# EDGAR Filing Document

**Accession Number:** 0001487918
**File Stem:** 0001487918-25-000093
**Filing Date:** 2025-8
**Character Count:** 275909
**Document Hash:** 72076ece90e8ba8065eb7adb6c343e28
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001487918-25-000093.hdr.sgml**: 20250801

**ACCESSION NUMBER**: 0001487918-25-000093

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 76

**CONFORMED PERIOD OF REPORT**: 20250630

**FILED AS OF DATE**: 20250801

**DATE AS OF CHANGE**: 20250731

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** OFS Capital Corp
- **CENTRAL INDEX KEY:** 0001487918

**ORGANIZATION NAME:**
- **EIN:** 461339639
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 814-00813
- **FILM NUMBER:** 251172896

**BUSINESS ADDRESS:**
- **STREET 1:** 222 WEST ADAMS STREET
- **STREET 2:** SUITE 1850
- **CITY:** CHICAGO
- **STATE:** IL
- **ZIP:** 60606
- **BUSINESS PHONE:** 847-734-2000

**MAIL ADDRESS:**
- **STREET 1:** 222 WEST ADAMS STREET
- **STREET 2:** SUITE 1850
- **CITY:** CHICAGO
- **STATE:** IL
- **ZIP:** 60606

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** OFS Capital, LLC
- **DATE OF NAME CHANGE:** 20100324

?xml version='1.0' encoding='ASCII'? ofs-20250630

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON, D.C. 20549**

**FORM 10-Q**

**(Mark One)**

---

| | |
|:---|:---|
| 🗷 | **QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** |

---

For the quarterly period ended June 30, 2025

or

---

| | |
|:---|:---|
| ◻ | **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** |

---

For the transition period from _______ to _______

Commission file number 814-00813

**OFS CAPITAL CORPORATION**

**(Exact name of registrant as specified in its charter)** 

---

| | | |
|:---|:---|:---|
| Delaware |  | 46-1339639 |
| State or Other Jurisdiction of |  | I.R.S. Employer Identification No. |
| Incorporation or Organization |  |  |
| 222 W. Adams Street, Suite 1850, Chicago, Illinois |  | 60606 |
| Address of Principal Executive Offices |  | Zip Code |
|  | (847) 734-2000 |  |
| Registrant's Telephone Number, Including Area Code | Registrant's Telephone Number, Including Area Code | Registrant's Telephone Number, Including Area Code |
| Not applicable | Not applicable | Not applicable |
| Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report | Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report | Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report |

---

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
| Common Stock, $0.01 par value per share | OFS | The Nasdaq Global Select Market |
| 4.95% Notes due 2028 | OFSSH | The Nasdaq Global Select Market |
| 7.50% Notes due 2028 | OFSSO | The Nasdaq Global Select Market |

---

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.&nbsp;&nbsp;&nbsp;&nbsp;Yes 🗷 &nbsp;&nbsp;&nbsp;&nbsp;No ◻

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).&nbsp;&nbsp;&nbsp;&nbsp;Yes 🗷 &nbsp;&nbsp;&nbsp;&nbsp;No ◻

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of "large accelerated filer," "accelerated filer," "smaller reporting company" and "emerging growth company" in Rule 12b-2 of the Exchange Act.

---

| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | ◻ | Accelerated filer | ◻ |
| Non-accelerated filer | ☒ | Smaller reporting company | ◻ |
| | | Emerging growth company | ◻ |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ◻

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).&nbsp;&nbsp;&nbsp;&nbsp;

Yes ◻ &nbsp;&nbsp;&nbsp;&nbsp;No 🗷

The number of shares of the issuer's Common Stock, $0.01 par value, outstanding as of July 28, 2025 was 13,398,078.

------

**OFS CAPITAL CORPORATION**

**TABLE OF CONTENTS**

---

| | | |
|:---|:---|:---|
| <u>[PART I. FINANCIAL INFORMATION](#i64714ea56bed42b192904c1a3fcab5d8_16)</u> | <u>[PART I. FINANCIAL INFORMATION](#i64714ea56bed42b192904c1a3fcab5d8_16)</u> |  |
| &nbsp;&nbsp;&nbsp;Item 1. | <u>Consolidated [Financial Statements](#i64714ea56bed42b192904c1a3fcab5d8_19)</u> |  |
|  | <u>[Consolidated Statements of Assets and Liabilities as of](#i64714ea56bed42b192904c1a3fcab5d8_22)[June](#i64714ea56bed42b192904c1a3fcab5d8_22)[3](#i64714ea56bed42b192904c1a3fcab5d8_22)[0](#i64714ea56bed42b192904c1a3fcab5d8_22)[, 202](#i64714ea56bed42b192904c1a3fcab5d8_22)[5](#i64714ea56bed42b192904c1a3fcab5d8_22)[(unaudited) and December 31, 202](#i64714ea56bed42b192904c1a3fcab5d8_22)[4](#i64714ea56bed42b192904c1a3fcab5d8_22)</u> | <u>[3](#i64714ea56bed42b192904c1a3fcab5d8_22)</u> |
|  | <u>[Consolidated Statements of Operations for the Three](#i64714ea56bed42b192904c1a3fcab5d8_25)[and Six](#i64714ea56bed42b192904c1a3fcab5d8_25)[Months Ended](#i64714ea56bed42b192904c1a3fcab5d8_25)[June](#i64714ea56bed42b192904c1a3fcab5d8_25)[3](#i64714ea56bed42b192904c1a3fcab5d8_25)[0](#i64714ea56bed42b192904c1a3fcab5d8_25)[, 202](#i64714ea56bed42b192904c1a3fcab5d8_25)[5](#i64714ea56bed42b192904c1a3fcab5d8_25)[(unaudited) and 202](#i64714ea56bed42b192904c1a3fcab5d8_25)[4](#i64714ea56bed42b192904c1a3fcab5d8_25)[(unaudited)](#i64714ea56bed42b192904c1a3fcab5d8_25)</u> | <u>[4](#i64714ea56bed42b192904c1a3fcab5d8_25)</u> |
|  | <u>[Consolidated Statements of Changes in Net Assets for the Three](#i64714ea56bed42b192904c1a3fcab5d8_28)[and Six](#i64714ea56bed42b192904c1a3fcab5d8_28)[Months Ended](#i64714ea56bed42b192904c1a3fcab5d8_28)[June](#i64714ea56bed42b192904c1a3fcab5d8_28)[3](#i64714ea56bed42b192904c1a3fcab5d8_28)[0](#i64714ea56bed42b192904c1a3fcab5d8_28)[, 202](#i64714ea56bed42b192904c1a3fcab5d8_28)[5](#i64714ea56bed42b192904c1a3fcab5d8_28)[(unaudited) and 202](#i64714ea56bed42b192904c1a3fcab5d8_28)[4](#i64714ea56bed42b192904c1a3fcab5d8_28)[(unaudited)](#i64714ea56bed42b192904c1a3fcab5d8_28)</u> | <u>[5](#i64714ea56bed42b192904c1a3fcab5d8_28)</u> |
|  | <u>[Consolidated Statements of Cash Flows for the](#i64714ea56bed42b192904c1a3fcab5d8_31)[Six](#i64714ea56bed42b192904c1a3fcab5d8_31)[Months Ended](#i64714ea56bed42b192904c1a3fcab5d8_31)[June](#i64714ea56bed42b192904c1a3fcab5d8_31)[3](#i64714ea56bed42b192904c1a3fcab5d8_31)[0](#i64714ea56bed42b192904c1a3fcab5d8_31)[, 202](#i64714ea56bed42b192904c1a3fcab5d8_31)[5](#i64714ea56bed42b192904c1a3fcab5d8_31)[(unaudited) and 202](#i64714ea56bed42b192904c1a3fcab5d8_31)[4](#i64714ea56bed42b192904c1a3fcab5d8_31)[(unaudited)](#i64714ea56bed42b192904c1a3fcab5d8_31)</u> | <u>[7](#i64714ea56bed42b192904c1a3fcab5d8_31)</u> |
|  | <u>[Consolidated Schedules of Investments as of](#i64714ea56bed42b192904c1a3fcab5d8_34)[June](#i64714ea56bed42b192904c1a3fcab5d8_34)[3](#i64714ea56bed42b192904c1a3fcab5d8_34)[0](#i64714ea56bed42b192904c1a3fcab5d8_34)[, 202](#i64714ea56bed42b192904c1a3fcab5d8_34)[5](#i64714ea56bed42b192904c1a3fcab5d8_34)[(unaudited) and December 31, 202](#i64714ea56bed42b192904c1a3fcab5d8_34)[4](#i64714ea56bed42b192904c1a3fcab5d8_34)</u> | <u>[8](#i64714ea56bed42b192904c1a3fcab5d8_34)</u> |
|  | <u>[Notes to Consolidated Financial Statements (unaudited)](#i64714ea56bed42b192904c1a3fcab5d8_40)</u> | <u>[26](#i64714ea56bed42b192904c1a3fcab5d8_40)</u> |
| &nbsp;&nbsp;&nbsp;Item 2. | <u>[Management's Discussion and Analysis of Financial Condition and Results of Operations](#i64714ea56bed42b192904c1a3fcab5d8_88)</u> | <u>[46](#i64714ea56bed42b192904c1a3fcab5d8_88)</u> |
| &nbsp;&nbsp;&nbsp;Item 3. | <u>[Quantitative and Qualitative Disclosures About Market Risk](#i64714ea56bed42b192904c1a3fcab5d8_115)</u> | <u>[62](#i64714ea56bed42b192904c1a3fcab5d8_115)</u> |
| &nbsp;&nbsp;&nbsp;Item 4. | <u>[Controls and Procedures](#i64714ea56bed42b192904c1a3fcab5d8_118)</u> | <u>[63](#i64714ea56bed42b192904c1a3fcab5d8_118)</u> |
| <u>[PART II. OTHER INFORMATION](#i64714ea56bed42b192904c1a3fcab5d8_121)</u> | <u>[PART II. OTHER INFORMATION](#i64714ea56bed42b192904c1a3fcab5d8_121)</u> | <u>[64](#i64714ea56bed42b192904c1a3fcab5d8_121)</u> |
| &nbsp;&nbsp;&nbsp;Item 1. | <u>[Legal Proceedings](#i64714ea56bed42b192904c1a3fcab5d8_124)</u> | <u>[64](#i64714ea56bed42b192904c1a3fcab5d8_124)</u> |
| &nbsp;&nbsp;&nbsp;Item 1A. | <u>[Risk Factors](#i64714ea56bed42b192904c1a3fcab5d8_127)</u> | <u>[64](#i64714ea56bed42b192904c1a3fcab5d8_127)</u> |
| &nbsp;&nbsp;&nbsp;Item 2 | <u>[Unregistered Sales of Equity Securities and Use of Proceeds](#i64714ea56bed42b192904c1a3fcab5d8_130)</u> | <u>[64](#i64714ea56bed42b192904c1a3fcab5d8_130)</u> |
| &nbsp;&nbsp;&nbsp;Item 3. | <u>[Defaults Upon Senior Securities](#i64714ea56bed42b192904c1a3fcab5d8_133)</u> | <u>[64](#i64714ea56bed42b192904c1a3fcab5d8_133)</u> |
| &nbsp;&nbsp;&nbsp;Item 4. | <u>[Mine Safety Disclosures](#i64714ea56bed42b192904c1a3fcab5d8_136)</u> | <u>[64](#i64714ea56bed42b192904c1a3fcab5d8_136)</u> |
| &nbsp;&nbsp;&nbsp;Item 5. | <u>[Other Information](#i64714ea56bed42b192904c1a3fcab5d8_139)</u> | <u>[65](#i64714ea56bed42b192904c1a3fcab5d8_139)</u> |
| &nbsp;&nbsp;&nbsp;Item 6. | <u>[Exhibits](#i64714ea56bed42b192904c1a3fcab5d8_142)</u> | <u>[66](#i64714ea56bed42b192904c1a3fcab5d8_142)</u> |
| <u>[SIGNATURES](#i64714ea56bed42b192904c1a3fcab5d8_145)</u>  | <u>[SIGNATURES](#i64714ea56bed42b192904c1a3fcab5d8_145)</u>  | <u>[67](#i64714ea56bed42b192904c1a3fcab5d8_145)</u> |

---

OFS®, OFS Capital®, OFS Credit® and HPCI® are registered trademarks of Orchard First Source Asset Management, LLC.

OFS Capital Management™ is a trademark of Orchard First Source Asset Management, LLC.

All other trademarks or trade names referred to in this Quarterly Report on Form 10-Q are the property of their respective owners.

------

**Defined Terms** 

We have used "we," "us," "our," "our company" and "the Company" to refer to OFS Capital Corporation in this report. We also have used several other terms in this report, which are explained or defined below:

---

| | |
|:---|:---|
| **Term** | **Explanation or Definition** |
| 1940 Act | Investment Company Act of 1940, as amended |
| Administration Agreement | Administration Agreement between the Company and OFS Services dated November 7, 2012 |
| Affiliated Account | An account, other than the Company, managed by OFS Advisor or an affiliate of OFS Advisor |
| Affiliated Fund | Certain other funds, including other BDCs and registered investment companies managed by OFS Advisor or by registered investment advisers controlling, controlled by, or under common control with, OFS Advisor |
| ASC | Accounting Standards Codification, as issued by the FASB |
| BDC | Business Development Company under the 1940 Act |
| BLA | Business Loan Agreement, as amended, with Banc of California, as lender, which provides the Company with a senior secured revolving credit facility |
| BNP Facility | A secured revolving credit facility, as amended, that provides for borrowings in an aggregate principal amount up to $150,000,000 issued pursuant to a Revolving Credit and Security Agreement, as amended, by and among OFSCC-FS, the lenders from time to time parties thereto, BNP Paribas, as administrative agent, OFSCC-FS Holdings, LLC, a wholly owned subsidiary of the Company, as equityholder, the Company, as servicer, Citibank, N.A., as collateral agent and Virtus Group, LP, as collateral administrator |
| Board | The Company's board of directors |
| Banc of California Credit Facility | A senior secured revolving credit facility, as amended, with Banc of California (formerly known as Pacific Western Bank), as lender, that provides for borrowings to the Company in an aggregate principal amount up to $25,000,000 |
| CLO | Collateralized loan obligation |
| Code | Internal Revenue Code of 1986, as amended |
| Company | OFS Capital Corporation and its consolidated subsidiaries |
| DRIP | Dividend reinvestment plan |
| EBITDA | Earnings before interest, taxes, depreciation and amortization |
| Exchange Act | Securities Exchange Act of 1934, as amended |
| FASB | Financial Accounting Standards Board |
| FDIC | Federal Deposit Insurance Corporation |
| GAAP | Accounting principles generally accepted in the United States |
| HPCI | Hancock Park Corporate Income, Inc., a Maryland corporation and non-traded BDC, for which OFS Advisor serves as investment adviser |
| ICTI | Investment company taxable income, which is generally net ordinary income plus net short-term capital gains in excess of net long-term capital losses |
| Indicative Prices | Market quotations, prices from pricing services or bids from brokers or dealers |
| Investment Advisory Agreement | Investment Advisory and Management Agreement between the Company and OFS Advisor dated November 7, 2012 |
| NAV | Net asset value. NAV is calculated as consolidated total assets less consolidated total liabilities and can be expressed in the aggregate or on a per share basis |
| Net Loan Fees | The cumulative amount of fees, such as origination fees, discounts, premiums and amendment fees that are deferred and recognized as income over the life of the loan |
| OCCI | OFS Credit Company, Inc., a Delaware corporation and a non-diversified, closed-end management investment company, for which OFS Advisor serves as investment adviser |
| OFS Advisor | OFS Capital Management, LLC, a wholly owned subsidiary of OFSAM and registered investment advisor under the Investment Advisers Act of 1940, as amended, focusing primarily on investments in middle market loans and broadly syndicated loans, debt and equity positions in CLOs and other structured credit investments |
| OFS Services | OFS Capital Services, LLC, a wholly owned subsidiary of OFSAM and affiliate of OFS Advisor |

---

------

---

| | |
|:---|:---|
| **Term** | **Explanation or Definition** |
| OFSAM | Orchard First Source Asset Management, LLC, a subsidiary of OFSAM Holdings and a full-service provider of capital and leveraged finance solutions to U.S. corporations |
| OFSAM Holdings | Orchard First Source Asset Management Holdings, LLC, a holding company consisting of asset management businesses, including OFS Advisor, a registered investment adviser focusing primarily on investments in middle market loans and broadly syndicated loans, debt and equity positions in CLOs and other structured credit investments, and OFS CLO Management, LLC, OFS CLO Management II, LLC and OFS CLO Management III, LLC, each a registered investment adviser focusing primarily on investments in broadly syndicated loans |
| OFSCC-FS | OFSCC-FS, LLC, an indirect wholly owned subsidiary of the Company |
| OFSCC-FS Assets | Assets held by the Company through OFSCC-FS |
| OFSCC-MB | OFSCC-MB, Inc., a wholly owned subsidiary taxed under subchapter C of the Code that generally holds the equity investments of the Company that are taxed as pass-through entities |
| OID | Original issue discount |
| Order | An exemptive relief order from the SEC to permit us to co-invest in portfolio companies with Affiliated Funds in a manner consistent with our investment objective, positions, policies, strategies and restrictions as well as regulatory requirements and other pertinent factors, subject to compliance with certain conditions |
| Parent | OFS Capital Corporation |
| PIK | Payment-in-kind, non-cash interest or dividends payable as an addition to the loan or equity security producing the income |
| Portfolio Company Investment | A debt or equity investment in a portfolio company. Portfolio Company Investments exclude Structured Finance Securities |
| Prime Rate | United States Prime interest rate |
| RIC | Regulated investment company under the Code |
| SBA | United States Small Business Administration |
| SBIC | A fund licensed under the SBA Small Business Investment Company Program |
| SBIC I LP | OFS SBIC I, LP, a wholly owned subsidiary of the Company and former SBIC |
| SEC | United States Securities and Exchange Commission |
| Securities Act | Securities Act of 1933, as amended |
| SOFR | Secured Overnight Financing Rate |
| Stock Repurchase Program | The open market stock repurchase program for shares of the Company's common stock under Rule 10b-18 of the Exchange Act |
| Structured Finance Securities | CLO mezzanine debt, CLO subordinated notes and CLO loan accumulation facility securities |
| Unsecured Notes | The Unsecured Notes Due February 2026, the Unsecured Notes Due July 2028 and the Unsecured Notes Due October 2028 |
| Unsecured Notes Due February 2026&nbsp;&nbsp;&nbsp;&nbsp; | The Company's $125.0 million aggregate principal amount of 4.75% notes due February 10, 2026 |
| Unsecured Notes Due July 2028 | The Company's $69.0 million aggregate principal amount of 7.50% notes due July 31, 2028 |
| Unsecured Notes Due October 2028 | The Company's $55.0 million aggregate principal amount of 4.95% notes due October 31, 2028 |

---

------

**Forward-Looking Statements**

This Quarterly Report on Form 10-Q contains forward-looking statements that involve substantial risks and uncertainties. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about us, our current and prospective portfolio investments, our industry, our beliefs and our assumptions. Words such as "anticipates", "expects", "intends", "plans", "believes", "seeks", "estimates", "would", "should", "targets", "projects" and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties, and other factors, some of which are beyond our control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements, including without limitation:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability and experience operating a BDC or maintaining our tax treatment as a RIC under Subchapter M of the Code;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our dependence on key personnel;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to maintain or develop referral relationships;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to replicate historical results;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the ability of OFS Advisor to identify, invest in and monitor companies that meet our investment criteria;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the belief that the carrying amounts of our financial instruments, such as cash, cash equivalents, receivables and payables approximate the fair value of such items due to the short maturity of such instruments and that such financial instruments are held with high credit quality institutions to mitigate the risk of loss due to credit risk;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• actual and potential conflicts of interest with OFS Advisor and other affiliates of OFSAM Holdings;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• constraint on investment due to access to material nonpublic information;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• restrictions on our ability to enter into transactions with our affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the use of borrowed money to finance a portion of our investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to incur additional leverage pursuant to Section 61(a)(2) of the 1940 Act and the impact of such leverage on our net investment income and results of operations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• competition for investment opportunities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the belief that the seniority of our debt investments in a borrower's capital structure may provide greater downside protection against adverse economic changes, including those caused by the impacts of interest rate and inflation rate changes, the ongoing war between Russia and Ukraine, the escalated armed conflict and heightened regional tensions in the Middle East, instability in the U.S. and international banking systems, the agenda of the U.S. presidential administration, including the impact of tariff enactment and tax reductions, trade disputes with other countries, the risk of recession or a shutdown of U.S. government services, and related market volatility on our business, our portfolio companies, our industry and the global economy;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the percentage of investments that will bear interest on a floating rate or fixed rate basis;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the holding period of our investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of alternative reference rates on our business, including potential additional interest rate reductions approved by the U.S. Federal Reserve, which may impact our investment income, cost of funding and the valuation of our investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to raise debt or equity capital as a BDC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the timing, form and amount of any distributions from our portfolio companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of a protracted decline in the liquidity of credit markets on our business;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the general economy and its impact on the industries in which we invest;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of current political, economic and industry conditions, including changes in the interest rate environment, inflation, significant market volatility, supply chain and labor market disruptions, including those as a result of strikes, work stoppages or accidents, resource shortages and other conditions affecting the financial and capital markets, which, in turn, impacts our business prospects and the prospects of our portfolio companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the general uncertainty surrounding the financial and political stability of the United States, the United Kingdom, the Middle East, the European Union and China;

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• our ability to consummate credit facilities in the future on commercially reasonable terms, if at all;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of information technology system failures, data security breaches, data privacy compliance, network disruptions, and cybersecurity attacks;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the belief that we have sufficient levels of liquidity to support our existing portfolio companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the belief that our cash and cash equivalent balances are not exposed to any significant credit risk;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the fluctuation of the fair value of our investments due to the inherent uncertainty of determining the fair value of investments that do not have a readily available market value; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the effect of new or modified laws or regulations, including accounting pronouncements and rule issuances, governing our operations.

Although we believe that the assumptions on which these forward-looking statements are based are reasonable, any of those assumptions could prove to be inaccurate, and as a result, those assumptions also could be inaccurate. In light of these and other uncertainties, the inclusion of a projection or forward-looking statement in this Quarterly Report on Form 10-Q should not be regarded as a representation by us that our plans and objectives will be achieved. These risks and uncertainties include, among others, those described or identified in "Part I—Item 1A. Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2024, filed on March 4, 2025 and in "Part II, Item 1A. Risk Factors" in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2025, filed on May 2, 2025. You should not place undue reliance on these forward-looking statements, which apply only as of the date of this Quarterly Report on Form 10-Q.

We have based the forward-looking statements on information available to us on the date of this Quarterly Report on Form 10-Q. Except as required by the federal securities laws, we undertake no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise. You are advised to consult any additional disclosures that we may make directly to you or through reports that we in the future may file with the SEC, including Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. The forward-looking statements and projections contained in this Quarterly Report on Form 10-Q are excluded from the safe harbor protection provided by Section 21E of the Exchange Act.

------

**PART I. FINANCIAL INFORMATION**

**Item 1. Consolidated Financial Statements**

**OFS Capital Corporation and Subsidiaries**

**Consolidated Statements of Assets and Liabilities (unaudited)**

**(Dollar amounts in thousands, except per share data)**

---

| | | |
|:---|:---|:---|
| | **June 30,<br>2025** | **December 31,<br>2024** |
| **Assets** | | |
| Investments, at fair value: |  |  |
| &nbsp;&nbsp;Non-control/non-affiliate investments (amortized cost of $341,722 and $352,089, respectively) | $287265 | $305242 |
| &nbsp;&nbsp;Affiliate investments (amortized cost of $12,041 and $11,458, respectively) | 95483 | 104423 |
| Total investments, at fair value (amortized cost of $353,763 and $363,547, respectively) | 382748 | 409665 |
| Cash and cash equivalents | 10238 | 6068 |
| Interest and dividend receivable | 1316 | 1774 |
| Receivable for investments sold |  | 9247 |
| Prepaid expenses and other assets | 1140 | 1369 |
| **Total assets** | $395442 | $428123 |
| **Liabilities** |  |  |
| Revolving lines of credit | $63400 | $68350 |
| Unsecured Notes (net of deferred debt issuance costs of $1,199 and $1,688, respectively) | 178801 | 178312 |
| Interest payable | 3159 | 3195 |
| Payable to adviser and affiliates (Note 3) | 2859 | 3145 |
| Payable for investments purchased |  | 1802 |
| Other liabilities | 1027 | 1094 |
| **Total liabilities** | $249246 | $255898 |
| Commitments and contingencies (Note 6) |  |  |
| **Net assets** |  |  |
| Preferred stock, par value of $0.01 per share, 2,000,000 shares authorized, -0- shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively | $— | $— |
| Common stock, par value of $0.01 per share, 100,000,000 shares authorized, 13,398,078 shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively | 134 | 134 |
| Paid-in capital in excess of par | 184912 | 184912 |
| Total accumulated losses | (38850) | (12821) |
| **Total net assets** | 146196 | 172225 |
| **Total liabilities and net assets** | $395442 | $428123 |
| Number of common shares outstanding | 13398078 | 13398078 |
| Net asset value per share | $10.91 | $12.85 |

---

See Notes to Consolidated Financial Statements (unaudited).

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Statements of Operations (unaudited)**

**(Dollar amounts in thousands, except per share data)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| **Investment income** |  |  |  |  |
| Interest income: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Non-control/non-affiliate investments | $9621 | $10362 | $19201 | $21413 |
| Payment-in-kind interest and dividend income: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Non-control/non-affiliate investments | 398 | 492 | 786 | 834 |
| &nbsp;&nbsp;&nbsp;Affiliate investments | 297 | 270 | 584 | 533 |
| &nbsp;&nbsp;&nbsp;Total payment-in-kind interest and dividend income | 695 | 762 | 1370 | 1367 |
| Dividend income: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Non-control/non-affiliate investments | 10 | 10 | 21 | 21 |
| &nbsp;&nbsp;&nbsp;Affiliate investments |  |  |  | 2437 |
| &nbsp;&nbsp;&nbsp;Total dividend income | 10 | 10 | 21 | 2458 |
| Fee income: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Non-control/non-affiliate investments | 150 | 31 | 179 | 160 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total investment income** | 10476 | 11165 | 20771 | 25398 |
| **Expenses** |  |  |  |  |
| &nbsp;&nbsp;Interest expense | 3842 | 4117 | 7700 | 8689 |
| &nbsp;&nbsp;Base management fee | 1479 | 1478 | 3028 | 3001 |
| &nbsp;&nbsp;Income Incentive Fee | 821 | 859 | 1151 | 2258 |
| &nbsp;&nbsp;Professional fees | 403 | 414 | 839 | 828 |
| &nbsp;&nbsp;Administration fee | 382 | 453 | 776 | 847 |
| &nbsp;&nbsp;Other expenses | 266 | 407 | 529 | 742 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Total expenses** | 7193 | 7728 | 14023 | 16365 |
| **Net investment income** | 3283 | 3437 | 6748 | 9033 |
| **Net realized and unrealized gain (loss) on investments** |  |  |  |  |
| &nbsp;&nbsp;Net realized loss on non-control/non-affiliate investments | (4191) | (4304) | (6778) | (4885) |
| &nbsp;&nbsp;Net realized gain on affiliate investments |  |  |  | 1379 |
| &nbsp;&nbsp;Net unrealized appreciation (depreciation) on non-control/non-affiliate investments | 309 | 3160 | (7611) | 113 |
| &nbsp;&nbsp;Net unrealized appreciation (depreciation) on affiliate investments | (9179) | 8173 | (9523) | (4160) |
| &nbsp;&nbsp;Deferred tax (expense) benefit on net unrealized appreciation (depreciation) | 147 | (138) | 246 | (201) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net gain (loss) on investments** | (12914) | 6891 | (23666) | (7754) |
| **Net increase (decrease) in net assets resulting from operations** | $(9631) | $10328 | $(16918) | $1279 |
| Net investment income per common share – basic and diluted | $0.25 | $0.26 | $0.50 | $0.67 |
| Net increase (decrease) in net assets resulting from operations per common share – basic and diluted | $(0.72) | $0.77 | $(1.26) | $0.10 |
| Distributions declared per common share | $0.34 | $0.34 | $0.68 | $0.68 |
| Basic and diluted weighted-average common shares outstanding | 13398078 | 13398078 | 13398078 | 13398078 |

---

See Notes to Consolidated Financial Statements (unaudited).

