BlackRock TCP Capital Corp (TCPC) 2025 Q3 法說會逐字稿

Ladies and gentlemen, good afternoon and welcome to BlackRock TCP Capital Corp's third-quarter earnings call. (Operator Instructions)

女士們、先生們，下午好，歡迎參加貝萊德TCP資本公司第三季財報電話會議。（操作說明）

Now I would like to turn the call over to Alex Doll, a member of the BlackRock TCP Capital Corp Investor Relations team. Alex, please proceed.

現在我想把電話交給貝萊德TCP資本公司投資人關係團隊成員Alex Doll。Alex，請​​繼續。

Thank you, operator. Before we begin, I'll note that this conference call may contain forward-looking statements based on the estimates and assumptions of management at this time of such statements and are not guarantees of future performance.

謝謝接線生。在會議開始之前，我要說明的是，本次電話會議可能包含基於管理層目前估計和假設的前瞻性陳述，這些陳述並不構成對未來業績的保證。

Forward-looking statements involve risks and uncertainties, and actual results could differ materially from those projected. Any forward-looking statements made on this call are made as of today and are subject to change without notice. Additionally, certain information discussed and presented may have been derived from third-party sources and has not been independently verified. Accordingly, we make no representation or warranty with respect to such information.

前瞻性陳述涉及風險和不確定性，實際結果可能與預測結果有重大差異。本次電話會議中所作出的任何前瞻性陳述均截至今日，如有更改，恕不另行通知。此外，文中討論和呈現的某些資訊可能來自第三方，未經獨立核實。因此，我們對此類資訊不作任何陳述或保證。

Earlier today, we issued our earnings release for the third quarter ended September 30, 2025, and posted a supplemental earnings presentation to our website at www.tcpcapital.com.To view the slide presentation which we will refer to on today's call, please click on the Investor Relations link and select in events and presentations. These documents should be reviewed in conjunction with the company's Form 10-Q which was filed with the SEC earlier today.

今天早些時候，我們發布了截至2025年9月30日的第三季財報報告，並在我們的網站www.tcpcapital.com上發布了補充收益簡報。要查看我們將在今天的電話會議上提到的幻燈片演示文稿，請點擊“投資者關係”鏈接，然後在“活動和演示文稿”中選擇。這些文件應與該公司今天稍早向美國證券交易委員會提交的 10-Q 表格一起審查。

Now, I will turn the call over to our Chairman, CEO, and CO-CIO, Phil Tseng.

現在，我將把電話交給我們的董事長、執行長兼聯合首席資訊長菲爾·曾。

Thank you, Alex, and thanks to all of our investors and analysts for joining us today. I'll begin with an overview of our third-quarter performance. Our President, Jason Mehring, will then provide details on our portfolio and investment activity; and Erik Cuellar, our CFO, will review our financial results. I'll then share commentary on the current market environment before we open the call for your questions. We're also joined today by Dan Worrell, our CO-CIO, who will be available to answer your questions.

謝謝Alex，也感謝今天所有到場的投資人和分析師們。我將首先概述我們第三季的業績。接下來，我們的總裁 Jason Mehring 將詳細介紹我們的投資組合和投資活動；我們的財務長 Erik Cuellar 將回顧我們的財務表現。接下來，我將就當前市場環境發表一些看法，之後我們將開放式提問環節。今天我們也邀請到了聯合首席資訊長丹·沃雷爾，他將回答您的問題。

I'll begin with our results for the quarter. We made continued progress in executing on the strategic priorities we outlined at the start of the year. Resolving challenged credits, improving the quality of our investment portfolio, and positioning TCPC to return to historical performance levels.

我先從本季的業績說起。我們在執行年初制定的策略重點方面取得了持續進展。解決有爭議的信貸問題，提高投資組合的質量，使 TCPC 恢復到歷史績效水準。

Third-quarter NAV was unchanged from the previous quarter at $8.71, and importantly, non-accruals improved to 3.5% of the portfolio at fair market value compared to 5.6% at the end of 2024. During the third quarter we sold one non-accrual investment above our evaluation estimate and placed two smaller previously restructured investments back on non-accrual.

