CCAP Earnings Prediction
The chart below shows how CCAP performed 10 days before and after its earnings report, based on data from the past quarters. Typically, CCAP sees a -1.06% change in stock price 10 days leading up to the earnings, and a +0.42% change 10 days following the report. On the earnings day itself, the stock moves by +0.66%. This data can give you a slight idea of what to expect for the next quarter's release.
CCAP Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
43.36M
-11.60%
-8.97%
Gross Margin
--
--
--
Operating Margin
73.86%
-5.54%
-4.26%
Net Margin
35.21%
-23.66%
-17.73%
EPS
0.41
-32.79%
-25.45%
No Data Available
CCAP Earnings Analysis
Crescent Capital BDC, Inc. Common stock Corporation (CCAP.O) Earnings Conference Call
Positive
Net Investment Income Increase: 1. Strong Net Investment Income: Crescent Capital BDC reported a net investment income (NII) of $0.64 per share for Q3 2024, reflecting a 8.5% increase from $0.59 per share in the previous quarter.
Investment Income Increase: 2. Increased Total Investment Income: Total investment income rose to $51.6 million in Q3 2024, a 5% increase from $49.0 million in the prior quarter, driven by higher non-recurring investment income.
Supplemental Dividend Announcement: 3. Robust Dividend Yield: The company declared a supplemental dividend of $0.07 per share, in addition to a regular dividend of $0.42 per share, resulting in an approximately 10% annualized dividend yield based on NAV as of September 30, 2024.
Improved Interest Coverage: 4. Strong Portfolio Performance: The weighted average interest coverage of the companies in the investment portfolio improved to 1.8 times, indicating better capacity to meet interest obligations compared to 1.7 times in the previous quarters.
Strong Liquidity Management: 5. Healthy Liquidity Position: Crescent Capital BDC maintained a debt-to-equity ratio of 1.15 times, below the midpoint of its target range, with $317 million of undrawn capacity and $38 million in cash and cash equivalents available for further investments.
Negative
Net Asset Value Decline: 1. Decline in Net Asset Value: The net asset value (NAV) per share decreased by $0.10 to $20.20, primarily due to net unrealized marks affecting the portfolio.
Non-Recurring Income Surge: 2. Increased Non-Recurring Income: The total investment income included a significant increase in non-recurring income, rising from $1.8 million to $3.3 million, indicating reliance on non-recurring sources rather than stable income.
Increasing PIK Income Ratio: 3. Higher PIK Income: PIK income as a percentage of total investment income increased to 8.2%, up from 4.3% in the previous quarter, suggesting a growing dependency on payment-in-kind income, which may not be sustainable.
Earnings Affected by Losses: 4. Unrealized Losses Impacting Earnings: The GAAP earnings per share of $0.41 was negatively impacted by $0.22 per share of net unrealized and realized losses, highlighting ongoing challenges in asset valuations.
Supplemental Dividend Limitation: 5. Supplemental Dividend Cap: The supplemental dividend was capped at $0.07 per share due to a mechanism that limits the reduction in NAV, indicating potential constraints on future dividend distributions.
CCAP FAQs
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CCAP Earning Call Sentiment
Crescent Capital BDC, Inc. (CCAP) Q3 2024 Earnings Call Transcript
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CCAP.O
0.22%Positive
The earnings call presents a mixed picture. Financial performance shows positive signs with increased NII and total investment income, but a slight decrease in NAV and unrealized losses impact GAAP EPS. The shareholder return plan is positive with dividends. However, management's vague responses in the Q&A raise uncertainties, particularly regarding asset rotation and future activity levels. The positive financial metrics are counterbalanced by these uncertainties, leading to a neutral stock price prediction.