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Statements of Changes in Net Assets (unaudited)**

**(Dollar amounts in thousands, except per share data)**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Preferred Stock** | **Preferred Stock** | **Common Stock** | **Common Stock** | **Paid-in capital in excess of par** | **Total accumulated losses** | **Total net assets** |
| | **Number of shares** | **Par value** | **Number of shares** | **Par value** | **Paid-in capital in excess of par** | **Total accumulated losses** | **Total net assets** |
| **Balances at December 31, 2023** |  | $— | 13398078 | $134 | $184841 | $(22971) | $162004 |
| Net increase in net assets resulting from operations: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Net investment income |  |  |  |  |  | 9033 | 9033 |
| &nbsp;&nbsp;Net realized loss on investments, net of taxes |  |  |  |  |  | (3506) | (3506) |
| &nbsp;&nbsp;Net unrealized depreciation on investments, net of deferred taxes |  |  |  |  |  | (4248) | (4248) |
| &nbsp;&nbsp;Dividends declared |  |  |  |  |  | (9111) | (9111) |
| Net decrease for the six month period ended June 30, 2024 |  |  |  |  |  | (7832) | (7832) |
| **Balances at June 30, 2024** |  | $— | 13398078 | $134 | $184841 | $(30803) | $154172 |
| **Balances at March 31, 2024** |  | $— | 13398078 | $134 | $184841 | $(36575) | $148400 |
| Net increase in net assets resulting from operations: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net investment income |  |  |  |  |  | 3437 | 3437 |
| &nbsp;&nbsp;Net realized loss on investments, net of taxes |  |  |  |  |  | (4304) | (4304) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net unrealized appreciation on investments, net of deferred taxes |  |  |  |  |  | 11195 | 11195 |
| Dividend declared |  |  |  |  |  | (4556) | (4556) |
| Net increase for the three month period ended June 30, 2024 |  |  |  |  |  | 5772 | 5772 |
| **Balances at June 30, 2024** |  | $— | 13398078 | $134 | $184841 | $(30803) | $154172 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Statements of Changes in Net Assets (unaudited)**

**(Dollar amounts in thousands, except per share data)**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Preferred Stock** | **Preferred Stock** | **Common Stock** | **Common Stock** | **Paid-in capital in excess of par** | **Total accumulated losses** | **Total net assets** |
| | **Number of shares** | **Par value** | **Number of shares** | **Par value** | **Paid-in capital in excess of par** | **Total accumulated losses** | **Total net assets** |
| **Balances at December 31, 2024** |  | $— | 13398078 | $134 | $184912 | $(12821) | $172225 |
| Net decrease in net assets resulting from operations: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net investment income |  |  |  |  |  | 6748 | 6748 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net realized loss on investments, net of taxes |  |  |  |  |  | (6778) | (6778) |
| &nbsp;&nbsp;&nbsp;&nbsp;Net unrealized depreciation on investments, net of deferred taxes |  |  |  |  |  | (16888) | (16888) |
| Distributions declared |  |  |  |  |  | (9111) | (9111) |
| Net decrease for the six month period ended June 30, 2025 |  |  |  |  |  | (26029) | (26029) |
| **Balances at June 30, 2025** |  | $— | 13398078 | $134 | $184912 | $(38850) | $146196 |
| **Balances at March 31, 2025** |  | $— | 13398078 | $134 | $184912 | $(24663) | $160383 |
| Net decrease in net assets resulting from operations: |  |  |  |  |  |  |  |
| &nbsp;&nbsp;Net investment income |  |  |  |  |  | 3283 | 3283 |
| &nbsp;&nbsp;Net realized loss on investments, net of taxes |  |  |  |  |  | (4191) | (4191) |
| &nbsp;&nbsp;Net unrealized depreciation on investments, net of taxes |  |  |  |  |  | (8723) | (8723) |
| Distribution declared |  |  |  |  |  | (4556) | (4556) |
| Net decrease for the three month period ended June 30, 2025 |  |  |  |  |  | (14187) | (14187) |
| **Balances at June 30, 2025** |  | $— | 13398078 | $134 | $184912 | $(38850) | $146196 |

---

See Notes to Consolidated Financial Statements (unaudited).

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Statements of Cash Flows (unaudited)**

**(Dollar amounts in thousands)**

---

| | | |
|:---|:---|:---|
| | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** |
| **Cash flows from operating activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Net increase (decrease) in net assets resulting from operations | $(16918) | $1279 |
| &nbsp;&nbsp;&nbsp;Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net realized loss on investments | 6778 | 3506 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net unrealized depreciation on investments, net of deferred taxes | 16888 | 4248 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of Net Loan Fees | (395) | (860) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amendment fees received | 58 | 226 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Payment-in-kind interest and dividend income | (1407) | (1351) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accretion of interest income on Structured Finance Securities | (5844) | (3876) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of deferred debt issuance costs | 743 | 763 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Write-off of deferred offering costs |  | 99 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of intangible asset |  | 69 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Purchase and origination of portfolio investments | (22918) | (12347) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from principal payments on portfolio investments | 8165 | 20904 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from sale or redemption of portfolio investments | 18413 | 3673 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Proceeds from distributions received from portfolio investments | 6934 | 8118 |
| &nbsp;&nbsp;&nbsp;Changes in operating assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest and dividend receivable | 458 | (728) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Receivable for investments sold | 9247 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest payable | (36) | (463) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Payable to adviser and affiliates | (286) | (625) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Payable for investments purchased | (1802) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other assets and liabilities | 153 | 27 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net cash provided by operating activities** | 18231 | 22662 |
| **Cash flows from financing activities** |  |  |
| &nbsp;&nbsp;&nbsp;Distributions paid to common stockholders | (9111) | (9111) |
| &nbsp;&nbsp;&nbsp;Borrowings under revolving lines of credit | 15250 | 3000 |
| &nbsp;&nbsp;&nbsp;Repayments under revolving lines of credit | (20200) | (24400) |
| &nbsp;&nbsp;&nbsp;Repayments of SBA debentures |  | (31920) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net cash used in financing activities** | (14061) | (62431) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Net increase (decrease) in cash and cash equivalents** | 4170 | (39769) |
| **Cash and cash equivalents** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Beginning of period | 6068 | 45349 |
| &nbsp;&nbsp;&nbsp;&nbsp;End of period | $10238 | $5580 |
| **Supplemental Disclosure of Cash Flow Information:** |  |  |
| &nbsp;&nbsp;&nbsp;Cash paid for interest | $6993 | $8390 |

---

See Notes to Consolidated Financial Statements (unaudited).

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments (unaudited)**

**June 30, 2025**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above Index (2)** | **Spread Above Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of Net Assets** |
| **<u>Non-control/Non-affiliate Investments</u>** | | | | | | | | | | |
| ***Debt and Equity Investments*** | | | | | | | | | | |
| *24 Seven Holdco, LLC (15)* | Temporary Help Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 11.54% | SOFR+ | 7.13% | 1/28/2022 | 11/16/2027 | $8434 | $8406 | $8432 | 5.7% |
| *AIDC IntermediateCo 2, LLC (15)* | Computer Systems Design Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 9.83% | SOFR+ | 5.50% | 7/22/2022 | 7/22/2027 | 1950 | 1930 | 1948 | 1.3 |
| First Lien Debt |  | 9.83% | SOFR+ | 5.50% | 7/31/2023 | 7/22/2027 | 46 | 45 | 46 |  |
|  |  |  |  |  |  |  | 1996 | 1975 | 1994 | 1.3 |
| *Allen Media, LLC (15)* | Cable and Other Subscription Programming |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 9.95% | SOFR+ | 5.50% | 3/2/2021 | 2/10/2027 | 3671 | 3670 | 2720 | 1.9 |
| *Associated Spring, LLC (15)* | Spring Manufacturing |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 10.16% | SOFR+ | 5.75% | 12/10/2024 | 4/4/2030 | 2248 | 2207 | 2216 | 1.5 |
| First Lien Debt (Delayed Draw) (5) |  | 10.18% | SOFR+ | 5.75% | 12/10/2024 | 4/4/2030 | 241 | 233 | 217 | 0.1 |
|  |  |  |  |  |  |  | 2489 | 2440 | 2433 | 1.6 |
| *Avison Young Inc. (15) (16)* | Nonresidential Property Managers |  |  |  |  |  |  |  |  |  |
| First Lien Debt (11) |  | 6.09% cash / 6.50% PIK | SOFR+ | 8.00% | 11/25/2021 | 3/12/2029 | 1616 | 1616 | 1234 | 0.8 |
| First Lien Debt (6) (10) (11) |  | 6.09% cash / 6.50% PIK | SOFR+ | 8.00% | 11/25/2021 | 3/12/2029 | 541 | 461 |  |  |
| Common Equity (1,185 Class B units) (10) (13) |  |  |  |  | 3/12/2024 |  |  | 1400 |  |  |
| Preferred Equity (1,715 Class A units) 12.5% PIK (10) (13) |  |  |  |  | 3/12/2024 |  |  | 1269 |  |  |
|  |  |  |  |  |  |  | 2157 | 4746 | 1234 | 0.8 |
| *BayMark Health Services, Inc. (15)* | Outpatient Mental Health and Substance Abuse Centers |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 13.06% | SOFR+ | 8.50% | 6/10/2021 | 6/11/2028 | 4962 | 4931 | 4332 | 3.0 |
| Second Lien Debt |  | 13.06% | SOFR+ | 8.50% | 6/10/2021 | 6/11/2028 | 3988 | 3961 | 3481 | 2.4 |
|  |  |  |  |  |  |  | 8950 | 8892 | 7813 | 5.4 |
| *BCPE North Star US Holdco 2, Inc. (F/K/A Dessert Holdings) (14)* | Ice Cream and Frozen Dessert Manufacturing |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 11.69% | SOFR+ | 7.25% | 2/2/2022 | 6/8/2029 | 3667 | 3436 | 3606 | 2.5 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments - Continued (unaudited)**

**June 30, 2025**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above Index (2)** | **Spread Above Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of Net Assets** |
| *Boca Home Care Holdings, Inc. (20)* | Services for the Elderly and Persons with Disabilities |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 11.03% | SOFR+ | 6.50% | 2/25/2022 | 2/25/2027 | $9161 | $9111 | $9161 | 6.3% |
| First Lien Debt (Revolver) (5) |  | n/m (18) | SOFR+ | 6.50% | 2/25/2022 | 2/25/2027 |  | (6) |  |  |
| Common Equity (1,290 Class A units) (10) |  |  |  |  | 2/25/2022 |  |  | 1290 | 701 | 0.5 |
| Preferred Equity (3,446 Class A Units) 12.0% cash / 2.0% PIK |  |  |  |  | 3/3/2023 |  |  | 345 | 361 | 0.2 |
|  |  |  |  |  |  |  | 9161 | 10740 | 10223 | 7.0 |
| *Clevertech Bidco, LLC* | Commodity Contracts Dealing |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 11.20% | SOFR+ | 6.75% | 11/3/2023 | 12/30/2027 | 3149 | 3090 | 3086 | 2.0 |
| First Lien Debt (Revolver) (5) |  | 11.20% | SOFR+ | 6.75% | 11/3/2023 | 12/30/2027 | 112 | 105 | 106 | 0.1 |
|  |  |  |  |  |  |  | 3261 | 3195 | 3192 | 2.1 |
| *Constellis Holdings, LLC (10)* | Other Justice, Public Order, and Safety Activities |  |  |  |  |  |  |  |  |  |
| Common Equity (20,628 common shares) |  |  |  |  | 3/27/2020 |  |  | 703 | 53 |  |
| *Convergint Technologies Holdings, LLC* | Security Systems Services (except Locksmiths) |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 11.19% | SOFR+ | 6.75% | 9/28/2018 | 3/30/2029 | 5938 | 5885 | 5938 | 4.1 |
| *Creation Technologies Inc. (15) (16)* | Bare Printed Circuit Board Manufacturing |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 10.05% | SOFR+ | 5.50% | 9/24/2021 | 10/5/2028 | 1940 | 1933 | 1907 | 1.3 |
| *East West Manufacturing LLC (15)* | Fluid Power Pump and Motor Manufacturing |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 9.78% | SOFR+ | 5.50% | 2/11/2022 | 12/22/2028 | 1900 | 1891 | 1900 | 1.3 |
| *Envocore Holding, LLC (F/K/A LRI Holding, LLC) (19)* | Electrical Contractors and Other Wiring Installation Contractors |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 7.50% | N/A |  | 6/30/2017 | 12/31/2026 | 6199 | 6199 | 6199 | 4.2 |
| First Lien Debt (Revolver) (5) |  | n/m (18) | N/A |  | 11/29/2021 | 12/31/2026 |  |  |  |  |
| First Lien Debt (Secured Collateral) (21) |  | 7.50% | N/A |  | 1/10/2025 |  | 1028 | 1028 | 1028 | 0.7 |
| Second Lien Debt (6) (10) |  | 10.00% PIK | N/A |  | 6/30/2017 | 12/31/2027 | 9118 | 6584 | 166 | 0.1 |
| Equity Participation Rights (10) (17) |  |  |  |  | 12/31/2021 |  |  | 4722 |  |  |
|  |  |  |  |  |  |  | 16345 | 18533 | 7393 | 5.0 |
| *Excelin Home Health, LLC* | Home Health Care Services |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 18.00% PIK | N/A |  | 10/25/2018 | 10/1/2026 | 6506 | 6457 | 4932 | 3.4 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments - Continued (unaudited)**

**June 30, 2025**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above Index (2)** | **Spread Above Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of Net Assets** |
| *GGC Aerospace Topco L.P. (10)* | Other Aircraft Parts and Auxiliary Equipment Manufacturing |  |  |  |  |  |  |  |  |  |
| Common Equity (368,852 Class A units) |  |  |  |  | 12/29/2017 |  |  | $450 | $— | —% |
| Common Equity (40,984 Class B units)  |  |  |  |  | 12/29/2017 |  |  | 50 |  |  |
|  |  |  |  |  |  |  |  | 500 |  |  |
| *GoTo Group (F/K/A LogMeIn, Inc.) (14) (15)* | Data Processing, Hosting, and Related Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 9.16% | SOFR+ | 4.75% | 3/26/2021 | 4/28/2028 | $931 | 931 | 814 | 0.6 |
| First Lien Debt |  | 9.16% | SOFR+ | 4.75% | 3/26/2021 | 4/28/2028 | 1286 | 1286 | 466 | 0.3 |
|  |  |  |  |  |  |  | 2217 | 2217 | 1280 | 0.9 |
| *Heritage Grocers Group, LLC. (F/K/A Tony's Fresh Market / Cardenas Markets) (14) (15)* | Supermarkets and Other Grocery (except Convenience) Stores |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 11.15% | SOFR+ | 6.75% | 7/20/2022 | 8/1/2029 | 8954 | 8788 | 8261 | 5.7 |
| *Honor HN Buyer Inc.* | Services for the Elderly and Persons with Disabilities |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 10.20% | SOFR+ | 5.75% | 10/15/2021 | 10/15/2027 | 6367 | 6320 | 6367 | 4.3 |
| First Lien Debt (15) |  | 10.20% | SOFR+ | 5.75% | 10/15/2021 | 10/15/2027 | 4027 | 3991 | 4027 | 2.8 |
| First Lien Debt (Revolver) (5) |  | 12.25% | Prime+ | 4.75% | 10/15/2021 | 10/15/2027 | 95 | 89 | 95 | 0.1 |
| First Lien Debt (15) |  | 10.20% | SOFR+ | 5.75% | 3/31/2023 | 10/15/2027 | 4480 | 4452 | 4480 | 3.1 |
| First Lien Debt (Delayed Draw) (5) (15) |  | n/m (18) | SOFR+ | 5.75% | 10/15/2024 | 10/15/2026 |  | (16) |  |  |
|  |  |  |  |  |  |  | 14969 | 14836 | 14969 | 10.3 |
| *Idera Inc.* | Computer and Computer Peripheral Equipment and Software Merchant Wholesalers |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 11.18% | SOFR+ | 6.75% | 1/27/2022 | 3/2/2029 | 2683 | 2683 | 2535 | 1.7 |
| *Inergex Holdings, LLC (11)* | Other Computer Related Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 11.45% cash / 1.00% PIK | SOFR+ | 7.00% | 10/1/2018 | 10/1/2026 | 14700 | 14610 | 14700 | 10.1 |
| First Lien Debt (Revolver) |  | 11.30% cash / 1.00% PIK | SOFR+ | 7.00% | 10/1/2018 | 10/1/2026 | 2344 | 2344 | 2344 | 1.6 |
|  |  |  |  |  |  |  | 17044 | 16954 | 17044 | 11.7 |
| *JP Intermediate B, LLC (6) (10) (15)* | Drugs and Druggists' Sundries Merchant Wholesalers |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 14.00% | Prime+ | 6.50% | 1/14/2021 | 11/20/2027 | 4638 | 4491 | 1677 | 1.1 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments - Continued (unaudited)**

**June 30, 2025**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above Index (2)** | **Spread Above Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of Net Assets** |
| *Kreg LLC* | Other Ambulatory Health Care Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt (11) (15) |  | 10.70% cash / 0.50% PIK | SOFR+ | 6.25% | 12/20/2021 | 12/20/2026 | $17419 | $17383 | $16687 | 11.4% |
| First Lien Debt (Revolver) (5) |  | 10.70% | SOFR+ | 6.25% | 12/20/2021 | 12/20/2026 | 891 | 888 | 835 | 0.6 |
|  |  |  |  |  |  |  | 18310 | 18271 | 17522 | 12.0 |
| *Medrina LLC* | All Other Outpatient Care Centers |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 10.13% | SOFR+ | 6.00% | 10/20/2023 | 10/20/2029 | 2201 | 2159 | 2223 | 1.5 |
| First Lien Debt (15) |  | 10.25% | SOFR+ | 6.00% | 10/20/2023 | 10/20/2029 | 369 | 365 | 373 | 0.3 |
| First Lien Debt (Revolver) (5) |  | n/m (18) | SOFR+ | 6.00% | 10/20/2023 | 10/20/2029 |  | (6) |  |  |
|  |  |  |  |  |  |  | 2570 | 2518 | 2596 | 1.8 |
| *Metasource, LLC (15)* | All Other Business Support Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 10.81% cash / 0.50% PIK | SOFR+ | 6.25% | 5/17/2022 | 5/17/2027 | 2734 | 2708 | 2579 | 1.8 |
| *One GI LLC* | Offices of Other Holding Companies |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 11.18% | SOFR+ | 6.75% | 12/13/2021 | 12/22/2025 | 7319 | 7301 | 6901 | 4.7 |
| First Lien Debt (15) |  | 11.18% | SOFR+ | 6.75% | 12/13/2021 | 12/22/2025 | 3857 | 3847 | 3637 | 2.5 |
| First Lien Debt (Revolver) |  | 11.18% | SOFR+ | 6.75% | 12/13/2021 | 12/22/2025 | 1444 | 1441 | 1362 | 0.9 |
|  |  |  |  |  |  |  | 12620 | 12589 | 11900 | 8.1 |
| *Planet Bingo, LLC (F/K/A 3rd Rock Gaming Holdings, LLC) (6)* | Software Publishers |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 6.50% | N/A |  | 3/13/2018 | 12/31/2026 | 16648 | 14113 | 8341 | 5.7 |
| *PM Acquisition LLC (10)* | All Other General Merchandise Stores |  |  |  |  |  |  |  |  |  |
| Common Equity (499 units) |  |  |  |  | 9/30/2017 |  |  | 499 | 1271 | 0.9 |
| *PSB Group, LLC (20)* | Lessors of Nonfinancial Intangible Assets (except Copyrighted Works) |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 11.03% | SOFR+ | 6.75% | 4/17/2025 | 4/17/2030 | 7921 | 7883 | 7883 | 5.4 |
| First Lien Debt (Revolver) (5) |  | n/m (18) | SOFR+ | 6.75% | 4/17/2025 | 4/17/2030 |  | (5) | (5) |  |
|  |  |  |  |  |  |  | 7921 | 7878 | 7878 | 5.4 |
| *Redstone Holdco 2 LP (F/K/A RSA Security) (15)* | Computer and Computer Peripheral Equipment and Software Merchant Wholesalers |  |  |  |  |  |  |  |  |  |
| First Lien Debt (14) |  | 9.29% | SOFR+ | 4.75% | 4/16/2021 | 4/27/2028 | 1715 | 1711 | 935 | 0.6 |
| Second Lien Debt |  | 12.30% | SOFR+ | 7.75% | 4/16/2021 | 4/27/2029 | 4450 | 4419 | 2100 | 1.4 |
|  |  |  |  |  |  |  | 6165 | 6130 | 3035 | 2.0 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments - Continued (unaudited)**

**June 30, 2025**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above Index (2)** | **Spread Above Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of Net Assets** |
| *RPLF Holdings, LLC (10) (13)* | Software Publishers |  |  |  |  |  |  |  |  |  |
| Common Equity (345,339 Class A units) |  |  |  |  | 1/17/2018 |  |  | $— | $980 | 0.7% |
| *RumbleOn, Inc. (15) (16)* | Other Industrial Machinery Manufacturing |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 12.79% | SOFR+ | 8.25% | 8/31/2021 | 8/31/2026 | $2624 | 2577 | 2498 | 1.7 |
| First Lien Debt |  | 12.79% | SOFR+ | 8.25% | 8/31/2021 | 8/31/2026 | 792 | 783 | 754 | 0.5 |
| Warrants (warrants to purchase up to $218,000 in common stock) (10) |  |  |  |  | 8/31/2021 | 8/14/2028 (12) |  | 200 | 4 |  |
|  |  |  |  |  |  |  | 3416 | 3560 | 3256 | 2.2 |
| *Sentry Centers Holdings, LLC (10) (13)* | Convention and Trade Show Organizers |  |  |  |  |  |  |  |  |  |
| Preferred Equity (1,603 Series B units) |  |  |  |  | 9/4/2020 |  |  | 160 | 1 |  |
| *Signal Parent, Inc. (14) (15)* | New Single-Family Housing Construction (except For-Sale Builders) |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 7.88% | SOFR+ | 3.50% | 3/25/2021 | 4/3/2028 | 1526 | 1520 | 1063 | 0.7 |
| *SS Acquisition, LLC (20)* | Sports and Recreation Instruction |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 10.05% | SOFR+ | 5.75% | 12/20/2024 | 12/20/2029 | 16879 | 16804 | 16694 | 11.4 |
| First Lien Debt (Revolver) (5) |  | n/m (18) | SOFR+ | 5.75% | 12/20/2024 | 12/20/2029 |  | (8) | (20) |  |
|  |  |  |  |  |  |  | 16879 | 16796 | 16674 | 11.4 |
| *SSJA Bariatric Management LLC (10) (15) (20)* | Offices of Physicians and Mental Health Specialists |  |  |  |  |  |  |  |  |  |
| First Lien Debt (6) (11) |  | 9.70% PIK | SOFR+ | 5.25% | 8/26/2019 | 7/31/2025 | 10908 | 9563 | 3532 | 2.4 |
| First Lien Debt (6) (11) |  | 9.70% PIK | SOFR+ | 5.25% | 12/31/2020 | 7/31/2025 | 1179 | 1033 | 382 | 0.3 |
| First Lien Debt (6) (11) |  | 9.70% PIK | SOFR+ | 5.25% | 12/8/2021 | 7/31/2025 | 2970 | 2600 | 962 | 0.7 |
| First Lien Debt (Revolver) (6) (11) |  | 9.70% PIK | SOFR+ | 5.25% | 8/26/2019 | 7/31/2025 | 304 | 266 | 99 | 0.1 |
| Common Equity (867,591 Class F units) (13) |  |  |  |  | 4/10/2024 |  |  |  |  |  |
|  |  |  |  |  |  |  | 15361 | 13462 | 4975 | 3.5 |
| *Staples, Inc. (14) (15)* | Business to Business Electronic Markets |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 10.03% | SOFR+ | 5.75% | 5/23/2024 | 9/4/2029 | 2552 | 2470 | 2362 | 1.6 |
| *Tolemar Acquisition, Inc.* | Motorcycle, Bicycle, and Parts Manufacturing |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 10.43% cash / 1.25% PIK | SOFR+ | 6.00% | 10/14/2021 | 10/14/2027 | 14351 | 14271 | 12959 | 8.9 |
| First Lien Debt (Revolver) (5) |  | 10.43% | SOFR+ | 6.00% | 10/14/2021 | 10/14/2027 | 257 | 252 | 108 | 0.1 |
|  |  |  |  |  |  |  | 14608 | 14523 | 13067 | 9.0 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments - Continued (unaudited)**

**June 30, 2025**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above Index (2)** | **Spread Above Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of Net Assets** |
| *TruGreen Limited Partnership* | Landscaping Services |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 13.04% | SOFR+ | 8.50% | 5/13/2021 | 11/2/2028 | $4500 | $4563 | $4167 | 2.9% |
| *United Biologics Holdings, LLC (10) (13)* | Medical Laboratories |  |  |  |  |  |  |  |  |  |
| Preferred Equity (151,787 units) |  |  |  |  | 4/16/2013 |  |  | 9 |  |  |
| *Wellful Inc. (F/K/A KNS Acquisition Corp.) (15)* | Electronic Shopping and Mail-Order Houses |  |  |  |  |  |  |  |  |  |
| First Lien Debt (11) |  | 8.94% cash / 1.75% PIK | SOFR+ | 6.25% | 4/16/2021 | 10/19/2030 | 4370 | 4370 | 3496 | 2.4 |
| **Total Debt and Equity Investments - Non-control/Non-affiliate Investments** |  |  |  |  |  |  | $257100 | $259510 | $214699 | 146.9% |
| **Structured Finance Securities (16)** |  |  |  |  |  |  |  |  |  |  |
| *Apex Credit CLO 2020 Ltd. (7) (9)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 16.58% | N/A |  | 11/16/2020 | 4/20/2035 | $11080 | $9285 | $7180 | 4.9% |
| *Apex Credit CLO 2021 Ltd. (7) (9)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 12.90% | N/A |  | 5/28/2021 | 7/18/2034 | 8630 | 5957 | 4521 | 3.1 |
| *Apex Credit CLO 2022-1 Ltd. (7) (9)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 4.32% | N/A |  | 4/28/2022 | 4/22/2033 | 10726 | 8236 | 6047 | 4.1 |
| *Battalion CLO XI Ltd.* |  |  |  |  |  |  |  |  |  |  |
| Mezzanine Debt - Class E |  | 11.39% | SOFR+ | 6.85% | 4/25/2022 | 4/24/2034 | 6000 | 6000 | 5566 | 3.8 |
| *BlueMountain CLO XXXV Ltd. (7) (9)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 17.93% | N/A |  | 10/30/2024 | 7/22/2035 | 7800 | 5904 | 5248 | 3.6 |
| *Brightwood Capital MM CLO 2023-1, Ltd.* |  |  |  |  |  |  |  |  |  |  |
| Mezzanine Debt - Class E |  | 14.62% | SOFR+ | 10.36% | 9/28/2023 | 10/15/2035 | 2133 | 1982 | 2153 | 1.5 |
| Subordinated Notes (7) (9) |  | 11.04% | N/A |  | 9/28/2023 | 10/15/2035 | 5494 | 4986 | 4316 | 3.0 |
|  |  |  |  |  |  |  | 7627 | 6968 | 6469 | 4.5 |
| *Canyon CLO 2019-1, Ltd. (7) (9)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 25.61% | N/A |  | 8/22/2024 | 7/15/2037 | 18453 | 9497 | 9540 | 6.5 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments - Continued (unaudited)**

**June 30, 2025**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above Index (2)** | **Spread Above Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of Net Assets** |
| *Dryden 76 CLO, Ltd. (7) (9)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 8.86% | N/A |  | 9/27/2019 | 10/15/2037 | $5352 | $3074 | $1950 | 1.3% |
| *ICG US CLO 2021-3, Ltd. (7) (9)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 32.82% | N/A |  | 8/8/2024 | 10/20/2034 | 16750 | 8130 | 9432 | 6.5 |
| *LCM 42 Ltd.(7) (9)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 19.82% | N/A |  | 12/19/2024 | 1/15/2038 | 3500 | 3071 | 3163 | 2.2 |
| *Madison Park Funding XXIX, Ltd. (7) (9)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 16.69% | N/A |  | 12/22/2020 | 10/18/2047 | 10971 | 5723 | 5291 | 3.6 |
| *Park Avenue Institutional Advisers CLO Ltd. 2021-1* |  |  |  |  |  |  |  |  |  |  |
| Mezzanine Debt - Class D |  | 11.83% | SOFR+ | 7.30% | 1/26/2021 | 1/20/2034 | 1000 | 988 | 998 | 0.7 |
| *Trinitas CLO VIII, Ltd. (4) (7) (9) (10)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 0.00% | N/A |  | 3/4/2021 | 7/20/2117 | 5200 | 2425 | 511 | 0.3 |
| *Venture 45 CLO, Limited* |  |  |  |  |  |  |  |  |  |  |
| Mezzanine Debt - Class E |  | 11.97% | SOFR+ | 7.70% | 4/18/2022 | 7/20/2035 | 3000 | 2958 | 2654 | 1.8 |
| *Voya CLO 2024-7, Ltd. (7) (9)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 16.46% | N/A |  | 1/7/2025 | 1/20/2038 | 4275 | 3996 | 3996 | 2.7 |
| **Total Structured Finance Securities** |  |  |  |  |  |  | $120364 | $82212 | $72566 | 49.6% |
| **Total Non-control/Non-affiliate Investments** |  |  |  |  |  |  | $377464 | $341722 | $287265 | 196.5% |
| **<u>Affiliate Investments</u>** |  |  |  |  |  |  |  |  |  |  |
| *Contract Datascan Holdings, Inc. (20)* | Office Machinery and Equipment Rental and Leasing |  |  |  |  |  |  |  |  |  |
| Preferred Equity (3,061 Series A shares) 10% PIK  |  |  |  |  | 8/5/2015 |  |  | $8990 | $9714 | 6.6% |
| Common Equity (11,273 shares) (10) |  |  |  |  | 6/28/2016 |  |  | 104 |  |  |
|  |  |  |  |  |  |  |  | 9094 | 9714 | 6.6 |
| *DRS Imaging Services, LLC (10) (13) (20)* | Data Processing, Hosting, and Related Services |  |  |  |  |  |  |  |  |  |
| Common Equity (1,135 units) |  |  |  |  | 3/8/2018 |  |  | 1135 | 1922 | 1.3 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments - Continued (unaudited)**

**June 30, 2025**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of Net Assets** |
| *Pfanstiehl Holdings, Inc. (8) (20)* | Pharmaceutical Preparation Manufacturing |  |  |  |  |  |  |  |  |
| Common Equity (400 Class A shares) |  |  |  | 1/1/2014 |  |  | $217 | $82993 | 56.8% |
| *TalentSmart Holdings, LLC (10) (13) (20)* | Professional and Management Development Training |  |  |  |  |  |  |  |  |
| Common Equity (1,595,238 Class A shares)  |  |  |  | 10/11/2019 |  |  | 1595 | 854 | 0.6 |
| **Total Affiliate Investments** |  |  |  |  |  |  | $12041 | $95483 | 65.3% |
| **Total Investments** |  |  |  |  |  | $377464 | $353763 | $382748 | 261.8% |

---

(1)Equity ownership may be held in shares or units of companies affiliated with the portfolio company. The Company's investments are generally classified as "restricted securities" as such term is defined under Regulation S-X Rule 6-03(f) or Securities Act Rule 144.