第三季淨資產價值與上一季持平，為 8.71 美元；更重要的是，非應計資產佔投資組合公允市值的 3.5%，而 2024 年底這一比例為 5.6%。第三季度，我們以高於評估預期的價格出售了一項非應計投資，並將兩項先前重組的較小投資重新置於非應計狀態。

I'd also like to share an update on our investment in Renovo, which, as you may recall, is a direct-to-consumer home remodeling business. Renovo was previously removed from non-accrual status following a comprehensive recapitalization in the second quarter. However, early in the fourth quarter, company-specific performance and liquidity issues led the Renovo Board to determine that the best available path forward was a liquidation process which started on November 3, 2025.

我還想和大家分享我們對 Renovo 的投資的最新進展，您可能還記得，Renovo 是一家直接面向消費者的房屋改造公司。在第二季度進行全面資本重組後，Renovo 先前已從非應計狀態中移除。然而，在第四季度初，由於公司本身的業績和流動性問題，Renovo 董事會決定，目前最好的前進道路是清算程序，該程序於 2025 年 11 月 3 日開始。

The position in Renovo represented approximately 0.7% of our total investments at fair value as of September 30. We do not expect to recover value on our investment in Renovo, and we expect to fully write down this position in the fourth quarter of 2025. Further, we expect this to impact fourth quarter NAV by approximately $0.15 per share on a pro forma basis. We view this outcome as the result of issues specific to the issuer rather than a reflection of broader sector weakness.

截至 9 月 30 日，我們在 Renovo 的持股約占我們總投資的 0.7%（以公允價值計算）。我們預計無法從對 Renovo 的投資中收回價值，並預計將在 2025 年第四季完全減記該投資。此外，我們預計這將對第四季度每股淨值產生約 0.15 美元的調整（按備考基準計算）。我們認為這項結果是發行人自身問題造成的，而不是整個產業疲軟的體現。

We also realized portfolio gains this quarter, the largest of which was NEP Group, a global leader in broadcast and live production services for sports entertainment. In September, NEP announced a recapitalization that closed in October, strengthening its balance sheet while adding new junior capital below our position. As a result, our investment was upgraded from a second lien to a first lien term loan, improving our recovery prospects and demonstrating our team's success in executing a complex restructuring.

本季我們也實現了投資組合收益，其中收益最大的是 NEP 集團，該公司是體育娛樂廣播和現場製作服務的全球領導者。9 月，NEP 宣布了一項資本重組計劃，該計劃於 10 月完成，在加強其資產負債表的同時，也增加了我們持倉之下的新的次級資本。因此，我們的投資從第二順位擔保升級為第一順位擔保定期貸款，提高了我們的回收前景，也證明了我們團隊在執行複雜的重組方面取得了成功。

Now I'll share an update on capital allocation, starting with our dividend. Our Board declared a third-quarter dividend of $0.25 per share payable on December 31 to shareholders of record on December 17. This is consistent with the base dividend level we have paid since the first quarter of the year and reflects recent Fed cut rates and spreads we are seeing in the market.

現在我將分享一下資本配置的最新情況，首先是我們的股利。董事會宣布派發第三季股息，每股0.25美元，將於12月31日支付12月17日登記在冊的股東。這與我們自今年第一季以來支付的基本股息水準一致，並反映了聯準會近期降息以及我們在市場上看到的利差。

As part of our commitment to supporting our shareholders, we also repurchased more than 25,000 shares of TCPC stock during the third quarter and an additional 170,000 shares after quarter end.

作為我們對股東支持承諾的一部分，我們在第三季回購了超過 25,000 股 TCPC 股票，並在季度末後回購了 170,000 股。

Now I'll turn the call over to Jason to discuss our portfolio in more detail as well as our recent investment activity.

現在我將把電話交給傑森，讓他更詳細地討論我們的投資組合以及我們最近的投資活動。

Thanks, Phil, and welcome, everyone. During the third quarter, we selectively deployed capital into opportunities that are directly aligned with our investment strategy, investing primarily in core middle market companies, maintaining a well-diversified portfolio, prioritizing first lien loans, and leveraging the extensive resources of BlackRock.

