Monroe Capital Corporation Announces First Quarter 2020 Business Development Company Results

Monroe Capital Corporation BDC (Nasdaq: MRCC) Announces First Quarter 2020 Financial Results

First Quarter 2020 Financial Highlights:

•            Paid quarterly dividend of $0.35 per share;

•            Current annual cash dividend yield to shareholders of approximately 12.9%1;

•            Shares trading at a Price to NAV of 0.77x2;

•            Net investment income of $6.8 million, or $0.33 per share;

•            Adjusted Net Investment Income of $6.8 million, or $0.33 per share; and

•            Net decrease in net assets resulting from operations of $36.9 million, or $1.81 per share

1. Based on an annualized second quarter dividend of $0.25 per share and closing share price as of May 8, 2020

2. Based on closing share price as of May 8, 2020 and book value per share as of March 31, 2020

Chief Executive Officer Theodore L. Koenig commented, “Through the beginning of March, we were focused on our previously discussed strategy of reinvesting available capital in strong, resilient portfolio companies in defensive sectors. Our disciplined underwriting and credit process resulted in us having limited to no direct portfolio exposure in the high risk cyclical industries of airlines, automotive, travel, leisure, oil and gas, minerals and mining and energy. However, the unprecedented uncertainty associated with the COVID-19 pandemic has created concerns related to overall economic conditions and also, specific unanticipated challenges for many companies due to business interruptions and a slowdown in economic activity.  Further, this uncertainty has caused negative impacts in the general loan market which has put downward pressure on loan valuations for all lenders. Our focus for the foreseeable future is on maintaining strong liquidity and funding and supporting our portfolio companies, as warranted. We believe the vast majority of our portfolio companies have strong long-term outlooks and will recover from the short-term challenges they are facing as a result of COVID-19. Over 97% of our portfolio companies that were current on interest payments prior to COVID-19 paid their first quarter interest as scheduled. As always, we will continue to be focused on the interests of our shareholders and will operate with caution and remain focused on generation of net investment income, preservation of capital and creation of shareholder value.”

To read the First Quarter Press Release in its entirety, please click on the following link:

Monroe Capital Corporation 1st Quarter 2020 Earnings Press Release

ABOUT MONROE CAPITAL CORPORATION

Monroe Capital Corporation is a publicly-traded specialty finance company that principally invests in senior, unitranche and junior secured debt and, to a lesser extent, unsecured debt and equity investments in middle-market companies. The Company's investment objective is to maximize the total return to its stockholders in the form of current income and capital appreciation. The Company's investment activities are managed by its investment adviser, Monroe Capital BDC Advisors, LLC, which is an investment adviser registered under the Investment Advisers Act of 1940, as amended, and an affiliate of Monroe Capital LLC. To learn more about Monroe Capital Corporation, visit www.monroebdc.com.

ABOUT MONROE CAPITAL LLC

Monroe Capital LLC ("Monroe") is a private credit asset management firm specializing in direct lending and opportunistic private credit investing. Since 2004, the firm has provided private credit solutions to borrowers in the U.S. and Canada. Monroe’s middle market lending platform provides debt financing to businesses, special situation borrowers, and private equity sponsors. Investment types include cash flow, enterprise value and asset-based loans; unitranche financings; and equity co-investments. Monroe is committed to being a value-added and user-friendly partner to business owners, senior management, and private equity and independent sponsors. The firm is headquartered in Chicago and maintains offices in Atlanta, Boston, Los Angeles, New York, and San Francisco.

Monroe has been recognized by Creditflux as the 2019 Best US Direct Lending Fund; Global M&A Network as the 2019 Small Middle Markets Lender of the Year; Private Debt Investor as the 2018 Lower Mid-Market Lender of the Year; M&A Advisor as the 2016 Lender Firm of the Year; and the U.S. Small Business Administration as the 2015 Small Business Investment Company (SBIC) of the Year. For more information, please visit www.monroecap.com.

For questions about Monroe Capital Corporation, please contact:

Aaron Peck, Chief Financial Officer & Chief Investment Officer
+1 (312) 523-2363
apeck@monroecap.com

For investor relations, please contact:

R. Sean Duff, Managing Director
+1 (312) 523-2372
sduff@monroecap.com