(2)As of June 30, 2025, the Company held loans and mezzanine debt investments with an aggregate fair value of $202,033 of the total loan portfolio, that bore interest at a variable rate indexed to SOFR or Prime, and reset monthly, quarterly, or semi-annually. For each variable-rate investment, the Company has provided the spread over the reference rate and current interest rate in effect as of June 30, 2025. Unless otherwise noted, all investments with a stated PIK rate require interest payments with the issuance of additional securities as payment of the entire PIK provision.

(3)Unless otherwise noted in footnote 14, fair value was determined using significant unobservable inputs for all of the Company's investments and are considered Level 3 under GAAP. See **Note 5** for further details.

(4)As of June 30, 2025, the effective accretable yield was estimated to be 0%, as the aggregate amount of projected distributions, including projected distributions related to liquidation of the underlying portfolio upon the security's anticipated optional redemption, was less than current amortized cost. Projected distributions are periodically monitored and re-evaluated. All actual distributions were recognized as reductions to amortized cost until such time, if and when occurring, a future aggregate amount of then-projected distributions exceeds the security's then-current amortized cost.

(5)Subject to unfunded commitments. The Company considers undrawn amounts in the determination of fair value on revolving lines of credit and delayed draw term loans. See **Note 6**.

(6)Investment was on non-accrual status as of June 30, 2025, meaning the Company suspended recognition of all or a portion of income on the investment. See **Note 4** for further details.

(7)Amortized cost reflects accretion of effective yield less any cash distributions received or entitled to be received from CLO subordinated note investments. CLO subordinated note positions are entitled to recurring distributions, which are generally equal to the residual cash flow of payments received on underlying securities less contractual payments to debt holders and fund expenses.

(8)Portfolio company represents greater than 5% of total assets as of June 30, 2025.

(9)The rate disclosed on subordinated note investments is the estimated effective yield, generally established at purchase, and reevaluated upon the receipt of the initial distribution and each subsequent quarter thereafter. The estimated effective yield is based upon projected amounts and timing of future distributions and the projected amounts and timing of terminal principal payments at the time of estimation. The estimated effective yield and investment cost may ultimately not be realized. Projected cash flows, including the amounts and timing of terminal principal payments, which generally are projected to occur prior to the contractual maturity date, were utilized in deriving the effective yield of the investments.

(10)Non-income producing. The Company has not recognized income on the security during the prior twelve-month period preceding the period-end date.

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments - Continued (unaudited)**

**June 30, 2025**

**(Dollar amounts in thousands)**

(11)The interest rate on these investments contains a PIK provision, whereby the issuer has the option to make interest payments in cash or with the issuance of additional securities as payment of the entire PIK provision. The interest rate in the schedule represents the current interest rate in effect for these investments. The following table provides additional details on these PIK investments, including the maximum annual PIK interest rate allowed as of June 30, 2025:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Portfolio Company** | **Investment Type** | **Maximum PIK<br>Rate Allowed** | **Range of PIK<br>Option** | **Range of Cash<br>Option** |
| Avison Young Inc. | First Lien Debt | 6.50% | 0% to 6.50% | 6.09% to 12.59% |
| Avison Young Inc. | First Lien Debt | 6.50% | 0% to 6.50% | 6.09% to 12.59% |
| Inergex Holdings, LLC | First Lien Debt | 1.00% | 0% to 1.00% | 11.45% to 12.45% |
| Inergex Holdings, LLC | First Lien Debt (Revolver) | 1.00% | 0% to 1.00% | 11.30% to 12.30% |
| Kreg LLC | First Lien Debt | 0.50% | 0% to 0.50% | 10.70% to 11.20% |
| SSJA Bariatric Management LLC | First Lien Debt | 9.70% | 0% to 9.70% | 0% to 9.70% |
| SSJA Bariatric Management LLC | First Lien Debt | 9.70% | 0% to 9.70% | 0% to 9.70% |
| SSJA Bariatric Management LLC | First Lien Debt | 9.70% | 0% to 9.70% | 0% to 9.70% |
| SSJA Bariatric Management LLC | First Lien Debt (Revolver) | 9.70% | 0% to 9.70% | 0% to 9.70% |
| Wellful Inc. (F/K/A KNS Acquisition Corp.) | First Lien Debt | 1.75% | 0% to 1.75% | 8.94% to 10.69% |

---

(12)Represents expiration date of the warrants.

(13)All or a portion of investment held by a wholly owned subsidiary subject to income tax.

(14)Fair value was determined by reference to observable inputs other than quoted prices in active markets and are considered Level 2 under GAAP. See **Note 5** for further details.

(15)Investments (or a portion thereof) held by OFSCC-FS. These assets are pledged as collateral of the BNP Facility and cannot be pledged under any debt obligation of the Parent.

(16)Non-qualifying assets under Section 55(a) of the 1940 Act. Qualifying assets as defined in Section 55 of the 1940 Act must represent at least 70% of the Company's assets immediately following the acquisition of any additional non-qualifying assets. As of June 30, 2025, approximately 80% of the Company's assets were qualifying assets.

(17)Equity participation rights issued by an unaffiliated third party fully covered with underlying positions in the portfolio company.

(18)Not meaningful as there is no outstanding balance on the revolver or delayed draw facility. The Company generally earns unfunded commitment fees on undrawn revolving lines of credit balances, which are reported in fee income.

(19)The Company holds at least one seat on the portfolio company's board of directors.

(20)The Company has an observer seat on the portfolio company's board of directors.

(21)Represents cash collateral to secure a performance bond issued by a surety company for a construction project contract of the portfolio company. Any amount of the cash collateral withdrawn by the surety company will automatically become a first lien obligation under the credit agreement and have priority over the existing first lien debt of the portfolio company. In consideration of the cash collateral, the portfolio company is paying a 7.50% fee on the funded collateral amount, consistent with the interest rate on the existing first lien debt. The agreement terminates, and the cash collateral will be repaid, upon the completion of the project.

See Notes to Consolidated Financial Statements (unaudited).

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments**

**December 31, 2024**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above<br>Index (2)** | **Spread Above<br>Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal <br>Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of<br>Net Assets** |
| **<u>Non-control/Non-affiliate Investments</u>** | **<u>Non-control/Non-affiliate Investments</u>** | **<u>Non-control/Non-affiliate Investments</u>** | | | | | | | | |
| *24 Seven Holdco, LLC (15)* | Temporary Help Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 10.50% | SOFR+ | 6.00% | 1/28/2022 | 11/16/2027 | $8730 | $8698 | $8730 | 5.1% |
| *AIDC IntermediateCo 2, LLC (15)* | Computer Systems Design Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 9.59% | SOFR+ | 5.25% | 7/22/2022 | 7/22/2027 | 1960 | 1935 | 1960 | 1.1 |
| First Lien Debt |  | 9.61% | SOFR+ | 5.25% | 7/31/2023 | 7/22/2027 | 46 | 45 | 46 |  |
|  |  |  |  |  |  |  | 2006 | 1980 | 2006 | 1.1 |
| *Allen Media, LLC (15)* | Cable and Other Subscription Programming |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 9.98% | SOFR+ | 5.50% | 3/2/2021 | 2/10/2027 | 3691 | 3688 | 2596 | 1.5 |
| *Associated Spring, LLC (15)* | Spring Manufacturing |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 10.33% | SOFR+ | 5.75% | 12/10/2024 | 4/4/2030 | 2276 | 2231 | 2231 | 1.3 |
| First Lien Debt (Delayed Draw) (5) |  | n/m (18) | SOFR+ | 5.75% | 12/10/2024 | 4/4/2030 |  | (9) | (9) |  |
|  |  |  |  |  |  |  | 2276 | 2222 | 2222 | 1.3 |
| *Avison Young Inc. (8) (15)* | Nonresidential Property Managers |  |  |  |  |  |  |  |  |  |
| First Lien Debt (11) |  | 6.15% cash / 6.50% PIK | SOFR+ | 8.00% | 11/25/2021 | 3/12/2029 | 1564 | 1564 | 1405 | 0.8 |
| First Lien Debt (6) (10) (11) |  | 6.15% cash / 6.50% PIK | SOFR+ | 8.00% | 11/25/2021 | 3/12/2029 | 527 | 474 | 197 | 0.1 |
| Common Equity (1,185 Class B units) (10) (13) |  |  |  |  | 3/12/2024 |  |  | 1400 |  |  |
| Preferred Equity (1,715 Class A units) 12.5% PIK (10) (13) |  |  |  |  | 3/12/2024 |  |  | 1269 |  |  |
|  |  |  |  |  |  |  | 2091 | 4707 | 1602 | 0.9 |
| *BayMark Health Services, Inc. (15)* | Outpatient Mental Health and Substance Abuse Centers |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 13.09% | SOFR+ | 8.50% | 6/10/2021 | 6/11/2028 | 4962 | 4925 | 4645 | 2.7 |
| Second Lien Debt |  | 13.12% | SOFR+ | 8.50% | 6/10/2021 | 6/11/2028 | 3988 | 3957 | 3733 | 2.2 |
|  |  |  |  |  |  |  | 8950 | 8882 | 8378 | 4.9 |
| *BCPE North Star US Holdco 2, Inc. (F/K/A Dessert Holdings)* | Ice Cream and Frozen Dessert Manufacturing |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 11.72% | SOFR+ | 7.25% | 2/2/2022 | 6/8/2029 | 3667 | 3407 | 3546 | 2.1 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments**

**December 31, 2024**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above<br>Index (2)** | **Spread Above<br>Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal <br>Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of<br>Net Assets** |
| *Boca Home Care Holdings, Inc. (19)* | Services for the Elderly and Persons with Disabilities |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 10.96% | SOFR+ | 6.50% | 2/25/2022 | 2/25/2027 | $9627 | $9568 | $9560 | 5.6% |
| First Lien Debt (Revolver) (5) |  | n/m (18) | SOFR+ | 6.50% | 2/25/2022 | 2/25/2027 |  | (7) | (9) |  |
| Common Equity (1,290 Class A units) (10) |  |  |  |  | 2/25/2022 |  |  | 1290 | 679 | 0.4 |
| Preferred Equity (3,446 Class A Units), 12.0% cash / 2.0% PIK |  |  |  |  | 3/3/2023 |  |  | 345 | 358 | 0.2 |
|  |  |  |  |  |  |  | 9627 | 11196 | 10588 | 6.2 |
| *Clevertech Bidco, LLC* | Commodity Contracts Dealing |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 11.23% | SOFR+ | 6.75% | 11/3/2023 | 12/30/2027 | 3166 | 3097 | 3124 | 1.8 |
| First Lien Debt (Revolver) (5) |  | n/m (18) | SOFR+ | 6.75% | 11/3/2023 | 12/30/2027 |  | (6) | (4) |  |
|  |  |  |  |  |  |  | 3166 | 3091 | 3120 | 1.8 |
| *Constellis Holdings, LLC (10)* | Other Justice, Public Order, and Safety Activities |  |  |  |  |  |  |  |  |  |
| Common Equity (20,628 common shares) |  |  |  |  | 3/27/2020 |  |  | 703 | 61 |  |
| *Convergint Technologies Holdings, LLC* | Security Systems Services (except Locksmiths) |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 11.22% | SOFR+ | 6.75% | 9/28/2018 | 3/30/2029 | 5938 | 5878 | 5938 | 3.4 |
| *Creation Technologies Inc. (8) (15)* | Bare Printed Circuit Board Manufacturing |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 10.35% | SOFR+ | 5.50% | 9/24/2021 | 10/5/2028 | 1950 | 1942 | 1915 | 1.1 |
| *East West Manufacturing LLC (15)* | Fluid Power Pump and Motor Manufacturing |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 10.11% | SOFR+ | 5.75% | 2/11/2022 | 12/22/2028 | 1910 | 1899 | 1910 | 1.1 |
| *Envocore Holding, LLC (F/K/A LRI Holding, LLC) (17)* | Electrical Contractors and Other Wiring Installation Contractors |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 7.50% | N/A |  | 6/30/2017 | 12/31/2025 | 6231 | 6231 | 6231 | 3.6 |
| First Lien Debt (Revolver) (5) |  | 7.50% | N/A |  | 11/29/2021 | 12/31/2025 | 899 | 899 | 899 | 0.5 |
| Second Lien Debt (6) (10) |  | 10.00% PIK | N/A |  | 6/30/2017 | 12/31/2026 | 8677 | 6584 | 2018 | 1.2 |
| Equity Participation Rights (7) (10) |  |  |  |  | 12/31/2021 |  |  | 4722 |  |  |
|  |  |  |  |  |  |  | 15807 | 18436 | 9148 | 5.3 |
| *Excelin Home Health, LLC* | Home Health Care Services |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 18.00% PIK | N/A |  | 10/25/2018 | 10/1/2026 | 5955 | 5891 | 4913 | 2.9 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments**

**December 31, 2024**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above<br>Index (2)** | **Spread Above<br>Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal <br>Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of<br>Net Assets** |
| *First Brands Group, LLC (14) (15)* | Other Motor Vehicle Parts Manufacturing |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 9.85% | SOFR+ | 5.00% | 8/23/2024 | 3/30/2027 | $3343 | $3300 | $3148 | 1.8% |
| First Lien Debt |  | 9.85% | SOFR+ | 5.00% | 8/26/2024 | 3/30/2027 | 1632 | 1614 | 1533 | 0.9 |
|  |  |  |  |  |  |  | 4975 | 4914 | 4681 | 2.7 |
| *GGC Aerospace Topco L.P. (10)* | Other Aircraft Parts and Auxiliary Equipment Manufacturing |  |  |  |  |  |  |  |  |  |
| Common Equity (368,852 Class A units) |  |  |  |  | 12/29/2017 |  |  | 450 |  |  |
| Common Equity (40,984 Class B units) |  |  |  |  | 12/29/2017 |  |  | 50 |  |  |
|  |  |  |  |  |  |  |  | 500 |  |  |
| *GoTo Group (F/K/A LogMeIn, Inc.) (14) (15)* | Data Processing, Hosting, and Related Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 9.30% | SOFR+ | 4.75% | 3/26/2021 | 4/28/2028 | 936 | 936 | 855 | 0.5 |
| First Lien Debt |  | 9.30% | SOFR+ | 4.75% | 3/26/2021 | 4/28/2028 | 1293 | 1292 | 594 | 0.3 |
|  |  |  |  |  |  |  | 2229 | 2228 | 1449 | 0.9 |
| *Heritage Grocers Group, LLC. (F/K/A Tony's Fresh Market / Cardenas Markets) (14) (15)* | Supermarkets and Other Grocery (except Convenience) Stores |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 11.18% | SOFR+ | 6.75% | 7/20/2022 | 8/1/2029 | 9000 | 8813 | 8591 | 5.0 |
| *Honor HN Buyer Inc* | Services for the Elderly and Persons with Disabilities |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 10.23% | SOFR+ | 5.75% | 10/15/2021 | 10/15/2027 | 6400 | 6341 | 6400 | 3.7 |
| First Lien Debt (15) |  | 10.23% | SOFR+ | 5.75% | 10/15/2021 | 10/15/2027 | 4047 | 4004 | 4047 | 2.4 |
| First Lien Debt (Revolver) (5) |  | 12.25% | Prime+ | 4.75% | 10/15/2021 | 10/15/2027 | 95 | 88 | 95 | 0.1 |
| First Lien Debt (15) |  | 10.23% | SOFR+ | 5.75% | 3/31/2023 | 10/15/2027 | 4503 | 4469 | 4503 | 2.6 |
| First Lien Debt (Delayed Draw) (5) (15) |  | n/m (18) | SOFR+ | 5.75% | 10/15/2024 | 10/15/2026 |  | (22) |  |  |
|  |  |  |  |  |  |  | 15045 | 14880 | 15045 | 8.8 |
| *Idera Inc.* | Computer and Computer Peripheral Equipment and Software Merchant Wholesalers |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 11.47% | SOFR+ | 6.75% | 1/27/2022 | 3/2/2029 | 2683 | 2683 | 2683 | 1.6 |
| *Inergex Holdings, LLC (11)* | Other Computer Related Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 11.47% cash / 2.00% PIK | SOFR+ | 7.00% | 10/1/2018 | 10/1/2026 | 14784 | 14658 | 14784 | 8.6 |
| First Lien Debt (Revolver) |  | 11.74% cash / 2.00% PIK | SOFR+ | 7.00% | 10/1/2018 | 10/1/2026 | 2344 | 2344 | 2344 | 1.4 |
|  |  |  |  |  |  |  | 17128 | 17002 | 17128 | 10.0 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments**

**December 31, 2024**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above<br>Index (2)** | **Spread Above<br>Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal <br>Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of<br>Net Assets** |
| *Ivanti Software, Inc. (14) (15)* | Software Publishers |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 9.12% | SOFR+ | 4.25% | 3/26/2021 | 12/1/2027 | $2903 | $2908 | $2014 | 1.2% |
| *JP Intermediate B, LLC (6) (15)* | Drugs and Druggists' Sundries Merchant Wholesalers |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 14.00% | Prime+ | 6.50% | 1/14/2021 | 11/20/2027 | 4638 | 4491 | 2102 | 1.2 |
| *Kreg LLC* | Other Ambulatory Health Care Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt (11) (15) |  | 8.73% cash / 2.50% PIK | SOFR+ | 4.25% | 12/20/2021 | 12/20/2026 | 17582 | 17533 | 16720 | 9.7 |
| First Lien Debt (Revolver) (5) |  | n/m (18) | SOFR+ | 6.25% | 12/20/2021 | 12/20/2026 |  | (4) | (66) |  |
|  |  |  |  |  |  |  | 17582 | 17529 | 16654 | 9.7 |
| *Medrina LLC* | All Other Outpatient Care Centers |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 10.44% | SOFR+ | 6.00% | 10/20/2023 | 10/20/2029 | 2212 | 2167 | 2234 | 1.3 |
| First Lien Debt (Delayed Draw) (5) (15) |  | n/m (18) | SOFR+ | 6.00% | 10/20/2023 | 10/20/2029 |  | (1) | 4 |  |
| First Lien Debt (Revolver) (5) |  | n/m (18) | SOFR+ | 6.00% | 10/20/2023 | 10/20/2029 |  | (6) |  |  |
|  |  |  |  |  |  |  | 2212 | 2160 | 2238 | 1.3 |
| *Metasource, LLC (15)* | All Other Business Support Services |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 10.84% cash / 0.50% PIK | SOFR+ | 6.25% | 5/17/2022 | 5/17/2027 | 2741 | 2708 | 2593 | 1.5 |
| *One GI LLC* | Offices of Other Holding Companies |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 11.21% | SOFR+ | 6.75% | 12/13/2021 | 12/22/2025 | 7356 | 7320 | 7143 | 4.1 |
| First Lien Debt (15) |  | 11.21% | SOFR+ | 6.75% | 12/13/2021 | 12/22/2025 | 3877 | 3857 | 3764 | 2.2 |
| First Lien Debt (Revolver) |  | 11.25% | SOFR+ | 6.75% | 12/13/2021 | 12/22/2025 | 1444 | 1437 | 1403 | 0.8 |
|  |  |  |  |  |  |  | 12677 | 12614 | 12310 | 7.1 |
| *Planet Bingo, LLC (F/K/A 3rd Rock Gaming Holdings, LLC) (6)* | Software Publishers |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 6.50% | N/A |  | 3/13/2018 | 12/31/2026 | 16648 | 14113 | 7159 | 4.2 |
| *PM Acquisition LLC* | All Other General Merchandise Stores |  |  |  |  |  |  |  |  |  |
| Common Equity (499 units) (10) |  |  |  |  | 9/30/2017 |  |  | 499 | 1196 | 0.7 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments**

**December 31, 2024**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above<br>Index (2)** | **Spread Above<br>Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal <br>Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of<br>Net Assets** |
| *Redstone Holdco 2 LP (F/K/A RSA Security) (15)* | Computer and Computer Peripheral Equipment and Software Merchant Wholesalers |  |  |  |  |  |  |  |  |  |
| First Lien Debt (14) |  | 9.60% | SOFR+ | 4.75% | 4/16/2021 | 4/27/2028 | $1715 | $1710 | $1039 | 0.6% |
| Second Lien Debt |  | 12.60% | SOFR+ | 7.75% | 4/16/2021 | 4/27/2029 | 4450 | 4415 | 2563 | 1.5 |
|  |  |  |  |  |  |  | 6165 | 6125 | 3602 | 2.1 |
| *RPLF Holdings, LLC (10) (13)* | Software Publishers |  |  |  |  |  |  |  |  |  |
| Common Equity (345,339 Class A units) |  |  |  |  | 1/17/2018 |  |  |  | 1834 | 1.1 |
| *RumbleOn, Inc. (8) (15)* | Other Industrial Machinery Manufacturing |  |  |  |  |  |  |  |  |  |
| First Lien Debt (11) |  | 12.10% Cash / 1.50% PIK | SOFR+ | 8.75% | 8/31/2021 | 8/31/2026 | 2609 | 2549 | 2476 | 1.4 |
| First Lien Debt (11) |  | 12.10% Cash / 1.50% PIK | SOFR+ | 8.75% | 8/31/2021 | 8/31/2026 | 787 | 778 | 747 | 0.4 |
| Warrants (warrants to purchase up to $218,000 in common stock) (10) |  |  |  |  | 8/31/2021 | 8/14/2028 (12) |  | 200 | 34 |  |
|  |  |  |  |  |  |  | 3396 | 3527 | 3257 | 1.8 |
| *Sentry Centers Holdings, LLC (10) (13)* | Other Professional, Scientific, and Technical Services |  |  |  |  |  |  |  |  |  |
| Preferred Equity (1,603 Series B units) |  |  |  |  | 9/4/2020 |  |  | 160 | 1 |  |
| *Signal Parent, Inc. (14) (15)* | New Single-Family Housing Construction (except For-Sale Builders) |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 7.96% | SOFR+ | 3.50% | 3/25/2021 | 4/3/2028 | 1785 | 1776 | 1605 | 0.9 |
| *SS Acquisition, LLC (19)* | Sports and Recreation Instruction |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 10.35% | SOFR+ | 6.00% | 12/20/2024 | 12/20/2029 | 16964 | 16880 | 16880 | 9.8 |
| First Lien Debt (Revolver) (5) |  | n/m (18) | SOFR+ | 6.00% | 12/20/2024 | 12/20/2029 |  | (9) | (9) |  |
|  |  |  |  |  |  |  | 16964 | 16871 | 16871 | 9.8 |
| *SSJA Bariatric Management LLC (10) (15) (19)* | Offices of Physicians, Mental Health Specialists |  |  |  |  |  |  |  |  |  |
| First Lien Debt (6) |  | 9.73% | SOFR+ | 5.25% | 8/26/2019 | 4/30/2025 | 10649 | 9563 | 6624 | 3.8 |
| First Lien Debt (6) |  | 9.73% | SOFR+ | 5.25% | 12/31/2020 | 4/30/2025 | 1151 | 1033 | 716 | 0.4 |
| First Lien Debt (6) |  | 9.73% | SOFR+ | 5.25% | 12/8/2021 | 4/30/2025 | 2899 | 2600 | 1803 | 1.0 |
| First Lien Debt (Revolver) (6) |  | 9.73% | SOFR+ | 5.25% | 8/26/2019 | 4/30/2025 | 297 | 266 | 185 | 0.1 |
| Common Equity (867,591 Class F units) (13) |  |  |  |  | 4/10/2024 |  |  |  |  |  |
|  |  |  |  |  |  |  | 14996 | 13462 | 9328 | 5.3 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments**

**December 31, 2024**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above<br>Index (2)** | **Spread Above<br>Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal <br>Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of<br>Net Assets** |
| *Staples, Inc. (14) (15)* | Business to Business Electronic Markets |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 10.18% | SOFR+ | 5.75% | 5/23/2024 | 9/4/2029 | $2565 | $2473 | $2458 | 1.4% |
| *Tolemar Acquisition, Inc.* | Motorcycle, Bicycle, and Parts Manufacturing |  |  |  |  |  |  |  |  |  |
| First Lien Debt (15) |  | 10.46% Cash / 1.00% PIK | SOFR+ | 6.00% | 10/14/2021 | 10/14/2026 | 15302 | 15248 | 14460 | 8.4 |
| First Lien Debt (Revolver) (5) |  | 10.55% | SOFR+ | 6.00% | 10/14/2021 | 10/14/2026 | 1029 | 1024 | 944 | 0.5 |
|  |  |  |  |  |  |  | 16331 | 16272 | 15405 | 8.9 |
| *TruGreen Limited Partnership* | Landscaping Services |  |  |  |  |  |  |  |  |  |
| Second Lien Debt |  | 13.35% | SOFR+ | 8.50% | 5/13/2021 | 11/2/2028 | 4500 | 4573 | 4293 | 2.5 |
| *United Biologics Holdings, LLC (10) (13)* | Medical Laboratories |  |  |  |  |  |  |  |  |  |
| Preferred Equity (4,701 units) |  |  |  |  | 4/16/2013 |  |  | 9 |  |  |
| *Wellful Inc. (F/K/A KNS Acquisition Corp.) (15)* | Electronic Shopping and Mail-Order Houses |  |  |  |  |  |  |  |  |  |
| First Lien Debt |  | 9.48% | SOFR+ | 5.00% | 12/19/2024 | 4/19/2030 | 2844 | 2844 | 2844 | 1.7 |
| First Lien Debt |  | 10.72% | SOFR+ | 6.25% | 4/16/2021 | 10/19/2030 | 4354 | 4354 | 4354 | 2.5 |
|  |  |  |  |  |  |  | 7198 | 7198 | 7198 | 4.2 |
| **Total Debt and Equity Investments** |  |  |  |  |  |  | $260122 | $263106 | $228367 | 132.6% |
| **Structured Finance Securities (8)** |  |  |  |  |  |  |  |  |  |  |
| *Apex Credit CLO 2020 Ltd. (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 18.21% | N/A |  | 11/16/2020 | 4/20/2035 | $11080 | $9388 | $7717 | 4.5% |
| *Apex Credit CLO 2021 Ltd. (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 18.66% | N/A |  | 5/28/2021 | 7/18/2034 | 8630 | 6400 | 5282 | 3.1 |
| *Apex Credit CLO 2022-1 Ltd. (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 13.26% | N/A |  | 4/28/2022 | 4/22/2033 | 10726 | 8598 | 6213 | 3.6 |
| *Battalion CLO XI Ltd.* |  |  |  |  |  |  |  |  |  |  |
| Mezzanine Debt - Class E |  | 11.75% | SOFR+ | 6.85% | 4/24/2022 | 4/24/2034 | 6000 | 5981 | 5659 | 3.3 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments**