謝謝菲爾，也歡迎各位。第三季度，我們選擇性地將資金投入到與我們投資策略直接相符的機會中，主要投資於核心中型市場公司，保持投資組合的多元化，優先考慮第一順位抵押貸款，並利用貝萊德的廣泛資源。

As we mentioned last quarter, BlackRock and HPS created a new platform called Private Financing Solutions, or PFS. PFS combines the firm's private credit, GPLP solutions, liquid and private credit CLOs, and leveraged finance businesses into a single integrated platform. The integration of the BlackRock and HPS businesses has already been an important catalyst for expanding TCPC's access to deal flow.

正如我們上個季度提到的，貝萊德和HPS創建了一個名為私人融資解決方案（PFS）的新平台。PFS 將公司的私募信貸、GPLP 解決方案、流動性和私募信貸 CLO 以及槓桿融資業務整合到一個統一的平台中。貝萊德和HPS業務的整合已成為TCPC拓展交易管道的重要催化劑。

In the third quarter, we saw a 20% increase in the number of deals we reviewed relative to last quarter and a 40% increase in the number of deals we advanced to the screening stage. In today's market environment, a larger deal funnel is an advantage in identifying high-quality opportunities.

第三季度，我們審查的交易數量比上一季增加了 20%，進入篩選階段的交易數量增加了 40%。在當今的市場環境下，更大的交易管道對於發現高品質的商機具有優勢。

Now I'll highlight two of our third-quarter investments, beginning with KBRA, where we invested $2.4 million as part of a new $1.1 billion first lien term loan financing for the company. KBRA is a major US credit rating agency that provides independent ratings and research across corporate, financial, and public markets, and it has been a portfolio company of ours for 3.5 years. The business is owned by a sector-focused sponsor that we have partnered with on multiple deals, and the BlackRock PFS platform led this transaction, which refinanced KBRA's existing debt, funded a shareholder dividend, and provided growth capital for M&A.

現在我將重點介紹我們第三季的兩項投資，首先是 KBRA，我們向該公司投資了 240 萬美元，作為該公司新的 11 億美元優先擔保定期貸款融資的一部分。KBRA 是一家美國主要信用評級機構，提供企業、金融和公共市場的獨立評級和研究，並且是我們投資組合中的一家公司，已有 3.5 年的歷史。該公司由一家專注於特定行業的贊助商擁有，我們曾與該贊助商在多個交易中合作。貝萊德 PFS 平台主導了此次交易，該交易為 KBRA 的現有債務進行了再融資，為股東分紅提供了資金，並為併購提供了成長資本。

Our investment in KBRA aligns closely with our strategy of investing in companies with substantial barriers to entry that generate recurring revenue, healthy margins, and strong free cash flow. We believe these characteristics support our ability to deliver risk-adjusted returns that are attractive to our shareholders.

我們對 KBRA 的投資與我們的投資策略密切相關，即投資於具有重大進入障礙、能夠產生經常性收入、健康利潤率和強勁自由現金流的公司。我們相信這些特點有助於我們為股東提供具有吸引力的風險調整後收益。

We also made a $5.2 million follow-on investment in Syndigo, a software company that helps brands and retailers manage and share product information across online and in-store channels. This transaction was part of a $930 million first lien term loan led by PFS that facilitated Syndigo's recent acquisition of 1WorldSync, a content management company. This business combination advances Syndigo's goal of using AI to help companies deliver accurate and consistent product content across the entire customer experience.

我們也對 Syndigo 進行了 520 萬美元的後續投資，Syndigo 是一家軟體公司，幫助品牌和零售商管理和共享線上線下管道的產品資訊。這項交易是 PFS 主導的 9.3 億美元優先擔保定期貸款的一部分，該貸款促成了 Syndigo 最近收購內容管理公司 1WorldSync。這項業務合併推進了 Syndigo 的目標，即利用人工智慧幫助企業在整個客戶體驗過程中提供準確一致的產品內容。

BlackRock has long been a lender to Syndigo, and this transaction demonstrates our continued commitment to the company's growth and success. We view it as an attractive opportunity to support a scaled market leader with resilient recurring revenue and strong free cash flow.

