INDEX TO CONSOLIDATED FINANCIAL STATEMENTS Page Report of Independent Registered Public Accounting Firm (PCAOB ID #34) 129 Consolidated Statements of Assets and Liabilities as of June 30, 2026 and June 30, 2025 131 Consolidated Statements of Operations for the years ended June 30, 2026, 2025 and 2024 132 Consolidated Statements of Other Comprehensive Income for the years ended June 30, 2026, June 30, 2025 and June 30, 2024 134 Consolidated Statements of Changes in Net Assets and Temporary Equity for the years ended June 30, 2026, 2025 and 2024 135 Consolidated Statements of Cash Flows for the years ended June 30, 2026, 2025 and 2024 136 Consolidated Schedules of Investments as of June 30, 2026 and June 30, 2025 138 Notes to Consolidated Financial Statements 187 128 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the shareholders and the Board of Directors of Prospect Capital Corporation Opinion on the Financial Statements and Financial Highlights We have audited the accompanying consolidated statements of assets and liabilities of Prospect Capital Corporation (the "Company"), including the consolidated schedules of investments, as of June 30, 2026 and 2025, the related consolidated statements of operations, other comprehensive income, cash flows, changes in net assets and temporary equity, and the financial highlights for each of the three years in the period ended June 30, 2026, and the related notes. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Company as of June 30, 2026 and 2025, and the results of its operations, changes in net assets and temporary equity, cash flows, and the financial highlights for each of the three years in the period ended June 30, 2026, in conformity with accounting principles generally accepted in the United States of America. We have also audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the Company's internal control over financial reporting as of June 30, 2026, based on criteria established in Internal Control — Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission and our report dated August 20, 2026 expressed an unqualified opinion on the Company's internal control over financial reporting. Basis for Opinion These financial statements and financial highlights are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements and financial highlights based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of investments owned as of June 30, 2026 and 2025, by correspondence with the custodian, loan agents, and borrowers; when replies were not received, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion. Critical Audit Matter The critical audit matter communicated below is a matter arising from the current-period audit of the financial statements that was communicated or required to be communicated to the audit committee and that (1) relates to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates. Fair Valuation of Level 3 Investments - Refer to Notes 2 and 3 to the Financial Statements Critical Audit Matter Description The Company held certain portfolio investments, classified as Level 3 investments, including First and Second Lien debt, unsecured debt and equity. The Company's determination of fair value for these Level 3 investments involved subjective judgments and estimates including the selection of valuation methodologies and unobservable inputs. 129 We identified the valuation of Level 3 investments as a critical audit matter given the significant judgments made by the Company to estimate the fair value. This required a high degree of auditor judgment and extensive audit effort, including the need to involve fair value specialists who possess significant valuation experience, to evaluate the appropriateness of the valuation methodologies and the significant unobservable inputs used by the Company in the determination of fair value. How the Critical Audit Matter Was Addressed in the Audit Our audit procedures related to the valuation of Level 3 investments included the following, among others: •We tested the design, implementation, and operating effectiveness of the Company's controls over the valuation of Level 3 investments, including those over the selection of valuation methodologies and development of unobservable inputs. •We evaluated the appropriateness of the valuation methodologies and the reasonableness of the significant unobservable inputs. For a selection of Level 3 investments, we utilized the assistance of our fair value specialists to perform our audit procedures. •With the assistance of our fair value specialists, we developed independent fair value estimates and compared our estimates to the Company's concluded values for a selection of Level 3 investments. •We evaluated management's ability to reasonably estimate fair value by comparing management's historical estimates of fair value to subsequent transactions, taking into account changes in market or investment specific conditions, where applicable. /s/ DELOITTE & TOUCHE LLP New York, New York August 20, 2026 We have served as the Company’s auditor since 2023. 130 PROSPECT CAPITAL CORPORATION CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES (in thousands, except share and per share data) June 30, 2026 June 30, 2025 Assets Investments at fair value: Control investments (amortized cost of $3,367,618 and $3,416,244, respectively)(Note 14) $ 3,644,274 $ 3,696,367 Affiliate investments (amortized cost of $12,835 and $11,735, respectively) 30,447 27,057 Non-control/non-affiliate investments (amortized cost of $2,934,916 and $3,265,522, respectively) 2,667,837 2,950,092 Total investments at fair value (amortized cost of $6,315,369 and $6,693,501, respectively)(Note 3) 6,342,558 6,673,516 Cash and cash equivalents (restricted cash of $2,812 and $4,282, respectively) 43,572 50,788 Receivables for: Interest, net 17,350 25,144 Other 9,228 1,642 Derivative Assets, at fair value (Note 6) 18,900 — Deferred financing costs on Revolving Credit Facility (Note 4) 14,128 18,842 Prepaid expenses 1,419 1,488 Due from Prospect Administration, net (Note 13) 1,351 — Due from Affiliate (Note 13) 61 125 Due from broker 60 33,393 Total Assets 6,448,627 6,804,938 Liabilities Public Notes (less unamortized discount and debt issuance costs of $10,547 and $6,556, respectively) (Notes 6 and 8) 690,841 593,444 Prospect Capital InterNotes® (less unamortized debt issuance costs of $7,399 and $8,687, respectively) (Notes 7 and 8) 607,480 638,545 Revolving Credit Facility (Notes 4 and 8) 562,328 856,322 Due to Prospect Capital Management (Note 13) 38,946 41,757 Dividends payable 18,252 28,836 Interest payable 13,968 15,116 Due to broker 9,156 5,639 Accrued expenses 3,675 3,490 Due to Prospect Administration (Note 13) — 2,602 Other liabilities 685 515 Total Liabilities 1,945,331 2,186,266 Commitments and Contingencies (Note 3 and Note 15) Preferred Stock, par value $0.001 per share (766,678,529 and 836,490,792 shares of preferred stock authorized; 68,468,200 and 70,915,937 issued and outstanding, respectively) (Note 9) 1,574,450 1,629,900 Net Assets Applicable to Common Shares $ 2,928,846 $ 2,988,772 Components of Net Assets Applicable to Common Stock and Net Assets, respectively Common stock, par value $0.001 per share (1,233,321,471 and 1,163,509,208 common shares authorized; 512,746,556 and 455,902,826 issued and outstanding, respectively) (Note 9) 513 456 Paid-in capital in excess of par (Note 9 and 12) 4,310,026 4,182,453 Accumulated other comprehensive income (loss) 5,801 — Distributions in excess of earnings (Note 12) (1,387,494) (1,194,137) Net Assets Applicable to Common Shares $ 2,928,846 $ 2,988,772 Net Asset Value Per Common Share (Note 16) $ 5.71 $ 6.56 See notes to consolidated financial statements. 131 PROSPECT CAPITAL CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (Continued) (in thousands, except share and per share data) Year Ended June 30, 2026 2025 2024 Investment Income Interest income (excluding payment-in-kind (“PIK”) interest income): Control investments $ 230,683 $ 226,077 $ 183,343 Non-control/non-affiliate investments 285,157 340,762 410,219 Structured credit securities — 14,017 35,722 Total interest income (excluding PIK interest income) 515,840 580,856 629,284 PIK interest income: Control investments 50,226 55,230 97,194 Non-control/non-affiliate investments 15,866 35,023 43,834 Total PIK Interest Income 66,092 90,253 141,028 Total interest income (Note 2) 581,932 671,109 770,312 Dividend income: Control investments 32,503 8,774 737 Affiliate investments 1,612 681 2,291 Non-control/non-affiliate investments 12,852 9,923 8,925 Total dividend income 46,967 19,378 11,953 Other income: Control investments 1,659 18,957 68,735 Non-control/non-affiliate investments 8,896 9,992 10,662 Total other income (Note 10) 10,555 28,949 79,397 Total Investment Income 639,454 719,436 861,662 Operating Expenses Base management fee (Note 13) 130,934 145,756 157,001 Income incentive fee (Note 13) 26,508 40,772 80,548 Interest and credit facility expenses 129,885 148,275 160,246 Allocation of overhead from Prospect Administration (Note 13) 22,095 22,257 25,781 Audit, compliance and tax related fees 1,701 4,137 3,717 Directors’ fees 600 600 570 Other general and administrative expenses 18,469 18,799 13,963 Total Operating Expenses 330,192 380,596 441,826 Reimbursement of Administration Expenses (Note 13) (17,125) — — Total Net Operating Expenses 313,067 380,596 441,826 Net Investment Income 326,387 338,840 419,836 Net Realized and Net Change in Unrealized Gains (Losses) from Investments Net realized gains (losses) Control investments (116,426) 6,378 1,039 Non-control/non-affiliate investments (107,293) (525,060) (418,482) Net realized gains (losses) (223,719) (518,682) (417,443) Net change in unrealized gains (losses) Control investments (3,466) (300,131) 8,959 Affiliate investments 2,291 8,847 4,933 Non-control/non-affiliate investments 48,349 230 246,797 Net change in unrealized gains (losses) 47,174 (291,054) 260,689 Net Realized and Net Change in Unrealized Gains (Losses) from Investments (176,545) (809,736) (156,754) Net realized gains (losses) on extinguishment of debt 4,219 972 (248) Net realized gains (losses) from derivative instruments and foreign currency transactions (1,042) — — Net change in unrealized gains (losses) from derivative instruments and foreign currency transactions 643 — — Net Increase (Decrease) in Net Assets Resulting from Operations 153,662 (469,924) 262,834 See notes to consolidated financial statements. 132 PROSPECT CAPITAL CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (Continued) (in thousands, except share and per share data) Year Ended June 30, 2026 2025 2024 Preferred Stock dividends (106,645) (106,822) (98,089) Net gain (loss) on redemptions of Preferred Stock (9,592) (1,937) (5,173) Gain (loss) on Accretion to Redemption Value of Preferred Stock (7,597) (15,079) (12,156) Net Increase (Decrease) in Net Assets Resulting from Operations applicable to Common Stockholders $ 29,828 $ (593,762) $ 147,416 Basic and diluted earnings (loss) per common share (Note 11) Basic $ 0.06 $ (1.35) $ 0.36 Diluted $ 0.06 $ (1.35) $ 0.34 Weighted-average shares of common stock outstanding (Note 11) Basic 479,866,265 440,314,909 412,703,365 Diluted 479,866,265 440,314,909 625,276,736 See notes to consolidated financial statements. 133 PROSPECT CAPITAL CORPORATION CONSOLIDATED STATEMENTS OF OTHER COMPREHENSIVE INCOME (in thousands, except share and per share data) Year Ended June 30, 2026 2025 2024 Net Increase (Decrease) in Net Assets Resulting from Operations $ 153,662 $ (469,924) $ 262,834 Other comprehensive income (loss): Gains (losses) on derivative instruments designated as cash flow hedges 3,809 — — Gains (losses) on excluded components relating to forward points 2,129 — — Reclassification adjustments included in interest expense (137) — — Total other comprehensive income (loss) 5,801 — — Total comprehensive income (loss) $ 159,463 $ (469,924) $ 262,834 See notes to consolidated financial statements. 134 PROSPECT CAPITAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN NET ASSETS AND TEMPORARY EQUITY (in thousands, except share and per share data) Preferred Stock Classified as Temporary Equity Common Stock Shares Carrying Value Shares Par Paid-in capital in excess of par Accumulated Other Comprehensive Income Distributions in excess of earnings Total Net Assets Balance as of June 30, 2023 62,102,009 $ 1,418,014 404,033,549 $ 404 $ 4,085,207 $ — $ (352,946) $ 3,732,665 Net Increase in Net Assets Resulting from Operations: Net investment income 419,836 419,836 Net realized losses (435,020) (435,020) Net change in net unrealized losses 260,689 260,689 Distributions to Stockholders(Note 12): Distributions from earnings (328,243) (328,243) Return of capital to common stockholders (67,479) (67,479) Capital Transactions Issuance of preferred stock 11,311,600 250,775 — Accretion of preferred stock to redemption value 12,110 — Repurchase of preferred stock (711,497) (17,155) — Value of shares issued through reinvestment of dividends 143,210 3,417 6,736,142 8 37,391 37,399 Conversion of preferred stock to common stock (3,379,195) (80,829) 14,077,272 13 91,873 91,886 Net increase (decrease) in preferred dividend accrual (144) — Tax reclassifications of net assets (Note 12) 595 (595) — Total (decrease) increase for the year ended June 30, 2024 7,364,118 168,174 20,813,414 21 62,380 — (83,333) (20,932) Balance as of June 30, 2024 69,466,127 $ 1,586,188 424,846,963 $ 425 $ 4,147,587 $ — $ (436,279) $ 3,711,733 Net Decrease in Net Assets Resulting from Operations: Net investment income 338,840 338,840 Net realized losses (534,726) (534,726) Net change in net unrealized losses (291,054) (291,054) Distributions to Stockholders(Note 12)(1): Distributions from earnings (300,745) (300,745) Return of capital to common stockholders (70,137) (70,137) Capital Transactions Issuance of preferred stock 5,784,937 128,272 — Accretion of preferred stock to redemption value 15,079 — Value of shares issued through reinvestment of dividends 164,116 3,919 7,505,661 7 31,526 31,533 Redemption of Preferred Stock (91,183) (2,280) — Conversion of preferred stock to common stock (4,408,060) (101,258) 23,550,202 24 103,304 103,328 Net increase (decrease) in preferred dividend accrual (20) — Tax reclassifications of net assets (Note 12) (29,827) 29,827 — Total (decrease) increase for the year ended June 30, 2025 1,449,810 43,712 31,055,863 31 34,866 — (757,858) (722,961) Balance as of June 30, 2025 70,915,937 $ 1,629,900 455,902,826 $ 456 $ 4,182,453 $ — $ (1,194,137) $ 2,988,772 Net Decrease in Net Assets Resulting from Operations: Net investment income 326,387 326,387 Net realized losses (237,731) (237,731) Net change in net unrealized losses 47,817 47,817 Other Comprehensive Income (Loss): Gain (loss) on derivatives designated as cash flow hedges 3,672 3,672 Gain (loss) on Excluded Component 2,129 2,129 Distributions to Stockholders(Note 12)(1): Distributions from earnings (346,170) (346,170) Return of capital to common stockholders (10,170) (10,170) Capital Transactions Issuance of preferred stock 3,099,678 66,105 — Accretion of preferred stock to redemption value 7,597 — Value of shares issued through reinvestment of dividends 160,822 3,850 10,834,822 11 27,473 27,484 Redemption of Preferred Stock (447,731) (11,193) — Conversion of preferred stock to common stock (5,260,506) (121,825) 46,008,908 46 126,610 126,656 Net increase (decrease) in preferred dividend accrual 16 — Tax reclassifications of net assets (Note 12) (16,340) 16,340 — Total (decrease) increase for the year ended June 30, 2026 (2,447,737) (55,450) — 56,843,730 57 127,573 5,801 (193,357) (59,926) Balance as of June 30, 2026 68,468,200 $ 1,574,450 — 512,746,556 $ 513 $ 4,310,026 $ 5,801 $ (1,387,494) $ 2,928,846 (1) Certain reclassifications have been made in the presentation of prior year and prior quarter amounts to conform to the presentation for the current fiscal year. In addition, we have not yet finalized return of capital estimates, if any, for the current tax year ended August 31, 2026. See Note 2 and Note 12 within the accompanying notes to consolidated financial statements for further discussion on tax reclassification of net assets and tax basis components of dividends. See notes to consolidated financial statements. 135 PROSPECT CAPITAL CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands, except share data) Year Ended June 30, 2026 2025 2024 Operating Activities Net increase (decrease) in net assets resulting from operations $ 153,662 $ (469,924) $ 262,834 Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash used in operating activities: Net realized (gains) losses on extinguishment of debt (4,219) (972) 248 Net realized losses on investments 223,719 518,682 417,443 Net realized (gains) losses from derivative instruments and foreign currency transactions 998 — — Net change in unrealized (gains) losses on investments (47,174) 291,054 (260,689) Net change in unrealized (gains) losses from derivative instruments and foreign currency transactions (643) — — Accretion of premiums, net (6,766) (10,528) (5,844) Amortization of deferred financing costs 8,736 8,530 7,470 Accretion of original issue discount 1,923 2,937 2,876 Payment-In-Kind interest and dividend income (75,597) (90,253) (141,028) Structuring fees (4,155) (8,479) (7,603) Proceeds from settlement of forward contract 335 — — Change in operating assets and liabilities: Payments for purchases of investments (373,845) (793,866) (615,825) Proceeds from sale of investments and collection of investment principal 586,071 1,060,457 536,830 Net Reductions to Subordinated Structured Notes and related investment cost 28,705 77,660 83,403 (Increase) decrease in interest receivable, net 7,794 1,792 (4,235) (Increase) decrease in due from broker 33,333 (32,659) (117) (Increase) decrease in other receivables (7,561) (551) (40) (Increase) decrease in due from Affiliate 64 (46) (77) (Increase) decrease in due from Prospect Administration (1,351) — — (Increase) decrease in prepaid expenses 69 (326) (13) Increase (decrease) in due to broker (1,586) (4,633) 10,178 Increase (decrease) in due to Prospect Administration (2,602) (2,831) 1,367 Increase (decrease) in due to Prospect Capital Management (2,811) (16,867) (3,027) Increase (decrease) in accrued expenses 185 (101) (1,335) Increase (decrease) in interest payable (1,148) (6,178) (1,390) Increase (decrease) in due to Affiliate — — (161) Increase (decrease) in other liabilities 170 273 (1,282) Net Cash Provided by Operating Activities 516,306 523,171 279,983 Financing Activities Borrowings under Revolving Credit Facility (Note 4) 1,217,999 2,060,300 1,143,500 Principal payments under Revolving Credit Facility (Note 4) (1,511,993) (1,998,774) (1,363,407) Issuances of Public Notes, net of original issue discount (Note 6) 164,452 — — Redemptions of Convertible Notes (Note 5) — (156,168) — Redemptions of Public Notes (Note 6) — (207,216) (81,240) Repurchase of Public Notes (Note 6) (75,894) (190,123) — Issuances of Prospect Capital InterNotes® (Note 7) 29,799 151,592 156,840 Redemptions of Prospect Capital InterNotes®, net (Note 7) (62,152) (8,388) (10,917) Financing costs paid and deferred (5,499) (3,188) (13,719) Proceeds from issuance of preferred stock, net of underwriting costs 70,356 131,562 257,084 Offering costs from issuance of preferred stock (4,251) (3,290) (6,309) Repurchase of Preferred Stock — — (11,301) Redemptions of Preferred Stock (10,867) (2,170) — Dividends paid and distributions to common and preferred stockholders (335,548) (332,392) (360,288) Net Cash Used in Financing Activities (523,598) (558,255) (289,757) Net Increase (Decrease) in Cash, Cash Equivalents and Restricted Cash (7,292) (35,084) (9,774) See notes to consolidated financial statements. 136 PROSPECT CAPITAL CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued) (in thousands, except share data) Year Ended June 30, 2026 2025 2024 Effect of foreign currency exchange rates 76 — — Cash, Cash Equivalents and Restricted Cash at beginning of period 50,788 85,872 95,646 Cash, Cash Equivalents and Restricted Cash at End of Period $ 43,572 $ 50,788 $ 85,872 Supplemental Disclosures Cash paid for interest $ 120,374 $ 142,986 $ 151,290 Non-Cash Financing Activities Value of shares issued through reinvestment of dividends 31,334 35,452 40,816 Conversion of preferred stock to common stock 121,825 101,258 80,829 See notes to consolidated financial statements. 137 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Control Investments (greater than 25.00% voting control)(37) Belnick, LLC (d/b/a The Ubique Group) (41) Household Durables First Lien Term Loan 1/20/2022 12.50% 3M SOFR 8.50% 4.00 5/14/2029 $ 96,357 $ 96,357 $ 96,357 3.3 % (8)(36) Class P Units 5/23/2025 8.50% 8.50% N/A 5,491 3,400 12,098 0.4 % (14) Class A Units 12/31/2025 N/A 50 — 110 — % (14) 99,757 108,565 3.7% CP Energy Services Inc. (18) Energy Equipment & Services First Lien Term Loan 12/24/2024 12.99% 3M SOFR 9.00% 1.00 4/4/2030 14,841 14,841 11,379 0.4% (8)(36) First Lien Term Loan 10/1/2017 12.99% 3M SOFR 9.00% 1.00 4/4/2030 66,455 66,455 50,951 1.7% (8)(36) First Lien Term Loan 4/5/2022 12.99% 3M SOFR 9.00% 1.00 4/4/2030 8,864 8,864 6,786 0.2% (8)(36) First Lien Term Loan 1/6/2023 12.99% 3M SOFR 9.00% 1.00 4/4/2030 16,700 17,879 17,879 13,707 0.5% (8)(36) First Lien Term Loan A to Spartan Energy Services, LLC 10/20/2014 11.99% 3M SOFR 8.00% 1.00 1/26/2030 46,117 46,117 43,885 1.5% (8)(36) First Lien Term Loan A to Spartan Energy Services, LLC 10/20/2014 11.99% 3M SOFR 8.00% 1.00 1/26/2030 15,312 15,312 14,571 0.5% (8) Incremental First Lien Term Loan A to Spartan Energy Services, LLC 3/25/2025 11.99% 3M SOFR 8.00% 1.00 1/26/2030 1,200 — — — —% (8)(13)(36) Series A Preferred Units to Spartan Energy Holdings, Inc. 9/25/2020 15.00% N/A 10,000 26,193 — —% (14) Series B Redeemable Preferred Stock 10/30/2015 16.00% N/A 790 63,225 — —% (14) Common Stock 8/2/2013 N/A 102,924 86,240 — —% (14) 345,126 141,279 4.8% Credit Central Loan Company, LLC (19) Consumer Finance First Lien Term Loan 12/28/2012 5.75% — 11/30/2029 92,893 92,893 56,292 1.9% (12) First Lien Delayed Draw Term Loan 6/18/2026 5.75% — 11/30/2029 9,983 399 399 245 —% (12)(13) Class A Units 12/28/2012 N/A 14,867,312 19,331 — —% (12)(14) Preferred Class P Shares 7/1/2022 12.75% 12.75% N/A 16,369,256 11,520 — —% (12)(14) Net Revenues Interest (25% of Net Revenues) 1/28/2015 N/A — — —% (12)(14) 124,143 56,537 1.9% See notes to consolidated financial statements. 138 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Control Investments (greater than 25.00% voting control)(37) Echelon Transportation, LLC Trading Companies & Distributors Membership Interest (100%) 3/31/2014 N/A $ — $ — —% (14) Preferred Units 1/31/2022 12.75% N/A 53,076,654 — — —% (14) — — —% First Tower Finance Company LLC (21) Consumer Finance First Lien Term Loan to First Tower, LLC 6/24/2014 16.00% 5.00% — 12/18/2027 449,336 449,336 449,336 15.3% (12)(36) First Lien Delayed Draw Term Loan to First Tower, LLC 6/30/2026 16.00% 5.00% — 12/18/2027 27,319 10,928 10,928 10,928 0.4% (12)(13)(36) Class A Units 6/14/2012 N/A 95,709,910 31,146 500,514 17.1% (12)(14) 491,410 960,778 32.8% Freedom Marine Solutions, LLC Marine Transport Membership Interest (100%) 11/9/2006 N/A 47,967 12,077 0.4% (14)(22) 47,967 12,077 0.4% InterDent, Inc. Health Care Providers & Services First Lien Delayed Draw Term Loan B 9/30/2024 12.00% 7.00% — 9/5/2027 42,000 37,128 37,128 31,132 1.1% (13)(36) First Lien Term Loan A/B 8/1/2018 18.41% 1M SOFR 14.65% 2.00 9/5/2027 14,249 14,249 14,249 0.5% (3)(8) First Lien Term Loan A 8/3/2012 9.26% 1M SOFR 5.50% 1.00 9/5/2027 95,823 95,823 95,823 3.3% (3)(8) First Lien Term Loan B 8/3/2012 12.00% 7.00% — 9/5/2027 237,623 237,623 199,247 6.8% (36) Common Stock 5/3/2019 N/A 99,900 45,118 — —% (14) 429,941 340,451 11.7% Kickapoo Ranch Pet Resort Diversified Consumer Services First Lien Term Loan 1/11/2024 11.23% 3M SOFR 7.50% 3.00 1/10/2029 700 700 700 —% (8) Membership Interest (100%) 8/26/2019 N/A 2,378 3,128 0.1% (14) 3,078 3,828 0.1% MITY, Inc. (23) Commercial Services & Supplies First Lien Term Loan A 9/19/2013 13.01% 3M SOFR 9.02% 3.00 11/30/2027 57,188 57,188 57,188 2.0% (3)(8) First Lien Term Loan B 6/23/2014 20.99% 3M SOFR 7.00% 10.00% 3.00 11/30/2027 8,274 8,274 8,274 0.3% (8)(36) Unsecured Note to Broda Enterprises ULC 9/19/2013 10.00% — 1/1/2028 5,195 7,200 5,195 0.2% (12) Common Stock 9/19/2013 N/A 42,053 27,349 10,218 0.3% (14) Series A Redeemable Preferred Stock 10/29/2025 8.00% 8.00% N/A 1,424 1,424 1,561 0.1% (14) 101,435 82,436 2.9% See notes to consolidated financial statements. 139 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Control Investments (greater than 25.00% voting control)(37) National Property REIT Corp. (24) Residential Real Estate Investment Trusts (REITs) / Consumer Finance / Structured Finance First Lien Term Loan A 12/31/2018 6.00% 3M SOFR 0.25% 2.00% 3.75 3/31/2027 $ 645,782 $ 645,782 $ 645,782 22.0% (8)(36)(33) First Lien Term Loan D 6/19/2020 6.00% 3M SOFR 0.25% 2.00% 3.75 3/31/2027 178,425 178,425 178,425 6.1% (8)(36)(33) First Lien Term Loan E 11/14/2022 14.00% 3M SOFR 1.50% 7.00% 5.50 3/31/2027 52,652 52,652 52,652 1.8% (8)(36)(33) Residual Profit Interest 12/31/2018 N/A — 16,966 0.6% (14)(33) Common Stock 12/31/2013 N/A 3,374,914 20,030 187,771 6.4% (14)(40) 896,889 1,081,596 36.9% Nationwide Loan Company LLC (25) Consumer Finance First Lien Delayed Draw Term Loan A 5/15/2024 10.00% 10.00% — 5/15/2029 $ 7,350 6,479 6,479 6,479 0.2% (12)(13)(36) First Lien Delayed Draw Term Loan B 12/23/2024 10.00% 10.00% — 5/15/2029 8,000 4,533 4,533 4,533 0.2% (12)(13)(36) Class A Units 1/31/2013 N/A 925,796,475 49,936 20,720 0.7% (12)(14) 60,948 31,732 1.1% NMMB, Inc. (26) Media First Lien Term Loan 12/30/2019 12.49% 3M SOFR 8.50% 2.00 3/31/2027 29,723 29,723 29,723 1.0% (3)(8) Common Stock 12/30/2019 N/A 21,418 — 50,081 1.7% 29,723 79,804 2.7% Pacific World Corporation (34) Personal Care Products First Lien Term Loan A 12/31/2014 7.89% 1M SOFR 4.25% 7.89% 1.00 3/26/2029 122,445 122,445 112,412 3.8% (8)(36) Convertible Preferred Equity 6/15/2018 12.00% 12.00% N/A 882,961 238,494 — —% (14) Common Units of PWC Investment Group, LLC 9/29/2017 N/A 6,778,414 — — —% (14) 360,939 112,412 3.8% QC Holdings TopCo, LLC (17) Consumer Finance Second Lien Term Loan 6/30/2025 23.50% 3M SOFR 18.50% 5.00 7/1/2030 59,948 59,948 59,948 2.0% (3)(8)(12)(36) Second Lien Delayed Draw Term Loan 9/30/2025 23.50% 3M SOFR 18.50% 5.00 7/1/2030 11,125 1,854 1,854 1,854 0.1% (8)(12)(13)(36) Class A Units 6/30/2025 N/A 222,886 22,289 38,304 1.3% (12)(14) 84,091 100,106 3.4% R-V Industries, Inc. (50) Machinery First Lien Term Loan 12/15/2020 12.99% 3M SOFR 9.00% 1.00 12/15/2028 46,322 46,322 46,322 1.6% (3)(8) First Lien Term Loan 12/20/2024 7.50% 3M SOFR 3.50% 4.00 12/15/2028 10,000 10,000 10,000 0.3% (3)(8) First Lien Term Loan 6/30/2026 10.50% 3M SOFR 6.50% 4.00 12/15/2028 5,000 5,000 5,000 0.2% (8) Common Stock 6/26/2007 N/A 745,107 6,866 37,153 1.3% 68,188 98,475 3.4% See notes to consolidated financial statements. 140 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Control Investments (greater than 25.00% voting control)(37) Strategic Chemical Solutions Corp. (f/k/a USES Corp.) (28) Commercial Services & Supplies First Lien Term Loan 12/30/2020 12.90% 1M SOFR 9.00% 1.00 8/15/2030 $ 2,000 $ 2,000 $ 854 —% (8) First Lien Equipment Term Loan 8/3/2022 12.90% 1M SOFR 9.00% 1.00 8/15/2030 19,962 19,962 8,521 0.3% (8)(36) First Lien Term Loan A 3/31/2014 9.00% 9.00% — 8/15/2030 83,024 — — —% (7) First Lien Term Loan B 3/31/2014 15.50% 15.50% — 8/15/2030 156,602 — — —% (7) Common Stock 6/15/2016 N/A 268,962 — — —% (14) 21,962 9,375 0.3% Universal Turbine Parts, LLC (32) Aerospace & Defense First Lien Delayed Draw Term Loan 2/28/2019 11.74% 3M SOFR 7.75% 2.50 2/29/2028 $ 6,965 6,435 6,435 6,435 0.2% (8)(13) First Lien Term Loan A 7/22/2016 9.74% 3M SOFR 5.75% 1.00 2/29/2028 29,575 29,575 29,575 1.0% (3)(8) First Lien Term Loan A 1/21/2025 11.74% 3M SOFR 7.75% 2.50 2/29/2028 3,970 3,970 3,970 0.1% (3)(8) First Lien Term Loan A 2/28/2025 11.74% 3M SOFR 7.75% 2.50 2/29/2028 14,800 14,800 14,800 0.5% (3)(8) Preferred A Units 3/31/2021 12.75% 12.75% 10/1/2030 45,654,914 33,883 46,750 1.6% (36) Preferred B Units 10/1/2025 18.00% 18.00% N/A 47,419,298 4,796 22,729 0.8% (14) Common Stock 12/10/2018 N/A 10,000 — — —% (14) 93,459 124,259 4.2% Valley Electric Company, Inc. (29) Construction & Engineering First Lien Term Loan to Valley Electric Co. of Mt. Vernon, Inc. 12/31/2012 11.49% 3M SOFR 5.00% 2.50% 3.00 7/1/2026 10,452 10,452 10,452 0.4% (3)(8)(36) First Lien Term Loan 6/24/2014 18.00% 10.00% — 4/30/2028 38,630 38,630 38,630 1.3% (3)(36) First Lien Term Loan B 3/28/2022 12.50% 5.50% — 4/30/2028 34,777 34,777 34,777 1.2% (3)(36) Consolidated Revenue Interest (2.00%) 6/22/2018 N/A — 2 —% (10) Common Stock 12/31/2012 N/A 50,000 12,053 209,993 7.2% 95,912 293,854 10.1% Victor Technology, LLC (48) Distributors First Lien Term Loan 12/3/2021 11.49% 3M SOFR 7.50% 1.00 12/3/2028 10,650 10,650 6,710 0.2% (8) Class P Units 2/10/2026 12.00% 12.00% N/A 1,000 2,000 — —% (14) Class A Units 4/20/2026 —% N/A 1 — — —% (14) 12,650 6,710 0.2% Total Control Investments $ 3,367,618 $ 3,644,274 124.4% See notes to consolidated financial statements. 141 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Affiliate Investments (5.00% to 25.00% voting control)(38) Nixon, Inc. (30) Textiles, Apparel & Luxury Goods Common Stock 5/12/2017 N/A 857 $ — $ — — % (14) — — — % RGIS Services, LLC Commercial Services & Supplies Membership Interest 6/25/2020 N/A 505,308 12,835 30,447 1.0 % 12,835 30,447 1.0 % Total Affiliate Investments $ 12,835 $ 30,447 1.0 % See notes to consolidated financial statements. 142 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) Abacus Dermatology Management, LLC Professional Services First Lien Revolving Line of Credit 6/30/2026 11.73% 3M SOFR 8.00% 3.50 6/30/2031 $ 500 $ — $ — $ — — % (8)(13) First Lien Term Loan 6/30/2026 11.73% 3M SOFR 8.00% 3.50 6/30/2031 13,530 13,530 13,530 0.5 % (8) 13,530 13,530 0.5 % Apidos CLO XV Structured Finance Subordinated Structured Note 9/13/2013 0.00% Residual Interest/Current Yield — 4/21/2031 48,515 — 697 — % (5)(12)(15) — 697 — % Apidos CLO XXII Structured Finance Subordinated Structured Note 9/16/2015 0.00% Residual Interest/Current Yield — 4/21/2031 35,855 2,108 2,097 0.1 % (5)(12)(15) 2,108 2,097 0.1 % Atlantis Health Care Group (Puerto Rico), Inc. Health Care Providers & Services First Lien Term Loan 2/21/2013 12.73% 3M SOFR 8.75% 2.00 5/28/2027 52,992 52,992 52,992 1.8 % (3)(8) 52,992 52,992 1.8 % Aventiv Technologies, LLC Diversified Telecommunication Services Super Priority Bridge First Lien Term Loan 5/20/2026 10.91% 3M SOFR 7.00% 1.00 9/30/2026 3,539 3,453 3,539 0.1 % (8)(44) Super Priority Bridge First Lien Term Loan 4/24/2025 13.94% 3M SOFR 10.00% 1.00 9/30/2026 43,664 43,564 43,664 1.5 % (8)(44) Super Priority Bridge First Lien Term Loan 12/23/2024 13.94% 3M SOFR 10.00% 1.00 9/30/2026 3,053 3,052 3,053 0.1 % (8)(44) Second Out Super Priority First Lien Term Loan 4/2/2024 11.49% 3M SOFR 7.50% 1.00 9/30/2026 804 804 804 — % (8)(36)(44) Third Out Super Priority First Lien Term Loan 3/28/2024 9.08% 3M SOFR 5.09% 1.00 9/30/2026 29,779 29,779 22,126 0.8 % (8)(36)(44) Super Priority Second Lien Term Loan 3/28/2024 13.04% 3M SOFR 9.05% 1.00 9/30/2026 168,579 59,071 8,429 0.3 % (7)(8) 139,723 81,615 2.8 % Barings CLO 2018-III Structured Finance Subordinated Structured Note 10/9/2014 0.00% Residual Interest/Current Yield — 7/20/2029 82,809 — — — % (5)(12)(15) — — — % Barracuda Parent, LLC IT Services Second Lien Term Loan 8/15/2022 10.66% 3M SOFR 7.00% 0.50 8/15/2030 20,000 19,690 7,126 0.2 % (8) 19,690 7,126 0.2 % BCPE North Star US Holdco 2, Inc. Food Products Second Lien Term Loan 6/7/2021 11.01% 1M SOFR 7.25% 0.75 6/8/2029 69,388 69,063 69,380 2.4 % (3)(8) 69,063 69,380 2.4 % BCPE Osprey Buyer, Inc. Health Care Technology First Lien Term Loan 10/18/2021 9.51% 1M SOFR 5.75% 0.75 8/23/2028 4,574 4,550 4,574 0.2 % (3)(8) First Lien Term Loan 10/18/2021 9.68% 3M SOFR 5.75% 0.75 8/23/2028 62,075 62,075 62,075 2.1 % (3)(8) 66,625 66,649 2.3 % Burgess Point Purchaser Corporation Automobile Components Second Lien Term Loan 7/25/2022 12.76% 3M SOFR 9.00% 0.75 7/25/2030 30,000 30,000 28,537 1.0 % (3)(8) 30,000 28,537 1.0 % Capstone Logistics Acquisition, Inc. Commercial Services & Supplies Second Lien Term Loan 11/12/2020 12.24% 1M SOFR 8.50% 1.00 11/12/2030 8,500 8,400 8,500 0.3 % (3)(8) 8,400 8,500 0.3 % Cent CLO 21 Limited Structured Finance Subordinated Structured Note 5/15/2014 0.00% Residual Interest/Current Yield — 7/29/2030 49,552 — — — % (5)(12)(15) See notes to consolidated financial statements. 143 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) — — — % Collections Acquisition Company, Inc. Financial Services First Lien Term Loan 12/3/2019 10.23% 3M SOFR 6.50% 2.50 6/3/2028 $ 54,049 $ 54,049 $ 54,049 1.8 % (3)(8) 54,049 54,049 1.8 % Credit.com Holdings, LLC Diversified Consumer Services First Lien Term Loan A 9/28/2023 14.99% 3M SOFR 11.00% 1.50 9/28/2028 45,316 40,513 8,436 0.3 % (7)(8) First Lien Term Loan B 9/28/2023 15.99% 3M SOFR 12.00% 1.50 9/28/2028 79,154 62,114 — — % (7)(8) First Lien Term Loan C 6/3/2026 15.92% 3M SOFR 12.00% 1.50 8/27/2028 587 587 1,175 — % (8) Class B of PGX TopCo II LLC 9/28/2023 N/A 999 — — — % (14)(43) 103,214 9,611 0.3 % Discovery Point Retreat, LLC (6) Health Care Providers & Services First Lien Term Loan 6/14/2024 11.74% 3M SOFR 7.75% 3.25 6/14/2029 20,135 20,135 20,135 0.7 % (3)(8) First Lien Delayed Draw Term Loan 5/27/2026 12.00% 5.00% — 6/14/2031 975 293 293 293 — % (13)(36)(43) Series A Preferred Stock of Discovery MSO HoldCo LLC 6/14/2024 12.00% 12.00% N/A 9,573 8,700 13,446 0.5 % (14)(43)(22) 29,128 33,874 1.2 % DRI Holding Inc. Commercial Services & Supplies First Lien Term Loan 12/21/2021 9.06% 3M SOFR 5.25% 0.50 12/21/2028 32,874 32,362 32,874 1.1 % (3)(8) Second Lien Term Loan 12/21/2021 11.74% 1M SOFR 8.00% 0.50 12/21/2029 145,000 145,000 145,000 5.0 % (3)(8) 177,362 177,874 6.1 % Druid City Infusion, LLC Pharmaceuticals First Lien Term Loan 9/30/2024 11.23% 3M SOFR 7.50% 3.00 10/4/2029 45,537 45,537 45,537 1.6 % (3)(8) First Lien Convertible Note to Druid City Intermediate, Inc. 9/30/2024 8.00% 2.00% — 10/4/2033 19,629 19,629 38,732 1.3 % (3)(36)(43) 65,166 84,269 2.9 % Emerge Intermediate, Inc. (45) Pharmaceuticals First Lien Term Loan 2/26/2024 9.92% 3M SOFR 6.25% 1.00 8/31/2027 57,623 57,623 57,047 1.9 % (3)(8) 57,623 57,047 1.9 % Enseo Acquisition, Inc. Media First Lien Term Loan 6/2/2021 12.49% 3M SOFR 8.50% 2.00 12/31/2027 48,803 48,803 48,803 1.7 % (3)(8) 48,803 48,803 1.7 % Eyefive, LLC (d/b/a Shipoffers) Distributors First Lien Term Loan 6/26/2026 11.23% 3M SOFR 7.50% 2.50 6/26/2031 52,000 45,054 45,054 1.5 % (8) Warrants of EF Holdco, LLC 6/26/2026 6/26/2036 113 6,946 6,946 0.3 % (14) 52,000 52,000 1.8 % Eze Castle Integration, Inc. Software First Lien Delayed Draw Term Loan 7/15/2020 10.56% 3M SOFR 6.75% 3.00 1/15/2027 8,036 2,539 2,539 2,539 — % (8)(13)(46) First Lien Term Loan 7/15/2020 10.57% 3M SOFR 6.75% 3.00 1/15/2027 45,443 45,443 45,443 1.6 % (3)(8) 47,982 47,982 1.6 % See notes to consolidated financial statements. 144 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) First Brands Group (51) Automobile Components First Lien DIP Term Loan A 10/2/2025 13.61% 1M SOFR 10.00% 1.00 6/29/2026 6,465 5,808 1,108 — % (7)(8)(42) First Lien DIP Term Loan B 10/2/2025 10.61% 1M SOFR 7.00% 10.61% 1.00 6/29/2026 18,629 17,470 58 — % (7)(8)(42) First Lien Term Loan 9/19/2025 10.73% 1M SOFR 7.00% 10.73% 1.00 3/30/2027 5,470 2,938 9 — % (7)(8)(42) First Lien Term Loan 3/24/2021 10.73% 1M SOFR 7.00% 10.73% 1.00 3/30/2027 10,290 7,296 17 — % (7)(8)(42) Second Lien Term Loan 3/24/2021 14.23% 1M SOFR 10.50% 14.23% 1.00 3/30/2028 41,681 37,000 41 — % (7)(8)(42) 70,512 1,233 — % Galaxy XV CLO, Ltd. Structured Finance Subordinated Structured Note 2/13/2013 0.00% Residual Interest/Current Yield — 10/15/2030 50,525 — — — % (5)(12)(15) — — — % Galaxy XXVII CLO, Ltd. Structured Finance Subordinated Structured Note 9/30/2013 0.00% Residual Interest/Current Yield — 5/16/2031 24,575 — — — % (5)(12)(15) — — — % Galaxy XXVIII CLO, Ltd. Structured Finance Subordinated Structured Note 5/30/2014 0.00% Residual Interest/Current Yield — 7/15/2031 39,905 — — — % (5)(12)(15) — — — % Global Tel*Link Corporation (d./b/a ViaPath Technologies) Diversified Telecommunication Services First Lien Term Loan 8/6/2024 11.14% 1M SOFR 7.50% 3.00 8/6/2029 108,820 106,035 108,820 3.7 % (3)(8) 106,035 108,820 3.7 % Halcyon Loan Advisors Funding 2014-2 Ltd. Structured Finance Subordinated Structured Note 4/14/2014 0.00% Residual Interest/Current Yield — 4/28/2030 41,164 — — — % (5)(12)(15) — — — % Halcyon Loan Advisors Funding 2015-3 Ltd. Structured Finance Subordinated Structured Note 7/23/2015 0.00% Residual Interest/Current Yield — 10/18/2027 39,598 — — — % (5)(12)(15) — — — % HarbourView CLO VII-R, Ltd. Structured Finance Subordinated Structured Note 6/5/2015 0.00% Residual Interest/Current Yield — 7/18/2031 19,025 — — — % (5)(12)(15) — — — % Healthcare Venture Partners, LLC Health Care Providers & Services First Lien Term Loan 8/29/2025 11.73% 3M SOFR 8.00% 3.50 8/29/2030 11,570 11,570 11,570 0.4 % (3)(8) First Lien Revolving Line of Credit 8/29/2025 11.73% 3M SOFR 8.00% 3.50 8/29/2030 1,000 — — — — % (8)(13) Series A Preferred Units of TCSPV Holdings IV, LLC 8/29/2025 N/A 2,150,000 2,150 2,699 0.1 % (14)(43)(22) 13,720 14,269 0.5 % Help/Systems Holdings, Inc. (d/b/a Forta, LLC) Software Second Lien Term Loan 11/14/2019 12.74% 3M SOFR 9.00% 2.00 5/19/2029 56,344 56,333 46,550 1.6 % (8)(36) 56,333 46,550 1.6 % Imperative Worldwide, LLC Air Freight & Logistics First Lien Term Loan 3/11/2022 9.38% 3M SOFR 5.50% 0.75 12/30/2028 31,394 31,389 31,394 1.1 % (3)(8) First Lien Term Loan 9/30/2024 9.23% 3M SOFR 5.50% 0.75 12/30/2028 5,895 5,819 5,895 0.2 % (3)(8) Second Lien Term Loan 12/30/2021 12.38% 3M SOFR 8.50% 0.75 12/30/2029 95,000 95,000 95,000 3.2 % (3)(8) 132,208 132,289 4.5 % See notes to consolidated financial statements. 145 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) iQor Holdings, Inc. Professional Services First Lien Term Loan 6/11/2024 11.49% 3M SOFR 7.50% 2.50 6/11/2029 44,454 44,454 44,454 1.5 % (3)(8) Common Stock of Bloom Parent, Inc. 6/11/2024 N/A 10,450 10,450 12,591 0.4 % (14) 54,904 57,045 1.9 % Japs-Olson Company, LLC (31) Commercial Services & Supplies First Lien Term Loan 5/25/2023 10.48% 3M SOFR 6.75% 2.00 5/25/2028 $ 54,268 $ 54,268 $ 54,268 1.9 % (3)(8) 54,268 54,268 1.9 % Julie Lindsey, Inc. Textiles, Apparel & Luxury Goods First Lien Revolving Line of Credit 7/27/2023 10.00% 3M SOFR 6.00% 4.00 7/27/2027 $ 2,000 — — — — % (8)(13) First Lien Term Loan 7/27/2023 10.00% 3M SOFR 6.00% 4.00 7/27/2028 18,548 18,548 18,548 0.6 % (3)(8) 18,548 18,548 0.6 % K&N HoldCo, LLC Automobile Components Class A Common Units 2/14/2023 N/A 137,215 25,802 439 — % (14) 25,802 439 — % KM2 Solutions LLC Professional Services First Lien Term Loan 12/17/2020 13.48% 3M SOFR 9.60% 3.00 7/16/2027 $ 14,479 $ 14,479 $ 14,479 0.5 % (3)(8) 14,479 14,479 0.5 % LCM XIV Ltd. Structured Finance Subordinated Structured Note 6/25/2013 0.00% Residual Interest/Current Yield — 7/21/2031 49,934 — — — % (5)(12)(15) — — — % Lucky US BuyerCo LLC Financial Services First Lien Revolving Line of Credit 4/3/2023 11.92% 3M SOFR 6.25% 2.00% 1.00 4/1/2029 2,775 2,546 2,546 2,546 0.1 % (8)(13)(36) First Lien Term Loan 4/3/2023 11.92% 3M SOFR 6.25% 2.00% 1.00 4/1/2029 21,237 21,237 21,237 0.7 % (3)(8)(36) 23,783 23,783 0.8 % MAC Discount, LLC Distributors First Lien Term Loan 5/11/2023 12.48% 3M SOFR 8.50% 1.50 5/11/2028 30,166 30,034 30,166 1.0 % (3)(8) Class A Senior Preferred Stock of MAC Discount Investments, LLC 5/11/2023 12.00% N/A 1,500,000 1,500 2,140 0.1 % (14) 31,534 32,306 1.1 % Medical Solutions Holdings, Inc. (4) Health Care Providers & Services Second Lien Term Loan 11/1/2021 10.76% 3M SOFR 7.00% 0.50 11/1/2029 54,463 54,444 21,402 0.7 % (8) 54,444 21,402 0.7 % New WPCC Parent, LLC (47) Health Care Providers & Services First Lien Term Loan 5/9/2025 13.14% 1M SOFR 9.50% 2.00 5/9/2030 25,856 22,915 25,856 0.9 % (3)(8) Series A Preferred Interests 5/9/2025 13.00% 13.00% N/A 993,485 11,165 14,960 0.5 % (43) Class A Common Interests 5/9/2025 N/A 1,084,072 90 21,339 0.7 % (14)(43) Liquidating Trust of Wellpath Holdings, Inc. 5/9/2025 N/A 2,011 12,264 0.4 % (14) 36,181 74,419 2.5 % See notes to consolidated financial statements. 146 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) Octagon Investment Partners XV, Ltd. Structured Finance Subordinated Structured Note 1/24/2013 0.00% Residual Interest/Current Yield — 7/19/2030 $ 42,064 $ — $ — — % (5)(12)(15) — — — % OneTouchPoint Corp Commercial Services & Supplies First Lien Term Loan 2/19/2021 11.98% 3M SOFR 8.00% 1.00 6/30/2027 22,246 22,246 22,246 0.8 % (3)(8) 22,246 22,246 0.8 % PeopleConnect Holdings, Inc (9) Interactive Media & Services First Lien Term Loan 1/22/2020 12.13% 3M SOFR 8.25% 2.75 1/22/2028 87,850 87,850 87,850 3.0 % (3)(8) 87,850 87,850 3.0 % Precisely Software Incorporated Software Second Lien Term Loan 4/23/2021 11.18% 3M SOFR 7.25% 0.75 4/23/2029 80,000 79,673 53,940 1.8 % (3)(8) 79,673 53,940 1.8 % Preventics, Inc. (d/b/a Legere Pharmaceuticals) Personal Care Products First Lien Term Loan 11/12/2021 14.49% 3M SOFR 10.50% 1.00 11/12/2026 8,696 8,696 8,696 0.3 % (3)(8) First Lien Term Loan 4/30/2025 11.49% 3M SOFR 7.50% 3.00 11/12/2026 1,881 1,881 1,881 0.1 % (3)(8) Series A Convertible Preferred Stock of Legere Pharmaceutical Holdings, Inc. 11/12/2021 8.00% N/A 472 165 120 — % (14)(43) Series C Convertible Preferred Stock of Legere Pharmaceutical Holdings, Inc. 11/12/2021 8.00% N/A 5,677 1,946 908 — % (14)(43) 12,688 11,605 0.4 % Recovery Solutions Parent, LLC Health Care Providers & Services First Lien Term Loan 1/27/2025 11.23% 3M SOFR 7.50% 2.00 1/27/2030 43,261 33,546 43,261 1.5 % (3)(8) Membership Interest 1/27/2025 N/A 1,609,466 21,255 64,110 2.2 % (14)(43) 54,801 107,371 3.7 % Redstone Holdco 2 LP (20) IT Services First Lien Second Out Term Loan 1/21/2026 9.16% 3M SOFR 5.50% — 12/31/2030 6,000 6,000 5,750 0.3 % (8) First Lien Third Out Term Loan 1/21/2026 12.00% 4.00% — 12/31/2030 12,130 12,130 10,240 0.3 % Class A Preferred Units of Redstone Holdco 1 LP 1/21/2026 N/A 624,063 624 374 — % (14) Class B Preferred Units of Redstone Holdco 1 LP 1/21/2026 N/A 1,872,188 1,872 395 — % (14) Class B Common Units of Redstone Holdco 1 LP 1/21/2026 N/A 90,837 4 — — % (14) 20,630 16,759 0.6 % See notes to consolidated financial statements. 147 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) Research Now Group, LLC and Dynata, LLC IT Services First Lien Second Out Term Loan 7/15/2024 9.40% 3M SOFR 5.50% 1.00 10/15/2028 $ 7,914 $ 7,914 $ 7,118 0.2 % (8)(44) Common Stock of New Insight Holdings, Inc. 7/15/2024 N/A 210,781 3,329 — — % (14) Warrants (to purchase shares of Common Stock of New Insight Holdings, Inc.) 7/15/2024 7/15/2029 285,714 — — — % (14) 11,243 7,118 0.2 % Rising Tide Holdings, Inc. Specialty Retail First In Last Out Term Loan 9/19/2025 30.00% 30.00% — 5/1/2027 651 651 651 0.1 % (36)(44) First In Last Out Term Loan 9/19/2025 32.48% 1M SOFR 8.75% 20.00% 2.00 5/1/2027 810 810 810 — % (8)(36)(44) First Lien First Out Term Loan 9/25/2024 15.00% 15.00% — 6/13/2028 2,737 2,737 2,601 0.1 % (36) First Lien Second Out Term Loan 9/25/2024 12.00% 12.00% — 6/13/2028 6,976 6,593 3,767 0.1 % (36)(44) Class A Common Units of Marine One Holdco, LLC 9/12/2023 N/A 345,600 23,898 — — % (14) Warrants (to purchase Class A Common Units of Marine One Holdco, LLC) 9/25/2024 9/25/2044 3,456,000 — — — % (14) Warrants (to purchase Class A Common Units of Marine One Holdco, LLC) 9/12/2023 9/12/2028 50,456 — — — % (14) 34,689 7,829 0.3 % The RK Logistics Group, Inc. Commercial Services & Supplies First Lien Term Loan 3/24/2022 14.49% 3M SOFR 10.50% 1.00 12/18/2028 5,570 5,570 5,570 0.2 % (3)(8) First Lien Term Loan 12/19/2023 11.50% 3M SOFR 7.50% 4.00 12/18/2028 32,919 32,919 32,919 1.1 % (3)(8) Class A Common Units of RK Logistics Holdings Inc. 3/24/2022 N/A 263,000 263 2,725 0.1 % Class B Common Units of RK Logistics Holdings Inc. 3/24/2022 N/A 1,435,000 2,487 14,869 0.5 % (43) Class C Common Units of RK Logistics Holdings Inc. 6/28/2024 N/A 450,000 2,250 4,663 0.2 % 43,489 60,746 2.1 % RME Group Holding Company Media First Lien Term Loan A 5/4/2017 9.48% 3M SOFR 5.50% 1.00 5/6/2027 17,419 17,419 17,253 0.6 % (8) First Lien Term Loan B 5/4/2017 14.98% 3M SOFR 11.00% 1.00 5/6/2027 19,983 19,983 18,852 0.6 % (8) 37,402 36,105 1.2 % See notes to consolidated financial statements. 148 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) Rosa Mexicano Hotels, Restaurants & Leisure First Lien Revolving Line of Credit 3/29/2018 16.25% — 12/31/2027 $ 7,515 $ 7,515 $ 7,515 $ 7,248 0.2 % (13) First Lien Term Loan 3/29/2018 11.49% 3M SOFR 7.50% 1.25 12/31/2027 23,166 23,166 20,849 0.7 % (8) 30,681 28,097 0.9 % Safety Solutions Financing, LLC Construction & Engineering First Lien Term Loan 5/1/2026 10.49% 3M SOFR 6.50% 3.00 5/1/2031 19,252 19,252 19,252 0.7 % (3)(8) Series A Preferred Units of BFC-SDR, LLC 5/1/2026 8.00% 8.00% N/A 1,885,714 3,300 3,300 0.1 % (14)(22) Series B Preferred Units of BFC-SDR, LLC 5/1/2026 8.00% 8.00% N/A 43 43 43 — % (22) 22,595 22,595 0.8 % ShiftKey, LLC Health Care Technology First Lien Term Loan 6/21/2022 10.24% 3M SOFR 5.75% 0.50% 1.00 6/21/2027 59,660 59,551 57,249 2.0 % (3)(8)(36) 59,551 57,249 2.0 % Shoes West, LLC (d/b/a Taos Footwear) (27) Textiles, Apparel & Luxury Goods First Lien Term Loan A 1/23/2025 10.99% 3M SOFR 7.00% 3.00 1/23/2030 37,869 37,869 37,869 1.3 % (3)(8)(43) First Lien Convertible Term Loan B 1/23/2025 11.00% 2.00% — 1/23/2030 9,654 9,654 18,034 0.6 % (3)(36)(43) Class A Preferred Units of Taos Footwear Holdings, LLC 1/23/2025 8.00% 8.00% 2/28/2030 16,753 19,109 50,714 1.7 % (36) 66,632 106,617 3.6 % Silver Hill Mineral Lease Energy Equipment & Services Revenue Interest 5/13/2025 N/A — — — % (11)(14) — — — % Spectrum Vision Holdings, LLC Health Care Providers & Services First Lien Term Loan 5/2/2023 10.43% 3M SOFR 6.50% 1.00 11/17/2026 29,026 29,026 29,026 1.0 % (3)(8) 29,026 29,026 1.0 % STG Distribution, LLC Air Freight & Logistics First Out Term Loan 10/3/2024 12.08% 3M SOFR 8.25% 0.00% 1.50 10/3/2029 6,076 5,909 6,076 0.1 % (8)(36) Second Out Term Loan 10/3/2024 11.33% 3M SOFR 1.00% 6.50% 1.50 10/3/2029 39,514 38,194 17,017 0.6 % (7)(8)(44) Third Out Term Loan 10/3/2024 10.83% 3M SOFR 1.00% 6.00% 1.50 10/3/2029 20,063 18,604 — — % (7)(8)(44) First Lien First Out DIP Roll Up 1/14/2026 8.00% 8.00% — 7/13/2026 10,090 10,090 1,542 0.1 % (44) First Lien Second Out DIP Roll Up 1/14/2026 8.00% 8.00% — 7/13/2026 899 868 — — % (7)(44) First Lien DIP Term Loan 1/14/2026 8.00% 8.00% — 7/13/2026 10,709 10,574 10,709 0.4 % 84,239 35,344 1.2 % Stryker Energy, LLC Energy Equipment & Services Overriding Royalty Interest 12/4/2006 N/A — — — % (11) — — — % See notes to consolidated financial statements. 149 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) June 30, 2026 Portfolio Company Industry Investments(1)(35) Acquisition Date(39) All-in Rate Ref. Rate Spread PIK (49) Floor Legal Maturity Shares/Units Commitment Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) Town & Country Holdings, Inc. Distributors First Lien Term Loan 11/17/2022 8.00% — 8/29/2028 $ 28,761 $ 28,346 $ 29,451 0.9 % First Lien Term Loan 1/26/2018 8.00% 5.00% — 8/29/2028 42,136 42,136 43,147 1.5 % First Lien Term Loan 1/26/2018 8.00% — 8/29/2028 164,931 164,931 168,889 5.8 % Class B of Town & Country TopCo LLC (Non-voting units) 11/17/2022 N/A 999 50,882 14,710 0.5 % (14)(43) 286,295 256,197 8.7 % TPS, LLC Machinery First Lien Term Loan 11/30/2020 14.00% 3M SOFR 9.00% 5.00 5/31/2027 13,608 13,608 13,608 0.5 % (3)(8) 13,608 13,608 0.5 % United Sporting Companies, Inc. (16) Distributors Second Lien Term Loan 9/28/2012 13.00% 1M LIBOR 11.00% 2.00% — 11/16/2019 182,784 8,351 7,416 0.3 % (7) 8,351 7,416 0.3 % Upstream Holdco, Inc. Health Care Providers & Services Second Lien Term Loan 11/20/2019 13.27% 3M SOFR 9.50% 13.27% — 5/20/2030 23,503 23,459 18,859 0.7 % (8)(36) Second Lien Term Loan 12/18/2025 12.67% 3M SOFR 9.00% 12.67% — 5/20/2030 7,226 7,226 7,226 0.2 % (8)(36) 30,685 26,085 0.9 % USG Intermediate, LLC Leisure Products First Lien Term Loan B 4/15/2015 15.49% 1M SOFR 11.75% 1.00 2/9/2029 70,188 70,188 70,188 2.4 % (3)(8) Equity 4/15/2015 N/A 1 — — % (14) 70,189 70,188 2.4 % Verify Diagnostics LLC Health Care Providers & Services First Lien Term Loan 5/15/2025 13.96% 3M SOFR 10.23% 3.50 5/15/2030 36,749 36,749 36,749 1.2 % (3)(8)(44) Class A Preferred Units of Verify Diagnostic Holdings LLC 5/15/2025 12.00% 12.00% N/A 9,250,000 9,250 22,050 0.8 % (14) 45,999 58,799 2.0 % Voya CLO 2012-4, Ltd. Structured Finance Subordinated Structured Note 11/5/2012 0.00% Residual Interest/Current Yield — 10/15/2030 40,613 — — — % (5)(12)(15) — — — % WatchGuard Technologies, Inc. IT Services First Lien Term Loan 8/17/2022 8.89% 1M SOFR 5.25% 0.75 6/30/2029 33,688 33,688 33,688 1.2 % (3)(8) 33,688 33,688 1.2 % Wellful Inc. Food Products Second Out First Lien Term Loan 11/27/2024 10.24% 3M SOFR 6.25% 1.00 10/19/2030 18,457 18,457 14,877 0.5 % (8)(36)(44) 18,457 14,877 0.5 % Total Non-Control/Non-Affiliate Investments $ 2,934,916 $ 2,667,837 91.1 % Total Portfolio Investments $ 6,315,369 $ 6,342,558 216.5 % See notes to consolidated financial statements. 