end of September. In the second quarter, the company recorded net investment income of about $5.1 million, or $0.05 per share, compared with about $4.1 million and $0.05 per share in the first quarter. Total investment income in the second quarter also rose to about $9.4 million, from about $8.9 million in the first quarter.
In the second quarter, net asset value per share was $1.29 on June 30, down from $1.32 on March 31, according to the company's results for the period. Oxford Square then recorded a net increase in assets resulting from operations of about $4.0 million, including about $5.1 million in net investment income, realized losses of about $5.2 million, and unrealized appreciation of about $4.1 million. In the third quarter, the net increase in assets resulting from operations was about $1.6 million, including net investment income of about $4.9 million, realized losses of about $11.3 million, and unrealized appreciation of about $7.9 million. These items reflect the components of operating results in each period, alongside the movement in net asset value disclosed by the company.
Portfolio activity in the third quarter included investment purchases of about $20.8 million and investment repayments of about $10.3 million; the company made no sales during the period, according to the statement. In the second quarter, purchases were about $19.9 million and repayments about $0.5 million, with no sales. The weighted average yield on debt investments, at current cost, was 15.0% at the end of September, compared with 14.9% at the end of June. The weighted average effective yield on equity investments in collateralized loan obligations remained at 8.1% on both dates. The company describes itself as a publicly traded business development company that provides capital to established companies and invests primarily in broadly syndicated bank loans and debt and equity tranches of collateralized loan obligations.
The company issued about 14.1 million common shares through an at-the-market offering in the third quarter, with net proceeds after commissions and offering expenses of about $19.4 million. The number of common shares outstanding reached about 120.0 million on September 30, according to the filing. In the year-earlier comparison, total investment income was about $10.2 million and net investment income was about $5.6 million in the quarter ended September 30, 2025. Monthly distributions for January, February and March 2026 were $0.035 per share for each month, compared with $0.015 per month in the distributions declared for the corresponding months of 2027. The figures provided do not include a year-over-year comparison of net asset value or third-quarter 2026 income with the same period in 2025.
The company scheduled a call to discuss its third-quarter results for October 30, 2026, at 9:00 a.m. Eastern time, according to its investor events page. The call was listed for the same day the results were announced, based on the company's published schedule. It follows the end of the quarter on September 30, while the declared distributions cover January, February and March 2027. The January distribution is scheduled to be paid on January 29, 2027, the February distribution on February 26, and the March distribution on March 31. The statement set the record dates at January 15, February 12 and March 17, 2027, respectively.