Oxford Lane Capital (NASDAQ:OXLC) Posts Earnings Results

Oxford Lane Capital (NASDAQ:OXLC) released its quarterly earnings results on Tuesday. The investment management company reported $0.95 earnings per share (EPS) for the quarter, Zacks reports.

Here are the key takeaways from Oxford Lane Capital’s conference call:

• Net asset value increased to $10.74 per share from $10.56 in the prior quarter, while the company recorded a $76.3 million net increase in assets from operations.
• GAAP net investment income fell to $50.2 million, or $0.51 per share, from $54.5 million, or $0.56 per share; core net investment income also declined. CLO equity effective and cash distribution yields decreased to 11.1% and 16.3%, respectively.
• Oxford Lane completed or participated in numerous resets and refinancings, benefiting from tighter liability spreads and extending the portfolio’s weighted-average reinvestment period to November 2029. Management estimates that more than half of the portfolio has near-term reset or refinancing optionality through 2027.
• The U.S. loan market improved modestly, with loan prices rising and the reported trailing default rate falling to 0.97%, although out-of-court restructurings and other distressed activity remained elevated. Management also noted continued spread compression and said July cash distributions were a low point, with future improvement dependent on loan-market conditions and CLO refinancing activity.

Oxford Lane Capital Stock Up 3.3%

NASDAQ:OXLC traded up $0.28 during trading hours on Tuesday, reaching $8.71. 722,916 shares of the stock were exchanged, compared to its average volume of 1,432,661. The business has a 50-day moving average of $9.11 and a two-hundred day moving average of $10.05. Oxford Lane Capital has a twelve month low of $8.01 and a twelve month high of $19.05. The company has a market capitalization of $789.90 million, a price-to-earnings ratio of 1.35 and a beta of 0.64.

Oxford Lane Capital Announces Dividend

The company also recently announced a monthly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Wednesday, September 16th will be given a $0.20 dividend. The ex-dividend date of this dividend is Wednesday, September 16th. This represents a c) dividend on an annualized basis and a yield of 27.5%. Oxford Lane Capital’s payout ratio is presently 59.60%.

Institutional Investors Weigh In On Oxford Lane Capital

Institutional investors and hedge funds have recently modified their holdings of the company. Sunbelt Securities Inc. boosted its holdings in Oxford Lane Capital by 377.2% during the 4th quarter. Sunbelt Securities Inc. now owns 3,827 shares of the investment management company’s stock valued at $56,000 after acquiring an additional 3,025 shares during the period. Wells Fargo & Company MN lifted its position in shares of Oxford Lane Capital by 889.8% during the fourth quarter. Wells Fargo & Company MN now owns 4,474 shares of the investment management company’s stock worth $65,000 after purchasing an additional 4,022 shares in the last quarter. XTX Topco Ltd purchased a new position in shares of Oxford Lane Capital in the second quarter valued at approximately $69,000. PNC Financial Services Group Inc. purchased a new position in shares of Oxford Lane Capital in the fourth quarter valued at approximately $77,000. Finally, Semmax Financial Advisors Inc. acquired a new position in shares of Oxford Lane Capital in the second quarter valued at approximately $81,000. Hedge funds and other institutional investors own 6.74% of the company’s stock.

Oxford Lane Capital Company Profile

Oxford Lane Capital Corp is a closed-end, externally managed investment company that seeks to generate high current income and capital appreciation. The company invests primarily in debt and equity securities of private funds managed or advised by Oxford Finance LLC, targeting U.S. middle-market companies. Its portfolio spans senior secured loans, mezzanine debt and private equity interests, providing diversification across credit instruments and industry sectors.

Established in 2009 and based in Greenwich, Connecticut, Oxford Lane Capital commenced operations in 2012.