Nuveen Churchill Direct Lending Corp (NCDL) 2026 Q1 法說會逐字稿

Welcome to Nuveen Churchill Direct Lending Corp.'s first quarter 2026 earnings call. (Operator Instructions) As a reminder, this conference call is being recorded for replay purposes. I'd like to turn the call over to Robert Paun, Head of Investor Relations for NCDL.

歡迎參加 Nuveen Churchill Direct Lending Corp. 2026 年第一季財報電話會議。(接線員指示) 提醒各位，本次電話會議將錄音以供重播。現在我想把電話交給 NCDL 投資人關係主管 Robert Paun。

Robert, please go ahead.

Robert，請開始。

Good morning, and welcome to Nuveen Churchill Direct Lending Corp.'s first quarter 2026 earnings call. Today, I'm joined by NCDL's Chairman, President and CEO, Ken Kencel; and Chief Financial Officer and Treasurer, Shaul Vichness.

各位早安，歡迎參加 Nuveen Churchill Direct Lending Corp. 2026 年第一季財報電話會議。今天與我一同出席的有 NCDL 董事長、總裁兼執行長 Ken Kencel，以及財務長兼司庫 Shaul Vichness。

Following our prepared remarks, we will be available to take your questions. Today's call may include forward-looking statements. Such statements involve known and unknown risks, uncertainties and other factors, and undue reliance should not be placed thereon. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates, and projections about the company, our current and prospective portfolio investments, our industry, our beliefs and opinions, and our assumptions. These statements are not guarantees of future performance and are subject to risks, uncertainties, and other factors, some of which are beyond our control and difficult to predict. Actual results may differ materially from those expressed or forecasted in the forward-looking statements.

在我們的事先準備發言之後，我們將開放回答各位的提問。今天的電話會議可能包含前瞻性陳述。此類陳述涉及已知與未知的風險、不確定性及其他因素，不應過度依賴。這些前瞻性陳述並非歷史事實，而是基於目前對公司、我們現有及潛在的投資組合投資、我們的產業、我們的信念與觀點，以及我們的假設所做的當前預期、估計與預測。這些陳述不保證未來表現，且受風險、不確定性及其他因素影響，其中部分因素超出我們控制且難以預測。實際結果可能與前瞻性陳述中表達或預測者存在重大差異。

We ask that you refer to the company's most recent filings with the SEC for important risk factors. Any forward-looking statements made today do not guarantee future performance, and undue reliance should not be placed on them. The company assumes no obligation to update any forward-looking statements at any time. Our earnings release, 10-Q, and supplemental earnings presentation are available on the News and Investors section of our website at ncdl.com.

我們請各位參閱公司最近向美國證券交易委員會（SEC）提交的文件，以了解重要風險因素。今日所作任何前瞻性陳述均不保證未來表現，且不應過度依賴。公司不承擔在任何時間更新任何前瞻性陳述之義務。我們的財報新聞稿、10-Q 與補充財報簡報可於我們網站 ncdl.com 的「新聞與投資人」專區取得。

Now, I would like to turn the call over to Ken.

現在，我想把電話交給 Ken。

Thank you, Robert. Good morning, everyone, and thank you all for joining us today. During my prepared remarks, I will start by discussing our first quarter results, and then I'll provide some thoughts on the current market conditions, our portfolio positioning, and our forward outlook.

謝謝你，Robert。各位早安，感謝大家今天加入我們。在我預先準備的發言中，我將先討論第一季的業績，接著分享我對目前市場狀況、我們的投資組合配置，以及未來展望的一些看法。

I'll then hand the call over to Shai for a more detailed discussion of our financial performance. Starting with our financial results for the quarter. Despite the headline noise and market volatility, we are pleased with the overall performance of our investment portfolio and our financial performance to start the year.

接著我會把電話交給 Shai，請他更詳細說明我們的財務表現。先從本季的財務結果談起。儘管有許多頭條雜音與市場波動，我們對投資組合的整體表現以及年初至今的財務表現感到滿意。

This morning, we reported net investment income of $0.41 per share, which was impacted by onetime interest and debt financing expenses totaling approximately $0.02 per share. Excluding these nonrecurring items, net investment income totaled $0.43 per share compared to $0.44 per share during the fourth quarter of 2025.

今天早上，我們公布每股淨投資收益為 0.41 美元，主要受到一次性利息與債務融資費用影響，合計約每股 0.02 美元。排除這些非經常性項目後，淨投資收益為每股 0.43 美元，較 2025 年第四季的每股 0.44 美元略低。

These results reflect the continued strong performance of our investment portfolio as well as the impact of lower base interest rates. Based on our earnings for the quarter, the Board has declared a total second quarter distribution of $0.38 per share, consisting of a regular quarter distribution of $0.36 per share and a supplemental distribution of $0.02 per share.

這些結果反映了我們投資組合持續強勁的表現，以及基準利率下降的影響。根據本季獲利，董事會已宣告第二季每股總配息 0.38 美元，其中包含每股 0.36 美元的例行季度配息，以及每股 0.02 美元的補充配息。

In the first quarter, gross originations totaled approximately $83 million compared to $59 million in the fourth quarter of last year. Investment activity in the quarter was primarily focused on senior secured first lien loans, and we remain focused on investing into our core traditional middle market pipeline.

第一季總放款（gross originations）約為 8,300 萬美元，較去年第四季的 5,900 萬美元增加。本季投資活動主要聚焦於優先擔保第一順位（senior secured first lien）貸款，我們仍專注於投資於核心的傳統中型市場案源。

Net asset value was $17.50 per share as of March 31 compared to $17.72 per share as of December 31, 2025. The decline quarter over quarter was primarily due to the impact of spread widening on valuations as well as a slight decrease in the fair value of certain underperforming portfolio companies.

截至 3 月 31 日，每股淨資產價值為 17.50 美元，較 2025 年 12 月 31 日的每股 17.72 美元下降。季對季下滑主要是因利差擴大對估值的影響，以及部分表現不佳的投資組合公司公允價值小幅下降所致。

In terms of the current market conditions and economic environment, 2026 began in a manner very similar to how 2025 ended, characterized by market volatility, negative private credit headlines, and geopolitical tensions. This was driven by market concerns of AI disruption and software exposure, increased redemption activity in nontraded BDCs, and the conflict in the Middle East.

就目前市場狀況與經濟環境而言，2026 年的開局與 2025 年的結尾非常相似，特徵是市場波動、私募信貸的負面新聞標題，以及地緣政治緊張局勢。其驅動因素包括市場對 AI 顛覆與軟體曝險的擔憂、非交易型 BDC 的贖回活動增加，以及中東衝突。

We believe there was a significant disconnect between the narrative in the media and the underlying fundamentals in private credit, particularly with our investment portfolio and the continued strength of our credit metrics.

我們認為媒體敘事與私募信貸的基本面之間存在顯著落差，尤其是就我們的投資組合以及信用指標持續強勁而言。

Against this backdrop, we have begun to see a widening of direct lending spreads, driven by the recent market concerns, volatility, and disruption. This shift in pricing and spreads is notable following several quarters of stability in the 4.50% to 4.75% over range for traditional first lien loans.

在此背景下，我們已開始看到直接放款利差擴大，主要由近期市場擔憂、波動與擾動所驅動。在傳統第一順位貸款利差長期維持於加碼 4.50% 至 4.75% 區間、連續數季相對穩定之後，這次定價與利差的變化相當值得關注。

Additionally, interest rate forecasts have shifted away from aggressive cuts toward a more stable trajectory and indicate a prolonged higher for longer environment. The Federal Reserve is now expecting to keep rates steady throughout the remainder of the year and some projections even show potential rate increases in 2027. This shift from earlier in the year is largely driven by persistent inflation, a resilient labor market as well as geopolitical tensions, which have created economic uncertainty.

此外，利率預測已從激進降息轉向較為穩定的路徑，並顯示「高利率維持更久」的環境可能延續。聯準會目前預期在今年剩餘期間維持利率不變，部分預測甚至顯示 2027 年可能升息。相較年初，這一轉變主要由持續的通膨、具韌性的勞動市場，以及地緣政治緊張所驅動，並造成經濟不確定性。

Despite all of these factors, we continue to view private credit and direct lending as an attractive asset class with a compelling risk return profile. Following a slowdown in transaction activity earlier in the first quarter, we are now seeing momentum in new M&A activity, which is reflected in our pipeline for new deals, particularly over the last several weeks.

