Capital Southwest (NASDAQ: CSWC) reported a significant fiscal growth in 2026, with its investment portfolio increasing by approximately $300 million (17%) to $2.1 billion. New investment originations totaled $762 million, while investment income rose by 14% to $232 million. The net asset value per share remained stable at $16.69, and shareholders enjoyed a 40% return on equity.
Key financial metrics include a weighted average portfolio yield of 10.8%, with 88% of the portfolio rated in the top two categories of Capital Southwest’s internal rating scale. The company paid a regular dividend of $0.58 per share and maintained a supplemental quarterly dividend of $0.06, achieving 109% cumulative dividend coverage since the launch of its credit strategy.
During the year, Capital Southwest raised over $465 million in new debt capital, including a $350 million bond issuance. The company also reported a robust liquidity position, with approximately $394 million in cash and undrawn commitments. Looking ahead, the lower middle market remains active, with an increased deal review run rate of about 1,400 deals compared to roughly 800 two years ago.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
