Oxford Lane Capital Corp. (NASDAQ:OXLC) Q3 2018 Earnings Conference Call - Final Transcript
Feb 11, 2019 • 09:00 am ET
Jonathan H. Cohen
with greater liquidity and higher prices since the end of last year.
On December 31, 2018, our net asset value per share stood at $7.56, compared to a net asset value per share of $9.93 as of September 30th. Our total return generated during the quarter ended December 31st equaled to negative 19.8%. That return reflected the change in net asset value per share for the period as well as the impact of a $0.405 distribution.
For the quarter ended December 31st, we recorded GAAP total investment income of approximately $22.8 million, representing an increase of $900,000 from the prior quarter. Third fiscal quarter's GAAP total investment income from our portfolio was approximately $22.1 million from our CLO equity investments and approximately $700,000 from our CLO debt investments and from other income.
Oxford Lane also recorded GAAP net investment income of approximately $12.3 million or $0.33 per share for the quarter ended December 31st, compared to $11.7 million or $0.35 per share for the quarter ended September 30th. Our core net investment income was approximately $17.7 million or $0.47 per share for the quarter ended December 31st compared with $15.2 million or $0.46 per share for the quarter ended September 30th.
During the quarter ended December 31st, we issued a total of approximately 1.8 million shares of our common stock pursuant to an aftermarket offering, resulting in net proceeds of approximately $18.2 million. For the quarter ended December 31st, we recorded a net realized gain of approximately $400,000 or $0.01 per share and net unrealized depreciation of $88.5 million or $2.37 per share.
We had a net decrease in net assets resulting from operations of approximately $75.8 million or $2.03 per share for the third fiscal quarter. As of December 31st, the following metrics applied. We note that none of these items represented a total return to shareholders. The weighted average yield of our CLO debt investments at current cost was 11.2%, up from 11% as of September 30th. The weighted average GAAP effective yield of our CLO equity investments at current cost was 15.8%, up from 15.6% as of September 30th. The weighted average cash yield of our CLO equity investments at current cost was 19.8%, down from 20.7% as of September 30th.
We note that the cash yields calculated on our CLO equity investments are based on the cash distributions we received or we were entitled to receive at each respective period end.
During quarter ended December 31st, we made additional CLO investments of approximately $74.1 million and we received approximately $72 million from sales and repayments of our CLO investments.
With that, I will turn the call over to our Senior Portfolio Manager, Deep Maji.
Thank you, Jonathan. The quarter ending December 31st presented the first meaningful period of volatility in the loan market since 2016. We believe that the move (ph) lower in US loan prices during the fourth quarter of 2018 was principally driven by large outflows out of the US loan mutual funds and