儘管存在上述因素，我們仍認為私募信貸與直接放款是一個具吸引力的資產類別，擁有具說服力的風險報酬特性。在第一季前段交易活動放緩之後，我們目前看到新的併購（M&A）活動動能回升，這也反映在我們的新案源管線中，尤其是過去幾週。

We're encouraged by the steady growth in our pipeline and the quality of businesses seeking financing solutions. While there is some uncertainty in the economic environment and outlook, we continue to see signs of continued strength, including steady GDP growth, a low and stable unemployment rate, and solid corporate earnings. Based on our positioning and focus on the core middle market, we believe we are well positioned to take advantage of opportunities to deploy capital into higher-quality companies.

我們對管線的穩健成長以及尋求融資方案的企業品質感到鼓舞。雖然經濟環境與展望仍有一些不確定性，我們仍看到持續強勁的跡象，包括 GDP 穩定成長、低且穩定的失業率，以及穩健的企業獲利。基於我們的配置與對核心中型市場的聚焦，我們相信自身具備良好條件，把握將資本投入更高品質公司的機會。

Now turning to our investment activity. At the Churchill platform level, we continue to see a healthy number of transactions, particularly new deals for high-quality assets. As we expected due to the seasonality of the first quarter, the number of deals reviewed in the quarter was down sequentially relative to the strong fourth quarter of 2025.

接著談我們的投資活動。在 Churchill 平台層面，我們持續看到健康的交易數量，尤其是高品質資產的新交易。如同我們預期，由於第一季的季節性因素，本季審閱的交易數量較 2025 年強勁的第四季呈現季減。

However, the number of deals reviewed in the first quarter increased 13% year over year compared to the first quarter of last year. This follows a record year in 2025 in which Churchill closed or committed to over $16 billion across 389 transactions for the full year.

然而，第一季審閱的交易數量較去年第一季年增 13%。這延續了 2025 年的創紀錄表現：Churchill 全年在 389 筆交易中完成或承諾超過 160 億美元。

NCDL continues to benefit from attractive opportunities and activity at the Churchill platform level, particularly in senior lending, which represents approximately 90% of the fair value of the overall portfolio. We also continue to operate at the upper end of our target leverage range, and we remain focused on actively reinvesting cash received from repayments and sales into high-quality assets.

NCDL 持續受惠於 Churchill 平台層面具吸引力的機會與活動，尤其是在優先貸款方面；優先貸款約占整體投資組合公允價值的 90%。我們也持續在目標槓桿區間的上緣運作，並仍專注於將還款與出售所回收的現金，積極再投資於高品質資產。

During the first quarter, investment fundings totaled approximately $85 million and repayments and sales totaled approximately $65 million. It's also important to remind everyone that at Churchill, we focus on the traditional core middle market, benefiting from our differentiated sourcing and long-term track record.

第一季投資撥款約為 8,500 萬美元，而還款與出售合計約為 6,500 萬美元。同時也要提醒各位，在 Churchill，我們聚焦於傳統核心中型市場，並受惠於我們差異化的案源取得能力與長期實績。

We continue to target companies with $10 million to $100 million of EBITDA, which we believe helps insulate us from the more aggressive structures and loosening terms prevalent in the upper middle market and the broadly syndicated loan space. We believe that risk-adjusted returns in this segment of the market, remain among the most compelling in private credit, particularly for scaled, highly selective managers with deep private equity relationships. We see the core middle market as a durable opportunity to generate long-term value and enhance portfolio diversification for our investors.

我們持續鎖定 EBITDA 介於 1,000 萬至 1 億美元的公司；我們認為這有助於使我們免受上中型市場與廣泛聯貸市場中較為激進的結構與條款鬆動的影響。我們認為此市場區隔的風險調整後報酬仍是私募信貸中最具吸引力者之一，特別是對於具規模、篩選高度嚴謹且與私募股權關係深厚的管理人而言。我們將核心中型市場視為一個具持久性的機會，可為投資人創造長期價值並提升投資組合多元化。

Turning to our investment portfolio and credit quality, overall company performance across our portfolio remains resilient and healthy, which we believe reflects the quality of the deal flow we've experienced over the last several years.

談到我們的投資組合與信用品質，我們投資組合中的整體公司表現仍具韌性且維持健康，我們認為這反映了過去數年我們所經歷的交易來源（deal flow）品質。

Additionally, our rigorous underwriting, high selectivity, and focus on diversification have been critical to minimizing losses and generating strong returns across multiple market cycles. That same discipline extends to today's shifting macroeconomic landscape. Our weighted average internal risk rating was 4.3 at the end of the first quarter versus an original rating of 4.0 for all of our investments at the time of origination. Our internal watch list remains at a manageable level of approximately 8.4% of fair value.

此外，我們嚴謹的承銷、極高的選擇性以及對分散化的重視，對於在多個市場循環中將損失降至最低並創造強勁報酬至關重要。同樣的紀律也延伸到當前變動中的總體經濟環境。截至第一季末，我們的加權平均內部風險評等為 4.3，相較於所有投資在起始承作時的原始評等 4.0。我們的內部觀察名單仍維持在可控水準，約占公允價值的 8.4%。

Credit metrics and fundamentals within the NCDL portfolio remains strong with portfolio company total net leverage of 5.1 times and interest coverage of 2.3 times on traditional middle market first lien loans. These metrics are a direct reflection of a conservative structuring and relatively low attachment points that we target when underwriting new transactions.

NCDL 投資組合內的信用指標與基本面仍然強勁，投資組合公司在傳統中型市場第一順位擔保貸款上的總淨槓桿為 5.1 倍、利息保障倍數為 2.3 倍。這些指標直接反映了我們在承銷新交易時所追求的保守結構設計與相對較低的切入點（attachment points）。

NCDL added one new nonaccrual during the first quarter with a total cost of $7.2 million and a fair value of $5 million. As of this March 31, nonaccruals represented 1.3% of our total investment portfolio on a cost basis and 0.6% on a fair value basis. Despite the slight increase compared to the prior quarter, we believe these percentages continue to compare favorably versus current BDC industry averages and the long-term historical BDC average. We continue to believe the strength of our platform, including our experienced workout and portfolio management teams, will continue to drive favorable results.

NCDL 在第一季新增 1 筆不計息（nonaccrual）投資，總成本為 720 萬美元，公允價值為 500 萬美元。截至 3 月 31 日，不計息資產以成本計占我們總投資組合的 1.3%，以公允價值計占 0.6%。儘管較前一季略有上升，我們認為這些比例相較於目前 BDC 產業平均與長期歷史 BDC 平均仍具優勢。我們仍相信平台的優勢，包括經驗豐富的重整（workout）與投資組合管理團隊，將持續帶來有利成果。

As of March 31, we had 236 companies in our portfolio, and our top 10 portfolio companies represented approximately 13% of total fair value. This diversification remains a key focus of ours and is critical as we seek to maintain exceptional credit quality and originate additional attractive investment opportunities.

截至 3 月 31 日，我們的投資組合包含 236 家公司，前十大投資組合公司約占總公允價值的 13%。這種分散化仍是我們的重點，並且在我們致力維持卓越信用品質與承作更多具吸引力的投資機會時至關重要。

We've achieved this diversification with a continued high level of selectivity, facilitated by the significant proprietary deal flow our sourcing engine is able to generate from the breadth and depth of our PE relationships.

我們能達成這樣的分散化，得益於持續維持高度選擇性，並透過我們的來源引擎，利用與私募股權（PE）關係的廣度與深度所能產生的大量專有交易來源（proprietary deal flow）。

Finally, recent market concerns regarding AI's potential disruption of software businesses have raised a lot of questions around private credit portfolio software exposure. We believe market volatility stemming from AI disruption underscores the importance of a diversified approach to portfolio construction.

最後，近期市場對 AI 可能顛覆軟體業務的疑慮，引發了許多關於私募信貸投資組合軟體曝險的問題。我們認為，由 AI 顛覆所引發的市場波動，更凸顯以分散化方式進行投資組合建構的重要性。

Looking at NCDL's portfolio, we have relatively low exposure to software as these are not the types of deals we tend to underwrite. The rapid pace of innovation in the software sector, often coupled with higher leverage attachment points and less room for error were key reasons we passed on many of these software deals.