**December 31, 2024**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above<br>Index (2)** | **Spread Above<br>Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal <br>Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of<br>Net Assets** |
| *BlueMountain CLO XXXV Ltd. (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 15.30% | N/A |  | 10/30/2024 | 10/22/2037 | $5800 | $4270 | $4217 | 2.4% |
| *Brightwood Capital MM CLO 2023-1, Ltd.* |  |  |  |  |  |  |  |  |  |  |
| Mezzanine Debt - Class E |  | 15.02% | SOFR+ | 10.36% | 9/28/2023 | 10/15/2035 | 2133 | 1965 | 2177 | 1.3 |
| Subordinated Notes (9) (16) |  | 11.91% | N/A |  | 9/28/2023 | 10/15/2035 | 5494 | 4960 | 4461 | 2.6 |
|  |  |  |  |  |  |  | 7627 | 6924 | 6638 | 3.9 |
| *Canyon CLO 2019-1, Ltd. (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 23.97% | N/A |  | 8/22/2024 | 7/15/2037 | 18453 | 9492 | 10296 | 6.0 |
| *Dryden 76 CLO, Ltd. (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 10.31% | N/A |  | 9/27/2019 | 10/15/2037 | 5352 | 3131 | 2210 | 1.3 |
| *ICG US CLO 2021-3, Ltd. (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 30.03% | N/A |  | 8/8/2024 | 10/20/2034 | 16750 | 8082 | 9734 | 5.7 |
| *LCM 42 Ltd. (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 16.91% | N/A |  | 12/19/2024 | 1/15/2038 | 3500 | 2993 | 2993 | 1.7 |
| *Madison Park Funding XXIII, Ltd. (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 12.68% | N/A |  | 1/8/2020 | 7/27/2047 | 10000 | 4559 | 4140 | 2.4 |
| *Madison Park Funding XXIX, Ltd. (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 6.34% | N/A |  | 12/22/2020 | 10/18/2047 | 9500 | 4866 | 3604 | 2.1 |
| *Monroe Capital MML CLO X, Ltd.* |  |  |  |  |  |  |  |  |  |  |
| Mezzanine Debt - Class E-R |  | 13.27% | SOFR+ | 8.75% | 4/22/2022 | 5/20/2034 | 1000 | 978 | 1000 | 0.6 |
| *Octagon Investment Partners 39, Ltd. (4) (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 0.00% | N/A |  | 1/23/2020 | 10/20/2030 | 7000 | 2997 | 1234 | 0.7 |
| *Park Avenue Institutional Advisers CLO Ltd. 2021-1* |  |  |  |  |  |  |  |  |  |  |
| Mezzanine Debt - Class D |  | 12.18% | SOFR+ | 7.30% | 1/26/2021 | 1/20/2034 | 1000 | 986 | 998 | 0.6 |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments**

**December 31, 2024**

**(Dollar amounts in thousands)**

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)<br>Investment Type** | **Industry** | **Interest Rate (2)** | **Spread Above<br>Index (2)** | **Spread Above<br>Index (2)** | **Initial Acquisition Date** | **Maturity** | **Principal <br>Amount** | **Amortized Cost** | **Fair Value (3)** | **Percent of<br>Net Assets** |
| *THL Credit Wind River 2019-3 CLO Ltd. (4) (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 0.00% | N/A |  | 4/5/2019 | 4/15/2031 | $7000 | $3923 | $1618 | 0.9% |
| *Trinitas CLO VIII, Ltd. (4) (9) (16)* |  |  |  |  |  |  |  |  |  |  |
| Subordinated Notes |  | 0.00% | N/A |  | 3/4/2021 | 7/20/2117 | 5200 | 2464 | 582 | 0.3 |
| *Venture 45 CLO, Limited* |  |  |  |  |  |  |  |  |  |  |
| Mezzanine Debt - Class E |  | 12.32% | SOFR+ | 7.70% | 4/18/2022 | 7/20/2035 | 3000 | 2952 | 2739 | 1.6 |
| **Total Structured Finance Securities** |  |  |  |  |  |  | $137618 | $88983 | $76875 | 44.6% |
| **Total Non-control/Non-affiliate Investments** |  |  |  |  |  |  | $397740 | $352089 | $305242 | 177.2% |
| **Affiliate Investments** |  |  |  |  |  |  |  |  |  |  |
| *Contract Datascan Holdings, Inc. (19)* | Office Machinery and Equipment Rental and Leasing |  |  |  |  |  |  |  |  |  |
| Preferred Equity (3,061 Series A shares) 10% PIK |  |  |  |  | 8/5/2015 |  |  | $8407 | $11890 | 6.9% |
| Common Equity (11,273 shares) (10) |  |  |  |  | 6/28/2016 |  |  | 104 | 441 | 0.3 |
|  |  |  |  |  |  |  |  | 8511 | 12331 | 7.2 |
| *DRS Imaging Services, LLC (10) (13) (19)* | Data Processing, Hosting, and Related Services |  |  |  |  |  |  |  |  |  |
| Common Equity (1,135 units) |  |  |  |  | 3/8/2018 |  |  | 1135 | 1190 | 0.7 |
| *Pfanstiehl Holdings, Inc. (19) (20)* | Pharmaceutical Preparation Manufacturing |  |  |  |  |  |  |  |  |  |
| Common Equity (400 Class A shares) |  |  |  |  | 1/1/2014 |  |  | 217 | 89298 | 51.8% |
| *TalentSmart Holdings, LLC (10) (13) (19)* | Professional and Management Development Training |  |  |  |  |  |  |  |  |  |
| Common Equity (1,595,238 Class A shares) |  |  |  |  | 10/11/2019 |  |  | 1595 | 1604 | 0.9 |
| **Total Affiliate Investments** |  |  |  |  |  |  |  | $11458 | $104423 | 60.6% |
| **Total Investments** |  |  |  |  |  |  | $397740 | $363547 | $409665 | 237.9% |

---

------

**OFS Capital Corporation and Subsidiaries**

**Consolidated Schedule of Investments**

**December 31, 2024**

**(Dollar amounts in thousands)**

(1)Equity ownership may be held in shares or units of companies affiliated with the portfolio company. The Company's investments are generally classified as "restricted securities" as such term is defined under Regulation S-X Rule 6-03(f) or Securities Act Rule 144.

(2)As of December 31, 2024, the Company held loans and mezzanine debt investments with an aggregate fair value of $215,559 that bore interest at a variable rate indexed to SOFR or Prime, and reset monthly, quarterly, or semi-annually. For each variable-rate investment, the Company has provided the spread over the reference rate and current interest rate in effect as of December 31, 2024. Unless otherwise noted, all investments with a stated PIK rate require interest payments with the issuance of additional securities as payment of the entire PIK provision.

(3)Unless otherwise noted with footnote 14, fair value was determined using significant unobservable inputs for all of the Company's investments and are considered Level 3 under GAAP. See **Note 5** for further details.

(4)As of December 31, 2024, the effective accretable yield was estimated to be 0%, as the aggregate amount of projected distributions, including projected distributions related to liquidation of the underlying portfolio upon the security's anticipated optional redemption, was less than current amortized cost. Projected distributions are periodically monitored and re-evaluated. All actual distributions were recognized as reductions to amortized cost until such time, if and when occurring, a future aggregate amount of then-projected distributions exceeds the security's then-current amortized cost.

(5)Subject to unfunded commitments. The Company considers undrawn amounts in the determination of fair value on revolving lines of credit and delayed draw term loans. See **Note 6**.

(6)Investment was on non-accrual status as of December 31, 2024, meaning the Company suspended recognition of all or a portion of income on the investment. See **Note 4** for further details.

(7)Equity participation rights issued by unaffiliated third party fully covered with underlying positions in the portfolio company.

(8)Non-qualifying assets under Section 55(a) of the 1940 Act. Qualifying assets as defined in Section 55 of the 1940 Act must represent at least 70% of the Company's assets immediately following the acquisition of any additional non-qualifying assets. As of December 31, 2024, approximately 80% of the Company's assets were qualifying assets.

(9)The rate disclosed on subordinated note investments is the estimated effective yield, generally established at purchase, and reevaluated upon the receipt of the initial distribution and each subsequent quarter thereafter. The estimated effective yield is based upon projected amounts and timing of future distributions and the projected amounts and timing of terminal principal payments at the time of estimation. The estimated effective yield and investment cost may ultimately not be realized. Projected cash flows, including the amounts and timing of terminal principal payments, which generally are projected to occur prior to the contractual maturity date, were utilized in deriving the effective yield of the investments.

(10)Non-income producing.

(11)The interest rate on these investments contains a PIK provision, whereby the issuer has the option to make interest payments in cash or with the issuance of additional securities as payment of the entire PIK provision. The interest rate in the schedule represents the current interest rate in effect for these investments. The following table provides additional details on these PIK investments, including the maximum annual PIK interest rate allowed as of December 31, 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Portfolio Company** | **Investment Type** | **Maximum PIK<br>Rate Allowed** | **Range of PIK<br>Option** | **Range of Cash<br>Option** |
| Avison Young Inc. | First Lien Debt | 6.50% | 0% to 6.50% | 6.15% to 12.65% |
| Avison Young Inc. | First Lien Debt | 6.50% | 0% to 6.50% | 6.15% to 12.65% |
| Inergex Holdings, LLC | First Lien Debt | 2.00% | 0% to 2.00% | 11.47% to 13.47% |
| Inergex Holdings, LLC | First Lien Debt (Revolver) | 2.00% | 0% to 2.00% | 11.74% to 13.74% |
| Kreg LLC | First Lien Debt | 2.50% | 0% to 2.00% | 8.73% to 10.73% |
| RumbleOn, Inc. | First Lien Debt | 1.50% | 0% to 1.50% | 12.10% to 13.60% |
| RumbleOn, Inc. | First Lien Debt | 1.50% | 0% to 1.50% | 12.10% to 13.60% |

---

(12)Represents expiration date of the warrants.

(13)All or a portion of investment held by a wholly owned subsidiary subject to income tax.

(14)Fair value was determined by reference to observable inputs other than quoted prices in active markets and are considered Level 2 under GAAP. See **Note 5** for further details.

(15)Investments (or a portion thereof) held by OFSCC-FS. These assets are pledged as collateral of the BNP Facility and cannot be pledged under any other debt obligation of the Company.

(16)Amortized cost reflects accretion of effective yield less any cash distributions received or entitled to be received from CLO subordinated note investments. CLO subordinated note positions are entitled to recurring distributions, which are generally equal to the residual cash flow of payments received on underlying securities less contractual payments to debt holders and fund expenses.

(17)The Company holds at least one seat on the portfolio company's board of directors.

(18)Not meaningful as there is no outstanding balance on the revolver or delayed draw loan. The Company earns unfunded commitment fees on undrawn revolving lines of credit balances, which are reported in fee income.

(19)The Company has an observer seat on the portfolio company's board of directors.

(20)Portfolio company at fair value represents greater than 5% of total assets at December 31, 2024.

See Notes to Consolidated Financial Statements.

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

**Note 1. Organization**

OFS Capital Corporation, a Delaware corporation, is an externally managed, closed-end, non-diversified management investment company. The Company has elected to be regulated as a BDC under the 1940 Act. In addition, for income tax purposes, the Company has elected to be treated, and intends to qualify annually, as a RIC under Subchapter M of the Code.

The Company's investment objective is to provide stockholders with both current income and capital appreciation primarily through debt investments and, to a lesser extent, equity investments.

OFS Advisor manages the day-to-day operations of, and provides investment advisory services to, the Company. In addition, OFS Advisor serves as the investment adviser to HPCI, a non-traded BDC with an investment strategy and objective similar to that of the Company. OFS Advisor also serves as the investment adviser to OCCI, a non-diversified, externally managed, closed-end management investment company that is registered as an investment company under the 1940 Act and that primarily invests in Structured Finance Securities. Additionally, OFS Advisor serves as the investment adviser to separately-managed accounts and sub-advisor to investment companies managed by an affiliate.

The Company may make investments directly or through one or more of its subsidiaries: OFSCC-FS, SBIC I LP or OFSCC-MB.

OFSCC-FS, an indirect wholly owned and consolidated subsidiary of the Company, is a special-purpose vehicle formed in April 2019 for the purpose of acquiring senior secured loan investments. OFSCC-FS has debt financing through its BNP Facility, which provides OFSCC-FS with borrowing capacity of up to $150,000, subject to a borrowing base and other covenants, and the reinvestment period in effect.

SBIC I LP is an investment company subsidiary previously licensed under the SBA's small business investment company program that was subject to SBA regulations and policies. On March 1, 2024, SBIC I LP fully repaid its outstanding SBA debentures and, on April 17, 2024, surrendered its license to operate as a SBIC.

OFSCC-MB is a wholly owned and consolidated subsidiary taxed under subchapter C of the Code that generally holds the Company's equity investments in portfolio companies that are taxed as pass-through entities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Note 2. Summary of Significant Accounting Policies**

**Basis of presentation:** The Company is an investment company as defined in the accounting and reporting guidance under ASC Topic 946, *Financial Services–Investment Companies*. The accompanying interim consolidated financial statements of the Company and related financial information have been prepared in accordance with GAAP for interim financial information and pursuant to the requirements for reporting on Form 10-Q, and Articles 6, 10 and 12 of Regulation S-X. Accordingly, they do not include all of the information and notes required by GAAP for annual financial statements. However, in the opinion of management, the consolidated financial statements include all adjustments, consisting only of normal and recurring accruals and adjustments, necessary for fair presentation as of, and for, the periods presented. These consolidated financial statements and notes hereto should be read in conjunction with the consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2024, filed on March 4, 2025. The results of operations for any interim period are not necessarily indicative of the results of operations to be expected for the full year.

**Significant Accounting Policies:** The following information supplements the description of significant accounting policies contained in Note 2 to the Company's consolidated financial statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2024.

**Reclassifications:** Certain prior period amounts have been reclassified to conform to the current period presentation in the consolidated financial statements and the accompanying notes thereto. Reclassifications did not impact net increase (decrease) in net assets resulting from operations, total assets, total liabilities or total net assets, or consolidated statements of changes in net assets and consolidated statements of cash flows classifications.

**Use of estimates:** The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ significantly from those estimates.

**Concentration of credit risk:** Aside from the Company's investments, financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash deposits at financial institutions. At various times during the year, the Company exceeds the federally insured limits. The Company places cash deposits only with high credit quality

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

institutions which OFS Advisor believes will mitigate the risk of loss due to credit risk. If borrowers completely fail to perform according to the terms of the contracts, the amount of loss due to credit risk from the Company's investments is equal to the sum of the Company's recorded investments and the unfunded commitments disclosed in **Note 6**.

**Cash and cash equivalents:** The Company's cash and cash equivalent balances are maintained with a member bank of the FDIC, and such balances generally exceed the FDIC insurance limit. The Company does not believe its cash and cash equivalent balances are exposed to any significant credit risk. Cash and cash equivalent balances are held in U.S. Bank Trust Company, National Association and Citibank N.A. money market deposit accounts. In addition, the Company's use of cash and cash equivalents held by OFSCC-FS is limited by the terms and conditions of the BNP Facility, including but not limited to, the payment of interest expense and principal on the outstanding borrowings.

**Note 3. Related Party Transactions**

**Investment Advisory and Management Agreement:** OFS Advisor manages the day-to-day operations of, and provides investment advisory services to, the Company pursuant to the Investment Advisory Agreement. The continuation of the Investment Advisory Agreement was most recently approved by the Board on April 3, 2025. Under the terms of the Investment Advisory Agreement, which are in accordance with the 1940 Act and subject to the overall supervision of the Board, OFS Advisor is responsible for sourcing potential investments, conducting research and diligence on potential investments and equity sponsors, analyzing investment opportunities, structuring investments, and monitoring investments and portfolio companies on an ongoing basis.

OFS Advisor's services under the Investment Advisory Agreement are not exclusive to the Company and OFS Advisor is free to furnish similar services to other entities, including other funds affiliated with OFS Advisor, so long as its services to the Company are not impaired. OFS Advisor also serves as the investment adviser or sub-adviser to various clients, including HPCI and OCCI.

OFS Advisor receives fees for providing services to the Company, consisting of two components: a base management fee and an incentive fee. The base management fee is calculated at an annual rate of 1.75% and based on the average value of the Company's total assets (other than cash and cash equivalents but including assets purchased with borrowed amounts and assets owned by any consolidated entity) at the end of the two most recently completed calendar quarters, adjusted for any share issuances or repurchases during the quarter.

For the years ended December 31, 2025 and 2024, OFS Advisor agreed to reduce its base management fee attributable to all of the OFSCC-FS Assets to 0.25% per quarter (1.00% annualized) of the average value of the OFSCC-FS Assets (other than cash and cash equivalents but including assets purchased with borrowed amounts) at the end of the two most recently completed calendar quarters. OFS Advisor's base management fee reduction is renewable on an annual basis, and OFS Advisor is not entitled to recoup the amount of the base management fee reduced with respect to the OFSCC-FS Assets. OFS Advisor most recently renewed the agreement to reduce its base management fee for the 2025 calendar year on January 8, 2025.

The incentive fee has two parts. The first part of the incentive fee ("Income Incentive Fee") is calculated and payable quarterly in arrears based on the Company's pre-incentive fee net investment income for the immediately preceding calendar quarter. For this purpose, pre-incentive fee net investment income means interest income, dividend income and any other income (including any other fees such as commitment, origination and sourcing, structuring, diligence and consulting fees or other fees that the Company receives from portfolio companies, but excluding fees for providing managerial assistance) accrued during the calendar quarter, minus operating expenses for the quarter (including the base management fee, any expenses payable under the Administration Agreement and any interest expense and dividends paid on any outstanding preferred stock, but excluding the incentive fee). Pre-incentive fee net investment income includes, in the case of investments with a deferred interest or dividend feature (such as OID, debt instruments with PIK interest, equity investments with accruing or PIK dividend and zero coupon securities), accrued income that the Company has not yet received in cash.

Pre-incentive fee net investment income is expressed as a rate of return on the value of the Company's net assets (defined as total assets less indebtedness and before taking into account any incentive fees payable during the period) at the end of the immediately preceding calendar quarter and adjusted for any share issuances or repurchases during such quarter.

The incentive fee with respect to pre-incentive fee net income is 20.0% of the amount, if any, by which the pre-incentive fee net investment income for the immediately preceding calendar quarter exceeds a 2.0% hurdle rate (which is 8.0% annualized) and a "catch-up" provision measured as of the end of each calendar quarter. Under this provision, in any calendar quarter, OFS Advisor receives no incentive fee until the net investment income equals the hurdle rate of 2.0%, but then receives, as a "catch-up," 100.0% of the pre-incentive fee net investment income with respect to that portion of such pre-incentive fee net investment income, if any, that exceeds the hurdle rate but is less than 2.5%. The effect of this provision is that, if pre-incentive fee net

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

investment income exceeds 2.5% in any calendar quarter, OFS Advisor will receive 20.0% of the pre-incentive fee net investment income.

Pre-incentive fee net investment income does not include any realized capital gains, realized capital losses or unrealized capital appreciation or depreciation. Because of the structure of the incentive fee, it is possible that the Company may pay an incentive fee in a quarter in which the Company incurs a loss. For example, if the Company receives pre-incentive fee net investment income in excess of the quarterly minimum hurdle rate, the Company will pay the applicable incentive fee even if the Company has incurred a loss in that quarter due to realized and unrealized capital losses. The Company's net investment income used to calculate this part of the incentive fee is also included in the amount of the Company's gross assets used to calculate the base management fee. These calculations are appropriately prorated for any period of less than three months.

The second part of the incentive fee (the "Capital Gains Fee") is determined and payable in arrears as of the end of each calendar year (or upon termination of the Investment Advisory Agreement, as of the termination date), and equals 20.0% of the Company's aggregate realized capital gains, if any, on a cumulative basis from the date of the election to be a BDC through the end of each calendar year, computed net of all realized capital losses, losses on extinguishment of debt, income taxes from realized capital gains and unrealized capital depreciation through the end of such year, less all previous amounts paid in respect of the Capital Gains Fee. Since inception through June 30, 2025, the Company has not made a Capital Gains Fee payment.

The Company accrues the Capital Gains Fee if, on a cumulative basis, the sum of net realized capital gains (losses) plus net unrealized appreciation (depreciation) is positive. An accrued Capital Gains Fee relating to net unrealized appreciation is deferred, and not due to OFS Advisor, until the close of the year in which such gains are realized. If, on a cumulative basis, the sum of net realized capital gains (losses) plus net unrealized appreciation (depreciation) decreases during a period, the Company will reverse any excess Capital Gains Fee previously accrued such that the amount of Capital Gains Fee accrued is no more than 20% of the sum of net realized capital gains (losses) plus net unrealized appreciation (depreciation). As of June 30, 2025 and December 31, 2024, there were no accrued Capital Gains Fees.

**License Agreement:** The Company entered into a license agreement with OFSAM under which OFSAM has granted the Company a non-exclusive, royalty-free license to use the name "OFS."

**Administration Agreement:** OFS Services furnishes the Company with office facilities and equipment, necessary software licenses and subscriptions, and clerical, bookkeeping and record keeping services at such facilities pursuant to the Administration Agreement. The continuation of the Administration Agreement was most recently approved by the Board on April 3, 2025. Under the Administration Agreement, OFS Services performs, or oversees the performance of, the Company's required administrative services, which include being responsible for the financial records that the Company is required to maintain and preparing reports to its stockholders and all other reports and materials required to be filed with the SEC or any other regulatory authority. In addition, OFS Services assists the Company in determining and publishing its net asset value, oversees the preparation and filing of its tax returns and the printing and dissemination of reports to its stockholders, and generally oversees the payment of the Company's expenses and the performance of administrative and professional services rendered to the Company by others. Under the Administration Agreement, OFS Services also provides managerial assistance on the Company's behalf to those portfolio companies that have accepted the Company's offer to provide such assistance. Payment under the Administration Agreement is equal to an amount based upon the Company's allocable portion of OFS Services's overhead in performing its obligations under the Administration Agreement, including, but not limited to, rent, information technology services and the Company's allocable portion of the cost of its officers, including its chief executive officer, chief financial officer, chief compliance officer, chief accounting officer, and their respective staffs. To the extent that OFS Services outsources any of its functions, the Company will pay the fees associated with such functions on a direct basis without profit to OFS Services.

**Equity Ownership:** As of June 30, 2025, affiliates of OFS Advisor held approximately 3,026,035 shares of common stock, which is approximately 22.6% of the Company's outstanding shares of common stock.

Expenses recognized under agreements with OFS Advisor and OFS Services and distributions paid to affiliates for the three and six months ended June 30, 2025 and 2024 are presented below:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Base management fee | $1479 | $1478 | $3028 | $3001 |
| Income Incentive Fee | 821 | 859 | 1151 | 2258 |
| Administration fee | 382 | 453 | 776 | 847 |
| Distributions paid to affiliates | 1029 | 1028 | 2058 | 2055 |

---

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

**Note 4. Investments**

As of June 30, 2025, the Company had loans to 35 portfolio companies, of which approximately 85% were first lien debt investments and 15% were second lien debt investments, at fair value. The Company also had equity investments in 15 portfolio companies and 15 investments in Structured Finance Securities. As of June 30, 2025, the Company's investments consisted of the following:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | | **Percentage of Total** | **Percentage of Total** | | **Percentage of Total** | **Percentage of Total** |
| |<br>**Amortized Cost** | **Amortized Cost** | **Net Assets** |<br>**Fair Value** | **Fair Value** | **Net Assets** |
| First lien debt investments<sup>(1)</sup> | $205493 | 58.2% | 140.5% | $180072 | 47.0% | 123.2% |
| Second lien debt investments | 42919 | 12.1 | 29.4 | 31257 | 8.2 | 21.4 |
| Preferred equity | 10774 | 3.0 | 7.4 | 10075 | 2.6 | 6.9 |
| Common equity, warrants and other<sup>(2)</sup> | 12365 | 3.5 | 8.5 | 88778 | 23.2 | 60.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total debt and equity investments | 271551 | 76.8 | 185.8 | 310182 | 81.0 | 212.2 |
| Structured Finance Securities | 82212 | 23.2 | 56.2 | 72566 | 19.0 | 49.6 |
| **Total investments** | $353763 | 100.0% | 242.0% | $382748 | 100.0% | 261.8% |

---

(1) Includes unitranche investments (which are loans that combine both senior and subordinated debt, in a first lien position) with an amortized cost and fair value of $134,474 and $125,470, respectively.

(2) Includes the Company's investment in Pfanstiehl Holdings, Inc. See "Note 4—Portfolio Concentration" for additional information.

Geographic composition is determined by the location of the corporate headquarters of the portfolio company. All international investments are denominated in US dollars. As of June 30, 2025 and December 31, 2024, the Company's investment portfolio was domiciled as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** |
| | **Amortized Cost** | **Fair Value** | **Amortized Cost** | **Fair Value** |
| United States | $266805 | $308947 | $269856 | $331188 |
| Canada<sup>(1)</sup> | 4746 | 1235 | 4708 | 1602 |
| Cayman Islands<sup>(1)(2)</sup> | 75244 | 66097 | 82059 | 70237 |
| Jersey<sup>(1)(2)</sup> | 6968 | 6469 | 6924 | 6638 |
| Total investments | $353763 | $382748 | $363547 | $409665 |

---

(1) Represents non-qualifying assets under Section 55(a) of the 1940 Act.

(2) Investments domiciled in the Cayman Islands and Jersey represent certain Structured Finance Securities held by the Company. These investments generally represent beneficial interests in underlying portfolios of debt investments in companies domiciled in the United States.

As of June 30, 2025, the industry composition of the Company's investment portfolio was as follows:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | | **Percentage of Total** | **Percentage of Total** | | **Percentage of Total** | **Percentage of Total** |
|<br>**Industry** |<br>**Amortized Cost** | **Amortized Cost** | **Net Assets** |<br>**Fair Value** | **Fair Value** | **Net Assets** |
| &nbsp;&nbsp;Administrative and Support and Waste Management and Remediation Services | $21722 | 6.1% | 14.9% | $21116 | 5.5% | 14.5% |
| &nbsp;&nbsp;Construction | 20053 | 5.6 | 13.7 | 8456 | 2.2 | 5.8 |
| &nbsp;&nbsp;Education Services | 18391 | 5.2 | 12.6 | 17528 | 4.6 | 12.0 |
| &nbsp;&nbsp;Finance and Insurance | 3195 | 0.9 | 2.2 | 3192 | 0.8 | 2.2 |
| &nbsp;&nbsp;Health Care and Social Assistance | 75185 | 21.2 | 51.4 | 63030 | 16.5 | 43.1 |
| &nbsp;&nbsp;Information | 21135 | 6.0 | 14.5 | 15243 | 4.0 | 10.4 |
| &nbsp;&nbsp;Management of Companies and Enterprises | 12589 | 3.6 | 8.6 | 11900 | 3.1 | 8.1 |
| &nbsp;&nbsp;Manufacturing | 28500 | 8.1 | 19.5 | 109163 | 28.5 | 74.7 |
| &nbsp;&nbsp;Professional, Scientific, and Technical Services | 18929 | 5.4 | 12.9 | 19038 | 5.0 | 13.0 |

---

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | | **Percentage of Total** | **Percentage of Total** | | **Percentage of Total** | **Percentage of Total** |
|<br>**Industry** |<br>**Amortized Cost** | **Amortized Cost** | **Net Assets** |<br>**Fair Value** | **Fair Value** | **Net Assets** |
| &nbsp;&nbsp;Public Administration | $703 | 0.2% | 0.5% | $53 | —% | —% |
| &nbsp;&nbsp;Real Estate and Rental and Leasing | 21718 | 6.1 | 14.9 | 18826 | 4.9 | 12.9 |
| &nbsp;&nbsp;Retail Trade | 13657 | 3.9 | 9.3 | 13028 | 3.4 | 8.9 |
| &nbsp;&nbsp;Wholesale Trade | 15774 | 4.5 | 10.8 | 9609 | 2.5 | 6.6 |
| **Total debt and equity investments** | $271551 | 76.8% | 185.8% | $310182 | 81.0% | 212.2% |
| &nbsp;&nbsp;Structured Finance Securities | 82212 | 23.2 | 56.2 | 72566 | 19.0 | 49.6 |
| **Total investments** | $353763 | 100.0% | 242.0% | $382748 | 100.0% | 261.8% |

---

As of December 31, 2024, the Company had loans to 36 portfolio companies, of which 85% were first lien debt investments and 15% were second lien debt investments, at fair value. The Company also held equity investments in 15 portfolio companies and 18 investments in Structured Finance Securities. At December 31, 2024, the Company's investments consisted of the following:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | | **Percentage of Total** | **Percentage of Total** | | **Percentage of Total** | **Percentage of Total** |
| |<br>**Amortized Cost** | **Amortized Cost** | **Net Assets** |<br>**Fair Value** | **Fair Value** | **Net Assets** |
| First lien debt investments<sup>(1)</sup> | $209696 | 57.7% | 121.8% | $189874 | 46.3% | 110.3% |
| Second lien debt investments | 42313 | 11.6 | 24.6 | 34331 | 8.4 | 19.9 |
| Preferred equity | 10190 | 2.8 | 5.9 | 12248 | 3.0 | 7.1 |
| Common equity, warrants and other<sup>(2)</sup>  | 12365 | 3.4 | 7.2 | 96337 | 23.5 | 56.0 |
| &nbsp;&nbsp;Total debt and equity investments | $274564 | 75.5% | 159.5% | $332790 | 81.2% | 193.3% |
| Structured Finance Securities | 88983 | 24.5 | 51.7 | 76875 | 18.8 | 44.6 |
| **Total investments** | $363547 | 100.0% | 211.2% | $409665 | 100.0% | 237.9% |

---

(1) Includes unitranche investments (which are loans that combine both senior and subordinated debt, in a first lien position) with an amortized cost and fair value of $128,147 and $119,169, respectively.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Includes the Company's investment in Pfanstiehl Holdings, Inc. See "Note 4—Portfolio Concentration" for additional information.