150 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 (1)The terms “Prospect,” “the Company,” “we,” “us” and “our” mean Prospect Capital Corporation and its subsidiaries unless the context specifically requires otherwise. The securities in which Prospect has invested were acquired in transactions that were exempt from registration under the Securities Act of 1933, as amended (the “Securities Act”). These securities may be resold only in transactions that are exempt from registration under the Securities Act. (2)Fair value is determined by or under the direction of our Board of Directors. Unless otherwise indicated by endnote 42 below, all of our investments are valued using significant unobservable inputs. In accordance with ASC 820, such investments are classified as Level 3 within the fair value hierarchy. See Notes 2 and 3 within the accompanying notes to consolidated financial statements for further discussion. (3)Security, or a portion thereof, is held by Prospect Capital Funding LLC (“PCF”), our wholly owned subsidiary and a bankruptcy remote special purpose entity, and is pledged as collateral for the Revolving Credit Facility and such security is not available as collateral to our general creditors (see Note 4). The fair value of the investments held by PCF as of June 30, 2026 was $2,155,016, representing 34.0% of our total investments. (4)Medical Solutions Holdings, Inc. and Medical Solutions, LLC are joint borrowers on the Second Lien Term Loan. (5)This investment is in the equity class of the collateralized loan obligation (“CLO”) security, which is referred to as “Subordinated Structured Note,” or “SSN”. The SSN investments are entitled to recurring distributions which are generally equal to the excess cash flow generated from the underlying investments after payment of the contractual payments to debt holders and fund expenses. The current estimated yield, calculated using amortized cost, is based on the current projections of this excess cash flow taking into account assumptions which have been made regarding expected prepayments, losses and future reinvestment rates. These assumptions are periodically reviewed and adjusted. Ultimately, the actual yield may be higher or lower than the estimated yield if actual results differ from those used for the assumptions. (6)Discovery Point Retreat, LLC, Discovery MSO LLC, Eating Disorder Solutions of Texas LLC, Discovery Point Retreat Waxahachie, LLC are joint borrowers on the First Lien Term Loan. (7)Investment on non-accrual status as of the reporting date (see Note 2). (8)Certain variable rate securities in our portfolio bear interest at a rate determined by a publicly disclosed base rate plus a basis point spread. The 1-Month Secured Overnight Financing Rate or “1M SOFR”, was 3.65% as of June 30, 2026. The 3-Month Secured Overnight Financing Rate or “3M SOFR”, was 3.73% as of June 30, 2026. The impact of a Secured Overnight Financing Rate (“SOFR”) credit spread adjustment, if applicable, is included within the stated all-in interest rate. (9)PeopleConnect Holdings, Inc. and Pubrec Holdings, Inc. are joint borrowers. (10)The consolidated revenue interest is equal to the lesser of (i) 2.0% of consolidated revenue for the twelve-month period ending on the last day of the prior fiscal quarter (or portion thereof) and (ii) 25% of the amount of interest accrued on the Notes at the cash interest rate for such fiscal quarter (or portion thereof). (11)Represents overriding royalty interests or revenue interests held which receive payments at the stated rates based upon the underlying operations. (12)Investment has been designated as an investment not “qualifying” under Section 55(a) of the Investment Company Act of 1940 (the “1940 Act”). Under the 1940 Act, we may not acquire any non-qualifying asset unless, at the time such acquisition is made, qualifying assets represent at least 70% of our total assets as calculated in accordance with regulatory requirements. As of June 30, 2026, our qualifying assets, as a percentage of total assets, stood at 81.94%. We monitor the status of these assets on an ongoing basis. (13)Undrawn committed revolvers and delayed draw term loans to our portfolio companies incur commitment and unused fees ranging from 0.00% to 3.00%. As of June 30, 2026, $64,611 of undrawn revolver and delayed draw term loan commitments to our portfolio companies, of which $52,446 are considered at the Company’s sole discretion. (14)Represents non-income producing security that has not paid a dividend or other income in the year preceding the reporting date. (15)The effective yield has been estimated to be 0% as expected future cash flows are anticipated to not be sufficient to repay the investment at cost. If the expected investment proceeds increase, there is a potential for future investment income from the See notes to consolidated financial statements. 151 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 investment. Distributions, once received, will be recognized as return of capital, and when called, any remaining unamortized investment costs will be written off if the actual distributions are less than the amortized investment cost. To the extent that the cost basis of the SSN is fully recovered, any future distributions will be recorded as realized gains. (16)Ellett Brothers, LLC, Evans Sports, Inc., Jerry’s Sports, Inc., Simmons Gun Specialties, Inc., Bonitz Brothers, Inc., and Outdoor Sports Headquarters, Inc. are joint borrowers on the second lien term loan. United Sporting Companies, Inc. (“USC”) is a parent guarantor of this debt investment, and is 100% owned by SportCo Holdings, Inc. (“SportCo”). In June 2019, USC filed for Chapter 11 bankruptcy and began liquidating its remaining assets. (17)As of June 30, 2026, Prospect owns a 95.4% equity interest in QC Holdings TopCo, LLC (“QC Holdings”), representing a controlling beneficial interest in QC Holdings per the 1940 Act. QC Holdings specializes in consumer-focused alternative financial services and credit solutions. (18)CP Holdings of Delaware LLC (“CP Holdings”), a consolidated entity in which we own 100% of the membership interests, owns 99.8% of CP Energy Services Inc. (“CP Energy”) as of June 30, 2026. CP Energy owns directly or indirectly 100% of each of CP Well Testing, LLC; Wright Foster Disposals, LLC; Foster Testing Co., Inc.; ProHaul Transports, LLC; and Wright Trucking, Inc. We report CP Energy as a separate controlled company. In June 2019, CP Energy purchased a controlling interest in the common equity of Spartan Energy Holdings, Inc. (“Spartan Holdings”), which owns 100% of Spartan Energy Services, LLC (“Spartan”), a portfolio company of Prospect with $61,429 in first lien term loans (the “Spartan Term Loans”) due to us as of June 30, 2026. As a result of CP Energy’s purchase, and given Prospect’s controlling interest in CP Energy, our Spartan Term Loans are presented as control investments under CP Energy. Spartan remains the direct borrower and guarantor to Prospect for the Spartan Term Loans. In September 2020, we made a new $26,193 Series A preferred stock investment in Spartan Energy Holdings, Inc., which equates to 100% of the Series A non-voting redeemable preferred stock outstanding. (19)Credit Central Holdings of Delaware, LLC (“Credit Central Delaware”), a consolidated entity in which we own 100% of the membership interests, owns 99.8% of Credit Central Loan Company, LLC (f/k/a Credit Central Holdings, LLC (“Credit Central”)) as of June 30, 2026. Credit Central owns 100% of each of Credit Central, LLC; Credit Central South, LLC; Credit Central of Texas, LLC; and Credit Central of Tennessee, LLC, the operating companies. We report Credit Central as a separate controlled company. (20)Redstone Holdco 2 LP is the parent borrower on the First Lien Term Loans. Redstone Buyer, LLC, Redstone Intermediate (FRI) HoldCo LLC, Redstone Intermediate (NetWitness) HoldCo, LLC, and Redstone Intermediate (SecurID) HoldCo, LLC are joint borrowers on the First Lien Term Loans. (21)First Tower Holdings of Delaware LLC (“First Tower Delaware”), a consolidated entity in which we own 100% of the membership interests, owns 80.10% of the voting interest and 78.06% of the fully-diluted economic interest of First Tower Finance Company LLC (“First Tower Finance”). First Tower Finance owns 100% of First Tower, LLC, the operating company. We report First Tower Finance as a separate controlled company. Effective March 17, 2021, the First Tower, LLC lenders were granted a first priority security interest in First Tower Finance’s assets and our investment became classified as a First Lien Term Loan. (22)Equity is held through Energy Solutions Holdings Inc., a consolidated entity in which we own 100% of the equity. (23)MITY Holdings of Delaware Inc. (“MITY Delaware”), a consolidated entity in which we own 100% of the common stock, owns 100% of the equity of MITY, Inc. (f/k/a MITY Enterprises, Inc.) (“MITY”). MITY owns 100% of each of MITY-Lite, Inc. (“MITY-Lite”); Broda Enterprises USA, Inc.; and Broda Enterprises ULC (“Broda Canada”). We report MITY as a separate controlled company. Our subordinated unsecured note issued and outstanding to Broda Canada is denominated in Canadian Dollars (“CAD”). As of June 30, 2026, the principal balance of this note was CAD 7,371. In accordance with ASC 830, Foreign Currency Matters (“ASC 830”), this note was remeasured into our functional currency, U.S. Dollars (USD), and is presented on our Consolidated Schedule of Investments in USD. We formed a separate legal entity domiciled in the United States, MITY FSC, Inc., (“MITY FSC”) in which Prospect owns 100% of the equity. MITY FSC does not have material operations. This entity earns commission payments from MITY-Lite based on its sales to foreign customers, and distributes it to its shareholder. (24)NPH Property Holdings, LLC (“NPH”), a consolidated entity in which we own 100% of the membership interests, owns 100% of the common equity of National Property REIT Corp. (“NPRC”) (f/k/a National Property Holdings Corp.), a property REIT which holds investments in several real estate properties. We report NPRC as a separate controlled company. See Note See notes to consolidated financial statements. 152 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 3 for further discussion of the investments held by NPRC. Effective July 1, 2026, the NPRC loan agreement was amended, extending the maturity date to March 31, 2030. (25)Nationwide Acceptance Holdings LLC (“Nationwide Holdings”), a consolidated entity in which we own 100% of the membership interests, owns 94.22% of Nationwide Loan Company LLC, the operating company, as of June 30, 2026. We report Nationwide Loan Company LLC as a separate controlled company. Prospect has a first priority security interest in the assets of Nationwide. (26)NMMB Holdings, Inc. (“NMMB Holdings”), a consolidated entity in which we own 100% of the equity, owns 92.77% of the fully diluted equity of NMMB, Inc. (“NMMB”) as of June 30, 2026. NMMB owns 100% of Refuel Agency, Inc., which owns 100% of Armed Forces Communications, Inc. We report NMMB as a separate controlled company. (27)Shoes West, LLC and Shoes West Distribution, LLC are joint borrowers on the First Lien Term Loan A and First Lien Convertible Term Loan B. (28)Prospect owns 99.96% of the equity of Strategic Chemical Solutions Corp. (effective October 21, 2025 f/k/a USES Corp.) as of June 30, 2026. (29)Valley Electric Holdings I, Inc., a consolidated entity in which we own 100% of the common stock, owns 100% of Valley Electric Holdings II, Inc. (“Valley Holdings II”), another consolidated entity. Valley Holdings II owns 94.99% of Valley Electric Company, Inc. (“Valley Electric”). Valley Electric owns 100% of the equity of VE Company, Inc., which owns 100% of the equity of Valley Electric Co. of Mt. Vernon, Inc. We report Valley Electric as a separate controlled company. On July 1, 2026, subsequent to this Consolidated Scheduled of Investments dated June 30, 2026, we closed on the sale of our equity interest in Valley Electric and concurrently received full repayment on our debt investments. Refer to Note 18. Subsequent Events for additional information. (30)As of June 30, 2026, Prospect owns 8.57% of the equity in Encinitas Watches Holdco, LLC, the parent company of Nixon, Inc. (31)Japs-Olson Company, LLC, Alpha Mail Debt Merger Sub, LLC and J-O Building Company LLC are joint borrowers on the First Lien Term Loan. (32)UTP Holdings Group, Inc. (“UTP Holdings”) owns all of the voting stock of Universal Turbine Parts, LLC (“UTP”) and has appointed a Board of Directors to UTP Holdings, consisting of three employees of the Investment Adviser. UTP Holdings owns UTP. UTP Holdings is a wholly-owned holding company controlled by Prospect and therefore Prospect’s investment in UTP is classified as a control investment. (33)As of June 30, 2026, the residual profit interest includes 8.33% of TLA, TLD and TLE residual profit calculated quarterly in arrears. The investments in TLA and TLD are subject to a maximum SOFR of 4.00%. (34)Prospect owns 100% of the preferred equity of Pacific World Corporation (“Pacific World”), which represents a 99.99% ownership interest of Pacific World as of June 30, 2026. As a result, Prospect’s investment in Pacific World is classified as a control investment. See notes to consolidated financial statements. 153 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 (35)The following shows the composition of our investment portfolio at amortized cost by control designation, investment type and by industry as of June 30, 2026: Industry 1st Lien Term Loan 2nd Lien Term Loan Subordinated Structured Notes Unsecured Debt Equity (B) Amortized Cost Total Control Investments Aerospace & Defense $ 54,780 $ — $ — $ — $ 38,679 $ 93,459 Commercial Services & Supplies 87,424 — — 7,200 28,773 123,397 Construction & Engineering 83,859 — — — 12,053 95,912 Consumer Finance 564,568 61,802 — — 134,222 760,592 Distributors 10,650 — — — 2,000 12,650 Diversified Consumer Services 700 — — — 2,378 3,078 Energy Equipment & Services 169,468 — — — 175,658 345,126 Residential Real Estate Investment Trusts (REITs) 876,859 — — — 20,030 896,889 Health Care Providers & Services 384,823 — — — 45,118 429,941 Household Durables 96,357 — — — 3,400 99,757 Machinery 61,322 — — — 6,866 68,188 Marine Transport — — — — 47,967 47,967 Media 29,723 — — — — 29,723 Online Lending — — — — — — Personal Care Products 122,445 — — — 238,494 360,939 Trading Companies & Distributors — — — — — — Total Control Investments $ 2,542,978 $ 61,802 $ — $ 7,200 $ 755,638 $ 3,367,618 Affiliate Investments Commercial Services & Supplies $ — $ — $ — $ — $ 12,835 $ 12,835 Textiles, Apparel & Luxury Goods — — — — — — Total Affiliate Investments $ — $ — $ — $ — $ 12,835 $ 12,835 Non-Control/Non-Affiliate Investments Air Freight & Logistics $ 121,447 $ 95,000 $ — $ — $ — $ 216,447 Automobile Components 33,512 67,000 — — 25,802 126,314 Commercial Services & Supplies 147,365 153,400 — — 5,000 305,765 Construction & Engineering 19,252 — — — 3,343 22,595 Distributors 310,501 8,351 — — 59,328 378,180 Diversified Consumer Services 103,214 — — — — 103,214 Diversified Telecommunication Services 186,687 59,071 — — — 245,758 Financial Services 77,832 — — — — 77,832 Food Products 18,457 69,063 — — — 87,520 Health Care Providers & Services 207,226 85,129 — — 54,621 346,976 Health Care Technology 126,176 — — — — 126,176 Hotels, Restaurants & Leisure 30,681 — — — — 30,681 Interactive Media & Services 87,850 — — — — 87,850 IT Services 51,818 19,690 — — 2,500 74,008 Leisure Products 70,188 — — — 1 70,189 Machinery 13,608 — — — — 13,608 Media 86,205 — — — — 86,205 Personal Care Products 10,577 — — — 2,111 12,688 Pharmaceuticals 122,789 — — — — 122,789 Professional Services 80,377 — — — 13,779 94,156 Software 47,982 136,006 — — — 183,988 Specialty Retail 10,791 — — — 23,898 34,689 Textiles, Apparel & Luxury Goods 66,071 — — — 19,109 85,180 Structured Finance(A) — — 2,108 — — 2,108 Total Non-Control/Non-Affiliate $ 2,030,606 $ 692,710 $ 2,108 $ — $ 209,492 $ 2,934,916 Total Portfolio Investment Cost $ 4,573,584 $ 754,512 $ 2,108 $ 7,200 $ 977,965 $ 6,315,369 See notes to consolidated financial statements. 154 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 The following table shows the composition of our investment portfolio at fair value by control designation, investment type and by industry as of June 30, 2026: Industry 1st Lien Term Loan 2nd Lien Term Loan Subordinated Structured Notes Unsecured Debt Equity (B) Fair Value Total Fair Value % of Net Assets Applicable to Common Stock Control Investments Aerospace & Defense $ 54,780 $ — $ — $ — $ 69,479 $ 124,259 4.2 % Commercial Services & Supplies 74,837 — — 5,195 11,779 91,811 3.2 % Construction & Engineering 83,859 — — — 209,995 293,854 10.1 % Consumer Finance 527,813 61,802 — — 559,538 1,149,153 39.2 % Distributors 6,710 — — — — 6,710 0.2 % Diversified Consumer Services 700 — — — 3,128 3,828 0.1 % Energy Equipment & Services 141,279 — — — — 141,279 4.8 % Residential Real Estate Investment Trusts (REITs) 876,859 — — — 204,737 1,081,596 36.9 % Health Care Providers & Services 340,451 — — — — 340,451 11.7 % Household Durables 96,357 — — — 12,208 108,565 3.7 % Machinery 61,322 — — — 37,153 98,475 3.4 % Marine Transport — — — — 12,077 12,077 0.4 % Media 29,723 — — — 50,081 79,804 2.7 % Personal Care Products 112,412 — — — — 112,412 3.8 % Trading Companies & Distributors — — — — — — — % Structured Finance(A) — — — — — — — % Total Control Investments $ 2,407,102 $ 61,802 $ — $ 5,195 $ 1,170,175 $ 3,644,274 124.4 % Fair Value % of Net Assets 82.1 % 2.1 % — % 0.2 % 40.0 % 124.4 % Affiliate Investments Commercial Services & Supplies $ — $ — $ — $ — $ 30,447 $ 30,447 1.0 % Textiles, Apparel & Luxury Goods — — — — — — — % Total Affiliate Investments $ — $ — $ — $ — $ 30,447 $ 30,447 1.0 % Fair Value % of Net Assets — % — % — % — % 1.0 % 1.0 % Non-Control/Non-Affiliate Investments Air Freight & Logistics $ 72,633 $ 95,000 $ — $ — $ — $ 167,633 5.7 % Automobile Components 1,192 28,578 — — 439 30,209 1.0 % Commercial Services & Supplies 147,877 153,500 — — 22,257 323,634 11.2 % Construction & Engineering 19,252 — — — 3,343 22,595 0.8 % Distributors 316,707 7,416 — — 23,796 347,919 11.9 % Diversified Consumer Services 9,611 — — — — 9,611 0.3 % Diversified Telecommunication Services 182,006 8,429 — — — 190,435 6.5 % Financial Services 77,832 — — — — 77,832 2.6 % Food Products 14,877 69,380 — — — 84,257 2.9 % Health Care Providers & Services 219,882 47,487 — — 150,868 418,237 14.3 % Health Care Technology 123,898 — — — — 123,898 4.3 % Hotels, Restaurants & Leisure 28,097 — — — — 28,097 1.0 % Household Durables — — — — — — — % Interactive Media & Services 87,850 — — — — 87,850 3.0 % IT Services 49,678 7,126 — — 769 57,573 2.0 % Leisure Products 70,188 — — — — 70,188 2.4 % Machinery 13,608 — — — — 13,608 0.5 % Media 84,908 — — — — 84,908 2.9 % Personal Care Products 10,577 — — — 1,028 11,605 0.4 % Pharmaceuticals 141,316 — — — — 141,316 4.8 % Professional Services 79,581 — — — 12,591 92,172 3.1 % Software 47,982 100,490 — — — 148,472 5.0 % See notes to consolidated financial statements. 155 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 Industry 1st Lien Term Loan 2nd Lien Term Loan Subordinated Structured Notes Unsecured Debt Equity (B) Fair Value Total Fair Value % of Net Assets Applicable to Common Stock Specialty Retail 7,829 — — — — 7,829 0.3 % Textiles, Apparel & Luxury Goods 74,451 — — — 50,714 125,165 4.2 % Structured Finance (A) — — 2,794 — — 2,794 0.1 % Total Non-Control/Non-Affiliate $ 1,881,832 $ 517,406 $ 2,794 $ — $ 265,805 $ 2,667,837 91.1 % Fair Value % of Net Assets 64.3 % 17.7 % 0.1 % — % 9.1 % 91.1 % Total Portfolio $ 4,288,934 $ 579,208 $ 2,794 $ 5,195 $ 1,466,427 $ 6,342,558 216.5 % Fair Value % of Net Assets 146.4 % 19.8 % 0.1 % 0.2 % 50.1 % 216.5 % (A) Our SSN investments do not have industry concentrations and as such have been separated in the tables above. (B) Equity, unless specifically stated otherwise, includes our investments in preferred stock, common stock, membership interests, net profits interests, net operating income interests, net revenue interests, overriding royalty interests, escrows receivable, and warrants. See notes to consolidated financial statements. 156 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 (36)The interest rate on the below list of investments, which excludes those on non-accrual, contains a paid in kind (“PIK”) provision, whereby the issuer has either the option or the obligation to make interest payments with the issuance of additional securities. 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 under the existing credit agreements, as of June 30, 2026: Security Name PIK Rate - Capitalized PIK Rate - Paid as cash Maximum Current PIK Rate Aventiv Technologies, LLC - Third Out Super Priority First Lien Term Loan 9.08% —% 9.08% (A) Aventiv Technologies, LLC - Second Out Super Priority First Lien Term Loan 11.49% —% 11.49% (A) Belnick, LLC (d/b/a The Ubique Group) - First Lien Term Loan 12.50% —% 12.50% (B) CP Energy Services Inc. - First Lien Term Loan 12.99% —% 12.99% CP Energy Services Inc. - First Lien Term Loan 5.54% 7.45% 12.99% CP Energy Services Inc. - First Lien Term Loan —% 12.99% 12.99% CP Energy Services Inc. - First Lien Term Loan 12.99% —% 12.99% CP Energy Services Inc. - First Lien Term Loan A to Spartan Energy Services, LLC —% 11.99% 11.99% (C) CP Energy Services Inc. - Incremental First Lien Term Loan A to Spartan Energy Services, LLC —% 11.99% 11.99% (C) Discovery Point Retreat, LLC - First Lien Delayed Draw Term Loan —% —% 5.00% Druid City Infusion, LLC - First Lien Convertible Note to Druid City Intermediate, Inc. 2.00% —% 2.00% First Tower Finance Company LLC - First Lien Term Loan —% 16.00% 16.00% (D) Help/Systems Holdings, Inc. (d/b/a Forta, LLC) - Second Lien Term Loan 9.00% —% 9.00% InterDent, Inc. - First Lien Term Loan B 7.00% —% 7.00% InterDent, Inc. - First Lien Delayed Draw Term Loan B 7.00% —% 7.00% Lucky US BuyerCo LLC - First Lien Revolving Line of Credit 2.00% —% 2.00% Lucky US BuyerCo LLC - First Lien Term Loan 2.00% —% 2.00% MITY, Inc. - First Lien Term Loan B —% 10.00% 10.00% National Property REIT Corp. - First Lien Term Loan A —% 2.00% 2.00% National Property REIT Corp. - First Lien Term Loan D —% 2.00% 2.00% National Property REIT Corp. - First Lien Term Loan E —% 7.00% 7.00% Nationwide Loan Company LLC - First Lien Delayed Draw Term Loan A 10.00% —% 10.00% (E) Nationwide Loan Company LLC - First Lien Delayed Draw Term Loan B 10.00% —% 10.00% (E) New WPCC Parent, LLC - First Lien Term Loan —% 8.00% 8.00% New WPCC Parent, LLC - Series A Preferred Interests 13.00% —% 13.00% Pacific World Corporation - First Lien Term Loan A 6.60% 1.30% 7.90% QC Holdings TopCo, LLC - Second Lien Term Loan —% 14.00% 14.00% (F) QC Holdings TopCo, LLC - Second Lien Delayed Draw Term Loan —% 14.00% 14.00% (F) Recovery Solutions Parent, LLC - First Lien Term Loan —% 5.00% 5.00% Redstone Holdco 2 LP - First Lien Third Out Term Loan 12.00% —% 12.00% Rising Tide Holdings, Inc. - First In Last Out Term Loan 30.00% —% 30.00% (G) Rising Tide Holdings, Inc. - First In Last Out Term Loan 20.00% —% 20.00% (G) Rising Tide Holdings, Inc. - First Lien First Out Term Loan 15.00% —% 15.00% Rising Tide Holdings, Inc. - First Lien Second Out Term Loan 12.00% —% 12.00% Safety Solutions Financing, LLC - Series B Preferred Units of BFC-SDR, LLC 8.00% —% 8.00% ShiftKey, LLC - First Lien Term Loan 0.50% —% 0.50% Shoes West, LLC (d/b/a Taos Footwear) - First Lien Convertible Term Loan B 2.00% —% 2.00% Shoes West, LLC (d/b/a Taos Footwear) - Class A Preferred Units of Taos Footwear Holdings, LLC 8.00% —% 8.00% STG Distribution, LLC - First Out Term Loan —% —% 7.25% STG Distribution, LLC - First Lien First Out DIP Roll Up 8.00% —% 8.00% STG Distribution, LLC - First Lien DIP Term Loan 8.00% —% 8.00% Strategic Chemical Solutions Corp. (f/k/a USES Corp.) - First Lien Equipment Term Loan 9.43% 3.47% 12.90% (H) Town & Country Holdings, Inc. - First Lien Term Loan —% 5.00% 5.00% Universal Turbine Parts, LLC - Preferred A Units 12.75% —% 12.75% Upstream Holdco, Inc. - Second Lien Term Loan 13.27% —% 13.27% See notes to consolidated financial statements. 157 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 Security Name PIK Rate - Capitalized PIK Rate - Paid as cash Maximum Current PIK Rate Upstream Holdco, Inc. - Second Lien Term Loan 12.67% —% 12.67% Valley Electric Company, Inc. - First Lien Term Loan to Valley Electric Co. of Mt. Vernon, Inc. —% 2.50% 2.50% Valley Electric Company, Inc. - First Lien Term Loan —% 10.00% 10.00% Valley Electric Company, Inc. - First Lien Term Loan B —% 5.50% 5.50% Victor Technology, LLC - First Lien Term Loan —% 11.49% 11.49% (I) Wellful Inc. - Second Out First Lien Term Loan —% 10.24% 10.24% (A) On December 29, 2023, the Aventiv Technologies, LLC Second Out Super Priority First Lien Term Loan was amended to allow a portion of interest accruing in cash to be payable in kind. On March 28, 2025, the Aventiv Technologies, LLC Third Out Super Priority First Lien Term Loan was amended to allow a portion of interest accruing in cash to be payable in kind. (B) On May 13, 2025, the Belnick, LLC First Lien Term Loan was amended to allow interest accruing in cash to be payable in kind resulting in a maximum current PIK rate of 12.50%. (C) On August 22, 2022, the Spartan Energy Services, LLC Twenty-Fifth Amendment to Amended and Restated Senior Secured Loan Agreement was amended to allow interest accruing in cash to be payable in kind resulting in a maximum current PIK rate of 11.99%. (D) On December 30, 2025, the First Tower Finance Company LLC Amendment No. 16 was amended to reduce the PIK rate to 5.00% and allow the interest accruing in cash to be payable in kind resulting in a maximum current PIK rate of 16.00%. (E) The Nationwide Loan Company LLC Delayed Draw Term Loan agreement allows for a portion of interest accruing in cash to be payable in kind. (F) The Amended QC Holdings TopCo, LLC Senior Secured Term Loan Agreement dated September 30, 2025, allows for a portion of interest accruing in cash to be payable in kind. (G) The Rising Tide Holdings, Inc. Amended and Restated ABL Credit Agreement allows for all or a portion of interest to be payable in kind. (H) On March 28, 2023, the Strategic Chemical Solutions Corp. (f/k/a USES Corp.) First Lien Equipment Term loan was amended to allow interest accruing in cash to be payable in kind resulting in a maximum current PIK rate of 12.90%. (I) On May 1, 2026, the Victor Technology, LLC First Lien Term Loan was amended to allow interest accruing in cash to be payable in kind resulting in a maximum current PIK rate of 11.49%. (37)As defined in the 1940 Act, we are deemed to “Control” these portfolio companies because we own more than 25% of the portfolio company’s outstanding voting securities. Transactions during the year ended June 30, 2026 with these controlled investments were as follows: Controlled Companies Fair Value at June 30, 2025 Gross Additions (Cost)(A) Gross Reductions (Cost) (B) Net unrealized gains (losses) Fair Value at June 30, 2026 Interest income Dividend income Other income Net realized gains (losses) Belnick, LLC (d/b/a The Ubique Group) $ 51,166 $ 11,505 $ — $ 45,894 $ 108,565 $ 11,508 $ — $ 50 $ — CP Energy Services Inc. 85,359 10,853 — (13,389) 82,823 13,355 — — — CP Energy - Spartan Energy Services, LLC 36,830 9,952 — 11,674 58,456 6,898 — — — Credit Central Loan Company, LLC 78,736 2,714 — (24,913) 56,537 6,355 — — — Echelon Transportation, LLC 65,653 — (110,320) 44,667 — 1,297 — — (52,334) First Tower Finance Company LLC 760,518 10,959 (2,867) 192,168 960,778 71,975 — 328 — Freedom Marine Solutions, LLC 11,660 850 — (433) 12,077 — — — — InterDent, Inc. 338,781 35,916 — (34,246) 340,451 42,685 — — — Kickapoo Ranch Pet Resort 3,917 — — (89) 3,828 81 — — — MITY, Inc. 94,418 7,123 — (19,105) 82,436 9,590 — 178 19 National Property REIT Corp. 1,300,972 47,564 (73,323) (193,617) 1,081,596 60,395 — — — Nationwide Loan Company LLC 36,780 1,049 — (6,097) 31,732 1,049 — — — NMMB, Inc. 72,207 — — 7,597 79,804 3,820 2,112 — 2,108 Pacific World Corporation 107,970 24,826 — (20,384) 112,412 9,775 — 418 — QC Holdings TopCo, LLC 77,286 6,805 — 16,015 100,106 13,767 — — — R-V Industries, Inc. 105,577 14,000 — (21,102) 98,475 6,333 13,288 — — Strategic Chemical Solutions Corp. (f/k/a USES Corp.) 14,518 1,405 (66,219) 59,671 9,375 2,826 — 6 (66,219) Universal Turbine Parts, LLC 102,728 6,179 (248) 15,600 124,259 6,043 6,179 — — Valley Electric Company, Inc. 351,291 — — (57,437) 293,854 12,538 10,924 666 — Victor Technology, LLC (C) — 12,950 (300) (5,940) 6,710 (C) 619 — 13 — Total $ 3,696,367 $ 204,650 $ (253,277) $ (3,466) $ 3,644,274 $ 280,909 $ 32,503 $ 1,659 $ (116,426) (A) Gross additions include increases in the cost basis of the investments resulting from new portfolio investments, OID accretion and PIK interest, and any transfer of investments. See notes to consolidated financial statements. 158 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 (B) Gross reductions include decreases in the cost basis of investments resulting from principal collections related to investments repayments or sales, impairments, and any transfer of investments. (C) Victor Technology LLC, was transferred to a control investment during the quarter-ended March 31, 2026 (see Note 14). Income recognized prior to the reclassification date is reflected as income from non-control/non-affiliate investments on our Consolidated Statement of Operations. (38)As defined in the 1940 Act, we are deemed to be an “Affiliated company” of these portfolio companies because we own more than 5% of the portfolio company’s outstanding voting securities. Transactions during the year ended June 30, 2026 with these affiliated investments were as follows: Affiliated Companies Fair Value at June 30, 2025 Gross Additions (Cost)(A) Gross Reductions (Cost)(B) Net unrealized gains (losses) Fair Value at June 30, 2026 Interest income Dividend income Other income Net realized gains (losses) Nixon, Inc. $ — $ — $ — $ — $ — $ — $ — $ — $ — RGIS Services, LLC 27,057 1,099 — 2,291 30,447 — 1,612 — — Total $ 27,057 $ 1,099 $ — $ 2,291 $ 30,447 $ — $ 1,612 $ — $ — (A) Gross additions include increases in the cost basis of the investments resulting from new portfolio investments, PIK interest, and any transfer of investments. (B) Gross reductions include decreases in the cost basis of investments resulting from principal collections related to investments repayments or sales, impairments, and any transfer of investments. See notes to consolidated financial statements. 159 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 (39)Acquisition date represents the date of PSEC’s initial investment. Follow-on acquisitions have occurred on the following dates to arrive at PSEC’s current investment as of June 30, 2026 (excluding effects of capitalized PIK interest, premium/original issue discount amortization/accretion, and partial repayments) (see endnote 40 for NPRC equity follow-on acquisitions): Portfolio Company Investment Follow-On Acquisition Dates Follow-On Acquisitions (Excluding initial investment cost) Apidos CLO XV Subordinated Structured Note 3/29/2018 $ 6,480 Apidos CLO XXII Subordinated Structured Note 2/24/2020 1,912 Atlantis Health Care Group (Puerto Rico), Inc. First Lien Term Loan 12/9/2016 42,000 Aventiv Technologies, LLC Second Out Super Priority First Lien Term Loan 6/28/2024 834 Aventiv Technologies, LLC Super Priority Second Lien Term Loan 3/4/2025 595 Aventiv Technologies, LLC Second Out Super Priority First Lien Term Loan 1/2/2025 105 Barings CLO 2018-III Subordinated Structured Note 5/18/2018 9,255 BCPE North Star US Holdco 2, Inc. Second Lien Term Loan 12/30/2021, 10/28/2022 70,133 BCPE Osprey Buyer, Inc. First Lien Delayed Draw Term Loan 9/26/2023 4,639 Belnick, LLC First Lien Term Loan 6/27/2022, 12/1/2023 18,000 Cent CLO 21 Limited Subordinated Structured Note 7/12/2018 1,024 Collections Acquisition Company, Inc. First Lien Term Loan 1/13/2022, 3/14/2024, 10/30/2025 25,850 CP Energy Services Inc. First Lien Term Loan 8/31/2023 2,900 CP Energy Services Inc. First Lien Delayed Draw Term Loan 3/25/2025, 6/24/2025, 9/25/2025, 3/30/2026, 6/24/2026 10,600 CP Energy Services Inc. First Lien Term Loan A to Spartan Energy Services, LLC 4/9/2021, 1/10/2022, 2/10/2023, 6/7/2024, 11/13/2024, 1/9/2025, 3/25/2025, 6/24/2025, 9/25/2025, 12/17/2025, 2/25/2026, 6/24/2026 32,181 CP Energy Services Inc. Common Stock 10/11/2013, 12/26/2013, 4/6/2018, 12/31/2019 69,586 Credit Central Loan Company, LLC Class A Units 12/28/2012, 3/28/2014, 6/26/2014, 9/28/2016, 8/21/2019 11,975 Credit Central Loan Company, LLC First Lien Term Loan 6/26/2014, 9/28/2016, 12/16/2022, 1/27/2023, 9/30/2025 48,310 Credit Central Loan Company, LLC Preferred Class P Shares 1/27/2023 1,540 Discovery Point Retreat, LLC First Lien Term Loan 5/9/2025 3,700 Discovery Point Retreat, LLC Series A Preferred Stock 2/18/2026 750 DRI Holding, Inc. First Lien Term Loan 4/26/2022, 7/21/2022 12,999 DRI Holding, Inc. Second Lien Term Loan 5/18/2022 10,000 Druid City Infusion, LLC First Lien Term Loan 3/6/2026 6,364 Echelon Transportation, LLC Membership Interest 3/31/2014, 9/30/2014, 12/9/2016 22,488 Emerge Intermediate, Inc. First Lien Term Loan 6/14/2024 1,467 Eze Castle Integration, Inc. (f/k/a/ H.I.G. ECI Merger Sub, Inc.) First Lien Delayed Draw Term Loan 10/7/2022, 9/5/2023, 1/10/2025 2,576 First Brands Group First Lien Term Loan 4/27/2022, 9/19/2025 8,880 First Brands Group Second Lien Term Loan 5/12/2022 4,938 First Tower Finance Company LLC Class A Units 12/30/2013, 6/24/2014, 12/15/2015, 11/21/2016, 3/9/2018 39,885 First Tower Finance Company LLC First Lien Term Loan to First Tower, LLC 12/15/2015, 3/9/2018, 3/24/2022, 5/30/2025, 6/27/2025 60,548 Freedom Marine Solutions, LLC Membership Interest 10/1/2009, 12/22/2009, 1/13/2010, 3/30/2010, 5/13/2010, 2/14/2011, 4/28/2011, 7/7/2011, 10/20/2011, 10/30/2015, 1/7/2016, 4/11/2016, 8/11/2016, 1/30/2017, 4/20/2017, 6/13/2017, 8/30/2017, 1/17/2018, 2/15/2018, 5/8/2018, 10/31/2018, 5/14/2021, 4/18/2022, 2/15/2023, 7/2/2024, 8/12/2025, 2/18/2026 43,943 Galaxy XV CLO, Ltd. Subordinated Structured Note 8/21/2015, 3/10/2017 9,161 Galaxy XXVII CLO, Ltd. Subordinated Structured Note 6/11/2015 1,460 Help/Systems Holdings, Inc. Second Lien Term Loan 5/11/2021, 10/14/2021 54,649 Imperative Worldwide, LLC (f/k/a MAGNATE WORLDWIDE, LLC) First Lien Term Loan 10/26/2022, 6/1/2023, 9/30/2024 8,190 Interdent, Inc. First Lien Term Loan A 2/11/2014, 4/21/2014, 11/25/2014, 12/23/2014, 7/14/2021, 3/28/2022 93,903 Interdent, Inc. First Lien Term Loan B 2/11/2014, 4/21/2014, 11/25/2014, 12/23/2014 76,125 See notes to consolidated financial statements. 160 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 Portfolio Company Investment Follow-On Acquisition Dates Follow-On Acquisitions (Excluding initial investment cost) Interdent, Inc. First Lien Delayed Draw Term Loan B 12/20/2024, 3/24/2025, 5/27/2025, 6/23/2025, 9/25/2025, 12/23/2025, 3/26/2026, 6/25/2026 32,000 K&N HoldCo, LLC Class A Common Units 7/31/2024 105 Kickapoo Ranch Pet Resort Membership Interest 10/21/2019, 12/4/2019 28 LCM XIV Ltd. Subordinated Structured Note 9/25/2015, 5/18/2018 9,422 Lucky US BuyerCo LLC First Lien Revolving Line of Credit 3/21/2024, 6/24/2024, 3/31/2025, 7/15/2025, 12/11/2025 2,520 MITY, Inc. Common Stock 6/23/2014 7,200 MITY, Inc. First Lien Term Loan A 1/17/2017, 3/23/2021, 2/14/2024, 3/15/2024, 5/15/2024, 9/16/2024, 12/3/2024, 4/4/2025, 10/29/2025, 1/26/2026, 3/20/2026 25,764 MITY, Inc. First Lien Term Loan B 1/17/2017, 6/3/2019 11,000 MITY, Inc. Series A Redeemable Preferred Stock 1/26/2026, 3/20/2026 720 Nationwide Loan Company LLC Class A Units 3/28/2014, 6/18/2014, 9/30/2014, 6/29/2015, 3/31/2016, 8/31/2016, 5/31/2017, 10/31/2017 20,469 Nationwide Loan Company LLC First Lien Delayed Draw Term Loan A 6/26/2024 2,250 Nationwide Loan Company LLC First Lien Delayed Draw Term Loan B 3/6/2025 3,000 National Property REIT Corp. First Lien Term Loan A 4/3/2020, 5/15/2020, 6/10/2020, 7/29/2020, 8/14/2020, 9/15/2020,10/15/2020, 10/30/2020, 11/10/2020, 11/13/2020, 11/19/2020, 12/11/2020, 1/27/2021, 2/25/2021, 3/11/2021, 5/14/2021, 6/14/2021, 6/25/2021, 8/16/2021, 11/15/2021, 11/26/2021, 12/1/2021, 12/28/2021, 1/14/2022, 2/15/2022, 3/17/2022, 3/28/2022, 4/1/2022, 4/7/2022, 5/24/2022, 6/6/2022, 7/5/2022, 8/31/2022, 10/6/2022, 1/10/2023, 2/28/2023, 4/4/2023, 4/6/2023, 4/28/2023, 6/9/2023, 6/14/2023, 7/5/2023, 7/14/2023, 8/31/2023, 9/29/2023, 10/4/2023, 10/20/2023, 11/30/2023, 1/3/2024, 1/18/2024, 2/29/2024, 3/8/2024, 4/2/2024, 5/31/2024, 7/8/2024, 8/30/2024, 10/10/2024, 12/02/2024, 1/6/2025, 1/8/2025, 3/20/2025, 4/3/2025, 5/15/2025, 7/3/2025, 8/18/2025, 3/11/2026, 5/7/2026, 5/18/2026 981,032 National Property REIT Corp. First Lien Term Loan E 6/26/2024 35,300 New WPCC Parent, LLC First Lien Term Loan 7/8/2025, 7/9/2025, 9/26/2025, 1/15/2026, 5/29/2026 12,158 New WPCC Parent, LLC Series A Preferred Interests 9/4/2025, 9/11/2025, 9/12/2025, 11/14/2025, 12/17/2025, 2/6/2026, 2/11/2026 1,123 NEW WPCC PARENT, LLC. Class A Common Interests 11/14/2025, 12/17/2025, 2/6/2026, 2/11/2026, 2/20/2026 67 NMMB, Inc. First Lien Term Loan 12/30/2019, 3/28/2022 40,100 Octagon Investment Partners XV, Ltd. Subordinated Structured Note 4/27/2015, 8/3/2015, 6/27/2017 10,516 Pacific World Corporation Convertible Preferred Equity 4/3/2019, 4/29/2019, 6/3/2019, 10/4/2019, 11/12/2019, 12/20/2019, 1/7/2020, 3/5/2020, 12/30/2021, 1/26/2024, 7/31/2025, 8/15/2025, 9/12/2025, 12/19/2025, 3/26/2026, 4/10/2026 71,800 Pacific World Corporation First Lien Term Loan A 12/22/2022, 11/25/2024, 3/7/2025 19,900 PeopleConnect Holdings, LLC First Lien Term Loan 10/21/2021, 2/9/2026 116,229 (Precisely) Vision Solutions, Inc. Second Lien Term Loan 5/28/2021, 6/24/2021, 6/3/2022 59,333 Preventics, Inc. First Lien Term Loan 2 4/30/2025 1,900 Preventics, Inc. Preferred Units 4/30/2025 38 Preventics, Inc. Preferred Units 4/30/2025 527 QC Holdings TopCo, LLC Second Lien Delayed Draw Term Loan 1/5/2026, 4/1/2026, 6/26/2026 5,099 Recovery Solutions Parent, LLC First Lien Term Loan 6/27/2025, 7/8/2025, 1/15/2026, 1/21/2026 12,554 Recovery Solutions Parent, LLC Common Stock 5/30/2025, 9/4/2025, 9/5/2025, 9/11/2025, 9/15/2025, 9/25/2025, 11/21/2025, 2/18/2026 3,473 RGIS Services, LLC Membership Interest 5/28/2024, 12/12/2025 2,532 RME Group Holdings Company First Lien Term Loan B 12/29/2025 2,000 Rosa Mexicano First Lien Revolving Line of Credit 3/27/2020, 10/13/2023, 2/7/2024, 5/17/2024, 8/12/2025, 11/3/2025, 4/1/2026 7,750 R-V Industries, Inc. First Lien Term Loan 3/4/2022, 9/25/2023, 11/24/2025 17,700 R-V Industries, Inc. Common Stock 12/27/2016 1,854 Shiftkey, LLC First Lien Term Loan 8/26/2022, 9/14/2022, 9/23/2022 39,450 STG Distribution, LLC First Lien DIP Term Loan 1/29/2026, 2/13/2026 2,925 The RK Logistics Group, Inc. Class B Common Units 12/19/2023 1,250 The RK Logistics Group, Inc. First Lien Term Loan 6/28/2024 13,000 Town & Country Holdings, Inc. First Lien Term Loan 7/13/2018, 7/16/2018, 2/27/2024, 3/28/2024, 4/23/2024 115,000 Town & Country Holdings, Inc. Class B of Town & Country TopCo LLC 10/18/2024, 12/27/2024, 1/10/2025, 5/7/2025, 7/11/2025, 10/1/2025, 1/7/2026, 3/20/2026, 4/1/2026 50,882 See notes to consolidated financial statements. 161 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 Portfolio Company Investment Follow-On Acquisition Dates Follow-On Acquisitions (Excluding initial investment cost) United Sporting Companies, Inc. Second Lien Term Loan 3/7/2013, 3/14/2024 59,325 Universal Turbine Parts, LLC First Lien Delayed Draw Term Loan 10/24/2019, 2/7/2020, 2/26/2020, 4/5/2021, 11/24/2023, 6/27/2025 6,716 USES Corp. First Lien Term Loan A 6/15/2016, 6/29/2016, 2/22/2017, 4/27/2017, 5/4/2017, 8/30/2017, 10/11/2017, 12/11/2018, 8/30/2019 14,100 USES Corp. First Lien Equipment Term Loan 6/23/2023, 7/3/2024, 11/6/2024, 1/9/2025 9,900 USG Intermediate, LLC First Lien Term Loan B 8/24/2017, 7/30/2021, 2/9/2022, 8/17/2022, 5/12/2023, 12/20/2023, 2/21/2025 129,475 Valley Electric Company, Inc. Common Stock 12/31/2012, 6/24/2014 18,502 Valley Electric Company, Inc. First Lien Term Loan 6/30/2014, 8/31/2018, 3/28/2022 18,129 Valley Electric Company, Inc. First Lien Term Loan B 5/1/2023 19,000 (40)Since Prospect’s initial common equity investment in NPRC on December 31, 2013, we have made numerous additional follow-on investments that have been used to invest in new and existing properties as well as online consumer loans and rated secured structured notes. These follow-on acquisitions are summarized by fiscal year below (excluding effects of return of capital distributions). Details of specific transactions are included in the respective fiscal year Form 10-K filing (refer to endnote 42 for NPRC term loan follow-on investments): Fiscal Year Follow-On Investments (NPRC Common Stock, excluding cost of initial investment) 2014 $ 4,555 2015 68,693 2016 93,857 2017 116,830 2018 137,024 2019 11,582 2020 19,800 2022 15,620 2023 3,600 2024 4,600 2025 — 2026 — (41)On March 31, 2025, Prospect exercised certain rights and remedies under its loan documents to exercise voting rights in respect of the equity of Belnick, LLC and certain of its subsidiaries (“Belnick”), enabling Prospect to control 100% of the voting power of Belnick, and to, among other things, appoint new officers, all of whom are our Investment Adviser’s professionals. As a result, Prospect’s investment in Belnick became classified as a control investment. Effective May 22, 2025, Prospect established 100% ownership of Belnick Holdings of Delaware, LLC (“Belnick Delaware”), a wholly owned consolidated holdings company. On May 23, 2025, Belnick Delaware acquired a 100% voting interest in Belnick’s Class P Preferred units, which, together with the voting rights obtained through the proxy over the remaining Class A units, provides Prospect with 100% of the voting interest in Belnick. Belnick Delaware executed a share transfer agreement for the remaining Class A units and effective December 31, 2025, owns 100% of the membership units in Belnick. Belnick is a provider of high-volume, value-oriented furniture and furnishings to a broad range of residential and commercial end markets. (42)This investment represents a Level 2 security in the ASC 820 table as of June 30, 2026. See Notes 2 and 3 within the accompanying notes to consolidated financial statements for further discussion. (43)Investment provides future right to acquire voting securities not beneficially owned, subject to certain terms and conditions, including prior notice, which if exercised, could result in such investment becoming an affiliate or control investment. See notes to consolidated financial statements. 162 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2026 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2026 (44)The investment represents a unitranche loan with characteristics of a traditional first lien senior secured loan, but which pursuant to an agreement among lenders is divided among unaffiliated lenders into “first out” and “last out” tranches yielding different interest rates, where our investment is the “last out” tranche(s) of such unitranche loan, subject to payment priority in favor of a first out tranche held by an unaffiliated lender; or, the Company has entered into an intercreditor agreement that entitles the Company to the “last out” tranche of the first lien secured loans, whereby the “first out” tranche will receive priority as to the “last out” tranche(s) with respect to payments of principal, interest, and any other amounts due thereunder. Therefore, the Company may receive a higher interest rate than the “first out” lenders and the Consolidated Schedule of Investments above reflects such higher rate, as applicable. (45)Emerge Intermediate, Inc., HD Research, LLC, ERG Buyer, LLC, and ERG Blocker, Inc. are joint borrowers on the First Lien Term Loan. (46)The stated interest rate on the drawn revolver and delayed drawn term loan commitments represents a weighted average interest rate for the funded amounts of the investment. (47)Wellpath Holdings, Inc. (“Wellpath”) filed for Chapter 11 bankruptcy on November 11, 2024. On May 9, 2025 Wellpath Holdings, Inc. consummated a court-approved restructuring pursuant to its Chapter 11 Plan of Reorganization. As part of this transaction, our existing First Lien Term Loan was restructured into new debt and equity positions in New WPCC Parent, LLC and our residual Second Lien Senior Secured Term Loan deficiency claims were exchanged for beneficial interests in the Wellpath Holdings, Inc. Liquidation Trust. Our recovery in the Trust is subject to a claim’s reconciliation process and the value of our interest is based on management’s current estimate of expected recovery, using Level 3 unobservable inputs. (48)Prospect owns 100% of the equity of Victor Holdings of Delaware, LLC (“Victor Holdings”), a Consolidated Holding Company. During the year ended June 30, 2026, Victor Holdings acquired 100% of the equity interest in VTI Acquisition, Inc. (“VTI”) and 99.90% of the equity interest in Victor Technology, LLC (“Victor Technology”), with VTI owning the remaining 0.1%. As a result, Prospect’s investment in Victory Technology is classified as a control investment as of June 30, 2026. Victor Technology is a manufacturer and distributor of office supplies, including calculators, standing desks, organizers and paperclips. (49)Investments may have a portion, or all, of their income received from Paid-in-Kind (“PIK”) interest or dividends. PIK interest income and cumulative dividend income represent income not paid currently in cash. The difference between the All-in Rate and PIK Rate represents the cash rate as of June 30, 2026. (50)The Prospect owns 100% of the equity of R-V Holdings of Delaware, LLC (“R-V Holdings”), a Consolidated Holding Company. R-V Holdings owns 90.28% of the fully-diluted equity of R-V Industries, Inc. (51)First Brands is progressing towards an exit from bankruptcy via a liquidating Chapter 11 plan. Given case complexities, the lenders have executed a forbearance into a Forbearance Agreement (approved by the Bankruptcy Court via Stipulation and Agreed Order entered July 29, 2026) instead of a maturity extension. Additionally, the disclosed interest for First Lien Term Loan A and First Lien Term Loan B represents the default rate, which became effective June 29, 2026 per the Forbearance Agreement. Additional Information - Derivative instrument held at fair value: Counterparty Contract Currency Purchased (1) Currency Sold Settlement Date Maturity Date Range Derivative Asset Fair Value % of Net Assets Derivative Liability Fair Value % of Net Assets (2) Mizuho Capital Markets LLC Foreign Currency Forward Contracts ILS 680,773 $ 221,317 10/28/2025 9/23/2026 - 12/23/2030 $ 18,900 0.6 % $ — — % (1) Currency purchased is Israeli Shekel (“ILS”). (2) Percentage is less than 0.01% of Net Assets. See notes to consolidated financial statements. 