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Stellus Capital Investment Corporation Announces $0.34 First Quarter 2026 Regular Dividend, Payable Monthly in Increments of $0.1133 in February, March, and April 2026

MWN-AI** Summary

Stellus Capital Investment Corporation (NYSE: SCM) has announced a regular dividend of $0.34 for the first quarter of 2026. The dividend will be distributed monthly in three installments of $0.1133, payable to shareholders in February, March, and April 2026. This decision was made by the Board of Directors and reflects a strategic adjustment to align with the current lower interest rate environment, as mentioned by CEO Robert T. Ladd.

The division of the total quarterly dividend into monthly payments is intended to provide shareholders with ongoing income throughout the quarter. Specifically, the payment schedule is as follows: the first dividend will be paid on February 13, 2026, to shareholders recorded as of January 30, 2026; the second will be on March 13, 2026, with a record date of February 27, 2026; and the final payment of the quarter will occur on April 15, 2026, for those registered by March 31, 2026.

Stellus Capital Investment Corporation operates as an externally-managed, non-diversified investment management company, regulated as a business development company under the Investment Company Act of 1940. The primary objective of Stellus is to maximize total returns through current income and capital appreciation, mainly by investing in private middle-market companies. These investments include various forms of debt financing and equity investments.

Investors may find this dividend announcement important as it indicates the company's ongoing commitment to returning value to its shareholders, even amid shifting economic conditions. For more detailed information about Stellus Capital Investment Corporation and its operations, interested parties can visit their website.

MWN-AI** Analysis

Stellus Capital Investment Corporation (NYSE: SCM) recently declared a total regular dividend of $0.34 for the first quarter of 2026, payable in monthly increments of $0.1133 from February to April. This decision marks a shift in the company’s dividend policy and is indicative of the current lower interest rate environment, as highlighted by CEO Robert T. Ladd.

For investors, it is essential to consider the implications of this dividend announcement in the context of the broader market environment and the company’s operational strategy. Stellus's focus on private middle-market companies through various debt financing strategies positions it well for capital appreciation and generating current income. However, the reduction in dividends reflects broader macroeconomic trends and could suggest caution moving forward.

Investors should evaluate the sustainability of Stellus's dividend payments by considering their net interest margins, the credit quality of its portfolio, and the potential impact of rising interest rates, should they occur. The company's ability to maintain stable income from its investments will be critical, particularly in a potentially volatile market.

As the dividend payout is now more modest, this could attract a different investor profile, perhaps those seeking lower volatility rather than high yields. Current shareholders may want to reassess their investment thesis, as the change in dividend strategy could suggest a need for a strategic pivot in how dividends are viewed as a driver for stock price performance.

In conclusion, while Stellus Capital’s planned dividend payments can provide regular income during a period of lower interest rates, investors should remain vigilant regarding the overall performance of their portfolio and the implications of market conditions. Fundamental analysis of Stellus's business model and financial health should be prioritized as you navigate potential investments in this space.

**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.

Source: PR Newswire

PR Newswire

HOUSTON, Jan. 16, 2026 /PRNewswire/ -- Stellus Capital Investment Corporation (the "Company") (NYSE: SCM) announced that its Board of Directors has declared a monthly dividend of $0.1133 for each of January, February, and March, totaling $0.34 per share in the aggregate for the first quarter of 2026. The regular dividend of $0.34 per share will be paid to shareholders of record in February, March, and April 2026. Robert T. Ladd, Chief Executive Officer of the Company, stated, "The reduction in our regular dividend in the first quarter reflects the lower interest rate environment."

Summary of First Quarter 2026 Regular Monthly Dividends

Declared

Ex-Dividend Date

Record Date

Payment Date

Amount per Share

1/16/2026

1/30/2026

1/30/2026

2/13/2026

$0.1133

1/16/2026

2/27/2026

2/27/2026

3/13/2026

$0.1133

1/16/2026

3/31/2026

3/31/2026

4/15/2026

$0.1133

About Stellus Capital Investment Corporation

The Company is an externally-managed, closed-end, non-diversified investment management company that has elected to be regulated as a business development company under the Investment Company Act of 1940. The Company's investment objective is to maximize the total return to its stockholders in the form of current income and capital appreciation by investing primarily in private middle-market companies (typically those with $5.0 million to $50.0 million of EBITDA (earnings before interest, taxes, depreciation and amortization)) through first lien, second lien, unitranche and mezzanine debt financing, and corresponding equity investments. The Company's investment activities are managed by its investment adviser, Stellus Capital Management. To learn more about Stellus Capital Investment Corporation, visit www.stelluscapital.com under the "Public (SCIC)" link.

FORWARD-LOOKING STATEMENTS

Statements included herein may contain "forward-looking statements" which relate to future performance or financial condition. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of assumptions, risks and uncertainties, which change over time. Actual results may differ materially from those anticipated in any forward-looking statements as a result of a number of factors, including those described from time to time in filings by the Company with the Securities and Exchange Commission including the final prospectus that will be filed with the Securities and Exchange Commission. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contacts
Stellus Capital Investment Corporation
W. Todd Huskinson, (713) 292-5414
Chief Financial Officer
thuskinson@stelluscapital.com

SOURCE Stellus Capital Investment Corporation

FAQ**

What factors led Stellus Capital Investment Corporation SCM to decide on a reduction of its regular dividend for the first quarter of 2026, particularly in the context of the current interest rate environment?

Stellus Capital Investment Corporation's decision to reduce its regular dividend for Q1 2026 was primarily influenced by rising interest rates, which increased borrowing costs and reduced profitability, prompting a need to preserve capital and maintain financial stability.

How does Stellus Capital Investment Corporation SCM's investment strategy in private middle-market companies influence its ability to maintain consistent dividend payments in varying economic conditions?

Stellus Capital Investment Corporation's focus on private middle-market companies allows it to generate stable income through tailored financing solutions, which helps maintain consistent dividend payments even during economic fluctuations.

Can Stellus Capital Investment Corporation SCM provide further insights into its projected financial performance and any potential risks that may impact future dividends beyond the first quarter of 2026?

Stellus Capital Investment Corporation (SCM) may offer insights into its projected financial performance and potential risks affecting future dividends beyond the first quarter of 2026 through regular earnings reports, investor presentations, and market analyses.

What measures is Stellus Capital Investment Corporation SCM taking to ensure shareholder value amidst the recent changes in its dividend policy, and how will this affect its overall investment management strategy going forward?

Stellus Capital Investment Corporation is focusing on strategic portfolio management, optimizing asset allocation, and enhancing operational efficiency to bolster shareholder value amid its revised dividend policy, which will shape its investment management strategy toward sustainable growth and income generation.

**MWN-AI FAQ is based on asking OpenAI questions about Stellus Capital Investment Corporation (NYSE: SCM).

Stellus Capital Investment Corporation

NASDAQ: SCM

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