Continued NAV Appreciation and Conversion to Monthly Payment of Base Distributions in 2026
NEW YORK--(BUSINESS WIRE)--November 06, 2025--
CION Investment Corporation $(CION)$ ("CION" or the "Company") today reported financial results for the third quarter ended September 30, 2025 and filed its Form 10-Q with the U.S. Securities and Exchange Commission.
CION also announced that, on November 3, 2025, its co-chief executive officers declared a fourth quarter 2025 base distribution of $0.36 per share, payable on December 15, 2025 to shareholders of record as of December 1, 2025.
THIRD QUARTER AND OTHER HIGHLIGHTS
-- Net investment income and earnings per share for the quarter ended
September 30, 2025 were $0.74 per share and $0.69 per share,
respectively;
-- Net asset value per share was $14.86 as of September 30, 2025 compared to
$14.50 as of June 30, 2025, an increase of $0.36 per share, or 2.5%. The
increase was primarily due to the Company out-earning its distribution by
$0.38 per share during the third quarter ended September 30, 2025, which
was partially offset by net realized and unrealized losses of $0.05 per
share;
-- As of September 30, 2025, the Company had $1.09 billion of total
principal amount of debt outstanding, of which 37% was comprised of
senior secured bank debt and 63% was comprised of unsecured debt. The
Company's net debt-to-equity ratio was 1.28x as of September 30, 2025
compared to 1.39x as of June 30, 2025;
-- As of September 30, 2025, the Company had total investments at fair value
of $1.74 billion in 91 portfolio companies across 23 industries. The
investment portfolio was comprised of 80.0% senior secured first lien
investments;1
-- During the quarter, the Company funded new investment commitments of $65
million, funded previously unfunded commitments of $17 million, and had
sales and repayments totaling $151 million, resulting in a net decrease
to the Company's funded portfolio of $69 million;
-- As of September 30, 2025, investments on non-accrual status amounted to
1.75% and 4.08% of the total investment portfolio at fair value and
amortized cost, respectively, from 1.37% and 3.03%, respectively, as of
June 30, 2025; and
-- During the quarter, the Company repurchased 330,324 shares of its common
stock under its 10b5-1 trading plan at an average price of $9.86 per
share for a total repurchase amount of $3.3 million. Through September
30, 2025, the Company repurchased a total of 4,984,922 shares of its
common stock under its 10b5-1 trading plan at an average price of $10.09
per share for a total repurchase amount of $50.3 million.
DISTRIBUTIONS
-- For the quarter ended September 30, 2025, the Company paid a quarterly
base distribution totaling $18.7 million, or $0.36 per share, on
September 16, 2025 to shareholders of record as of September 2, 2025; and
-- On November 3, 2025, the Company's co-chief executive officers changed
the timing of paying base distributions to shareholders from quarterly to
monthly commencing in January 2026. Monthly base distributions will be
declared quarterly in advance.
Michael A. Reisner, co-Chief Executive Officer of CION, commented:
"Overall, we reported a strong third quarter with continued NAV appreciation and significant quarterly earnings, driven by robust transaction activity involving 20 of our portfolio companies, with several fee events, new investments, and repayments.
I'm also excited to announce a shift in timing of paying base distributions to our shareholders beginning in January 2026. We will be converting to paying base distributions from quarterly to monthly next year, which we believe will better align our recurring base distributions with our shareholder base."
SELECTED FINANCIAL HIGHLIGHTS
As of
-------------------------------------
(in thousands, except per share
data and ratios) September 30, 2025 June 30, 2025
---------------------------------- -------------------- ---------------
Investment portfolio, at fair
value(1) $ 1,738,184 $ 1,765,955
Total debt outstanding(2) $ 1,092,344 $ 1,117,344
Net assets $ 772,506 $ 758,610
Net asset value per share $ 14.86 $ 14.50
Debt-to-equity 1.41x 1.47x
Net debt-to-equity 1.28x 1.39x
Three Months Ended
---------------------------------------
(in thousands, except share
and per share data) September 30, 2025 June 30, 2025
------------------------------ -------------------- -----------------
Total investment income $ 78,711 $ 52,244
Total operating expenses and
income tax (benefit) expense $ 40,144 $ 35,322
Net investment income after
taxes $ 38,567 $ 16,922
Net realized losses $ (9,605) $ (32,376)
Net unrealized gains $ 6,916 $ 42,770
Net increase in net assets
resulting from operations $ 35,878 $ 27,316
Net investment income per share $ 0.74 $ 0.32
Net realized and unrealized
(losses) gains per share $ (0.05) $ 0.20
Earnings per share $ 0.69 $ 0.52
Weighted average shares
outstanding 52,065,707 52,628,784
Distributions declared per
share $ 0.36 $ 0.36
Total investment income for the three months ended September 30, 2025 and June 30, 2025 was $78.7 million and $52.2 million, respectively. The increase in total investment income was primarily driven by higher interest income earned as a result of certain investment restructurings and higher transaction fees earned from origination and amendment activity during the quarter ended September 30, 2025 compared to the quarter ended June 30, 2025.
Operating expenses for the three months ended September 30, 2025 and June 30, 2025 were $40.1 million and $35.3 million, respectively. The increase in operating expenses was primarily driven by higher advisory fees due to higher total investment income during the quarter ended September 30, 2025 compared to the quarter ended June 30, 2025.
PORTFOLIO AND INVESTMENT ACTIVITY(1)
A summary of the Company's investment activity for the three months ended September 30, 2025 is as follows:
New Investment
Commitments Sales and Repayments
-------------------- --------------------------
Investment Type
(in thousands) $ % $ %
----------------- ----------- ------- ---------------- --------
Senior secured
first lien debt $ 57,877 79% $ (151,107) 100%
Senior secured
second lien debt -- -- (35) --
Collateralized
securities and
structured
products -
equity 986 1% (25) --
Equity 14,459 20% -- --
------- --- ----------- ----
Total $ 73,322 100% $ (151,167) 100%
------- --- ----------- ----
During the three months ended September 30, 2025, new investment commitments were made across 1 new and 12 existing portfolio companies. During the same period, the Company received full repayment of investments in 7 portfolio companies, sold all investments in 1 portfolio company and wrote off all investments in 1 portfolio company. As a result, the number of portfolio companies decreased from 99 as of June 30, 2025 to 91 as of September 30, 2025.
PORTFOLIO SUMMARY(1)
As of September 30, 2025, the Company's investments consisted of the following:
Investments at Fair Value
-------------------------------
Investment Type (in thousands) $ %
---------------------------------------- ------------------ -----------
Senior secured first lien debt $ 1,389,814 80.0%
Collateralized securities and structured
products - equity 4,009 0.2%
Unsecured debt 7,398 0.4%
Equity 336,963 19.4%
-------------- -------
Total $ 1,738,184 100.0%
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November 06, 2025 08:00 ET (13:00 GMT)