163 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (in thousands, except share data) June 30, 2025 Portfolio Company Industry(43) Investments(1)(35) Acquisition Date(39) Coupon/Yield Floor Legal Maturity Principal Value Amortized Cost Fair Value(2) % of Net Assets Control Investments (greater than 25.00% voting control)(37) Belnick, LLC (d/b/a The Ubique Group) (41) Household Durables First Lien Term Loan 1/20/2022 13.06% (3M SOFR + 8.50%) 4.00 1/20/2027 $ 84,852 $ 84,852 $ 51,166 1.7 % (8)(36) Preferred Class P Units (5,000 units) 5/23/2025 8.50% PIK N/A 3,400 — — % (14) 88,252 51,166 1.7% CP Energy Services Inc. (18) Energy Equipment & Services First Lien Delayed Draw Term Loan - $10,000 Commitment 12/24/2024 13.56% (3M SOFR + 9.00%) 1.00 4/4/2027 9,769 9,769 8,580 0.3% (8)(13)(36) First Lien Term Loan 10/1/2017 13.56% (3M SOFR + 9.00%) 1.00 4/4/2027 63,003 63,003 55,337 1.9% (8)(36) First Lien Term Loan 4/5/2022 13.56% (3M SOFR + 9.00%) 1.00 4/4/2027 8,191 8,191 7,194 0.2% (8)(36) First Lien Term Loan 1/6/2023 13.56% (3M SOFR + 9.00%) 1.00 4/4/2027 16,223 16,223 14,248 0.5% (8)(36) First Lien Term Loan A to Spartan Energy Services, LLC 10/20/2014 12.56% PIK (3M SOFR + 8.00%) 1.00 12/31/2025 46,908 46,908 32,863 1.1% (8)(36) First Lien Term Loan A to Spartan Energy Services, LLC 10/20/2014 12.56% (3M SOFR + 8.00%) 1.00 12/31/2025 4,569 4,569 3,967 0.1% (8) Incremental First Lien Term Loan A to Spartan Energy Services, LLC - $2,500 Commitment 3/25/2025 12.56% (3M SOFR+ 8.00%) 1.00 12/31/2025 — — —% (8)(13)(36) Series A Preferred Units to Spartan Energy Holdings, Inc. (10,000 shares) 9/25/2020 15.00% N/A 26,193 — —% (14) Series B Redeemable Preferred Stock (790 shares) 10/30/2015 16.00% N/A 63,225 — —% (14) Common Stock (102,924 shares) 8/2/2013 N/A 86,240 — —% (14) 324,321 122,189 4.1% Credit Central Loan Company, LLC (19) Consumer Finance First Lien Term Loan 12/28/2012 5.00% plus 5.00% PIK — 9/15/2027 90,578 90,578 78,736 2.6% (12)(36) Class A Units (14,867,312 units) 12/28/2012 N/A 19,331 — —% (12)(14) Preferred Class P Shares (14,518,187 units) 7/1/2022 12.75% PIK N/A 11,520 — —% (12)(14) Net Revenues Interest (25% of Net Revenues) 1/28/2015 N/A — — —% (12)(14) 121,429 78,736 2.6% Echelon Transportation, LLC Trading Companies & Distributors First Lien Term Loan 3/31/2014 6.00% — 12/7/2026 54,739 54,739 54,739 1.8% Membership Interest (19,157,851 units) 3/31/2014 N/A 22,738 — —% (14) Preferred Units (47,074,638 units) 1/31/2022 12.75% N/A 32,843 10,914 0.4% (14) 110,320 65,653 2.2% First Tower Finance Company LLC (21) Consumer Finance First Lien Term Loan to First Tower, LLC 6/24/2014 10.00% plus 5.00% PIK — 12/18/2027 452,172 452,172 452,172 15.1% (12)(36) Class A Units (95,709,910 units) 6/14/2012 N/A 31,146 308,346 10.3% (12)(14) 483,318 760,518 25.4% Freedom Marine Solutions, LLC (22) Marine Transport Membership Interest (100%) 11/9/2006 N/A 47,117 11,660 0.4% (14) 47,117 11,660 0.4% InterDent, Inc. Health Care Providers & Services First Lien Delayed Draw Term Loan B - $26,000 Commitment 9/30/2024 5.00% plus 7.00% PIK — 9/5/2027 17,355 17,355 16,619 0.6% (13)(36) First Lien Term Loan A/B 8/1/2018 19.09% (1M SOFR + 14.65%) 2.00 9/5/2027 14,249 14,249 14,249 0.5% (3)(8) First Lien Term Loan A 8/3/2012 9.94% (1M SOFR + 5.50%) 1.00 9/5/2027 95,823 95,823 95,823 3.2% (3)(8) First Lien Term Loan B 8/3/2012 5.00% plus 7.00% PIK — 9/5/2027 221,480 221,480 212,090 7.1% (36) Common Stock ( 99,900 shares) 5/3/2019 N/A 45,118 — —% (14) 394,025 338,781 11.4% See notes to consolidated financial statements. 164 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) June 30, 2025 Portfolio Company Industry(43) Investments(1)(35) Acquisition Date(39) Coupon/Yield Floor Legal Maturity Principal Value Amortized Cost Fair Value(2) % of Net Assets Control Investments (greater than 25.00% voting control)(37) Kickapoo Ranch Pet Resort Diversified Consumer Services First Lien Term Loan 1/11/2024 11.80% (3M SOFR + 7.50%) 3.00 1/10/2029 $ 700 $ 700 $ 700 —% (8) Membership Interest (100%) 8/26/2019 N/A 2,378 3,217 0.1% (14) 3,078 3,917 0.1% MITY, Inc. (23) Commercial Services & Supplies First Lien Term Loan A 9/19/2013 13.58% (3M SOFR + 9.02%) 3.00 11/30/2027 51,489 51,489 51,489 1.7% (3)(8) First Lien Term Loan B 6/23/2014 11.56% (3M SOFR + 7.00%) plus 10.00% PIK 3.00 11/30/2027 8,274 8,274 8,274 0.3% (8)(36) Unsecured Note to Broda Enterprises ULC 9/19/2013 10.00% — 1/1/2028 5,417 7,200 5,403 0.2% (12) Common Stock (42,053 shares) 9/19/2013 N/A 27,349 29,252 1.0% (14) 94,312 94,418 3.2% National Property REIT Corp. (24) Residential Real Estate Investment Trusts (REITs) / Consumer Finance / Structured Finance First Lien Term Loan A 12/31/2018 4.25% (3M SOFR + 0.25%) plus 2.00% PIK 3.75 3/31/2026 671,540 671,540 671,540 22.4% (8)(36)(33) First Lien Term Loan D 6/19/2020 4.25% (3M SOFR + 0.25%) plus 2.00% PIK 3.75 3/31/2026 178,425 178,425 178,425 6.0% (8)(36)(33) First Lien Term Loan E 11/14/2022 7.00% (3M SOFR + 1.50%) plus 7.00% PIK 5.50 3/31/2026 52,652 52,652 52,652 1.8% (8)(36)(33) Residual Profit Interest 12/31/2018 N/A — 32,206 1.1% (33) Common Stock (3,374,914 shares) 12/31/2013 N/A 20,030 366,149 12.3% (14)(40) 922,647 1,300,972 43.6% Nationwide Loan Company LLC (25) Consumer Finance First Lien Delayed Draw Term Loan A - $7,350 Commitment 5/15/2024 10.00% — 5/15/2029 5,862 5,862 5,862 0.2% (12)(13)(36) First Lien Delayed Draw Term Loan B - $8,000 Commitment 12/23/2024 10.00% — 5/15/2029 4,101 4,101 4,101 0.1% (12)(13)(36) Class A Units (925,796,475 units) 1/31/2013 N/A 49,936 26,817 0.9% (12)(14) 59,899 36,780 1.2% NMMB, Inc. (26) Media First Lien Term Loan 12/30/2019 13.06% (3M SOFR + 8.50%) 2.00 3/31/2027 29,723 29,723 29,723 1.0% (3)(8) Common Stock (21,418 shares) 12/30/2019 N/A — 42,484 1.4% (14) 29,723 72,207 2.4% Pacific World Corporation (34) Personal Care Products First Lien Term Loan A 12/31/2014 8.58% PIK (1M SOFR + 4.25%) 1.00 3/26/2029 114,318 114,318 107,970 3.6% (8)(36) Convertible Preferred Equity (685,164 shares) 6/15/2018 12.00% PIK N/A 221,795 — —% (14) Common Stock (6,778,414 shares) 9/29/2017 N/A — — —% (14) 336,113 107,970 3.6% QC Holdings TopCo, LLC (17) Consumer Finance Second Lien Term Loan 6/30/2025 24.00% (3M SOFR+ 19.00%) 5.00 7/1/2030 54,997 54,997 54,997 1.9% (8)(12) Class A Units (222,886 units) 6/30/2025 N/A 22,289 22,289 0.7% (12)(14) 77,286 77,286 2.6% R-V Industries, Inc. Machinery First Lien Term Loan 12/15/2020 13.56% (3M SOFR + 9.00%) 1.00 12/15/2028 37,322 37,322 37,322 1.3% (3)(8)(36) First Lien Term Loan 12/20/2024 7.80% (3M SOFR + 3.50%) 4.00 12/15/2028 10,000 10,000 10,000 0.3% (3)(8) Common Stock (745,107 shares) 6/26/2007 N/A 6,866 58,255 1.9% 54,188 105,577 3.5% Universal Turbine Parts, LLC (32) Aerospace & Defense First Lien Delayed Draw Term Loan - $6,965 Commitment 2/28/2019 12.31% (3M SOFR + 7.75%) 1.00 2/29/2028 6,503 6,503 6,503 0.2% (8)(13) First Lien Term Loan A 7/22/2016 10.31% (3M SOFR + 5.75%) 1.00 2/29/2028 29,575 29,575 29,575 1.0% (3)(8) First Lien Term Loan A 1/21/2025 12.31% (3M SOFR+ 7.75%) 2.50 2/29/2028 4,000 4,000 4,000 0.1% (3)(8) First Lien Term Loan A 2/28/2025 12.31% (3M SOFR+ 7.75%) 2.50 2/29/2028 14,950 14,950 14,950 0.5% (3)(8) Preferred Units (80,539,543 units) 3/31/2021 12.75% PIK N/A 32,500 47,700 1.6% (14) Common Stock (10,000 units) 12/10/2018 N/A — — —% (14) 87,528 102,728 3.4% See notes to consolidated financial statements. 165 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) June 30, 2025 Portfolio Company Industry(43) Investments(1)(35) Acquisition Date(39) Coupon/Yield Floor Legal Maturity Principal Value Amortized Cost Fair Value(2) % of Net Assets Control Investments (greater than 25.00% voting control)(37) USES Corp. (28) Commercial Services & Supplies First Lien Term Loan 12/30/2020 13.59% (1M SOFR + 9.00%) 1.00 8/15/2026 $ 2,000 $ 2,000 $ 1,412 —% (8) First Lien Equipment Term Loan 8/3/2022 13.59% (1M SOFR + 9.00%) 1.00 8/15/2026 18,557 18,557 13,106 0.4% (8)(36) First Lien Term Loan A 3/31/2014 9.00% PIK — 8/15/2026 79,306 30,651 — 0.1% (7) First Lien Term Loan B 3/31/2014 15.50% PIK — 8/15/2026 144,749 35,568 — —% (7) Common Stock (268,962 shares) 6/15/2016 N/A — — —% (14) 86,776 14,518 0.5% Valley Electric Company, Inc. (29) Construction & Engineering First Lien Term Loan to Valley Electric Co. of Mt. Vernon, Inc. 12/31/2012 9.56% (3M SOFR + 5.00%) plus 2.50% PIK 3.00 6/30/2026 10,452 10,452 10,452 0.4% (3)(8)(36) First Lien Term Loan 6/24/2014 8.00% plus 10.00% PIK — 4/30/2028 38,630 38,630 38,630 1.3% (3)(36) First Lien Term Loan B 3/28/2022 7.00% plus 5.50% PIK — 4/30/2028 34,777 34,777 34,777 1.2% (3)(36) Consolidated Revenue Interest (2.00%) 6/22/2018 N/A — 1,397 —% (10) Common Stock (50,000 shares) 12/31/2012 N/A 12,053 266,035 8.9% (14) 95,912 351,291 11.8% Total Control Investments $ 3,416,244 $ 3,696,367 123.7% See notes to consolidated financial statements. 166 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) June 30, 2025 Portfolio Company Industry(43) Investments(1)(35) Acquisition Date(39) Coupon/Yield Floor Legal Maturity Principal Value Amortized Cost Fair Value(2) % of Net Assets Affiliate Investments (5.00% to 25.00% voting control)(38) Nixon, Inc. (30) Textiles, Apparel & Luxury Goods Common Stock (857 units) 5/12/2017 N/A $ — $ — — % (14) — — — % RGIS Services, LLC Commercial Services & Supplies Membership Interest (6,038,744 units) 6/25/2020 N/A 11,735 27,057 0.9 % 11,735 27,057 0.9 % Total Affiliate Investments $ 11,735 $ 27,057 0.9 % See notes to consolidated financial statements. 167 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) June 30, 2025 Portfolio Company Industry(43) Investments(1)(35) Acquisition Date(39) Coupon/Yield Floor Legal Maturity Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) 8th Avenue Food & Provisions, Inc. Food Products Second Lien Term Loan 9/21/2018 15.25% (PRIME + 7.75%) — 10/1/2026 $ 32,133 $ 32,083 $ 32,133 1.1 % 32,083 32,133 1.1 % Apidos CLO XV Structured Finance Subordinated Structured Note 9/13/2013 Residual Interest, current yield 0.00% — 4/21/2031 48,515 8,810 8,719 0.3 % (5)(12)(15) 8,810 8,719 0.3 % Apidos CLO XXII Structured Finance Subordinated Structured Note 9/16/2015 Residual Interest, current yield 0.00% — 4/21/2031 35,855 16,700 12,301 0.4 % (5)(12)(15) 16,700 12,301 0.4 % Atlantis Health Care Group (Puerto Rico), Inc. Health Care Providers & Services First Lien Term Loan 2/21/2013 13.30% (3M SOFR + 8.75%) 2.00 5/15/2026 56,574 56,574 56,574 1.9 % (3)(8) 56,574 56,574 1.9 % Aventiv Technologies, LLC Diversified Telecommunication Services Second Out Super Priority First Lien Term Loan 4/24/2025 14.52% (3M SOFR+ 10.00%) 1.00 3/25/2026 43,663 42,280 43,663 1.5 % (8)(44) Second Out Super Priority First Lien Term Loan 12/23/2024 14.59% (3M SOFR+ 10.00%) 1.00 3/25/2026 3,053 2,951 3,053 0.1 % (8)(44) Second Out Super Priority First Lien Term Loan 4/2/2024 12.06% (3M SOFR + 7.50%) 1.00 3/25/2026 722 722 722 — % (8)(36)(44) Third Out Super Priority First Lien Term Loan 3/28/2024 9.65% (3M SOFR + 5.09%) 1.00 3/25/2026 27,374 27,954 19,550 0.7 % (8)(36)(42)(44) Super Priority Second Lien Term Loan 3/28/2024 13.61% (3M SOFR + 9.05%) 1.00 3/25/2026 147,741 59,071 7,387 0.2 % (7)(8) 132,978 74,375 2.5 % Barings CLO 2018-III Structured Finance Subordinated Structured Note 10/9/2014 Residual Interest, current yield 0.00% — 7/20/2029 82,809 — 3,071 0.1 % (5)(12)(15) — 3,071 0.1 % Barracuda Parent, LLC IT Services Second Lien Term Loan 8/15/2022 11.28% (3M SOFR + 7.00%) 0.50 8/15/2030 20,000 19,619 16,189 0.5 % (8) 19,619 16,189 0.5 % BCPE North Star US Holdco 2, Inc. Food Products Second Lien Term Loan 6/7/2021 11.69% (1M SOFR + 7.25%) 0.75 6/8/2029 100,000 99,570 98,762 3.3 % (3)(8) 99,570 98,762 3.3 % BCPE Osprey Buyer, Inc. Health Care Technology First Lien Revolving Line of Credit - $4,239 Commitment 10/18/2021 10.19% (1M SOFR + 5.75%) 0.75 8/21/2026 2,120 2,120 2,120 — % (8)(13) First Lien Term Loan 10/18/2021 10.19% (1M SOFR + 5.75%) 0.75 8/23/2028 4,621 4,587 4,621 0.2 % (3)(8)(13) First Lien Term Loan 10/18/2021 10.34% (3M SOFR + 5.75%) 0.75 8/23/2028 62,725 62,725 62,725 2.1 % (3)(8) 69,432 69,466 2.3 % Burgess Point Purchaser Corporation Automobile Components Second Lien Term Loan 7/25/2022 13.38% (3M SOFR + 9.00%) 0.75 7/25/2030 30,000 30,000 26,515 0.9 % (3)(8) 30,000 26,515 0.9 % Capstone Logistics Acquisition, Inc. Commercial Services & Supplies Second Lien Term Loan 11/12/2020 12.93% (1M SOFR + 8.50%) 1.00 11/12/2030 8,500 8,366 8,500 0.3 % (3)(8) 8,366 8,500 0.3 % Cent CLO 21 Limited Structured Finance Subordinated Structured Note 5/15/2014 Residual Interest, current yield 0.00% — 7/29/2030 49,552 — 96 — % (5)(12)(15) — 96 — % Collections Acquisition Company, Inc. Financial Services First Lien Term Loan 12/3/2019 12.21% (3M SOFR + 7.65%) 2.50 6/3/2027 44,537 44,537 44,537 1.5 % (3)(8) 44,537 44,537 1.5 % Credit.com Holdings, LLC Diversified Consumer Services First Lien Term Loan A 9/28/2023 15.56% (3M SOFR + 11.00%) 1.50 9/28/2028 38,964 38,964 36,782 1.2 % (8)(36) First Lien Term Loan B 9/28/2023 16.56% (3M SOFR + 12.00%) 1.50 9/28/2028 67,398 62,114 3,370 0.1 % (7)(8) Class B of PGX TopCo II LLC (999 Non-Voting Units) 9/28/2023 N/A — — — % (14)(48) 101,078 40,152 1.3 % See notes to consolidated financial statements. 168 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) June 30, 2025 Portfolio Company Industry(43) Investments(1)(35) Acquisition Date(39) Coupon/Yield Floor Legal Maturity Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) Discovery Point Retreat, LLC (6) Health Care Providers & Services First Lien Term Loan 6/14/2024 12.31% (3M SOFR + 7.75%) 3.25 6/14/2029 $ 20,445 $ 20,445 $ 20,445 0.6 % (3)(8) Series A Preferred Stock of Discovery MSO HoldCo LLC - 8,395 Units 6/14/2024 8.00% PIK N/A 7,950 10,897 0.4 % (14) 28,395 31,342 1.0 % DRI Holding Inc. Commercial Services & Supplies First Lien Term Loan 12/21/2021 9.68% (1M SOFR + 5.25%) 0.50 12/21/2028 $ 33,217 $ 32,507 $ 33,192 1.1 % (3)(8) Second Lien Term Loan 12/21/2021 12.43% (1M SOFR + 8.00%) 0.50 12/21/2029 145,000 145,000 145,000 4.9 % (3)(8) 177,507 178,192 6.0 % Druid City Infusion, LLC Pharmaceuticals First Lien Term Loan 9/30/2024 11.80% (3M SOFR + 7.50%) 3.00 10/4/2029 49,630 49,630 49,630 1.7 % (3)(8) First Lien Convertible Note to Druid City Intermediate, Inc. 9/30/2024 6.00% plus 2.00% PIK — 10/4/2033 19,235 19,235 30,673 1.0 % (3)(36)(48) 68,865 80,303 2.7 % Dukes Root Control Inc. Commercial Services & Supplies First Lien Revolving Line of Credit - $4,464 Commitment 12/8/2022 10.98% (3M SOFR + 6.50%) 1.00 12/8/2028 1,393 1,427 1,393 — % (8)(13) First Lien Term Loan 12/8/2022 10.96% (3M SOFR + 6.50%) 1.00 12/8/2028 3,206 3,196 3,206 0.1 % (3)(8)(13)(46) First Lien Term Loan 12/8/2022 10.98% (3M SOFR + 6.50%) 1.00 12/8/2028 35,692 35,966 35,692 1.2 % (3)(8) 40,589 40,291 1.3 % Emerge Intermediate, Inc. (45) Pharmaceuticals First Lien Term Loan 2/26/2024 6.00% plus 4.50% PIK — 8/31/2027 57,053 57,053 53,273 1.8 % (3)(36) 57,053 53,273 1.8 % Enseo Acquisition, Inc. Media First Lien Term Loan 6/2/2021 13.06% (3M SOFR + 8.50%) 2.00 12/31/2027 49,642 49,642 49,642 1.7 % (3)(8) 49,642 49,642 1.7 % Eze Castle Integration, Inc. Software First Lien Delayed Draw Term Loan - $8,036 Commitment 7/15/2020 11.91% (3M SOFR + 7.50%) 3.00 1/15/2027 2,565 2,553 2,565 0.1 % (8)(13)(46) First Lien Term Loan 7/15/2020 11.92% (3M SOFR + 7.50%) 3.00 1/15/2027 45,925 45,925 45,925 1.5 % (3)(8) 48,478 48,490 1.6 % Faraday Buyer, LLC Electrical Equipment First Lien Delayed Draw Term Loan - $6,540 - Commitment 10/11/2022 10.30% (3M SOFR + 6.00%) 1.00 10/11/2028 — — — — % (8)(13) First Lien Term Loan 10/11/2022 10.30% (3M SOFR + 6.00%) 1.00 10/11/2028 61,367 61,367 61,367 2.1 % (3)(8) 61,367 61,367 2.1 % First Brands Group Automobile Components First Lien Term Loan 3/24/2021 9.54% ( 3M SOFR + 5.00%) 1.00 3/30/2027 21,841 21,906 20,695 0.6 % (3)(8)(42) Second Lien Term Loan 3/24/2021 13.04% (3M SOFR + 8.50%) 1.00 3/30/2028 37,000 37,023 34,450 1.2 % (3)(8) 58,929 55,145 1.8 % Galaxy XV CLO, Ltd. Structured Finance Subordinated Structured Note 2/13/2013 Residual Interest, current yield 0.00% — 10/15/2030 50,525 612 608 — % (5)(12)(15) 612 608 — % Galaxy XXVII CLO, Ltd. Structured Finance Subordinated Structured Note 9/30/2013 Residual Interest, current yield 0.00% — 5/16/2031 24,575 865 847 — % (5)(12)(15) 865 847 — % Galaxy XXVIII CLO, Ltd. Structured Finance Subordinated Structured Note 5/30/2014 Residual Interest, current yield 0.00% — 7/15/2031 39,905 835 830 — % (5)(12)(15) 835 830 — % Global Tel*Link Corporation (d./b/a ViaPath Technologies) Diversified Telecommunication Services First Lien Term Loan 8/6/2024 11.83% (1M SOFR + 7.50%) 3.00 8/6/2029 126,048 121,898 124,174 4.2 % (3)(8) 121,898 124,174 4.2 % Halcyon Loan Advisors Funding 2014-2 Ltd. Structured Finance Subordinated Structured Note 4/14/2014 Residual Interest, current yield 0.00% — 4/28/2030 41,164 1 8 — % (5)(12)(15) 1 8 — % See notes to consolidated financial statements. 169 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) June 30, 2025 Portfolio Company Industry(43) Investments(1)(35) Acquisition Date(39) Coupon/Yield Floor Legal Maturity Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) Halcyon Loan Advisors Funding 2015-3 Ltd. Structured Finance Subordinated Structured Note 7/23/2015 Residual Interest, current yield 0.00% — 10/18/2027 $ 39,598 $ 19 $ 17 — % (5)(12)(15) 19 17 — % HarbourView CLO VII-R, Ltd. Structured Finance Subordinated Structured Note 6/5/2015 Residual Interest, current yield 0.00% — 7/18/2031 19,025 — — — % (5)(12)(15) — — — % Help/Systems Holdings, Inc. (d/b/a Forta, LLC) Software Second Lien Term Loan 11/14/2019 11.13% (3M SOFR + 6.75%) 0.75 11/19/2027 52,500 52,460 48,931 1.6 % (3)(8) 52,460 48,931 1.6 % Imperative Worldwide, LLC Air Freight & Logistics First Lien Term Loan 3/11/2022 9.95% (3M SOFR + 5.50%) 0.75 12/30/2028 37,349 37,235 37,349 1.2 % (3)(8) Second Lien Term Loan 12/30/2021 12.95% (3M SOFR + 8.50%) 0.75 12/30/2029 95,000 95,000 95,000 3.2 % (3)(8) 132,235 132,349 4.4 % Interventional Management Services, LLC Health Care Providers & Services First Lien Revolving Line of Credit - $5,000 Commitment 2/22/2021 13.55% (3M SOFR + 9.00%) 1.00 2/23/2026 5,000 5,000 4,989 0.2 % (8)(13) First Lien Term Loan 2/22/2021 13.55% (3M SOFR + 9.00%) 1.00 2/20/2026 64,155 64,155 64,018 2.1 % (3)(8) 69,155 69,007 2.3 % iQor Holdings, Inc. Professional Services First Lien Term Loan 6/11/2024 11.81% (3M SOFR + 7.25%) 2.50 6/11/2029 45,704 45,704 45,704 1.6 % (3)(8) Common Stock of Bloom Parent, Inc. (10,450 units) 6/11/2024 N/A 10,450 15,706 0.5 % (14) 56,154 61,410 2.1 % Japs-Olson Company, LLC (31) Commercial Services & Supplies First Lien Term Loan 5/25/2023 11.05% (3M SOFR + 6.75%) 2.00 5/25/2028 56,109 56,109 56,109 1.9 % (3)(8) 56,109 56,109 1.9 % Julie Lindsey, Inc. Textiles, Apparel & Luxury Goods First Lien Revolving Line of Credit - $2,000 Commitment 7/27/2023 10.30% (3M SOFR + 6.00%) 4.00 7/27/2027 — — — — % (8)(13) First Lien Term Loan 7/27/2023 10.30% (3M SOFR + 6.00%) 4.00 7/27/2028 19,200 19,200 19,200 0.6 % (3)(8) 19,200 19,200 0.6 % K&N HoldCo, LLC Automobile Components Class A Common Units (137,215 units) 2/14/2023 N/A 25,802 612 — % (14) 25,802 612 — % KM2 Solutions LLC Professional Services First Lien Term Loan 12/17/2020 14.05% (3M SOFR + 9.60%) 3.00 6/16/2026 17,697 17,697 17,697 0.6 % (3)(8) 17,697 17,697 0.6 % LCM XIV Ltd. Structured Finance Subordinated Structured Note 6/25/2013 Residual Interest, current yield 0.00% — 7/21/2031 49,934 — — — % (5)(12)(15) — — — % LGC US FINCO, LLC Machinery First Lien Term Loan 1/17/2020 10.94% (1M SOFR + 6.50%) 1.00 12/20/2025 28,586 28,509 27,674 0.9 % (3)(8) 28,509 27,674 0.9 % Lucky US BuyerCo LLC Financial Services First Lien Revolving Line of Credit - $2,775 Commitment 4/3/2023 11.82% (3M SOFR + 7.50%) 1.00 4/1/2029 2,054 2,054 2,054 0.1 % (8)(13)(46) First Lien Term Loan 4/3/2023 11.80% (3M SOFR + 7.50%) 1.00 4/1/2029 21,239 21,239 21,239 0.7 % (3)(8) 23,293 23,293 0.8 % MAC Discount, LLC Distributors First Lien Term Loan 5/11/2023 13.05% (3M SOFR + 8.50%) 1.50 5/11/2028 31,140 30,936 30,551 1.1 % (3)(8) Class A Senior Preferred Stock of MAC Discount Investments, LLC (1,500,000 shares) 5/11/2023 12.00% N/A 1,500 1,255 — % (14) 32,436 31,806 1.1 % Medical Solutions Holdings, Inc. (4) Health Care Providers & Services Second Lien Term Loan 11/1/2021 11.38% (3M SOFR + 7.00%) 0.50 11/1/2029 54,463 54,439 28,614 1.0 % (3)(8) 54,439 28,614 1.0 % Mountain View CLO IX Ltd. Structured Finance Subordinated Structured Note 5/13/2015 Residual Interest, current yield 0.00% — 7/15/2031 47,830 204 169 — % (5)(12)(15) 204 169 — % See notes to consolidated financial statements. 170 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) June 30, 2025 Portfolio Company Industry(43) Investments(1)(35) Acquisition Date(39) Coupon/Yield Floor Legal Maturity Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) New WPCC Parent, LLC (47) Health Care Providers & Services First Lien Term Loan 5/9/2025 13.80% (3M SOFR+ 9.50%) 2.00 5/9/2030 $ 20,943 $ 18,142 $ 20,943 0.7 % (8)(36) Series A Preferred Interests (802,479 units) 5/9/2025 13.00% PIK N/A 8,224 10,654 0.4 % (14) Class A Common Interests (822,629 units) 5/9/2025 N/A — 6,346 0.2 % (14)(48) Liquidating Trust of Wellpath Holdings, Inc. 5/9/2025 N/A 2,011 6,500 0.2 % (14)(48) 28,377 44,443 1.5 % Nexus Buyer LLC Capital Markets Second Lien Term Loan 11/5/2021 10.68% (1M SOFR + 6.25%) 0.50 11/5/2029 21,500 21,500 21,500 0.7 % (3)(8)(42) 21,500 21,500 0.7 % Octagon Investment Partners XV, Ltd. Structured Finance Subordinated Structured Note 1/24/2013 Residual Interest, current yield 0.00% — 7/19/2030 42,064 5,114 5,077 0.2 % (5)(12)(15) 5,114 5,077 0.2 % OneTouchPoint Corp Commercial Services & Supplies First Lien Term Loan 2/19/2021 12.55% (3M SOFR + 8.00%) 1.00 6/30/2026 33,737 33,737 33,720 1.1 % (3)(8) 33,737 33,720 1.1 % PeopleConnect Holdings, Inc (9) Interactive Media & Services First Lien Term Loan 1/22/2020 12.70% (3M SOFR + 8.25%) 2.75 1/22/2026 75,076 75,076 75,076 2.5 % (3)(8) 75,076 75,076 2.5 % PlayPower, Inc. Leisure Products First Lien Revolving Line of Credit - $2,626 Commitment 8/28/2024 9.55% (3M SOFR + 5.25%) 0.75 8/28/2030 — — — — % (8)(13) First Lien Term Loan 8/28/2024 9.55% ( 3M SOFR + 5.25%) 0.75 8/28/2030 17,243 16,960 17,185 0.6 % (3)(8) 16,960 17,185 0.6 % Precisely Software Incorporated Software Second Lien Term Loan 4/23/2021 11.79% (3M SOFR + 7.25%) 0.75 4/23/2029 80,000 79,562 75,334 2.5 % (3)(8) 79,562 75,334 2.5 % Preventics, Inc. (d/b/a Legere Pharmaceuticals) Personal Care Products First Lien Term Loan 11/12/2021 15.06% (3M SOFR + 10.50%) 1.00 11/12/2026 8,789 8,789 8,789 0.3 % (3)(8) First Lien Term Loan 4/30/2025 12.06% (3M SOFR+ 7.50%) 3.00 11/12/2026 1,900 1,900 1,900 0.1 % (3)(8) Series A Convertible Preferred Stock (472 units) 11/12/2021 8.00% N/A 165 515 — % (14)(48) Series C Convertible Preferred Stock (5,677 units) 11/12/2021 8.00% N/A 1,946 6,182 0.2 % (14)(48) 12,800 17,386 0.6 % Recovery Solutions Parent, LLC Health Care Providers & Services First Lien Term Loan 1/27/2025 11.80% (3M SOFR + 7.50%) 2.00 1/27/2030 33,399 21,137 33,399 1.2 % (3)(8)(36) Membership Interest (1,401,081 units) 1/27/2025 N/A 17,884 36,997 1.2 % (14)(48) 39,021 70,396 2.4 % Redstone Holdco 2 LP (20) IT Services Second Lien Term Loan 4/16/2021 12.29% (3M SOFR + 7.75%) 0.75 4/27/2029 50,000 49,569 25,557 0.9 % (3)(8) 49,569 25,557 0.9 % Research Now Group, LLC and Dynata, LLC Professional Services First Lien First Out Term Loan 7/15/2024 9.59% (3M SOFR + 5.00%) 1.00 7/15/2028 363 356 359 — % (8) First Lien Second Out Term Loan 7/15/2024 10.09% (3M SOFR + 5.50%) 1.00 10/15/2028 7,995 7,995 6,956 0.2 % (8)(44) Common Stock of New Insight Holdings, Inc. - 210,781 Shares 7/15/2024 N/A 3,329 1,637 0.1 % (14) Warrants (to purchase 285,714 shares of Common Stock of New Insight Holdings, Inc.) 7/15/2024 7/15/2029 — — — % (14) 11,680 8,952 0.3 % See notes to consolidated financial statements. 171 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) June 30, 2025 Portfolio Company Industry(43) Investments(1)(35) Acquisition Date(39) Coupon/Yield Floor Legal Maturity Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) Rising Tide Holdings, Inc. Specialty Retail First Lien First Out Term Loan 9/25/2024 15.00% PIK — 6/13/2028 $ 2,363 $ 2,363 $ 2,363 0.1 % (36) First Lien Second Out Term Loan 9/25/2024 12.00% PIK — 6/13/2028 6,198 5,815 3,551 0.1 % (36)(44) Class A Common Units of Marine One Holdco, LLC (345,600 units) 9/12/2023 N/A 23,898 — — % (14) Warrants (to purchase 3,456,000 Class A Common Units of Marine One Holdco, LLC) 9/25/2024 9/25/2044 — — — % (14) Warrants (to purchase 50,456 Class A Common Units of Marine One Holdco, LLC) 9/12/2023 9/12/2028 — — — % (14) 32,076 5,914 0.2 % The RK Logistics Group, Inc. Commercial Services & Supplies First Lien Term Loan 3/24/2022 15.06% (3M SOFR + 10.50%) 1.00 12/18/2028 5,628 5,628 5,628 0.1 % (3)(8) First Lien Term Loan 12/19/2023 12.06% (3M SOFR + 7.50%) 4.00 12/18/2028 33,257 33,257 32,930 1.1 % (3)(8) Class A Common Units of RK Logistics Holdings Inc.of RK Logistics Holdings Inc. (263,000 units) 3/24/2022 N/A 263 1,586 0.1 % (14) Class B Common Units of RK Logistics Holdings Inc. (1,435,000 units) 3/24/2022 N/A 2,487 8,651 0.3 % (14)(48) Class C Common Units of RK Logistics Holdings Inc. (450,000 units) 6/28/2024 N/A 2,250 2,713 0.1 % (14) 43,885 51,508 1.7 % RME Group Holding Company Media First Lien Term Loan A 5/4/2017 10.05% (3M SOFR + 5.50%) 1.00 5/6/2026 18,874 18,874 18,874 0.6 % (3)(8) First Lien Term Loan B 5/4/2017 15.55% (3M SOFR + 11.00%) 1.00 5/6/2026 20,233 20,233 19,889 0.7 % (3)(8) 39,107 38,763 1.3 % Rosa Mexicano Hotels, Restaurants & Leisure First Lien Revolving Line of Credit - $5,195 Commitment 3/29/2018 16.00% — 6/13/2026 5,194 5,194 4,938 0.2 % (13) First Lien Term Loan 3/29/2018 12.06% (3M SOFR + 7.50%) 1.25 6/13/2026 23,291 23,291 21,311 0.7 % (8) 28,485 26,249 0.9 % ShiftKey, LLC Health Care Technology First Lien Term Loan 6/21/2022 10.31% (3M SOFR + 5.75%) 1.00 6/21/2027 62,944 62,721 60,780 2.0 % (3)(8) 62,721 60,780 2.0 % Shoes West, LLC (d/b/a Taos Footwear) (27) Textiles, Apparel & Luxury Goods First Lien Term Loan A 1/23/2025 11.56% (3M SOFR+ 7.00%) 3.00 1/23/2030 38,350 38,350 38,350 1.3 % (3)(8) First Lien Convertible Term Loan B 1/23/2025 9.00% plus 2.00% PIK — 1/23/2030 9,461 9,461 11,852 0.4 % (3)(36)(48) Class A Preferred Units of Taos Footwear Holdings, LLC - 16,753 Units 1/23/2025 8.00% PIK N/A 17,139 30,303 1.0 % (14)(48) 64,950 80,505 2.7 % Shutterfly Finance, LLC Household Durables First Lien Term Loan 6/5/2023 10.28% (3M SOFR + 6.00%) 1.00 10/1/2027 2,406 2,406 2,406 0.1 % (8)(42) Second Lien Term Loan 6/6/2023 9.33% (3M SOFR + 5.00%) 1.00 10/1/2027 19,206 19,206 17,934 0.6 % (8)(36)(42) 21,612 20,340 0.7 % Silver Hill Mineral Lease Energy Equipment & Services Revenue Interest 5/13/2025 N/A — — — % (11) — — — % Spectrum Vision Holdings, LLC Health Care Providers & Services First Lien Term Loan 5/2/2023 11.06% (1M SOFR+ 6.50%) 1.00 11/17/2025 749 749 749 — % (3)(8) First Lien Term Loan 5/2/2023 11.06% (3M SOFR+ 6.50%) 1.00 11/17/2025 28,570 28,570 28,570 1.0 % (3)(8) 29,319 29,319 1.0 % See notes to consolidated financial statements. 172 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) June 30, 2025 Portfolio Company Industry(43) Investments(1)(35) Acquisition Date(39) Coupon/Yield Floor Legal Maturity Principal Value Amortized Cost Fair Value(2) % of Net Assets Non-Control/Non-Affiliate Investments (less than 5.00% voting control) STG Distribution, LLC Air Freight & Logistics First Out First Lien Term Loan 10/3/2024 5.42% (1M SOFR + 1.00% ) plus 7.25% PIK 1.50 10/3/2029 $ 15,144 $ 14,881 $ 15,144 0.5 % (8)(36) Second Out First Lien Term Loan 10/3/2024 5.42% (1M SOFR + 1.00% ) plus 6.50% PIK 1.50 10/3/2029 38,838 38,838 31,226 1.0 % (8)(36)(44) Third Out First Lien Term Loan 10/3/2024 5.42% (1M SOFR + 1.00% ) plus 6.00% PIK 1.50 10/3/2029 19,353 18,970 5,922 0.2 % (8)(44) 72,689 52,292 1.7 % Stryker Energy, LLC Energy Equipment & Services Overriding Royalty Interest 12/4/2006 N/A — — — % (11) — — — % Town & Country Holdings, Inc. Distributors First Lien Term Loan 11/17/2022 8.00% — 8/29/2028 28,761 28,761 2,821 0.2 % First Lien Term Loan 1/26/2018 3.00% plus 5.00% PIK — 8/29/2028 42,136 42,136 43,004 1.4 % (36) First Lien Term Loan 1/26/2018 8.00% — 8/29/2028 164,931 164,931 168,328 5.6 % Class B of Town & Country TopCo LLC (999 Non-Voting Units) 11/17/2022 N/A 31,882 — — % (14)(48) 267,710 214,153 7.2 % TPS, LLC Machinery First Lien Term Loan 11/30/2020 14.00% (3M SOFR + 9.00%) 5.00 5/31/2027 18,663 18,663 18,663 0.6 % (3)(8) 18,663 18,663 0.6 % United Sporting Companies, Inc. (16) Distributors Second Lien Term Loan 9/28/2012 11.00% (1M LIBOR + 11.00%) plus 2.00% PIK — 11/16/2019 187,012 86,309 12,897 0.4 % (7) 86,309 12,897 0.4 % Upstream Newco, Inc. Health Care Providers & Services Second Lien Term Loan 11/20/2019 12.88% (3M SOFR + 8.50%) — 11/20/2027 22,000 21,938 16,106 0.5 % (8) 21,938 16,106 0.5 % USG Intermediate, LLC Leisure Products First Lien Revolving Line of Credit - $14,000 Commitment 4/15/2015 13.68% (1M SOFR + 9.25%) 1.00 2/9/2029 14,000 14,000 14,000 0.5 % (8)(13) First Lien Term Loan B 4/15/2015 16.18% (1M SOFR + 11.75%) 1.00 2/9/2029 71,188 71,188 71,188 2.4 % (3)(8) Equity 4/15/2015 N/A 1 — — % (14) 85,189 85,188 2.9 % Verify Diagnostics LLC Health Care Providers & Services First Lien Term Loan 5/15/2025 14.58% (3M SOFR+ 10.28%) 3.50 5/15/2030 37,500 37,500 36,750 1.3 % (3)(8)(44) Class A Preferred Units of Verify Diagnostic Holdings LLC (9,250,000 units) 5/15/2025 12.00% PIK N/A 9,250 10,195 0.3 % (14) 46,750 46,945 1.6 % Victor Technology, LLC Commercial Services & Supplies First Lien Term Loan 12/3/2021 12.06% (3M SOFR + 7.50%) 1.00 12/3/2028 10,950 10,950 10,851 0.4 % (3)(8) 10,950 10,851 0.4 % Voya CLO 2012-4, Ltd. Structured Finance Subordinated Structured Note 11/5/2012 Residual Interest, current yield 0.00% — 10/15/2030 40,613 3,476 2,506 0.1 % (5)(12)(15) 3,476 2,506 0.1 % Voya CLO 2014-1, Ltd. Structured Finance Subordinated Structured Note 2/5/2014 Residual Interest, current yield 0.00% — 4/18/2031 40,773 1,204 753 — % (5)(12)(15) 1,204 753 — % WatchGuard Technologies, Inc. IT Services First Lien Term Loan 8/17/2022 9.58% (1M SOFR + 5.25%) 0.75 6/30/2029 34,038 34,038 33,873 1.1 % (3)(8) 34,038 33,873 1.1 % Wellful Inc. Food Products Second Out First Lien Term Loan 11/27/2024 8.94% (1M SOFR+ 4.50%) plus 1.75% PIK 1.00 4/19/2030 18,560 18,560 15,071 0.5 % (8)(36)(44) 18,560 15,071 0.5 % Total Non-Control/Non-Affiliate Investments $ 3,265,522 $ 2,950,092 98.7 % Total Portfolio Investments $ 6,693,501 $ 6,673,516 223.3 % See notes to consolidated financial statements. 173 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (1)The terms “Prospect,” “the Company,” “we,” “us” and “our” mean Prospect Capital Corporation and its subsidiaries unless the context specifically requires otherwise. The securities in which Prospect has invested were acquired in transactions that were exempt from registration under the Securities Act of 1933, as amended (the “Securities Act”). These securities may be resold only in transactions that are exempt from registration under the Securities Act. (2)Fair value is determined by or under the direction of our Board of Directors. Unless otherwise indicated by endnote 42 below, all of our investments are valued using significant unobservable inputs. In accordance with ASC 820, such investments are classified as Level 3 within the fair value hierarchy. See Notes 2 and 3 within the accompanying notes to consolidated financial statements for further discussion. (3)Security, or a portion thereof, is held by Prospect Capital Funding LLC (“PCF”), our wholly owned subsidiary and a bankruptcy remote special purpose entity, and is pledged as collateral for the Revolving Credit Facility and such security is not available as collateral to our general creditors (see Note 4). The fair value of the investments held by PCF at June 30, 2025 was $2,520,620, representing 37.8% of our total investments. (4)Medical Solutions Holdings, Inc. and Medical Solutions, LLC are joint borrowers on the Second Lien Term Loan. (5)This investment is in the equity class of the collateralized loan obligation (“CLO”) security, which is referred to as “Subordinated Structured Note,” or “SSN”. The SSN investments are entitled to recurring distributions which are generally equal to the excess cash flow generated from the underlying investments after payment of the contractual payments to debt holders and fund expenses. The current estimated yield, calculated using amortized cost, is based on the current projections of this excess cash flow taking into account assumptions which have been made regarding expected prepayments, losses and future reinvestment rates. These assumptions are periodically reviewed and adjusted. Ultimately, the actual yield may be higher or lower than the estimated yield if actual results differ from those used for the assumptions. (6)Discovery Point Retreat, LLC, Discovery MSO LLC, Eating Disorder Solutions of Texas LLC, Discovery Point Retreat Waxahachie, LLC are joint borrowers on the First Lien Term Loan. (7)Investment on non-accrual status as of the reporting date (see Note 2). (8)Certain variable rate securities in our portfolio bear interest at a rate determined by a publicly disclosed base rate plus a basis point spread. The 1-Month Secured Overnight Financing Rate or “1M SOFR”, was 4.32% as of June 30, 2025. The 3-Month Secured Overnight Financing Rate or “3M SOFR”, was 4.29% as of June 30, 2025. The PRIME Rate or “PRIME” was 7.50% as of June 30, 2025. The impact of a SOFR credit spread adjustment, if applicable, is included within the stated all-in interest rate. (9)PeopleConnect Holdings, Inc. and Pubrec Holdings, Inc. are joint borrowers. (10)The consolidated revenue interest is equal to the lesser of (i) 2.0% of consolidated revenue for the twelve-month period ending on the last day of the prior fiscal quarter (or portion thereof) and (ii) 25% of the amount of interest accrued on the Notes at the cash interest rate for such fiscal quarter (or portion thereof). (11)Represents overriding royalty interests or revenue interests held which receive payments at the stated rates based upon the underlying operations. (12)Investment has been designated as an investment not “qualifying” under Section 55(a) of the Investment Company Act of 1940 (the “1940 Act”). Under the 1940 Act, we may not acquire any non-qualifying asset unless, at the time such acquisition is made, qualifying assets represent at least 70% of our total assets as calculated in accordance with regulatory requirements. As of June 30, 2025, our qualifying assets, as a percentage of total assets, stood at 85.27%. We monitor the status of these assets on an ongoing basis. (13)Undrawn committed revolvers and delayed draw term loans to our portfolio companies incur commitment and unused fees ranging from 0.00% to 5.00%. As of June 30, 2025, $40,707 of undrawn revolver and delayed draw term loan commitments to our portfolio companies, of which $15,900 are considered at the Company’s sole discretion. (14)Represents non-income producing security that has not paid a dividend or other income in the year preceding the reporting date. See notes to consolidated financial statements. 174 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) (15)The effective yield has been estimated to be 0% as expected future cash flows are anticipated to not be sufficient to repay the investment at cost. If the expected investment proceeds increase, there is a potential for future investment income from the investment. Distributions, once received, will be recognized as return of capital, and when called, any remaining unamortized investment costs will be written off if the actual distributions are less than the amortized investment cost. To the extent that the cost basis of the SSN is fully recovered, any future distributions will be recorded as realized gains. (16)Ellett Brothers, LLC, Evans Sports, Inc., Jerry’s Sports, Inc., Simmons Gun Specialties, Inc., Bonitz Brothers, Inc., and Outdoor Sports Headquarters, Inc. are joint borrowers on the second lien term loan. United Sporting Companies, Inc. (“USC”) is a parent guarantor of this debt investment, and is 100% owned by SportCo Holdings, Inc. (“SportCo”). In June 2019, USC filed for Chapter 11 bankruptcy and began liquidating its remaining assets. (17)On June 30, 2025, Prospect acquired a 99.5% equity interest in QC Holdings TopCo, LLC (“QC Holdings”), representing a controlling beneficial interest in QC Holdings per the 1940 Act. QC Holdings specializes in consumer-focused alternative financial services and credit solutions. (18)CP Holdings of Delaware LLC (“CP Holdings”), a consolidated entity in which we own 100% of the membership interests, owns 99.8% of CP Energy Services Inc. (“CP Energy”) as of June 30, 2025. CP Energy owns directly or indirectly 100% of each of CP Well Testing, LLC; Wright Foster Disposals, LLC; Foster Testing Co., Inc.; ProHaul Transports, LLC; and Wright Trucking, Inc. We report CP Energy as a separate controlled company. In June 2019, CP Energy purchased a controlling interest in the common equity of Spartan Energy Holdings, Inc. (“Spartan Holdings”), which owns 100% of Spartan Energy Services, LLC (“Spartan”), a portfolio company of Prospect with $51,477 in first lien term loans (the “Spartan Term Loans”) due to us as of June 30, 2025. As a result of CP Energy’s purchase, and given Prospect’s controlling interest in CP Energy, our Spartan Term Loans are presented as control investments under CP Energy. Spartan remains the direct borrower and guarantor to Prospect for the Spartan Term Loans. In September 2020, we made a new $26,193 Series A preferred stock investment in Spartan Energy Holdings, Inc., which equates to 100% of the Series A non-voting redeemable preferred stock outstanding. (19)Credit Central Holdings of Delaware, LLC (“Credit Central Delaware”), a consolidated entity in which we own 100% of the membership interests, owns 99.8% of Credit Central Loan Company, LLC (f/k/a Credit Central Holdings, LLC (“Credit Central”)) as of June 30, 2025. Credit Central owns 100% of each of Credit Central, LLC; Credit Central South, LLC; Credit Central of Texas, LLC; and Credit Central of Tennessee, LLC, the operating companies. We report Credit Central as a separate controlled company. (20)Redstone Holdco 2 LP is the parent borrower on the second lien term loan. Redstone Buyer, LLC, Redstone Intermediate (Archer) HoldCo LLC, Redstone Intermediate (FRI) HoldCo LLC, Redstone Intermediate (NetWitness) HoldCo, LLC, and Redstone Intermediate (SecurID) HoldCo, LLC are joint borrowers on the Second Lien Term Loan. (21)First Tower Holdings of Delaware LLC (“First Tower Delaware”), a consolidated entity in which we own 100% of the membership interests, owns 80.10% of the voting interest and 78.06% of the fully-diluted economic interest of First Tower Finance Company LLC (“First Tower Finance”). First Tower Finance owns 100% of First Tower, LLC, the operating company. We report First Tower Finance as a separate controlled company. Effective March 17, 2021, the First Tower, LLC lenders were granted a first priority security interest in First Tower Finance’s assets and our investment became classified as a First Lien Term Loan. (22)Energy Solutions Holdings Inc., a consolidated entity in which we own 100% of the equity, owns 100% of Freedom Marine Solutions, LLC (“Freedom Marine”), which owns Vessel Company, LLC, Vessel Company II, LLC and Vessel Company III, LLC. We report Freedom Marine as a separate controlled company. (23)MITY Holdings of Delaware Inc. (“MITY Delaware”), a consolidated entity in which we own 100% of the common stock, owns 100% of the equity of MITY, Inc. (f/k/a MITY Enterprises, Inc.) (“MITY”). MITY owns 100% of each of MITY-Lite, Inc. (“MITY-Lite”); Broda Enterprises USA, Inc.; and Broda Enterprises ULC (“Broda Canada”). We report MITY as a separate controlled company. Our subordinated unsecured note issued and outstanding to Broda Canada is denominated in Canadian Dollars (“CAD”). As of June 30, 2025, the principal balance of this note was CAD 7,371. In accordance with ASC 830, Foreign Currency Matters (“ASC 830”), this note was remeasured into our functional currency, US Dollars (USD), and is presented on our Consolidated Schedule of Investments in USD. We formed a separate legal entity domiciled in the United States, MITY FSC, Inc., (“MITY FSC”) in which Prospect owns 100% of the equity. MITY FSC does not have material operations. This entity earns commission payments from MITY-Lite based on its sales to foreign customers, and distributes it to its shareholder. See notes to consolidated financial statements. 175 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) (24)NPH Property Holdings, LLC (“NPH”), a consolidated entity in which we own 100% of the membership interests, owns 100% of the common equity of National Property REIT Corp. (“NPRC”) (f/k/a National Property Holdings Corp.), a property REIT which holds investments in several real estate properties. We report NPRC as a separate controlled company. See Note 3 for further discussion of the investments held by NPRC. On July 11, 2025, the NPRC loan agreement was amended, extending the maturity date to March 31, 2027. (25)Nationwide Acceptance Holdings LLC (“Nationwide Holdings”), a consolidated entity in which we own 100% of the membership interests, owns 94.22% of Nationwide Loan Company LLC, the operating company, as of June 30, 2025. We report Nationwide Loan Company LLC as a separate controlled company. Prospect has a first priority security interest in the assets of Nationwide. (26)NMMB Holdings, Inc. (“NMMB Holdings”), a consolidated entity in which we own 100% of the equity, owns 92.77% of the fully diluted equity of NMMB, Inc. (“NMMB”) as of June 30, 2025. NMMB owns 100% of Refuel Agency, Inc., which owns 100% of Armed Forces Communications, Inc. We report NMMB as a separate controlled company. (27)Shoes West, LLC and Shoes West Distribution, LLC are joint borrowers on the First Lien Term Loan A and First Lien Convertible Term Loan B. (28)Prospect owns 99.96% of the equity of USES Corp. as of June 30, 2025. (29)Valley Electric Holdings I, Inc., a consolidated entity in which we own 100% of the common stock, owns 100% of Valley Electric Holdings II, Inc. (“Valley Holdings II”), another consolidated entity. Valley Holdings II owns 94.99% of Valley Electric Company, Inc. (“Valley Electric”). Valley Electric owns 100% of the equity of VE Company, Inc., which owns 100% of the equity of Valley Electric Co. of Mt. Vernon, Inc. We report Valley Electric as a separate controlled company. (30)As of June 30, 2025, Prospect owns 8.57% of the equity in Encinitas Watches Holdco, LLC, the parent company of Nixon, Inc. (31)Japs-Olson Company, LLC, Alpha Mail Debt Merger Sub, LLC and J-O Building Company LLC are joint borrowers on the First Lien Term Loan. (32)UTP Holdings Group, Inc. (“UTP Holdings”) owns all of the voting stock of Universal Turbine Parts, LLC (“UTP”) and has appointed a Board of Directors to UTP Holdings, consisting of three employees of the Investment Adviser. UTP Holdings owns UTP. UTP Holdings is a wholly-owned holding company controlled by Prospect and therefore Prospect’s investment in UTP is classified as a control investment. (33)As of June 30, 2025, the residual profit interest includes 8.33% of TLA, TLD and TLE residual profit calculated quarterly in arrears. The investments in TLA and TLD are subject to a maximum SOFR of 4.00%. (34)Prospect owns 100% of the preferred equity of Pacific World Corporation (“Pacific World”), which represents a 99.99% ownership interest of Pacific World as of June 30, 2025. As a result, Prospect’s investment in Pacific World is classified as a control investment. See notes to consolidated financial statements. 176 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) (35)The following shows the composition of our investment portfolio at amortized cost by control designation, investment type and by industry as of June 30, 2025: Industry(43) 1st Lien Term Loan 2nd Lien Term Loan Subordinated Structured Notes Unsecured Debt Equity (B) Amortized Cost Total Control Investments Aerospace & Defense $ 55,028 $ — $ — $ — $ 32,500 $ 87,528 Commercial Services & Supplies 146,539 — — 7,200 27,349 181,088 Construction & Engineering 83,859 — — — 12,053 95,912 Consumer Finance 552,713 54,997 — — 134,222 741,932 Diversified Consumer Services 700 — — — 2,378 3,078 Energy Equipment & Services 148,663 — — — 175,658 324,321 Residential Real Estate Investment Trusts (REITs) 902,617 — — — 20,030 922,647 Health Care Providers & Services 348,907 — — — 45,118 394,025 Household Durables 84,852 — — — 3,400 88,252 Machinery 47,322 — — — 6,866 54,188 Marine Transport — — — — 47,117 47,117 Media 29,723 — — — — 29,723 Personal Care Products 114,318 — — — 221,795 336,113 Trading Companies & Distributors 54,739 — — — 55,581 110,320 Total Control Investments $ 2,569,980 $ 54,997 $ — $ 7,200 $ 784,067 $ 3,416,244 Affiliate Investments Commercial Services & Supplies $ — $ — $ — $ — $ 11,735 $ 11,735 Total Affiliate Investments $ — $ — $ — $ — $ 11,735 $ 11,735 Non-Control/Non-Affiliate Investments Air Freight & Logistics $ 109,924 $ 95,000 $ — $ — $ — $ 204,924 Automobile Components 21,906 67,023 — — 25,802 114,731 Capital Markets — 21,500 — — — 21,500 Commercial Services & Supplies 201,827 153,366 — — 5,000 360,193 Distributors 277,714 86,309 — — 33,382 397,405 Diversified Consumer Services 101,078 — — — — 101,078 Diversified Telecommunication Services 195,805 59,071 — — — 254,876 Electrical Equipment 61,367 — — — — 61,367 Financial Services 67,830 — — — — 67,830 Food Products 18,560 131,653 — — — 150,213 Health Care Providers & Services 252,272 76,377 — — 45,319 373,968 Health Care Technology 132,153 — — — — 132,153 Hotels, Restaurants & Leisure 28,485 — — — — 28,485 Household Durables 2,406 19,206 — — — 21,612 Interactive Media & Services 75,076 — — — — 75,076 IT Services 34,038 69,188 — — — 103,226 Leisure Products 102,148 — — — 1 102,149 Machinery 47,172 — — — — 47,172 Media 88,749 — — — — 88,749 Personal Care Products 10,689 — — — 2,111 12,800 Pharmaceuticals 125,918 — — — — 125,918 Professional Services 71,752 — — — 13,779 85,531 Software 48,478 132,022 — — — 180,500 Specialty Retail 8,178 — — — 23,898 32,076 Textiles, Apparel & Luxury Goods 67,011 — — — 17,139 84,150 Structured Finance(A) — — 37,840 — — 37,840 Total Non-Control/Non-Affiliate $ 2,150,536 $ 910,715 $ 37,840 $ — $ 166,431 $ 3,265,522 Total Portfolio Investment Cost $ 4,720,516 $ 965,712 $ 37,840 $ 7,200 $ 962,233 $ 6,693,501 See notes to consolidated financial statements. 177 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) The following table shows the composition of our investment portfolio at fair value by control designation, investment type and by industry as of June 30, 2025: Industry(43) 1st Lien Term Loan 2nd Lien Term Loan Subordinated Structured Notes Unsecured Debt Equity (B) Fair Value Total Fair Value % of Net Assets Applicable to Common Stock Control Investments Aerospace & Defense $ 55,028 $ — $ — $ — $ 47,700 $ 102,728 3.4 % Commercial Services & Supplies 74,281 — — 5,403 29,252 108,936 3.7 % Construction & Engineering 83,859 — — — 267,432 351,291 11.8 % Consumer Finance 540,871 54,997 — — 357,452 953,320 31.8 % Diversified Consumer Services 700 — — — 3,217 3,917 0.1 % Energy Equipment & Services 122,189 — — — — 122,189 4.1 % Residential Real Estate Investment Trusts(REITs) 902,617 — — — 398,355 1,300,972 43.6 % Health Care Providers & Services 338,781 — — — — 338,781 11.4 % Household Durables 51,166 — — — — 51,166 1.7 % Machinery 47,322 — — — 58,255 105,577 3.5 % Marine Transport — — — — 11,660 11,660 0.4 % Media 29,723 — — — 42,484 72,207 2.4 % Personal Care Products 107,970 — — — — 107,970 3.6 % Trading Companies & Distributors 54,739 — — — 10,914 65,653 2.2 % Total Control Investments $ 2,409,246 $ 54,997 $ — $ 5,403 $ 1,226,721 $ 3,696,367 123.7 % Fair Value % of Net Assets 80.6 % 1.8 % — % 0.2 % 41.1 % 123.7 % Affiliate Investments Commercial Services & Supplies $ — $ — $ — $ — $ 27,057 $ 27,057 0.9 % Total Affiliate Investments $ — $ — $ — $ — $ 27,057 $ 27,057 0.9 % Fair Value % of Net Assets — % — % — % — % 0.9 % 0.9 % Non-Control/Non-Affiliate Investments Air Freight & Logistics $ 89,641 $ 95,000 $ — $ — $ — $ 184,641 6.1 % Automobile Components 20,695 60,965 — — 612 82,272 2.7 % Capital Markets — 21,500 — — — 21,500 0.7 % Commercial Services & Supplies 201,870 153,500 — — 12,950 368,320 12.3 % Distributors 255,555 12,897 — — 1,255 269,707 9.1 % Diversified Consumer Services 40,152 — — — — 40,152 1.3 % Diversified Telecommunication Services 191,162 7,387 — — — 198,549 6.6 % Electrical Equipment 61,367 — — — — 61,367 2.1 % Financial Services 67,830 — — — — 67,830 2.3 % Food Products 15,071 130,895 — — — 145,966 4.9 % Health Care Providers & Services 266,437 44,720 — — 81,589 392,746 13.2 % Health Care Technology 130,246 — — — — 130,246 4.3 % Hotels, Restaurants & Leisure 26,249 — — — — 26,249 0.9 % Household Durables 2,406 17,934 — — — 20,340 0.7 % Interactive Media & Services 75,076 — — — — 75,076 2.5 % IT Services 33,873 41,746 — — — 75,619 2.5 % Leisure Products 102,373 — — — — 102,373 3.5 % Machinery 46,337 — — — — 46,337 1.5 % Media 88,405 — — — — 88,405 3.0 % Personal Care Products 10,689 — — — 6,697 17,386 0.6 % Pharmaceuticals 133,576 — — — — 133,576 4.5 % Professional Services 70,716 — — — 17,343 88,059 3.0 % Software 48,490 124,265 — — — 172,755 5.7 % See notes to consolidated financial statements. 