就 NCDL 的投資組合而言，我們對軟體的曝險相對較低，因為這並非我們通常會承銷的交易類型。軟體產業創新速度快，且往往伴隨較高的槓桿切入點與較小的容錯空間，這些都是我們放棄許多軟體交易的關鍵原因。

In fact, as of March 31, software businesses represented less than 3% of NCDL's total investment portfolio at fair value. Our definition of software exposure includes any borrower whose primary function is the design, development, and sale of software products and services and whose business model reflects the operating or structural characteristics of a software company regardless of industry classification.

事實上，截至 3 月 31 日，軟體業務以公允價值計占 NCDL 總投資組合不到 3%。我們對軟體曝險的定義，包含任何主要功能為設計、開發與銷售軟體產品與服務的借款人，且其商業模式呈現軟體公司的營運或結構特徵，不論其產業分類為何。

This excludes technology adjacent companies such as managed service providers and systems integrators that may be assigned to the high-technology industry category under Moody's industry classifications, but do not derive revenue from licensing or subscription sales or proprietary software.

此定義不包含與科技相鄰的公司，例如受託管理服務供應商（managed service providers）與系統整合商（systems integrators）；這些公司在穆迪（Moody's）的產業分類下可能被歸入高科技產業類別，但其收入並非來自授權或訂閱銷售，亦非來自專有軟體。

While AI will certainly contribute to disruption in the technology sector, the full impact remains difficult to assess at this time. It's also worth noting that AI could prove beneficial for certain business models, particularly for some business service firms and software companies with large proprietary data sets and deeply embedded workflows.

雖然 AI 勢必會對科技產業帶來顛覆，但其全面影響在此時仍難以評估。同時也值得注意的是，AI 可能對某些商業模式帶來助益，特別是部分商業服務公司，以及擁有大量專有資料集與深度嵌入式工作流程的軟體公司。

We continue to monitor AI and its potential impact across the portfolio as we have done long before these headlines emerged. We maintain an active dialogue with the senior management teams of all of our borrowers as well as the private equity firms that own them so that we have an informed and real-time view on this and any other risks our borrowers may face.

我們持續監測 AI 及其對投資組合可能造成的影響，早在這些新聞標題出現之前我們就已如此。我們與所有借款人的高階管理團隊，以及持有其股權的私募股權公司保持積極對話，以便對此以及借款人可能面臨的任何其他風險，掌握充分且即時的觀點。

Additionally, we have numerous firm-wide initiatives in place to keep informed of AI, and we are looking far beyond just software companies. Overall, we feel positive as to how we are positioned relative to the risk that AI may pose to our portfolio companies.

此外，我們在全公司層面推動多項措施以掌握 AI 的最新動態，且我們關注的範圍遠不僅限於軟體公司。整體而言，對於 AI 可能對我們投資組合公司帶來的風險，我們對自身的相對定位感到正面。

In summary, we are pleased with the continued strength of NCDL's overall portfolio despite the headline noise in the private credit market. Credit metrics remain strong and stable, and we believe systemic risk concerns are overstated, and our focus on the core traditional middle market continues to offer structural advantages. We have been and continue to be a trusted and established investor in the core middle market with deep long-term relationships, which provides NCDL with a strong information and sourcing advantage.

總結而言，儘管私募信貸市場充斥頭條雜音，我們對 NCDL 整體投資組合持續展現的強勁表現感到滿意。信用指標仍然強健且穩定；我們認為對系統性風險的擔憂被高估，而我們聚焦於核心傳統中型市場仍持續提供結構性優勢。我們一直以來並將持續作為核心中型市場中值得信賴且成熟的投資人，擁有深厚且長期的關係，這為 NCDL 帶來強大的資訊與案源優勢。

There are many reasons to be excited about the future of our business and the continued tailwinds of the private credit market. And we continue to see signs of increasing deal flow and attractive financing opportunities, which we are well positioned to take advantage of.

對於我們業務的未來以及私募信貸市場持續的順風因素，有許多理由值得期待。我們也持續看到交易來源增加與具吸引力的融資機會的跡象，而我們已具備良好條件加以把握。

And now I'll turn the call over to Shai to discuss our financial results in more detail.

接下來我把電話會議交給 Shai，請他更詳細地說明我們的財務結果。

Thank you, Ken, and good morning, everyone. I will now review our first quarter financial results in more detail. This morning, we reported net investment income of $0.41 per share for the first quarter compared to $0.44 per share in the fourth quarter of 2025.

謝謝你，Ken，各位早安。我現在將更詳細地回顧我們第一季的財務結果。今天早上，我們公布第一季每股淨投資收益為 0.41 美元，較 2025 年第四季的每股 0.44 美元下降。

As Ken highlighted earlier, net investment income in the quarter was negatively impacted by approximately $0.02 per share of nonrecurring expenses related to the refinancing of the NCDL CLO-II transaction. As we spoke about on last quarter's call, the refinancing was aimed at optimizing our debt financing and reducing ongoing borrowing costs. Excluding this nonrecurring expense, net investment income was $0.43 per share in the first quarter.

如 Ken 先前所強調，本季淨投資收益受到與 NCDL CLO-II 交易再融資相關的一次性費用影響，約為每股 0.02 美元的負面影響。正如我們在上一季電話會議中所提到，再融資旨在最佳化我們的債務融資並降低持續的借款成本。若排除這項一次性費用，第一季每股淨投資收益為 0.43 美元。

Total investment income declined to $46.3 million compared to $50 million in the fourth quarter of 2025. This was primarily driven by the decline in portfolio yields as a result of underlying loan contracts resetting to lower base rates, along with tighter spreads that we saw throughout the fourth quarter of last year.

總投資收益降至 4,630 萬美元，較 2025 年第四季的 5,000 萬美元下降。主要原因是投資組合收益率下滑，係由於底層貸款合約重設至較低的基準利率，以及我們在去年第四季期間所見到的利差收窄。

However, as Ken mentioned, we are now seeing spreads modestly wider. Our gross debt-to-equity ratio at March 31 was 1.32 times compared to 1.27 times at year-end 2025. Our net debt-to-equity ratio, net of cash, was 1.26 times compared to 1.2 times at the end of the fourth quarter.

不過，如 Ken 所提到，我們現在看到利差略為擴大。截至 3 月 31 日，我們的總負債對股東權益比率為 1.32 倍，較 2025 年底的 1.27 倍上升。我們的淨負債對股東權益比率（扣除現金）為 1.26 倍，較第四季末的 1.2 倍上升。

In April, we paid our first quarter distribution of $0.40 per share. And for the second quarter, we have declared a $0.38 per share distribution, which consists of a regular distribution of $0.36 per share and a supplemental distribution of $0.02 per share. Both distributions will be paid on July 28 to shareholders of record as of June 30.

4 月，我們支付了第一季每股 0.40 美元的配息。而就第二季而言，我們已宣告每股 0.38 美元的配息，其中包含每股 0.36 美元的例行配息與每股 0.02 美元的補充配息。兩項配息將於 7 月 28 日支付給截至 6 月 30 日登記在冊的股東。

As we reiterated last quarter, we are operating with a supplemental dividend program that sees us paying out a portion of the excess earnings over and above our regular dividend of $0.36 per share. This should allow us to deliver the benefits of higher returns to shareholders when market returns are higher as well as provide stability to NAV while allowing us to reinvest earnings for growth.

如同我們在上一季重申，我們採行補充股利計畫，將例行股利每股 0.36 美元以上的部分超額盈餘，提撥一部分予以配發。這應可在市場報酬較高時，讓股東享有較高報酬的好處，同時在允許我們將盈餘再投資以促進成長的情況下，為每股淨值（NAV）提供穩定性。

For the most recent quarter, we generated approximately $0.05 of incremental earnings above our regular distribution, and we are distributing $0.02 of the excess earnings in the form of the supplemental distribution.

在最近一季，我們產生約每股 0.05 美元、超出例行配息的增量盈餘，並以補充配息的形式配發其中每股 0.02 美元的超額盈餘。

Our total GAAP net income for the first quarter was $0.18 per share compared to $0.32 per share in the fourth quarter of 2025. First quarter net income included $0.23 per share of net realized and unrealized losses.