貝萊德長期以來一直是 Syndigo 的貸款方，這筆交易表明了我們對公司發展和成功的持續承諾。我們認為這是一個極具吸引力的機會，可以支持一個規模龐大、收入穩定、自由現金流強勁的市場領導者。

Since the start of the year, we've invested $241 million in 18 new and 13 existing portfolio companies with a granular average position size of $7.8 million. This is a significant decrease from an $11.7 million average position size across our portfolio at the end of 2024 and reflects progress in creating a more diversified, lower-risk portfolio.

今年以來，我們已向 18 家新投資組合公司和 13 家現有投資組合公司投資了 2.41 億美元，平均持股規模為 780 萬美元。與 2024 年底我們投資組合的平均持股規模 1,170 萬美元相比，這是一個顯著的下降，反映出我們在創造更多元化、風險更低的投資組合方面取得了進展。

All of our investments in the third quarter were in first lien term loans to companies with strong fundamentals that are positioned for long-term growth. Incumbency has remained an important competitive advantage for TCPC, and repeat borrowers represented 51% of our year-to-date originations.

第三季度，我們所有的投資都投向了基本面強勁、具備長期成長潛力的公司的優先擔保定期貸款。對 TCPC 而言，現有客戶仍然是一項重要的競爭優勢，回頭客占我們今年迄今貸款發放的 51%。

At the end of the quarter, our portfolio had a fair market value of $1.7 billion invested across 149 companies in more than 20 industry sectors. 89% of the portfolio was invested in senior secured debt, all of which is in floating rate instruments. Investment income was broadly distributed across our diverse portfolio, with 78% of the portfolio companies each contributing less than 1% of total income.

截至季末，我們的投資組合公允市值為17億美元，投資於20多個產業的149家公司。其中89%的投資組合為優先擔保債務，全部為浮動利率債券。投資收益廣泛分佈在我們多元化的投資組合中，其中 78% 的投資組合公司各自貢獻的收入不到總收入的 1%。

The weighted average annual effective yield of our portfolio was 11.5% in the third quarter compared to 12% in the prior quarter. New investments had a weighted average yield of 10.1%, while those we exited carried an average of 11.7%.

第三季我們投資組合的加權平均年有效收益率為 11.5%，而上一季為 12%。新投資的加權平均收益率為 10.1%，而我們退出的投資的平均收益率為 11.7%。

Paydowns this quarter were $140 million compared to $48 million in the prior quarter. This higher level of paydowns was mainly due to timing as several repayments we expected to close in the second quarter closed in the third quarter instead.

本季償還金額為 1.4 億美元，而上一季為 4,800 萬美元。還款額增加主要是由於時間安排的原因，因為我們原本預計在第二季完成的幾筆還款實際上在第三季完成了。

Now I'll turn the call over to Erik, who will walk through our financial results and capital and liquidity position.

現在我將把電話交給艾瑞克，他將詳細介紹我們的財務表現、資本和流動性狀況。

Thank you, Jason. I will begin with a review of our financial results for the third quarter.

謝謝你，傑森。我將首先回顧我們第三季的財務表現。

As detailed in our earnings press release, adjusted net investment income excludes the amortization of the purchase accounting discount resulting from our merger with BCIC and is calculated in accordance with GAAP. A full reconciliation of adjusted net investment income to GAAP net investment income as well as other non-GAAP financial metrics is included in our earnings press release and 10-Q.

正如我們在獲利新聞稿中所詳述的那樣，調整後的淨投資收益不包括因我們與 BCIC 合併而產生的購買會計折扣的攤銷，並按照 GAAP 計算。我們的獲利新聞稿和 10-Q 文件中包含了調整後淨投資收益與 GAAP 淨投資收益以及其他非 GAAP 財務指標的完整調整表。

Third-quarter adjusted net investment income was $0.30 per share, and gross investment income was $0.59 per share in the third quarter. This compares to $0.31 and $0.61 per share, respectively, in the second quarter. This quarter's gross investment income included recurring cash interest of $0.46 per share, non-recurring income of $0.03, recurring discount and fee amortization of $0.02, PIK income of $0.06, and dividend income of $0.02 per share. PIK interest income represented 9.5% of total investment income, down from 11.4% last quarter.

