Wed, May 15, 8:00 PM (72 days ago)
KKR FS Income Trust reported significant growth in its investment portfolio for Q1 2024, with total assets increasing from $350.7 million at the end of 2023 to $477.1 million. The company’s investments at fair value rose to $444.4 million from $263.9 million, primarily driven by substantial purchases of senior secured loans and asset-based finance investments. Investment income surged to $11.4 million from $233,000 in Q1 2023, reflecting higher interest, fee, and dividend income due to an expanded portfolio. Operating expenses also increased significantly to $5.4 million, driven by higher management fees, incentive fees, and interest expenses. Net investment income rose to $7.4 million from $233,000 in the previous year. The company’s net realized and unrealized gains on investments and foreign currency totaled $2.1 million, contributing to a net increase in net assets from operations of $9.6 million. The NAV per share increased to $29.19 from $28.84 at year-end 2023. KKR FS Income Trust maintained strong liquidity with $10.4 million in cash and available borrowings of $288.9 million. The asset coverage ratio was 438%, well above the regulatory requirement. The company declared distributions totaling $0.73 per share for Q1 2024 and announced additional distributions for Q2 2024. Future performance will depend on continued portfolio growth, effective cost management, and maintaining high asset quality. The company’s ability to leverage its financing arrangements and manage interest expenses will be crucial in sustaining its financial health.