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

As of December 31, 2024, the industry compositions of the Company's debt and equity investments were as follows:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | | **Percentage of Total** | **Percentage of Total** | | **Percentage of Total** | **Percentage of Total** |
|<br>**Industry** |<br>**Amortized Cost** | **Amortized Cost** | **Net Assets** |<br>**Fair Value** | **Fair Value** | **Net Assets** |
| &nbsp;&nbsp;Administrative and Support and Waste Management and Remediation Services | $22016 | 6.1% | 12.8% | $21555 | 5.2% | 12.5% |
| &nbsp;&nbsp;Construction | 20213 | 5.6 | 11.7 | 10753 | 2.6 | 6.2 |
| &nbsp;&nbsp;Education Services | 18466 | 5.0 | 10.7 | 18475 | 4.5 | 10.7 |
| &nbsp;&nbsp;Finance and Insurance | 3091 | 0.9 | 1.8 | 3121 | 0.8 | 1.8 |
| &nbsp;&nbsp;Health Care and Social Assistance | 74008 | 20.4 | 43.0 | 67144 | 16.4 | 39.1 |
| &nbsp;&nbsp;Information | 24071 | 6.6 | 14.1 | 16242 | 4.0 | 9.5 |
| &nbsp;&nbsp;Management of Companies and Enterprises | 12614 | 3.5 | 7.3 | 12309 | 3.0 | 7.1 |
| &nbsp;&nbsp;Manufacturing | 34899 | 9.6 | 20.4 | 122234 | 29.8 | 71.1 |
| &nbsp;&nbsp;Professional, Scientific, and Technical Services | 18982 | 5.2 | 11.0 | 19134 | 4.7 | 11.1 |
| &nbsp;&nbsp;Public Administration | 703 | 0.2 | 0.4 | 61 |  |  |
| &nbsp;&nbsp;Real Estate and Rental and Leasing | 13218 | 3.6 | 7.6 | 13932 | 3.4 | 8.1 |
| &nbsp;&nbsp;Retail Trade | 16511 | 4.5 | 9.6 | 16985 | 4.1 | 9.9 |
| &nbsp;&nbsp;Wholesale Trade | 15773 | 4.3 | 9.1 | 10845 | 2.7 | 6.2 |
| **Total debt and equity investments** | $274564 | 75.5% | 159.5% | $332790 | 81.2% | 193.3% |
| &nbsp;&nbsp;Structured Finance Securities | 88983 | 24.5 | 51.7 | 76875 | 18.8 | 44.6 |
| **Total investments** | $363547 | 100.0% | 211.2% | $409665 | 100.0% | 237.9% |

---

**Non-Accrual Loans:** Management reviews, for placement on non-accrual status, all loans and CLO mezzanine debt investments that become past due on principal and interest, and/or when there is reasonable doubt that principal or interest will be collected. When a loan is placed on non-accrual status, accrued and unpaid cash interest is reversed. Additionally, Net Loan Fees are no longer recognized as of the date the loan is placed on non-accrual status. Depending upon management's judgment, interest payments subsequently received on non-accrual investments may be recognized as interest income or applied as a reduction to amortized cost. Interest accruals and Net Loan Fee amortization are resumed on non-accrual investments only when they are brought current with respect to principal and interest payments and, in the judgment of management, it is probable that the Company will collect all principal and interest from the investment. For the three and six months ended June 30, 2025, no new loans were placed on non-accrual status. The aggregate amortized cost and fair value of loans on non-accrual status as of June 30, 2025 was $39,111 and $15,159, respectively, and as of December 31, 2024 was $39,124 and $20,803, respectively.

**Portfolio Concentration:** The following table presents the Company's portfolio companies based on fair value that comprise greater than 10% of the Company's total net assets as of June 30, 2025:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | | | | | **Percentage of Total** | **Percentage of Total** |
|<br>**Portfolio Company** |<br>**Investment Type** |<br>**Industry** |<br>**Amortized Cost** |<br>**Fair Value** | **Fair Value** | **Net Assets** |
| Pfanstiehl Holdings, Inc. | Common Equity | Manufacturing | $217 | $82993 | 21.7% | 56.8% |
| Kreg LLC<sup>(1)</sup> | First Lien Debt | Health Care and Social Assistance | 18271 | 17522 | 4.6 | 12.0 |
| Inergex Holdings, LLC | First Lien Debt | Professional, Scientific, and Technical Services | 16954 | 17044 | 4.5 | 11.7 |
| SS Acquisition, LLC<sup>(1)</sup> | First Lien Debt | Education Services | 16796 | 16674 | 4.4 | 11.4 |
| Honor HN Buyer Inc.<sup>(1)</sup> | First Lien Debt | Health Care and Social Assistance | 14836 | 14969 | 3.9 | 10.3 |

---

(1) As of June 30, 2025, the Company had aggregate outstanding commitments of $7,896 to fund the portfolio companies' undrawn revolver and delayed draw facilities.

As of June 30, 2025, approximately 4.6% and 12.1% of the Company's total portfolio at fair value and net assets, respectively, were comprised of Structured Finance Securities managed by a single adviser.

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

**Note 5. Fair Value of Financial Instruments**

The Company's investments are carried at fair value and determined in accordance with ASC 820 and a documented valuation policy that is applied in a consistent manner. Pursuant to Rule 2a-5 of the 1940 Act ("Rule 2a-5"), the Board designated OFS Advisor as the valuation designee to perform fair value determinations relating to the Company's investments, and the Board maintains oversight of OFS Advisor in its capacity as valuation designee, as prescribed in Rule 2a-5. The Company engages third-party valuation firms to provide assistance to OFS Advisor in determining the fair value for a majority of its investments.

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair values are determined with models or other valuation techniques, valuation inputs, and assumptions that market participants would use in pricing an asset or liability. Valuation inputs are organized in a hierarchy that gives the highest priority to prices for identical assets or liabilities quoted in active markets (Level 1) and the lowest priority to fair values based on unobservable inputs (Level 3). The three levels of inputs in the fair value hierarchy are described below:

*Level 1:* Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity can access at the measurement date.

*Level 2:* Inputs other than quoted prices within Level 1 that are observable for the asset or liability, either directly or indirectly.

*Level 3:* Unobservable inputs for the asset or liability, and situations where there is little, if any, market activity for the asset or liability at the measurement date.

The inputs into the determination of fair value are based upon the best information under the circumstances and may require management to exercise significant judgment or estimation. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an investment's level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company's assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the investment. The Company generally categorizes its investment portfolio into Level 3, and to a lesser extent Level 2, of the hierarchy.

The Company assesses the levels of the investments at each measurement date, and transfers between levels are recognized on the measurement date. The following table presents the Company's transfers of Level 2 and Level 3 debt investments for the three and six months ended June 30, 2025 and 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Transfers from Level 2 to Level 3 | $— | $— | $— | $— |
| Transfers from Level 3 to Level 2 | 3606 | 7343 | 3606 | 15986 |

---

Transfers between levels during the reporting periods were due to the availability of reliable Indicative Prices in those periods. The Company classifies loan investments as Level 2 when sufficient Indicative Prices are available, and the depth of the market is sufficient, in management's judgment, to transact at those prices in amounts approximating the Company's investment position at the measurement date.

Due to the inherent uncertainty of determining the fair value of Level 3 investments, including the use of significant unobservable inputs, the fair value of the investments may differ significantly from the values that would have been used had a ready market or observable inputs existed for such investments and may differ materially from the values that may ultimately be received or settled. Further, such investments are generally subject to legal and other restrictions, or otherwise are less liquid than publicly traded instruments. If the Company were required to liquidate a portfolio investment in a forced or liquidation sale, the Company might realize significantly less than the value at which such investment had previously been recorded and incur a realized capital loss. The Company's investments are subject to market risk as a result of economic and political developments, including impacts from interest rate and inflation rate changes, the ongoing war between Russia and Ukraine, the escalated armed conflict and heightened regional tensions in the Middle East, instability in the U.S. and international banking systems, the agenda of the U.S. presidential administration, including the impact of tariff enactment and tax reductions, trade disputes with other countries, the risk of recession or a shutdown of U.S. government services, and related market volatility. Market risk is directly impacted by the volatility and liquidity in the markets in which certain investments are traded and can affect the fair value of the Company's investments. The Company's investments are also subject to interest rate risk. Changes in

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

interest rates, including potential additional interest rate reductions approved by the U.S. Federal Reserve, may impact its investment income, cost of funding and the valuation of its investment portfolio.

The following tables present the Company's investment portfolio measured at fair value on a recurring basis as of June 30, 2025 and December 31, 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Security** | **Level 1** | **Level 2** | **Level 3** | **Fair Value as of June 30, 2025** |
| Debt investments | $— | $17506 | $193823 | $211329 |
| Equity investments |  |  | 98853 | 98853 |
| Structured Finance Securities |  |  | 72566 | 72566 |
|  | $— | $17506 | $365242 | $382748 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Security** | **Level 1** | **Level 2** | **Level 3** | **Fair Value as of December 31, 2024** |
| Debt investments | $— | $21837 | $202368 | $224205 |
| Equity investments |  |  | 108585 | 108585 |
| Structured Finance Securities |  |  | 76875 | 76875 |
|  | $— | $21837 | $387828 | $409665 |

---

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

The following tables provides the primary quantitative information about valuation techniques and the Company's unobservable inputs to its Level 3 fair value measurements as of June 30, 2025 and December 31, 2024. The Company may make changes to the valuation techniques, among techniques otherwise commonly utilized in accordance with its valuation policies, and/or the weighting of techniques used for particular investments based on changes in facts-and-circumstances and depending on the availability of, or changes in, information in order to produce the best estimate of fair value as of the measurement date. In addition to the techniques and unobservable inputs noted in the tables below and in accordance with OFS Advisor's valuation policy, OFS Advisor, as valuation designee, may also use other valuation techniques and methodologies when determining the fair value measurements of the Company's investment assets. The tables are not intended to be all-inclusive and only present the most significant unobservable input(s) relevant to the valuation designee's determination of fair value.

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Fair Value as of June 30, 2025** | **Valuation technique** | **Unobservable inputs** | **Range<br>(Weighted average)** |
| **Debt investments:** | | | | |
| &nbsp;&nbsp;First lien | $136073 | Discounted cash flow | Discount rates | 8.93% - 34.00% (12.97%) |
|  | 20543 | Market approach | EBITDA multiples | 3.00x - 7.59x (4.82x) |
|  | 1677 | Market approach | Revenue multiples | 0.28x - 0.35x (0.35x) |
|  | 7878 | Market approach | Transaction Price |  |
| &nbsp;&nbsp;Second lien | 22554 | Discounted cash flow | Discount rates | 10.49% - 44.96% (18.06%) |
|  | 5098 | Market approach | EBITDA multiples | 5.00x - 11.26x (11.06x) |
| **Structured Finance Securities**<sup>(1)</sup>**:** |  |  |  |  |
| &nbsp;&nbsp;Subordinated notes | 57200 | Discounted cash flow | Discount rates | 12.50% - 55.00% (18.63%) |
|  |  |  | Constant default rate | 2.00% - 3.00% (2.08%) |
|  |  |  | Recovery rate | 65.00% - 65.00% (65.00%) |
|  | 3996 | Market approach | Transaction Price |  |
| &nbsp;&nbsp;Mezzanine debt | 11370 | Discounted cash flow | Discount margin | 7.60% - 10.30% (9.28%) |
|  |  |  | Constant default rate | 2.00% - 3.00% (2.19%) |
|  |  |  | Recovery rate | 65.00% - 65.00% (65.00%) |
| **Equity investments:** |  |  |  |  |
| &nbsp;&nbsp;Preferred equity | 10075 | Market approach | EBITDA multiples | 7.00x - 8.49x (8.43x) |
| &nbsp;&nbsp;Common equity, warrants and other | 88778 | Market approach | EBITDA multiples | 5.00x - 15.25x (13.03x) |
|  | $365242 |  |  |  |

---

(1) The cash flows utilized in the discounted cash flow calculations assume: (i) liquidation of (a) certain distressed investments and (b) all investments currently in default held by the issuing CLO at their current market prices; and (ii) redeployment of proceeds at the issuing CLO's assumed reinvestment rate.

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Fair Value at December 31, 2024** | **Valuation technique** | **Unobservable inputs** | **Range<br>(Weighted average)** |
| **Debt investments:** | | | | |
| &nbsp;&nbsp;First lien | $123028 | Discounted cash flow | Discount rates | 9.01% - 32.50% (13.07%) |
|  | 16684 | Market approach | EBITDA multiples | 3.00x - 7.27x (5.43x) |
|  | 9232 | Market approach | Revenue multiples | 0.40x - 0.40x (0.40x) |
|  | 19093 | Market approach | Transaction Price |  |
| &nbsp;&nbsp;Second lien | 27400 | Discounted cash flow | Discount rates | 10.84% - 33.45% (15.31%) |
|  | 4913 | Market approach | EBITDA multiples | 8.43x - 8.43x (8.43x) |
|  | 2018 | Market approach | Revenue multiples | 0.40x - 0.40x (0.40x) |
| **Structured Finance Securities**<sup>(1)</sup>**:** |  |  |  |  |
| &nbsp;&nbsp;Subordinated notes | 61308 | Discounted cash flow | Discount rates | 15.00% - 40.00% (22.25%) |
|  |  |  | Constant default rate | 2.00% - 3.00% (2.07%) |
|  |  |  | Recovery rate | 65.00% - 65.00% (65.00%) |
|  | 2993 | Market approach | Transaction Price |  |
| &nbsp;&nbsp;Mezzanine debt | 12574 | Discounted cash flow | Discount margin | 7.60% - 9.90% (8.89%) |
|  |  |  | Constant default rate | 2.00% - 3.00% (2.25%) |
|  |  |  | Recovery rate | 65.00% - 65.00% (65.00%) |
| **Equity investments:** |  |  |  |  |
| &nbsp;&nbsp;Preferred equity | 12248 | Market approach | EBITDA multiples | 7.00x - 8.50x (8.46x) |
| &nbsp;&nbsp;Common equity, warrants and other | 96337 | Market approach | EBITDA multiples | 5.85x - 15.75x (13.66x) |
| &nbsp;&nbsp;Common equity, warrants and other |  | Market approach | Revenue multiples | 0.40x - 0.40x (0.40x) |
|  | $387828 |  |  |  |

---

(1) The cash flows utilized in the discounted cash flow calculations assume: (i) liquidation of (a) certain distressed investments and (b) all investments currently in default held by the issuing CLO at their current market prices; and (ii) redeployment of proceeds at the issuing CLO's assumed reinvestment rate.

Averages in the preceding two tables were weighted by the fair value of the related instruments.

Changes in market credit spreads or events impacting the credit quality of the underlying portfolio company (both of which could impact the discount rate), as well as changes in enterprise value and/or EBITDA multiples, among other things, could have a significant impact on fair values, with the fair value of a particular debt investment susceptible to change in inverse relation to the changes in the discount rate. Changes in enterprise value and/or EBITDA multiples, as well as changes in the discount rate, could have a significant impact on fair values, with the fair value of an equity investment susceptible to change in tandem with the changes in enterprise value and/or EBITDA multiples, and in inverse relation to changes in the discount rate. Due to the wide range of approaches in developing input assumptions to these valuation techniques and the degree of subjectivity used in making the estimates, comparisons between the Company's disclosures and those of other companies may not be meaningful.

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

The following tables present changes in investments measured at fair value using Level 3 inputs for the six months ended June 30, 2025 and 2024:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** |
| | **First Lien Debt Investments** | **Second Lien Debt<br>Investments** | **Preferred Equity** | **Common Equity, Warrants and Other** | **Structured Finance Securities** | **Total** |
| Level 3 assets, December 31, 2024 | $168037 | $34331 | $12248 | $96337 | $76875 | $387828 |
| Net realized loss on investments | (26) |  |  |  | (5730) | (5756) |
| Net unrealized appreciation (depreciation) on investments | (5779) | (3680) | (2757) | (7559) | 2462 | (17313) |
| Amortization of Net Loan Fees | 226 | 56 |  |  | 65 | 347 |
| Accretion of interest income on Structured Finance Securities |  |  |  |  | 5844 | 5844 |
| Capitalized PIK interest and dividends | 272 | 551 | 584 |  |  | 1407 |
| Amendment fees received | (58) |  |  |  |  | (58) |
| Purchase and origination of portfolio investments | 13390 |  |  |  | 9528 | 22918 |
| Proceeds from principal payments on portfolio investments | (7072) |  |  |  | (1000) | (8072) |
| Sale and redemption of portfolio investments | (2819) |  |  |  | (8544) | (11363) |
| Proceeds from distributions received from portfolio investments |  |  |  |  | (6934) | (6934) |
| Transfers from Level 3 to Level 2 |  | (3606) |  |  |  | (3606) |
| Level 3 assets, June 30, 2025 | $166171 | $27652 | $10075 | $88778 | $72566 | $365242 |

---

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | | **Six Months Ended June 30, 2024** | **Six Months Ended June 30, 2024** | **Six Months Ended June 30, 2024** | **Six Months Ended June 30, 2024** | **Six Months Ended June 30, 2024** | **Six Months Ended June 30, 2024** |
| | **First Lien Debt Investments** | **Second Lien Debt<br>Investments** | **Subordinated<br>Debt<br>Investments** | **Preferred Equity** | **Common Equity, Warrants and Other** | **Structured Finance Securities** | **Total** |
| Level 3 assets, December 31, 2023 | $186831 | $48429 | $— | $13240 | $76689 | $79045 | $404234 |
| Net realized gain (loss) on investments |  | (2391) |  | 572 | 807 | (1914) | (2926) |
| Net unrealized appreciation (depreciation) on investments | (2896) | 1831 | 320 | (5190) | (1616) | 4030 | (3521) |
| Amortization of Net Loan Fees | 433 | 273 |  |  |  | 119 | 825 |
| Accretion of interest income on Structured Finance Securities |  |  |  |  |  | 3876 | 3876 |
| Capitalized PIK interest and dividends | 359 | 459 |  | 533 |  |  | 1351 |
| Amendment fees received | (226) |  |  |  |  |  | (226) |
| Purchase and origination of portfolio investments | 8158 | 1720 |  |  |  |  | 9878 |
| Proceeds from principal payments on portfolio investments | (3903) | (14069) |  |  |  |  | (17972) |
| Sale and redemption of portfolio investments |  | (205) |  | (670) | (1379) | (1419) | (3673) |
| Conversion from debt investments to equity investments | (2669) |  |  | 1269 | 1400 |  |  |
| Proceeds from distributions received from portfolio investments |  |  |  |  |  | (8118) | (8118) |
| Transfers from Level 3 to Level 2 | (10149) | (5837) |  |  |  |  | (15986) |
| Level 3 assets, June 30, 2024 | $175938 | $30210 | $320 | $9754 | $75901 | $75619 | $367742 |

---

The net unrealized depreciation reported in the Company's consolidated statements of operations for the six months ended June 30, 2025 and 2024, attributable to the Company's Level 3 assets still held at those respective period ends, was as follows:

---

| | | |
|:---|:---|:---|
| | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** |
| Debt investments | $(9490) | $(1106) |
| Equity investments | (10315) | (3684) |
| Structured Finance Securities | (2003) | 2097 |
| Net unrealized depreciation on investments held | $(21808) | $(2693) |

---

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

**Other Financial Assets and Liabilities**

GAAP requires disclosure of the fair value of financial instruments not reported at fair value on a recurring basis for which it is practical to estimate such values. The Company believes that the carrying amounts of its other financial instruments, such as cash, cash equivalents, receivables and payables approximate the fair value of such items due to the short maturity of such financial instruments. The Banc of California Credit Facility and BNP Facility are variable rate instruments and fair value is estimated to approximate carrying value.

The following table sets forth carrying values and fair values of the Company's debt as of June 30, 2025 and December 31, 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** |
|<br>**Description** | **Carrying Value**<sup>(1)</sup> | **Fair Value** | **Carrying Value**<sup>(1)</sup> | **Fair Value** |
| Banc of California Credit Facility<sup>(2)</sup> | $— | $— | $1000 | $1000 |
| BNP Facility | 63400 | 63400 | 67350 | 67350 |
| Unsecured Notes Due February 2026 | 124484 | 122971 | 124097 | 121326 |
| Unsecured Notes Due October 2028 | 54317 | 50996 | 54215 | 49698 |
| Total debt | $242201 | $237367 | $246662 | $239374 |

---

(1) Carrying value is calculated as the outstanding principal amount less unamortized deferred debt issuance costs.

(2) As of June 30, 2025, the Company had no outstanding indebtedness under the Banc of California Credit Facility.

The following tables present the fair value measurements of the Company's debt and the level within the fair value hierarchy of the significant unobservable inputs utilized by the Company to determine such fair values as of June 30, 2025 and December 31, 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** |
|<br>**Description** | **Level 1**<sup>(1)</sup> | **Level 2** | **Level 3**<sup>(2)</sup> | **Total** |
| Banc of California Credit Facility | $— | $— | $— | $— |
| BNP Facility |  |  | 63400 | 63400 |
| Unsecured Notes Due February 2026 |  |  | 122971 | 122971 |
| Unsecured Notes Due October 2028 | 50996 |  |  | 50996 |
| Total debt, at fair value | $50996 | $— | $186371 | $237367 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|<br>**Description** | **Level 1**<sup>(1)</sup> | **Level 2** | **Level 3**<sup>(2)</sup> | **Total** |
| Banc of California Credit Facility | $— | $— | $1000 | $1000 |
| BNP Facility |  |  | 67350 | 67350 |
| Unsecured Notes Due February 2026 |  |  | 121326 | 121326 |
| Unsecured Notes Due October 2028 | 49698 |  |  | 49698 |
| Total debt, at fair value | $49698 | $— | $189676 | $239374 |

---

(1) For Level 1 measurements, fair value is estimated by using the closing price of the security on The Nasdaq Global Select Market.

(2) For Level 3 measurements, fair value is estimated through discounting remaining payments using current market rates for similar instruments at the measurement date through the legal maturity date.

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

**Note 6. Commitments and Contingencies**

The following table shows the Company's outstanding commitments to fund investments to portfolio companies as of June 30, 2025:

---

| | | |
|:---|:---|:---|
| **Portfolio Company** | **Investment Type** | **Commitment** |
| Associated Spring, LLC | First Lien Debt (Delayed Draw) | $1483 |
| Boca Home Care Holdings, Inc. | First Lien Debt (Revolver) | 1290 |
| Clevertech Bidco, LLC | First Lien Debt (Revolver) | 182 |
| Envocore Holding, LLC (F/K/A LRI Holding, LLC) | First Lien Debt (Revolver) | 2569 |
| Honor HN Buyer Inc. | First Lien Debt (Revolver) | 664 |
| Honor HN Buyer Inc. | First Lien Debt (Delayed Draw) | 5000 |
| Kreg LLC | First Lien Debt (Revolver) | 446 |
| Medrina LLC | First Lien Debt (Revolver) | 319 |
| PSB Group, LLC | First Lien Debt (Revolver) | 1059 |
| SS Acquisition, LLC | First Lien Debt (Revolver) | 1786 |
| Tolemar Acquisition, Inc. | First Lien Debt (Revolver) | 1287 |
|  |  | $16085 |

---

As of June 30, 2025, the Company had cash and cash equivalents of $10,238 and unused commitments of $25,000 under its Banc of California Credit Facility and $86,600 under its BNP Facility, each of which is subject to a borrowing base and other covenants, to fund these outstanding commitments to portfolio companies.

**Legal and regulatory proceedings:** From time to time, the Company is involved in legal proceedings in the normal course of its business. Although the outcome of such litigation cannot be predicted with any certainty, management is of the opinion, based on the advice of legal counsel, that final disposition of any litigation should not have a material adverse effect on the financial position of the Company as of June 30, 2025.

Additionally, the Company is subject to periodic inspection by regulators to assess compliance with applicable BDC regulations.

**Indemnifications:** In the normal course of business, the Company enters into contracts and agreements that contain a variety of representations and warranties that provide for general indemnification. The Company's maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Company that have not yet occurred. The Company believes the risk of any material obligation under these indemnifications to be low.

**Note 7. Borrowings**

**SBA Debentures:** On March 1, 2024, SBIC I LP fully repaid its outstanding SBA debentures totaling $31,920 that were contractually due March 1, 2025, and, on April 17, 2024, surrendered its license to operate as a SBIC.

For the three and six months ended June 30, 2025 and 2024, the components of interest expense, cash paid for interest, effective interest rates and average outstanding balances for the SBA debentures were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Stated interest expense | $— | $— | $— | $151 |
| Amortization of debt issuance costs |  |  |  | 20 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total interest and debt financing costs | $— | $— | $— | $171 |
| Cash paid for interest expense | $— | $— | $— | $457 |
| Effective interest rate | —% | —% | —% | 3.25% |
| Average outstanding balance | $— | $— | $— | $10523 |

---

**BNP Facility:** On June 20, 2019, OFSCC-FS entered into the BNP Facility, which provides for borrowings in an aggregate principal amount up to $150,000, subject to a borrowing base and other covenants. The BNP Facility bears interest at a variable rate of SOFR plus a variable margin (2.65% floor). The reinvestment period of the BNP Facility ends on August 31, 2025, upon

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**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

which the ability to access the unused commitment of the facility terminates; the facility is scheduled to mature on June 20, 2027.

On June 18, 2025, OFSCC-FS executed an amendment to the BNP facility to extend the reinvestment period under the BNP Facility from June 20, 2025 to August 31, 2025.

The BNP Facility is collateralized by all the assets held by OFSCC-FS. OFSCC-FS and the Company have each made customary representations and warranties and are required to comply with various covenants, reporting requirements and other customary requirements for similar credit facilities.

As of June 30, 2025 and December 31, 2024, OFSCC-FS had outstanding debt of $63,400 and $67,350, respectively. As of June 30, 2025, the unused commitment under the BNP Facility was $86,600, subject to a borrowing base and other covenants.

For the three and six months ended June 30, 2025 and 2024, the components of interest expense, cash paid for interest, average interest rates and average outstanding balances for the BNP Facility were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Stated interest expense<sup>(1)</sup> | $1283 | $1581 | $2547 | $3446 |
| Amortization of debt issuance costs | 95 | 95 | 190 | 190 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total interest and debt financing costs | $1378 | $1676 | $2737 | $3636 |
| Cash paid for interest expense | $1289 | $1721 | $2580 | $3603 |
| Effective interest rate | 8.23% | 8.91% | 8.31% | 8.81% |
| Average outstanding balance | $67169 | $75241 | $66439 | $82579 |

---

(1) Stated interest expense includes unused fees.

**Banc of California Credit Facility:** On March 7, 2018, the Company entered into the Banc of California Credit Facility. The Banc of California Credit Facility currently bears interest at a variable rate of the Prime Rate plus a 0.25% margin, with a 5.00% floor, and includes an annual commitment fee of $125. The Banc of California Credit Facility is scheduled to mature on February 28, 2026.

The maximum availability of the Banc of California Credit Facility is equal to 50% of the aggregate outstanding principal amount of eligible loans included in the borrowing base, which typically excludes Structured Finance Securities and as otherwise specified in the BLA. The Banc of California Credit Facility is guaranteed by OFSCC-MB and secured by all of our and OFSCC-MB's current and future assets, excluding assets held by OFSCC-FS and SBIC I LP, and the Company's partnership interests in SBIC I LP. The Company has made customary representations and warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar credit facilities.

As of June 30, 2025 and December 31, 2024, the Company had $0 and $1,000, respectively, of outstanding debt under the Banc of California Credit Facility. As of June 30, 2025, the unused commitment under the Banc of California Credit Facility was $25,000, subject to a borrowing base and other covenants.