第三季調整後淨投資收益為每股 0.30 美元，第三季總投資收益為每股 0.59 美元。相比之下，第二季每股收益分別為 0.31 美元和 0.61 美元。本季總投資收益包括每股0.46美元的經常性現金利息、0.03美元的非經常性收入、0.02美元的經常性折價和費用攤銷、0.06美元的實物支付利息收入以及每股0.02美元的股息收入。PIK利息收入佔總投資收入的9.5%，低於上一季的11.4%。

Operating expenses for the third quarter were $0.27 per share, including $0.20 per share of interest and other debt expenses. As of September 30, 2025, our cumulative total return did not exceed the total return hurdle. And therefore, no incentive compensation was accrued for the third quarter.

第三季的營運費用為每股 0.27 美元，其中包括每股 0.20 美元的利息和其他債務費用。截至 2025 年 9 月 30 日，我們的累計總回報尚未超過總回報門檻。因此，第三季沒有提列激勵性薪酬。

As you will recall, our market-leading fee structure is particularly shareholder-friendly, which aligns interest between investors and management. Additionally, we waived a portion of our base management fee again this quarter, in line with our advisers' decision to waive one-third of our base management fee for the first three quarters of 2025.

您應該還記得，我們​​市場領先的收費結構對股東特別友好，使投資者和管理層的利益保持一致。此外，本季我們再次免除了一部分基本管理費，這與我們的顧問決定免除 2025 年前三個季度三分之一的基本管理費的決定一致。

Net realized losses for the quarter were approximately $97.0 million, or $1.14 per share. $72.6 million of this amount was due to the restructuring of our investment in Razor; and the remaining amount was related to our dispositions of Conergy, Iracore, and INH Buyer, which resulted in losses of $13.2 million, $4.1 million, and $3.9 million, respectively. Importantly, these impacts were already substantially reflected in our net asset value as of June 30, 2025.

本季淨已實現虧損約9,700萬美元，即每股虧損1.14美元。其中7,260萬美元是由於我們對Razor的投資進行了重組；其餘部分與我們處置Conergy、Iracore和INH Buyer有關，分別導致虧損1,320萬美元、410萬美元和390萬美元。重要的是，截至 2025 年 6 月 30 日，這些影響已基本反映在我們的淨資產價值中。

Net unrealized gains were $94.1 million, or $1.11 per share, primarily reflecting the markup of NEP that Phil mentioned earlier, along with the reversal of previously recognized unrealized losses from the restructuring and disposition of the investments I mentioned. The net increase in net assets for the quarter was $24.4 million, or $0.29 per share.

未實現淨收益為 9,410 萬美元，即每股 1.11 美元，主要反映了 Phil 之前提到的 NEP 的加價，以及我之前提到的投資重組和處置中先前確認的未實現損失的衝回。本季淨資產淨增加 2,440 萬美元，即每股 0.29 美元。

As of September 30, nine portfolio companies were on non-accrual status, representing 3.5% of the portfolio at fair value and 7.0% at cost. This is down from 3.7% and 10.4%, respectively, as of June 30; and 5.6% and 14.4%, respectively, at December 31, 2024. As Phil noted, we continue to work closely with our borrowers, their sponsors, and creditors to optimize our recovery value.

截至 9 月 30 日，有 9 家投資組合公司處於非應計狀態，以公允價值計算佔投資組合的 3.5%，以成本計算佔投資組合的 7.0%。截至 6 月 30 日，這兩個數字分別為 3.7% 和 10.4%；截至 2024 年 12 月 31 日，這兩個數字分別為 5.6% 和 14.4%。正如菲爾所指出的，我們將繼續與借款人、他們的擔保人和債權人密切合作，以最大限度地提高我們的回收價值。

Now I'll discuss our balance sheet and liquidity positioning. Our balance sheet remains strong. Total liquidity at quarter end was approximately $528 million, including $466.1 million of available leverage and $61 million in cash. Unfunded loan commitments represented 9.0% of our $1.7 billion investment portfolio or approximately $154 million, including $48.3 million in revolver commitments.