178 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) Industry(43) 1st Lien Term Loan 2nd Lien Term Loan Subordinated Structured Notes Unsecured Debt Equity (B) Fair Value Total Fair Value % of Net Assets Applicable to Common Stock Specialty Retail 5,914 — — — — 5,914 0.2 % Textiles, Apparel & Luxury Goods 69,402 — — — 30,303 99,705 3.3 % Structured Finance (A) — — 35,002 — — 35,002 1.1 % Total Non-Control/Non-Affiliate $ 2,053,532 $ 710,809 $ 35,002 $ — $ 150,749 $ 2,950,092 98.7 % Fair Value % of Net Assets 68.7 % 23.8 % 1.2 % — % 5.0 % 98.7 % Total Portfolio $ 4,462,778 $ 765,806 $ 35,002 $ 5,403 $ 1,404,527 $ 6,673,516 223.3 % Fair Value % of Net Assets 149.3 % 25.6 % 1.2 % 0.2 % 47.0 % 223.3 % (A) Our SSN investments do not have industry concentrations and as such have been separated in the tables above. (B) Equity, unless specifically stated otherwise, includes our investments in preferred stock, common stock, membership interests, net profits interests, net operating income interests, net revenue interests, overriding royalty interests, escrows receivable, and warrants. See notes to consolidated financial statements. 179 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) (36)The interest rate on the below list of investments, which excludes those on non-accrual, contains a paid in kind (“PIK”) provision, whereby the issuer has either the option or the obligation to make interest payments with the issuance of additional securities. 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 under the existing credit agreements, as of June 30, 2025: Security Name PIK Rate - Capitalized PIK Rate - Paid as cash Maximum Current PIK Rate Aventiv Technologies, LLC - Third Out Super Priority First Lien Term Loan 9.65% —% 9.65% (A) Aventiv Technologies, LLC - Second Out Super Priority First Lien Term Loan 12.06% —% 12.06% (A) Belnick, LLC - First Lien Term Loan 13.06% —% 13.06% (B) CP Energy Services Inc. - First Lien Term Loan —% 13.56% 13.56% CP Energy Services Inc. - First Lien Term Loan —% 13.56% 13.56% CP Energy Services Inc. - First Lien Term Loan —% 13.56% 13.56% CP Energy Services Inc. - Delayed Draw Term Loan 10.53% 3.03% 13.56% CP Energy Services Inc. - Incremental First Lien Term Loan A to Spartan Energy Services, LLC —% 12.56% 12.56% (C) CP Energy Services Inc. - First Lien Term Loan A to Spartan Energy Services, LLC 3.94% 8.62% 12.56% (C) Credit Central Loan Company, LLC - First Lien Term Loan 10.00% —% 10.00% (D) Credit.com Holdings, LLC - First Lien Term Loan A 15.56% —% 15.56% (E) Druid City Infusion, LLC - First Lien Convertible Note 2.00% —% 2.00% Emerge Intermediate, Inc. - First Lien Term Loan 4.50% —% 4.50% First Tower Finance Company LLC - First Lien Term Loan 0.08% 14.92% 15.00% (F) InterDent, Inc. - First Lien Term Loan B 7.00% —% 7.00% InterDent, Inc. - First Lien Delayed Draw Term Loan B 7.00% —% 7.00% MITY, Inc. - First Lien Term Loan B —% 10.00% 10.00% National Property REIT Corp. - First Lien Term Loan A —% 2.00% 2.00% National Property REIT Corp. - First Lien Term Loan D —% 2.00% 2.00% National Property REIT Corp. - First Lien Term Loan E —% 7.00% 7.00% Nationwide Loan Company LLC - Delayed Draw Term Loan 10.00% —% 10.00% (G) Nationwide Loan Company LLC - Delayed Draw Term Loan 10.00% —% 10.00% (G) New WPCC Parent, LLC. - First Lien Term Loan —% 8.00% 8.00% QC Holdings TopCo, LLC - Second Lien Term Loan —% 14.50% 14.50% (J) Pacific World Corporation - First Lien Term Loan A 7.07% 1.51% 8.58% Recovery Solutions Parent, LLC - First Lien Term Loan —% 8.50% 8.50% (H) STG Distribution, LLC - First Out First Lien Term Loan 7.25% —% 7.25% STG Distribution, LLC - Second Out First Lien Term Loan 6.50% —% 6.50% Rising Tide Holdings, Inc. - First Lien First Out Term Loan 15.00% —% 15.00% Rising Tide Holdings, Inc. - First Lien Second Out Term Loan 12.00% —% 12.00% Shoes West, LLC (d/b/a Taos Footwear) - First Lien Convertible Term Loan B 2.00% —% 2.00% Town & Country Holdings, Inc. - First Lien Term Loan —% 5.00% 5.00% USES Corp. - First Lien Term Loan —% 13.59% 13.59% USES Corp. - First Lien Equipment Term Loan 13.59% —% 13.59% (I) Valley Electric Co. of Mt. Vernon, Inc. - First Lien Term Loan —% 2.50% 2.50% Valley Electric Company, Inc. - First Lien Term Loan —% 10.00% 10.00% Valley Electric Company, Inc. - First Lien Term Loan B —% 5.50% 5.50% Wellful Inc. - Tranche B Term Loan 1.75% —% 1.75% (A) On December 29, 2023, the Aventiv Technologies, LLC Second Out Super Priority First Lien Term Loan was amended to allow a portion of interest accruing in cash to be payable in kind. On March 28, 2025, the Aventiv Technologies, LLC Third Out Super Priority First Lien Term Loan was amended to allow a portion of interest accruing in cash to be payable in kind. (B) On May 13, 2025, the Belnick, LLC First Lien Term Loan was amended to allow interest accruing in cash to be payable in kind resulting in a maximum current PIK rate of 13.06%. (C) On August 22, 2022, the Spartan Energy Services, LLC Twenty-Fifth Amendment to Amended and Restated Senior Secured Loan Agreement was amended to allow interest accruing in cash to be payable in kind resulting in a maximum current PIK rate of 12.56%. (D) On September 30, 2022, the Credit Central Senior Subordinated Loan Agreement was amended to allow interest accruing in cash to be payable in kind resulting in a maximum current PIK rate of 10.00%. See notes to consolidated financial statements. 180 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) (E) On September 28, 2023, the Credit.com First Lien Term Loan A was amended to allow a portion of interest accruing in cash to be payable in kind. (F) On December 30, 2022, the First Tower Finance Company LLC Amendment No. 15 was amended to reduce the PIK rate to 5.00% and allow the interest accruing in cash to be payable in kind resulting in a maximum current PIK rate of 15.00%. (G) The Nationwide Loan Company LLC Delayed Draw Term Loan agreement allows for a portion of interest accruing in cash to be payable in kind. (H) The Recovery Solutions Parent, LLC First Lien Term Loan agreement dated January 27, 2025 allows for a portion of interest accruing in cash to be payable in kind. (I) On March 28, 2023, the USES Corp. First Lien Equipment Term loan was amended to allow interest accruing in cash to be payable in kind resulting in a maximum current PIK rate of 13.59%. (J) The QC Holdings TopCo, LLC Senior Secured Term Loan Agreement dated June 30, 2025, allows for a portion of interest accruing in cash to be payable in kind. The first interest payment is due September 30, 2025. (37)As defined in the 1940 Act, we are deemed to “Control” these portfolio companies because we own more than 25% of the portfolio company’s outstanding voting securities. Transactions during the year ended June 30, 2025, with these controlled investments were as follows: Controlled Companies Fair Value at June 30, 2024 Gross Additions (Cost)(A) Gross Reductions (Cost)(B) Net unrealized gains (losses) Fair Value at June 30, 2025 Interest income Dividend income Other income Net realized gains (losses) Belnick, LLC (d/b/a The Ubique Group) $ — $ 76,346 $ — $ (25,180) $ 51,166 (c) $ 2,748 $ — $ 33 $ — CP Energy Services Inc. 70,721 15,174 — (536) 85,359 12,550 — — — CP Energy - Spartan Energy Services, LLC 39,485 10,301 — (12,956) 36,830 6,013 — — — Credit Central Loan Company, LLC 79,230 7,949 — (8,443) 78,736 8,711 — — — Echelon Transportation, LLC 66,923 1,260 (1,260) (1,270) 65,653 3,343 — — — First Tower Finance Company LLC 605,928 27,616 (437) 127,411 760,518 65,954 — 421 — Freedom Marine Solutions, LLC 12,651 975 — (1,966) 11,660 — — — — InterDent, Inc. 463,883 32,479 — (157,581) 338,781 39,207 — — — Kickapoo Ranch Pet Resort 4,742 — (800) (25) 3,917 160 — — — MITY, Inc. 85,583 4,265 — 4,570 94,418 9,336 — 107 12 National Property REIT Corp. 1,696,462 99,723 (285,386) (209,827) 1,300,972 89,786 — 14,825 — Nationwide Loan Company LLC 43,162 6,484 — (12,866) 36,780 3,793 — — — NMMB, Inc. 94,265 — — (22,058) 72,207 4,039 — — 6,366 Pacific World Corporation 104,663 20,592 (4,875) (12,410) 107,970 9,865 — 286 — QC Holdings TopCo, LLC — 77,286 — — 77,286 37 — 2,319 — R-V Industries, Inc. 102,402 10,000 — (6,825) 105,577 5,558 8,774 — — Universal Turbine Parts, LLC 68,067 20,000 (107) 14,768 102,728 4,755 — 300 — USES Corp. 17,989 8,638 (2,300) (9,809) 14,518 2,775 — — — Valley Electric Company, Inc. 316,419 — — 34,872 351,291 12,677 — 666 — Total $ 3,872,575 $ 419,088 $ (295,165) $ (300,131) $ 3,696,367 $ 281,307 $ 8,774 $ 18,957 $ 6,378 (A) Gross additions include increases in the cost basis of the investments resulting from new portfolio investments, OID accretion and PIK interest, and any transfer of investments. (B) Gross reductions include decreases in the cost basis of investments resulting from principal collections related to investments repayments or sales, impairments, and any transfer of investments. (C) Belnick, LLC (d/b/a The Ubique Group) was transferred to a control investment effective March 31, 2025 (see endnote 48). Income recognized prior to the reclassification date is reflected as income from non-control/non-affiliate investments on our Consolidated Statement of Operations. See notes to consolidated financial statements. 181 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) (38)As defined in the 1940 Act, we are deemed to be an “Affiliated company” of these portfolio companies because we own more than 5% of the portfolio company’s outstanding voting securities. Transactions during the year ended June 30, 2025 with these affiliated investments were as follows: Affiliated Companies Fair Value at June 30, 2024 Gross Additions (Cost)(A) Gross Reductions (Cost)(B) Net unrealized gains (losses) Fair Value at June 30, 2025 Interest income Dividend income Other income Net realized gains (losses) Nixon, Inc. $ — $ — $ — $ — $ — $ — $ — $ — $ — RGIS Services, LLC 18,069 — 141 8,847 27,057 — 681 — — Total $ 18,069 $ — $ 141 $ 8,847 $ 27,057 $ — $ 681 $ — $ — (A) Gross additions include increases in the cost basis of the investments resulting from new portfolio investments, PIK interest, and any transfer of investments. (B) Gross reductions include decreases in the cost basis of investments resulting from principal collections related to investments repayments or sales, impairments, and any transfer of investments. See notes to consolidated financial statements. 182 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) (39)Acquisition date represents the date of PSEC’s initial investment. Follow-on acquisitions have occurred on the following dates to arrive at PSEC’s current investment as of June 30, 2025 (excluding effects of capitalized PIK interest, premium/original issue discount amortization/accretion, and partial repayments) (see endnote 40 for NPRC equity follow-on acquisitions): Portfolio Company Investment Follow-On Acquisition Dates Follow-On Acquisitions (Excluding initial investment cost) 8th Avenue Food & Provisions, Inc. Second Lien Term Loan 11/17/2020, 9/17/2021 $ 7,051 Apidos CLO XV Subordinated Structured Note 3/29/2018 6,480 Apidos CLO XXII Subordinated Structured Note 2/24/2020 1,912 Atlantis Health Care Group (Puerto Rico), Inc. First Lien Term Loan 12/9/2016 42,000 Aventiv Technologies, LLC Second Out Super Priority First Lien Term Loan 6/28/2024 834 Aventiv Technologies, LLC Second Out Super Priority First Lien Term Loan 3/4/2025 595 Aventiv Technologies, LLC Super Priority Second Lien Term Loan 1/2/2025 105 Barings CLO 2018-III Subordinated Structured Note 5/18/2018 9,255 BCPE North Star US Holdco 2, Inc. Second Lien Term Loan 12/30/2021, 10/28/2022 70,133 BCPE Osprey Buyer, Inc. First Lien Revolving Line of Credit 2/22/2023, 5/23/2023, 9/14/2023, 11/22/2023, 3/28/2024, 7/11/2024, 11/26/2024, 2/27/2025, 3/27/2025 7,301 BCPE Osprey Buyer, Inc. First Lien Delayed Draw Term Loan 9/26/2023 4,639 Belnick, LLC (d/b/a The Ubique Group) First Lien Term Loan 6/27/2022, 12/1/2023 18,000 Cent CLO 21 Limited Subordinated Structured Note 7/12/2018 1,024 Collections Acquisition Company, Inc. First Lien Term Loan 1/13/2022, 3/14/2024 15,800 CP Energy Services Inc. First Lien Term Loan 8/31/2023 2,900 CP Energy Services Inc. First Lien Delayed Draw Term Loan 3/25/2025, 6/24/2025 7,000 CP Energy Services Inc. First Lien Term Loan A to Spartan Energy Services, LLC 4/9/2021, 1/10/2022, 2/10/2023, 6/7/2024, 11/13/2024, 1/9/2025, 3/25/2025, 6/24/2025 25,181 CP Energy Services Inc. Common Stock 10/11/2013, 12/26/2013, 4/6/2018, 12/31/2019 69,586 Credit Central Loan Company, LLC Class A Units 12/28/2012, 3/28/2014, 6/26/2014, 9/28/2016, 8/21/2019 11,975 Credit Central Loan Company, LLC First Lien Term Loan 6/26/2014, 9/28/2016, 12/16/2022, 1/27/2023 45,995 Credit Central Loan Company, LLC Class P Units 1/27/2023 1,540 Discovery Point Retreat, LLC First Lien Term Loan 5/9/2025 3,700 DRI Holding, Inc. First Lien Term Loan 4/26/2022, 7/21/2022 12,999 DRI Holding, Inc. Second Lien Term Loan 5/18/2022 10,000 Dukes Root Control Inc. First Lien Revolving Line of Credit 4/24/2023, 11/27/2023, 2/2/2024, 2/26/2024, 2/26/2025 3,875 Dukes Root Control Inc. First Lien Delayed Draw Term Loan 5/26/2023, 10/26/2023 3,254 Echelon Transportation, LLC Membership Interest 3/31/2014, 9/30/2014, 12/9/2016 22,488 Echelon Transportation, LLC First Lien Term Loan 11/14/2018, 7/9/2019, 5/5/2020, 10/9/2020, 1/21/2021, 3/18/2021 5,465 Emerge Intermediate, Inc. First Lien Term Loan 6/14/2024 1,467 Eze Castle Integration, Inc. First Lien Delayed Draw Term Loan 10/7/2022, 9/5/2023, 1/10/2025 2,576 First Brands Group First Lien Term Loan 4/27/2022 5,955 First Brands Group Second Lien Term Loan 5/12/2022 4,938 First Tower Finance Company LLC Class A Units 12/30/2013, 6/24/2014, 12/15/2015, 11/21/2016, 3/9/2018 39,885 First Tower Finance Company LLC First Lien Term Loan to First Tower, LLC 12/15/2015, 3/9/2018, 3/24/2022, 5/30/2025, 6/27/2025 60,548 Freedom Marine Solutions, LLC Membership Interest 10/1/2009, 12/22/2009, 1/13/2010, 3/30/2010, 5/13/2010, 2/14/2011, 4/28/2011, 7/7/2011, 10/20/2011, 10/30/2015, 1/7/2016, 4/11/2016, 8/11/2016, 1/30/2017, 4/20/2017, 6/13/2017, 8/30/2017, 1/17/2018, 2/15/2018, 5/8/2018, 10/31/2018, 5/14/2021, 4/18/2022, 2/15/2023, 7/2/2024 43,093 Galaxy XV CLO, Ltd. Subordinated Structured Note 8/21/2015, 3/10/2017 9,161 Galaxy XXVII CLO, Ltd. Subordinated Structured Note 6/11/2015 1,460 Help/Systems Holdings, Inc. (d/b/a Forta, LLC) Second Lien Term Loan 5/11/2021, 10/14/2021 54,649 Imperative Worldwide, LLC First Lien Term Loan 10/26/2022, 6/1/2023, 9/30/2024 8,190 See notes to consolidated financial statements. 183 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) Portfolio Company Investment Follow-On Acquisition Dates Follow-On Acquisitions (Excluding initial investment cost) InterDent, Inc. First Lien Term Loan A 2/11/2014, 4/21/2014, 11/25/2014, 12/23/2014, 7/14/2021, 3/28/2022 93,903 InterDent, Inc. First Lien Term Loan B 2/11/2014, 4/21/2014, 11/25/2014, 12/23/2014 76,125 InterDent, Inc. Delayed Draw Term Loan B 12/20/2024, 3/24/2025, 5/27/2025, 6/23/2025 14,000 Interventional Management Services, LLC First Lien Revolving Line of Credit 2/25/2021, 11/17/2021 5,000 K&N HoldCo, LLC Class A Membership Units 7/31/2024 105 Kickapoo Ranch Pet Resort Membership Interest 10/21/2019, 12/4/2019 28 LCM XIV Ltd. Subordinated Structured Note 9/25/2015, 5/18/2018 9,422 LGC US FINCO, LLC First Lien Term Loan 3/2/2022 2,095 Lucky US BuyerCo LLC First Lien Revolving Line of Credit 3/21/2024, 6/24/2024, 3/31/2025 2,054 MITY, Inc. Common Stock 6/23/2014 7,200 MITY, Inc. First Lien Term Loan A 1/17/2017, 3/23/2021, 2/14/2024, 3/15/2024, 5/15/2024, 9/16/2024, 12/3/2024, 4/4/2025 20,065 MITY, Inc. First Lien Term Loan B 1/17/2017, 6/3/2019 11,000 Nationwide Loan Company LLC Class A Units 3/28/2014, 6/18/2014, 9/30/2014, 6/29/2015, 3/31/2016, 8/31/2016, 5/31/2017, 10/31/2017 20,469 Nationwide Loan Company LLC First Lien Delayed Draw Term Loan A 6/26/2024 2,250 Nationwide Loan Company LLC First Lien Delayed Draw Term Loan B 3/6/2025 3,000 National Property REIT Corp. First Lien Term Loan A 4/3/2020, 5/15/2020, 6/10/2020, 7/29/2020, 8/14/2020, 9/15/2020,10/15/2020, 10/30/2020, 11/10/2020, 11/13/2020, 11/19/2020, 12/11/2020, 1/27/2021, 2/25/2021, 3/11/2021, 5/14/2021, 6/14/2021, 6/25/2021, 8/16/2021, 11/15/2021, 11/26/2021, 12/1/2021, 12/28/2021, 1/14/2022, 2/15/2022, 3/17/2022, 3/28/2022, 4/1/2022, 4/7/2022, 5/24/2022, 6/6/2022, 7/5/2022, 8/31/2022, 10/6/2022, 1/10/2023, 2/28/2023, 4/4/2023, 4/6/2023, 4/28/2023, 6/9/2023, 6/14/2023, 7/5/2023, 7/14/2023, 8/31/2023, 9/29/2023, 10/4/2023, 10/20/2023, 11/30/2023, 1/3/2024, 1/18/2024, 2/29/2024, 3/8/2024, 4/2/2024, 5/31/2024, 7/8/2024, 8/30/2024, 10/10/2024, 12/02/2024, 1/6/2025, 1/8/2025, 3/20/2025, 4/3/2025, 5/15/2025 933,468 National Property REIT Corp. First Lien Term Loan E 6/26/2024 35,300 NMMB, Inc. First Lien Term Loan 12/30/2019, 3/28/2022 40,100 Octagon Investment Partners XV, Ltd. Subordinated Structured Note 4/27/2015, 8/3/2015, 6/27/2017 10,516 Pacific World Corporation Convertible Preferred Equity 4/3/2019, 4/29/2019, 6/3/2019, 10/4/2019, 11/12/2019, 12/20/2019, 1/7/2020, 3/5/2020, 12/30/2021, 1/26/2024 55,100 Pacific World Corporation First Lien Term Loan A 12/22/2022, 11/25/2024, 3/7/2025 19,900 PeopleConnect Holdings, Inc. First Lien Term Loan 10/21/2021 82,005 Precisely Software Incorporated Second Lien Term Loan 5/28/2021, 6/24/2021, 6/3/2022 59,333 Preventics, Inc. First Lien Term Loan 2 4/30/2025 1,900 Preventics, Inc. Preferred Units 4/30/2025 38 Preventics, Inc. Preferred Units 4/30/2025 527 Recovery Solutions Parent, LLC First Lien Term Loan 6/27/2025 2,190 Recovery Solutions Parent, LLC Common Stock 5/30/2025 102 Redstone Holdco 2 LP Second Lien Term Loan 9/10/2021 17,903 RGIS Services, LLC Membership Interest 5/28/2024 1,432 Rosa Mexicano First Lien Revolving Line of Credit 3/27/2020, 10/13/2023, 2/7/2024, 5/17/2024 5,400 R-V Industries, Inc. First Lien Term Loan 3/4/2022, 9/25/2023 8,700 R-V Industries, Inc. Common Stock 12/27/2016 1,854 Shiftkey, LLC First Lien Term Loan 8/26/2022, 9/14/2022, 9/23/2022 39,450 The RK Logistics Group, Inc. Class B Common Units 12/19/2023 1,250 The RK Logistics Group, Inc. First Lien Term Loan 6/28/2024 13,000 Town & Country Holdings, Inc. First Lien Term Loan 7/13/2018, 7/16/2018, 2/27/2024, 3/28/2024, 4/23/2024 115,000 Town & Country Holdings, Inc. Common Stock 10/18/2024, 12/27/2024, 1/10/2025, 5/7/2025 31,882 United Sporting Companies, Inc. Second Lien Term Loan 3/7/2013, 3/14/2024 59,325 Universal Turbine Parts, LLC First Lien Delayed Draw Term Loan 10/24/2019, 2/7/2020, 2/26/2020, 4/5/2021, 11/24/2023, 6/27/2025 6,716 USES Corp. First Lien Term Loan A 6/15/2016, 6/29/2016, 2/22/2017, 4/27/2017, 5/4/2017, 8/30/2017, 10/11/2017, 12/11/2018, 8/30/2019 14,100 USES Corp. First Lien Equipment Term Loan 6/23/2023, 7/3/2024, 11/6/2024, 1/9/2025 9,900 See notes to consolidated financial statements. 184 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) Portfolio Company Investment Follow-On Acquisition Dates Follow-On Acquisitions (Excluding initial investment cost) USG Intermediate, LLC First Lien Revolving Line of Credit 7/2/2015, 9/23/2015, 9/14/2017, 8/21/2019, 9/17/2020, 9/8/2021, 5/19/2022, 5/22/2023, 10/12/2023 21,700 USG Intermediate, LLC First Lien Term Loan B 8/24/2017, 7/30/2021, 2/9/2022, 8/17/2022, 5/12/2023, 12/20/2023, 2/21/2025 129,475 Valley Electric Company, Inc. Common Stock 12/31/2012, 6/24/2014 18,502 Valley Electric Company, Inc. First Lien Term Loan 6/30/2014, 8/31/2018, 3/28/2022 18,129 Valley Electric Company, Inc. First Lien Term Loan B 5/1/2023 19,000 Voya CLO 2014-1, Ltd. Subordinated Structured Note 3/29/2018 3,943 (40)Since Prospect’s initial common equity investment in NPRC on December 31, 2013, we have made numerous additional follow-on investments that have been used to invest in new and existing properties as well as online consumer loans and rated secured structured notes. These follow-on acquisitions are summarized by fiscal year below (excluding effects of return of capital distributions). Details of specific transactions are included in the respective fiscal year Form 10-K filing (refer to endnote 42 for NPRC term loan follow-on investments): Fiscal Year Follow-On Investments (NPRC Common Stock, excluding cost of initial investment) 2014 $ 4,555 2015 68,693 2016 93,857 2017 116,830 2018 137,024 2019 11,582 2020 19,800 2022 15,620 2023 3,600 2024 4,600 2025 — (41)On March 31, 2025, Prospect exercised certain rights and remedies under its loan documents to exercise voting rights in respect of the equity of Belnick, LLC and certain of its subsidiaries (“Belnick”) to, among other things, appoint new officers, all of whom are our Investment Adviser’s professionals. As a result, Prospect’s investment in Belnick is classified as a control investment. Effective May 22, 2025, Prospect established 100% ownership of Belnick Holdings of Delaware, LLC (“Belnick Delaware”), a wholly owned consolidated holdings company. On May 23, 2025, Belnick Delaware acquired a 100% voting interest in Belnick’s Class P Preferred units, which equates to a 99.01% fully diluted beneficial interest in Belnick as of June 30, 2025. Belnick is a provider of high-volume, value-oriented furniture and furnishings to a broad range of residential and commercial end markets. (42)This investment represents a Level 2 security in the ASC 820 table as of June 30, 2025. See Notes 2 and 3 within the accompanying notes to consolidated financial statements for further discussion. (43)As of June 30, 2025, certain industries classifications have been revised compared to June 30, 2024 to align with updated industry structures. (44)The investment represents a unitranche loan with characteristics of a traditional first lien senior secured loan, but which pursuant to an agreement among lenders is divided among unaffiliated lenders into “first out” and “last out” tranches yielding different interest rates, where our investment is the “last out” tranche(s) of such unitranche loan, subject to payment priority in favor of a first out tranche held by an unaffiliated lender; or, the Company has entered into an intercreditor agreement that entitles the Company to the “last out” tranche of the first lien secured loans, whereby the “first out” tranche will receive priority as to the “last out” tranche(s) with respect to payments of principal, interest, and any other amounts due thereunder. Therefore, the Company may receive a higher interest rate than the “first out” lenders and the Consolidated Schedule of Investments above reflects such higher rate, as applicable. (45)Emerge Intermediate, Inc., HD Research, LLC, ERG Buyer, LLC, and ERG Blocker, Inc. are joint borrowers on the First Lien Term Loan. See notes to consolidated financial statements. 185 PROSPECT CAPITAL CORPORATION CONSOLIDATED SCHEDULE OF INVESTMENTS AS OF JUNE 30, 2025 (Continued) (in thousands, except share data) Endnote Explanations as of June 30, 2025 (Continued) (46)The stated interest rate on the drawn revolver and delayed drawn term loan commitments represents a weighted average interest rate for the funded amounts of the investment. (47)Wellpath Holdings, Inc. (“Wellpath”) filed for Chapter 11 bankruptcy on November 11, 2024. On May 9, 2025 Wellpath Holdings, Inc. consummated a court-approved restructuring pursuant to its Chapter 11 Plan of Reorganization. As part of this transaction, our existing First Lien Term Loan was restructured into new debt and equity positions in New WPCC Parent, LLC and our residual Second Lien Senior Secured Term Loan deficiency claims were exchanged for beneficial interests in the Wellpath Holdings, Inc. Liquidation Trust. Our recovery in the Trust is subject to a claim’s reconciliation process and the value of our interest is based on management’s current estimate of expected recovery, using Level 3 unobservable inputs. (48)Investment provides future right to acquire voting securities not beneficially owned, subject to certain terms and conditions, including prior notice, which if exercised, could result in such investment becoming an affiliate or control investment. See notes to consolidated financial statements. 186 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (in thousands, except share and per share data) Note 1. Organization In this report, the terms “Prospect”, “the Company”, “we”, “us” and “our” mean Prospect Capital Corporation and its subsidiaries unless the context specifically requires otherwise. Prospect is a financial services company that primarily lends to and invests in middle market privately-held companies. We are a closed-end investment company incorporated in Maryland. We have elected to be regulated as a business development company (“BDC”) under the Investment Company Act of 1940, as amended (the “1940 Act”). As a BDC, we have elected to be treated as a regulated investment company (“RIC”), under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). We were organized on April 13, 2004, and were funded in an initial public offering completed on July 27, 2004. On May 15, 2007, we formed a wholly owned subsidiary Prospect Capital Funding LLC (“PCF”), a Delaware limited liability company and a bankruptcy remote special purpose entity, which holds certain of our portfolio loan investments that are used as collateral for the revolving credit facility at PCF. On September 30, 2014, we formed a wholly-owned subsidiary Prospect Yield Corporation, LLC (“PYC”) and effective October 23, 2014, PYC holds a portion of our collateralized loan obligations (“CLOs”), which we also refer to as subordinated structured notes (“SSNs”). Each of these subsidiaries have been consolidated since operations commenced. We consolidate certain of our wholly owned and substantially wholly owned holding companies formed by us in order to facilitate our investment strategy. The following companies are included in our consolidated financial statements and are collectively referred to as the “Consolidated Holding Companies”: Belnick Holdings of Delaware, LLC (“Belnick Delaware”); CP Holdings of Delaware LLC (“CP Holdings”); Credit Central Holdings of Delaware, LLC; Energy Solutions Holdings Inc.; First Tower Holdings of Delaware LLC (“First Tower Delaware”); MITY Holdings of Delaware Inc.; Nationwide Acceptance Holdings LLC; NMMB Holdings, Inc. (“NMMB Holdings”); NPH Property Holdings, LLC (“NPH”); NPH Holdco LLC (“NPH Holdco”); Prospect Opportunity Holdings I, Inc. (“POHI”); R-V Holdings of Delaware, LLC (“R-V Holdings”); SB Forging Company, Inc. (“SB Forging”); STI Holding, Inc.; UTP Holdings Group Inc. (“UTP Holdings”); Valley Electric Holdings I, Inc. (“Valley Holdings I”); Valley Electric Holdings II, Inc. (“Valley Holdings II”); and Victor Holdings of Delaware, LLC (“Victor Holdings”). We are externally managed by our investment adviser, Prospect Capital Management L.P. (“Prospect Capital Management” or the “Investment Adviser”). Prospect Administration LLC (“Prospect Administration” or the “Administrator”), a wholly-owned subsidiary of the Investment Adviser, provides administrative services and facilities necessary for us to operate. Our investment objective is to generate both current income and long-term capital appreciation. We intend to invest primarily in privately owned United States (“U.S.”) middle market companies, in senior and secured first lien loans and, to a lesser extent, second lien loans, as well as equity and equity-linked investments with capital-appreciation potential (such as senior and secured convertible debt, preferred equity, common equity and warrants). Most of our investments will be in private U.S. companies; however, we may also invest to some extent in broadly-traded public companies and non-U.S. companies (subject to compliance with BDC requirements to invest at least 70% of assets in “eligible portfolio companies,” which are generally privately offered securities issued by U.S. private or thinly-traded companies). We are a non-diversified company within the meaning of the 1940 Act. 187 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Note 2. Significant Accounting Policies Basis of Presentation and Consolidation The accompanying consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“GAAP”) pursuant to the requirements for reporting on Form 10-K, ASC 946, Financial Services—Investment Companies (“ASC 946”), and Articles 3, 6, and 12 of Regulation S-X. Under the 1940 Act, ASC 946, and the regulations pursuant to Article 6 of Regulation S-X, we are precluded from consolidating any entity other than another investment company or an operating company which provides substantially all of its services to benefit us. Our consolidated financial statements include the accounts of Prospect, PCF, PYC, and the Consolidated Holding Companies. The consolidated financial statements reflect all adjustments and reclassifications that, in the opinion of management, are necessary for the fair presentation of the results of operations and financial condition as of and for the periods presented. All intercompany balances and transactions have been eliminated in consolidation. The financial results of our non-substantially wholly-owned holding companies and operating portfolio company investments are not consolidated in the financial statements. Any operating companies owned by the Consolidated Holding Companies are not consolidated. Cash, Cash Equivalents and Restricted Cash Cash and cash equivalents consist of cash and highly liquid investments with an original maturity of three months or less at the date of purchase. Cash, cash equivalents, and restricted cash are carried at cost, which approximates fair value. All cash and restricted cash balances are maintained with high credit quality financial institutions. Cash and restricted cash held at financial institutions, at times, has exceeded the Federal Deposit Insurance Corporation (“FDIC”) insured limit. The Company has not incurred any losses on these accounts, and the credit risk exposure is mitigated by the financial strength of the banking institutions where the amounts are held. Restricted cash relates to a contractual requirement for our Revolving Credit Facility to maintain a minimum cash balance in a reserve account. The contractual requirement is based upon our outstanding borrowing on our Revolving Credit Facility. Additionally, as of June 30, 2026, restricted cash may also include collateral posted to cover variation margin that may be restricted until the position is closed out. This balance is required by our custody control agreement to be held in a custody account. Reclassifications Certain reclassifications have been made in the presentation of prior consolidated financial statements and accompanying notes to conform to the presentation as of and for the year ended June 30, 2026. See Note 12. Income Taxes and Note 16. Financial Highlights. Use of Estimates The preparation of the consolidated financial statements in accordance with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of income, expenses, and gains and losses during the reported period. Changes in the economic environment, financial markets, creditworthiness of the issuers of our investment portfolio and any other parameters used in determining these estimates could cause actual results to differ, and these differences could be material. Investment Classification We are a non-diversified company within the meaning of the 1940 Act. As required by the 1940 Act, we classify our investments by level of control. As defined in the 1940 Act, “Control Investments” are those where there is the ability or power to exercise a controlling influence over the management or policies of a company. Control is generally deemed to exist when a company or individual possesses a beneficial ownership of more than 25% of the voting securities of an investee company. Under the 1940 Act, “Affiliate Investments” are defined by a lesser degree of influence and are deemed to exist through owning, controlling, or holding with power to vote, 5% or more of the outstanding voting securities of another person. “Non-Control/Non-Affiliate Investments” are those that are neither Control Investments nor Affiliate Investments. 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 total assets are qualifying assets (with certain limited exceptions). As of June 30, 2026 and June 30, 2025, our qualifying assets as a percentage of total assets, stood at 81.94% and 85.27%, respectively. 188 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Investment Transactions Investments are recognized when we assume an obligation to acquire a financial instrument and assume the risks for gains or losses related to that instrument. Specifically, we record all security transactions on a trade date basis. We determine the fair value of our investments on a quarterly basis (as discussed in Investment Valuation below), with changes in fair value reflected as a net change in unrealized gains (losses) from investments in the Consolidated Statement of Operations. Investments are derecognized when we assume an obligation to sell a financial instrument and forego the risks for gains or losses related to that instrument. Realized gains or losses on the sale of investments are calculated using the specific identification method. Amounts for investments traded but not yet settled are reported in Due to Broker or Due from Broker, in the Consolidated Statements of Assets and Liabilities. As of June 30, 2026 and June 30, 2025, we have no assets going through foreclosure. Foreign Currency Foreign currency amounts are translated into U.S. Dollars (USD) on the following basis: i.fair value of investment securities, other assets and liabilities—at the spot exchange rate on the last business day of the period; and ii.purchases and sales of investment securities, income and expenses—at the rates of exchange prevailing on the respective dates of such investment transactions, income or expenses. We do not isolate that portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in fair values of investments held or disposed of during the period. Such fluctuations are included within the net realized and net change in unrealized gains or losses from investments in the Consolidated Statements of Operations. Foreign-denominated monetary assets and liabilities, including our 5.50% 2030 Notes, are remeasured at the spot exchange rate as of the last business day of the period, with the resulting gains and losses recognized in net change in unrealized gains (losses) from derivative instruments and foreign currency transactions. Foreign-currency-denominated cash proceeds and payments, including interest payments on the 5.50% 2030 Notes, are translated at the exchange rates in effect on the settlement dates and recognized in net realized gains (losses) from derivative instruments and foreign currency transactions and for interest payment in interest expense. We use foreign currency forward contracts to manage a portion of our exposure to changes in the Israeli Shekel/U.S. Dollar exchange rate associated with principal and interest on the 5.50% 2030 Notes. Certain forward contracts are designated as cash flow hedges of forecasted interest payments and certain forward contracts are designated as fair value hedges of the foreign currency risk in the 5.50% 2030 Notes’ principal. Refer to Note 6. Public Notes for additional information, including the accounting for amounts recognized in earnings and other comprehensive income. Investment Risks Our investments are subject to a variety of risks. Those risks include the following: Market Risk Market risk represents the potential loss that can be caused by a change in the fair value of the financial instrument. Credit Risk Credit risk represents the risk that we would incur if the counterparties failed to perform pursuant to the terms of their agreements with us. Liquidity Risk Liquidity risk represents the possibility that we may not be able to rapidly adjust the size of our investment positions in times of high volatility and financial stress at a reasonable price. 189 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Interest Rate Risk Interest rate risk represents a change in interest rates, which could result in an adverse change in the fair value of an interest-bearing financial instrument. Prepayment Risk Many of our debt investments allow for prepayment of principal without penalty. Downward changes in interest rates may cause prepayments to occur at a faster than expected rate, thereby effectively shortening the maturity of the security and making us less likely to fully earn all of the expected income of that security and reinvesting in a lower yielding instrument. Structured Credit Related Risk CLO investments may be riskier and less transparent to us than direct investments in underlying companies. CLOs typically will have no significant assets other than their underlying senior secured loans. Therefore, payments on CLO investments are and will be payable solely from the cash flows from such senior secured loans. Foreign Currency Investments and debt denominated in foreign currencies and foreign currency transactions may involve certain considerations and risks not typically associated with those of domestic origin. These risks include, but are not limited to, currency fluctuations and revaluations and future adverse political, social and economic developments, which could cause investments in foreign markets to be less liquid and prices more volatile than those of comparable U.S. companies or U.S. government securities. Other Risks Political developments, including civil conflicts and war, sanctions or other measures by the United States or other governments, natural disasters, public health crises and other events outside the Company’s control can directly or indirectly have a material adverse impact on the Company and our portfolio companies. Investment Valuation As a BDC, and in accordance with the 1940 Act, we fair value our investment portfolio on a quarterly basis, with any unrealized gains and losses reflected in net increase (decrease) in net assets resulting from operations on our Consolidated Statement of Operations. To value our investments, we follow the guidance of ASC 820, Fair Value Measurement (“ASC 820”), that defines fair value, establishes a framework for measuring fair value in conformity with GAAP, and requires disclosures about fair value measurements. In accordance with ASC 820, the fair value of our investments is defined as the price that we would receive upon selling an investment in an orderly transaction to an independent buyer in the principal or most advantageous market in which that investment is transacted. ASC 820 classifies the inputs used to measure these fair values into the following hierarchy: Level 1: Quoted prices in active markets for identical assets or liabilities, accessible by us at the measurement date. Level 2: Quoted prices for similar assets or liabilities in active markets, or quoted prices for identical or similar assets or liabilities in markets that are not active, or other observable inputs other than quoted prices, including valuations derived from observable market data such as interest rate curves, forward curves, foreign exchange rates, and credit spreads. Level 3: Unobservable inputs for the asset or liability. In all cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls has been determined based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to each investment. Our Board of Directors has established procedures for the valuation of our investment portfolio. These procedures are detailed below. Investments for which market quotations are readily available are valued at such market quotations, subject to the quotations meeting sufficient volume and liquidity metrics. 190 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) For most of our investments, market quotations are not available. With respect to investments for which market quotations are not readily available or when such market quotations are deemed not to represent fair value, due to factors such as volume and frequency of price quotes, our Board of Directors has approved a multi-step valuation process each quarter, as described below. 1.Each portfolio company or investment is reviewed by our investment professionals with independent valuation firms engaged by our Board of Directors. 2.The independent valuation firms prepare independent valuations for each investment based on their own independent assessments and issue their report. 3.The Audit Committee of our Board of Directors reviews and discusses with the independent valuation firms the valuation reports, and then makes a recommendation to the Board of Directors of the value for each investment. 4.The Board of Directors discusses valuations and determines the fair value of each investment in our portfolio in good faith based on the input of the Investment Adviser, the respective independent valuation firm and the Audit Committee. Our non-CLO investments that are classified as Level 3 are primarily valued utilizing a discounted cash flow, enterprise value (“EV”) waterfall, asset recovery analysis, deficiency claims analysis, or an option pricing model. The discounted cash flow converts future cash flows or earnings to a range of fair values from which a single estimate may be derived utilizing an appropriate discount rate. The fair value measurement is based on the net present value indicated by current market expectations about those future amounts. Under the EV waterfall, the EV of a portfolio company is first determined and allocated over the portfolio company’s securities in order of their preference relative to one another (i.e., “waterfall” allocation). To determine the EV, we typically use a market (multiples) valuation approach that considers relevant and applicable market trading data of guideline public companies, transaction metrics from precedent merger and acquisitions transactions, and/or a discounted cash flow. The asset recovery analysis is intended to approximate the net recovery value of an investment based on, among other things, assumptions regarding liquidation proceeds based on a hypothetical liquidation of a portfolio company’s assets. The deficiency claim analysis approximates the potential recoveries from claims after liquidation. The option pricing model considers the optionality of certain equity positions when there is a limitation to exit or effectuate a sale. The model utilizes the underlying price, the strike or exercise price, interest rate, volatility, and time to expiration date. In applying these methodologies, additional factors that we consider in valuing our investments may include, as we deem relevant: security covenants, call protection provisions, and information rights; the nature and realizable value of any collateral; the portfolio company’s ability to make payments; the principal markets in which the portfolio company does business; publicly available financial ratios of peer companies; the principal market; and enterprise values, among other factors. Our investments in CLOs are classified as Level 3 fair value measured securities under ASC 820 and are valued using a discounted multi-path cash flow model. The CLO structures are analyzed to identify the risk exposures and to determine an appropriate call date (i.e., expected maturity). These risk factors are sensitized in the multi-path cash flow model using Monte Carlo simulations, which is a simulation used to model the probability of different outcomes, to generate probability-weighted (i.e., multi-path) cash flows from the underlying assets and liabilities. These cash flows are discounted using appropriate market discount rates, and relevant data in the CLO market as well as certain benchmark credit indices are considered, to determine the value of each CLO investment. In addition, we generate a single-path cash flow utilizing our best estimate of expected cash receipts, and assess the reasonableness of the implied discount rate that would be effective for the value derived from the multi-path cash flows. We are not responsible for and have no influence over the asset management of the portfolios underlying the CLO investments we hold, as those portfolios are managed by non-affiliated third-party CLO collateral managers. The main risk factors are default risk, prepayment risk, interest rate risk, downgrade risk, and credit spread risk. Convertible Notes Our previously outstanding 6.375% convertible notes due 2025, which matured during the fiscal year ended June 30, 2025, are referred to as the “2025 Notes” or the “Convertible Notes”. We recorded the Convertible Notes at their contractual amounts and at issuance, we determined that the embedded conversion options in the Convertible Notes are not required to be separately accounted for as a derivative under ASC 815, Derivatives and Hedging. The Convertible Notes were repaid at maturity on March 3, 2025. See Note 5 for activity recorded during the year ended June 30, 2025. Revenue Recognition Interest income, adjusted for amortization of premium and accretion of discount, is recorded on an accrual basis. Original issue discounts and market discounts are capitalized and accreted into interest income over the respective terms of the applicable 191 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) loans using the effective interest method or straight-line, as applicable, and adjusted only for material amendments or prepayments. Upon a prepayment of a loan, prepayment premiums, original issue discount, or market discounts are recorded as interest income. Loans are placed on non-accrual status when there is reasonable doubt that principal or interest will be collected. Unpaid accrued interest is generally reversed when a loan is placed on non-accrual status. Interest payments received on non-accrual loans are either applied to the cost basis or interest income, depending upon management’s judgment of the collectability of the loan receivable. Non-accrual loans are restored to accrual status when past due principal and interest is paid and in management’s judgment, is likely to remain current and future principal and interest collections when due are probable. Interest received and applied against cost while a loan is on non-accrual, and payment-in-kind (“PIK”) interest capitalized but not recognized while on non-accrual, is recognized prospectively on the effective yield basis through maturity of the loan when placed back on accrual status, to the extent deemed collectible by management. As of June 30, 2026 and June 30, 2025, approximately 0.7% and 0.3%, respectively, of our total assets at fair value are in non-accrual status. Some of our loans and other investments may have contractual PIK interest or dividends. PIK income computed at the contractual rate is accrued into income and reflected as receivable up to the capitalization date. PIK investments offer issuers the option at each payment date of making payments in cash or in additional securities. When additional securities are received, they typically have the same terms, including maturity dates and interest rates as the original securities issued. On these payment dates, we capitalize the accrued interest (reflecting such amounts in the basis as additional securities received). PIK generally becomes due at maturity of the investment or upon the investment being called by the issuer. At the point that we believe PIK is not fully expected to be realized, the PIK investment will be placed on non-accrual status. When a PIK investment is placed on non-accrual status, the accrued, uncapitalized interest or dividends are reversed from the related receivable through interest or dividend income, respectively. We do not reverse previously capitalized PIK interest or dividends. Upon capitalization, PIK is subject to the fair value estimates associated with their related investments. PIK investments on non-accrual status are restored to accrual status if we believe that PIK is expected to be realized. Interest income from investments in Subordinated Structured Notes (typically preferred shares, income notes or subordinated notes of CLO funds) and “equity” class of security of securitized trust is recorded based upon an estimation of an effective yield to expected maturity utilizing assumed cash flows in accordance with ASC 325-40, Beneficial Interests in Securitized Financial Assets. We monitor the expected cash inflows from our CLO and securitized trust equity investments, including the expected residual payments, and the effective yield is determined and updated periodically. We recognize realized losses for certain CLO equity investments when we determine that a CLO’s expected remaining cash flows do not exceed amortized cost basis. In such situations, the amortized cost basis of the CLO is written down and recognized as a realized loss. Dividend income is recorded on the ex-dividend date. Each distribution received from limited liability company (“LLC”) and limited partnership (“LP”) investments is evaluated to determine if the distribution should be recorded as dividend income or a return of capital. Generally, the Company will not record distributions from equity investments in LLCs and LPs as dividend income unless there are sufficient current or accumulated tax-basis earnings and profits in the LLC or LP prior to the distribution. Distributions that are classified as a return of capital are recorded as a reduction in the cost basis of the investment. Other income consists of structuring fees, amendment fees, overriding royalty interests, receipts related to net profit and revenue interests, deal deposits, administrative agent fees, and other miscellaneous receipts, which are recognized as revenue when received. Structuring fees and certain other amendment or advisory fees are considered fees in exchange for the provision of certain services and are subject to the provisions of ASC Topic 606, Revenue from Contracts with Customers (“ASC 606”). All other types of income are derived from lending or equity investments, which is recognized in accordance with ASC 310-20, Nonrefundable Fees and Other Costs. See Note 10. Other Income. Realized gains or losses on the sale of investments are calculated using the specific identification method. Refer to Investment Transactions above. 