For the three and six months ended June 30, 2025 and 2024, the components of interest expense, cash paid for interest, average interest rates and average outstanding balances for the Banc of California Credit Facility were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Stated interest expense | $22 | $— | $80 | $— |
| Amortization of debt issuance costs | 32 | 32 | 63 | 63 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total interest and debt financing costs | $54 | $32 | $143 | $63 |
| Cash paid for interest expense | $25 | $— | $83 | $— |
| Effective interest rate<sup>(1)</sup> | n/m | n/m | n/m | n/m |
| Average outstanding balance | $1136 | $— | $2057 | $— |

---

(1) Not meaningful due to a minimal average outstanding balance relative to the size of the total commitment and the amount of commitment fees incurred during the periods.

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**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

**Unsecured Notes**: As of June 30, 2025 and December 31, 2024, the Company had the following Unsecured Notes outstanding:

***Unsecured Notes Due February 2026***: On February 10, 2021 and March 18, 2021, the Company issued $125,000 in aggregate principal of unsecured notes. The Unsecured Notes Due February 2026 bear interest at a rate of 4.75% per year payable semi-annually and mature on February 10, 2026. The Company may redeem the Unsecured Notes Due February 2026 in whole or in part at any time, or from time to time, at its option at par plus a "make-whole" premium if the redemption date is prior to November 10, 2025. See "Note 11—Subsequent Events" for additional information.

***Unsecured Notes Due October 2028***: On October 28, 2021 and November 1, 2021, the Company issued $55,000 in aggregate principal of unsecured notes. The Unsecured Notes Due October 2028 bear interest at a rate of 4.95% per year payable semi-annually and mature on October 31, 2028. The Company may redeem the Unsecured Notes Due October 2028 in whole or in part at any time.

On July 23, 2025, the Company closed the public offering of $69,000 aggregate principal amount of its 7.50% notes due 2028 (Unsecured Notes Due July 2028). See "Note 11—Subsequent Events" for additional information.

The Unsecured Notes are direct unsecured obligations and rank equal in right of payment with all current and future unsecured indebtedness of the Company. Because the Unsecured Notes are not secured by any of the Company's assets, they are effectively subordinated to all existing and future secured unsubordinated indebtedness (or any indebtedness that is initially unsecured as to which the Company subsequently grants a security interest), to the extent of the value of the assets securing such indebtedness, including, without limitation, borrowings under the Banc of California Credit Facility.

The indenture governing the Unsecured Notes contains certain covenants, including: (i) prohibiting additional borrowings, including through the issuance of additional debt securities, unless the Company's asset coverage, as defined in the 1940 Act, after giving effect to any exemptive relief granted to the Company by the SEC, equals at least 150% after such borrowings; and (ii) prohibiting (a) the declaration of any cash dividend or distribution upon any class of the Company's capital stock (except to the extent necessary for the Company to maintain its treatment as a RIC under Subchapter M of the Code), or (b) the purchase of any capital stock unless the Company's asset coverage, as defined in the 1940 Act, is at least 150% at the time of such capital transaction and after deducting the amount of such transaction.

For the three and six months ended June 30, 2025 and 2024, the components of interest expense, cash paid for interest, average interest rates and average outstanding balances for the Unsecured Notes were as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Stated interest expense | $2165 | $2165 | $4330 | $4330 |
| Amortization of debt issuance costs | 245 | 244 | 490 | 489 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total interest and debt financing costs | $2410 | $2409 | $4820 | $4819 |
| Cash paid for interest expense | $682 | $682 | $4330 | $4330 |
| Effective interest rate | 5.35% | 5.35% | 5.35% | 5.35% |
| Average outstanding balance | $180000 | $180000 | $180000 | $180000 |

---

The following table shows the scheduled maturities of the principal balances of the Company's outstanding borrowings as of June 30, 2025:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | **Payments due by period** | **Payments due by period** | **Payments due by period** | **Payments due by period** | **Payments due by period** |
| | **Total** | **Less than<br>1 year** | **1 to 3 years** | **3 to 5 years** | **After 5 years** |
| Banc of California Credit Facility | $— | $— | $— | $— | $— |
| Unsecured Notes<sup>(1)</sup> | 180000 | 125000 |  | 55000 |  |
| BNP Facility | 63400 |  | 63400 |  |  |
| Total | $243400 | $125000 | $63400 | $55000 | $— |

---

(1) On July 11, 2025, the Company caused notices to be issued to the holders of the Unsecured Notes Due February 2026 regarding the exercise of its option to redeem $25,000 of the issued and outstanding Unsecured Notes Due February 2026, and on July 22, 2025, the Company caused notices to be issued to the holders of the Unsecured Notes Due February 2026 regarding the exercise of its option to redeem $69,000 of the issued and outstanding Unsecured Notes Due February 2026. See "Note 11—Subsequent Events" for additional information.

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**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

For the three and six months ended June 30, 2025 and 2024, the average dollar borrowings and weighted average effective interest rate on the Company's outstanding borrowings were as follows:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Average dollar borrowings | $248305 | $255241 | $248496 | $273102 |
| Weighted average effective interest rate | 6.21% | 6.45% | 6.25% | 6.36% |

---

**Note 8. Financial Highlights**

The following is a schedule of financial highlights for the three and six months ended June 30, 2025 and 2024:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended June 30,** | **Three Months Ended June 30,** | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| **Per share operating performance:** |  |  |  |  |
| Net asset value per share at beginning of period | $11.97 | $11.08 | $12.85 | $12.09 |
| Net investment income<sup>(1)</sup> | 0.25 | 0.26 | 0.50 | 0.67 |
| Net realized loss on investments, net of taxes<sup>(1)</sup> | (0.31) | (0.32) | (0.51) | (0.26) |
| Net unrealized appreciation (depreciation) on investments, net of deferred taxes<sup>(1)</sup> | (0.66) | 0.83 | (1.25) | (0.31) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total income (loss) from operations | (0.72) | 0.77 | (1.26) | 0.10 |
| Distributions declared | (0.34) | (0.34) | (0.68) | (0.68) |
| **Net asset value per share at end of period** | $10.91 | $11.51 | $10.91 | $11.51 |
| Per share market value, end of period | $8.44 | $8.87 | $8.44 | $8.87 |
| Total return based on market value<sup>(2)(3)</sup> | (5.6)% | (7.2)% | 12.7% | (18.6)% |
| Total return based on net asset value<sup>(3)(4)</sup> | (5.3)% | 7.9% | (8.5)% | 2.2% |
| Shares outstanding at end of period | 13398078 | 13398078 | 13398078 | 13398078 |
| Weighted average shares outstanding | 13398078 | 13398078 | 13398078 | 13398078 |
| **Ratio/Supplemental Data (dollar amounts in thousands)** |  |  |  |  |
| Average net asset value<sup>(5)</sup> | $153290 | $151286 | $159601 | $154859 |
| Net asset value at end of period | $146196 | $154172 | $146196 | $154172 |
| Net investment income | $3283 | $3437 | $6748 | $9033 |
| Ratio of total expenses to average net assets<sup>(6)</sup> | 18.8% | 20.4% | 17.6% | 21.1% |
| Ratio of net investment income to average net assets<sup>(6)</sup> | 8.6% | 9.1% | 8.5% | 11.7% |
| Portfolio turnover<sup>(7)</sup> | 3.2% | 1.3% | 5.8% | 3.0% |

---

(1)Calculated on the average share method.

(2)Calculated as ending market value less beginning market value, adjusted for distributions reinvested at prices based on the Company's DRIP for the respective distributions.

(3)Not annualized.

(4)Calculated as ending net asset value less beginning net asset value, adjusted for distributions reinvested at prices based on the Company's DRIP for the respective distributions.

(5)Based on the average of the net asset value at the beginning and end of the indicated period and, if applicable, the preceding calendar quarters.

(6)Annualized.

(7)Portfolio turnover rate is calculated using the lesser of period-to-date sales, portfolio investment distributions and principal payments or period-to-date purchases over the average of total investments at fair value.

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**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

**Note 9. Capital Transactions**

**Distributions:** The Company intends to make quarterly distributions to stockholders, that represent over time, substantially all of its net investment income. In addition, although the Company may distribute at least annually net realized capital gains, net of taxes if any, out of assets legally available for such distribution, the Company may also retain such capital gains for investment through a deemed distribution. If the Company makes a deemed distribution, stockholders will be treated for U.S. federal income tax purposes as if they had received an actual distribution of the capital gains, net of taxes.

The Company may be limited in its ability to make distributions due to the BDC asset coverage requirements of the 1940 Act. In addition, distributions from OFSCC-FS to the Company are restricted by the terms and conditions of the BNP Facility.

The following table summarizes distributions declared and paid for the six months ended June 30, 2025 and 2024:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Date Declared** | **Record Date** | **Payment Date** | **Amount<br>Per Share** | **Cash<br>Distribution** | |
| **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | | | | |
| February 26, 2025 | March 21, 2025 | March 31, 2025 | $0.34 | $4555 | <sup>(1)</sup> |
| April 29, 2025 | June 20, 2025 | June 30, 2025 | 0.34 | 4556 | <sup>(1)</sup> |
|  |  |  | $0.68 | $9111 |  |
| **Six Months Ended June 30, 2024** | **Six Months Ended June 30, 2024** |  |  |  |  |
| February 28, 2024 | March 18, 2024 | March 28, 2024 | $0.34 | $4555 | <sup>(1)</sup> |
| April 30, 2024 | June 18, 2024 | June 28, 2024 | 0.34 | 4556 | <sup>(1)</sup> |
|  |  |  | $0.68 | $9111 |  |

---

(1) During the six months ended June 30, 2025 and 2024, the Company directed the DRIP plan administrator to purchase shares on the open market in order to satisfy the obligation to deliver shares of common stock. Accordingly, the Company purchased shares to satisfy the DRIP obligation as follows:

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| | | | |
|:---|:---|:---|:---|
| | **Number of Shares Purchased** | **Average Price Paid Per Share** | **Total Amount Paid** |
| **Six Months Ended June 30, 2025** | | | |
| January 1, 2025 through March 31, 2025 | 8570 | $9.35 | $80 |
| April 1, 2025 through June 30, 2025 | 9509 | 8.61 | 82 |
| **Six Months Ended June 30, 2024** |  |  |  |
| January 1, 2024 through March 31, 2024 | 8530 | $10.04 | $86 |
| April 1, 2024 through June 30, 2024 | 9092 | 8.85 | 80 |

---

Distributions in excess of the Company's current and accumulated ICTI would be treated first as a return of capital to the extent of the stockholder's adjusted tax basis, and any remaining distributions would be treated as a capital gain. The Company currently estimates that a portion of its distributions for the year ending December 31, 2025 will be characterized as a tax return of capital. The determination of the tax attributes of the Company's distributions is made annually as of the end of its fiscal year based upon its estimated ICTI for the full year and distributions paid for the full year. Each year, a statement on Form 1099-DIV identifying the tax character of distributions is mailed to the Company's stockholders.

**Stock Repurchase Program:** 

The Company maintains a Stock Repurchase Program under which the Company may acquire up to $10,000 of its outstanding common stock. On April 30, 2024, the Board extended the Stock Repurchase Program for an additional two-year period ending May 22, 2026, or until the approved dollar amount has been used to repurchase shares. The Stock Repurchase Program may be extended, modified or discontinued at any time for any reason.

During the six months ended June 30, 2025 and 2024, no shares of common stock were repurchased under the Stock Repurchase Program.

------

**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

**Note 10. Consolidated Schedule of Investments In and Advances To Affiliates**

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| | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2025** | | | | |
| **Name of Portfolio Company** | **Investment Type (1)** | **Net Realized Gain (Loss)** | **Net Change in Unrealized Appreciation/(Depreciation)** | **Interest** | **Dividends** | **Fees** | **Total Income (2)** | **December 31, 2024, Fair Value** | **Gross<br>Additions (3)** | **Gross<br>Reductions (4)** | **June 30, 2025, Fair Value (5)** |
| **Affiliate Investments** | | | | | | | | | | | |
| Contract Datascan Holdings, Inc. | Preferred Equity (7) | $— | $(2759) | $— | $584 | $— | $584 | $11890 | $584 | $(2759) | $9714 |
|  | Common Equity (6) |  | (441) |  |  |  |  | 441 |  | (441) |  |
|  |  |  | (3200) |  | 584 |  | 584 | 12331 | 584 | (3200) | 9714 |
| DRS Imaging Services, LLC | Common Equity (6) |  | 732 |  |  |  |  | 1190 | 732 |  | 1922 |
| Pfanstiehl Holdings, Inc | Common Equity |  | (6305) |  |  |  |  | 89298 |  | (6305) | 82993 |
| TalentSmart Holdings, LLC | Common Equity (6) |  | (750) |  |  |  |  | 1604 |  | (750) | 854 |
| **Total Affiliate Investments** |  | $— | $(9523) | $— | $584 | $— | $584 | $104423 | $1316 | $(10255) | $95483 |

---

(1)Principal balance, interest rate and maturity of debt investments, and ownership detail for equity investments are presented in the consolidated schedule of investments. The Company's investments are generally classified as "restricted securities" as such term is defined under Regulation S-X Rule 6-03(f) or Securities Act Rule 144.

(2)Represents the total amount of interest, fees or dividends included in income for the six months ended June 30, 2025.

(3)Gross additions include increases in cost basis of investments resulting from a new portfolio investment, PIK interest, fees and dividends, accretion of Net Loan Fees, and net increases in unrealized appreciation or decreases in net unrealized depreciation.

(4)Gross reductions include decreases in the cost basis of investments resulting from principal repayments and sales, and net decreases in net unrealized appreciation or net increases in net unrealized depreciation.

(5)Fair value was determined using significant unobservable inputs. See **Note 5** for further details.

(6)Non-income producing. The Company has not recognized income on the security during the prior twelve-month period preceding the period-end date.

(7)Dividends recognized as income include PIK dividends contractually earned but not declared.

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**OFS Capital Corporation and Subsidiaries**

Notes to Consolidated Financial Statements (unaudited)

(Dollar amounts in thousands, except per share data)

**Note 11. Subsequent Events**

***Unsecured Notes Due February 2026 Redemptions***

On July 11, 2025, the Company caused notices to be issued to the holders of the Unsecured Notes Due February 2026 regarding the exercise of its option to redeem on August 11, 2025 $25,000 of the issued and outstanding amount of such notes, plus accrued interest. On July 22, 2025, the Company caused notices to be issued to the holders of the Unsecured Notes Due February 2026 regarding the exercise of its option to redeem on August 21, 2025 $69,000 of the issued and outstanding amount of such notes, plus accrued interest. The Unsecured Notes Due February 2026 will be redeemed at the greater of (a) 100% of the principal amount of the Unsecured Notes Due February 2026 to be redeemed, or (b) the sum of the present value of the remaining scheduled payments of principal and interest (exclusive of accrued and unpaid interest to each respective redemption date) on the Unsecured Notes Due February 2026 to be redeemed, discounted to each respective redemption date on a semi-annual basis (assuming a 360-day year consisting of twelve 30-day months) using the applicable Treasury Rate plus 50 basis points.

***Unsecured Notes Due July 2028 Offering***

On July 23, 2025, the Company closed the public offering of $69,000 aggregate principal amount of its Unsecured Notes Due July 2028, which included $9,000 of aggregate principal amount related to the underwriters' option to cover overallotments. The estimated net proceeds to the Company from the Unsecured Notes Due July 2028, after deducting underwriting fees of $1,380 and estimated offering expenses of $300, was approximately $67,320. The Unsecured Notes Due July 2028 bear interest at a stated rate of 7.50% and will mature on July 31, 2028. The Company may redeem the Unsecured Notes Due July 2028 in whole or in part at any time, or from time to time, on or after July 31, 2026.

***Distribution Declaration***

On July 29, 2025, the Board declared a distribution of $0.34 per share for the third quarter of 2025, payable on September 30, 2025 to stockholders of record as of September 19, 2025.

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**Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations**

The following analysis of our financial condition and results of operations should be read in conjunction with our consolidated financial statements and the related notes thereto contained elsewhere in this Quarterly Report on Form 10-Q. For additional overview information on the Company, see "Item 1. Business" in our Annual Report on Form 10-K for the year ended December 31, 2024.

**Overview**

Key performance metrics per common share are presented below:

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| | | |
|:---|:---|:---|
| | **June 30, 2025** | **March 31, 2025** |
| Net asset value | $10.91 | $11.97 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30, 2025** | **March 31, 2025** | **June 30, 2025** | **June 30, 2024** |
| Net investment income | $0.25 | $0.26 | $0.50 | $0.67 |
| Net increase (decrease) in net assets resulting from operations | (0.72) | (0.54) | (1.26) | 0.10 |
| Distributions paid | 0.34 | 0.34 | 0.68 | 0.68 |

---

Our NAV per common share decreased to $10.91 at June 30, 2025 from $11.97 at March 31, 2025, due to a net loss on investments of $0.97 per common share and our quarterly distribution of $0.34 per common share exceeding our quarterly net investment income of $0.25 per common share.

For the quarter ended June 30, 2025, total investment income increased to $10.5 million from $10.3 million in the prior quarter, primarily due to an increase in non-recurring fee income of $0.1 million. See "—Results of Operations" for additional information.

Our total outstanding debt decreased from $248.1 million at March 31, 2025 to $243.4 million at June 30, 2025. For the quarter ended June 30, 2025, our weighted-average debt interest costs remained relatively stable at 6.21% compared to 6.29% for the quarter ended March 31, 2025. See "—Liquidity and Capital Resources" and "—Recent Developments" for additional details.

For the quarter ended June 30, 2025, we recognized a net loss on investments of $12.9 million due to net unrealized depreciation, net of taxes, of $8.7 million and a net realized loss of $4.2 million. For the quarter ended June 30, 2025, our net unrealized depreciation, net of taxes, of $8.7 million was primarily attributable to net unrealized depreciation of $7.8 million on our common equity investment in Pfanstiehl Holdings, Inc. For the quarter ended June 30, 2025, our net realized loss of $4.2 million was primarily due to a net realized loss of $4.0 million recognized upon the sale of certain Structured Finance Securities, which had been primarily recognized in prior periods. As of June 30, 2025, we had non-accrual loans with an aggregate fair value of $15.2 million, or 4.0% of our total investments at fair value. See "—Portfolio Composition and Investment Activity" for additional information.

As of June 30, 2025, our asset coverage ratio of 160% exceeded the minimum asset coverage requirement of 150% under the 1940 Act, and we remained in compliance with all applicable covenants under our outstanding debt facilities. As of June 30, 2025, we had unused commitments of $25.0 million under our Banc of California Credit Facility and $86.6 million under our BNP Facility, each of which is subject to a borrowing base and other covenants. As of June 30, 2025, we had unfunded commitments of $16.1 million to ten portfolio companies. See "—Liquidity and Capital Resources" for additional information.

On July 29, 2025, the Board declared a distribution of $0.34 per share for the third quarter of 2025, payable on September 30, 2025 to stockholders of record as of September 19, 2025.

**Critical Accounting Policies and Significant Estimates** 

Our critical accounting policies and estimates are those relating to revenue recognition and fair value estimates. Management has discussed the development and selection of each critical accounting policy and estimate with the Audit Committee of the Board. For descriptions of our revenue recognition and fair value policies, see "Item 8. Financial Statements—Notes to Consolidated Financial Statements—Note 2" and "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations—Critical Accounting Policies and Significant Estimates" in our Annual Report on Form 10-K for the year ended December 31, 2024.

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The following table illustrates the impact of our fair value measures if we selected the low or high end of the range of estimated values for all investments as of June 30, 2025 (dollar amounts in thousands):

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| | | | |
|:---|:---|:---|:---|
| **Investment Type** | **Fair Value at June 30, 2025** | **Range of Fair Value**<sup>(1)</sup> | **Range of Fair Value**<sup>(1)</sup> |
| **Investment Type** | **Fair Value at June 30, 2025** | **Low-end** | **High-end** |
| Debt investments: |  |  |  |
| &nbsp;&nbsp;&nbsp;First lien | $180072 | $173760 | $184434 |
| &nbsp;&nbsp;&nbsp;Second lien | 31257 | 31149 | 35039 |
| Structured Finance Securities: |  |  |  |
| &nbsp;&nbsp;&nbsp;Subordinated notes | 61196 | 57769 | 64622 |
| &nbsp;&nbsp;&nbsp;Mezzanine debt | 11370 | 11154 | 11585 |
| Equity investments: |  |  |  |
| &nbsp;&nbsp;&nbsp;Preferred equity | 10075 | 8193 | 11938 |
| &nbsp;&nbsp;&nbsp;Common equity, warrants and other | 88778 | 84995 | 92561 |
|  | $382748 | $367020 | $400179 |

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(1) A majority of our investments are classified as Level 3 under ASC Topic 820. This means that our portfolio valuations are based on unobservable inputs and assumptions about how market participants would price the asset in question. Inputs into the determination of fair value of our portfolio investments require significant management judgment and estimation.

**Related Party Transactions**

We have entered into a number of business relationships with affiliated or related parties, including the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The Investment Advisory Agreement with OFS Advisor to manage our operating and investment activities. Under the Investment Advisory Agreement, we have agreed to pay OFS Advisor an annual base management fee based on the average value of our total assets (other than cash and cash equivalents but including assets purchased with borrowed amounts and including assets owned by any consolidated entity) as well as an incentive fee based on our investment performance. See "Item 1—Financial Statements—**Note 3**".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The Administration Agreement with OFS Services, an affiliate of OFS Advisor, to provide us with the office facilities and administrative services necessary to conduct our operations. See "Item 1—Financial Statements—**Note 3**".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• A license agreement with OFSAM, the parent company of OFS Advisor, under which OFSAM has agreed to grant us a non-exclusive, royalty-free license to use the name "OFS." Under this agreement, we have a right to use the "OFS" name for so long as OFS Advisor or one of its affiliates remains our investment adviser. Other than with respect to this limited license, we have no legal right to the "OFS" name. This license agreement will remain in effect for so long as the Investment Advisory Agreement with OFS Advisor is in effect.

OFS Advisor's services under the Investment Advisory Agreement are not exclusive to us and OFS Advisor is free to furnish similar services to other entities, including other funds advised or sub-advised by OFS Advisor, so long as its services to us are not impaired. OFS Advisor also serves as the investment adviser to other funds, including HPCI and OCCI. Additionally, OFS Advisor provides sub-advisory services to: (i) CMFT Securities Investments, LLC, a wholly owned subsidiary of CIM Real Estate Finance Trust, Inc., a corporation that qualifies as a real estate investment trust; and (ii) CIM Real Assets & Credit Fund, an externally managed registered investment company that operates as an interval fund that invests primarily in a combination of real estate, credit and related investments.

For the years ended December 31, 2025 and 2024, OFS Advisor agreed to reduce its base management fee attributable to all of the OFSCC-FS Assets to 0.25% per quarter (1.00% annualized) of the average value of the OFSCC-FS Assets (other than cash and cash equivalents but including assets purchased with borrowed amounts) at the end of the two most recently completed calendar quarters. OFS Advisor's base management fee reduction is renewable on an annual basis and OFS Advisor is not entitled to recoup the amount of the base management fee reduced with respect to the OFSCC-FS Assets. OFS Advisor most recently renewed the agreement to reduce its base management fee for the 2025 calendar year on January 8, 2025.

The 1940 Act generally prohibits BDCs from making certain negotiated co-investments with certain affiliates absent an order from the SEC permitting the BDC to do so. On August 4, 2020, we received our existing Order, which superseded a previous order that we received on October 12, 2016, and provides us with greater flexibility to enter into co-investment

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transactions with certain Affiliated Funds in a manner consistent with our investment objective, positions, policies, strategies and restrictions as well as regulatory requirements and other pertinent factors, subject to compliance with certain conditions. We are generally permitted to co-invest with Affiliated Funds if, under the terms of the Order, a "required majority" (as defined in Section 57(o) of the 1940 Act) of our independent directors make certain conclusions in connection with a co-investment transaction, including that: (1) the terms of the transaction, including the consideration to be paid, are reasonable and fair to us and our stockholders and do not involve overreaching in respect of us or our stockholders on the part of any person concerned; (2) the transaction is consistent with the interests of our stockholders and is consistent with our investment objective and strategies; (3) the investment by our affiliates would not disadvantage us, and our participation would not be on a basis different from or less advantageous than that on which our affiliates are investing; and (4) the proposed investment by us would not benefit OFS Advisor, the other Affiliated Funds that are participating in the investment, or any affiliated person of any of them (other than parties to the transaction), except to the extent permitted by the exemptive relief and applicable law, including the limitations set forth in Section 57(k) of the 1940 Act.

In addition, we may file a new application for exemptive relief that, if granted, would supersede our existing Order and permit us to co-invest pursuant to a different set of conditions than those in our existing Order. However, if filed, there is no guarantee that such application will be granted.

Conflicts may arise when we make an investment in conjunction with an investment being made by an Affiliated Account, or in a transaction where an Affiliated Account has already made an investment. Investment opportunities are, from time to time, appropriate for more than one account in the same, different or overlapping securities of a portfolio company's capital structure. Conflicts arise in determining the terms of investments, particularly where these accounts may invest in different types of securities in a single portfolio company. Potential conflicts arise when addressing, among other things, questions as to whether payment obligations and covenants should be enforced, modified or waived, or whether debt should be restructured, modified or refinanced. For a discussion of the risks associated with conflicts of interest, see "Item 1. Business—Regulation—Conflicts of Interest" and "Item 1A. Risk Factors—Risks Related to OFS Advisor and its Affiliates—We have potential conflicts of interest related to the purchases and sales that OFS Advisor makes on our behalf and/or on behalf of Affiliated Accounts" in our Annual Report on Form 10-K for the year ended December 31, 2024.

**Portfolio Composition and Investment Activity** 

**Portfolio Composition** 

As of June 30, 2025, the fair value of our debt investment portfolio totaled $211.3 million in 35 portfolio companies, of which approximately 85% and 15% were first lien and second lien debt investments, respectively. We also had equity investments in 15 portfolio companies with a fair value of approximately $98.9 million and 15 investments in Structured Finance Securities with a fair value of $72.6 million. As of June 30, 2025, we had unfunded commitments of $16.1 million to ten portfolio companies. Set forth in the tables and charts below is selected information with respect to our portfolio as of June 30, 2025 and December 31, 2024.

The following table presents our ten largest investments by issuer based on fair value as of June 30, 2025 (dollar amounts in thousands):

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Issuer Name** | **Type** | **Amortized Cost** | **Fair Value** | **% of Total Portfolio, at Fair Value** | **% of Net Assets, at Fair Value** |
| Pfanstiehl Holdings, Inc. | Equity | $217 | $82993 | 21.7% | 56.8% |
| Kreg LLC | Debt | 18271 | 17522 | 4.6 | 12.0 |
| Inergex Holdings, LLC | Debt | 16954 | 17044 | 4.5 | 11.8 |
| SS Acquisition, LLC | Debt | 16796 | 16674 | 4.4 | 11.4 |
| Honor HN Buyer Inc. | Debt | 14836 | 14969 | 3.9 | 10.3 |
| Tolemar Acquisition, Inc. | Debt | 14523 | 13067 | 3.4 | 8.9 |
| One GI LLC | Debt | 12589 | 11900 | 3.1 | 8.1 |
| Boca Home Care Holdings, Inc. | Debt and Equity | 10740 | 10223 | 2.7 | 7.0 |
| Contract Datascan Holdings, Inc. | Equity | 9094 | 9714 | 2.5 | 6.6 |
| Canyon CLO 2019-1, Ltd. | Structured Finance Security | 9497 | 9540 | 2.5 | 6.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total |  | $123517 | $203646 | 53.3% | 139.4% |

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As of June 30, 2025, our common equity investment in Pfanstiehl Holdings, Inc., a global manufacturer of high-purity pharmaceutical ingredients, accounted for 21.7% and 56.8% of our total portfolio at fair value and our total net assets, respectively. The value of this investment is substantially comprised of unrealized appreciation of $82.8 million. The valuation's unobservable inputs incorporate discounts for the minority-interest and illiquid nature of the security; however, the valuation, in accordance with fair value concepts, does not directly factor in inputs related to a potential forced sale or non-orderly transaction that could be executed in the future, and that may be specific to the entity's objectives, and are not representative of market-participant assumptions that would otherwise be utilized in an orderly transaction.

As of June 30, 2025, approximately 4.6% and 12.1% of our total portfolio at fair value and net assets, respectively, were comprised of Structured Finance Securities managed by a single adviser.

A deterioration or improvement in the operating performance of these portfolio investments, or other factors underlying the valuation of these investments, could have a material impact on our NAV.

