Portfolio markdowns, run-offs push down FSIC’s Q1 EPS

The write-downs mainly came from three equity positions and one debt investment.

FS Investment Corporation (FSIC) covered its dividend in the first quarter, although realised and unrealised credit losses of $0.16 a share hampered its earnings per share.

FSIC management explained on its first-quarter earnings call that the muted Q1 earnings were a product of portfolio markdowns, portfolio run-off and executive focus on protecting incumbent positions.