我們第一季的GAAP淨利總額為每股0.18美元，相較於2025年第四季的每股0.32美元。第一季淨利包含每股0.23美元的已實現及未實現淨損失。

Net realized losses of $0.07 per share were primarily driven by the restructuring of two underperforming debt positions, partially offset by realized gains from full or partial repayments and sales of investments during the quarter.

每股0.07美元的已實現淨損失主要來自兩筆表現不佳的債務部位重整，部分被本季投資項目全額或部分償還及出售所帶來的已實現收益所抵銷。

Net unrealized losses of $0.16 per share were primarily due to the impact of benchmark spread widening as well as decreases in the fair value of certain underperforming portfolio companies, partially offset by the reversal of unrealized losses on debt positions that were restructured during the period.

每股0.16美元的未實現淨損失主要由基準利差擴大影響，以及部分表現不佳的投資組合公司公允價值下降所致；部分被本期間已重整之債務部位未實現損失回轉所抵銷。

At the end of the first quarter, net asset value was $17.50 per share compared to $17.72 per share as of December 31, 2025, a modest decline of 1.2%. NCDL's investment portfolio had a fair value of $2 billion, consistent with the prior quarter as we have been actively reinvesting proceeds received from repayments into new transactions.

第一季末，每股淨資產價值為17.50美元，較2025年12月31日的每股17.72美元小幅下降1.2%。NCDL的投資組合公允價值為20億美元，與前一季一致，因我們一直積極將償還所得再投資於新交易。

Gross originations totaled $82.9 million and gross investment fundings totaled $85.4 million compared to $59.4 million and $80.4 million of gross originations and gross investment fundings, respectively, in the fourth quarter of 2025.

總承作金額為8,290萬美元，總投資撥款為8,540萬美元；相較之下，2025年第四季的總承作金額與總投資撥款分別為5,940萬美元與8,040萬美元。

During the first quarter, sales and repayments totaled $65 million, a rate of approximately 3.3%, slightly lower than last quarter's 4.2% and our long-range assumption of 5% per quarter, attributable to lower M&A activity in the first quarter, as highlighted by Ken. We had full repayments on three deals totaling $48 million and partial prepayments for another $11 million.

第一季出售與償還合計6,500萬美元，約為3.3%的比率，略低於上季的4.2%以及我們長期假設的每季5%，主要歸因於第一季併購活動較低，如Ken所強調。我們有三筆交易全額償還，合計4,800萬美元，另有1,100萬美元的部分提前償還。

We expect to continue to redeploy capital received from repayments with a view towards maintaining leverage at the upper end of our target range. Additionally, we remain focused on redeploying capital into traditional middle market transactions across the capital structure with the vast majority of new investments into senior first lien loans.

我們預期將持續把償還所回收的資金再部署，以維持槓桿在目標區間的上緣。此外，我們仍專注於在傳統中型市場、跨資本結構進行再部署，其中絕大多數新投資將投入優先第一順位擔保貸款。

As of March 31, our total investment portfolio consisted of 236 names compared to 227 names at year-end 2025. This diversification remains a key focus of ours with our top 10 portfolio companies representing just 13.2% of the fair value of the portfolio, consistent with the prior quarter. Our largest exposure is only 1.6% of the total portfolio, and our average position size remains at 0.4%.

截至3月31日，我們的整體投資組合包含236個標的，較2025年年底的227個標的增加。分散化仍是我們的重點，我們前十大投資組合公司僅占投資組合公允價值的13.2%，與前一季一致。我們最大的曝險僅占整體投資組合的1.6%，平均部位規模仍為0.4%。

In terms of asset deployment and selection, our new originations during the first quarter were again weighted towards senior loans with $70.2 million out of the $82.9 million of gross originations deployed into this strategy.

就資產部署與選擇而言，我們第一季的新承作再次偏重於優先貸款，在8,290萬美元的總承作中，有7,020萬美元部署於此策略。

The balance was deployed into subordinated debt and equity in the first quarter with $10.6 million invested in equity positions across seven names. We've intentionally deployed more dollars into our equity bucket in recent quarters versus junior debt, modestly increasing the percentage of equity to drive capital appreciation.

第一季其餘資金部署於次順位債務與股權，其中在七個標的的股權部位合計投資1,060萬美元。相較於次級債務，我們在近幾季有意將更多資金投入股權配置，適度提高股權占比以推動資本增值。

Spreads on new investments in the first quarter were relatively consistent with the prior quarter with the average spread on first lien loans at approximately 471 basis points. Our weighted average yield on debt and income-producing investments at cost declined to 9.3% at the end of the quarter compared to 9.5% at the end of the fourth quarter.

第一季新投資的利差與前一季大致一致，第一順位擔保貸款的平均利差約為471個基點。以成本計算，我們債務及具收益性投資的加權平均收益率於季末降至9.3%，相較於第四季末的9.5%有所下降。

As far as portfolio allocation is concerned, at March 31, first lien loans represented approximately 89.7% of the total portfolio, while junior debt and equity comprised 7.5% and 2.8%, respectively. Our allocation strategy remains unchanged as we continue to target a portfolio comprised of roughly 90% senior loans with the balance allocated to junior debt and equity.

就投資組合配置而言，截至3月31日，第一順位擔保貸款約占整體投資組合的89.7%，而次級債務與股權分別占7.5%與2.8%。我們的配置策略維持不變，持續以約90%的優先貸款為目標，其餘配置於次級債務與股權。

We strongly believe that our focus on the traditional middle market segment will benefit NCDL shareholders over the long term as we see meaningfully higher spreads and tighter documentation terms in the traditional middle market compared to the upper middle and BSL markets.

我們堅信，聚焦於傳統中型市場區隔將在長期為NCDL股東帶來效益，因為相較於上中型市場與BSL市場，我們在傳統中型市場看到顯著更高的利差與更嚴謹的契約條款。

Now turning to credit quality. Overall, we continue to be very pleased with the health and strength of our investment portfolio and the performance of our portfolio companies remain strong. During the first quarter, we placed one portfolio company on nonaccrual status. And at quarter end, NCDL had only five names on nonaccrual, representing just 0.6% on a fair value basis and 1.3% of the portfolio at cost. This compares to 0.5% on a fair value basis and 1.2% at cost at the end of the fourth quarter.

接著談信用品質。整體而言，我們仍對投資組合的健康與韌性非常滿意，投資組合公司的表現依然強勁。第一季我們將一家投資組合公司列為停止計息（nonaccrual）狀態。截至季末，NCDL僅有五個標的處於停止計息狀態，以公允價值計僅占0.6%，以成本計占投資組合的1.3%。相較之下，第四季末以公允價值計為0.5%，以成本計為1.2%。

At March 31, our weighted average internal risk rating was 4.3%, relatively consistent with the prior quarter, and our watch list consisting of names with an internal risk rating of 6 or worse, remains at a relatively low level of 8.4% at the end of the first quarter, up slightly from the 8.1% we reported in the prior quarter. And finally, our conservative approach to underwriting is highlighted by our weighted average net leverage across the portfolio at 5.1 times and interest coverage of 2.3 times as of the end of the quarter.

截至3月31日，我們的加權平均內部風險評等為4.3%，與前一季大致一致；而觀察名單（內部風險評等為6或更差的標的）在第一季末仍維持相對低的8.4%，較前一季報告的8.1%略為上升。最後，我們保守的承作方式也反映在投資組合的加權平均淨槓桿為5.1倍，以及截至季末利息保障倍數為2.3倍。

So to the right-hand side of our balance sheet. Our debt-to-equity ratio at March 31 was 1.32 times gross compared to 1.27 times at December 31, 2025, and on a net basis, 1.26 times net of our cash position at quarter end.

接著看資產負債表右側。截至3月31日，我們的負債對股東權益比率（debt-to-equity）以總額計為1.32倍，較2025年12月31日的1.27倍上升；以淨額計（扣除季末現金部位）為1.26倍。

Our goal remains to redeploy capital received from repayments and maintain leverage towards the upper end of our target range of 1 to 1.25 times debt to equity. And our focus in the near term is on optimizing the asset mix within the portfolio and actively reinvesting cash received from repayments and sales into high-quality assets.