192 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Federal and State Income Taxes We have elected to be treated as a RIC and intend to continue to comply with the requirements of the Code applicable to RICs. We are required to distribute at least 90% of our investment company taxable income and intend to distribute (or retain through a deemed distribution) all of our investment company taxable income and net capital gain to stockholders; therefore, we have made no provision for income taxes. The character of income and gains that we will distribute is determined in accordance with income tax regulations that may differ from GAAP. Book and tax basis differences relating to stockholder dividends and distributions and other permanent book and tax differences are reclassified to paid-in capital. If we do not distribute (or are not deemed to have distributed) at least 98% of our annual ordinary income and 98.2% of our capital gains in the calendar year earned, we will generally be required to pay an excise tax equal to 4% of the amount by which 98% of our annual ordinary income and 98.2% of our capital gains exceed the distributions from such taxable income for the year. To the extent that we determine that our estimated current year annual taxable income will be in excess of estimated current year dividend distributions from such taxable income, we accrue excise taxes, if any, on estimated excess taxable income. As of June 30, 2026, we do not expect to have any excise tax due for the 2026 calendar year. Thus, we have not accrued any excise tax for the year ended June 30, 2026. If we fail to satisfy the annual distribution requirement or otherwise fail to qualify as a RIC in any taxable year, we would be subject to tax on all of our taxable income at regular corporate income tax rates. We would not be able to deduct distributions to stockholders, nor would we be required to make distributions. Distributions would generally be taxable to our individual and other non-corporate taxable stockholders as ordinary dividend income eligible for the reduced maximum rate applicable to qualified dividend income to the extent of our current and accumulated earnings and profits, provided certain holding period and other requirements are met. Subject to certain limitations under the Code, corporate distributions would be eligible for the dividends-received deduction. To qualify again to be taxed as a RIC in a subsequent year, we would be required to distribute to our stockholders our accumulated earnings and profits attributable to non-RIC years. In addition, if we failed to qualify as a RIC for a period greater than two taxable years, then, in order to qualify as a RIC in a subsequent year, we would be required to elect to recognize and pay tax on any net built-in gain (the excess of aggregate gain, including items of income, over aggregate loss that would have been realized if we had been liquidated) or, alternatively, be subject to taxation on such built-in gain recognized for a period of five years. We follow ASC 740, Income Taxes (“ASC 740”). ASC 740 provides guidance for how uncertain tax positions should be recognized, measured, presented, and disclosed in the consolidated financial statements. ASC 740 requires the evaluation of tax positions taken or expected to be taken in the course of preparing our tax returns to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold are recorded as a tax benefit or expense in the current year. As of June 30, 2026, we did not record any unrecognized tax benefits or liabilities. Management’s determinations regarding ASC 740 may be subject to review and adjustment at a later date based upon factors including, but not limited to, an on-going analysis of tax laws, regulations, and interpretations thereof. Although we file both federal and state income tax returns, our major tax jurisdiction is federal. Our federal tax returns for the tax years ended August 31, 2023 and thereafter remain subject to examination by the Internal Revenue Service. Taxable Subsidiaries Certain of our consolidated subsidiaries are subject to U.S. federal and state corporate-level income taxes. As of June 30, 2026, and June 30, 2025, no net tax benefit or expense was recorded since they did not result in a material provision for income taxes. As of June 30, 2026, and June 30, 2025, the net deferred tax asset or liability was not material to the financial statements after taking into account valuation allowances. Dividends and Distributions to Common Shareholders Dividends and distributions to common stockholders are recorded on the ex-dividend date. The amount, if any, to be paid as a monthly dividend or distribution is approved by our Board of Directors quarterly and is generally based upon our management’s estimate of our future taxable earnings. Net realized capital gains, if any, are distributed at least annually. Our distributions may exceed our earnings, and therefore, portions of the distributions that we make may be a return of the money originally invested and represent a return of capital distribution to shareholders for tax purposes. 193 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Financing Costs We record origination expenses related to our Revolving Credit Facility as deferred financing costs. These expenses are deferred and amortized as part of interest expense using the straight-line method over the stated life of the obligation for our Revolving Credit Facility. Debt issuance costs and origination discounts related to our Convertible Notes, 3.364% 2026 Notes, and 3.437% 2028 Notes are presented net against the outstanding principal of the respective instrument and amortized as part of interest expense using the effective interest method over the stated life of the respective instrument. Debt issuance costs and origination discounts related to our 5.50% 2030 Notes (collectively, with our 3.364% 2026 Notes and 3.437% 2028 Notes, our “Public Notes”) and Prospect Capital InterNotes® (collectively, with our Public Notes, our “Unsecured Notes”) are net against the outstanding principal amount of our 5.50% 2030 Notes and Prospect Capital InterNotes®, respectively, and are amortized as part of interest expense using the straight-line method over the stated maturity of the respective note. In the event that we modify or extinguish our debt before maturity, we follow the guidance in ASC 470-50, Modification and Extinguishments (“ASC 470-50”). For modifications to or exchanges of our Revolving Credit Facility, any unamortized deferred costs relating to lenders who are not part of the new lending group are expensed. For extinguishments of our Unsecured Notes, any unamortized deferred costs are deducted from the carrying amount of the debt in determining the gain or loss from the extinguishment. Unamortized deferred financing costs are presented as a direct deduction to the respective Unsecured Notes (see Notes 5, 6, and 7). We may record registration expenses related to shelf filings as prepaid expenses. These expenses consist principally of the Securities and Exchange Commission (“SEC”) or Israeli Securities Authority (“ISA”) registration fees, legal fees and accounting fees incurred. These prepaid expenses are charged to capital upon the receipt of proceeds from an equity offering or reclassified to deferred debt issuance costs upon the receipt of proceeds from a debt offering and are presented and amortized in accordance with the above policy. The prepaid expenses are charged to expense if no offering is completed. As of June 30, 2026 and June 30, 2025, there are no prepaid expenses related to registration expenses and all amounts incurred have been expensed. Per Share Information In accordance with ASC 946, senior equity securities, such as preferred stock, are not considered in the calculation of net asset value per common share. Net asset value per common share also excludes the effects of assumed conversion of outstanding convertible securities, regardless of whether their conversion would have a diluting effect. Therefore, our net asset value is presented on the basis of per common share outstanding as of the applicable period end. We compute earnings per common share in accordance with ASC 260, Earnings Per Share (“ASC 260”). Basic earnings per common share is calculated by dividing the net increase (decrease) in net assets resulting from operations applicable to common stockholders by the weighted average number of shares of common stock outstanding. Diluted earnings per share gives effect to all dilutive potential common shares outstanding using the if-converted method for our Convertible Preferred Stock and, prior to our full redemption of the 2025 Notes on March 3, 2025, our Convertible Notes (together, “convertible instruments”). Diluted earnings per share excludes all dilutive potential common shares if their effect is anti-dilutive. 194 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Preferred Stock In accordance with ASC 480-10-S99-3A, the Company’s Preferred Stock (as defined in “Note 9. Equity Offerings, Offering Expenses, and Distributions”) has been classified in temporary equity on the Consolidated Statement of Assets and Liabilities. Beginning with the period ended September 30, 2021, limitations on our ability to exercise our Issuer Optional Conversion on the 5.50% Preferred Stock and 6.50% Preferred Stock (each, as defined below) created the possibility of redemption outside of the Company’s control if dividends on the Preferred Stock have accumulated and been unpaid for a period of two years. The 5.50% Preferred Stock, 6.50% Preferred Stock and 5.35% Series A Preferred Stock issued as temporary equity is recorded net of offering costs and issuance costs due to this possibility. The 5.50% Preferred Stock issued prior to the issuance of our 5.35% Series A Preferred Stock has a carrying value on our Consolidated Statement of Assets and Liabilities equal to liquidation value per share. The Floating Rate Preferred Stock and 7.50% Preferred Stock (each, as defined below) are redeemable at the election of the holder at any time and is probable of redemption outside of the Company’s control. In accordance with ASC 480-10-S99-3A, the Floating Rate Preferred Stock and 7.50% Preferred Stock are accreted to redemption value within temporary equity upon issuance. Accretion to redemption value is treated as an adjustment to net increase (decrease) in net assets resulting from operations applicable to common stockholders on our Consolidated Statement of Operations. Accrued and unpaid dividends relating to the Preferred Stock are included in the preferred stock carrying value on the Consolidated Statement of Assets and Liabilities. Dividends declared on the Preferred Stock are included in preferred stock dividends on the Consolidated Statement of Operations. Segment Reporting In accordance with ASC Topic 280 - Segment Reporting (“ASC 280”), the Company has determined that it has a single operating and reporting segment. As a result, the Company’s segment accounting policies are the same as described herein and the Company does not have any intra-segment sales and transfers of assets. Derivative Instruments The Company follows the guidance in ASC Topic 815 - Derivatives and Hedging (“ASC Topic 815”) when accounting for derivative instruments. The Company may enter into derivative instruments, primarily foreign currency forward contracts, to manage its exposure to foreign currency exchange rate risk associated with certain financing arrangements, including the 5.50% 2030 Notes. Derivative instruments are recognized as assets or liabilities at fair value in the Consolidated Statement of Assets and Liabilities. The Company designates certain foreign currency forward contracts as cash flow hedges, which hedge the foreign currency exchange rate risk associated with forecasted interest payments on the 5.50% 2030 Notes, which are payable in Israeli Shekel. For qualifying cash flow hedges, the change in fair value of the hedging instrument included in the assessment of hedge effectiveness is recorded in other comprehensive income (loss) (“OCI”) and is reclassified into earnings in the same Consolidated Statement of Operations line item as the hedged item, when the hedged cash flows affect earnings. This will occur when interest payments are made and when the principal of the loan is fully repaid. The Company designates a certain foreign currency forward contract as fair value hedge of the foreign currency exchange rate risk associated with the principal of the 5.50% 2030 Notes. For this hedge, the Company has elected to apply the spot method (as defined within ASC Topic 815), whereby changes in the fair value of the forward contracts attributable to spot rate changes are included in the assessment of hedge effectiveness. The related gains and losses are recognized in earnings in the same Consolidated Statement of Operations line item as the earnings effect of the hedged item, which is net change in unrealized gains (losses) from derivative instruments and foreign currency transactions. The Company excludes forward points, the spot-forward difference, from the hedge effectiveness assessment. Forward points are recognized in earnings on a systematic basis over the term of the hedge, with any remaining change in the fair value of forward points recorded in OCI. Amounts recognized in earnings are presented in the same Consolidated Statement of Operations line item as the hedged item, which is net realized gains (losses) from derivative instruments and foreign currency transactions. Although the Company has the ability to offset derivative assets and liabilities that may be received or paid as part of collateral arrangements in the Consolidated Statement of Assets and Liabilities in accordance with the applicable offsetting guidance, the Company has elected not to offset and therefore presents derivative assets and derivative liabilities on a gross basis. The Company also does not offset the fair value of derivative instruments against cash collateral posted or received. 195 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Recent Accounting Pronouncements The Company considers the applicability and impact of all accounting standard updates (“ASU”) issued by the Financial Accounting Standards Board (the “FASB”). ASUs not listed were assessed by the Company and either determined to be not applicable or expected to have minimal impact on its consolidated financial statements. In November 2025, the FASB issued ASU No. 2025-09, “Derivatives and Hedging (Topic 815): Hedge Accounting Improvements” (“ASU 2025-09”), which clarifies certain aspects of the hedge accounting guidance and addresses incremental hedge accounting issues arising from the global reference rate reform initiative, with the objective of more closely aligning hedge accounting with the economics of an entity’s risk management activities. ASU 2025-09 is effective for public business entities for annual reporting periods beginning after December 15, 2026, and interim reporting periods within those annual reporting periods, and is to be applied on a prospective basis. The Company will adopt ASU 2025-09 as of September 30, 2027, and the application of this guidance is not expected to have a material impact on its consolidated financial statements. In December 2023, the FASB issued ASU No. 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”),” which intends to improve the transparency of income tax disclosures. ASU No. 2023-09 is effective for fiscal years beginning after December 15, 2024 and is to be adopted on a prospective basis with the option to apply retrospectively. The Company adopted ASU 2023-09 during the year ended June 30, 2026 and concluded that the application of this guidance did not have a material impact on its consolidated financial statements. Note 3. Portfolio Investments As of June 30, 2026, we had investments in 91 portfolio companies and other portfolio investments, which had an amortized cost of $6,315,369 and a fair value of $6,342,558. As of June 30, 2025, we had investments in 97 portfolio companies, which had an amortized cost of $6,693,501 and a fair value of $6,673,516. The original cost basis of debt and equity securities acquired, including follow-on investments for existing portfolio companies, payment-in-kind interest, and structuring fees, totaled $453,597 and $892,598 during the years ended June 30, 2026 and June 30, 2025, respectively. Debt repayments and considerations from sales of equity securities of approximately $581,994 and $1,302,673 were received during the years ended June 30, 2026 and June 30, 2025, respectively. Throughout the remainder of this footnote, we aggregate our portfolio investments by type of investment, which may differ slightly from the nomenclature used by the constituent instruments defining the rights of holders of the investment, as disclosed on our Consolidated Schedules of Investments (“SOI”). The following investments are included in each category: •First Lien Revolving Line of Credit includes our debt investments in first lien revolvers as well as our debt investments in delayed draw term loans. •First Lien Debt includes our debt investments listed on the SOI such as first lien term loans (including “unitranche” loans, which are loans that combine both senior and subordinated debt and “last out” loans which are loans that have a secondary payment priority behind “first out” first-lien loans). •Second Lien Revolving Line of Credit includes our debt investments in second lien revolvers as well as our debt investments in delayed draw term loans. •Second Lien Debt includes our debt investments listed on the SOI as second lien term loans. •Unsecured Debt includes our debt investments listed on the SOI as unsecured. •Subordinated Structured Notes includes our investments in the “equity” security class of CLO funds such as income notes, preference shares, and subordinated notes. •Equity, unless specifically stated otherwise, includes our investments in preferred stock, common stock, membership interests, net profits interests, net operating income interests, net revenue interests, overriding royalty interests, escrows receivable, and warrants. 196 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) The following table shows the composition of our investment portfolio as of June 30, 2026 and June 30, 2025: June 30, 2026 June 30, 2025 Cost Fair Value Cost Fair Value First Lien Revolving Line of Credit $ 78,795 $ 72,378 $ 83,721 $ 81,551 First Lien Debt(1) 4,494,789 4,216,556 4,636,795 4,381,227 Second Lien Revolving Line of Credit 1,854 1,854 — — Second Lien Debt 752,658 577,354 965,712 765,806 Unsecured Debt 7,200 5,195 7,200 5,403 Subordinated Structured Notes 2,108 2,794 37,840 35,002 Equity 977,965 1,466,427 962,233 1,404,527 Total Investments $ 6,315,369 $ 6,342,558 $ 6,693,501 $ 6,673,516 (1) First lien debt includes loans that the Company classifies as “unitranche” and loans classified as “first lien last out”. The total amortized cost and fair value of the unitranche and/or last out loans were $219,582 and $155,717, respectively, as of June 30, 2026. The total amortized cost and fair value of the unitranche and/or last out loans were $201,585 and $166,464, respectively, as of June 30, 2025. The following table shows the fair value of our investments and derivative instruments disaggregated into the three levels of the ASC 820 valuation hierarchy as of June 30, 2026: Level 1 Level 2 Level 3 Total First Lien Revolving Line of Credit $ — $ — $ 72,378 $ 72,378 First Lien Debt(1) — 1,192 4,215,364 4,216,556 Second Lien Revolving Line of Credit — — 1,854 1,854 Second Lien Debt — 41 577,313 577,354 Unsecured Debt — — 5,195 5,195 Subordinated Structured Notes — — 2,794 2,794 Equity — — 1,466,427 1,466,427 Total Investments $ — $ 1,233 $ 6,341,325 $ 6,342,558 Derivative Instruments(2) Foreign currency forward contracts - Assets $ — $ 18,900 $ — $ 18,900 Total Foreign currency forward contracts - Assets $ — $ 18,900 $ — $ 18,900 Foreign currency forward contracts - Liabilities $ — $ — $ — $ — Total Foreign currency forward contracts - Liabilities $ — $ — $ — $ — (1) First lien debt includes loans that the Company classifies as “unitranche”. The total amortized cost and fair value of the unitranche loan was $219,582 and $155,717, respectively, as of June 30, 2026. (2) All foreign currency forward contracts are designated in hedge relationships. 197 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) The following table shows the fair value of our investments disaggregated into the three levels of the ASC 820 valuation hierarchy as of June 30, 2025. There were no derivative instruments held as of June 30, 2025. Level 1 Level 2 Level 3 Total First Lien Revolving Line of Credit $ — $ — $ 81,551 $ 81,551 First Lien Debt(1) — 42,651 4,338,576 4,381,227 Second Lien Revolving Line of Credit — — — — Second Lien Debt — 39,434 726,372 765,806 Unsecured Debt — — 5,403 5,403 Subordinated Structured Notes — — 35,002 35,002 Equity — — 1,404,527 1,404,527 Total Investments $ — $ 82,085 $ 6,591,431 $ 6,673,516 (1) First lien debt includes loans that the Company classifies as “unitranche” and a loan classified as “first lien last out”. The total amortized cost and fair value of the unitranche and/or last out loans were $201,585 and $166,464, respectively, as of June 30, 2025. The following tables show the aggregate changes in the fair value of our Level 3 investments during the year ended June 30, 2026: First Lien Revolving Line of Credit First Lien Debt(2) Second Lien Revolving Line of Credit Second Lien Debt Unsecured Debt Subordinated Structured Notes Equity Total Fair value as of June 30, 2025 $ 81,551 $ 4,338,576 $ — $ 726,372 $ 5,403 $ 35,002 $ 1,404,527 $ 6,591,431 Net realized (losses) gains on investments — (65,745) — (102,859) 19 (5,484) (50,226) (224,295) Net change in unrealized (losses) gains (5,403) 9,598 — 64,933 (208) 3,526 46,167 118,613 Net realized and unrealized (losses) gains (5,403) (56,147) — (37,926) (189) (1,958) (4,059) (105,682) Purchases of portfolio investments 33,949 259,719 5,229 8,359 — — 58,803 366,059 Payment-in-kind interest 2,849 57,164 — 5,790 — — 10,011 75,814 Accretion of discounts and premiums, net (12) 6,335 — 459 — — — 6,782 Decrease to Subordinated Structured Notes cost, net(3) — — — — — (29,611) — (29,611) Repayments and sales of portfolio investments (27,353) (443,442) — (66,969) (19) (639) (5,355) (543,777) Transfers within Level 3(1) (13,203) 31,203 (3,375) (17,125) — — 2,500 — Transfers out of Level 3(1) — — — (48,947) — — — (48,947) Transfers into Level 3(1) — 21,956 — 7,300 — — — 29,256 Fair value as of June 30, 2026 $ 72,378 $ 4,215,364 $ 1,854 $ 577,313 $ 5,195 $ 2,794 $ 1,466,427 $ 6,341,325 (1)Transfers are assumed to have occurred at the beginning of the quarter during which the asset was transferred. During the year ended June 30, 2026, three of our first lien notes and one of our second lien notes transferred out of Level 3 to Level 2 because inputs to the valuation became observable. During the year ended June 30, 2026, two of our first lien notes transferred out of Level 2 to Level 3 because inputs to the valuation became unobservable. During the year ended June 30, 2026, one of our second lien notes transferred to two first lien loans and three equity positions. In addition, one of our second lien revolving line of credit loans transferred to one second lien loan and two of our first lien revolving line of credit loans transferred to two of our first lien loans. (2) First lien debt includes loans that the Company classifies as “unitranche” and a loan classified as “first lien last out”. The total amortized cost and fair value of the unitranche and/or last out loans were $219,582 and $155,717, respectively, as of June 30, 2026. The total amortized cost and fair value of the unitranche and/or last out loans were $201,585 and $166,464, respectively, as of June 30, 2025. (3) Reduction to cost value of our Subordinated Structured Notes investments represents the difference between distributions received, or entitled to be received, for the year ended June 30, 2026, of $29,611 and the effective yield interest income recognized on our Subordinated Structured Notes of $0. The following tables show the aggregate changes in the fair value of our Level 3 investments during the year ended June 30, 2025: 198 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) First Lien Revolving Line of Credit First Lien Debt(2) Second Lien Revolving Line of Credit Second Lien Debt Unsecured Debt Subordinated Structured Notes Equity Total Fair value as of June 30, 2024 $ 86,544 $ 4,519,816 $ 4,987 $ 1,038,882 $ 7,200 $ 531,690 $ 1,479,473 $ 7,668,592 Net realized (losses) gains on investments — (9,258) — (81,838) 12 (432,592) 4,361 (519,315) Net change in unrealized (losses) gains (1,125) (134,545) 160 (20,233) (1,797) 89,170 (219,225) (287,595) Net realized and unrealized (losses) gains (1,125) (143,803) 160 (102,071) (1,785) (343,422) (214,864) (806,910) Purchases of portfolio investments(3) 57,591 578,939 (5,147) 55,694 — — 109,282 796,359 Payment-in-kind interest 2,778 89,671 — 2,187 — — — 94,636 Accretion of discounts and premiums, net 56 5,511 — 1,253 — — — 6,820 Decrease to Subordinated Structured Notes cost, net(4) — — — — — (77,660) — (77,660) Repayments and sales of portfolio investments(3) (15,538) (701,471) — (227,569) (12) (75,606) (6,224) (1,026,420) Transfers within Level 3(1)(3) (48,755) 10,706 — 1,189 — — 36,860 — Transfers out of Level 3(1) — (147,000) — (43,193) — — — (190,193) Transfers into Level 3(1) — 126,207 — — — — — 126,207 Fair value as of June 30, 2025 $ 81,551 $ 4,338,576 $ — $ 726,372 $ 5,403 $ 35,002 $ 1,404,527 $ 6,591,431 (1) Transfers are assumed to have occurred at the beginning of the quarter during which the asset was transferred. During the year ended June 30, 2025, two of our first lien notes and two of our second lien notes transferred out of Level 3 to Level 2 because inputs to the valuation became observable. During the year ended June 30, 2025, one of our first lien notes transferred out of Level 2 to Level 3 because inputs to the valuation became unobservable. (2) First lien debt includes a loan that the Company classifies as “unitranche” and a loan classified as “first lien last out.” The total amortized cost and fair value of the unitranche and/or last out loans were $201,585 and $166,464, respectively, as of June 30, 2025. The total amortized cost and fair value of the unitranche and/or last out loans were $22,359 and $22,413, respectively, as of June 30, 2024. (3)Includes reorganizations and restructuring of investments. (4) Reduction to cost value of our Subordinated Structured Notes investments represents the difference between distributions received, or entitled to be received, for the year ended June 30, 2025, of $84,604 and the effective yield interest income recognized on our Subordinated Structured Notes of $14,017. For the years ended June 30, 2026 and June 30, 2025, respectively the net change in unrealized (losses) gains on the investments that use Level 3 inputs was $85,896 and $(429,221) for investments still held as of June 30, 2026 and June 30, 2025, respectively. The following table shows industries that comprise of greater than 10% of our portfolio at fair value as of June 30, 2026 and June 30, 2025: June 30, 2026 June 30, 2025 Cost Fair Value % of Portfolio Cost Fair Value % of Portfolio Consumer Finance $ 760,592 $ 1,149,153 18.1 % $ 741,932 $ 953,320 14.3 % Equity Real Estate Investment Trusts (REITs) 896,889 1,081,596 17.1 % 922,647 1,300,972 19.5 % Health Care Providers & Services 776,917 758,688 12.0 % 767,993 731,527 11.0 % All Other Industries 3,880,971 3,353,121 52.8 % 4,260,929 3,687,697 55.2 % Total $ 6,315,369 $ 6,342,558 100.0 % $ 6,693,501 $ 6,673,516 100.0 % As of June 30, 2026, portfolio investments located in Mississippi comprised 15.1% of our portfolio at fair value, with a cost of $491,410 and a fair value of $960,778 while portfolio investments located in California comprised 12.7% of our portfolio at fair value, with a cost of $1,123,855 and a fair value of $805,665. As of June 30, 2025, portfolio investments located in California comprised 11.9% of our portfolio at fair value, with a cost of $1,083,513 and a fair value of $794,097 while portfolio investments located in Mississippi comprised 11.4% of our investments at fair value, with a cost of $483,318 and a fair value of $760,518. 199 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) The ranges of unobservable inputs used in the fair value measurement of our Level 3 investments as of June 30, 2026 were as follows: Unobservable Input Asset Category Fair Value Primary Valuation Approach or Technique Input Range Weighted Average (3) First Lien Debt $ 1,387,300 Discounted cash flow (Yield analysis) Market yield 8.0% to 24.0% 12.0% First Lien Debt 876,859 Discounted cash flow Discount Rate 6.5% to 10.5% 7.3% Terminal Cap Rate 5.5% to 8.3% 6.1% First Lien Debt 655,124 Enterprise value waterfall (Market approach) EBITDA multiple 5.3x to 12.5x 9.7x Enterprise value waterfall (Discounted cash flow) Discount rate 11.3% to 16.0% 13.3% First Lien Debt 506,062 Enterprise value waterfall (Market approach) EBITDA multiple 4.8x to 10.0x 8.4x First Lien Debt 460,264 Enterprise value waterfall (Market approach) Tangible book value multiple 3.5x to 4.0x 4.0x Earnings multiple 8.8x to 13.3x 13.3x First Lien Debt 307,175 Enterprise value waterfall (Market approach) Revenue multiple 0.3x to 3.0x 1.5x First Lien Debt 56,537 Enterprise value waterfall (Market approach) Tangible book value multiple 0.9x to 1.6x 1.3x First Lien Debt 18,034 Discounted cash flow (Yield analysis) Market yield 13.1% to 13.1% 13.1% Option Pricing Model Expected volatility 50.0% to 60.0% 60.0% First Lien Debt 11,012 Enterprise value waterfall (Discounted cash flow) Discount rate 10.0% to 20.0% 15.0% First Lien Debt 9,375 Enterprise value waterfall (Market approach) Revenue multiple 1.1x to 1.5x 1.5x Enterprise value waterfall (Discounted cash flow) Discount rate 18.3% to 20.3% 18.3% Second Lien Debt 480,118 Discounted cash flow (Yield analysis) Market yield 11.4% to 57.7% 17.0% Second Lien Debt 61,802 Enterprise value waterfall (Market approach) EBITDA multiple 6.3x to 7.3x 7.3x Second Lien Debt 21,402 Enterprise value waterfall (Market approach) EBITDA multiple 9.3x to 9.8x 9.5x Discounted cash flow (Yield analysis) Equity rates of return 25.0% to 30.0% 25.0% Second Lien Debt 8,429 Enterprise value waterfall (Market approach) EBITDA multiple 5.3x to 8.0x 6.6x Enterprise value waterfall (Discounted cash flow) Discount rate 11.3% to 13.3% 12.3% Second Lien Debt 7,416 Asset recovery analysis Recoverable amount n/a n/a Subordinated Structured Notes 2,794 Discounted cash flow Discount rate (1) 13.8% to 13.9% 13.9% Unsecured Debt 5,195 Enterprise value waterfall (Market approach) EBITDA multiple 5.3x to 6.8x 6.8x Preferred Equity 158,791 Enterprise value waterfall (Market approach) EBITDA multiple 3.5x to 10.0x 8.7x Preferred Equity 35,496 Option Pricing Model Expected volatility 55.0% to 70.0% 66.9% Enterprise value waterfall (Market approach) EBITDA multiple 6.0x to 7.5x 7.2x Liquidation Trust 12,264 Deficiency claim analysis Recoverable amount n/a n/a Common Equity/Interests/Warrants 503,988 Enterprise value waterfall (Market approach) EBITDA multiple 4.5x to 11.3x 8.1x Common Equity/Interests/Warrants 500,514 Enterprise value waterfall (Market approach) Tangible book value multiple 3.5x to 4.0x 4.0x Earnings multiple 8.8x to 13.3x 13.3x 200 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Unobservable Input Asset Category Fair Value Primary Valuation Approach or Technique Input Range Weighted Average (3) Common Equity/Interests/Warrants 187,771 Discounted cash flow Discount rate 6.5% to 10.5% 7.3% Terminal Cap Rate 5.5% to 8.3% 6.1% Common Equity/Interests/Warrants 20,720 Enterprise value waterfall (Discounted cash flow) Discount rate 10.0% to 20.0% 15.0% Common Equity/Interests/Warrants (2) 16,966 Discounted cash flow Discount rate 6.5% to 10.5% 7.3% Terminal Cap Rate 5.5% to 8.3% 6.1% Common Equity/Interests/Warrants 14,710 Enterprise value waterfall (Market Approach) EBITDA multiple 5.8x to 12.5x 6.8x Enterprise value waterfall (Discounted cash flow) Discount rate 12.3% to 16.0% 15.0% Common Equity/Interests/Warrants 12,077 Asset recovery analysis Recoverable amount n/a n/a Common Equity/Interests/Warrants 3,128 Enterprise value waterfall (Market approach) Revenue multiple 0.4x to 3.0x 3.0x Common Equity/Interests/Warrants 2 Discounted cash flow Discount rate 21.5% to 22.5% 21.5% Total Level 3 Investments $ 6,341,325 (1)Represents the implied discount rate based on our internally generated single-cash flow model that is derived from the fair value estimated by the corresponding multi-path cash flow model utilized by the independent valuation firm. (2)Represents Residual Profit Interests in Real Estate Investments. (3)The weighted average information is generally derived by assigning each disclosed unobservable input a proportionate weight based on the fair value of the related investment. 201 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) The ranges of unobservable inputs used in the fair value measurement of our Level 3 investments as of June 30, 2025 were as follows: Unobservable Input Asset Category Fair Value Primary Valuation Approach or Technique Input Range Weighted Average (4) First Lien Debt $ 1,605,991 Discounted cash flow (Yield analysis) Market yield 7.8% to 28.9% 11.8% First Lien Debt 902,617 Discounted cash flow Discount Rate 6.5% to 10.3% 7.3% Terminal Cap Rate 5.3% to 8.3% 6.0% First Lien Debt 630,095 Enterprise value waterfall (Market approach) EBITDA multiple 4.8x to 12.8x 10.6x Enterprise value waterfall (Discounted cash flow) Discount rate 14.5% to 38.8% 17.2% First Lien Debt 452,172 Enterprise value waterfall (Market approach) Tangible book value multiple 3.0x to 3.5x 3.5x Earnings multiple 8.0x to 12.5x 12.5x First Lien Debt 351,480 Enterprise value waterfall (Market approach) EBITDA multiple 5.0x to 11.5x 9.8x First Lien Debt 236,073 Enterprise value waterfall (Market approach) Revenue multiple 0.3x to 2.0x 1.7x First Lien Debt 78,736 Enterprise value waterfall (Market approach) Tangible book value multiple 1.4x to 2.2x 2.2x First Lien Debt 54,739 Enterprise value waterfall (Discounted cash flow) Discount rate 6.0% to 8.0% 6.0% Enterprise value waterfall Indicative bid estimate n/a n/a First Lien Debt 49,114 Enterprise value waterfall (Market approach) Revenue multiple 0.4x to 1.6x 0.9x Enterprise value waterfall (Discounted cash flow) Discount rate 15.5% to 31.0% 17.8% First Lien Debt 30,673 Discounted cash flow (Yield analysis) Market yield 26.4% to 26.4% 26.4% Option Pricing Model Expected volatility 45.0% to 55.0% 55.0% Enterprise value waterfall (Market approach) EBITDA multiple 8.0x to 9.0x 9.0x First Lien Debt 11,852 Discounted cash flow (Yield analysis) Market yield 17.2% to 17.2% 17.2% Option Pricing Model Expected volatility 45.0% to 55.0% 55.0% First Lien Debt 10,663 Enterprise value waterfall (Discounted cash flow) Discount rate 10.0% to 30.0% 15.3% First Lien Debt 5,922 Option Pricing Model Expected volatility 30.0% to 40.0% 40.0% Second Lien Debt 651,091 Discounted cash flow (Yield analysis) Market yield 11.0% to 48.5% 15.6% Second Lien Debt 54,997 Enterprise value waterfall Purchase price n/a n/a Second Lien Debt 12,897 Asset recovery analysis Recoverable amount n/a n/a Second Lien Debt 7,387 Enterprise value waterfall (Market approach) EBITDA multiple 4.8x to 7.8x 6.3x Enterprise value waterfall (Discounted cash flow) Discount rate 14.5% to 16.5% 15.5% Subordinated Structured Notes 35,002 Discounted cash flow Discount rate (2) 16.0% to 60.2% 17.7% Unsecured Debt 5,403 Enterprise value waterfall (Market approach) EBITDA multiple 5.8x to 7.0x 7.0x Preferred Equity 89,912 Enterprise value waterfall (Market approach) EBITDA multiple 4.3x to 11.3x 8.9x Preferred Equity 21,092 Option Pricing Model Expected volatility 55.0% to 70.0% 65.2% Enterprise value waterfall (Market approach) EBITDA multiple 3.3x to 6.8x 5.3x Preferred Equity 10,914 Enterprise value waterfall (Discounted cash flow) Discount rate 6.0% to 8.0% 6.0% Enterprise value waterfall Indicative bid estimate n/a n/a Preferred Equity 6,697 Enterprise value waterfall (Market approach) Revenue multiple 0.3x to 2.0x 1.1x Liquidation Trust 6,500 Deficiency claim analysis Recoverable amount n/a n/a 202 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Unobservable Input Asset Category Fair Value Primary Valuation Approach or Technique Input Range Weighted Average (4) Common Equity/Interests/Warrants 454,847 Enterprise value waterfall (Market approach) EBITDA multiple 4.5x to 11.5x 10.2x Common Equity/Interests/Warrants 354,269 Discounted cash flow Discount rate 6.5% to 10.3% 7.3% Terminal Cap Rate 5.3% to 8.3% 6.0% Common Equity/Interests/Warrants 308,346 Enterprise value waterfall (Market approach) Tangible book value multiple 3.0x to 3.5x 3.5x Earnings multiple 8.0x to 12.5x 12.5x Common Equity/Interests/Warrants 42,484 Enterprise value waterfall (Market approach) EBITDA multiple 7.0x to 12.8x 11.8x Enterprise value waterfall (Discounted cash flow) Discount rate 16.0% to 38.8% 36.8% Common Equity/Interests/Warrants (3) 32,206 Discounted cash flow Discount rate 6.5% to 10.3% 7.3% Terminal Cap Rate 5.3% to 8.3% 6.0% Common Equity/Interests/Warrants 26,817 Enterprise value waterfall (Discounted cash flow) Discount rate 10.0% to 30.0% 15.5% Common Equity/Interests/Warrants 22,289 Enterprise value waterfall Purchase price n/a n/a Common Equity/Interests/Warrants (1) 11,880 Enterprise value waterfall Discount rate (2) 12.3% to 16.0% 13.0% Common Equity/Interests/Warrants 11,660 Asset recovery analysis Recoverable amount n/a n/a Common Equity/Interests/Warrants 4,614 Enterprise value waterfall (Discounted cash flow) Discount Rate 20.0% to 30.0% 20.5% Total Level 3 Investments $ 6,591,431 (1)Represents the fair value of investments held by NPRC (see National Property REIT Corp section below) through its wholly owned subsidiary, National General Lending Limited (“NGL”), and valued using a discounted cash flow valuation technique. (2)Represents the implied discount rate based on our internally generated single-cash flow model that is derived from the fair value estimated by the corresponding multi-path cash flow model utilized by the independent valuation firm. (3)Represents Residual Profit Interests in Real Estate Investments. (4)The weighted average information is generally derived by assigning each disclosed unobservable input a proportionate weight based on the fair value of the related investment. Investments for which market quotations are readily available are valued at such market quotations. In order to validate market quotations, management and the independent valuation firm look at a number of factors to determine if the quotations are representative of fair value, including the source and nature of the quotations. These investments are classified as Level 1 or Level 2 in the fair value hierarchy. The fair value of debt investments specifically classified as Level 2 in the fair value hierarchy are generally valued by an independent pricing agent or more than one principal market maker, if available, otherwise a principal market maker or a primary market dealer. We generally value over-the-counter securities by using the prevailing bid and ask prices from dealers during the relevant period end, which were provided by an independent pricing agent and screened for validity by such service. Certain derivative instruments are valued as Level 2 assets or liabilities using pricing information obtained from third-party pricing services, including IHS Markit. These valuations are based on prevailing market data as of the measurement date and are derived using models that apply well-recognized financial principles. Significant inputs to the valuation models include observable market data such as interest rate curves, forward curves, credit spreads, foreign exchange rates, volatilities, and other market-corroborated inputs. Management and the independent valuation firm evaluate the methodologies and inputs to assess whether the resulting values are representative of fair value. In determining the range of values for debt instruments where market quotations are not readily available, and are therefore classified as Level 3 in the fair value hierarchy, except CLOs and debt investments in controlling portfolio companies, management and the independent valuation firm estimated corporate and security credit ratings and identified corresponding yields to maturity for each loan from relevant market data. A discounted cash flow technique was then applied using the appropriate yield to maturity as the discount rate, to determine a range of values. In determining the range of values for debt investments of controlled companies and equity investments, the enterprise value was determined by applying a market 203 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) approach such as using earnings before interest, taxes, depreciation and amortization (“EBITDA”) multiples, net income and/or book value multiples for similar guideline public companies and/or similar recent investment transactions and/or an income approach, such as the discounted cash flow technique. The enterprise value technique may also be used to value debt investments which are credit impaired. For stressed debt and equity investments, asset recovery analysis was used. In determining the range of values for our investments in CLOs, the independent valuation firm uses a discounted multi-path cash flow model. The valuations were accomplished through the analysis of the CLO deal structures to identify the risk exposures from the modeling point of view as well as to determine an appropriate call date (i.e., expected maturity). These risk factors are sensitized in the multi-path cash flow model using Monte Carlo simulations, to generate probability-weighted (i.e., multi-path) cash flows for the underlying assets and liabilities. These cash flows are discounted using appropriate market discount rates, and relevant data in the CLO market and certain benchmark credit indices are considered, to determine the value of each CLO investment. In addition, we generate a single-path cash flow utilizing our best estimate of expected cash receipts, and assess the reasonableness of the implied discount rate that would be effective for the value derived from the corresponding multi-path cash flow model. These investments are classified as Level 3 in the fair value hierarchy. The significant unobservable input used to value our investments based on the yield technique and discounted cash flow technique is the market yield (or applicable discount rate) used to discount the estimated future cash flows expected to be received from the underlying investment, which includes both future principal and interest/dividend payments. Increases or decreases in the market yield (or applicable discount rate) would result in a decrease or increase, respectively, in the fair value measurement. Management and the independent valuation firms consider the following factors when selecting market yields or discount rates: risk of default, rating of the investment and comparable company investments, and call provisions. The significant unobservable inputs used to value our investments based on the EV analysis may include market multiples of specified financial measures such as EBITDA, revenue, net income, or book value of identified guideline public companies, implied valuation multiples from precedent M&A transactions, and/or discount rates applied in a discounted cash flow technique. The independent valuation firm identifies a population of publicly traded companies with similar operations and key attributes to that of the portfolio company. Using valuation and operating metrics of these guideline public companies and/or as implied by relevant precedent transactions, a range of multiples of the latest twelve months EBITDA, or other measure such as net income or book value, is typically calculated. The independent valuation firm utilizes the determined multiples to estimate the portfolio company’s EV generally based on the latest twelve months EBITDA of the portfolio company (or other meaningful measure). Increases or decreases in the multiple would result in an increase or decrease, respectively, in EV which would result in an increase or decrease in the fair value measurement of the debt of controlled companies and/or equity investment, as applicable. In certain instances, a discounted cash flow analysis may be considered in estimating EV, in which case, discount rates based on a weighted average cost of capital and application of the capital asset pricing model may be utilized. The significant unobservable inputs used to value our private REIT investments based on the discounted cash flow analysis is the discount rate and terminal capitalization rate applied to projected cash flows of the underlying properties. Increases or decreases in the discount rate and terminal capitalization rate would result in a decrease or increase, respectively, in the fair value measurement. Changes in market yields, discount rates, capitalization rates or EBITDA (or other) multiples, each in isolation, may change the fair value measurement of certain of our investments. Generally, an increase in market yields, discount rates or capitalization rates, or a decrease in EBITDA (or other) multiples may result in a decrease in the fair value measurement of certain of our investments. 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 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, such investments are generally 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 the value at which we have recorded it. In addition, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses ultimately realized on these investments to be different than the unrealized gains or losses reflected in the currently assigned valuations. 