現在我將討論我們的資產負債表和流動性狀況。我們的資產負債表依然穩健。截至季末，總流動資金約為 5.28 億美元，其中包括 4.661 億美元的可用槓桿和 6,100 萬美元的現金。未撥付貸款承諾占我們 17 億美元投資組合的 9.0%，約合 1.54 億美元，其中包括 4,830 萬美元的循環貸款承諾。

Net regulatory leverage was 1.2 times at quarter end compared to 1.28 times at the end of the second quarter and in line with our target range of 0.9 to 1.2 times. The decrease was primarily due to repayments during the quarter. Our diverse leverage program includes three low-cost credit facilities, three unsecured note issuances, and an SBA program. The weighted average interest rate on our debt outstanding at quarter end was 5.0%.

截至季末，淨監管槓桿率為 1.2 倍，而第二季末為 1.28 倍，符合我們 0.9 至 1.2 倍的目標範圍。下降的主要原因是本季償還了部分款項。我們多元化的槓桿計劃包括三項低成本信貸安排、三項無擔保票據發行和一項 SBA 計劃。截至季末，我們未償債務的加權平均利率為 5.0%。

Looking ahead, we are taking proactive steps to manage our capital structure, including evaluating the best alternatives to refinance our 2026 notes. Given our credit debt ratings, we plan to address the notes through a combination of our credit facilities and a potential private placement. While spreads have widened over the past few weeks, we continue to monitor market conditions closely to determine the most cost-effective path forward.

展望未來，我們正在採取積極措施來管理我們的資本結構，包括評估為 2026 年到期票據進行再融資的最佳方案。鑑於我們的信用債務評級，我們計劃透過信貸安排和潛在的私募配售來償還這些票據。儘管過去幾週價差有所擴大，但我們將繼續密切關注市場狀況，以確定最具成本效益的前進道路。

Now I'll turn the call back to Phil for his closing remarks.

現在我把電話轉回給菲爾，請他作總結發言。

Thank you, Erik. Now I will provide some market commentary.

謝謝你，埃里克。現在我將對市場進行一些評論。

As we mentioned, we have seen an increase in deal flow and our pipeline is growing. While M&A activity has begun to show some signs of life, most borrowers are currently focused on refinancing existing debt at lower rates or extending maturities to execute on continued growth plans. At the same time, the volume of high-quality investment opportunities remains limited. Against this backdrop, we are pleased to see and review more opportunities as part of the PFS platform, and we are intently focused on deploying capital into high-quality deals.

正如我們所提到的，我們已經看到交易量增加，我們的業務管道也不斷成長。雖然併購活動已開始出現一些復甦跡象，但大多數借款人目前仍專注於以較低的利率對現有債務進行再融資，或延長債務期限以執行持續增長計劃。同時，優質投資機會的數量仍然有限。在此背景下，我們很高興看到並審查更多作為 PFS 平台一部分的機會，並且我們正專注於將資金投入高品質的交易。

In closing, we are encouraged by the progress we've made this year in improving the credit quality and the diversity of our portfolio. Looking to the final quarter of the year, we are focused on continuing to resolve challenged positions in our portfolio and positioning TCPC to deliver strong sustainable returns to our investors.

最後，我們對今年在提高信貸品質和投資組合多樣性方面取得的進展感到鼓舞。展望今年最後一個季度，我們將專注於繼續解決投資組合中存在的問題，並使 TCPC 能夠為投資者帶來強勁且可持續的回報。

Thank you for your continued support and interest in TCPC. And now, I'll turn the call to the operator to open the call for questions.

感謝您一直以來對TCPC的支持與關注。現在，我將把電話轉交給接線員，由他來回答問題。

(Operator Instructions) Robert Dodd, Raymond James.

（操作說明）羅伯特·多德，雷蒙德·詹姆斯。

First, if we can discuss the -- I think at the beginning, you said there were two previous restructurings that were returned to non-accrual. And then obviously, Renovo was restructured and is now are going to be written off. Can you give us any color on any themes here? I mean, that's three restructurings in relatively short order that sort of didn't stick, right?