我們的目標仍是將償還回收的資金再部署，並將槓桿維持在目標區間（負債對股東權益1至1.25倍）的上緣。短期內，我們的重點是優化投資組合內的資產組合，並積極將償還與出售所回收的現金再投資於高品質資產。

As I mentioned earlier, in February of this year, we closed the refinancing of the NCDL CLO-II transaction, reducing borrowing costs in that deal from SOFR plus 250 basis points to SOFR plus 144. In addition, we were able to secure a 5-year reinvestment period. This strong capital markets execution reflects the reputation that NCDL and Churchill have in the debt capital markets and represents a meaningful improvement in borrowing costs for NCDL.

如我先前提到的，今年2月我們完成NCDL CLO-II交易的再融資，將該筆交易的借款成本由SOFR加250個基點降至SOFR加144個基點。此外，我們也成功取得5年的再投資期間。這次強勁的資本市場執行反映了NCDL與Churchill在債務資本市場的聲譽，並為NCDL帶來顯著的借款成本改善。

Our total weighted average cost of debt declined to SOFR plus 186 basis points at March 31 compared to SOFR plus 203 basis points as of year-end 2025. We will continue to look for ways to optimize the debt capital structure of NCDL going forward.

截至3月31日，我們整體加權平均負債成本降至SOFR加186個基點，較2025年年底的SOFR加203個基點下降。未來我們將持續尋求方法，以優化NCDL的債務資本結構。

I'll now turn it back to Ken for closing remarks.

我現在把時間交回Ken做結語。

Thank you, Shai. In closing, we are pleased with our financial performance to start the year, which reflects the overall health and strength of our investment portfolio. We also remain confident that NCDL is well-positioned for the remainder of 2026 with an experienced investment team and our ability to originate high-quality investments in various market conditions and economic environments.

謝謝你，Shai。總結來說，我們對今年開局的財務表現感到滿意，這反映了我們投資組合整體的健康與韌性。我們也仍然有信心，憑藉經驗豐富的投資團隊，以及在各種市場條件與經濟環境下承作高品質投資的能力，NCDL在2026年剩餘期間具備良好定位。

We continue to benefit from our competitive advantages in the core middle market as well as our long-term successful track record. Thank you all for joining us today and for your interest in NCDL. I will now turn the call over to the operator for Q&A.

我們持續受惠於核心中型市場的競爭優勢，以及長期成功的績效紀錄。感謝各位今天參與並關注NCDL。我現在把電話會議交給接線員進行問答。

(Operator Instructions)

（接線員指示）

Brian McKenna, Citizens.

Brian McKenna，Citizens。

So you generated a 9.4% NII ROE in the quarter. Is this 9% to 9.5% level a good way to think about returns for the portfolio over the next few quarters? And then I'm curious, do you have any other levers you can pull to try and grind this higher over time?

所以你們本季產生了 9.4% 的 NII ROE。未來幾季，用 9% 到 9.5% 這個水準來看待投資組合的報酬是否合適？另外我也好奇，你們是否還有其他槓桿可以運用，隨時間推進把這個數字再慢慢提高？

Hey, Brian. Thanks. It's Shai. I appreciate the question. Look, I think what we've seen, and as Ken commented, right, the direction of travel with respect to interest rates, base rates appears to be sort of higher for longer as we look out now relative to a dynamic that we faced even just a quarter ago where the expectation was for rate cuts.

嗨，Brian。謝謝。我是 Shai。感謝你的提問。你看，我認為我們所看到的情況，以及 Ken 也提到的，對於利率、基準利率的走向而言，現在看起來相較於甚至就在一季前我們面臨的情境（當時市場預期會降息），更像是「高利率維持更久」。

Couple that with spreads on new deployment that while it was relatively flat quarter over quarter as comparing Q4 to Q1, we are seeing some widening on spreads, as Ken mentioned in his remarks. So I think you put those two together, and I think that the earnings picture going forward should be relatively stable, right? And on balance, the wider spreads on new origination as we redeploy repayments should be helpful.

再加上新投放的利差，雖然以 Q4 對比 Q1 來看季對季相對持平，但正如 Ken 在發言中提到的，我們確實看到利差有些擴大。所以我認為把這兩點放在一起看，未來的獲利展望應該會相對穩定，對吧？整體而言，當我們把回收款再投入時，新承作的利差擴大應該會帶來幫助。

Offsetting that, obviously, we saw lower M&A in Q1, while pipeline is very strong now and frankly, sort of up relative to where it was in the beginning of Q1. That lower repayment rate obviously will drive a little bit less acceleration of OID on repayment. But you put all that together, and I think broadly speaking, it looks like a pretty stable earnings picture going forward.

當然，抵銷因素是，我們在 Q1 看到併購（M&A）較少；不過目前的案源非常強，坦白說，相較於 Q1 初期還有所上升。回收率較低，顯然會使得在回收時 OID 的加速攤銷少一些。但把這些因素綜合起來看，我認為整體而言，未來的獲利圖像看起來相當穩定。

From a leverage perspective, obviously, we're operating at the upper end of our leverage range, so we don't have a lot of room to push leverage, but thinking about continuing to optimize the borrowing costs, obviously, we made great strides on that in the most recent quarter, and we'll continue to look for opportunities there as well.

從槓桿角度來看，顯然我們目前運作在槓桿區間的上緣，因此沒有太多空間再提高槓桿；但就持續優化借款成本而言，顯然我們在最近一季已取得很大進展，未來也會持續尋找相關機會。

So all told, I think it looks like a pretty stable picture from our perspective.

總的來說，從我們的角度看，整體情況相當穩定。

Okay. That's helpful. And then to your point, you are a little bit more constrained on leverage today. But as you get repayments come back and you'll redeploy that capital, where are you seeing the most attractive deployment opportunities today from a sector perspective? And then should we expect any material shift in the underlying mix of assets over time?

好的。這很有幫助。另外如你所說，你們目前在槓桿上確實比較受限。但當回收款回來、你們要重新部署資本時，從產業角度來看，你們目前看到最具吸引力的部署機會在哪裡？此外，隨時間推移，我們是否應預期底層資產組合會有任何實質性的變化？

Yes. Ken, do you want to take the sector piece, and I'll take the mix?

是的。Ken，你要不要先回答產業的部分，我來回答組合的部分？

Sure. Yes. Yes. No, happy to do that. Look, I think the mix of investment opportunities we're seeing continues to be pretty broad-based across business services, health care services as well.

當然。是的。是的。沒問題，很樂意。你看，我認為我們看到的投資機會組合仍然相當廣泛，涵蓋商業服務，以及醫療保健服務等。

As you know, we've never been a large-scale software lender. So I think the good news there is, as you saw, it's a very small percentage of our portfolio. And I would say, moreover, the types of software businesses we're financing tend to be much more utility-like and embedded in the systems of their underlying clients.

如你所知，我們從來就不是大規模的軟體放款人。所以好消息是，如你所見，軟體在我們投資組合中占比非常小。而且我會說，我們所融資的軟體企業類型，往往更像公用事業（utility-like），並深度嵌入其底層客戶的系統之中。

So I would say other than broad-based business services where there's been a lot of activity, health care as well, that continues. I think what's really interesting, though, about the market is in addition to the spread widening that Shai alluded to, which we're very much seeing, is this disruption relative to the private BDCs, the larger retail dominated private BDCs pulling back in the upper middle market is creating opportunities for us with larger companies, right?

所以我會說，除了活動很多的廣泛商業服務之外，醫療保健也一樣，這些趨勢仍在延續。不過我認為市場真正有趣的是，除了 Shai 提到、我們也非常明顯看到的利差擴大之外，還有一個相對於私募 BDC 的「擾動」：那些由零售資金主導、規模較大的私募 BDC 在上中型市場（upper middle market）收縮，反而為我們帶來與更大型公司合作的機會，對吧？

If you look back over the last several years, those were the firms that were going fairly aggressively into new deals. They were competing with the BSL market and even into the upper middle market to provide financing for those companies, typically on more aggressive structures, in many cases, even doing covenant-lite.

如果回顧過去幾年，那些機構一直是在新案上相當積極的參與者。他們與 BSL 市場競爭，甚至深入上中型市場，為那些公司提供融資，通常採用更激進的結構，在許多情況下甚至做 covenant-lite（輕契約）。

With that bid pulled away and those large-scale, I would call them, large-cap private credit lenders, I think what we're seeing now is an opportunity for core middle market lenders like Churchill to do slightly larger financings, but on our terms and our structure, meaning traditional covenants, reasonable leverage, and better pricing.

