Pengana Global Private Credit Trust reported a robust half-year performance with $7.5 million net profit and a stable NAV of $2.00 per unit, supported by a $69 million capital raise and an 8.9% annual yield. Despite increased market volatility, the Trust’s diversified private credit portfolio remains resilient.
- Half-year net operating profit of $7.5 million, up from $4.9 million
- Raised approximately $69 million in new capital in October 2025
- Stable NAV per unit at $2.0024 despite public market fluctuations
- Maintained monthly distributions at 1.3 cents per unit plus an additional 2 cents per unit in August
- Portfolio diversified across 26 funds and over 4,500 loans, predominantly senior secured
Strong Financial Results and Capital Growth
Pengana Global Private Credit Trust (ASX: PCX) has delivered a solid half-year financial performance for the period ending 31 December 2025, reporting a net operating profit of $7.5 million, a significant increase from $4.9 million in the prior corresponding period. Total investment income rose to $8.7 million, reflecting the Trust’s effective portfolio management and income generation capabilities.
Notably, the Trust successfully raised approximately $69 million of new capital in October 2025, broadening its investor base and enhancing its capacity to pursue diversified private credit opportunities globally. This capital injection underpins the Trust’s growth ambitions and its ability to maintain stable distributions to unitholders.
Stable NAV and Distribution Amid Market Volatility
Despite heightened volatility in public credit markets driven by macroeconomic shifts and tighter funding conditions, PCX’s net asset value (NAV) per unit remained stable at $2.0024. The Trust’s portfolio, predominantly invested in senior secured loans across North America, Western Europe, and Australia, has demonstrated resilience, with no broad impairment observed.
Monthly distributions were maintained at 1.3 cents per unit throughout the half-year, complemented by an additional 2 cents per unit distribution paid in August 2025. This brought the total yield for the 12 months to 31 December 2025 to an attractive 8.9%, exceeding the Trust’s minimum income objective of 7% per annum.
Portfolio Construction and Risk Management
The Trust’s portfolio remains highly diversified, spanning 26 underlying funds and more than 4,500 individual loans. The investment strategy prioritises first-lien senior secured loans, which offer structural protections and capital preservation benefits. Manager selection focuses on those with demonstrated cycle experience and conservative underwriting standards, supported by active oversight and ongoing risk management.
While credit conditions have become more selective, the Trust’s defensive positioning and diversification have mitigated systemic risks. The Responsible Entity, Pengana Investment Management Limited, alongside the Investment Manager, Pengana Credit Pty Ltd, continue to monitor market developments closely to safeguard unitholder interests.
Operational Highlights and Governance
The Trust operates as a closed-end unit trust listed on the ASX, investing via Profit Participating Notes in a Cayman Islands-based Feeder Fund and Master Fund structure. The interim report, independently reviewed by Ernst & Young, confirms compliance with Australian Accounting Standards and regulatory requirements.
During the half-year, the Trust repurchased 397,233 units (approximately 0.5% of outstanding units) through its quarterly off-market buyback scheme, reflecting ongoing capital management efforts. No performance fees were accrued for the period, with management fees aligned to the Trust’s NAV.
Looking Ahead
Market volatility is expected to persist as global economies adjust to tighter financial conditions. However, the Trust’s conservative portfolio construction and disciplined investment approach position it well to continue delivering stable income and capital resilience. The management team remains committed to executing the investment strategy with a focus on risk mitigation and income generation.
Bottom Line?
Pengana Global Private Credit Trust’s strong half-year results and strategic capital raise set the stage for continued resilience amid evolving market conditions.
Questions in the middle?
- How will ongoing global economic tightening impact the Trust’s underlying private credit portfolios?
- What is the outlook for performance fees as market conditions evolve beyond the half-year period?
- Could the Trust increase its allocation to Australian private credit markets given their smaller size and development?