204 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Changes in Valuation Techniques During the year ended June 30, 2026, the valuation methodology for Aventiv Technologies, LLC (“Aventiv”) for the Third Out Super Priority First Lien Term Loan changed from relying on market quotes to relying solely on the enterprise value waterfall, since market quotes were less active in the current period and given the performance of Aventiv. The fair value of our investment in Aventiv’s Third Out Super Priority First Lien Term Loan increased to $22,126, as of June 30, 2026, a discount of $7,653 from its amortized cost, compared to the $8,404 unrealized discount recorded at June 30, 2025. During the year ended June 30, 2026, the valuation methodology for Credit.com Holdings LLC (“Credit.com”) for the First Lien Term Loan A changed from the yield analysis to the enterprise value waterfall, given Credit.com’s declining performance. The fair value of our investment in the First Lien Term Loan A decreased to $8,436 as of June 30, 2026, a discount of $32,077 from its amortized cost, compared to the $2,182 unrealized discount recorded at June 30, 2025. During the year ended June 30, 2026, the valuation methodology for Druid City Infusion, LLC (“Druid City”) for the Convertible First Lien Term Loan changed from a combination of the yield analysis, Black-Scholes Option Pricing Method, and enterprise value waterfall, to solely the enterprise value waterfall, given Druid City’s continued performance in excess of underwriting expectations, which resulted in comparable valuation outcomes across methodologies and a valuation increasingly driven by expected recovery rather than optionality. The fair value of our investment in the Convertible First Lien Term Loan increased to $38,732 as of June 30, 2026, a premium of $19,103 from its amortized cost, compared to the $11,438 unrealized premium recorded at June 30, 2025. During the year ended June 30, 2026, the valuation methodology for Eze Castle Integration, Inc. (“ECI”) LLC for the First Lien Term Loan changed from the yield analysis to a combination of the yield analysis and a take-out scenario, weighted primarily toward the take-out scenario, reflecting an anticipated refinancing of the investment. The fair value of our investment in the First Lien Term Loan was $45,443 as of June 30, 2026, which is equal to its amortized cost, consistent with the fair value having equaled its amortized cost at June 30, 2025. During the year ended June 30, 2026, the valuation methodology for First Brands Group for the Second Lien Term Loan changed from the yield analysis to relying solely on market quotes, since market quotes were more active in the current period. As a result of the quoted prices, the fair value of our investment in the Second Lien Term Loan decreased to $41 as of June 30, 2026, a discount of $36,959 from its amortized cost, compared to the $2,573 unrealized discount recorded at June 30, 2025. During the year ended June 30, 2026, the valuation methodology for Medical Solutions Holdings, Inc. changed from the yield analysis to a combination of the yield analysis and enterprise value waterfall, given the performance and conditions of Medical Solutions Holdings, Inc. As a result, the fair value of our investment decreased to $21,402, as of June 30, 2026, a discount of $33,042 from its amortized cost, compared to the $25,825 unrealized discount recorded at June 30, 2025. During the year ended June 30, 2026, the valuation methodology for STG Distribution, LLC for the First Out Term Loan and the Third Out Term Loan changed from the yield analysis and Black-Scholes Option Pricing Method, respectively, to the enterprise value waterfall, to reflect the expected attributable recovery associated with a post-Chapter 11 restructuring. The Chapter 11 filing occurred on January 12, 2026. Subsequent to year-end, on July 8, 2026, STG Distribution, LLC emerged from Chapter 11 pursuant to its court-approved plan of reorganization. As of June 30, 2026, the fair value of our investment in STG Distribution, LLC’s First Out Term Loan and Third Out Term Loan were $6,076 and $0, representing a premium of $167 and a discount of $18,604 to their respective amortized costs, compared to an unrealized premium of $263 and an unrealized discount of $13,048 recorded at June 30, 2025. During the year ended June 30, 2026, the valuation methodology for Victor Technology, LLC for the First Lien Term Loan changed from the yield analysis to the enterprise value waterfall, resulting from a change in control. Given a decline in performance, the fair value of our investment in Victor Technology, LLC’s First Lien Term Loan decreased to $6,710, as of June 30, 2026, a discount of $3,940 from its amortized cost, compared to the $99 unrealized discount recorded at June 30, 2025. During the year ended June 30, 2026, the valuation methodology for WatchGuard Technologies, Inc. changed from a combination of the yield analysis and market quotes to solely the yield analysis, given market quotes were less active in the current period. As a result, the fair value of our investment decreased to $33,688, as of June 30, 2026, which is equal to its amortized cost, compared to the $165 unrealized discount recorded at June 30, 2025. Credit Quality Indicators and Undrawn Commitments As of June 30, 2026, $3,701,239 of our loans to portfolio companies, at fair value, bear interest at floating rates and, if applicable, have LIBOR or SOFR floors ranging from 0.5% to 5.5%. As of June 30, 2026, $1,172,098 of our loans to portfolio companies, at fair value, bear interest at fixed rates ranging from 5.75% to 30.0%. As of June 30, 2025, $4,010,055 of our loans 205 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) to portfolio companies, at fair value, bore interest at floating rates and, if applicable, have LIBOR or SOFR floors ranging from 0.5% to 5.5%. As of June 30, 2025, $1,223,932 of our loans to portfolio companies, at fair value, bore interest at fixed rates ranging from 6.0% to 18.0%. As of June 30, 2026 and June 30, 2025, the cost basis of our loans on non-accrual status amounted to $298,227 and $273,713 respectively, with fair value of $42,531 and $23,654, respectively. The fair values of these investments represent approximately 0.7% and 0.3% of our total assets at fair value as of June 30, 2026 and June 30, 2025, respectively. Undrawn committed revolvers and delayed draw term loans to our portfolio companies incur commitment and unused fees ranging from 0.00% to 3.00%. As of June 30, 2026 and June 30, 2025, we had $64,611 and $40,707, respectively, of undrawn revolver and delayed draw term loan commitments to our portfolio companies of which $52,446 and $15,900 are considered at the Company’s sole discretion. The fair value of our undrawn committed revolvers and delayed draw term loans was zero as of June 30, 2026 and June 30, 2025 as they were all floating rate instruments that repriced frequently. National Property REIT Corp. Prospect owns 100% of the equity of NPH Property Holdings, LLC (“NPH”), a consolidated holding company which owns 100% of the common equity of NPRC. NPRC is a Maryland corporation and a qualified REIT for federal income tax purposes. NPRC was formed to hold for investment, operate, finance, lease, manage, and sell a portfolio of real estate assets and engage in any and all other activities as may be necessary, incidental or convenient to carry out the foregoing. NPRC acquires real estate assets, including, but not limited to, industrial, commercial, multi-family, self-storage, and student housing properties. NPRC may acquire real estate assets directly or through joint ventures by making a majority equity investment in a property-owning entity. Additionally, through its wholly-owned subsidiaries, NPRC invests in online consumer loans and rated secured structured notes (“RSSN”). During the year ended June 30, 2026, we provided $47,564 of debt financing to NPRC to fund real estate capital expenditures and provide working capital. During the year ended June 30, 2026, we received partial repayments of $73,323 of our loans previously outstanding with NPRC and its wholly owned subsidiary. During the year ended June 30, 2025, we provided $96,995 of debt financing to NPRC to fund real estate capital expenditures and provide working capital. During the year ended June 30, 2025, we received partial repayments of $285,386 of our loans previously outstanding with NPRC and its wholly owned subsidiary. As of June 30, 2026, our investment in NPRC and its wholly owned subsidiaries had an amortized cost of $896,889 and a fair value of $1,081,596, primarily related to NPRC’s real estate portfolio. The real estate portfolio was comprised of forty-four multi-family properties, two student housing properties, four senior living properties, and two commercial properties. The following table shows the location, acquisition date, purchase price, and mortgage outstanding due to other parties for each of the properties held by NPRC as of June 30, 2026: 206 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) No. Property Name City Acquisition Date Purchase Price Mortgage Outstanding 1 Taco Bell, OK Yukon, OK 6/4/2014 $ 1,719 $ — 2 Taco Bell, MO Marshall, MO 6/4/2014 1,405 — 3 Abbie Lakes OH Partners, LLC Canal Winchester, OH 9/30/2014 12,600 21,569 4 Kengary Way OH Partners, LLC Reynoldsburg, OH 9/30/2014 11,500 22,945 5 Lakeview Trail OH Partners, LLC Canal Winchester, OH 9/30/2014 26,500 43,656 6 Lakepoint OH Partners, LLC Pickerington, OH 9/30/2014 11,000 25,935 7 Sunbury OH Partners, LLC Columbus, OH 9/30/2014 13,000 21,372 8 Heatherbridge OH Partners, LLC Blacklick, OH 9/30/2014 18,416 31,810 9 Jefferson Chase OH Partners, LLC Blacklick, OH 9/30/2014 13,551 27,625 10 Goldenstrand OH Partners, LLC Hilliard, OH 10/29/2014 7,810 17,195 11 Vesper Corpus Christi, LLC Corpus Christi, TX 9/28/2016 14,250 9,905 12 Vesper Campus Quarters, LLC Corpus Christi, TX 9/28/2016 18,350 13,000 13 9220 Old Lantern Way, LLC Laurel, MD 1/30/2017 187,250 147,934 14 7915 Baymeadows Circle Owner, LLC Jacksonville, FL 10/31/2017 95,700 85,465 15 8025 Baymeadows Circle Owner, LLC Jacksonville, FL 10/31/2017 15,300 14,892 16 23275 Riverside Drive Owner, LLC Southfield, MI 11/8/2017 52,000 52,245 17 23741 Pond Road Owner, LLC Southfield, MI 11/8/2017 16,500 18,073 18 150 Steeplechase Way Owner, LLC Largo, MD 1/10/2018 44,500 34,505 19 Olentangy Commons Owner LLC Columbus, OH 6/1/2018 113,000 91,417 20 Villages of Wildwood Holdings LLC Fairfield, OH 7/20/2018 46,500 57,729 21 Falling Creek Holdings LLC Richmond, VA 8/8/2018 25,000 29,652 22 Lorring Owner LLC Forestville, MD 10/30/2018 58,521 46,561 23 Hamptons Apartments Owner, LLC Beachwood, OH 1/9/2019 96,500 79,107 24 5224 Long Road Holdings, LLC Orlando, FL 6/28/2019 26,500 21,200 25 Druid Hills Holdings LLC Atlanta, GA 7/30/2019 96,000 74,962 26 Sterling Place Holdings LLC Columbus, OH 10/28/2019 41,500 34,196 27 SPCP Hampton LLC Dallas, TX 11/2/2020 36,000 38,503 28 Palmetto Creek Holdings LLC North Charleston, SC 11/10/2020 33,182 25,668 29 Valora at Homewood Holdings LLC Homewood, AL 11/19/2020 81,250 62,718 30 NPRC Fairburn LLC Fairburn, GA 12/14/2020 52,140 43,900 31 NPRC Taylors LLC Taylors, SC 1/27/2021 18,762 13,980 32 Parkside at Laurel West Owner LLC Spartanburg, SC 2/26/2021 57,005 41,817 33 Willows at North End Owner LLC Spartanburg, SC 2/26/2021 23,255 18,519 34 SPCP Edge CL Owner LLC Webster, TX 3/12/2021 34,000 25,496 35 Jackson Pear Orchard LLC Ridgeland, MS 6/28/2021 50,900 42,975 36 Jackson Lakeshore Landing LLC Ridgeland, MS 6/28/2021 22,600 17,955 37 Jackson Reflection Pointe LLC Flowood, MS 6/28/2021 45,100 33,203 38 Jackson Crosswinds LLC Pearl, MS 6/28/2021 41,400 38,601 39 Elliot Apartments Norcross, LLC Norcross, GA 11/30/2021 128,000 106,850 40 Orlando 442 Owner, LLC (West Vue Apartments) Orlando, FL 12/30/2021 97,500 62,223 41 NPRC Wolfchase LLC Memphis, TN 3/18/2022 82,100 60,000 42 NPRC Twin Oaks LLC Hattiesburg, MS 3/18/2022 44,850 37,105 43 NPRC Lancaster LLC Birmingham, AL 3/18/2022 37,550 29,961 44 NPRC Rutland LLC Macon, GA 3/18/2022 29,750 24,700 45 Southport Owner LLC (Southport Crossing) Indianapolis, IN 3/29/2022 48,100 36,075 46 TP Cheyenne, LLC Cheyenne, WY 5/26/2022 27,500 17,656 47 TP Pueblo, LLC Pueblo, CO 5/26/2022 31,500 20,166 48 TP Stillwater, LLC Stillwater, OK 5/26/2022 26,100 15,328 49 TP Kokomo, LLC Kokomo, IN 5/26/2022 20,500 12,753 50 Terraces at Perkins Rowe JV LLC Baton Rouge, LA 11/14/2022 41,400 29,403 51 NPRC Apex Holdings LLC Cincinnati, OH 1/19/2024 34,225 27,712 52 NPRC Parkton Holdings LLC Cincinnati, OH 1/19/2024 45,775 37,090 $ 2,255,316 $ 1,943,307 207 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) As of June 30, 2025, our investment in NPRC and its wholly owned subsidiaries had an amortized cost of $922,647 and a fair value of $1,300,972. The fair value of $1,289,092 related to NPRC’s real estate portfolio was comprised of forty-seven multi-family properties, five student housing properties, four senior living properties, and two commercial properties. The following table shows the location, acquisition date, purchase price, and mortgage outstanding due to other parties for each of the properties held by NPRC as of June 30, 2025: No. Property Name City Acquisition Date Purchase Price Mortgage Outstanding 1 Taco Bell, OK Yukon, OK 6/4/2014 $ 1,719 $ — 2 Taco Bell, MO Marshall, MO 6/4/2014 1,405 — 3 Abbie Lakes OH Partners, LLC Canal Winchester, OH 9/30/2014 12,600 21,569 4 Kengary Way OH Partners, LLC Reynoldsburg, OH 9/30/2014 11,500 22,945 5 Lakeview Trail OH Partners, LLC Canal Winchester, OH 9/30/2014 26,500 43,656 6 Lakepoint OH Partners, LLC Pickerington, OH 9/30/2014 11,000 25,935 7 Sunbury OH Partners, LLC Columbus, OH 9/30/2014 13,000 21,372 8 Heatherbridge OH Partners, LLC Blacklick, OH 9/30/2014 18,416 31,810 9 Jefferson Chase OH Partners, LLC Blacklick, OH 9/30/2014 13,551 27,625 10 Goldenstrand OH Partners, LLC Hilliard, OH 10/29/2014 7,810 17,195 11 Vesper Tuscaloosa, LLC Tuscaloosa, AL 9/28/2016 54,500 40,312 12 Vesper Corpus Christi, LLC Corpus Christi, TX 9/28/2016 14,250 10,112 13 Vesper Campus Quarters, LLC Corpus Christi, TX 9/28/2016 18,350 13,272 14 Vesper College Station, LLC College Station, TX 9/28/2016 41,500 30,016 15 Vesper Statesboro, LLC Statesboro, GA 9/28/2016 7,500 7,323 16 9220 Old Lantern Way, LLC Laurel, MD 1/30/2017 187,250 150,423 17 7915 Baymeadows Circle Owner, LLC Jacksonville, FL 10/31/2017 95,700 87,031 18 8025 Baymeadows Circle Owner, LLC Jacksonville, FL 10/31/2017 15,300 15,156 19 23275 Riverside Drive Owner, LLC Southfield, MI 11/8/2017 52,000 53,231 20 23741 Pond Road Owner, LLC Southfield, MI 11/8/2017 16,500 18,417 21 150 Steeplechase Way Owner, LLC Largo, MD 1/10/2018 44,500 35,185 22 Olentangy Commons Owner LLC Columbus, OH 6/1/2018 113,000 92,876 23 Villages of Wildwood Holdings LLC Fairfield, OH 7/20/2018 46,500 58,393 24 Falling Creek Holdings LLC Richmond, VA 8/8/2018 25,000 25,075 25 Crown Pointe Passthrough LLC Danbury, CT 8/30/2018 108,500 89,400 26 Lorring Owner LLC Forestville, MD 10/30/2018 58,521 47,274 27 Hamptons Apartments Owner, LLC Beachwood, OH 1/9/2019 96,500 79,520 28 5224 Long Road Holdings, LLC Orlando, FL 6/28/2019 26,500 21,200 29 Druid Hills Holdings LLC Atlanta, GA 7/30/2019 96,000 77,261 30 Bel Canto NPRC Parcstone LLC Fayetteville, NC 10/15/2019 45,000 42,329 31 Bel Canto NPRC Stone Ridge LLC Fayetteville, NC 10/15/2019 21,900 21,313 32 Sterling Place Holdings LLC Columbus, OH 10/28/2019 41,500 34,196 33 SPCP Hampton LLC Dallas, TX 11/2/2020 36,000 38,843 34 Palmetto Creek Holdings LLC North Charleston, SC 11/10/2020 33,182 25,865 35 Valora at Homewood Holdings LLC Homewood, AL 11/19/2020 81,250 63,844 36 NPRC Fairburn LLC Fairburn, GA 12/14/2020 52,140 43,900 37 NPRC Taylors LLC Taylors, SC 1/27/2021 18,762 14,075 38 Parkside at Laurel West Owner LLC Spartanburg, SC 2/26/2021 57,005 42,025 39 Willows at North End Owner LLC Spartanburg, SC 2/26/2021 23,255 18,906 40 SPCP Edge CL Owner LLC Webster, TX 3/12/2021 34,000 25,496 41 Jackson Pear Orchard LLC Ridgeland, MS 6/28/2021 50,900 42,975 42 Jackson Lakeshore Landing LLC Ridgeland, MS 6/28/2021 22,600 17,955 43 Jackson Reflection Pointe LLC Flowood, MS 6/28/2021 45,100 33,203 44 Jackson Crosswinds LLC Pearl, MS 6/28/2021 41,400 38,601 45 Elliot Apartments Norcross, LLC Norcross, GA 11/30/2021 128,000 106,850 46 Orlando 442 Owner, LLC (West Vue Apartments) Orlando, FL 12/30/2021 97,500 70,723 47 NPRC Wolfchase LLC Memphis, TN 3/18/2022 82,100 60,000 48 NPRC Twin Oaks LLC Hattiesburg. MS 3/18/2022 44,850 36,704 49 NPRC Lancaster LLC Birmingham, AL 3/18/2022 37,550 29,673 50 NPRC Rutland LLC Macon, GA 3/18/2022 29,750 24,383 208 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) No. Property Name City Acquisition Date Purchase Price Mortgage Outstanding 51 Southport Owner LLC (Southport Crossing) Indianapolis, IN 3/29/2022 48,100 36,075 52 TP Cheyenne, LLC Cheyenne, WY 5/26/2022 27,500 17,656 53 TP Pueblo, LLC Pueblo, CO 5/26/2022 31,500 20,166 54 TP Stillwater, LLC Stillwater, OK 5/26/2022 26,100 15,328 55 TP Kokomo, LLC Kokomo, IN 5/26/2022 20,500 12,753 56 Terraces at Perkins Rowe JV LLC Baton Rouge, LA 11/14/2022 41,400 29,566 57 NPRC Apex Holdings LLC Cincinnati, OH 1/19/2024 34,225 27,712 58 NPRC Parkton Holdings LLC Cincinnati, OH 1/19/2024 45,775 37,090 $ 2,534,216 $ 2,191,789 Unconsolidated Significant Subsidiaries Our investments are generally in small and mid-sized companies in a variety of industries. In accordance with Regulation S-X 3-09 and Regulation S-X 4-08(g), we must determine which of our unconsolidated controlled portfolio companies are considered “significant subsidiaries,” if any, as defined in Rule 1-02(w)(2) for BDC’s and closed end investment companies. Regulation S-X 3-09 requires separate audited financial statements of an unconsolidated subsidiary in an annual report. Regulation S-X 4-08(g) requires summarized financial information in an annual report. NPRC is a significant subsidiary due to income for the years ended June 30, 2026 and June 30, 2024 requiring we include the audited consolidated financial statements of NPRC for the years ended December 31, 2025 and December 31, 2024 as Exhibit 99.1 and years ended December 31, 2024 and December 31, 2023 as Exhibit 99.2. NPRC is also a significant subsidiary due to income for the year ended June 30, 2025 at a level which would otherwise require us to include summarized financial statements for NPRC; however, in accordance with Regulation S-X 3-09, the relevant consolidated financial statements of NPRC as of and for the year ended December 31, 2024 are provided within Exhibit 99.1. First Tower Finance Company LLC (“First Tower Finance”) was identified as a significant subsidiary due to income for the years ended June 30, 2026 and June 30, 2025 requiring we include the audited consolidated financial statements of First Tower Finance Company LLC and subsidiaries as of and for the years ended December 31, 2025 and December 31, 2024 as Exhibit 99.3. First Tower Finance was identified as a significant subsidiary due to income for the year ended June 30, 2024 at a level which would otherwise require us to include summarized financial statements for First Tower; however, in accordance with Regulation S-X 3-09 we have also included the unaudited consolidated financial statements of First Tower Finance Company LLC and subsidiaries as of and for the year ended December 31, 2023 as Exhibit 99.4. 209 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) InterDent, Inc. (“InterDent”) was identified as a significant subsidiary due to income in accordance with Regulation S-X 4-08(g) for the year ended June 30, 2025, but was not identified as a significant subsidiary at any level for the years ended June 30, 2026 and June 30, 2024. Summarized financial information for InterDent is below: Balance Sheet (1) June 30, 2026 June 30, 2025 Current assets $ 42,792 $ 50,885 Non-current assets 13,124 131,993 Current liabilities 71,981 76,752 Non-current liabilities 430,653 396,403 For the six months ended For the years ended December 31, Summary Statement of Operations (1) 6/30/2026 2025 2024 2023 Total revenue $ 172,774 $ 325,931 $ 321,337 $ 320,763 Gross profit 31,385 48,989 44,753 52,022 Net (loss) $ (18,100) $ (40,441) $ (38,044) $ (13,681) (1) The fiscal year end of the portfolio company is December 31st compared to PSEC’s June 30th fiscal year end. All amounts are unaudited. Note 4. Revolving Credit Facility On May 15, 2007, we formed our wholly owned subsidiary, PCF, a Delaware limited liability company and a bankruptcy remote special purpose entity, which holds certain of our portfolio loan investments that are used as collateral for the revolving credit facility at PCF. Since origination of the revolving credit facility, we have renegotiated the terms and extended the commitments of the revolving credit facility several times. Most recently, effective June 28, 2024, we completed an extension and upsizing of the revolving credit facility (the “Revolving Credit Facility”). The lenders have extended commitments of $2,121,500 as of June 30, 2026. The Revolving Credit Facility includes an accordion feature which allows commitments to be increased up to $2,250,000 in the aggregate. The extension and upsizing of the Revolving Credit Facility extended the maturity date to June 28, 2029 and the revolving period through June 28, 2028, followed by an additional one-year amortization period, with distributions allowed to Prospect after the completion of the revolving period. During such one-year amortization period, all principal payments on the pledged assets will be applied to reduce the balance. At the end of the one-year amortization period, the remaining balance will become due. The Revolving Credit Facility contains restrictions pertaining to the geographic and industry concentrations of funded loans, maximum size of funded loans, interest rate payment frequency of funded loans, maturity dates of funded loans and minimum equity requirements, among other items. The Revolving Credit Facility also contains certain requirements relating to portfolio performance, including required minimum portfolio yield and limitations on delinquencies and charge-offs, violation of which could result in the early termination of the Revolving Credit Facility. As of June 30, 2026, we were in compliance with the applicable covenants of the Revolving Credit Facility. The interest rate on borrowings under the Revolving Credit Facility is one-month SOFR plus 205 basis points. Additionally, the lenders charge a fee on the unused portion of the revolving credit facility amount equal to either 40 basis points if more than 60% of the revolving credit facility amount is drawn, 70 basis points if more than 35% and an amount less than or equal to 60% of the revolving credit facility amount is drawn, or 150 basis points if an amount less than or equal to 35% of the revolving credit facility amount is drawn. The Revolving Credit Facility requires us to pledge assets as collateral in order to borrow under the Revolving Credit Facility. As of June 30, 2026, the investments, including cash and cash equivalents, used as collateral for the Revolving Credit Facility, had an aggregate fair value of $2,182,005, which represents 34.2% of our total investments, including cash and cash equivalents. These assets are held and owned by PCF, a bankruptcy remote special purpose entity, and, as such, these investments are not available to our general creditors. As additional eligible investments are transferred to PCF and pledged under the Revolving Credit Facility, PCF will generate additional availability up to the current commitment amount of $2,121,500. 210 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) For the years ended June 30, 2026, June 30, 2025, and June 30, 2024, the average stated interest rate (i.e., rate in effect plus the spread) and average outstanding borrowings for the Revolving Credit Facility were as follows: Year Ended June 30, 2026 2025 2024 Average stated interest rate 5.98% 6.73% 7.36% Average outstanding balance $ 797,978 $ 790,921 1,037,466 As of June 30, 2026 and June 30, 2025, we had $623,891 and $570,532, respectively, available to us for borrowing under the Revolving Credit Facility, net of $562,328 and $856,322 outstanding borrowings as of the respective balance sheet dates. In connection with the origination and amendments of the Revolving Credit Facility, we incurred $38,278 of fees, all of which are being amortized over the term of the facility. As of June 30, 2026 and June 30, 2025, $14,128 and $18,842, respectively, of the fees remain to be amortized and is reflected as deferred financing costs on the Consolidated Statements of Assets and Liabilities. During the years ended June 30, 2026, 2025, and 2024, we recorded $62,685, $68,300, and $87,585, respectively, of interest costs, unused fees and amortization of financing costs on the Revolving Credit Facility as interest expense. Note 5. Convertible Notes On March 1, 2019, we issued $175,000 aggregate principal amount of senior convertible notes that mature on March 1, 2025 (the “2025 Notes”), unless previously converted or repurchased in accordance with their terms. We granted the underwriters a 13-day over-allotment option to purchase up to an additional $26,250 aggregate principal amount of the 2025 Notes. The underwriters fully exercised the over-allotment option on March 11, 2019, and we issued $26,250 aggregate principal amount of 2025 Notes at settlement on March 13, 2019. The 2025 Notes bore interest at a rate of 6.375% per year, payable semi-annually on March 1 and September 1 each year, beginning September 1, 2019. Total proceeds from the issuance of the 2025 Notes, net of underwriting discounts and offering costs, were $198,674. During the years ended June 30, 2026, June 30, 2025, and June 30, 2024, we recorded $0, $7,287, and $10,884, respectively, of interest costs and amortization of financing costs on the Convertible Notes as interest expense. On March 3, 2025, we repaid the remaining outstanding principal amount of $156,168 of the 2025 Notes, plus interest, at maturity. Note 6. Public Notes 6.375% 2024 Notes On October 1, 2018, we issued $100,000 aggregate principal amount of unsecured notes that mature on January 15, 2024 (the “6.375% 2024 Notes”). The 6.375% 2024 Notes bear interest at a rate of 6.375% per year, payable semi-annually on January 15 and July 15 of each year, beginning January 15, 2019. Total proceeds from the issuance of the 6.375% 2024 Notes, net of underwriting discounts and offering costs, were $98,985. As of June 30, 2023, the outstanding aggregate principal amount of the 6.375% 2024 Notes was $81,240. On January 16, 2024, we repaid the remaining outstanding principal amount of $81,240 of the 6.375% 2024 Notes, plus interest, at maturity. 2026 Notes On January 22, 2021, we issued $325,000 aggregate principal amount of unsecured notes that mature on January 22, 2026 (the “Original 2026 Notes”). The Original 2026 Notes bore interest at a rate of 3.706% per year, payable semi-annually on July 22, and January 22 of each year, beginning on July 22, 2021. Total proceeds from the issuance of the 2026 Notes, net of underwriting discounts and offering costs, were $317,720. On February 19, 2021, we issued an additional $75,000 aggregate principal amount of unsecured notes that mature on January 22, 2026 (the “Additional 2026 Notes”, and together with the Original 2026 Notes, the “2026 Notes”). The Additional 2026 Notes were a further issuance of, and are fully fungible and rank equally in right of payment with, the Original 2026 Notes and bore interest at a rate of 3.706% per year, payable semi-annually on July 22 and January 22 of each year, beginning July 22, 2021. Total proceeds from the issuance of the Additional 2026 Notes, net of underwriting discounts and offering costs, were $74,061. 211 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) As of June 30, 2024, the outstanding aggregate principal amount of the 2026 Notes was $400,000. During the year ended June 30, 2025, we repurchased $57,053 aggregate principal amount of the 2026 Notes at a weighted average price of 97.44%, including commissions, plus accrued and unpaid interest. As a result, we recognized a net realized gain of $1,264 from the extinguishment of debt in the amount of the difference between the reacquisition price and the net carrying amount of the repurchased 2026 Notes. During the year ended June 30, 2025, we commenced a tender offer to purchase for cash any and all of the aggregate principal amount of our outstanding 2026 Notes at a purchase price of 99.00%, plus accrued and unpaid interest. As a result, $135,731 aggregate principal amount of the 2026 Notes were validly tendered and accepted, and we recognized a net realized gain of $874 from the extinguishment of debt in the amount of the difference between the reacquisition price and the net carrying amount of the tendered 2026 Notes. On June 18, 2025, we redeemed the remaining outstanding principal amount of $207,216 of the 2026 Notes, at a price of 100.00%, plus accrued and unpaid interest. The transaction resulted in our recognizing a loss of $998 during the year ended June 30, 2025. Following the redemption, none of the 2026 Notes remained outstanding. 3.364% 2026 Notes On May 27, 2021, we issued $300,000 aggregate principal amount of unsecured notes that mature on November 15, 2026 (the “3.364% 2026 Notes”). The 3.364% 2026 Notes bear interest at a rate of 3.364% per year, payable semi-annually on November 15, and May 15 of each year, beginning on November 15, 2021. Total proceeds from the issuance of the 3.364% 2026 Notes, net of underwriting discounts and offering costs, were $293,283. During the year ended June 30, 2026, we repurchased $35,514 aggregate principal amount of the 3.364% 2026 Notes at a weighted average price of 96.91%, including commissions, plus accrued and unpaid interest. As a result, we recognized a net realized gain of $1,011 from the extinguishment of debt in the amount of the difference between the reacquisition price and the net carrying amount of the repurchased 3.364% 2026 Notes. As of June 30, 2026 and June 30, 2025, the outstanding aggregate principal amount of the 3.364% 2026 Notes were $264,486 and $300,000, respectively. 3.437% 2028 Notes On September 30, 2021, we issued $300,000 aggregate principal amount of unsecured notes that mature on October 15, 2028 (the “3.437% 2028 Notes”). The 3.437% 2028 Notes bear interest at a rate of 3.437% per year, payable semi-annually on April 15 and October 15 of each year, beginning on April 15, 2022. Total proceeds from the issuance of the 3.437% 2028 Notes, net of underwriting discounts and offering costs, were $291,798. During the year ended June 30, 2026, we repurchased $45,251 aggregate principal amount of the 3.437% 2028 Notes at a weighted average price of 91.66%, including commissions, plus accrued and unpaid interest. As a result, we recognized a net realized gain of $3,526 from the extinguishment of debt in the amount of the difference between the reacquisition price and the net carrying amount of the repurchased 3.437% 2028 Notes. As of June 30, 2026 and June 30, 2025, the outstanding aggregate principal amount of the 3.437% 2028 Notes were $254,749 and $300,000, respectively. 5.50% 2030 Notes On October 30, 2025, we issued approximately $167,637 in aggregate principal amount of 5.50% Series A Notes due 2030 (the “5.50% 2030 Notes”) pursuant to a deed of trust, dated as of October 28, 2025, between the Company and Mishmeret Trust Company Ltd., as trustee (the “Deed of Trust”). The 5.50% 2030 Notes offering in Israel closed on October 30, 2025 and the 5.50% 2030 Notes are listed and commenced trading on the Tel Aviv Stock Exchange Ltd. (the “TASE”) on November 2, 2025. The 5.50% 2030 Notes are denominated in Israeli Shekels. After the deduction of offering discounts, fees and other offering expenses, we received net proceeds of approximately $159,531, which we used for the refinancing of existing indebtedness including, but not limited to, the repayment of borrowings under the Revolving Credit Facility. The 5.50% 2030 Notes mature on December 31, 2030 and bear interest at a rate of 5.50% per annum payable quarterly in arrears on March 31, June 30, September 30 and December 31 of each year, commencing on March 31, 2026. 212 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) After 60 days from the date on which the 5.50% 2030 Notes were listed for trading on the TASE, we may redeem the 5.50% 2030 Notes, at our option, in whole or in part, at any time or from time to time, at a redemption price equal to the greater of (i) par plus accrued and unpaid interest on the 5.50% 2030 Notes, if any, to, but excluding, the date of redemption, (ii) the average closing price of the 5.50% 2030 Notes over the 30 trading days preceding our Board of Directors’ resolution approving the redemption and (iii) the discounted value of the remaining payments under the 5.50% 2030 Notes, as set forth in the Deed of Trust. The Deed of Trust contains other terms and conditions, including, without limitation, affirmative and negative covenants, such as minimum total equity (common equity plus preferred equity), a maximum ratio of net debt to total assets, a minimum ratio of total equity (common equity plus preferred equity) to total assets, and a negative pledge. These and other covenants are subject to important limitations and exceptions that are described in the Deed of Trust. In addition, the Deed of Trust contains customary events of default, with customary cure and notice periods, for a notes offering in Israel. Based on our Consolidated Statement of Assets and Liabilities as of June 30, 2026, we are in compliance with the financial covenants of the Deed of Trust. In connection with the issuance of the 5.50% 2030 Notes, the Company entered into foreign exchange forward contracts in an aggregate notional amount equal to the expected interest and principal payments under the 5.50% 2030 Notes. As of June 30, 2026 and June 30, 2025, the outstanding aggregate principal amount of the 5.50% 2030 Notes were $182,153 and $0 respectively. The 6.375% 2024 Notes, 2026 Notes, the 3.364% 2026 Notes, the 3.437% 2028 Notes, and the 5.50% 2030 Notes (collectively, the “Public Notes”) are direct unsecured obligations and rank equally with all of our unsecured indebtedness from time to time outstanding. In connection with the issuance of the Public Notes we recorded a discount of $12,374 and debt issuance costs of $12,199, which are being amortized over the term of the notes. As of June 30, 2026 and June 30, 2025, $5,099 and $3,566 of the original issue discount and $5,448 and $2,990, respectively, of the debt issuance costs remain to be amortized and are included as a reduction within Public Notes on the Consolidated Statement of Assets and Liabilities. During the years ended June 30, 2026, 2025, and 2024, we recorded $29,638, $37,302, and $42,702, respectively, of interest costs and amortization of financing costs on the Public Notes as interest expense. Derivative Instruments In connection with the issuance of the 5.50% 2030 Notes, the Company entered into a series of forward currency contracts designated as hedging instruments under ASC 815. The Company uses derivative instruments in connection with its risk management activities to reduce exposure to foreign currency exchange rate risk arising from foreign-denominated interest payments and foreign-denominated principal on the 5.50% 2030 Notes. Derivative instruments are carried at fair value on the Consolidated Statements of Assets and Liabilities. The following table provides the terms and the estimated fair values of the Company’s derivative instruments, which are presented as separate asset and liability values, if applicable, on a gross basis within the corresponding line items in the Consolidated Statements of Assets and Liabilities as of June 30, 2026: Derivative Instruments Notional Amount to be Purchased Notional Amount to be Sold Maturity Date Range Gross Fair Value of Recognized Assets Consolidated Statement of Assets and Liabilities Location Gross Fair Value Amount of Recognized Liabilities Consolidated Statement of Assets and Liabilities Location Forward Contracts designated as cash flow hedging instruments ILS 135,063 $ 42,794 September 23, 2026 - December 23, 2030 $ 3,672 Derivative Assets $ — Derivative Liabilities Forward Contracts designated as fair value hedging instruments ILS 545,710 $ 178,523 December 23, 2023 $ 15,228 Derivative Assets $ — Derivative Liabilities $ 18,900 $ — 213 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) The following table summarizes the impact that changes in the fair values of derivatives designated as fair value hedges on earnings and reclassification of derivatives designated as cash flow hedges into earnings: Year Ended June 30, Derivative Instruments Consolidated Statement of Operations Location Effect of Derivative Instruments 2026 2025 2024 Forward Contracts designated as cash flow hedging instruments Interest Expense Total gain (loss) reclassified from accumulated other comprehensive income (loss) $ 137 $ — $ — Forward Contracts designated as fair value hedging instruments (1) Net change in unrealized gains (losses) from derivative instruments and foreign currency transactions Gain (loss) recognized in Income $ 14,516 $ — $ — (1) As of June 30, 2026, the net carrying value of the 5.50% 2030 Notes designated as the hedged item in the fair value hedge of the principal was $174,784. Because the hedge is designated for foreign currency exchange risk, the related changes in the 5.50% 2030 Notes’ net carrying value arose from foreign currency remeasurement, with offsetting changes in the related forward contract recognized in Net change in unrealized gains (losses) from derivative instruments and foreign currency transactions. During the year ended June 30, 2026, we reclassified net gains of $137 from accumulated other comprehensive income (loss) into earnings as a decrease to interest expense. As of June 30, 2026, the estimated amount of net gains recognized in accumulated other comprehensive income (loss) that are expected to be reclassified into earnings as a decrease to interest expense, net within the next 12 months is approximately $240. The Company's foreign currency forward contracts are transacted with a single counterparty under an International Swaps and Derivatives Association ("ISDA") Master Agreement providing for netting upon default or early termination. The Company has elected not to offset assets and liabilities in the Consolidated Statements of Assets and Liabilities that may be received or paid as part of collateral arrangements. The following table presents the offsetting of the Company's derivative instruments as of June 30, 2026. The Company did not have derivative instruments as of June 30, 2025. Gross Amounts of Recognized Assets (Liabilities) Gross Amounts Offset in the Consolidated Statement of Assets and Liabilities Net Amounts Presented in the Consolidated Statement of Assets and Liabilities Gross Amounts of Financial Instruments Not Offset in Consolidated Statements of Assets and Liabilities Gross Amounts of Cash Collateral Received (Pledged) from Counterparty Not Offset in Consolidated Statements of Assets and Liabilities Net Amount Derivative assets: Foreign currency forward contracts $ 18,900 $ — $ 18,900 $ — $ — $ 18,900 Total derivative assets $ 18,900 $ — $ 18,900 $ — $ — $ 18,900 Derivative liabilities: Foreign currency forward contracts $ — $ — $ — $ — $ — $ — Total derivative liabilities $ — $ — $ — $ — $ — $ — The Company is required to post collateral if the Company is in a net liability position with its counterparty in excess of $250. As of June 30, 2026, the Company posted collateral of $0, which is included in restricted cash, within cash and cash equivalents 214 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) on the Consolidated Statements of Assets and Liabilities. The Company also does not offset the fair value of derivative instruments against cash collateral posted or received. Note 7. Prospect Capital InterNotes® On February 13, 2020, we entered into a selling agent agreement with InspereX LLC (formerly known as “Incapital LLC”) (as amended, the “Selling Agent Agreement”), authorizing the issuance and sale from time to time of up to $1,000,000 of Prospect Capital InterNotes® (collectively with previously authorized selling agent agreements, the “InterNotes® Offerings”). On February 6, 2026, our Board of Directors reauthorized $1,000,000 of Prospect Capital InterNotes® for sale under the Selling Agent Agreement. Additional agents may be appointed by us from time to time in connection with the InterNotes® Offering and become parties to the Selling Agent Agreement. Certain notes issued through the InterNotes® Offerings have been repaid and we have, from time to time, repurchased or redeemed such other notes and, therefore, as of June 30, 2026 and June 30, 2025, $614,879 and $647,232 aggregate principal amount of Prospect Capital InterNotes® were outstanding. These notes are direct unsecured obligations and rank equally with all of our unsecured indebtedness from time to time outstanding. These notes bear interest at fixed interest rates and offer a variety of maturities no less than twelve months from the original date of issuance. During the year ended June 30, 2026, we issued $29,799 aggregate principal amount of Prospect Capital InterNotes® for net proceeds of $29,392. These notes were issued with stated interest rates ranging from 6.25% to 8.00% with a weighted average interest rate of 6.85%. These notes will mature between July 15, 2028 and June 15, 2033. The following table summarizes the Prospect Capital InterNotes® issued during the year ended June 30, 2026: Tenor at Origination (in years) Principal Amount Interest Rate Range Weighted Average Interest Rate Maturity Date Range 3 $ 20,095 6.25% – 7.50% 6.68% July 15, 2028 – July 15, 2029 5 3,151 6.50% – 7.75% 7.02% July 15, 2030 – June 15, 2031 7 6,553 6.75% – 8.00% 7.28% July 15, 2032 – June 15, 2033 $ 29,799 During the year ended June 30, 2025, we issued $151,592 aggregate principal amount of our Prospect Capital InterNotes® for net proceeds of $149,431. These notes were issued with stated interest rates ranging from 6.50% to 8.00% with a weighted average interest rate of 7.15%. These notes will mature between July 15, 2027 and December 15, 2034. The following table summarizes the Prospect Capital InterNotes® issued during the year ended June 30, 2025: Tenor at Origination (in years) Principal Amount Interest Rate Weighted Average Interest Rate Maturity Date Range 3 $ 60,429 6.50% - 7.50% 6.96% July 15, 2027 – July 15, 2028 5 48,993 6.75% - 7.75% 7.18% July 15, 2029 – July 15, 2030 7 718 8.00% - 8.00% 8.00% May 15, 2032 – July 15, 2032 10 41,452 7.00% - 7.75% 7.39% July 15, 2034 – December 15, 2034 $ 151,592 During the year ended June 30, 2026, we repaid $11,025 aggregate principal amount of Prospect Capital InterNotes® at par in accordance with the Survivor’s Option of the InterNotes®. During the year ended June 30, 2026, we also redeemed $20,658 aggregate principal amount of Prospect Capital InterNotes® at par with a weighted average interest rate of 6.41%. As a result of these transactions, we recorded a loss in the amount of the unamortized debt issuance costs. The net loss on the extinguishment of Prospect Capital InterNotes® in the year ended June 30, 2026 was $319. 215 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) The following table summarizes the Prospect Capital InterNotes® outstanding as of June 30, 2026: Tenor at Origination (in years) Principal Amount Interest Rate Range Weighted Average Interest Rate Maturity Date Range 3 $ 121,738 6.00% – 7.50% 6.81% January 15, 2027 – July 15, 2029 5 165,432 2.25% – 7.75% 5.70% July 15, 2026 – June 15, 2031 6 18,232 3.00% – 6.25% 3.56% June 15, 2027 – November 15, 2029 7 41,353 2.75% – 8.00% 4.65% January 15, 2028 – June 15, 2033 8 3,090 3.40% – 3.50% 3.45% June 15, 2029 – July 15, 2029 10 160,770 3.15% – 8.00% 5.89% August 15, 2029 – December 15, 2034 12 12,101 3.70% – 4.00% 3.94% June 15, 2033 – July 15, 2033 15 12,340 3.50% – 4.50% 3.84% July 15, 2036 – February 15, 2037 18 2,839 4.50% – 5.50% 4.82% January 15, 2031 – April 15, 2031 20 3,864 5.75% – 7.50% 6.23% November 15, 2032 – November 15, 2043 25 7,168 6.25% – 6.50% 6.37% November 15, 2038 – May 15, 2039 30 65,952 4.00% – 6.63% 5.42% November 15, 2042 – March 15, 2052 Principal Outstanding $ 614,879 Unamortized Debt Issuance (7,399) Carrying Amount $ 607,480 During the year ended June 30, 2025, we repaid $6,889 aggregate principal amount of Prospect Capital InterNotes® at par in accordance with the Survivor’s Option, as defined in the InterNotes® Offering prospectus. As a result of these transactions, we recorded a loss in the amount of the unamortized debt issuance costs. The net loss on the extinguishment of Prospect Capital InterNotes® in the year ended June 30, 2025 was $168. The following table summarizes the Prospect Capital InterNotes® outstanding as of June 30, 2025: Tenor at Origination (in years) Principal Amount Interest Rate Range Weighted Average Interest Rate Maturity Date Range 3 $ 123,367 5.00% - 7.50% 6.75% October 15, 2025 – July 15, 2028 5 192,095 2.25% - 7.75% 5.26% January 15, 2026 – July 15, 2030 6 18,312 3.00% - 6.25% 3.56% June 15, 2027 – November 15, 2029 7 35,069 2.75% - 8.00% 4.14% January 15, 2028 – July 15, 2032 8 3,190 3.40% - 3.50% 3.45% June 15, 2029 – July 15, 2029 10 163,288 3.15% - 8.00% 5.86% August 15, 2029 – December 15, 2034 12 13,404 3.70% - 4.00% 3.95% June 15, 2033 – July 15, 2033 15 13,631 3.50% - 4.50% 3.84% July 15, 2036 – February 15, 2037 18 2,949 4.50% - 5.50% 4.82% January 15, 2031 – April 15, 2031 20 3,864 5.75% - 7.50% 6.23% November 15, 2032 – November 15, 2043 25 7,287 6.25% - 6.50% 6.37% November 15, 2038 – May 15, 2039 30 70,776 4.00% - 6.63% 5.38% November 15, 2042 – March 15, 2052 Principal Outstanding $ 647,232 Unamortized debt issuance (8,687) Carrying Amount $ 638,545 During the years ended June 30, 2026, 2025, and 2024, we recorded $37,562, $35,386, and $19,075, respectively, of interest costs and amortization of financing costs on the Prospect Capital InterNotes® as interest expense. 