當那股買盤撤出，而那些我稱之為大型、偏大盤的私募信貸放款人退場後，我認為我們現在看到的是：像 Churchill 這樣的核心中型市場放款人，有機會做規模稍大一些的融資，但能以我們的條件與結構來做，也就是傳統契約、合理槓桿，以及更好的定價。

So I think it opens up a broader runway, if you will. And I think that's a big change, and we are definitely seeing that. Overall, deal activity has been very good. And I think that there continues to be an aspect of consolidation among the largest core middle market lenders.

所以我認為這等於打開了更長的跑道。我認為這是一個很大的變化，而我們確實正在看到。整體而言，交易活動一直非常不錯。而且我認為，在最大的核心中型市場放款人之間，仍持續存在某種程度的整併。

The core five or six firms today really dominate the traditional middle market, and obviously, we're pleased to be one of them and to have great deal flow and things have picked up quite a bit in the last couple of months.

如今核心的五到六家機構確實主導了傳統中型市場；顯然我們很高興能成為其中之一，並擁有很好的案源流量，而且過去幾個月的動能提升了不少。

It was a little bit slower in the first month or two of the year. We were kind of working through our backlog from Q4, which was huge. But now we're seeing activity pick up again. And some of this disruption, I think, is actually going to be helpful in a number of ways.

年初的前一兩個月確實稍微慢一些。我們當時有點在消化 Q4 的存量案子，因為那一季非常多。但現在我們看到活動又再度升溫。而我認為其中一部分的這種擾動，實際上會在多個面向帶來幫助。

Yes, I was just going to jump in on sort of the mix. So the only comment I would make there, and you saw a modest uptick in the equity percentage in the portfolio this quarter. So at 2.8%. I think prior quarter, we were at 2.3% and that's sort of been steadily increasing over the five quarters from just below 2% to now close to 3%.

是的，我只是想補充一下關於組合的部分。我唯一想說的是，你也看到本季投資組合中的股權占比小幅上升。目前是 2.8%。我想上一季是 2.3%，而且在過去五季中，這個比例一直穩步上升，從略低於 2% 到現在接近 3%。

And that's been intentional, right? So essentially favoring the levered senior trade, which will continue to be the vast majority of what we do, probably a slightly higher allocation to equity co-investments as well to try to drive some capital appreciation and taking that allocation from sub debt. And you've kind of seen that shift.

而這是刻意為之，對吧？也就是說，我們偏好槓桿化的優先級策略，這仍將是我們業務的絕大部分；同時也會把配置略微提高到股權共同投資，以嘗試帶動一些資本增值，而這部分的配置主要是從次級債（sub debt）那邊挪過來。你也大致看到了這樣的轉變。

I still think equity is going to be in that kind of low single-digit percentage, but we might expect to see a modest increase in that equity allocation over the coming quarters as well as we attempt to drive a little bit more capital appreciation in the vehicle.

我仍然認為股權會維持在那種低個位數的占比，但未來幾季我們可能會看到股權配置小幅增加，因為我們希望在這個載體中推動更多一些的資本增值。

Okay. Thanks, guys. And then one more, if I can here. For you, Ken, Churchill clearly has scale tenured institutional business. You've talked about this at length. But I'm curious, what are you hearing from your institutional LPs and those allocators as it relates to the opportunity in direct lending today? And also how they're thinking about their overall diversification and really where their exposures sit across their portfolios.

好的。謝謝各位。如果可以的話我再問最後一個。Ken，就你而言，Churchill 顯然具備規模與資深的機構業務。你也談過很多次。但我很好奇，關於目前直接放款（direct lending）的機會，你從機構 LP 與那些資產配置者那裡聽到什麼看法？以及他們如何看待整體的分散配置，並真正檢視他們在投資組合中各項曝險的位置。

Yes. No, that's a great question. And I can tell you, overall, we were just out to Tokyo. I was in Seoul. I traveled to Canada as well. So I was up in Toronto meeting with investors. And obviously, just coming back from Milken, where we had, I think, 20-some-odd meetings with investors there.

是的。不，這是個很好的問題。我可以告訴你，整體而言，我們剛去過東京。我也在首爾。我也去了加拿大。所以我在多倫多與投資人會面。當然，剛從 Milken 回來，我想我們在那裡與投資人開了大概二十多場會議。

The sentiment on the institutional side is very strong. And I can tell you that there's quite a contrast between the retail redemption dynamics which thankfully, we're not as exposed to. As I think you're aware, and I think we've said this before, as a firm, we're 96% institutional, which is actually very important when you think about the dynamics and origination dynamics in the market today.

機構端的情緒非常強勁。我可以告訴你，這與零售端的贖回動態形成很大對比，而幸好我們在這方面的曝險沒那麼高。如你所知，而且我想我們之前也說過，作為一家公司，我們 96% 是機構資金；當你思考當前市場的動態以及承作（origination）動態時，這其實非常重要。

We actually get private equity firms that are asking us now how exposed are we to retail, and we tell them we're 96% institutional. That's an incredibly positive point as they think about our ability to fund those companies on a go-forward basis.

其實現在有私募股權公司來問我們，我們對零售端的曝險有多大；我們告訴他們，我們有 96% 是機構資金。這是一個非常正面的重點，因為他們在思考我們未來持續為那些公司提供資金的能力。

Similarly, on the institutional side, they continue to allocate. Allocations were up year-over-year institutionally, and it has not rolled over. The dynamics that we're seeing on the retail side are very, very different institutionally. They view private credit as a fundamental asset class. They are looking very much at performance. They are certainly surprised by the headlines.

同樣地，在機構端，他們仍在持續配置。機構端的配置年增上升，而且沒有回落。我們在零售端看到的動態，在機構端非常、非常不同。他們把私募信貸視為一個基本的資產類別。他們非常關注績效表現。他們當然也對新聞標題感到意外。

And I think in virtually every case where we've gone down into the details, they've come back and said, this is exactly what we're hearing from our other institutional managers. The quality remains very good. There is no evidence of any issues in the portfolios, in particular, with you all, where we've had, in many cases, decades-long relationships. This is exactly what we expected.

而且我認為幾乎每一次，當我們深入到細節後，他們都會回來說：這正是我們從其他機構管理人那裡聽到的。資產品質仍然非常好。在投資組合中沒有任何問題的跡象，特別是你們這邊；很多情況下，我們與你們有長達數十年的合作關係。這完全符合我們的預期。

We are -- stay the course, continue to allocate and feel very good about the risk-adjusted returns in private credit. And I think recognize that the bit of disruption we've seen in that kind of upper middle market large-cap private equity dynamic could open up a broader runway for us.

我們會——按既定方向前進、持續配置，並且對私募信貸的風險調整後報酬感到非常滿意。而且我認為也意識到，我們在那種上中型市場、大型收購型私募股權的動態中看到的一點擾動，可能會為我們打開更寬廣的發展跑道。

So the institutional color is much more positive than the retail side. I will say when the headline started -- first started rolling out, it did -- it definitely was important for us to get out there and talk about it.

所以機構端的情況比零售端正面得多。我會說，當那些新聞標題開始——剛開始出現時，確實——我們必須出去對外溝通，這點非常重要。

But other managers have done the same. And I would say that the feedback across the board from our institutional relationships is, yes, that's what we're hearing. We're hearing that. They're getting questions from their investment committee about, gee, why are we reading all about private credit and what's the backdrop of these stories.

但其他管理人也做了同樣的事。而我會說，從我們的機構關係整體回饋來看，是的，這就是我們聽到的。我們也聽到同樣的說法。他們的投資委員會會問他們：欸，我們為什麼一直在讀到關於私募信貸的報導？這些故事的背景是什麼？

But the reality is that the fundamentals in the portfolio are very good, and they're hearing that across the board. And so we're feeling very good about institutional fundraising. As I think you know, we closed our largest fund ever, one of the largest private credit funds raised in the last five years, a $16 billion middle market senior loan fund we closed at the end of last year, and we continue to see strong interest in our product.

但現實是，投資組合的基本面非常好，而且他們從各方聽到的也都是如此。因此我們對機構募資感到非常有信心。如你所知，我們完成了史上最大的一檔基金募集，也是過去五年募集規模最大的私募信貸基金之一：一檔 160 億美元的中型市場優先擔保貸款基金，於去年底完成募集；而我們的產品仍持續受到高度關注。

Cory Johnson, UBS.