首先，如果我們可以討論一下——我想在開頭，您說過之前有兩次重組，後來又恢復為非應計制。然後很顯然，Renovo進行了重組，現在將被註銷。您能提供任何主題的任何顏色嗎？我的意思是，在相對較短的時間內進行了三次重組，但似乎都沒有持續下去，對吧？

So is there any commonality between what occurred there or any changes that you can make? Obviously, you might not in control of all of the restructuring steps there. But any changes you can make to the restructuring process to kind of -- I mean, maybe the restructuring to be more aggressive the first time. Or just any thoughts there? I mean, three in short order is not great.

那麼，那裡發生的事情與現在的情況有什麼共同點嗎？或者你可以做出哪些改變？顯然，你可能無法控制所有的重組步驟。但是，你可以對重組過程進行一些改變，例如——我的意思是，也許第一次重組可以更積極一些。或者大家有什麼想法嗎？我的意思是，短時間內發生三起這樣的事可不太好。

Yeah. Thanks, Robert. We share your sentiments. We're obviously disappointed that deals that have been restructured do come back on. So as you know, these are restructurings that get completed with respect to their capital structure. And then it takes time for the business itself to kind of go through its operational restructuring plan and execution.

是的。謝謝你，羅伯特。我們感同身受。我們顯然對那些已經重組的交易最終又重新生效感到失望。如您所知，這些重組都是圍繞資本結構進行的。然後，企業本身也需要時間來完成其營運重組計劃並執行。

So I think that's what we're seeing here. Credit issues or operational issues don't resolve themselves quickly, and it does take time and it's not linear. With these specifically, there's no commonality amongst these. I mean, there are others, by the way, that have gone through restructurings and have come out continuing to perform and on a positive path.

所以我覺得這就是我們在這裡看到的。信用問題或營運問題不會很快自行解決，這需要時間，而且並非線性過程。具體來說，這些之間沒有任何共同點。我的意思是，順便說一句，還有一些公司經歷了重組，重組後繼續保持良好的業績，並走上了積極的發展道路。

So we have a number of those cases that we can talk about as well. But I would say there's no common theme amongst these three that went back on.

所以我們也有一些這樣的案例可以討論。但我認為這三起複合事件之間並沒有什麼共通點。

Got it, got it. Thank you. Then just on the market environment, and obviously, the expanded view, I mean, granularity down, like I think you said the new investments like $7.8 million position. So that's good, right? More diversification in the portfolio.

明白了，明白了。謝謝。然後就市場環境而言，顯然，要放眼更廣闊的視野，我的意思是，要細化到更小的層面，就像你剛才提到的，新的投資，例如 780 萬美元的部位。那很好，對吧？增加投資組合的多元化程度。

I mean, the comments that like most borrowers are still focused on lowering cost. I mean, I've heard elsewhere like the M&A cycle is starting to pick up. So I mean, are you still mainly -- it sounds like you're still mainly experiencing refinancing activity rather than new borrower activity. I mean, how do you expect that to evolve over the next, I would say, 12 months, but that's a long time to project anything.

我的意思是，大多數借款人仍然專注於降低成本。我的意思是，我從其他地方聽說併購週期開始加速了。所以我的意思是，你們目前的主要業務仍然是再融資活動，而不是新增借款人活動。我的意思是，你預計未來 12 個月內情況會如何發展？但 12 個月時間太長，很難預測任何事情。

It is. So I think your comments about seeing a lot of refinancings, that is certainly how I'd characterize deployment in the past several quarters, I think, largely in the market as well. I think the thoughts around M&A activity picking up, we are seeing that, and we are seeing new platforms, sponsors coming in and bidding on assets, and a lot of deals in the pipeline really picking up. So I would say that's probably a leading indicator of hopefully higher volumes in the next several quarters.

這是。所以，我認為你關於看到大量再融資的評論，確實正是我對過去幾季部署情況的描述，我認為，這在很大程度上也是市場上的情況。我認為併購活動正在升溫，我們看到了這一點，我們看到新的平台、發起人進入市場競購資產，很多交易正在籌備中，而且交易量確實在增加。所以我認為這很可能是一個領先指標，預示著未來幾季銷售有望成長。

But in terms of actual deployments, we're seeing refinancings, incremental add-ons on our existing portfolio as being kind of the predominant source of deployment, probably closer to 50% at this point -- or last quarter rather.