**Portfolio Yields**

The following table presents weighted-average yield metrics for our portfolio as of June 30, 2025 and March 31, 2025:

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| | | |
|:---|:---|:---|
| | **For the Three Months Ended** | **For the Three Months Ended** |
| | **June 30, 2025** | **March 31, 2025** |
| Weighted-average performing income yield<sup>(1)</sup>: |  |  |
| &nbsp;&nbsp;Debt investments | 12.5% | 12.3% |
| &nbsp;&nbsp;Structured Finance Securities | 16.4% | 16.3% |
| &nbsp;&nbsp;Interest-bearing investments | 13.6% | 13.4% |
| Weighted-average realized yield<sup>(2):</sup> |  |  |
| &nbsp;&nbsp;Interest-bearing investments | 11.9% | 11.6% |

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(1)&nbsp;&nbsp;&nbsp;&nbsp;Performing income yield is calculated as (a) the actual amount earned on performing interest-bearing investments, including interest, prepayment fees and amortization of Net Loan Fees, divided by (b) the weighted-average of total performing interest-bearing investments at amortized cost.

(2)&nbsp;&nbsp;&nbsp;&nbsp;Realized yield is calculated as (a) the actual amount earned on interest-bearing investments, including interest, prepayment fees and amortization of Net Loan Fees, divided by (b) the weighted-average of total interest-bearing investments at amortized cost, in each case, including debt investments on non-accrual status and non-performing Structured Finance Securities.

For the three months ended June 30, 2025, the weighted-average performing income yield on interest-bearing investments increased to 13.6% from 13.4% during the prior quarter, primarily due to a 21 basis point increase in earned yields on our debt investments. As of June 30, 2025, 90% of our total loan portfolio, at fair value, consisted of variable rate investments, generally indexed to SOFR. See additional information under "Item 3. Quantitative and Qualitative Disclosures About Market Risk".

Weighted-average yields of our investments are not the same as a return on investment for our stockholders, but rather the gross investment income from our investment portfolio before the payment of all of our fees and expenses. There can be no assurance that the weighted average yields will remain at their current levels.

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**Portfolio Company Investments**

The following table summarizes the composition of our Portfolio Company Investments as of June 30, 2025 and December 31, 2024 (dollar amounts in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** |
| | **Amortized Cost** | **Fair Value** | **Amortized Cost** | **Fair Value** |
| First lien debt investments<sup>(1)</sup> | $205493 | $180072 | $209696 | $189874 |
| Second lien debt investments | 42919 | 31257 | 42313 | 34331 |
| Preferred equity | 10774 | 10075 | 10190 | 12248 |
| Common equity, warrants and other | 12365 | 88778 | 12365 | 96337 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total Portfolio Company Investments | $271551 | $310182 | $274564 | $332790 |
| Number of portfolio companies | 45 | 45 | 46 | 46 |

---

(1) As of June 30, 2025 and December 31, 2024, first lien debt investments include unitranche investments (which are loans that combine both senior and subordinated debt, in a first lien position) with an amortized cost and fair value of $134.5 million and $125.5 million, respectively, and $128.1 million and $119.2 million, respectively.

As of June 30, 2025, 100% of our loan portfolio and 55% of our total portfolio consisted of first lien and second lien loans, based on fair value.

As of June 30, 2025, the three largest industries of our Portfolio Company Investments by fair value, were: (1) Manufacturing (35.3%); (2) Health Care and Social Assistance (20.3%); and (3) Administrative and Support and Waste Management and Remediation Services (6.8%), totaling an aggregate of approximately 62.4% of our Portfolio Company Investment portfolio. For a full summary of our investment portfolio by industry, see "Item 1—Financial Statements—**Note 4**."

**Structured Finance Securities**

The following table summarizes the composition of our Structured Finance Securities as of June 30, 2025 and December 31, 2024 (dollar amounts in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** |
| | **Amortized Cost** | **Fair Value** | **Amortized Cost** | **Fair Value** |
| Subordinated notes | $70285 | $61196 | $76122 | $64301 |
| Mezzanine debt | 11927 | 11370 | 12861 | 12574 |
| Total Structured Finance Securities | $82212 | $72566 | $88983 | $76875 |
| Number of Structured Finance Securities | 15 | 15 | 18 | 18 |

---

Non-performing Structured Finance Securities are securities that have not been optionally redeemed and have an effective yield of 0.0%, as remaining residual distributions are anticipated to be recognized as a return of capital. As of June 30, 2025, the amortized cost and fair value of non-performing Structured Finance Securities were $2.4 million and $0.5 million, respectively.

During the six months ended June 30, 2025, we sold Structured Finance Securities for aggregate net proceeds of $8.5 million, resulting in an aggregate net realized loss of $5.7 million, of which $1.2 million was recognized during the six months ended June 30, 2025.

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**Investment Activity** 

The following is a summary of our investment activity for the three months ended June 30, 2025 and March 31, 2025, and the six months ended June 30, 2025 and 2024 (dollar amounts in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
| | **For the Three Months Ended** | **For the Three Months Ended** | **For the Six Months Ended** | **For the Six Months Ended** |
| | **June 30, 2025** | **March 31, 2025** | **June 30, 2025** | **June 30, 2024** |
| Investments in debt and equity securities | $8755 | $4635 | $13390 | $12347 |
| Investments in Structured Finance Securities | 3752 | 5776 | 9528 |  |
| Total investment purchases and originations | $12507 | $10411 | $22918 | $12347 |
| Proceeds from principal payments | $4875 | $3290 | $8165 | $20904 |
| Proceeds from investments sold or redeemed | 15276 | 3137 | 18413 | 3673 |
| Proceeds from distributions received from portfolio investments | 3430 | 3504 | 6934 | 8118 |
| Total proceeds from principal payments, sales or redemptions, and distributions received from portfolio investments | $23581 | $9931 | $33512 | $32695 |

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**Risk Monitoring**

We categorize debt investments into seven risk categories based on relevant information about the ability of borrowers to service their debt. For additional information regarding our risk categories, see "Item 1. Business—Portfolio Review/Risk Monitoring" in our Annual Report on Form 10-K for the year ended December 31, 2024, filed on March 4, 2025. The following table shows the classification of our debt investments, excluding Structured Finance Securities, by credit risk rating as of June 30, 2025 and December 31, 2024 (dollar amounts in thousands):

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Debt Investments as of** | **Debt Investments as of** | **Debt Investments as of** | **Debt Investments as of** | **Debt Investments as of** | **Debt Investments as of** |
| | **June 30, 2025** | **June 30, 2025** | **June 30, 2025** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|<br>**Risk Category** | **Amortized Cost** | **Fair Value** | **% of Debt Investments, at Fair Value** | **Amortized Cost** | **Fair Value** | **% of Debt Investments, at Fair Value** |
| 1 (Low Risk) | $— | $— | —% | $— | $— | —% |
| 2 (Below Average Risk) |  |  |  |  |  |  |
| 3 (Average) | 151492 | 148786 | 70.4 | 160017 | 157941 | 70.5 |
| 4 (Special Mention) | 78316 | 52525 | 24.9 | 73388 | 57003 | 25.4 |
| 5 (Substandard) | 14113 | 8341 | 3.9 | 14113 | 7159 | 3.2 |
| 6 (Doubtful) | 4491 | 1677 | 0.8 | 4491 | 2102 | 0.9 |
| 7 (Loss) |  |  |  |  |  |  |
|  | $248412 | $211329 | 100.0% | $252009 | $224205 | 100.0% |

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**Non-Accrual Loans**

Management reviews, for placement on non-accrual status, all loans and CLO mezzanine debt investments that become past due on principal and interest, and/or when there is reasonable doubt that principal or interest will be collected. When a loan is placed on non-accrual status, accrued and unpaid cash interest is reversed. Additionally, Net Loan Fees are no longer recognized as of the date the loan is placed on non-accrual status. Depending upon management's judgment, interest payments subsequently received on non-accrual investments may be recognized as interest income or applied as a reduction to amortized cost. Interest accruals and Net Loan Fee amortization are resumed on non-accrual investments only when they are brought current with respect to principal and interest payments and, in the judgment of management, it is probable that the Company will collect all principal and interest from the investment.

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<u>As of June 30, 2025</u>

The following table shows the classification of our debt investments on non-accrual status (dollar amounts in thousands):

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| | | |
|:---|:---|:---|
| | **June 30, 2025** | **June 30, 2025** |
| | **Amortized Cost** | **Fair Value** |
| First lien debt | $32527 | $14993 |
| Second lien debt | 6584 | 166 |
| Total | $39111 | $15159 |

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For the three and six months ended June 30, 2025, no new loans were placed on non-accrual status.

<u>As of December 31, 2024</u>

The following table shows the classification of our debt investments on non-accrual status (dollar amounts in thousands):

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| | | |
|:---|:---|:---|
| | **December 31, 2024** | **December 31, 2024** |
| | **Amortized Cost** | **Fair Value** |
| First lien debt | $32540 | $18785 |
| Second lien debt | 6584 | 2018 |
| Total | $39124 | $20803 |

---

For the three months ended December 31, 2024, we sold a second lien debt investment, which was previously on non-accrual status, resulting in a net realized loss of $1.9 million.

 **Results of Operations**

Our key financial measures are described in "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations—Results of Operations—Key Financial Measures" in our Annual Report on Form 10-K for the year ended December 31, 2024, filed on March 4, 2025. The following is a discussion of the key financial measures that management employs in reviewing the performance of our operations.

We do not believe that our historical operating performance is necessarily indicative of our future results of operations. We are primarily focused on debt investments in middle-market and larger companies in the United States and, to a lesser extent, equity investments, including warrants and other minority equity securities, and Structured Finance Securities. Moreover, as a BDC and a RIC, we are also subject to certain constraints on our operations, including, but not limited to, limitations imposed by the 1940 Act and the Code. For the reasons described above, the results of operations described below may not necessarily be indicative of the results we expect to report in future periods.

Net increase (decrease) in net assets resulting from operations can vary substantially from period to period for various reasons, including the recognition of realized gains and losses and unrealized appreciation and depreciation. As a result, annual comparisons of net increase (decrease) in net assets resulting from operations may not be meaningful.

The following analysis compares our quarterly results of operations to the preceding quarter, as well as our year-to-date results of operations to the corresponding period in the prior year. We believe a comparison of our current quarterly results to the preceding quarter is more meaningful and transparent than a comparison to the corresponding prior-year quarter as our results of operations are not influenced by seasonal factors the latter comparison is designed to elicit and highlight.

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***Comparison of the three months ended June 30, 2025 and March 31, 2025 and comparison of the six months ended June 30, 2025 and 2024***

Consolidated operating results for the three months ended June 30, 2025 and March 31, 2025 and the six months ended June 30, 2025 and 2024 are as follows (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30, 2025** | **March 31, 2025** | **June 30, 2025** | **June 30, 2024** |
| **Investment income** | | | | |
| Interest income: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Cash interest income | $6459 | $6381 | $12840 | $16148 |
| &nbsp;&nbsp;&nbsp;PIK interest income | 398 | 388 | 786 | 834 |
| &nbsp;&nbsp;&nbsp;Net Loan Fee amortization | 197 | 205 | 402 | 860 |
| &nbsp;&nbsp;&nbsp;Accretion of interest income on CLO subordinated notes | 2919 | 2925 | 5844 | 3876 |
| &nbsp;&nbsp;&nbsp;Other interest income | 46 | 69 | 115 | 529 |
| Total interest income | 10019 | 9968 | 19987 | 22247 |
| Dividend income: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Cash dividends | 10 | 11 | 21 | 2458 |
| &nbsp;&nbsp;&nbsp;PIK dividends | 297 | 287 | 584 | 533 |
| Total dividend income | 307 | 298 | 605 | 2991 |
| Fee income: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Syndication fees | 121 |  | 121 | 106 |
| &nbsp;&nbsp;&nbsp;Prepayment and other fees | 29 | 29 | 58 | 54 |
| Total fee income | 150 | 29 | 179 | 160 |
| **Total investment income** | 10476 | 10295 | 20771 | 25398 |
| **Total expenses** | 7193 | 6830 | 14023 | 16365 |
| **Net investment income** | 3283 | 3465 | 6748 | 9033 |
| **Net loss on investments** | (12914) | (10752) | (23666) | (7754) |
| **Net increase (decrease) in net assets resulting from operations** | $(9631) | $(7287) | $(16918) | $1279 |

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**Investment Income**

*Comparison of the three months ended June 30, 2025 and March 31, 2025*

For the three months ended June 30, 2025, total investment income increased to $10.5 million from $10.3 million in the prior quarter, primarily due to an increase in non-recurring fee income of $0.1 million.

For the three months ended June 30, 2025, interest income and dividend income increased by $0.1 million compared to the prior quarter, primarily attributable to one additional accrual day.

Fee income is primarily comprised of unused fees, prepayment fees and syndication fees that generally result from periodic transactions rather than from holding portfolio investments, and are considered non-recurring. We receive syndication fees on investments where OFS Advisor sources, structures, and arranges the lending group. For the three months ended June 30, 2025, we recognized syndication fee income of $0.1 million, compared to no syndication fees for the three months ended March 31, 2025.

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*Comparison of the six months ended June 30, 2025 and 2024*

Total investment income for the six months ended June 30, 2025 decreased $4.6 million compared to the corresponding period in the prior year, primarily due to decreases in total dividend income of $2.4 million and total interest income of $2.3 million.

**Expenses**

Operating expenses for the three months ended June 30, 2025 and March 31, 2025, and the six months ended June 30, 2025 and 2024 are presented below (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30, 2025** | **March 31, 2025** | **June 30, 2025** | **June 30, 2024** |
| Interest expense | $3842 | $3858 | $7700 | $8689 |
| Base management fee | 1479 | 1549 | 3028 | 3001 |
| Income Incentive Fee | 821 | 330 | 1151 | 2258 |
| Professional fees | 403 | 436 | 839 | 828 |
| Administration fee | 382 | 394 | 776 | 847 |
| Other expenses | 266 | 263 | 529 | 742 |
| &nbsp;&nbsp;&nbsp;Total expenses | $7193 | $6830 | $14023 | $16365 |

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*Comparison of the three months ended June 30, 2025 and March 31, 2025*

Interest expense for the three months ended June 30, 2025 remained stable compared to the prior quarter.

Income Incentive Fees for the three months ended June 30, 2025 increased $0.5 million compared to the prior quarter, primarily due to an increase in net investment income return on net assets in the current quarter.

*Comparison of the six months ended June 30, 2025 and 2024*

Interest expense for the six months ended June 30, 2025 decreased $1.0 million compared to the corresponding period in the prior year, primarily due to a decrease in the average outstanding debt balance from $273.1 million during the corresponding period in the prior year to $248.5 million during the current year.

**Net realized and unrealized gain (loss) on investments**

Net loss on investments, inclusive of realized and unrealized gains (losses), by investment type for the three months ended June 30, 2025 and March 31, 2025, and the six months ended June 30, 2025 and 2024 were as follows (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 30, 2025** | **March 31, 2025** | **June 30, 2025** | **June 30, 2024** |
| Debt investments | $(2204) | $(8128) | $(10332) | $(4331) |
| Equity investments | (9118) | (1197) | (10315) | (5335) |
| Structured Finance Securities | (1739) | (1526) | (3265) | 2113 |
| Current/deferred income tax (expense) benefit | 147 | 99 | 246 | (201) |
| Total net loss on investments | $(12914) | $(10752) | $(23666) | $(7754) |

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<u>Net gain (loss) on investments for the three months ended June 30, 2025 and March 31, 2025</u>

*Three months ended June 30, 2025*

For the three months ended June 30, 2025, we recognized a net loss on investments of $12.9 million, primarily due to net unrealized depreciation of $7.8 million on our common equity investment in Pfanstiehl Holdings, Inc. and net unrealized depreciation of $2.0 million on our debt investments, of which $1.7 million related to our non-accrual debt investments.

*Three months ended March 31, 2025*

For the three months ended March 31, 2025, we recognized a net loss on investments of $10.8 million, primarily comprised of net losses of $8.1 million on our debt investments, of which $3.9 million related to non-accrual debt investments, and net losses of $1.5 million on our Structured Finance Securities.

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<u>Net gain (loss) on investments for the six months ended June 30, 2025 and 2024</u>

*Six months ended June 30, 2025*

For the six months ended June 30, 2025, we recognized a net loss on investments of $23.7 million, comprised of net unrealized depreciation of $17.1 million and net realized losses of $6.8 million. The net unrealized depreciation during the period was primarily due to depreciation of $6.3 million on our common equity investment in Pfanstiehl Holdings, Inc. and $5.6 million on our non-accrual debt investments.

*Six months ended June 30, 2024*

For the six months ended June 30, 2024, we recognized a net loss on investments of $7.8 million, comprised of net unrealized depreciation of $4.0 million and net realized losses of $3.5 million. The net loss during the period was primarily comprised of net unrealized depreciation of $5.8 million on our non-accrual debt investments offset, in part, by net unrealized appreciation of $4.0 million on our Structured Finance Securities.

**Liquidity and Capital Resources**

As of June 30, 2025, we held cash and cash equivalents of $10.2 million, which included $2.7 million held by OFSCC-FS. Distributions from OFSCC-FS to the Parent are restricted by the terms and conditions of the BNP Facility. During the six months ended June 30, 2025, the Parent received $4.9 million in cash distributions from OFSCC-FS.

As of June 30, 2025, we had an unused commitment of $25.0 million under our Banc of California Credit Facility, as well as an unused commitment of $86.6 million under our BNP Facility, both of which are subject to borrowing base requirements and other covenants. On June 18, 2025, OFSCC-FS executed an amendment to the BNP Facility to extend its reinvestment period to August 31, 2025, upon which the ability to access the unused commitment of the facility terminates. The BNP Facility is scheduled to mature on June 20, 2027. If we are unable to amend the BNP Facility to extend the reinvestment period or enter into a new credit facility, our short-term liquidity will be significantly reduced.

As of June 30, 2025, we had unfunded commitments of $16.1 million to ten portfolio companies.

As of June 30, 2025, the aggregate amount outstanding of the senior securities issued by us was $243.4 million, for which our asset coverage was 160%, exceeding our minimum asset coverage requirement of 150% under the 1940 Act. The asset coverage ratio for a class of senior securities representing indebtedness is calculated as our consolidated total assets, less all liabilities and indebtedness not represented by senior securities, divided by total senior securities representing indebtedness.

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**Sources and Uses of Cash**

We generate operating cash flows from net investment income and the net proceeds from the liquidation of portfolio investments, and use cash in our operations in the net purchase of portfolio investments and payment of expenses. Significant variations may exist between net investment income and cash from net investment income, primarily due to the recognition of non-cash investment income, including certain Net Loan Fee amortization, PIK interest and PIK dividends, which generally will not be fully realized in cash until we exit the investment, as well as accreted interest income on Structured Finance Securities, which may not coincide with cash distributions from these investments. As discussed in "Item 1.—Financial Statements—Note 3," we pay OFS Advisor a quarterly incentive fee with respect to our pre-incentive fee net investment income, which may include investment income that we have not received in cash. In addition, we must distribute substantially all of our taxable income, which approximates, but will not always equal, the cash we generate from net investment income to maintain our RIC tax treatment. We also obtain cash to fund investments or general corporate activities from the issuance of securities and our revolving lines of credit. These principal sources and uses of cash and liquidity are presented below (in thousands):

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| | | |
|:---|:---|:---|
| | **Six Months Ended June 30,** | **Six Months Ended June 30,** |
| | **2025** | **2024** |
| Cash from net investment income<sup>(1)</sup> | $6036 | $6091 |
| Net repayments and sales of portfolio investments<sup>(1)</sup> | 12195 | 16472 |
| Net cash provided by operating activities | 18231 | 22563 |
| Distributions paid to stockholders<sup>(2)</sup> | (9111) | (9111) |
| Net repayments under revolving lines of credit | (4950) | (21400) |
| Repayments of SBA debentures |  | (31920) |
| Net cash used in financing activities | (14061) | (62431) |
| Net increase (decrease) in cash and cash equivalents | $4170 | $(39868) |

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(1)&nbsp;&nbsp;&nbsp;&nbsp;Cash from net investment income includes all other cash flows from operating activities reported in our statements of cash flows. Net purchases and originations/repayments and sales of portfolio investments includes the purchase and origination of portfolio investments, proceeds from principal payments on portfolio investments, proceeds from sale or redemption of portfolio investments, changes in receivable for investments sold, payable from investments purchased as reported in our statements of cash flows, as well as differences in proceeds from distributions received from Structured Finance Securities relative to accretion of interest income on Structured Finance Securities.

(2)&nbsp;&nbsp;&nbsp;&nbsp;We currently estimate that a portion of our distributions for the year ending December 31, 2025 will be characterized as a tax return of capital. The determination of the tax attributes of our distributions is made annually as of the end of our fiscal year based upon our ICTI for the full year and distributions paid for the full year. Therefore, a determination made on a quarterly basis may not be representative of the actual tax attributes of our distributions for a full year.

<u>Cash from net investment income</u> 

For the six months ended June 30, 2025, cash from net investment income of $6.0 million remained stable compared to the six months ended June 30, 2024.

<u>Net (purchases and originations) / repayments and sales of portfolio investments</u> 

During the six months ended June 30, 2025, net repayments and sales of portfolio investments of $12.2 million were primarily due to $36.9 million of cash we received from principal repayments, sales on our portfolio investments and the proceeds from distributions received from Structured Finance Securities, net of accretion of interest income on Structured Finance Securities, partially offset by $24.7 million of cash we used to purchase portfolio investments. During the six months ended June 30, 2024, net repayments and sales of portfolio investments of $16.5 million were primarily due to $28.8 million of cash we received from principal repayments, sales on our portfolio investments and the net proceeds from distributions received from Structured Finance Securities and accretion of interest income on Structured Finance Securities, partially offset by $12.3 million of cash we used to purchase portfolio investments. See "—Portfolio Composition and Investment Activity—Investment Activity."

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**Borrowings**

As of June 30, 2025, we had $243.4 million of outstanding debt with a weighted-average effective interest rate of 6.13%.

<u>SBA Debentures</u>

On March 1, 2024, SBIC I LP fully repaid its outstanding SBA debentures totaling $31.9 million and, on April 17, 2024, surrendered its license to operate as a SBIC.

<u>Banc of California Credit Facility</u>

We are party to the BLA with Banc of California, as lender, to provide us with a senior secured revolving credit facility, or the Banc of California Credit Facility, which is available for general corporate purposes including investment funding and is scheduled to mature on February 28, 2026. The Banc of California Credit Facility currently bears interest at a variable Prime Rate plus a 0.25% margin, with a 5.00% floor, and an annual commitment fee of 0.50% based on the maximum principal amount of the facility. As of June 30, 2025, the effective interest rate on the Banc of California Credit Facility was 8.25%. The maximum availability of the Banc of California Credit Facility is equal to 50% of the aggregate outstanding principal amount of eligible loans included in the borrowing base, which typically excludes Structured Finance Securities and as otherwise specified in the BLA. The Banc of California Credit Facility is guaranteed by OFSCC-MB and secured by all of our and OFSCC-MB's current and future assets, excluding assets held by OFSCC-FS and SBIC I LP and our partnership interests in SBIC I LP.

The BLA contains customary terms and conditions, including, without limitation, affirmative and negative covenants, such as information reporting requirements, a minimum tangible net asset value, a minimum quarterly net investment income after incentive fees, a debt/worth ratio and a net loss restriction. The BLA also contains customary events of default, including, without limitation, nonpayment, misrepresentation of representations and warranties in a material respect, breach of covenant, cross-default to other indebtedness, bankruptcy, change in investment advisor, and the occurrence of a material adverse change in our financial condition. As of June 30, 2025, we were in compliance in all material respects with the applicable covenants under the Banc of California Credit Facility.

As of June 30, 2025, we had no outstanding indebtedness and an unused commitment of $25.0 million under the Banc of California Credit Facility, subject to a borrowing base and other covenants.

<u>Unsecured Notes</u>

As of June 30, 2025 and December 31, 2024, we had $180.0 million in outstanding Unsecured Notes. The Unsecured Notes are direct unsecured obligations and rank equal in right of payment with all of our current and future unsecured indebtedness. Because the Unsecured Notes are not secured by any of our assets, they are effectively subordinated to all existing and future secured unsubordinated indebtedness (or any indebtedness that is initially unsecured as to which we subsequently grant a security interest), to the extent of the value of the assets securing such indebtedness, including, without limitation, borrowings under the Banc of California Credit Facility and BNP Facility.

In order to, among other things, reduce future cash interest payments, as well as future amounts due at maturity or upon redemption, we may, from time to time, purchase the Unsecured Notes for cash in open market purchases and/or privately negotiated transactions. We will evaluate any such transactions in light of then-existing market conditions, taking into account our current liquidity, prospects for future access to capital, contractual restrictions and other factors. The amounts involved in any such transactions, individually or in the aggregate, may be material. During the six months ended June 30, 2025, no outstanding Unsecured Notes were repurchased.

As of June 30, 2025, the Unsecured Notes had the following terms and balances (dollar amounts in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
| **Unsecured Notes** | **Principal** | **Stated Interest Rate**<sup>(1)</sup> | **Effective Interest Rate**<sup>(2)</sup> | **Maturity**<sup>(3)</sup> |
| Unsecured Notes Due February 2026 | $125000 | 4.75% | 5.39% | February 10, 2026 |
| Unsecured Notes Due October 2028 | 55000 | 4.95 | 5.32 | October 31, 2028 |
| Total | $180000 |  |  |  |

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(1) The weighted-average fixed cash interest rate on the Unsecured Notes as of June 30, 2025 was 4.81%.

(2) The effective interest rate on the Unsecured Notes includes deferred debt issuance cost amortization.

(3) We may redeem the Unsecured Notes Due February 2026 in whole or in part at any time, or from time to time. We may be required to pay a "make-whole" premium on redemptions dated prior to November 10, 2025. We may redeem the Unsecured Notes Due October 2028 in whole or in part at any time.

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Subsequent to June 30, 2025, we caused notices to be issued to the holders of the Unsecured Notes Due February 2026

regarding the exercise of our option to redeem in aggregate $94.0 million of the issued and outstanding Unsecured Notes Due

February 2026. See "—Recent Developments" for additional information.

Subsequent to June 30, 2025, we closed the public offering of $69.0 million aggregate principal amount of our Unsecured Notes Due July 2028. See "—Recent Developments" for additional information.

<u>BNP Facility</u>

On June 20, 2019, OFSCC-FS entered into the BNP Facility, which provides for borrowings in an aggregate principal amount up to $150.0 million, of which $63.4 million was drawn as of June 30, 2025. Borrowings under the BNP Facility bear interest based on SOFR for the relevant interest period, plus an applicable spread (subject to an effective floor of 2.65%). The reinvestment period (and the ability to access the undrawn facility commitment) of the BNP Facility ends on August 31, 2025, unless extended. The BNP Facility is scheduled to mature on June 20, 2027. Borrowings under the BNP Facility are secured by substantially all of the assets held by OFSCC-FS. As of June 30, 2025, we were in compliance in all material respects with the applicable covenants under the BNP Facility.

On June 18, 2025, OFSCC-FS executed an amendment to the BNP facility to extend the reinvestment period under the BNP Facility from June 20, 2025 to August 31, 2025.

As of June 30, 2025, the effective interest rate on the BNP Facility was 8.27% and the unused commitment under the facility was $86.6 million, subject to a borrowing base and other covenants.

On a stand-alone basis, as of June 30, 2025 and December 31, 2024, OFSCC-FS held approximately $137.8 million and $151.0 million in total assets, respectively, which accounted for approximately 35% and 35% of our consolidated total assets, respectively.

**Other Liquidity Matters** 

We expect to fund the growth of our investment portfolio utilizing our current borrowings, follow-on equity offerings, and issuances of senior securities or future borrowings to the extent permitted by the 1940 Act. We cannot assure stockholders that our plans to raise capital will be successful or available to us on favorable terms, if at all. In addition, we intend to distribute to our stockholders substantially all of our taxable income in order to satisfy the requirements applicable to RICs under Subchapter M of the Code. Consequently, we may not have the funds or the ability to fund new investments or make additional investments in our portfolio companies. The illiquidity of our portfolio investments may make it difficult for us to sell these investments when desired and, if we are required to sell these investments, we may realize significantly less than their recorded value and incur a capital loss.

As a BDC, we must not acquire any assets other than "qualifying assets" specified in the 1940 Act unless, at the time the acquisition is made, at least 70% of our assets, as defined by the 1940 Act, are qualifying assets (with certain limited exceptions). Qualifying assets include investments in "eligible portfolio companies." Under the relevant SEC rules, the term "eligible portfolio company" includes all private companies, companies whose securities are not listed on a national securities exchange, and certain public companies that have listed their securities on a national securities exchange and have a market capitalization of less than $250 million, in each case organized in the United States. Conversely, we may invest up to 30% of our portfolio in opportunistic investments not otherwise eligible under BDC regulations. Specifically, as part of this 30% basket, we may consider investments in investment funds that are operating pursuant to certain exceptions to the 1940 Act and in advisers to similar investment funds, as well as in debt or equity of middle-market portfolio companies located outside of the United States and debt and equity of public companies that do not meet the definition of eligible portfolio companies because their market capitalization of publicly traded equity securities exceeds the levels provided for in the 1940 Act. We have, and may continue to, make opportunistic investments in Structured Finance Securities and other non-qualifying assets, consistent with our investment strategy. Investments in Structured Finance Securities are generally made in non-U.S. entities and therefore are generally deemed to be non-qualifying. As of June 30, 2025, approximately 80% of our investments were qualifying assets.