Cory Johnson，瑞銀（UBS）。

I just wanted to touch on a little bit of some of the topics you kind of already just talked about, where from -- I guess, what are you hearing from your portfolio companies in terms of like M&A? And then given the fact that you're looking more into allocating towards equity, what are the possibilities for realizations or perhaps some reversals of the unrealized losses going forward?

我想稍微觸及一些你剛才已經談到的主題：從——我想問，你們從投資組合公司那邊聽到的關於併購（M&A）情況如何？另外，考量到你們更傾向把配置往股權移動，未來在變現（realizations）方面有哪些可能性？或者未實現損失是否可能出現一些回轉？

So yes, I would say -- yes, I can take that shot. I would say two things and certainly feel free to weigh in. Obviously, private equity liquidity and realizations have been low for the last several years. Obviously, GP-led secondaries have helped that. I think pretty much every sponsor that I'm aware of in our portfolio is either doing a GP-led secondary CV or is considering doing them. So I think that's taken some of the pressure off.

所以是的，我會說——是的，我可以試著回答。我會說兩點，也請你隨時補充。很明顯，過去幾年私募股權的流動性與變現一直偏低。顯然，GP 主導的次級交易（GP-led secondaries）對此有所幫助。我認為我們投資組合中幾乎每一位我所知道的贊助方（sponsor）不是正在做 GP 主導的次級 CV，就是在考慮要做。所以我認為這已經減輕了一些壓力。

But look, I think we feel very good about the equity investments we made. We do think over time that they will generate a nice additive capital gain within the portfolio. We actually think the risk-adjusted opportunity right now in private equity is somewhat better than junior debt.

但你看，我們對我們所做的股權投資感到非常有信心。我們確實認為，隨著時間推進，它們將在投資組合中帶來不錯的增量資本利得。我們其實認為，目前私募股權的風險調整後機會，比次順位債（junior debt）要好一些。

So what you're seeing is an allocation -- a modest allocation shift to continue to lean in on senior lending, continue to view the levered senior loan trade as a very attractive trade. But we do see opportunities to co-invest alongside our private equity sponsors and generate attractive long-term capital gains.

所以你看到的是配置——小幅的配置轉移：持續加碼優先放款，並且持續認為槓桿型優先貸款這筆交易非常有吸引力。但我們也看到機會可以與我們的私募股權贊助方共同投資（co-invest），並創造具吸引力的長期資本利得。

What we do think that M&A activity picked up quarter-over-quarter every single quarter in the last three quarters of 2025. So we do see a modest pickup in M&A activity. I do think that part of that was driven by the stabilization and modest decline in interest rates.

我們確實認為，2025 年最後三個季度的併購活動每一季都呈現季增。因此我們確實看到併購活動有溫和回升。我確實認為，其中一部分是由利率趨於穩定並小幅下滑所帶動。

So we'll see how that goes through the rest of this year. But the M&A activity in the core middle market was quite robust last year, and we continue to see a pretty good market there. So we're hopeful that private equity realizations will start to tick up more meaningfully. But in the meantime, we feel very good about our private equity portfolio and our investments, and we think they represent excellent long-term value.

所以我們會看看今年剩下的時間會如何發展。但去年核心中型市場的併購活動相當強勁，我們也持續看到那裡的市場表現不錯。因此我們希望私募股權的變現將開始更有意義地回升。但同時，我們對我們的私募股權投資組合與投資感到非常有信心，並且認為它們代表極佳的長期價值。

Shai, I don't know if you have any other comments?

Shai，我不知道你是否還有其他補充？

Yes. Yes. No, I would just add, too, in terms of use of proceeds when thinking about our lending activity, right, a meaningful percentage, call it, 25% to one-third of those proceeds are being used for add-on acquisitions.

是的。是的。不，我只是再補充一點：就我們的放款活動在思考資金用途（use of proceeds）而言，有相當比例——大概 25% 到三分之一——的資金是用於附加併購（add-on acquisitions）。

So our borrowers remain very active in terms of pursuing tuck-in acquisitions even in a modestly lower new deal M&A environment, although new deals, add-on acquisitions, growth CapEx, et cetera, still represent the vast majority of the deployment that we're seeing across the board. So I would just add that comment that our sponsors remain very active with their existing portfolio companies even in a slightly lower M&A environment over the first quarter.

所以即便在新案併購（M&A）環境略為降溫的情況下，我們的借款人仍然非常積極地推動補強型併購（tuck-in acquisitions）；不過，新案、附加併購、成長型資本支出（growth CapEx）等等，仍然占我們整體看到的資金投放（deployment）之絕大多數。所以我只是補充這點：即便第一季的併購環境略低，我們的贊助方在既有投資組合公司上仍然非常積極。

And just one follow-up. You mentioned being able to possibly get into larger deals given the fact that like the retail pullback and such. But I was wondering, is there -- are there areas where you're seeing any increased competition, perhaps players moving down market, looking for opportunities or perhaps given the fact that they may be shying away from software a bit they're looking to play in other spaces. Are there any areas where you're seeing additional competition?

再追問一題。你提到，因為零售端回撤之類的因素，你們可能有機會切入更大型的交易。但我想問的是：是否——你們是否在某些領域看到競爭加劇？例如有些參與者往下沉市場尋找機會，或是因為他們可能稍微避開軟體領域，而轉向其他產業。你們是否在任何領域看到額外的競爭？

No. In fact, I'd say it's exactly the opposite. I think that the larger retail-oriented private credit shops or the firms that have been raising significant retail capital, we've seen them in a number of situations, very real situations in the last couple of months, pull back, either pull back on pitching more aggressive structures or where we're in deals with them and they are reluctant to step up and do a more significant amount of the add-ons, add-on acquisitions and provide more capital. So I would say it's the opposite from the large cap players.

沒有。事實上，我會說正好相反。我認為那些更偏零售導向的私募信貸機構，或是一直在募集大量零售資金的公司，我們在過去幾個月的多個情境中——非常真實的情境——看到他們退縮：要嘛是在推介更激進的結構時退縮；要嘛是在我們與他們共同參與的交易中，他們不願意加碼、承作更大比例的附加項目、附加併購並提供更多資金。所以我會說，對大型資本玩家而言，情況正好相反。

Look, I mean, if you're facing a large number of redemptions and your plan is to limit those to 5% a quarter and you're looking at 15% or 20% redemption requests, you have to plan for another three or four quarters of 5% redemptions, right? So you've got to make sure you freed up enough liquidity and be prudent about that. So I don't think it's unnatural behavior. It's exactly, I think, what you have to do in light of in light of the redemption pressure that you're seeing. So we are actually not seeing those firms look to come down market at all. In fact, if anything, we're seeing them pull back new commitments or add-on commitments to existing borrowers.

你看，我是說，如果你面臨大量贖回，而你的計畫是把贖回限制在每季 5%，但你看到的是 15% 或 20% 的贖回申請，那你就必須為接下來三到四個季度、每季 5% 的贖回做規劃，對吧？所以你必須確保釋放出足夠的流動性，並且在這方面保持審慎。所以我不認為那是不自然的行為。我認為，考量到你所看到的贖回壓力，這正是你必須做的事。因此我們其實完全沒有看到那些公司想要往下沉市場。事實上，如果有什麼趨勢的話，我們看到的是他們縮減新的承諾，或縮減對既有借款人的追加承諾。

And I would say the other dynamic is that newer entrants are almost certainly going to be playing in the lower end of the middle market. And I think that you've seen a considerable uptick in the competitive dynamics in the lower middle market where we typically don't play. But if the solution that a private equity firm is looking for is $400 million or $500 million and you raised a $400 million or $500 million fund, you're not going to put the whole deal in the fund. So the new entrants, by definition, are going into the lower middle market transactions, and that's where we're seeing the competitive dynamics play out.

我還想說，另一個動態是，新進入者幾乎可以肯定會在中型市場的較低端布局。而且我認為你已經看到在較低端的中型市場競爭態勢明顯升溫，而那通常不是我們參與的領域。但如果一家私募股權公司尋求的解決方案是4億或5億美元，而你募了一支4億或5億美元的基金，你不可能把整筆交易都放進該基金裡。因此，新進入者按定義就會進入較低端的中型市場交易，而我們看到的競爭態勢正是在那裡展開。

Unfortunately, that's not an area that we operate in. But I do think it's putting pressure on the lower end of the market. And I think on the upper end of the market, the good news there is that with the large-cap private credit players backing away, understandably, it presents an opportunity for us to step up.