216 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Note 8. Fair Value and Maturity of Debt Outstanding As of June 30, 2026, our asset coverage ratio stood at 339.4% based on the outstanding principal amount of our senior securities representing indebtedness of $1,878,595 and our asset coverage ratio on our senior securities that are stock was 177.6%. As of June 30, 2025, our asset coverage ratio stood at 319.4% based on the outstanding principal amount of our senior securities representing indebtedness of $2,103,554 and our asset coverage ratio on our senior securities that are stock was 173.3%. See Note 9. Equity Offerings, Offering Expenses and Distributions for additional discussion on our senior securities that are stock. Information about our senior securities is shown in the following table as of the end of each of the last ten fiscal years and as of June 30, 2026: Total Amount Outstanding(1) Asset Coverage per Unit(2) Involuntary Liquidating Preference per Unit Average Market Value per Unit(3) Credit Facility Fiscal 2026 (as of June 30, 2026) $ 562,328 $ 11,340 — — Fiscal 2025 (as of June 30, 2025) 856,322 7,846 — — Fiscal 2024 (as of June 30, 2024) 794,796 9,746 — — Fiscal 2023 (as of June 30, 2023) 1,014,703 7,639 — — Fiscal 2022 (as of June 30, 2022) 839,464 9,015 — — Fiscal 2021 (as of June 30, 2021) 356,937 17,408 — — Fiscal 2020 (as of June 30, 2020) 237,536 22,000 — — Fiscal 2019 (as of June 30, 2019) 167,000 34,298 — — Fiscal 2018 (as of June 30, 2018) 37,000 155,503 — — Fiscal 2017 (as of June 30, 2017) — — — — 2016 Notes(4) Fiscal 2016 (as of June 30, 2016) $ 167,500 $ 2,269 — — 2017 Notes(5) Fiscal 2017 (as of June 30, 2017) $ 50,734 $ 2,251 — — Fiscal 2016 (as of June 30, 2016) 129,500 2,269 — — 2018 Notes(6) Fiscal 2017 (as of June 30, 2017) $ 85,419 $ 2,251 — — Fiscal 2016 (as of June 30, 2016) 200,000 2,269 — — 2019 Notes(7) Fiscal 2018 (as of June 30, 2018) $ 101,647 $ 2,452 — — Fiscal 2017 (as of June 30, 2017) 200,000 2,251 — — Fiscal 2016 (as of June 30, 2016) 200,000 2,269 — — 5.00% 2019 Notes(8) Fiscal 2018 (as of June 30, 2018) $ 153,536 $ 2,452 — — Fiscal 2017 (as of June 30, 2017) 300,000 2,251 — — Fiscal 2016 (as of June 30, 2016) 300,000 2,269 — — 2020 Notes(11) Fiscal 2019 (as of June 30, 2019) $ 224,114 $ 2,365 — — Fiscal 2018 (as of June 30, 2018) 392,000 2,452 — — Fiscal 2017 (as of June 30, 2017) 392,000 2,251 — — Fiscal 2016 (as of June 30, 2016) 392,000 2,269 — — 2022 Notes(15) Fiscal 2022 (as of June 30, 2022) $ 60,501 $ 2,733 — — 217 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Total Amount Outstanding(1) Asset Coverage per Unit(2) Involuntary Liquidating Preference per Unit Average Market Value per Unit(3) Fiscal 2021 (as of June 30, 2021) 111,055 2,740 — — Fiscal 2020 (as of June 30, 2020) 258,240 2,408 — — Fiscal 2019 (as of June 30, 2019) 328,500 2,365 — — Fiscal 2018 (as of June 30, 2018) 328,500 2,452 — — Fiscal 2017 (as of June 30, 2017) 225,000 2,251 — — 2023 Notes(9)(16) Fiscal 2022 (as of June 30, 2022) $ 284,219 $ 2,733 — — Fiscal 2021 (as of June 30, 2021) 284,219 2,740 — — Fiscal 2020 (as of June 30, 2020) 319,145 2,408 — — Fiscal 2019 (as of June 30, 2019) 318,863 2,365 — — Fiscal 2018 (as of June 30, 2018) 318,675 2,452 — — Fiscal 2017 (as of June 30, 2017) 248,507 2,251 — — 2024 Notes(12) Fiscal 2020 (as of June 30, 2020) $ 233,788 $ 2,408 — $ 959 Fiscal 2019 (as of June 30, 2019) 234,443 2,365 — 1,002 Fiscal 2018 (as of June 30, 2018) 199,281 2,452 — 1,029 Fiscal 2017 (as of June 30, 2017) 199,281 2,251 — 1,027 6.375% 2024 Notes(9)(17) Fiscal 2023 (as of June 30, 2023) $ 81,240 $ 2,970 — — Fiscal 2022 (as of June 30, 2022) 81,240 2,733 — — Fiscal 2021 (as of June 30, 2021) 81,389 2,740 — — Fiscal 2020 (as of June 30, 2020) 99,780 2,408 — — Fiscal 2019 (as of June 30, 2019) 99,726 2,365 — — 2025 Notes(18) Fiscal 2024 (as of June 30, 2024) $ 156,168 $ 3,155 — — Fiscal 2023 (as of June 30, 2023) 156,168 2,970 — — Fiscal 2022 (as of June 30, 2022) 156,168 2,733 — — Fiscal 2021 (as of June 30, 2021) 156,168 2,740 — — Fiscal 2020 (as of June 30, 2020) 201,250 2,408 — — Fiscal 2019 (as of June 30, 2019) 201,250 2,365 — — 2026 Notes(19) Fiscal 2024 (as of June 30, 2024) $ 400,000 $ 3,155 — — Fiscal 2023 (as of June 30, 2023) 400,000 2,970 — — Fiscal 2022 (as of June 30, 2022) 400,000 2,733 — — Fiscal 2021 (as of June 30, 2021) 400,000 2,740 — — 3.364% 2026 Notes Fiscal 2026 (as of June 30, 2026) $ 264,486 $ 3,394 — — Fiscal 2025 (as of June 30, 2025) 300,000 3,194 — — Fiscal 2024 (as of June 30, 2024) 300,000 3,155 — — Fiscal 2023 (as of June 30, 2023) 300,000 2,970 — — Fiscal 2022 (as of June 30, 2022) 300,000 2,733 — — Fiscal 2021 (as of June 30, 2021) 300,000 2,740 — — 3.437% 2028 Notes Fiscal 2026 (as of June 30, 2026) $ 254,749 $ 3,394 — — Fiscal 2025 (as of June 30, 2025) 300,000 3,194 — — 218 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Total Amount Outstanding(1) Asset Coverage per Unit(2) Involuntary Liquidating Preference per Unit Average Market Value per Unit(3) Fiscal 2024 (as of June 30, 2024) 300,000 3,155 — — Fiscal 2023 (as of June 30, 2023) 300,000 2,970 — — Fiscal 2022 (as of June 30, 2022) 300,000 2,733 — — 2028 Notes(13) Fiscal 2020 (as of June 30, 2020) $ 70,761 $ 2,408 — $ 950 Fiscal 2019 (as of June 30, 2019) 70,761 2,365 — 984 Fiscal 2018 (as of June 30, 2018) 55,000 2,452 — 1,004 2029 Notes(14) Fiscal 2021 (as of June 30, 2021) $ 69,170 $ 2,740 — $ 1,028 Fiscal 2020 (as of June 30, 2020) 69,170 2,408 — 970 Fiscal 2019 (as of June 30, 2019) 69,170 2,365 — 983 5.50% 2030 Notes(20) Fiscal 2026 (as of June 30, 2026) $ 182,153 $ 3,394 — $ 91.65 Prospect Capital InterNotes® Fiscal 2026 (as of June 30, 2026) $ 614,879 $ 3,394 — — Fiscal 2025 (as of June 30, 2025) 647,232 3,194 — — Fiscal 2024 (as of June 30, 2024) 504,028 3,155 — — Fiscal 2023 (as of June 30, 2023) 358,105 2,970 — — Fiscal 2022 (as of June 30, 2022) 347,564 2,733 — — Fiscal 2021 (as of June 30, 2021) 508,711 2,740 — — Fiscal 2020 (as of June 30, 2020) 680,229 2,408 — — Fiscal 2019 (as of June 30, 2019) 707,699 2,365 — — Fiscal 2018 (as of June 30, 2018) 760,924 2,452 — — Fiscal 2017 (as of June 30, 2017) 980,494 2,251 — — Floating Rate Preferred Stock Fiscal 2026 (as of June 30, 2026) $ 219,601 $ 44 $ 25 $ — Fiscal 2025 (as of June 30, 2025) 229,771 43 25 — Fiscal 2024 (as of June 30, 2024) 129,198 46 25 — 7.50% Preferred Stock Fiscal 2026 (as of June 30, 2026) $ 129,630 $ 44 $ 25 $ — Fiscal 2025 (as of June 30, 2025) 51,575 43 25 — 6.50% Preferred Stock Fiscal 2026 (as of June 30, 2026) $ 611,574 $ 44 $ 25 $ — Fiscal 2025 (as of June 30, 2025) 659,069 43 25 — Fiscal 2024 (as of June 30, 2024) 704,044 46 25 — Fiscal 2023 (as of June 30, 2023) 533,216 47 25 — 5.50% Preferred Stock Fiscal 2026 (as of June 30, 2026) $ 617,980 $ 44 $ 25 — Fiscal 2025 (as of June 30, 2025) 701,205 43 25 — Fiscal 2024 (as of June 30, 2024) 772,133 46 25 — Fiscal 2023 (as of June 30, 2023) 870,268 47 25 — Fiscal 2022 (as of June 30, 2022) 590,197 54 25 — Fiscal 2021 (as of June 30, 2021) 137,040 65 25 — 219 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Total Amount Outstanding(1) Asset Coverage per Unit(2) Involuntary Liquidating Preference per Unit Average Market Value per Unit(3) 5.35% Preferred Stock Fiscal 2026 (as of June 30, 2026) $ 132,920 $ 44 $ 25 $ 16.35 Fiscal 2025 (as of June 30, 2025) 131,279 43 25 17.12 Fiscal 2024 (as of June 30, 2024) 131,279 46 25 17.25 Fiscal 2023 (as of June 30, 2023) 149,066 47 25 15.98 Fiscal 2022 (as of June 30, 2022) 150,000 54 25 21.08 All Senior Securities(9)(10) Fiscal 2026 (as of June 30, 2026) $ 3,590,300 $ 1,776 — — Fiscal 2025 (as of June 30, 2025) 3,876,453 1,733 — — Fiscal 2024 (as of June 30, 2024) 4,191,646 1,848 — — Fiscal 2023 (as of June 30, 2023) 4,162,766 1,862 — — Fiscal 2022 (as of June 30, 2022) 3,509,353 2,156 — — Fiscal 2021 (as of June 30, 2021) 2,404,689 2,584 — — Fiscal 2020 (as of June 30, 2020) 2,169,899 2,408 — — Fiscal 2019 (as of June 30, 2019) 2,421,526 2,365 — — Fiscal 2018 (as of June 30, 2018) 2,346,563 2,452 — — Fiscal 2017 (as of June 30, 2017) 2,681,435 2,251 — — (1) Except for the per unit data noted in footnote 2 and 3 below, the total amount of each class of senior securities outstanding at the end of the year/period presented (in 000’s). (2)The asset coverage ratio for a class of secured senior securities representing indebtedness is calculated as our consolidated total assets, less all liabilities and indebtedness not represented by senior securities, divided by secured senior securities representing indebtedness. The asset coverage ratio for a class of unsecured senior securities representing indebtedness is inclusive of all senior securities representing indebtedness. With respect to the senior securities represented by indebtedness, this asset coverage ratio is multiplied by $1,000 to determine the Asset Coverage Per Unit. The asset coverage ratio for a class of senior securities representing preferred stock is calculated as our consolidated total assets, less all liabilities and indebtedness not represented by senior securities, divided by the sum of all senior securities representing indebtedness and the involuntary liquidation preference of senior securities representing preferred stock (the “Total Asset Coverage Ratio”). With respect to the Preferred Stock, the Asset Coverage Per Unit figure is expressed in terms of a dollar amount per share of outstanding Preferred Stock (based on a per share liquidation preference of $25). The rows reflecting “All Senior Securities” reflect the Total Asset Coverage Ratio as the asset coverage ratio, and express Asset Coverage Per Unit as per $1,000 of indebtedness or per $1,000 of Preferred Stock liquidation preference. (3)This column is inapplicable, except for the 2024 Notes, the 2028 Notes, the 2029 Notes, and the 5.35% Preferred Stock. Our 5.50% 2030 Notes are registered for public trading in Israel on the TASE under the ticker symbol “PSEC.B1”, but are not registered for public trading in the U.S. The average market value per unit of the U.S. traded securities is calculated as an average of quarter-end prices. With respect to the senior securities represented by indebtedness, the market value is shown per $1,000 of indebtedness. (4)We repaid the outstanding principal amount of the 2016 Notes on August 15, 2016. (5)We repaid the outstanding principal amount of the 2017 Notes on October 15, 2017. (6)We repaid the outstanding principal amount of the 2018 Notes on March 15, 2018. (7)We repaid the outstanding principal amount of the 2019 Notes on January 15, 2019. (8)We redeemed the 5.00% 2019 Notes on September 26, 2018. (9)For the fiscal years ended June 30, 2020 or prior, the 2023 Notes and 6.375% 2024 Notes are presented net of unamortized discount. (10)While we do not consider commitments to fund under revolving arrangements to be Senior Securities, if we were to elect to treat such unfunded commitments, which were $64,611 as of June 30, 2026 as Senior Securities for purposes of Section 18 of the 1940 Act, our asset coverage per unit would be $1,745. (11)We repaid the outstanding principal amount of the 2020 Notes on April 15, 2020. (12)We redeemed the 2024 Notes on February 16, 2021. (13)We redeemed the 2028 Notes on June 15, 2021. (14)We redeemed the 2029 Notes on December 30, 2021. (15)We redeemed the 2022 Notes on July 15, 2022. (16)We redeemed the 2023 Notes on March 15, 2023. (17)We redeemed the 6.375% 2024 Notes on January 16, 2024. (18)We repaid the outstanding principal amount of the 2025 Notes on March 3, 2025. (19)We redeemed the 2026 Notes on June 18, 2025. (20)The 5.50% 2030 Notes are denominated in Israeli Shekels and remeasured to the Company’s functional and reporting currency, U.S. Dollars, each reporting period date in accordance with ASC 830. 220 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) The following table shows our outstanding debt as of June 30, 2026: Principal Outstanding Unamortized Discount & Debt Issuance Costs Net Carrying Value Fair Value Effective Interest Rate Revolving Credit Facility $ 562,328 $ 14,128 $ 562,328 (1) $ 562,328 (2) 1M SOFR + 2.05% (5) 3.364% 2026 Notes 264,486 435 264,051 261,169 (3) 3.89 % (6) 3.437% 2028 Notes 254,749 2,743 252,006 239,729 (3) 3.97 % (6) 5.50% 2030 Notes 182,153 7,369 174,784 165,650 (3) 6.76 % (6) Public Notes 701,388 690,841 666,548 Prospect Capital InterNotes® 614,879 7,399 607,480 588,081 (4) 6.04 % (7) Total $ 1,878,595 $ 1,860,649 $ 1,816,957 (1)Net Carrying Value excludes deferred financing costs associated with the Revolving Credit Facility. See Note 2 for accounting policy details. (2)The fair value of the Revolving Credit Facility is equal to its carrying value because the revolver is a floating rate facility that reprices to a market rate frequently. The fair value is categorized as Level 2 under ASC 820. (3)We use available market quotes or readily observable transparent prices to estimate the fair value of the Public Notes. The fair value of these debt obligations are categorized as Level 1 under ASC 820. (4)The fair value of Prospect Capital InterNotes® is estimated by discounting remaining payments using current Treasury rates plus spread based on observable market inputs. The fair value of these debt obligations are categorized as Level 3 under ASC 820. (5)Represents the rate on drawn down and outstanding balances. Deferred debt issuance costs are amortized on a straight-line method over the stated life of the obligation. (6)The effective interest rate is equal to the effect of the stated interest, the accretion of original issue discount and amortization of debt issuance costs. (7)For the Prospect Capital InterNotes®, the rate presented is the weighted average effective interest rate. Interest expense and deferred debt issuance costs, which are amortized on a straight-line method over the stated life of the obligation which approximates level yield, are weighted against the average outstanding principal balance. The following table shows our outstanding debt as of June 30, 2025: Principal Outstanding Unamortized Discount & Debt Issuance Costs Net Carrying Value Fair Value Effective Interest Rate Revolving Credit Facility $ 856,322 $ 18,842 $ 856,322 (1) $ 856,322 (2) 1M SOFR + 2.05 % (5) 3.364% 2026 Notes 300,000 2,019 297,981 286,707 (3) 3.87 % (6) 3.437% 2028 Notes 300,000 4,537 295,463 268,671 (3) 3.93 % (6) Public Notes 600,000 593,444 555,378 Prospect Capital InterNotes® 647,232 8,687 638,545 607,339 (4) 5.85 % (7) Total $ 2,103,554 $ 2,088,311 $ 2,019,039 (1)Net Carrying Value excludes deferred financing costs associated with the Revolving Credit Facility. See Note 2 for accounting policy details. (2)The fair value of the Revolving Credit Facility is equal to its carrying value because the revolver is a floating rate facility that reprices to a market rate frequently. The fair value is categorized as Level 2 under ASC 820. (3)We use available market quotes to estimate the fair value of the Public Notes. The fair value of these debt obligations are categorized as Level 1 under ASC 820. 221 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) (4)The fair value of Prospect Capital InterNotes® is estimated by discounting remaining payments using current Treasury rates plus spread based on observable market inputs. The fair value of these debt obligations are categorized as Level 3 under ASC 820. (5)Represents the rate on drawn down and outstanding balances. Deferred debt issuance costs are amortized on a straight-line method over the stated life of the obligation. (6)The effective interest rate is equal to the effect of the stated interest, the accretion of original issue discount and amortization of debt issuance costs. (7)For the Prospect Capital InterNotes®, the rate presented is the weighted average effective interest rate. Interest expense and deferred debt issuance costs, which are amortized on a straight-line method over the stated life of the obligation which approximates level yield, are weighted against the outstanding principal balance. The following table shows the contractual maturities by fiscal year of our Revolving Credit Facility, Public Notes and Prospect Capital InterNotes® as of June 30, 2026: Payments Due by Fiscal Year ending June 30, Total 2027 2028 2029 2030 2031 After 5 Years Revolving Credit Facility $ 562,328 $ — $ — $ 562,328 $ — $ — $ — Public Notes 701,388 264,486 — 254,749 — 182,153 — Prospect Capital InterNotes® 614,879 114,422 74,853 92,954 70,093 42,520 220,037 Total Contractual Obligations $ 1,878,595 $ 378,908 $ 74,853 $ 910,031 $ 70,093 $ 224,673 $ 220,037 We may from time to time seek to cancel or purchase our outstanding debt through cash purchases and/or exchanges, in open market purchases, privately negotiated transactions or otherwise. The amounts involved may be material. In addition, we may from time to time enter into additional debt facilities, increase the size of existing facilities or issue additional debt securities, including secured debt, unsecured debt and/or debt securities convertible into common stock. Any such purchases or exchanges of outstanding debt would be subject to prevailing market conditions, our liquidity requirements, contractual and regulatory restrictions and other factors. 222 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Note 9. Equity Offerings, Offering Expenses, and Distributions On February 10, 2026, we filed a registration statement on Form N-2 (File No. 333-293349) that became effective upon filing pursuant to Rule 462(e) under the Securities Act, and which replaced our previously effective registration statement on Form N-2 that had been filed on February 10, 2023 and which also became effective upon filing pursuant to Rule 462(e) under the Securities Act. The registration statement permits us to issue, through one or more transactions, an indeterminate amount of securities, consisting of common stock, preferred stock, debt securities, subscription rights to purchase our securities, warrants representing rights to purchase our securities or separately tradable units combining two or more of our securities. Preferred Stock On August 3, 2020, we entered into a Dealer Manager Agreement with Preferred Capital Securities, LLC (“PCS”), as amended on June 9, 2022, October 7, 2022, February 10, 2023, December 29, 2023, October 17, 2024, December 27, 2024, and February 10, 2026, pursuant to which PCS has agreed to serve as the Company’s agent, principal distributor and dealer manager for the Company’s offering of up to 105,858,302 shares, par value $0.001 per share, of preferred stock, with a liquidation preference of $25.00 per share. Such preferred stock may be issued in multiple series, including the 5.50% Series A1 Preferred Stock (“Series A1 Preferred Stock”), the 5.50% Series M1 Preferred Stock (“Series M1 Preferred Stock”), the 5.50% Series M2 Preferred Stock (“Series M2 Preferred Stock”), the 6.50% Series A3 Preferred Stock (“Series A3 Preferred Stock”), the 6.50% Series M3 Preferred Stock (“Series M3 Preferred Stock”), the Floating Rate Series A4 Preferred Stock (“Series A4 Preferred Stock”), the Floating Rate Series M4 Preferred Stock (“Series M4 Preferred Stock,” and together with the Series A4 Preferred Stock, the “Floating Rate Preferred Stock”), the 7.50% Series A5 Preferred Stock (“Series A5 Preferred Stock”), and the 7.50% Series M5 Preferred Stock (“Series M5 Preferred Stock,” and together with the Series A5 Preferred Stock, the “7.50% Preferred Stock”). However, as disclosed in the Supplement No. 1 dated September 6, 2024 and Supplement No. 3 dated December 27, 2024 to the Prospectus Supplement dated December 29, 2023, the Company is no longer offering the Series A1 Preferred Stock, the Series M1 Preferred Stock, the Series M2 Preferred Stock, the Series A3 Preferred Stock, the Series M3 Preferred Stock, and the Floating Rate Preferred Stock and, as a result, any additional preferred stock offered under this offering will be only in any combination of our 7.50% Preferred Stock, which are not convertible. In connection with such offering, on August 3, 2020, June 9, 2022, October 11, 2022, February 10, 2023, December 28, 2023 (two filings), October 17, 2024, and December 27, 2024 we filed Articles Supplementary with the State Department of Assessments and Taxation of Maryland (“SDAT”), reclassifying and designating 120,000,000, 60,000,000, 120,000,000, 60,000,000, 160,000,000, 40,000,000, 20,000,000, and 180,000,000 shares, respectively, of the Company’s authorized and unissued shares of common stock into shares of preferred stock. On October 30, 2020, and as amended on February 18, 2022, October 7, 2022 and February 10, 2023, we entered into a Dealer Manager Agreement with InspereX LLC, pursuant to which InspereX LLC has agreed to serve as the Company’s agent and dealer manager for the Company’s offering of up to 10,000,000 shares, par value $0.001 per share, of preferred stock, with a liquidation preference of $25.00 per share. Such preferred stock will initially be issued in multiple series, including the 5.50% Series AA1 Preferred Stock (the “Series AA1 Preferred Stock”), the 5.50% Series MM1 Preferred Stock (the “Series MM1 Preferred Stock”), the 6.50% Series AA2 Preferred Stock (the “Series AA2 Preferred Stock”), and the 6.50% Series MM2 Preferred Stock (the “Series MM2 Preferred Stock” and together with the Series M1 Preferred Stock, the Series M2 Preferred Stock, the Series M3 Preferred Stock, and the Series MM1 Preferred Stock, the “Series M Preferred Stock”, and the Series MM2 Preferred Stock, together with the Series AA2 Preferred Stock, the Series A3 Preferred Stock and the Series M3 Preferred Stock, the “6.50% Preferred Stock”); however as disclosed in the Supplement No. 2 dated September 6, 2024 to the Prospectus Supplement dated February 10, 2023, the Company is no longer offering the Series AA1 Preferred Stock, the Series MM1 Preferred Stock, the Series AA2 Preferred Stock and the Series MM2 Preferred Stock. On October 30, 2020, February 17, 2022, and October 11, 2022, we filed Articles Supplementary with the SDAT, reclassifying and designating an additional 80,000,000 shares of the Company’s authorized and unissued shares of common stock into shares of preferred stock as convertible preferred stock. On May 6, 2026, we filed Articles Supplementary with the SDAT, reclassifying and designating 80,000,000 authorized but unissued shares of Series AA1 Preferred Stock, Series MM1 Preferred Stock, Series AA2 Preferred Stock and Series MM2 Preferred Stock as additional shares of common stock. As a result of such reclassification and designation, we no longer have any authorized shares of Series AA1 Preferred Stock, Series MM1 Preferred Stock, Series AA2 Preferred Stock or Series MM2 Preferred Stock as of June 30, 2026. On May 19, 2021, we entered into an Underwriting Agreement with UBS Securities LLC, relating to the offer and sale of 187,000 shares, par value $0.001 per share, of 5.50% Series A2 Preferred Stock, with a liquidation preference of $25.00 per share (the “Series A2 Preferred Stock”, and together with the Series A1 Preferred Stock, Series M1 Preferred Stock, Series M2 Preferred Stock, Series AA1 Preferred Stock, and Series MM1 Preferred Stock, the “5.50% Preferred Stock”). The issuance of the Series A2 Preferred Stock settled on May 26, 2021. In connection with such offering, on May 19, 2021, we filed Articles Supplementary with the SDAT, reclassifying and designating an additional 1,000,000 shares of the Company’s authorized and unissued shares of common stock into shares of preferred stock as Convertible Preferred Stock. 223 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) In connection with the offerings of the 5.50% Preferred Stock, the 6.50% Preferred Stock, the Floating Rate Preferred Stock, and the 7.50% Preferred Stock, we adopted and amended, respectively, a preferred stock dividend reinvestment plan (the “Preferred Stock Plan” or the “Preferred Stock DRIP”), pursuant to which (i) holders of the Floating Rate Preferred Stock and the 7.50% Preferred Stock will have dividends on their Floating Rate Preferred Stock and 7.50% Preferred Stock reinvested in additional shares of such Floating Rate Preferred Stock and 7.50% Preferred Stock at a price per share of $25.00 and (ii) holders of the 5.50% Preferred Stock and the 6.50% Preferred Stock will have dividends on their 5.50% Preferred Stock and 6.50% Preferred Stock automatically reinvested in additional shares of such 5.50% Preferred Stock and 6.50% Preferred Stock at a price per share of $23.75 (95% of the stated value of $25.00 per share), if they elect. At any time prior to the listing of the 5.50% Preferred Stock and the 6.50% Preferred Stock on a national securities exchange, shares of the 5.50% Preferred Stock and the 6.50% Preferred Stock are convertible, at the option of the holder of the 5.50% Preferred Stock and the 6.50% Preferred Stock (the “Holder Optional Conversion”). We will settle any Holder Optional Conversion by paying or delivering, as the case may be, (A) any portion of the Settlement Amount (as defined below) that we elect to pay in cash and (B) a number of shares of our common stock at a conversion rate equal to (1) (a) the Settlement Amount, minus (b) any portion of the Settlement Amount that we elect to pay in cash, divided by (2) the arithmetic average of the daily volume weighted average price of shares of our common stock over each of the five consecutive trading days ending on the Holder Conversion Exercise Date (such arithmetic average, the “5-day VWAP”). For the Series A1 Preferred Stock, the Series A3 Preferred Stock, the Series AA1 Preferred Stock, the Series AA2 Preferred Stock and the Series A2 Preferred Stock, “Settlement Amount” means (A) $25.00 per share (the “Stated Value”), plus (B) unpaid dividends accrued to, but not including, the Holder Conversion Exercise Date, minus (C) the applicable Holder Optional Conversion Fee for the respective Holder Conversion Deadline. For the Series M Preferred Stock, “Settlement Amount” means (A) the Stated Value, plus (B) unpaid dividends accrued to, but not including, the Holder Conversion Exercise Date, minus (C) the applicable Series M Clawback, if any. “Series M Clawback”, if applicable, means an amount equal to the aggregate amount of all dividends, whether paid or accrued, on such share of Series M stock in the three full months prior to the Holder Conversion Exercise Date. Subject to certain limited exceptions, we will not pay any portion of the Settlement Amount in cash (other than cash in lieu of fractional shares of our common stock) until the five year anniversary of the date on which a share of 5.50% Preferred Stock or 6.50% Preferred Stock has been issued. Beginning on the five year anniversary of the date on which a share of 5.50% Preferred Stock or 6.50% Preferred Stock is issued, we may elect to settle all or a portion of any Holder Optional Conversion in cash without limitation or restriction. The right of holders to convert a share of 5.50% Preferred Stock or 6.50% Preferred Stock will terminate upon the listing of such share on a national securities exchange. Shares of the Floating Rate Preferred Stock and 7.50% Preferred Stock do not have a Holder Optional Conversion feature. Subject to certain limited exceptions allowing earlier redemption, beginning on the earlier of the five year anniversary of the date on which a share of 5.50% Preferred Stock or 6.50% Preferred Stock has been issued, or the two year anniversary of the date on which a share of Floating Rate Preferred Stock or 7.50% Preferred Stock has been issued or, for listed shares of 5.50% Preferred Stock or 6.50% Preferred Stock, five years from the earliest date on which any series that has been listed was first issued and for listed shares of Floating Rate Preferred Stock or 7.50% Preferred Stock, two years from the earliest date on which any series that has been listed was first issued (the earlier of such dates as applicable to a series of Preferred Stock, the “Redemption Eligibility Date”), such share of Preferred Stock may be redeemed at any time or from time to time at our option (the “Issuer Optional Redemption”), at a redemption price of 100% of the Stated Value of the shares to be redeemed plus unpaid dividends accrued to, but not including, the date fixed for redemption. Shares of the Floating Rate Preferred Stock and 7.50% Preferred Stock are redeemable, at the option of the holder of such Floating Rate Preferred Stock and 7.50% Preferred Stock, on a monthly basis (the “Holder Optional Redemption”). For all shares of Floating Rate Preferred Stock and 7.50% Preferred Stock duly submitted for redemption on or before a monthly Holder Redemption Deadline (defined in the prospectus supplement dated December 29, 2023), the HOR Settlement Amount (as defined below) is determined on any business day after such Holder Redemption Deadline but before the Holder Redemption Deadline occurring two months thereafter (such date, the “Holder Redemption Exercise Date”). Within such period, we may select the Holder Redemption Exercise Date in our sole discretion. We will settle any Holder Optional Redemption by paying the HOR Settlement Amount in cash. The aggregate amount of Holder Optional Redemptions by the holder of Floating Rate Preferred Stock is subject to the following redemption limits: (i) no more than 2% of the outstanding Floating Rate Preferred Stock, in aggregate, as of the end of the most recent fiscal quarter will be redeemed per calendar month; (ii) no more than 5% of the outstanding Floating Rate Preferred Stock, in aggregate, as of the end of the most recent fiscal quarter will be redeemed per fiscal quarter and (iii) no more than 20% of the outstanding Floating Rate Preferred Stock, in aggregate, as of the end of the most recent fiscal quarter will be redeemed per Annual Redemption Period. Redemption capacity of the Floating Rate Preferred Stock will be allocated on a pro rata basis based on the number of shares of Floating Rate Preferred Stock, as applicable, submitted in the event that a monthly redemption is oversubscribed, based on any of the foregoing redemption limits. 224 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) The aggregate amount of Holder Optional Redemptions by the holders of 7.50% Preferred Stock is subject to the following redemption limits: (i) no more than 2% of the outstanding 7.50% Preferred Stock, in aggregate, as of the end of the most recent fiscal quarter will be redeemed per calendar month; (ii) no more than 5% of the outstanding 7.50% Preferred Stock, in aggregate, as of the end of the most recent fiscal quarter will be redeemed per fiscal quarter; and (iii) no more than 20% of the outstanding 7.50% Preferred Stock, in aggregate, as of the end of the most recent fiscal quarter will be redeemed per Annual Redemption Period; plus, for each redemption limit set forth above in clauses (i) through (iii) of this paragraph, an amount of such 7.50% Preferred Stock equal to the lowest excess, if any, between the corresponding applicable 2% / 5% / 20% redemption limits for Floating Rate Preferred Stock as set forth above and the respective amounts requested for the Floating Rate Preferred Stock on a Holder Redemption Deadline for the Floating Rate Preferred Stock. Additionally, we have covenanted to waive the applicable 2% / 5% / 20% redemption limits for the Floating Rate Preferred Stock as set forth in the terms of the Floating Rate Preferred Stock such that holders of the Floating Rate Preferred Stock may, in addition to the amount of Floating Rate Preferred Stock such holders are entitled to redeem pursuant to the terms of the Floating Rate Preferred Stock, also redeem an amount of such Floating Rate Preferred Stock equal to the lowest excess, if any, between the corresponding applicable 2% / 5% / 20% redemption limits for the 7.50% Preferred Stock as set forth in the terms of the 7.50% Preferred Stock and the respective amounts requested for the 7.50% Preferred Stock on a Holder Redemption Deadline for the 7.50% Preferred Stock. Redemption capacity of the 7.50% Preferred Stock will be allocated on a pro rata basis based on the number of 7.50% Preferred Stock, as applicable, submitted in the event that a monthly redemption is oversubscribed based on any of the foregoing redemption limits. An “Annual Redemption Period” means our then current fiscal quarter and the three fiscal quarters immediately preceding our then current fiscal quarter. Shares of Series A4 Preferred Stock and Series A5 Preferred Stock are subject to an early redemption fee if it is redeemed by its holder within five years of issuance. We may waive the foregoing redemption limits in our sole discretion at any time. For the Series A4 Preferred Stock and Series A5 Preferred Stock, “HOR Settlement Amount” means (A) the stated value, plus (B) unpaid dividends accrued to, but not including, the Holder Redemption Exercise Date, minus (C) the Series A4 Preferred Stock or Series A5 Preferred Stock Holder Optional Redemption fee, as applicable on the respective Holder Redemption Deadline. For the Series M4 Preferred Stock and Series M5 Preferred Stock, “HOR Settlement Amount” means (A) the stated value, plus (B) unpaid dividends accrued to, but not including, the Holder Redemption Exercise Date, but if a holder of Series M4 Preferred Stock or Series M5 Preferred Stock exercises a Holder Optional Redemption within the first twenty-four months of issuance of such Series M4 Preferred Stock or Series M5 Preferred Stock, the HOR Settlement Amount payable to such holder will be reduced by (i) during the first twelve months of issuance of such Series M4 Preferred Stock or Series M5 Preferred Stock, the aggregate amount of all dividends, whether paid or accrued, on such Series M4 Preferred Stock or Series M5 Preferred Stock, respectively, in the six-month period prior to the Holder Redemption Exercise Date, and (ii) during the second twelve months of issuance of such Series M4 Preferred Stock or Series M5 Preferred Stock, the aggregate amount of all dividends, whether paid or accrued, on such Series M4 Preferred Stock or Series M5 Preferred Stock in the three-month period prior to the Holder Redemption Exercise Date (such amount, the “Series M4 Shares Clawback” and “Series M5 Shares Clawback,” respectively). We are permitted to waive the Series M4 Shares Clawback and Series M5 Shares Clawback through public announcement of the terms and duration of such waiver. Any such waiver would apply to any holder of Preferred Stock qualifying for the waiver and exercising a Holder Optional Redemption during the pendency of the term of such waiver. Although we have retained the right to waive the Series M4 Shares Clawback and Series M5 Shares Clawback in the manner described above, we are not required to establish any such waivers and we may never establish any such waivers. Subject to certain limitations, each share of 5.50% Preferred Stock or 6.50% Preferred Stock may be converted at our option (the “Issuer Optional Conversion”). We will settle any Issuer Optional Conversion by paying or delivering, as the case may be, (A) any portion of the IOC Settlement Amount (as defined below) that we elect to pay in cash and (B) a number of shares of our common stock at a conversion rate equal to (1) (a) the IOC Settlement Amount, minus (b) any portion of the IOC Settlement Amount that we elect to pay in cash, divided by (2) the 5-day VWAP, subject to our ability to obtain or maintain any stockholder approval that may be required under the 1940 Act to permit us to sell our common stock below net asset value if the 5-day VWAP represents a discount to our net asset value per share of common stock. For the 5.50% Preferred Stock and 6.50% Preferred Stock, “IOC Settlement Amount” means (A) the Stated Value, plus (B) unpaid dividends accrued to, but not including, the date fixed for conversion. In connection with an Issuer Optional Conversion, we will use commercially reasonable efforts to obtain or maintain any stockholder approval that may be required under the 1940 Act to permit us to sell our common stock below net asset value. If we do not have or obtain any required stockholder approval under the 1940 Act to sell our common stock below net asset value and the 5-day VWAP is at a discount to our net asset value per share of common 225 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) stock, we will settle any conversions in connection with an Issuer Optional Conversion by paying or delivering, as the case may be, (A) any portion of the IOC Settlement Amount that we elect to pay in cash and (B) a number of shares of our common stock at a conversion rate equal to (1) (a) the IOC Settlement Amount, minus (b) any portion of the IOC Settlement Amount that we elect to pay in cash, divided by (2) the NAV per share of common stock at the close of business on the business day immediately preceding the date of conversion. We will not pay any portion of the IOC Settlement Amount from an Issuer Optional Conversion in cash (other than cash in lieu of fractional shares of our common stock) until the Redemption Eligibility Date. Beginning on the Redemption Eligibility Date, we may elect to settle any Issuer Optional Conversion in cash without limitation or restriction. In the event that we exercise an Issuer Optional Conversion with respect to any shares of 5.50% Preferred Stock or 6.50% Preferred Stock, the holder of such 5.50% Preferred Stock or 6.50% Preferred Stock may instead elect a Holder Optional Conversion with respect to such 5.50% Preferred Stock or 6.50% Preferred Stock provided that the date of conversion for such Holder Optional Conversion would occur prior to the date of conversion for an Issuer Optional Conversion. Shares of the Floating Rate Preferred Stock and 7.50% Preferred Stock do not have an Issuer Optional Conversion feature. The Company actively manages its offerings of preferred stock and, although it may or may not be presently offering a particular series of its preferred stock, the Company may determine to issue any of its authorized series of preferred stock (and, in connection therewith, to relaunch the offering of any particular series, if previously terminated) based on its assessment of market conditions, demand, and appropriate cost of capital in light of the foregoing and the overall construction of its portfolio and capital structure. On July 12, 2021, we entered into an underwriting agreement by and among us, Prospect Capital Management L.P., Prospect Administration LLC, and Morgan Stanley & Co. LLC, RBC Capital Markets, LLC and UBS Securities LLC, as representatives of the underwriters, relating to the offer and sale of 6,000,000 shares, or $150,000 in aggregate liquidation preference, of our 5.35% Series A Fixed Rate Cumulative Perpetual Preferred Stock, par value $0.001 per share (the “Series A Preferred Stock” or “5.35% Preferred Stock”), at a public offering price of $25.00 per share. Pursuant to the Underwriting Agreement, we also granted the underwriters a 30-day option to purchase up to an additional 900,000 shares of Series A Preferred Stock solely to cover over-allotments. The offer settled on July 19, 2021, and no additional shares of the Series A Preferred Stock were issued pursuant to the option. In connection with such offering, on July 15, 2021, we filed Articles Supplementary with SDAT, reclassifying and designating 6,900,000 shares of the Company’s authorized and unissued shares of common stock into shares of Series A Preferred Stock. On May 8, 2026, we entered into an equity distribution agreement by and among us, Prospect Capital Management L.P., Prospect Administration LLC, and A.G.P. / Alliance Global Partners (“AGP”), with AGP as sales agent, relating to the offer and sale, by means of an at-the-market (“ATM”) offering, of up to 16,000,000 shares, or $400,000 in aggregate liquidation preference, of our Series A Preferred Stock (the “Series A Preferred Stock ATM Program”). In connection with such offering, on May 8, 2026, we filed Articles Supplementary with SDAT, reclassifying and designating 16,000,000 shares of the Company’s authorized and unissued shares of common stock into additional shares of Series A Preferred Stock. During the year ended June 30, 2026, we issued and sold $1,642 aggregate liquidation preference of the Series A Preferred Stock under the Series A Preferred Stock ATM Program, for net proceeds of $1,098, after commissions, discounts, and offering costs. As of June 30, 2026, there were 5,316,849 shares, or $132,921 aggregate liquidation preference, of the Series A Preferred Stock outstanding. Each series of 5.50% Preferred Stock, 6.50% Preferred Stock, Floating Rate Preferred Stock, 7.50% Preferred Stock and Series A Preferred Stock ranks (with respect to the payment of dividends and rights upon liquidation, dissolution or winding up) (a) senior to our common stock, (b) on parity with each other series of our preferred stock, and (c) junior to our existing and future secured and unsecured indebtedness. See Note 8. Fair Value and Maturity of Debt Outstanding for further discussion on our senior securities. We may from time to time seek to purchase and cancel our outstanding preferred stock through cash purchases and/or exchanges, in open market purchases, privately negotiated transactions or otherwise. The amounts involved may be material. Any such purchases or exchanges of preferred stock would be subject to prevailing market conditions, our liquidity requirements, contractual and regulatory restrictions and other factors. On June 16, 2022, our Board of Directors authorized the repurchase of up to 1.5 million shares our Series A Preferred Stock and further on October 11, 2023, authorized any and all outstanding Series A Preferred Stock to be repurchased. The manner, price, volume and timing of preferred share repurchases are subject to a variety of factors, including market conditions and applicable SEC rules. Each share of preferred stock converted into shares of common stock, redeemed, exchanged or acquired by the Company is canceled and retired and is not reissued, and is returned to the status of authorized but unissued common stock. 226 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) During the years ended June 30, 2026 and June 30, 2025, we did not repurchase shares of Series A Preferred Stock. On October 30, 2023, we commenced a tender offer (the “Series A Preferred Stock Tender Offer”) to purchase for cash any and all of 5,882,351 shares of outstanding Series A Preferred Stock at a price of $15.88, plus accrued and unpaid dividends for a total consideration of $16.00 per share. The Series A Preferred Stock Tender Offer expired at 5:00 p.m., New York City time, on November 29, 2023 and as a result, $15,780 aggregate liquidation amount of the Series A Preferred Stock were validly tendered and accepted, and we recognized a realized gain of $5,197 during the year ended June 30, 2024 from the purchase of 631,194 shares of Series A Preferred Stock in the amount of the difference between the consideration transferred and the net carrying amount of the Series A Preferred Stock. During the year ended June 30, 2024, we repurchased 80,303 shares of Series A Preferred Stock for a total cost of approximately $1,279, including fees and commissions paid to the broker, representing an average repurchase price of $15.76 per share. The difference in the consideration transferred and the net carrying value of the Series A Preferred Stock repurchased, which was $1,937, resulted in a gain applicable to common stock holders of approximately $657 during the year ended June 30, 2024. The repurchased shares reverted to authorized but unissued shares of Series A Preferred Stock and thus the Company holds no treasury stock. During the year ended June 30, 2026, we exchanged an aggregate of 44,894 Series M1 Preferred Stock for an aggregate of 44,894 newly-issued Series M5 Preferred Stock pursuant to Section 3(a)(9) of the Securities Act. During the year ended June 30, 2026, we exchanged an aggregate of 59,132 Series M3 Preferred Stock for an aggregate of 59,132 newly-issued Series M5 Preferred Stock pursuant to Section 3(a)(9) of the Securities Act. During the year ended June 30, 2025, we exchanged an aggregate of 195,938 Series M1 Preferred Stock for an aggregate of 10,842, 142,054, and 43,040 newly-issued Series M3 Preferred Stock, Series M4 Preferred Stock, and Series M5 Preferred Stock respectively, pursuant to Section 3(a)(9) of the Securities Act. During the year ended June 30, 2025, we exchanged an aggregate of 294,040 Series M3 Preferred Stock for an aggregate of 266,878 and 27,160 newly-issued Series M4 Preferred Stock and newly-issued Series M5 Preferred Stock, respectively, pursuant to Section 3(a)(9) of the Securities Act. The Series M3 Preferred Stock, Series M4 Preferred Stock, and Series M5 Preferred Stock issued in the exchanges were issued in each case to an existing security holder of the Company exclusively in exchange for such holder’s securities. No commission or other remuneration was paid or given for soliciting the exchange. Stockholders who exchange Series M1 Preferred Stock for Series M3 Preferred Stock, Series M4 Preferred Stock or Series M5 Preferred Stock or Series M3 Preferred Stock for Series M4 Preferred Stock or Series M5 Preferred Stock will receive unpaid dividends on their Series M1 Preferred Stock or Series M3 Preferred Stock accrued to, but not including, the Exchange Exercise Date, plus any fractional amount of a Series M1 Preferred Stock or Series M3 Preferred Stock exchanged multiplied by $25.00 in cash. Upon settlement, the carrying amount (including any premiums or discounts and a proportional amount of any issuance costs) of the Series M1 Preferred Stock or Series M3 Preferred Stock are reclassified to Series M3 Preferred Stock, Series M4 Preferred Stock, or Series M5 Preferred Stock, respectively, with no gain or loss recognized. Subject to certain limited exceptions allowing earlier redemption, at any time after the close of business on July 19, 2026 (any such date, an “Optional Redemption Date”), at our sole option, we may redeem the Series A Preferred Stock in whole or, from time to time, in part, out of funds legally available for such redemption, at a price per share equal to the liquidation preference of $25.00 per share, plus an amount equal to all unpaid dividends on such shares (whether or not earned or declared, but excluding interest thereon) accumulated up to, but excluding, the date fixed for redemption. We may also redeem the Series A Preferred Stock at any time, in whole or, from time to time, in part, including prior to the Optional Redemption Date, pro rata, based on liquidation preference, with all other series of our then outstanding preferred stock, in the event that our Board of Directors determines to redeem any series of our preferred stock, in whole or, from time to time, in part, because such redemption is deemed necessary by our Board of Directors to comply with the asset coverage requirements of the 1940 Act or for us to maintain RIC status. In the event of a Change of Control Triggering Event (as defined below), we may, at our option, exercise our special optional redemption right to redeem the Series A Preferred Stock, in whole or in part, within 120 days after the first date on which such Change of Control Triggering Event has occurred by paying the liquidation preference, plus an amount equal to all unpaid dividends on such shares (whether or not earned or declared, but excluding interest thereon) accumulated up to, but excluding, the date fixed for such redemption. To the extent that we exercise our optional redemption right or our special optional redemption right relating to the Series A Preferred Stock, the holders of Series A Preferred Stock will not be permitted to exercise the conversion right described below in respect of their shares called for redemption. 