On May 3, 2018, our Board, including a required majority (as such term is defined in Section 57(o) of the 1940 Act) thereof, approved the application of the modified asset coverage requirements set forth in Section 61(a)(2) of the 1940 Act. As a result, effective May 3, 2019, our minimum required asset coverage ratio decreased from 200% to 150%.

On May 22, 2018, the Board authorized the Stock Repurchase Program under which we could acquire up to $10.0 million of our outstanding common stock through the two-year period ended May 22, 2020. On each of May 4, 2020 and May 3, 2022, our Board extended the Stock Repurchase Program for additional two-year periods. On April 30, 2024, our Board extended the Stock Repurchase Program for the two-year period ending on May 22, 2026. Under the extended Stock Repurchase Program, we are authorized to repurchase shares in open-market transactions, including through block purchases, depending on prevailing market conditions and other factors. We expect the Stock Repurchase Program to be in place through May 22, 2026, or until the approved dollar amount has been used to repurchase shares. The Stock Repurchase Program does not

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obligate us to acquire any specific number of shares, and all repurchases will be made in accordance with SEC Rule 10b-18, which sets certain restrictions on the method, timing, price and volume of stock repurchases. The Stock Repurchase Program may be extended, modified or discontinued at any time for any reason. We have provided our stockholders with notice of our intention to repurchase shares of our common stock in accordance with 1940 Act requirements. We retire all shares of common stock that we purchased in connection with the Stock Repurchase Program. During the six months ended June 30, 2025, we did not make any repurchases of common stock on the open market under the Stock Repurchase Program. As of June 30, 2025, the approximate dollar value of shares remaining that may be purchased under the program was $9.6 million.

As a BDC, we are generally not permitted to issue and sell our common stock at a price below net asset value per share. We may, however, sell our common stock, or warrants, options or rights to acquire our common stock, at a price below the then-current net asset value per share of our common stock if the Board determines that such sale is in the best interests of us and our stockholders, and if our stockholders approve such sale. On July 30, 2025, our stockholders approved a proposal to authorize us, with approval of our Board, to sell or otherwise issue shares of our common stock (during a twelve-month period) at a price below our then-current net asset value per share in one or more offerings, subject to certain limitations (including that the cumulative number of shares sold pursuant to such authority does not exceed 25% of our then outstanding common stock immediately prior to each such sale). We have not sold any shares below net asset value pursuant to the proposal approved by our stockholders.

We continue to monitor the current banking environment. If the banks and financial institutions with whom we have credit facilities enter into receivership, undergo consolidation or become insolvent in the future, our liquidity may be reduced significantly. At various times, our cash balances at third-party financial institutions exceed the federally insured limit. Our cash and cash equivalent balances are retained in custodian accounts with U.S. Bank Trust Company, National Association and Citibank N.A., and we do not believe they are exposed to any significant credit risk.

**Contractual Obligations and Off-Balance Sheet Arrangements**

<u>Contractual Obligations</u>

As of June 30, 2025, we had $10.2 million of cash and cash equivalents, as well unused commitments of $25.0 million under our Banc of California Credit Facility and $86.6 million under our BNP Facility, respectively, to meet our short-term contractual obligations, subject to contractual requirements and regulatory asset coverage requirements. The stated unused commitments on our credit facilities are each subject to a borrowing base and other covenants. As of June 30, 2025, we had $16.1 million in unfunded commitments to fund portfolio investments that can be funded with our current cash or credit facilities.

On June 18, 2025, OFSCC-FS executed an amendment to the BNP facility to extend the reinvestment period of the BNP Facility from June 20, 2025 to August 31, 2025, upon which the ability to access the unused commitment of the facility terminates. The BNP Facility is scheduled to mature on June 20, 2027. If we are unable to amend the BNP Facility to extend the reinvestment period or enter into a new credit facility, our short-term liquidity will be significantly reduced.

Long-term contractual obligations, such as our BNP Facility that matures in 2027 and had $63.4 million outstanding as of June 30, 2025, could be repaid by selling OFSCC-FS portfolio investments that have a fair value of $134.1 million as of June 30, 2025. A portion of the OFSCC-FS portfolio includes broadly syndicated loans in larger portfolio companies that generally can be sold over a relatively short period to generate cash. As of June 30, 2025, the broadly syndicated loan investments in the OFSCC-FS portfolio totaled $27.2 million at fair value. We cannot, however, be certain that this source of funds will be available and upon terms acceptable to us in sufficient amounts in the future. If we were required to liquidate a portfolio investment in a forced or liquidation sale, we could realize significantly less than its current fair value and incur significant realized losses on our invested capital.

As of June 30, 2025, we had $180.0 million of outstanding Unsecured Notes, of which $125.0 million matures on February 10, 2026. The Unsecured Notes Due February 2026 can be repaid by issuing additional senior securities to refinance the debt. If we refinance the Unsecured Notes Due February 2026 by issuing additional senior securities, current market rates for similar debt are higher than the stated rate of 4.75% on the Unsecured Notes Due February 2026. On July 23, 2025, we closed the public offering of $69.0 million aggregate principal amount of our 7.50% Unsecured Notes Due July 2028, which included $9.0 million of aggregate principal amount related to the underwriters' option to cover overallotments, and on each of July 11, 2025 and July 22, 2025, we caused notices to be issued to the holders of our Unsecured Notes Due February 2026 regarding the exercise of our option to redeem in August 2025 an aggregate $94.0 million of the issued and outstanding Unsecured Notes Due February 2026. See "—Recent Developments" for additional information.

As of June 30, 2025, approximately 23% of our outstanding debt matures in more than two years and 74% of our outstanding debt carries fixed interest rates and is unsecured. The issuance of $69.0 million of our Unsecured Notes Due July 2028 on July 23, 2025 extended our debt maturities.

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<u>Off-Balance Sheet Arrangements</u>

We have entered into contracts with third parties under which we have material future commitments — the Investment Advisory Agreement, pursuant to which OFS Advisor has agreed to serve as our investment adviser, and the Administration Agreement, pursuant to which OFS Services has agreed to furnish us with the facilities and administrative services necessary to conduct our day-to-day operations.

We may become a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financial needs of our portfolio companies. These instruments may include commitments to extend credit and involve, to varying degrees, elements of liquidity and credit risk in excess of the amount recognized on the balance sheet. There is no guarantee that these amounts will be funded to the borrowing party now or in the future. We continue to believe that we have sufficient levels of liquidity to support our existing portfolio companies and will meet these unfunded commitments by using our cash on hand or utilizing our available borrowing capacity under the Banc of California Credit Facility and BNP Facility.

**Distributions**

We are taxed as a RIC under the Code. In order to maintain our tax treatment as a RIC, we are required to distribute annually to our stockholders at least 90% of our ICTI, as defined by the Code. Additionally, to avoid a 4% excise tax on undistributed earnings we are required to distribute each calendar year the sum of: (i) 98% of our ordinary income for such calendar year; (ii) 98.2% of our net capital gains for the one-year period ending October 31 of that calendar year; and (iii) any income recognized, but not distributed, in preceding years and on which we paid no federal income tax. Maintenance of our RIC status requires adherence to certain source of income and asset diversification requirements. Generally, a RIC is entitled to deduct dividends it pays to its stockholders from its income to determine "taxable income". Taxable income includes our taxable interest, dividend and fee income, and taxable net capital gains. Taxable income generally differs from net income for financial reporting purposes due to temporary and permanent differences in the recognition of income and expenses, and generally excludes net unrealized appreciation or depreciation, as gains or losses are not included in taxable income until they are realized. In addition, gains realized for financial reporting purposes may differ from gains included in taxable income as a result of our election to recognize gains using installment sale treatment, which generally results in the deferment of gains for tax purposes until notes or other amounts, including amounts held in escrow received as consideration from the sale of investments, are collected in cash. Taxable income includes non-cash income, such as changes in accrued and reinvested interest and dividends, which includes contractual PIK interest, and the amortization of discounts and fees. Cash collections of income resulting from contractual PIK interest and dividends or the amortization of discounts and fees generally occur upon the repayment of the loans or debt securities that include such items. Non-cash taxable income is reduced by non-cash expenses, such as realized losses and depreciation, and amortization expense.

Our Board maintains a variable dividend policy with the objective of distributing quarterly distributions in an amount not less than 90% of our taxable quarterly income or potential annual income for a particular year. In addition, during the year, we may pay a special dividend, such that we may distribute approximately all of our annual taxable income in the year it was earned, while maintaining the option to spill over our excess taxable income to a following year. We may choose to retain a portion of our taxable income in any year and pay the 4% U.S. federal excise tax on the retained amounts. Distributions in excess of our current and accumulated ICTI would be treated first as a return of capital to the extent of the stockholder's adjusted tax basis, and any remaining distributions would be treated as a capital gain. We currently estimate that a portion of our distributions for the year ending December 31, 2025 will be characterized as a tax return of capital. Return of capital distributions may permanently reduce our total net assets, and may require us to borrow funds or liquidate assets in order to cover the return of capital portion of the distribution. The determination of the tax attributes of our distributions is made annually as of the end of our fiscal year based upon our estimated ICTI for the full year and distributions paid for the full year. Each year, a statement on Form 1099-DIV identifying the source of the distribution is mailed to our stockholders.

**Recent Developments**&nbsp;&nbsp;&nbsp;&nbsp;

***Redemption of Unsecured Notes Due 2026***

On July 11, 2025, we caused notices to be issued to the holders of the Unsecured Notes Due February 2026 regarding the exercise of our option to redeem on August 11, 2025 $25.0 million of the issued and outstanding amount of such notes, plus accrued interest. On July 22, 2025, we caused notices to be issued to the holders of the Unsecured Notes Due February 2026 regarding the exercise of our option to redeem on August 21, 2025 $69.0 million of the issued and outstanding amount of such notes, plus accrued interest. The Unsecured Notes Due February 2026 will be redeemed at the greater of (a) 100% of the principal amount of the Unsecured Notes Due February 2026 to be redeemed, or (b) the sum of the present value of the remaining scheduled payments of principal and interest (exclusive of accrued and unpaid interest to each respective redemption date) on the Unsecured Notes Due February 2026 to be redeemed, discounted to each respective redemption date on a semi-

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annual basis (assuming a 360-day year consisting of twelve 30-day months) using the applicable Treasury Rate plus 50 basis points.

***Issuance of Unsecured Notes Due July 2028***

On July 23, 2025, we closed the public offering of $69.0 million aggregate principal amount of our Unsecured Notes Due July 2028, which included $9.0 million of aggregate principal amount related to the underwriters' option to cover overallotments. The estimated net proceeds to us from the Unsecured Notes Due July 2028, after deducting underwriting fees of $1.4 million and estimated offering expenses of $0.3 million, was approximately $67.3 million. The Unsecured Notes Due July 2028 bear interest at a stated rate of 7.50% and will mature on July 31, 2028. We may redeem the Unsecured Notes Due July 2028 in whole or in part at any time, or from time to time, on or after July 31, 2026.

***Declaration of a Distribution***

On July 29, 2025, our Board declared a distribution of $0.34 per share for the third quarter of 2025, payable on September 30, 2025 to stockholders of record as of September 19, 2025.

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**Item 3. Quantitative and Qualitative Disclosures About Market Risk**

We are subject to financial market risks, including changes in interest rates and the valuations of our investment portfolio. The economic effects of the ongoing war between Russia and Ukraine, the escalated armed conflict and heightened regional tensions in the Middle East, interest rate and inflation rate changes, ongoing supply chain and labor market disruptions, including those as a result of strikes, work stoppages or accidents, the agenda of the U.S. presidential administration, including the impact of tariff enactment and tax reductions, trade disputes with other countries, instability in the U.S. and international banking systems and the risk of recession or a shutdown of U.S. government services has introduced significant volatility in the financial markets, and the effects of this volatility has impacted and could continue to impact our market risks. For additional information concerning risks and their potential impact on our business and our operating results, see *"*Part I—Item 1A. Risk Factors*"* in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, filed on March 4, 2025.

**Investment Valuation Risk**

Because there is not a readily available market value for most of the investments in our portfolio, we value a significant portion of our portfolio investments at fair value as determined in good faith by OFS Advisor, as valuation designee, based, in part, on independent third-party valuation firms that have been engaged at the direction of OFS Advisor to assist in the valuation of most portfolio investments without a readily available market quotation. Due to the inherent uncertainty of determining the fair value of investments that do not have a readily available market value, the fair value of our investments may fluctuate significantly from period-to-period. Additionally, the fair value of our investments may differ significantly from the values that would have been used had a ready market existed for such investments and may differ materially from the values that we may ultimately realize. Further, some investments may be subject to legal and other restrictions on resale or otherwise are less liquid than publicly traded securities. If we were required to liquidate a portfolio investment in a forced or liquidation sale, we could realize significantly less than its current fair value. See "Management's Discussion and Analysis of Financial Condition and Results of Operations—Critical Accounting Policies and Significant Estimates" as well as Notes 2 and 5 to our consolidated financial statements for the six months ended June 30, 2025 for more information relating to our investment valuation.

**Interest Rate Risk**

As of June 30, 2025, we held loans and mezzanine debt investments with an aggregate fair value of $202.0 million that bore interest at floating interest rates and contained interest rate reset provisions that adjust applicable interest rates to current rates on a periodic basis. The aggregate 100 basis point reduction in the U.S. Federal Reserve target federal funds rate enacted from September 2024 through December 2024 has resulted in our variable rate debt investments generating less interest income. Changes in interest rates, including potential additional interest rate reductions approved by the U.S. Federal Reserve, may impact our results of operations, cost of funding and the valuation of our investments. Additional reductions in interest rates would reduce our interest income, which could in turn decrease our net investment income if such decreases in base interest rates are not offset by other factors, such as increases in the spread over such base interest rates or decreases in our operating expenses.

Our Unsecured Notes bear interest at fixed rates, which may result in net interest margin compression in a period of falling rates. In addition, subsequent to June 30, 2025, we refinanced $69.0 million of our 4.75% Unsecured Notes due February 2026 with 7.50% Unsecured Notes due July 2028. The refinancing of this debt to a higher interest rate will result in net interest margin compression in future periods. As of June 30, 2025, our Banc of California Credit Facility and BNP Facility had floating interest rate provisions based on the applicable reference rates.

Interest rate sensitivity refers to the change in our earnings that may result from changes in the level of interest rates as of June 30, 2025. As of June 30, 2025, 1-month and 3-month SOFR were 4.32% and 4.29%, respectively. Assuming that the interim and unaudited consolidated balance sheet as of June 30, 2025 were to remain constant and that we took no actions to alter our existing interest rate sensitivity, the following tables show the annualized impact of hypothetical changes in interest rate indices (in thousands).

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| | | | |
|:---|:---|:---|:---|
| **Basis point increase** | **Interest income** | **Interest expense** | **Net change** |
| 25 | $375 | $(133) | $242 |
| 50 | 748 | (291) | 457 |
| 75 | 1121 | (450) | 671 |
| 100 | 1494 | (608) | 886 |
| 125 | 1867 | (767) | 1100 |

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| | | | |
|:---|:---|:---|:---|
| **Basis point decrease** | **Interest income** | **Interest expense** | **Net change** |
| 25 | $(371) | $184 | $(187) |
| 50 | (744) | 343 | (401) |
| 75 | (1117) | 501 | (616) |
| 100 | (1491) | 660 | (831) |
| 125 | (1864) | 818 | (1046) |

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Although we believe that the foregoing analysis is indicative of our net interest margin sensitivity to interest rate changes as of June 30, 2025, it does not adjust for potential changes in the credit market, credit quality, size and composition of the assets in our portfolio, and other business developments, including borrowings under our credit facilities, that could affect net increase in net assets resulting from operations, or net income. The preceding table does not reflect the impact of the subsequent partial refinancing of our 4.75% Unsecured Notes due February 2026. Accordingly, no assurances can be given that actual results would not differ materially from the statement above.

**Item 4. Controls and Procedures**

**Evaluation of Disclosure Controls and Procedures** 

Our management, with the participation of our Chief Executive Officer and Chief Financial Officer, evaluated the effectiveness of our disclosure controls and procedures as of June 30, 2025. The term "disclosure controls and procedures" (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act) means controls and other procedures of a company that are designed to ensure that information required to be disclosed by a company in reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC's rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by a company in the reports that it files or submits under the Exchange Act is accumulated and communicated to the company's management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure.

Management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving their objectives, and management necessarily applies its judgment in evaluating the cost-benefit relationship of possible controls and procedures. Based on the foregoing evaluation of our disclosure controls and procedures as of June 30, 2025, our Chief Executive Officer and Chief Financial Officer concluded that, as of such date, our disclosure controls and procedures were effective at the reasonable assurance level.

**Changes in Internal Control over Financial Reporting** 

During the quarter ended June 30, 2025, there were no changes in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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**PART II—OTHER INFORMATION**

**Item 1. Legal Proceedings**

We, OFS Advisor and OFS Services, are not currently subject to any material pending legal proceedings threatened against us as of June 30, 2025. From time to time, we may be a party to certain legal proceedings incidental to the normal course of our business, including the enforcement of our rights under contracts with our portfolio companies. Furthermore, third parties may try to seek to impose liability on us in connection with the activities of our portfolio companies. While the outcome of these legal proceedings cannot be predicted with certainty, we do not expect that these proceedings will have a material effect upon our business, financial condition, results of operations or cash flows.

**Item 1A. Risk Factors**

Investing in our common stock may be speculative and involves a high degree of risk. In addition to the other information contained in this Quarterly Report on Form 10-Q, including our financial statements, and the related notes, schedules and exhibits, you should carefully consider the risk factors described in "Part I, Item 1A. Risk Factors" in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024 (the "Annual Report on Form 10-K"), filed on March 4, 2025, which could materially affect our business, financial condition and/or operating results. The risks described in our Annual Report on Form 10-K are not the only risks facing our Company. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially and adversely affect our business, financial condition and/or operating results.

There have been no material changes to the risk factors previously disclosed in our Annual Report on Form 10-K. The risks previously disclosed in the Annual Report on Form 10-K should be read together with the other information disclosed elsewhere in this Quarterly Report on Form 10-Q and our other reports filed with the SEC.

**Item 2. Unregistered Sales of Equity Securities and Use of Proceeds**

***Sales of Unregistered Securities, Use of Proceeds***

None.

***Issuer Purchases of Equity Securities***

On May 22, 2018, the Board authorized the Company to initiate the Stock Repurchase Program under which the Company could acquire up to $10.0 million of its outstanding common stock through the two-year period ended May 22, 2020.

On each of May 4, 2020 and May 3, 2022, our Board extended the Stock Repurchase Program for additional two-year periods. On April 30, 2024, the Board extended the Stock Repurchase Program for the two-year period ending May 22, 2026. Under the extended Stock Repurchase Program, the Company is authorized to repurchase shares in open-market transactions, including through block purchases, depending on prevailing market conditions and other factors. The Company expects the Stock Repurchase Program to be in place through May 22, 2026, or until the approved dollar amount has been used to repurchase shares. The Stock Repurchase Program does not obligate the Company to acquire any specific number of shares, and all repurchases will be made in accordance with SEC Rule 10b-18, which sets certain restrictions on the method, timing, price and volume of stock repurchases. The Stock Repurchase Program may be extended, modified or discontinued at any time for any reason. The Company retires all shares of common stock that it purchases in connection with the Stock Repurchase Program. As of June 30, 2025, the approximate dollar value of shares remaining that may be purchased under the program was $9.6 million.

During the three months ended June 30, 2025, the Company did not make any repurchases of its common stock on the open market under the Stock Repurchase Program.

**Item 3. Defaults Upon Senior Securities**

Not applicable.

**Item 4. Mine Safety Disclosures**

Not applicable.

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**Item 5. Other Information**

***Rule 10b5-1 Trading Plans***

During the three months ended June 30, 2025, no director or officer of the Company adopted or terminated a "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement," as each term is defined in Item 408(a) of Regulation S-K.

***Price Range of Common Stock and Distributions***

The Company's common stock is traded on The Nasdaq Global Select Market under the symbol "OFS". The following table lists the high and low intraday sale price for the Company's common stock, NAV per share, and the cash distributions per share that were declared on its common stock for each fiscal quarter during the last two most recently completed fiscal years and each full fiscal quarter of the current fiscal year. The last reported sale price for our common stock on The Nasdaq Global Select Market on June 30, 2025 was $8.44 per share.

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **NAV Per Share**<sup>(1)</sup> | **Price Range** | **Price Range** | **Premium (Discount) of High Sales Price to NAV** | **Premium (Discount) of Low Sales Price to NAV** | **Cash Distribution per Share** |
|<br>**Period** | **NAV Per Share**<sup>(1)</sup> | **High** | **Low** | **Premium (Discount) of High Sales Price to NAV** | **Premium (Discount) of Low Sales Price to NAV** | **Cash Distribution per Share** |
| **Fiscal 2025** | | | | | | |
| Second Quarter | $10.91 | $9.52 | $7.88 | -12.7% | -27.8% | $0.34 |
| First Quarter | $11.97 | $9.80 | $7.92 | -18.1% | -33.8% | $0.34 |
| **Fiscal 2024** |  |  |  |  |  |  |
| Fourth Quarter | $12.85 | $8.98 | $7.81 | -30.1% | -39.2% | $0.34 |
| Third Quarter | $11.29 | $9.35 | $7.75 | -17.2% | -31.4% | $0.34 |
| Second Quarter | $11.51 | $10.14 | $8.42 | -11.9% | -26.8% | $0.34 |
| First Quarter | $11.08 | $12.07 | $9.53 | 8.9% | -14.0% | $0.34 |
| **Fiscal 2023** |  |  |  |  |  |  |
| Fourth Quarter | $12.09 | $12.41 | $9.69 | 2.6% | -19.9% | $0.34 |
| Third Quarter | $12.74 | $12.44 | $9.51 | -2.4% | -25.4% | $0.34 |
| Second Quarter | $12.94 | $11.01 | $9.10 | -14.9% | -29.7% | $0.33 |
| First Quarter | $13.42 | $10.92 | $9.60 | -18.6% | -28.5% | $0.33 |

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(1)NAV per share is determined as of the last day in the relevant quarter and therefore may not reflect the NAV per share on the date of the high and low sales prices. The NAVs shown are based on outstanding shares at the end of each period.

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**Item 6. Exhibits**

Listed below are the exhibits that are filed as part of this report (according to the number assigned to them in Item 601 of Regulation S-K):

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| | | | | |
|:---|:---|:---|:---|:---|
| | | **Incorporated by Reference** | **Incorporated by Reference** | |
|<br>**Exhibit<br>Number** |<br>**Description** | **Form and SEC File No.** | **Filing Date with SEC** |<br>**Filed with this 10-Q** |
| 3.1 | <u>[Certificate of Incorporation of OFS Capital Corporation](https://www.sec.gov/Archives/edgar/data/1487918/000119312511070291/dex99a2.htm)</u> | Form N-2/A <br>(333-166363) | March 18, 2011 | |
| 3.2 | <u>[Certificate of Correction to Certificate of Incorporation of OFS Capital Corporation](https://www.sec.gov/Archives/edgar/data/1487918/000119312513126858/d504495dex33.htm)</u> | Form 10-K (814-00813) | March 26, 2013 | |
| 3.3 | <u>[Bylaws of OFS Capital Corporation](https://www.sec.gov/Archives/edgar/data/1487918/000119312511070291/dex99b2.htm)</u> | Form N-2/A <br>(333-166363) | March 18, 2011 | |
| 10.1 | <u>[Third Amendment to the Revolving Credit and Security Agreement by and among OFSCC-FS, LLC, as borrower, the lenders from time to time party thereto, BNP Paribas, as administrative agent, OFSCC-FS Holdings, LLC, as equityholder, OFS Capital Corporation, as servicer, Virtus Group, LP, as collateral administrator, and Citibank, N.A., as collateral agent, dated June 18, 2025](https://www.sec.gov/Archives/edgar/data/1487918/000148791825000050/ofsccbnpthirdamendmenttorc.htm)</u> | Form 8-K (814-00813) | June 20, 2025 | |
| 31.1 | <u>[Certification of Chief Executive Officer pursuant to Rules 13a-14 and 15d-14(a) of the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act](ofs2025q2ex311.htm)</u> | | | \* |
| 31.2 | <u>[Certification of Chief Financial Officer pursuant to Rules 13a-14 and 15d-14(a) of the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act](ofs2025q2ex312.htm)</u> | | | \* |
| 32.1 | <u>[Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002](ofs2025q2ex321.htm)</u> | | | † |
| 32.2 | <u>[Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002](ofs2025q2ex322.htm)</u> | | | † |
| 101 | Inline XBRL Document Set for the consolidated financial statements and accompanying notes in Part I, Item 1, "Financial Statements" of this Quarterly Report on Form 10-Q. | | | \* |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | | | \* |

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\* Filed herewith <br> † Furnished herewith

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**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

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| | | |
|:---|:---|:---|
| Dated: July 31, 2025 | OFS CAPITAL CORPORATION | OFS CAPITAL CORPORATION |
|  | By: | /s/ Bilal Rashid |
|  | Name: | Bilal Rashid |
|  | Title: | Chief Executive Officer |
|  | By: | /s/ Kyle Spina |
|  | Name: | Kyle Spina |
|  | Title: | Chief Financial Officer |

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## Exhibit 31.1

**Exhibit 31.1**

**Certification of Chief Executive Officer**

I, Bilal Rashid, Chief Executive Officer of OFS Capital Corporation certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this quarterly report on Form 10-Q of OFS Capital Corporation (the "Registrant");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The Registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) evaluated the effectiveness of the Registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) disclosed in this report any change in the Registrant's internal control over financial reporting that occurred during the Registrant's most recent fiscal quarter (the Registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the Registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The Registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Registrant's auditors and the audit committee of the Registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant's internal control over financial reporting.

Dated this 31st day of July, 2025.

---

| | |
|:---|:---|
| By: | /s/ Bilal Rashid |
|  | **Bilal Rashid** |
|  | **Chief Executive Officer** |

---

## Exhibit 31.2

**Exhibit 31.2**

**Certification of Chief Financial Officer**

I, Kyle Spina, Chief Financial Officer of OFS Capital Corporation certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this quarterly report on Form 10-Q of OFS Capital Corporation (the "Registrant");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The Registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) evaluated the effectiveness of the Registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) disclosed in this report any change in the Registrant's internal control over financial reporting that occurred during the Registrant's most recent fiscal quarter (the Registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the Registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The Registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Registrant's auditors and the audit committee of the Registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant's internal control over financial reporting.

Dated this 31st day of July, 2025.

---

| | |
|:---|:---|
| By: | /s/ Kyle Spina |
|  | **Kyle Spina** |
|  | **Chief Financial Officer** |

---

## Exhibit 32.1

**Exhibit 32.1**

**Certification of Chief Executive Officer**

**Pursuant to 18 U.S.C. Section 1350 , as adopted Pursuant to** 

**Section 906 of the Sarbanes-Oxley Act of 2002**

In connection with the Quarterly Report on Form 10-Q for the period ended June 30, 2025 (the "Report") of OFS Capital Corporation (the "Registrant"), as filed with the Securities and Exchange Commission on the date hereof, I, Bilal Rashid, the Chief Executive Officer of the Registrant, hereby certify, to the best of my knowledge, pursuant to 18 U.S.C. Section 1350, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Registrant.

---

| | |
|:---|:---|
| | /s/ Bilal Rashid |
| **Name:** | **Bilal Rashid** |
| **Date:** | **July 31, 2025** |

---

## Exhibit 32.2

**Exhibit 32.2**

**Certification of Chief Financial Officer**

**Pursuant to 18 U.S.C. Section 1350 , as adopted Pursuant to** 

**Section 906 of the Sarbanes-Oxley Act of 2002**

In connection with the Quarterly Report on Form 10-Q for the period ended June 30, 2025 (the "Report") of OFS Capital Corporation (the "Registrant"), as filed with the Securities and Exchange Commission on the date hereof, I, Kyle Spina, the Chief Financial Officer of the Registrant, hereby certify, to the best of my knowledge, pursuant to 18 U.S.C. Section 1350, that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Registrant.

---

| | |
|:---|:---|
| | /s/ Kyle Spina |
| **Name:** | **Kyle Spina** |
| **Date:** | **July 31, 2025** |

---

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