Overview

* Oaktree fiscal Q3 adjusted EPS misses analyst expectations, per LSEG data

* Adjusted net income for fiscal Q3 misses analyst estimates, per LSEG data

* Co amends credit facility, reducing interest rate margins and extending maturity dates

Outlook

* Company remains focused on leveraging platform for attractive investment opportunities

* Oaktree Specialty Lending ( OCSL ) aims to diversify portfolio for long-term success

* Company amends credit facility to support future growth

Result Drivers

* LOWER INCOME - Decrease in total investment income driven by lower non-recurring fee income, reduced interest income from smaller average portfolio and tightening spreads

* HIGHER EXPENSES - Increased interest expenses due to one-time non-cash expenses related to deferred financing costs and incentive fees

* PORTFOLIO DIVERSIFICATION - CEO notes progress in diversifying portfolio and amending credit facility on favorable terms

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Miss $0.43 $0.45 (6

Adjusted Analysts

EPS )

Q3 $0.85

Investme

nt

Income

per

Share

Q3 Miss $38.24 $39.40

Adjusted mln mln (6

Net Analysts

Income )

Q3 Fee $286,000

Income

Q3 $33.54

Investme mln

nt

Income

Before

Tax

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 6 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the closed end funds peer group is "hold"

* Wall Street's median 12-month price target for Oaktree Specialty Lending Corp ( OCSL ) is $13.75, about 1.7% above its August 4 closing price of $13.51

* The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)