MidCap Financial Investment (MFIC) investor relations material

Executive summary

• Net investment income per share was $0.38 for Q1 2026, down from $0.39 in Q4 2025, with NAV per share declining 2.5% to $13.82 due to realized and unrealized portfolio losses from credit spread widening and credit weakness, partially offset by accretive stock buybacks.

• Net realized and unrealized losses on investments totaled $61.1 million ($0.67 per share), reflecting market and credit-related pressures.

• 7.1 million shares were repurchased for $76 million in Q1 2026, with an additional 2.8 million shares repurchased post-quarter, fully utilizing the $107.9 million program and generating $0.24 per share of NAV accretion.

• Quarterly dividend of $0.31 per share declared for Q2 2026, payable June 25, 2026.

Financial highlights

• Total investment income for Q1 2026 was $71.8 million, down from $78.7 million in Q1 2025, mainly due to lower recurring interest income and increased non-accruals.

• Net investment income was $34.3 million, unchanged year-over-year.

• Net expenses declined 11.3% to $37.6 million, mainly from lower interest and administrative expenses.

• Net leverage ratio increased to 1.55x at quarter end, up from 1.45x in Q4 2025.

• Total assets at quarter-end were $3.07 billion; total debt was $1.87 billion.

Outlook and guidance

• Management expects current liquidity, borrowing capacity, and cash flows to be adequate for operational needs over the next twelve months.

• Focus remains on deleveraging to the lower end of the target range before resuming new investments or further buybacks.

• Dividend of $0.31 per share declared for Q2 2026, with no assurance of future dividends at this level.

• Interest rate sensitivity analysis shows a 50 bps increase could add $4.4 million to annual net investment income; a 100 bps increase would add $8.9 million.

• Management remains cautious on M&A activity due to macro and geopolitical uncertainties.