Fidus Investment Corporation

Good day and welcome to the FIDUS second quarter 2026 earnings conference call. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your touch-tone phone. To withdraw your question, please press star then two. Please note this event is being recorded. I would now like to turn the conference over to Jody Burfening. Please go ahead.

Thank you Danielle and good morning everyone and thank you for joining us for FIDUS Investment Corporation's second quarter 2026 earnings conference call. With me this morning are Ed Ross, FIDUS Investment Corporation's Chairman and Chief Executive Officer and Shelby Sherard, Chief Financial Officer. FIDUS Investment Corporation issued a press release yesterday afternoon with the details of the company's quarterly financial results. A copy of the press release is available on the investor relations page of the company's website at FDUS.com. I'd also like to call your attention to the customary safe harbor disclosure regarding forward-looking information included on today's call. The conference call today will contain forward-looking statements, including statements regarding the goals, strategies, beliefs, future potential, operating results, and cash flows of FIDUS Investment Corporation. Although management believes these statements are reasonable based on estimates, assumptions, and projections as of today, August 7, 2026, these statements are not guarantees of future performance. Time-sensitive information may no longer be accurate at the time of any telephonic or webcast replay. Actual results may differ materially as a result of risks, uncertainties, and other factors, including but not limited to the factors set forth in the company's filing for the Securities and Exchange Commission. FIDUS undertakes no obligation to update or revise any of these forward-looking statements. With that, I would now like to turn the call over to Ed. Good morning, Ed.

Good morning, Jody, and good morning, everyone. Welcome to our second quarter 2026 earnings conference call. On today's call, I'll start with a review of our second quarter performance in our portfolio at quarter end, and then share with you our outlook for the second half of 2026. Shelby will cover the second quarter financial results in our liquidity position. After we have completed our prepared remarks, we'll be happy to take your questions. Although ongoing geopolitical uncertainties and market volatility wait, on deal activity levels in the fragmented lower middle market. We continue to build our diversified portfolio of debt and equity investments in the second quarter. Our long-standing relationships with high-quality sponsors, our proven investment strategy, and industry knowledge continue to differentiate FIDUS. These attributes create opportunities for us to add, through discipline selection, niche market leaders with defensible moats and resilient business models that generate cash flows to service debt and support realistic growth strategies. As a result, our portfolio remains healthy and structured to produce both high levels of current and recurring income and the potential for capital gains from monetizing equity investments. Adjusted NII of $0.50 per share extended our track record of covering our base dividend. In addition, we realized net gains of $6.4 million, or $0.17 per share, from the monetization of three equity investments. That asset value is $738.5 million at quarter end, or $19.46 per share. For the third quarter of 2026, the Board of Directors declared a total dividend of $0.50 per share, which consists of a base dividend of $0.43 per share and a supplemental dividend of $0.07 per share, equal to 100% of the surplus and adjusted NII over the base dividend from the prior quarter, which will be payable on September 29, 2026 to stockholders of record as of September 15. 2026. Originations in the second quarter amounted to $98 million, the vast majority of which were M&A-driven first lien investments. We invested a total of $48.1 million in four new portfolio companies. In terms of existing portfolio company investments, we continue to support many of them with acquisition capital in the form of debt and equity investments. As we continue to build our portfolio, we remain focused on maintaining a high level of diversity while investing in growing companies that provide essential products and services with an emphasis on manufacturing, distribution, and service enterprises. Proceeds from repayments and realizations totaled $39.2 million for the second quarter. At quarter end, our portfolio on a fair value basis stood at $1.4 billion, or 102% of cost, and consisted of $1.3 billion in debt investments and $147.2 million in equity investments. Our portfolio remains well-structured to produce both high levels of recurring income and capital gains from monetizing equity investments. coupled with attractive loan-to-value characteristics. Our debt portfolio continues to perform well and is sound from a credit quality perspective, given the solid fundamentals of our underlying portfolio companies. At 630, one portfolio company, Vertex, remained on non-accrual, accounting for less than 1% of the total portfolio on both a fair value and cost basis. Subsequent to quarter end, we exited our second lien in subordinated debt investments in Vertex Enterprises LP, which had previously been written down. We received payment of $0.2 million, resulting in an aggregate realized loss of $11 million. As a result, as of today, we do not have any investments on non-accrual status. Looking ahead to the second half of 2026, Given the pent-up demand in the M&A market, we expect deal flow and investment activity to pick up as geopolitical uncertainties abate, though such timing is not entirely clear. Yet deal flow appears to be picking up as we sit here today. In addition, even in this more muted environment, our portfolio continues to be active and a meaningful source of new investment. As we have in the past, through periods of both robust and sluggish deal activity and during the heightened risk associated with the pandemic, we will adhere to our strict underwriting standards to maintain a well-diversified portfolio that produces both high levels of current and recurring income and offers the potential for enhanced returns from monetizing equity investments. Our portfolio is well positioned to continue to generate adjusted NII that covers our base dividend. We remain focused on managing the business for the long term and committed to our goals of capital preservation and generating attractive risk-adjusted returns. Now I'll turn the call over to Shelby to provide some details on our financial and operating results. Shelby?