但就實際部署而言，我們看到再融資和現有投資組合的增量增加是主要的部署來源，目前可能接近 50%——或者更確切地說是上個季度。

Sorry, and your portfolio diversification is a good one. We've been -- since this management team really came in at the end of last year, we've really been focused on that portfolio diversification point so that this portfolio doesn't fall victim to a lot of the concentration issues that it had previously. So we've had 31 new investments this year at an average position size of $7.8 million, and that's a stark contrast to how this portfolio was managed previously.

抱歉，不過你的投資組合多元化策略很好。自從去年年底這個管理團隊真正上任以來，我們一直非常注重投資組合多元化，以避免該投資組合再次出現先前存在的集中度問題。今年我們新增了 31 項投資，平均持股規模為 780 萬美元，這與該投資組合先前的管理方式形成了鮮明對比。

Thank you. And then last one, I mean, are you seeing any -- and not just in the portfolio, but more broadly, even in deals that get reviewed, are you seeing any incremental indicators of stress?

謝謝。最後一個問題，我的意思是，您是否看到任何東西——不僅僅是在投資組合中，而是更廣泛地說，即使在接受審查的交易中，您是否看到任何壓力增加的跡象？

I mean, obviously, there's been some headlines. You don't have exposure to that in general. But are you seeing any areas of concern either in the portfolio, obviously, but also in like deals that are coming over the desk? Is there an increasing number of like any commonality between why they're being rejected by or anything like that?

我的意思是，很顯然，已經有一些新聞標題了。你一般不會接觸到那方面的東西。但您是否在投資組合中，以及在即將進行的交易中，發現任何令人擔憂的領域？他們被拒絕的原因是否有一些共同之處，或者是否有其他類似情況？

Yeah. We're certainly always focused on credit risks in the portfolio and in new deals that we evaluate every week. Some of the common themes are, of course, always focusing around more cyclical names, really trying to understand vulnerabilities to a softer cycle or softer macroenvironment.

是的。我們當然始終關注投資組合和新交易中的信用風險，我們每週都會進行評估。當然，一些共同的主題總是圍繞著更具週期性的名稱展開，真正試圖了解對較軟週期或較軟宏觀環境的脆弱性。

And then with respect to software, a lot of folks have been talking about AI, and that's real. Really trying to understand -- and by the way, not just software. It's for any other kind of business process, really trying to understand the risks around AI in terms of displacing or if that borrower has a strong competitive solution there on the AI solution themselves. So those are some of the things that we're commonly talking about.

至於軟體方面，很多人都在談論人工智慧，這是真的。我真的想了解——順便說一句，不僅僅是軟體方面的問題。對於任何其他類型的業務流程，真正試圖了解人工智慧帶來的風險，例如取代現有解決方案，或者藉款人是否擁有強大的人工智慧解決方案本身。以上就是我們常談論的一些話題。

But with respect to other specific industry sectors, nothing right now that are atypical risk factors that we wouldn't otherwise be discussing. Sure, we're talking about tariffs still. We're talking about geopolitical risks in those areas, too.

但就其他特定行業而言，目前還沒有出現任何我們通常不會討論的非典型風險因素。當然，我們還在討論關稅問題。我們也談到了這些地區的地緣政治風險。

(Operator Instructions) At this time, we have no further questions on the call. So I will hand back to management for closing comments.

（操作員指示）目前，我們沒有其他問題需要諮詢。那麼，我將交還給管理階層做總結發言。

Thank you, everyone, for dialing in and streaming on the webcast. And I'd like to thank our team for their continued efforts and hard work around the portfolio. Please contact us with any questions, and have a great day.

感謝大家撥入並觀看網路直播。我還要感謝我們的團隊為投資組合所付出的持續努力和辛勤工作。如有任何疑問，請與我們聯繫，祝您有美好的一天。

Thank you. This concludes today's conference call, and you may now disconnect.

謝謝。今天的電話會議到此結束，您可以斷開連線了。