不幸的是，那不是我們經營的領域。但我確實認為這正在對市場的較低端造成壓力。而我認為在市場的較高端，好消息是大型私募信貸玩家在合理的情況下選擇退後，這為我們挺身而出提供了機會。

So I think we're extraordinarily well positioned. We have a tremendous amount of dry powder across our platform. And the competitive dynamics that I think today are probably about as good as we've seen in the last several years. There are a handful of us that are institutionally backed. So we're not seeing that retail pressure. We have plenty of capital. It's drawdown capital.

所以我認為我們的定位極其有利。我們在整個平台上擁有大量可投資的乾粉資金。而我認為當前的競爭態勢，可能是我們在過去幾年看到的最有利水準之一。我們當中只有少數幾家是由機構資金支持的。因此我們沒有看到那種零售資金的壓力。我們有充足的資本。而且是承諾制（drawdown）資本。

So we draw down as we make the investments. So I think we can be prudent about where we deploy. So look, I think that the dynamics that are playing out in the market now play extraordinarily well to our strengths, and I think we're incredibly well positioned. Low software exposure, low PIK exposure because we were never playing in those ARR, large cap. In fact, we've never done an ARR transaction in our history.

也就是說，我們在進行投資時才進行資金提取。因此我認為我們可以審慎地決定在哪裡部署資金。所以你看，我認為目前市場正在上演的這些動態，對我們的優勢非常有利，而我認為我們的定位極其良好。軟體曝險低、PIK（實物支付利息）曝險低，因為我們從來沒有在那些ARR、大型資本市場領域參與。事實上，我們歷史上從未做過一筆ARR交易。

So I think when you look at all the fundamentals, the market is very much coming our way in terms of deal activity and our ability to deploy capital. So we feel very good about where we're sitting today and certainly don't see the competitive dynamics being an issue for us right now at all.

所以我認為，從所有基本面來看，就交易活動以及我們部署資本的能力而言，市場正在明顯向我們這邊靠攏。因此我們對目前所處的位置感到非常滿意，當然也完全不認為競爭態勢在當下會對我們造成任何問題。

(Operator Instructions)

（接線員指示）

Arren Cyganovich, Truist Securities.

Arren Cyganovich，Truist Securities。

I was hoping to get into maybe, help us square what we're hearing from peers, which I think you kind of sort of addressed in your last comments of seeing a pretty active pipeline and also wider spreads. Typically, when we see a wider spread environment, the pipelines or the deal activity slows as borrowers adjust to the new pricing terms and structures. Maybe you just discuss why you're seeing essentially a better kind of outcome maybe than most are seeing.

我希望能深入談一下，幫我們釐清我們從同業那裡聽到的情況——我想你在剛才的評論中多少有提到——他們看到相當活躍的案源管線以及更寬的利差。通常在利差走寬的環境下，隨著借款人調整到新的定價條款與結構，案源管線或交易活動會放緩。你能否談談為什麼你們看到的結果基本上比多數人看到的更好一些。

So I guess I would say a couple of things. One is we have been extraordinarily active through 2025. We had a bit of a pullback with all the negative headlines and obviously, the onset of the war. And I think that created a bit of uncertainty. I think the private equity firms that were considering selling portfolio companies or putting those businesses up for sale, pressed pause, if you will. But the pipeline has come back very strong and deal activity remains very good. So I think on the pure deal activity front, core middle market, very active.

我想我會說幾點。第一，我們在2025年期間一直非常活躍。在各種負面新聞標題以及顯然戰爭爆發之初，我們確實稍微收縮了一下。我認為那帶來了一些不確定性。我認為那些考慮出售投資組合公司或把企業拿出來出售的私募股權公司，某種程度上按下了暫停鍵。但案源管線已經強勁回升，交易活動仍然非常好。所以我認為就純粹的交易活動而言，核心中型市場非常活躍。

Now as far as the competitive dynamics and spreads, I think it is in large part a function of the fact that the retail capital that was raised by definition, as you all know this, has to be deployed immediately. So they were -- those lenders were being more aggressive about pricing because they had to be. They had to put the money to work very quickly. Otherwise, it would impact their ongoing yields.

至於競爭態勢與利差，我認為很大程度上是因為零售資金的募集——按定義，如各位所知——必須立即部署。因此那些放款人不得不在定價上更具侵略性。他們必須非常快速地把資金投入運作。否則就會影響他們持續的收益率。

So when you pulled away the -- effectively the retail drive to kind of the need to put up capital very quickly, I think that sets up a much more balanced dynamic that allows traditional direct lenders like ourselves to normalize and to obtain spreads that would be more consistent with where we feel they should be, and they've been with respect to the core middle market. So a 450 to 475, which was definitely tighter than it was over the last several years. That's kind of where it was landing toward the second half of 2025. That number today is more like 5% to 5.25%, maybe even 5.5%.

所以當你把——實際上就是——那種由零售資金驅動、需要非常快速投入資本的力量抽離後，我認為就形成了一個更均衡的態勢，使像我們這樣的傳統直接放款人得以回歸常態，並取得更符合我們認為應有水準、也更符合核心中型市場歷來水準的利差。因此450到475個基點，確實比過去幾年更緊。那大概是2025年下半年落點所在。而今天這個數字更像是5%到5.25%，甚至可能到5.5%。

So I think it's purely a function of pulling out a fair amount of capacity that needed to find a home very, very quickly. And that was particularly true in the larger middle market companies, upper middle market businesses where that large cap bid would start to appear. So I think it's taken some of the pressure off.

所以我認為這純粹是因為抽走了相當一部分必須非常、非常快速找到去處的供給能力。而這在較大型的中型市場公司、上中型市場企業中特別明顯，因為那裡會開始出現大型資本的出價。所以我認為這減輕了一些壓力。

And I think that the size and scale that's required in the core middle market leaves it to a handful of us that can consistently write $250 million, $500 million, even $750 million commitments on a regular basis. And I think we're benefiting from that.

而且我認為，核心中型市場所需的規模與量級，使得能夠持續、定期承作2.5億、5億甚至7.5億美元承諾額的機構只剩少數幾家。我認為我們正從中受益。

Correspondingly, at the low end, I think you've got lots of new entrants. And as a result, a lot of firms that are trying to get on the board and to do deals and their efforts ideally lead deals. And so the competitive dynamics there, I think, are very different.

相對地，在較低端，我認為有很多新進入者。因此，許多公司都在努力進入董事會、做成交易，並且理想情況下主導交易。所以我認為那裡的競爭態勢非常不同。

But once you get to the point where you're talking about $250 million or more in commitment size, you're limiting the number of firms that can do that on a regular basis that have long-standing relationships in the private equity community.

但一旦你談到承諾規模達到2.5億美元或以上，你就會限制能夠定期做到這種規模、並且在私募股權社群中擁有長期關係的公司數量。

And once you pulled away the upper the large-cap retail bid, I think you end up with a situation where we've got more pricing flexibility and frankly, the ability to capture larger deals, but to do them on terms and structure that look a lot more like what we promised our investors and what we focused on.

而一旦把上端的大型資本、零售資金出價抽離後，我認為就會出現一種情況：我們擁有更大的定價彈性，坦白說，也有能力拿下更大的交易，但能以更符合我們對投資人承諾、以及我們所專注的條款與結構來完成。

This concludes the question-and-answer session. I'd like to turn the call back over to Ken Kencel for closing remarks.

問答環節到此結束。我想把電話交回給Ken Kencel作結語。

Great. Well, thank you very much, everyone, for joining us, and thank you for the excellent questions. We appreciate your support and dialogue. And obviously, we'll continue to update you all as we move forward, but we feel very good about the market and the opportunity going forward, and we appreciate your support. Thanks again.

很好。非常感謝各位今天加入我們，也謝謝大家提出的精彩問題。我們感謝各位的支持與交流。顯然，隨著我們持續推進，我們也會持續向各位更新；但我們對市場以及未來的機會感到非常樂觀，也感謝各位的支持。再次感謝。

This concludes today's conference. You may disconnect your lines at this time, and we thank you for your participation.

今天的會議到此結束。您現在可以掛斷電話線，感謝您的參與。