Crescent Capital BDC (NASDAQ:CCAP) reported a more difficult first quarter as higher non-accruals, lower base rates and broader credit-market volatility weighed on earnings and net asset value, prompting management to lower fees and reset the company’s base dividend.
Chief Executive Officer Jason Breaux said the quarter unfolded against a backdrop of “elevated geopolitical uncertainty, mixed consumer sentiment, and persistent inflationary pressures,” which contributed to volatility in credit markets. He said private credit is showing “pockets of pressure,” though he cautioned that the broader narrative around the asset class may overstate risk by grouping distinct issues together.
