Stellus Capital Investment Corp

stelluscapital.com

What Do They Do?

Lends to private U.S. lower middle-market companies through loans, often alongside equity investments.

How Do They Make Money?

Earns interest on loans to portfolio companies; some interest is added to loan balances and generally comes due at maturity. Loan fees are spread over time, and prepayment premiums apply when loans are paid early.

FY2025 revenue

Who Are Their Customers?

Lends primarily to privately held U.S. lower middle-market companies, focusing on transactions originated directly by its investment adviser.

Do Revenues Turn Into Profits?

Yes. It kept 28 cents of every revenue dollar as net income in FY2025.

Net income, FY2025

28% of revenue

▼ −41% vs FY2024 ($45.8M, 46%)

How Are They Changing?

Since the FY2025 annual report

Latest quarter: Q2 FY2026, the three months to Jun 30, 2026

Revenue: ▼ −12%; vs $24.7M in Q2 FY2025
Net income: ▲ +60%; vs $10.1M in Q2 FY2025

Jun 22, 2026 Ridgepost Capital acquired Stellus Capital Management, changing control of the adviser. The new advisory agreement took effect at closing and kept the prior agreement’s fee calculations unchanged.

Growing. Revenue grew 59% in 4 years, from $61.5M in FY2021 to $97.8M in FY2025, about 12% a year.

Narrower target market The latest report describes its target borrowers as lower middle-market companies; the older report described them more broadly as middle-market companies.

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