Earnings Releases·Nov 4, 2026, 6:41 PM ET

Prospect Capital Corporation — Q3 2026 Earnings Summary

**Financial Performance:** Net Investment Income (NII) declined 3.8% year-over-year to $76.4 million ($0.15/share), while the company reported a net loss of $53.4 million ($0.10/share) compared to a $48.1 million net income in Q3 2025, driven by $71.6 million in net realized losses; Total Assets and NAV per share also decreased to $6.04 billion and $5.36, respectively.
**Capital Structure & Debt Management:** The company reduced outstanding debt principal by $341.4 million (18%) to $1.5 billion, achieving a net of cash debt-to-total assets ratio of 25.0%, and successfully issued $300 million in 2031 Notes to refinance the $263.2 million November 2026 Notes.
**Strategic Portfolio Shift:** Management is actively exiting lower-yielding equity-linked assets and real estate properties to recycle capital into higher-yielding corporate first lien senior secured loans, which now comprise 71.5% of the portfolio, while announcing the expected sale of an 8.3% equity stake in RGIS Services within 45 days.
**Capital Return & Shareholder Alignment:** The Board increased the share repurchase program authorization to $200 million, declared monthly distributions of $0.0350 per share for November 2026 through January 2027, and noted that senior management and employees own 26% of outstanding common shares.