227 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Except to the extent that we have elected to exercise our optional redemption right or our special optional redemption right by providing notice of redemption prior to the Change of Control Conversion Date (as defined below), upon the occurrence of a Change of Control Triggering Event, each holder of Series A Preferred Stock will have the right to convert some or all of the Series A Preferred Stock held by such holder on the Change of Control Conversion Date into a number of our shares of common stock per Series A Preferred Stock to be converted equal to the lesser of: •the quotient obtained by dividing (i) the sum of the Liquidation Preference per share plus an amount equal to all unpaid dividends thereon (whether or not earned or declared, but excluding interest thereon) accumulated up to, but excluding, the Change of Control Conversion Date (unless the Change of Control Conversion Date is after a Record Date for a Series A Preferred Stock dividend payment and prior to the corresponding Series A Preferred Stock dividend payment date, in which case no additional amount for such accrued and unpaid dividends will be included in this sum) by (ii) the Common Stock Price (as defined below); and •6.03865, subject to certain adjustments, subject, in each case, to provisions for the receipt of alternative consideration upon conversion as described in the applicable prospectus supplement. If we have provided or provide a redemption notice with respect to some or all of the Series A Preferred Stock, holders of any Series A Preferred Stock that we have called for redemption will not be permitted to exercise their Change of Control Conversion Right in respect of any of their Series A Preferred Stock that have been called for redemption, and any Series A Preferred Stock subsequently called for redemption that have been tendered for conversion will be redeemed on the applicable date of redemption instead of converted on the Change of Control Conversion Date. For purposes of the foregoing discussion of a redemption upon the occurrence of a Change of Control Triggering Event, the following definitions are applicable: “Change of Control Triggering Event” means the occurrence of any of the following: •the direct or indirect sale, lease, transfer, conveyance or other disposition (other than by way of merger or consolidation and other than an Excluded Transaction) in one or a series of related transactions, of all or substantially all of the assets of the Company and its Controlled Subsidiaries taken as a whole to any “person” or “group” (as those terms are used in Section 13(d)(3) of the Exchange Act) (other than to any Permitted Holders); provided that, for the avoidance of doubt, a pledge of assets pursuant to any of our secured debt instruments or the secured debt instruments of our Controlled Subsidiaries shall not be deemed to be any such sale, lease, transfer, conveyance or disposition; or •the consummation of any transaction (including, without limitation, any merger or consolidation and other than an Excluded Transaction) the result of which is that any “person” or “group” (as those terms are used in Section 13(d)(3) of the Exchange Act) (other than any Permitted Holders) becomes the “beneficial owner” (as defined in Rules 13d-3 and 13d-5 under the Exchange Act), directly or indirectly, of more than 50% of our outstanding Voting Stock, measured by voting power rather than number of shares. Notwithstanding the foregoing, the consummation of any of the transactions referred to in the bullet points above will not be deemed a Change of Control Triggering Event if we or the acquiring or surviving consolidated entity has or continues to have a class of common securities (or ADRs representing such securities) listed on the NYSE, the NYSE American or NASDAQ, or listed or quoted on an exchange or quotation system that is a successor to the NYSE, the NYSE American or NASDAQ, or is otherwise listed or quoted on a national securities exchange. The “Change of Control Conversion Date” is the date the shares of Series A Preferred Stock are to be converted, which will be a business day selected by us that is no fewer than 20 days nor more than 35 days after the date on which we provide the notice described above to the holders of Series A Preferred Stock. The “Common Stock Price” will be (i) if the consideration to be received in the Change of Control Triggering Event by the holders of our common stock is solely cash, the amount of cash consideration per share of our common stock or (ii) if the consideration to be received in the Change of Control Triggering Event by holders of our common stock is other than solely cash (x) the average of the closing sale prices per share of our common stock (or, if no closing sale price is reported, the average of the closing bid and ask prices or, if more than one in either case, the average of the average closing bid and the average closing ask prices) for the ten consecutive trading days immediately preceding, but not including, the effective date of the Change of Control Triggering Event as reported on the principal U.S. securities exchange on which our common stock is then traded, or (y) the average of the last quoted bid prices for our common stock in the over-the-counter market as reported by 228 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) OTC Markets Group Inc. or similar organization for the ten consecutive trading days immediately preceding, but not including, the effective date of the Change of Control Triggering Event, if our common stock is not then listed for trading on a U.S. securities exchange. “Controlled Subsidiary” means any of our subsidiaries, 50% or more of the outstanding equity interests of which are owned by us and our direct or indirect subsidiaries and of which we possess, directly or indirectly, the power to direct or cause the direction of the management or policies, whether through the ownership of voting equity interests, by agreement or otherwise. “Excluded Transaction” means (i) any transaction that does not result in any reclassification, conversion, exchange or cancellation of all or substantially all of the outstanding shares of our Voting Stock; (ii) any changes resulting from a subdivision or combination or a change solely in par value; (iii) any transaction where the shares of our Voting Stock outstanding immediately prior to such transaction constitute, or are converted into or exchanged for, a majority of the Voting Stock of the surviving “person” (as that term is used in Section 13(d)(3) of the Exchange Act) or any direct or indirect parent company of the surviving “person” (as that term is used in Section 13(d)(3) of the Exchange Act) immediately after giving effect to such transaction; (iv) any transaction if (A) we become a direct or indirect wholly-owned subsidiary of a holding company and (B)(1) the direct or indirect holders of the Voting Stock of such holding company immediately following that transaction are substantially the same as the holders of our Voting Stock immediately prior to that transaction or (2) immediately following that transaction no “person” (as that term is used in Section 13(d)(3) of the Exchange Act) is the beneficial owner, directly or indirectly, of more than 50% of the Voting Stock of such holding company; or (v) any transaction primarily for the purpose of changing our jurisdiction of incorporation or form of organization. “Permitted Holders” means (i) us, (ii) one or more of our Controlled Subsidiaries and (iii) Prospect Capital Management or any affiliate of Prospect Capital Management that is organized under the laws of a jurisdiction located in the United States of America and in the business of managing or advising clients. “Voting Stocks” as applied to stock of any person, means shares, interests, participations or other equivalents in the equity interest (however designated) in such person having ordinary voting power for the election of the directors (or the equivalent) of such person, other than shares, interests, participations or other equivalents having such power only by reason of the occurrence of a contingency. Except as provided above in connection with a Change of Control Triggering Event, the Series A Preferred Stock is not convertible into or exchangeable for any other securities or property. For so long as the Series A Preferred Stock, the Floating Rate Preferred Stock, or 7.50% Preferred Stock are outstanding, we will not exercise any option we have to convert any other series of our outstanding preferred stock to common stock, including the Issuer Optional Conversion, or any other security ranking junior to such preferred stock. As a result, if dividends on the Preferred Stock have accumulated and been unpaid for a period of two years, a possibility of redemption outside of the Company’s control exists and, in accordance with ASC 480, we have presented our 5.50% Preferred Stock, 6.50% Preferred Stock, and Series A Preferred Stock within temporary equity on our Consolidated Statement of Assets and Liabilities as of June 30, 2026 and June 30, 2025. The Floating Rate Preferred Stock and 7.50% Preferred Stock are redeemable at the election of the holder at any time; therefore, is probable of redemption outside of the Company’s control. As a result, the Floating Rate Preferred Stock and 7.50% Preferred Stock are classified within temporary equity on our Consolidated Statement of Assets and Liabilities as of June 30, 2026 and are accreted to redemption value upon issuance. Accretion to redemption value is treated as an adjustment to net increase (decrease) in net assets resulting from operations applicable to common stockholders on our Consolidated Statement of Operations. Shares of the 5.50% Preferred Stock, 6.50% Preferred Stock, and 7.50% Preferred Stock will pay a monthly dividend, when and if declared by our Board of Directors, at a fixed annual dividend rate of 5.50%, 6.50%, and 7.50%, respectively, per annum of the Stated Value of $25.00 per share (computed on the basis of a 360-day year consisting of twelve 30-day months), payable in cash or through the issuance of additional 5.50% Preferred Stock, 6.50% Preferred Stock, and 7.50% Preferred Stock through the 5.50% Preferred Stock DRIP, 6.50% Preferred Stock DRIP, and 7.50% Preferred Stock DRIP, respectively. 229 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Shares of the Floating Rate Preferred Stock will pay a monthly dividend, when, and if authorized by, or under authority granted by, our Board of Directors, and declared by us out of funds legally available therefor, at an annualized floating rate equal to one-month Term SOFR (as defined in the Prospectus Supplement dated December 29, 2023) plus 2.00%, subject to a minimum annualized dividend rate of 6.50% (the “Cap Rate”) and a maximum annualized dividend rate of 8.00%, each with respect to the stated value of $25.00 per share of the Floating Rate Preferred Stock (computed on the basis of a 360-day year consisting of twelve 30-day months), payable in cash or through the issuance of additional Floating Rate Preferred Stock through the Floating Rate Preferred Stock DRIP. The floating dividend rate on the Floating Rate Preferred Stock will reset upon each dividend authorization by our Board of Directors, and will reset to the applicable rate as determined two U.S. Government Securities Business Days (as defined in the Prospectus Supplement dated December 29, 2023) prior to such authorization, as adjusted for the terms herein. The applicable floating dividend rate on the Floating Rate Preferred Stock is presently expected to reset approximately once every three months. Shares of the Series A Preferred Stock will pay a quarterly dividend, when and if declared by our Board of Directors, at a fixed annual dividend rate of 5.35% per annum of the Stated Value of $25.00 per share (computed on the bases of a 360-day year consisting of twelve 30-day months), payable in cash. The below distributions to our Preferred Stockholders are net of any Series M Clawback applied to Series M stock through either the Holder Optional Conversion or Holder Optional Redemption of such Series M shares. Our distributions to our 5.50% Preferred Stock holders, 6.50% Preferred Stock holders, 7.50% Preferred Stock holders, Floating Rate Preferred Stock holders and 5.35% Series A Preferred Stock holders for the year ended June 30, 2026 and June 30, 2025, are summarized in the following table: Declaration Date Record Date Payment Date Amount ($ per share), before pro ration for partial periods Amount Distributed 5.50% Preferred Stockholders 5/8/2025 7/23/2025 8/1/2025 $ 0.114583 $ 3,196 5/8/2025 8/20/2025 9/2/2025 0.114583 3,175 8/26/2025 9/18/2025 10/1/2025 0.114583 3,148 8/26/2025 10/22/2025 11/3/2025 0.114583 3,124 8/26/2025 11/19/2025 12/1/2025 0.114583 3,106 11/6/2025 12/22/2025 1/2/2026 0.114583 3,091 11/6/2025 1/21/2026 2/2/2026 0.114583 3,072 11/6/2025 2/18/2026 3/2/2026 0.114583 3,048 2/9/2026 3/18/2026 4/1/2026 0.114583 3,031 2/9/2026 4/21/2026 5/1/2026 0.114583 2,976 2/9/2026 5/20/2026 6/1/2026 0.114583 2,905 5/7/2026 6/18/2026 7/1/2026 0.114583 2,854 Distributions for the year ended June 30, 2026 $ 36,726 5/8/2024 7/17/2024 8/1/2024 $ 0.114583 $ 3,516 5/8/2024 8/15/2024 9/3/2024 0.114583 3,491 8/28/2024 9/18/2024 10/1/2024 0.114583 3,430 8/28/2024 10/16/2024 11/1/2024 0.114583 3,406 8/28/2024 11/20/2024 12/2/2024 0.114583 3,394 11/8/2024 12/18/2024 1/2/2025 0.114583 3,376 11/8/2024 1/22/2025 2/3/2025 0.114583 3,361 11/8/2024 2/19/2025 3/3/2025 0.114583 3,341 2/10/2025 3/19/2025 4/1/2025 0.114583 3,307 2/10/2025 4/18/2025 5/1/2025 0.114583 3,259 2/10/2025 5/21/2025 6/2/2025 0.114583 3,245 5/8/2025 6/18/2025 7/1/2025 0.114583 3,220 230 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Distributions for the year ended June 30, 2025 $ 40,346 6.50% Preferred Stockholders 5/8/2025 7/23/2025 8/1/2025 $ 0.135417 $ 3,567 5/8/2025 8/20/2025 9/2/2025 0.135417 3,543 8/26/2025 9/18/2025 10/1/2025 0.135417 3,524 8/26/2025 10/22/2025 11/3/2025 0.135417 3,511 8/26/2025 11/19/2025 12/1/2025 0.135417 3,488 11/6/2025 12/22/2025 1/2/2026 0.135417 3,470 11/6/2025 1/21/2026 2/2/2026 0.135417 3,448 11/6/2025 2/18/2026 3/2/2026 0.135417 3,425 2/9/2026 3/18/2026 4/1/2026 0.135417 3,406 2/9/2026 4/21/2026 5/1/2026 0.135417 3,388 2/9/2026 5/20/2026 6/1/2026 0.135417 3,358 5/7/2026 6/18/2026 7/1/2026 0.135417 3,332 Distributions for the year ended June 30, 2026 $ 41,460 5/8/2024 7/17/2024 8/1/2024 0.135417 $ 3,803 5/8/2024 8/15/2024 9/3/2024 0.135417 3,785 8/28/2024 9/18/2024 10/1/2024 0.135417 3,749 8/28/2024 10/16/2024 11/1/2024 0.135417 3,702 8/28/2024 11/20/2024 12/2/2024 0.135417 3,696 11/8/2024 12/18/2024 1/2/2025 0.135417 3,686 11/8/2024 1/22/2025 2/3/2025 0.135417 3,665 11/8/2024 2/19/2025 3/3/2025 0.135417 3,627 2/10/2025 3/19/2025 4/1/2025 0.135417 3,607 2/10/2025 4/18/2025 5/1/2025 0.135417 3,594 2/10/2025 5/21/2025 6/2/2025 0.135417 3,582 5/8/2025 6/18/2025 7/1/2025 0.135417 3,571 Distributions for the year ended June 30, 2025 $ 44,067 Floating Rate Preferred Stockholders 5/8/2025 7/23/2025 8/1/2025 $ 0.135417 $ 1,244 5/8/2025 8/20/2025 9/2/2025 0.135417 1,244 8/26/2025 9/18/2025 10/1/2025 0.135417 1,235 8/26/2025 10/22/2025 11/3/2025 0.135417 1,229 8/26/2025 11/19/2025 12/1/2025 0.135417 1,226 11/6/2025 12/22/2025 1/2/2026 0.135417 1,212 11/6/2025 1/21/2026 2/2/2026 0.135417 1,217 11/6/2025 2/18/2026 3/2/2026 0.135417 1,185 2/9/2026 3/18/2026 4/1/2026 0.135417 1,204 2/9/2026 4/21/2026 5/1/2026 0.135417 1,201 2/9/2026 5/20/2026 6/1/2026 0.135417 1,201 5/7/2026 6/18/2026 7/1/2026 0.135417 1,182 Distributions for the year ended June 30, 2026 $ 14,580 231 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) 5/8/2024 7/17/2024 8/1/2024 $ 0.152550 $ 876 5/8/2024 8/15/2024 9/3/2024 0.152550 1,052 8/28/2024 9/18/2024 10/1/2024 0.151584 1,111 8/28/2024 10/16/2024 11/1/2024 0.151584 1,225 8/28/2024 11/20/2024 12/2/2024 0.151584 1,314 11/8/2024 12/18/2024 1/2/2025 0.138583 1,262 11/8/2024 1/22/2025 2/3/2025 0.138583 1,290 11/8/2024 2/19/2025 3/3/2025 0.138583 1,276 2/10/2025 3/19/2025 4/1/2025 0.135417 1,231 2/10/2025 4/18/2025 5/1/2025 0.135417 1,244 2/10/2025 5/21/2025 6/2/2025 0.135417 1,245 5/8/2025 6/18/2025 7/1/2025 0.135417 1,245 Distributions for the year ended June 30, 2025 $ 14,371 5.35% Preferred Stockholders 5/8/2025 7/23/2025 8/1/2025 $ 0.334375 $ 1,756 8/26/2025 10/22/2025 11/3/2025 0.334375 1,756 11/6/2025 1/21/2026 2/2/2026 0.334375 1,756 2/9/2026 4/21/2026 5/1/2026 0.334375 1,756 Distributions for the year ended June 30, 2026 $ 7,024 5/8/2024 7/17/2024 8/1/2024 $ 0.334375 $ 1,756 8/28/2024 10/16/2024 11/1/2024 0.334375 1,756 11/8/2024 1/22/2025 2/3/2025 0.334375 1,756 2/10/2025 4/18/2025 5/1/2025 0.334375 1,756 Distributions for the year ended June 30, 2025 $ 7,024 7.50% Preferred Stockholders 5/8/2025 7/23/2025 8/1/2025 $ 0.156250 $ 331 5/8/2025 8/20/2025 9/2/2025 0.156250 384 8/26/2025 9/18/2025 10/1/2025 0.156250 419 8/26/2025 10/22/2025 11/3/2025 0.156250 456 8/26/2025 11/19/2025 12/1/2025 0.156250 508 11/6/2025 12/22/2025 1/2/2026 0.156250 556 11/6/2025 1/21/2026 2/2/2026 0.15625 603 11/6/2025 2/18/2026 3/2/2026 0.15625 638 2/9/2026 3/18/2026 4/1/2026 0.15625 676 2/9/2026 4/21/2026 5/1/2026 0.15625 711 2/9/2026 5/20/2026 6/1/2026 0.15625 766 5/7/2026 6/18/2026 7/1/2026 0.15625 790 Distributions for the year ended June 30, 2026 $ 6,838 1/17/2025 1/22/2025 2/3/2025 $ 0.156250 $ 15 1/17/2025 2/19/2025 3/3/2025 0.156250 78 232 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) 2/10/2025 3/19/2025 4/1/2025 0.156250 149 2/10/2025 4/18/2025 5/1/2025 0.156250 218 2/10/2025 5/21/2025 6/2/2025 0.156250 264 5/8/2025 6/18/2025 7/1/2025 0.156250 299 Distributions for the year ended June 30, 2025 $ 1,023 The above table includes dividends paid during the year ended June 30, 2026. It does not include distributions previously declared to the 5.50% Preferred Stock holders, 6.50% Preferred Stock holders, 7.50% Preferred Stock holders, Floating Rate Preferred Stock holders and 5.35% Series A Preferred Stock holders of record for any future dates, as those amounts are not yet determinable. The following dividends were previously declared and will be recorded and paid subsequent to June 30, 2026: •$0.114583 per share (before pro ration for partial period holders of record) for 5.50% Preferred Stock holders of record on July 22, 2026 with a payment date of August 3, 2026. •$0.114583 per share (before pro ration for partial period holders of record) for 5.50% Preferred Stock holders of record on August 19, 2026 with a payment date of September 1, 2026. •$0.135417 per share (before pro ration for partial period holders of record) for 6.50% Preferred Stock holders of record on July 22, 2026 with a payment date of August 3, 2026. •$0.135417 per share (before pro ration for partial period holders of record) for 6.50% Preferred Stock holders of record on August 19, 2026 with a payment date of September 1, 2026. •$0.135417 per share (before pro ration for partial period holders of record) for Floating Rate Preferred Stock holders of record on July 22, 2026 with a payment date of August 3, 2026. •$0.135417 per share (before pro ration for partial period holders of record) for Floating Rate Preferred Stock holders of record on August 19, 2026 with a payment date of September 1, 2026. •$0.334375 per share (before pro ration for partial period holders of record) for 5.35% Series A Preferred Stock holders of record on July 22, 2026 with a payment date of August 3, 2026. •$0.156250 per share (before pro ration for partial period holders of record) for 7.50% Preferred Stock holders of record on July 22, 2026 with a payment date of August 3, 2026. •$0.156250 per share (before pro ration for partial period holders of record) for 7.50% Preferred Stock holders of record on August 19, 2026 with a payment date of September 1, 2026. As of June 30, 2026, we have accrued approximately $4 and $1,185 in dividends that have not yet been paid for our 7.50% Preferred Stock holders and 5.35% Series A Preferred Stock holders, respectively. 233 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) The following table shows our outstanding Preferred Stock as of June 30, 2026: Series Shares Authorized(8) Maximum Offering Size (Shares) Maximum Aggregate Liquidation Preference of Offering Inception to Date Preferred Shares Sold via Offering Inception to Date Liquidation Preference Issued via Offering Preferred Stock Issued and Outstanding Liquidation Preference Outstanding Series A1 72,069,234 105,858,302 (1) $ 2,646,458 (1) 31,448,021 $ 786,201 23,775,096 (4) $ 594,377 Series M1 76,769,095 105,858,302 (1) 2,646,458 (1) 4,110,318 102,758 885,095 (4) 22,127 Series M2 80,000,000 105,858,302 (1) 2,646,458 (1) — — — — Series A3 77,558,483 105,858,302 (1) 2,646,458 (1) 25,020,192 625,505 22,804,790 (4) 570,120 Series M3 77,797,471 105,858,302 (1) 2,646,458 (1) 3,490,259 87,256 1,658,155 (4) 41,454 Series A4 89,819,436 105,858,302 (1) 2,646,458 (1) 7,025,668 175,642 6,873,274 (5) 171,832 Series M4 89,664,559 105,858,302 (1) 2,646,458 (1) 938,860 23,472 1,910,755 (5) 47,769 Series A5 89,980,894 105,858,302 (1) 2,646,458 (1) 4,115,892 102,897 4,104,726 (5) 102,618 Series M5 89,996,200 105,858,302 (1) 2,646,458 (1) 909,536 22,738 1,080,460 (5) 27,012 Series A2 872,000 187,000 4,675 187,000 4,675 59,000 (4) 1,475 Series A 22,151,157 22,000,000 (2) 550,000 6,065,692 151,642 5,316,849 (6) 132,921 Total 766,678,529 128,045,302 (3) $ 3,201,133 (3) 83,311,438 $ 2,082,785 (7) 68,468,200 $ 1,711,704 (7) (1) The maximum offering of 105,858,302 shares and $2,646,458 aggregate liquidation preference is for any combination of Series A1, Series M1, Series M2, Series A3, Series M3, Series A4, Series M4, Series A5, and Series M5 shares. (2) The maximum offering of 22,000,000 shares and $550,000 aggregate liquidation preference is related to (i) the public offering of 6,000,000 shares, or $150,000 in aggregate liquidation preference, of our Series A Preferred Stock in July 2021 and (ii) the Series A Preferred Stock ATM Program of up to 16,000,000 shares, or $400,000 in aggregate liquidation preference, of our Series A Preferred Stock. (3) The authorized maximum offering size of Preferred Stock as of June 30, 2026 was 128,045,302 shares, par value $0.001 per share, with an aggregate liquidation preference of $3,201,133, a liquidation preference of $25.00 per share. The totals referenced in the above table are in light of the combined maximum offering amounts for the various series of shares identified in footnote 1 and the table columns are not intended to foot. (4) Preferred Stock shares issued and outstanding is calculated as shares issued under the respective offering program, including additional shares issued through the Preferred Stock DRIP and net of Preferred Stock conversions to common stock through the Holder Optional Conversion and Optional Redemption Upon Death of Holder. Refer to subsequent tables for respective fiscal year activity. (5) Preferred Stock shares outstanding is calculated as shares issued under the respective offering program, including additional shares issued through the Preferred Stock DRIP and net of Preferred Stock redemptions through the Holder Optional Redemption and Optional Redemption Upon Death of Holder. Refer to subsequent tables for respective fiscal year activity. (6) Preferred Stock shares outstanding is calculated as shares issued under the respective offering or Series A Preferred Stock ATM Program, net of shares repurchased via open market purchases and shares retired via the Tender Offer. Refer to subsequent tables for respective fiscal year activity. (7) Does not foot due to rounding. (8) Each share of preferred stock converted into shares of common stock, redeemed, exchanged or acquired by the Company is canceled and retired and is not reissued, and is returned to the status of authorized but unissued common stock. 234 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) The following table shows our outstanding Preferred Stock as of June 30, 2025: Series Shares Authorized Maximum Offering Size (Shares) Maximum Aggregate Liquidation Preference of Offering Inception to Date Preferred Shares Sold via Offering Inception to Date Liquidation Preference Issued via Offering Preferred Stock Shares Issued and Outstanding(5) Liquidation Preference Outstanding Series A1 75,117,364 90,000,000 (1) $ 2,250,000 (1) 31,448,021 $ 786,201 26,763,091 (4) $ 669,077 Series M1 77,006,609 90,000,000 (1) 2,250,000 (1) 4,110,318 102,758 1,122,110 (4) 28,053 Series M2 80,000,000 90,000,000 (1) 2,250,000 (1) — — — — Series A3 78,908,326 90,000,000 (1) 2,250,000 (1) 25,020,192 625,505 24,081,697 (4) 602,042 Series M3 78,422,515 90,000,000 (1) 2,250,000 (1) 3,490,259 87,256 2,281,053 (4) 57,026 Series A4 89,941,659 90,000,000 (1) 2,250,000 (1) 7,025,668 175,642 6,981,297 (5) 174,532 Series M4 89,967,162 90,000,000 (1) 2,250,000 (1) 938,860 23,472 2,209,528 (5) 55,238 Series A5 90,000,000 90,000,000 (1) 2,250,000 (1) 1,645,964 41,149 1,647,217 41,180 Series M5 90,000,000 90,000,000 (1) 2,250,000 (1) 345,478 8,637 415,787 10,395 Series AA1 20,000,000 10,000,000 (2) 250,000 (2) — — — — Series MM1 20,000,000 10,000,000 (2) 250,000 (2) — — — — Series AA2 20,000,000 10,000,000 (2) 250,000 (2) — — — — Series MM2 20,000,000 10,000,000 (2) 250,000 (2) — — — — Series A2 976,000 187,000 4,675 187,000 4,675 163,000 (4) 4,075 Series A 6,151,157 6,000,000 150,000 6,000,000 150,000 5,251,157 (6) 131,279 Total 836,490,792 106,187,000 (3) $ 2,654,675 (3) 80,211,760 $ 2,005,294 (7) 70,915,937 $ 1,772,897 (1) The maximum offering of 90,000,000 shares and $2,250,000 aggregate liquidation preference was for any combinations of Series A1, Series M1, Series M2, Series A3, Series M3, Series A4, Series M4, Series A5, and Series M5 shares. (2) The maximum offering of 10,000,000 shares and $250,000 aggregate liquidation preference was for any combinations of Series AA1, Series MM1, Series AA2, and Series MM2. (3) The authorized maximum offering size of Preferred Stock as of June 30, 2025 was 106,187,000 shares, par value $0.001 per share, with an aggregate liquidation preference of $2,654,675, a liquidation preference of $25.00 per share. The totals referenced in the above table are in light of the combined maximum offering amounts for the various series of shares identified in footnote 1 and footnote 2 and the table columns are not intended to foot. (4) Preferred Stock shares outstanding is calculated as shares issued under the respective offering program, including additional shares issued through the Preferred Stock DRIP and net of Preferred Stock conversions to common stock through the Holder Optional Conversion and Optional Redemption Upon Death of Holder. Refer to subsequent tables for respective fiscal year activity. (5) Preferred Stock shares issued and outstanding is calculated as shares issued under the respective offering program including additional shares issued through the Preferred Stock DRIP and net of Preferred Stock redemptions through the Holder Optional Redemption and Optional Redemption Upon Death of Holder. Refer to subsequent tables for respective fiscal year activity. (6) Preferred Stock shares outstanding is calculated as shares issued under the respective offering program net of shares repurchased via open market purchases and shares retired via the Tender Offer. Refer to subsequent tables for respective fiscal year activity. (7) Does not foot due to rounding. Preferred Stock issued prior to the issuance of our 5.35% Series A Preferred Stock has a carrying value equal to liquidation value per share on our Consolidated Statements of Assets and Liabilities. Subsequent issuances of our Preferred Stock classified as temporary equity are recorded net of issuance costs, with the Floating Rate Preferred Stock and 7.50% Preferred Stock immediately accreted to redemption value as discussed above. The carrying value of all Preferred Stock is inclusive of cumulative accrued and unpaid dividends as of June 30, 2026 and June 30, 2025. 235 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Series A1, Series A2, Series M1, Series A3, and Series M3 shares outstanding are net of dividend reinvestments paid and conversions to common stock in accordance with their liquidation features. Series A4, Series M4, Series A5, and Series M5 shares outstanding are net of dividend reinvestments paid and redemptions in accordance with their liquidation features. Series A shares outstanding are net of shares repurchased via the authorized repurchase of Series A Preferred Stock. Series M shares outstanding are net of shares exchanged for shares of alternative Series M stock. The following tables show such activity during the year ended June 30, 2026: Series June 30, 2025 Shares Outstanding Shares Issued Shares issued through Preferred Stock DRIP Exchanges Redemptions/Repurchases(1) June 30, 2026 Shares Outstanding Series A1 26,763,091 — 60,135 — (3,048,130) 23,775,096 Series M1 1,122,110 — 498 (44,894) (192,619) 885,095 Series A3 24,081,697 — 72,937 — (1,349,844) 22,804,790 Series M3 2,281,053 — 2,146 (59,132) (565,912) 1,658,155 Series A4 6,981,297 — 14,200 — (122,223) 6,873,274 Series M4 2,209,528 — 3,831 — (302,603) 1,910,755 (2) Series A5 1,647,217 2,469,928 6,687 — (19,106) 4,104,726 Series M5 415,787 564,058 388 104,026 (3,800) 1,080,460 (2) Series A2 163,000 — — — (104,000) 59,000 Series A 5,251,157 65,692 — — — 5,316,849 Total 70,915,937 3,099,678 (3) 160,822 — (5,708,237) 68,468,200 (1)During the year ended June 30, 2026, 5,260,505 shares of the 5.50% Preferred Stock and 6.50% Preferred Stock, were converted to common shares via Holder Optional Redemptions and Optional Redemptions Upon Death of Holder and 447,732 shares of the Floating Rate Preferred Stock and 7.50% Preferred Stock were redeemed for cash via Holder Optional Redemptions. (2)Does not foot or crossfoot due to fractional share rounding. (3)During the year ended June 30, 2026, we issued 3,099,678 shares of Preferred Stock for net proceeds of $70,356 with a liquidation value of $77,492. The following tables show such activity during the year ended June 30, 2025: Series June 30, 2024 Shares Outstanding Shares Issued Shares issued through Preferred Stock DRIP Exchanges Redemptions/Repurchases(1) June 30, 2025 Shares Outstanding Series A1 28,932,457 — 66,115 — (2,235,479) 26,763,091 (2) Series M1 1,788,851 — 758 (195,938) (471,561) 1,122,110 Series A3 24,810,648 87,237 76,763 — (892,951) 24,081,697 Series M3 3,351,101 17,000 3,220 (283,198) (807,069) 2,281,053 (2) Series A4 3,766,166 3,260,346 13,125 — (58,341) 6,981,297 (2) Series M4 1,401,747 428,912 2,775 408,932 (32,838) 2,209,528 Series A5 — 1,645,964 1,252 — — 1,647,217 (2) Series M5 — 345,478 108 70,200 — 415,787 (2) Series A2 164,000 — — — (1,000) 163,000 Series A 5,251,157 — — — — 5,251,157 Total 69,466,127 5,784,937 (3) 164,116 (4) (4) (4,499,240) (2) 70,915,937 (2) (1)During the year ended June 30, 2025, 4,408,060 shares of the 5.50% Preferred Stock and 6.50% Preferred Stock were converted to common shares via Holder Optional Redemptions and Optional Redemptions Upon Death of Holder and 91,179 shares of the Floating Rate Preferred Stock were redeemed for cash via Holder Optional Redemptions. (2)Does not foot or crossfoot due to fractional share rounding. (3)During the year ended June 30, 2025, we issued 5,784,937 shares of Preferred Stock for net proceeds of $131,562 with a liquidation value of $144,623. (4)During the year ended June 30, 2025, an aggregate amount of 4.17 fractional shares were exchanged and paid to the exchanging holders with cash in lieu of the exchanged shares. 236 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Common Stock Our common stockholders’ equity accounts as of June 30, 2026 and June 30, 2025 reflect cumulative shares issued, net of shares previously repurchased, as of those respective dates. Our common stock has been issued through public offerings, a registered direct offering, the exercise of over-allotment options on the part of the underwriters, our common stock dividend reinvestment plan in connection with the acquisition of certain controlled portfolio companies and in connection with our 5.50% and 6.50% Preferred Stock Holder Optional Conversion and Optional Redemptions Following Death of a Holder. When our common stock is issued, the related offering expenses have been charged against paid-in capital in excess of par. All underwriting fees and offering expenses were borne by us. On August 24, 2011, our Board of Directors approved a share repurchase plan (the “Repurchase Program”), pursuant to which we may repurchase up to $100,000 of our common stock at prices below our net asset value per share. Prior to any repurchase, we are required to notify stockholders of our intention to purchase our common stock. We did not repurchase any shares of our common stock under the Repurchase Program for the years ended June 30, 2026 and June 30, 2025. As of June 30, 2026, the approximate dollar value of shares that may yet be purchased under the Repurchase Program is $65,860. Excluding common stock dividend reinvestments and shares issued in connection with the 5.50% and 6.50% Preferred Stock Holder Optional Conversion and Optional Redemption Upon Death of Holder, during the years ended June 30, 2026 and June 30, 2025, we did not issue any shares of our common stock. On February 9, 2016, we amended our common stock dividend reinvestment plan that provided for reinvestment of our dividends or distributions on behalf of our stockholders, unless a stockholder elects to receive cash, to add the ability of stockholders to purchase additional common shares by making optional cash investments. Under the revised dividend reinvestment and direct common stock repurchase plan, stockholders may elect to purchase additional common shares through our transfer agent in the open market or in negotiated transactions. On April 17, 2020, our Board of Directors approved further amendments to our common stock dividend reinvestment plan, effective May 21, 2020, that principally provide for the number of newly-issued shares of our common stock to be credited to a stockholder’s account shall be determined by dividing the total dollar amount of the distribution payable to such common stockholder by 95% of the market price per share of our common stock at the close of regular trading on the Nasdaq Global Select Market on the date fixed by our Board of Directors for such distribution. On July 7, 2026 at a special meeting of stockholders, our stockholders authorized us to sell shares of our common stock (during the next 12 months) at a price or prices below our net asset value per share at the time of sale in one or more offerings, subject to certain conditions as set forth in the proxy statement relating to the special meeting (including that the number of shares sold on any given date does not exceed 25% of its outstanding common stock immediately prior to such sale). During the years ended June 30, 2026 and June 30, 2025, we distributed approximately $249,696 and $264,059, respectively, to our common stockholders. The following table summarizes our distributions to common stockholders declared and payable for the years ended June 30, 2026 and June 30, 2025: 237 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Declaration Date Record Date Payment Date Amount Per Share Amount Distributed (in thousands) 5/8/2025 7/29/2025 8/20/2025 $ 0.045 $ 20,623 5/8/2025 8/27/2025 9/18/2025 0.045 20,805 8/26/2025 9/26/2025 10/22/2025 0.045 20,965 8/26/2025 10/29/2025 11/18/2025 0.045 21,145 11/6/2025 11/25/2025 12/18/2025 0.045 21,308 11/6/2025 12/29/2025 1/21/2026 0.045 21,441 11/6/2025 1/28/2026 2/18/2026 0.045 21,653 2/9/2026 2/25/2026 3/19/2026 0.045 21,812 2/9/2026 3/27/2026 4/21/2026 0.045 21,956 2/9/2026 4/28/2026 5/19/2026 0.045 22,382 5/7/2026 5/27/2026 6/18/2026 0.035 17,661 5/7/2026 6/26/2026 7/22/2026 0.035 17,945 Total declared and payable for the year ended June 30, 2026 $ 249,696 5/8/2024 7/29/2024 8/21/2024 $ 0.06 $ 25,607 5/8/2024 8/28/2024 9/19/2024 0.06 25,739 8/28/2024 9/26/2024 10/22/2024 0.06 26,012 8/28/2024 10/29/2024 11/19/2024 0.06 26,135 11/8/2024 11/26/2024 12/19/2024 0.045 19,671 11/8/2024 12/27/2024 1/22/2025 0.045 19,748 11/8/2024 1/29/2025 2/19/2025 0.045 19,842 2/10/2025 2/26/2025 3/20/2025 0.045 19,995 2/10/2025 3/27/2025 4/17/2025 0.045 20,129 2/10/2025 4/28/2025 5/20/2025 0.045 20,297 5/8/2025 5/28/2025 6/18/2025 0.045 20,380 5/8/2025 6/26/2025 7/22/2025 0.045 20,504 Total declared and payable for the year ended June 30, 2025 $ 264,059 Dividends and distributions to common stockholders are recorded on the ex-dividend date. As such, the table above includes distributions with record dates during the year ended June 30, 2026 and June 30, 2025. It does not include distributions previously declared to common stockholders of record on any future dates, as those amounts are not yet determinable. The following dividends were previously declared and will be recorded and payable subsequent to June 30, 2026: •$0.035 per share for July 2026 holders of record on July 29, 2026 with a payment date of August 20, 2026. •$0.035 per share for August 2026 holders of record on August 27, 2026 with a payment date of September 17, 2026. During the years ended June 30, 2026 and June 30, 2025, we issued 10,834,822 and 7,505,661 shares of our common stock, respectively, in connection with the common stock dividend reinvestment plan. As of June 30, 2026, we have reserved 612,825,656 shares of our common stock for issuance upon conversion of the 5.50% Preferred Stock and the 6.50% Preferred Stock and 89,165,178 shares of our common stock for issuance to common stock holders pursuant to our common stock dividend reinvestment and direct stock purchase plan. 238 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Note 10. Other Income Other income consists of structuring fees, amendment fees, overriding royalty interests, receipts related to net profit and revenue interests, deal deposits, administrative agent fees, and other miscellaneous and sundry cash receipts. The following table shows income from such sources during the years ended June 30, 2026, 2025, and 2024: Year Ended June 30, 2026 2025 2024 Structuring and amendment fees $ 9,000 $ 12,348 $ 27,666 Royalty, net profit and revenue interests 668 15,838 51,001 Administrative agent fees 887 763 730 Total other income $ 10,555 $ 28,949 $ 79,397 Note 11. Net Increase (Decrease) in Net Assets per Common Share Basic earnings (loss) per share is calculated by dividing the net increase (decrease) in net assets resulting from operations, less preferred stock dividends plus net gain (loss) on repurchase and accretion to redemption value of redeemable preferred stock, by the weighted average number of common shares outstanding for that period. Diluted earnings (loss) per share gives effect to all dilutive potential common shares outstanding using the if-converted method for the 5.50% Preferred Stock, the 6.50% Preferred Stock (see Note 9) and for the year ended June 30, 2024, the 2025 Notes (see Note 5). The 2025 Notes matured on March 1, 2025 and therefore are excluded from the if-converted method of dilutive earnings per share for the years ended June 30, 2026 and June 30, 2025. Diluted earnings per share excludes all dilutive potential common shares if their effect is anti-dilutive. During the year ended June 30, 2026, all 49,182,136 shares of our issued and outstanding Convertible Preferred Stock has an anti-dilutive effect and therefore, conversion is not assumed. During the year ended June 30, 2025, all 54,410,942 shares of our issued and outstanding Convertible Preferred Stock has an anti-dilutive effect and therefore, conversion is not assumed. During the year ended June 30, 2024, conversion of our Convertible Notes and 3,711,904 shares of our issued and outstanding Convertible Preferred Stock has an anti-dilutive effect and therefore, conversion is not assumed. The remaining 55,335,151 shares of issued and outstanding Convertible Preferred Stock were dilutive during the year ended June 30, 2024; therefore, the effects of their assumed conversion is reflected in the diluted earnings per share below. The following information sets forth the computation of basic and diluted earnings per common share during the year ended June 30, 2026, 2025,and 2024, respectively: 239 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) For the Year Ended June 30, 2026 2025 2024 Net increase (decrease) in net assets resulting from operations - basic $ 29,828 $ (593,762) $ 147,416 Adjustment for dividends on Convertible Preferred Stock — — 80,100 Adjustment for Incentive Fee on Convertible Instruments — — (16,020) Net increase (decrease) in net assets resulting from operations - diluted $ 29,828 $ (593,762) $ 211,496 Weighted average common shares outstanding - basic 479,866,265 440,314,909 412,703,365 Weighted average common shares from assumed conversion of Convertible Preferred Stock — — 212,573,371 Weighted average common shares from assumed conversion of Convertible Notes — — — Weighted average shares of common stock outstanding - diluted 479,866,265 440,314,909 625,276,736 Earnings (loss) per share - basic $ 0.06 $ (1.35) $ 0.36 Earnings (loss) per share - diluted $ 0.06 (1) $ (1.35) $ 0.34 (1) Dilutive impacted from conversion is less than $0.01 per share. Note 12. Income Taxes While our fiscal year end for financial reporting purposes is June 30 of each year, our tax year end is August 31 of each year. The information presented in this footnote is based on our tax year end for each period presented, unless otherwise specified. The determination of tax character of distributions was not determinable at the end of the fiscal year end. Final determination of tax character of distributions will not be final until we file our return for the tax year. For income tax purposes, dividends paid and distributions made to stockholders are reported as ordinary income, capital gains, non-taxable return of capital, or a combination thereof. The tax character of dividends paid to common stockholders during the tax years ended August 31, 2025, 2024, and 2023 were as follows: Tax Year Ended August 31, 2025 2024 2023 Ordinary income $ 189,162 $ 227,508 $ 243,085 Capital gain — — — Return of capital 69,913 71,414 44,838 Total distributions paid to common stockholders $ 259,075 $ 298,922 $ 287,923 The tax character of dividends paid to preferred stockholders during the tax years ended August 31, 2025, 2024, and 2023 were as follows: Tax Year Ended August 31, 2025 2024 2023 Ordinary income $ 106,977 $ 99,253 $ 74,975 Capital gain — — — Return of capital — — — Total distributions paid to preferred stockholders $ 106,977 $ 99,253 $ 74,975 240 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) As of August 26, 2025 when our prior Form 10-K was filed for the year ended June 30, 2025, we estimated our distributions for the fiscal year then ended to be $360,488 of distributions of ordinary income and $10,394 to be return of capital. Subsequent to our filing date, we obtained more information from our underlying investments as to the character of the distributions for the tax year ended August 31, 2025, which resulted in changes to distributions previously disclosed in our Form 10-K filing. As a result of the change, our total distributable loss on our Consolidated Statements of Assets and Liabilities for the year ended June 30, 2025 changed from $1,253,880 to $1,194,137, with $59,743 being reclassified to return of capital from ordinary income. The remaining reclassification of tax distributions classified as return of capital for the tax year ended August 31, 2025 has been adjusted in the fiscal year ended June 30, 2026. This adjustment results in an increase to distributable earnings of $10,170 for the year ended June 30, 2026. For the tax year ending August 31, 2026, the tax character of distributions paid to stockholders through June 30, 2026 is expected to be ordinary income and return of capital. However, due to the difference between our fiscal and tax year ends, the final determination of the tax character of distributions between ordinary income and return of capital will not be made until we file our tax return for the tax year ending August 31, 2026. Taxable income generally differs from net increase in net assets resulting from operations for financial reporting purposes due to temporary and permanent differences in the recognition of income and expenses, and generally excludes net unrealized gains or losses, as unrealized gains or losses are generally not included in taxable income until they are realized. The following table reconciles the net increase in net assets resulting from operations to taxable income for the tax years ended August 31, 2025, 2024, and 2023: Tax Year Ended August 31, 2025 2024 2023 Net increase (decrease) in net assets resulting from operations $ (490,501) $ 234,119 $ (88,043) Net realized (gains) losses on investments 539,089 434,238 40,795 Net unrealized (gains) losses on investments 289,399 (259,971) 480,916 Other temporary book-to-tax differences(1) (42,450) (81,794) (148,147) Permanent differences 96 62 27 Taxable income before deductions for distributions $ 295,633 $ 326,654 $ 285,548 (1) Temporary book-to-tax differences include timing recognition of CLO income, flow-through investment income/loss, and dividend income from portfolio companies. As of our most recent tax year ended August 31, 2025, we had no undistributed ordinary income in excess of cumulative distributions and no capital gain in excess of cumulative distributions. Capital losses in excess of capital gains earned in a tax year may generally be carried forward and used to offset capital gains, subject to certain limitations. As of our most recent tax year ended August 31, 2025, we had a capital loss carryforward of $711,167 available for use in later tax years. As of June 30, 2026, the cost basis of investments for tax purposes was $6,367,797 resulting in an estimated net unrealized loss of $25,239. As of June 30, 2025, the cost basis of investments for tax purposes was $6,800,692 resulting in an estimated net unrealized loss of $127,176. As of June 30, 2026, the gross unrealized gains and losses were $1,263,482 and $1,288,721, respectively. As of June 30, 2025, the gross unrealized gains and losses were $1,308,011 and $1,435,187, respectively. Due to the difference between our fiscal year end and tax year end, the cost basis of our investments for tax purposes as of June 30, 2026 and June 30, 2025 was calculated based on the book cost of investments as of June 30, 2026 and June 30, 2025, respectively, with cumulative book-to-tax adjustments for investments through August 31, 2025 and 2024, respectively. In general, we may make certain adjustments to the classification of net assets as a result of permanent book-to-tax differences, which may include merger-related items, differences in the book and tax basis of certain assets and liabilities, and nondeductible federal excise taxes, among other items. During the tax year ended August 31, 2025, we increased total distributable earnings by $97, decreased accumulated realized losses by $16,242, and decreased capital in excess of par value by $16,339. During the tax year ended August 31, 2024, we increased total distributable earnings by $63 and decreased accumulated realized losses by $21,530, and decreased capital in excess of par value by $21,593. Due to the difference between our fiscal and tax year end, the reclassifications for the taxable year ended August 31, 2025, once finalized, were recorded in the fiscal year ending June 30, 2026 and the reclassifications for the taxable year ended August 31, 2024 were recorded in the fiscal year ended June 30, 2025. 241 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Note 13. Related Party Agreements and Transactions Investment Advisory Agreement We have entered into an investment advisory and management agreement with the Investment Adviser (the “Investment Advisory Agreement”) under which the Investment Adviser, subject to the overall supervision of our Board of Directors, manages the day-to-day operations of, and provides investment advisory services to, us. Under the terms of the Investment Advisory Agreement, the Investment Adviser: (i) determines the composition of our portfolio, the nature and timing of the changes to our portfolio and the manner of implementing such changes, (ii) identifies, evaluates and negotiates the structure of the investments we make (including performing due diligence on our prospective portfolio companies), and (iii) closes and monitors investments we make. The Investment Adviser’s services under the Investment Advisory Agreement are not exclusive, and it is free to furnish similar services to other entities so long as its services to us are not impaired. For providing these services the Investment Adviser receives a fee from us, consisting of two components: a base management fee and an incentive fee. The base management fee is calculated at an annual rate of 2.00% on our total assets. For services currently rendered under the Investment Advisory Agreement, the base management fee is payable quarterly in arrears. The base management fee is calculated based on the average value of our gross assets at the end of the two most recently completed calendar quarters and appropriately adjusted for any share issuances or repurchases during the current calendar quarter. The total gross base management fee incurred to the favor of the Investment Adviser was $130,934, $145,756, and $157,001 during the years ended June 30, 2026, 2025, and 2024, respectively. The incentive fee has two parts. The first part, the income incentive fee, is calculated and payable quarterly in arrears based on our 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 (other than fees for providing managerial assistance), such as commitment, origination, structuring, diligence and consulting fees and other fees that we receive from portfolio companies) accrued during the calendar quarter, minus our operating expenses for the quarter (including the base management fee, expenses payable under the Administration Agreement described below, and any interest expense and dividends paid on any issued and outstanding preferred stock, but excluding the incentive fee). Pre-incentive fee net investment income includes, in the case of investments with a deferred interest feature (such as original issue discount, debt instruments with payment-in-kind interest and zero coupon securities), accrued income that we have not yet received in cash. Pre-incentive fee net investment income does not include any realized capital gains, realized capital losses or unrealized capital gains or losses. Pre-incentive fee net investment income, expressed as a rate of return on the value of our net assets at the end of the immediately preceding calendar quarter, is compared to a “hurdle rate” of 1.75% per quarter (7.00% annualized). The net investment income used to calculate this part of the incentive fee is also included in the amount of the gross assets used to calculate the 2.00% base management fee. We pay the Investment Adviser an income incentive fee with respect to our pre-incentive fee net investment income in each calendar quarter as follows: •No incentive fee in any calendar quarter in which our pre-incentive fee net investment income does not exceed the hurdle rate; •100.00% of our 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 125.00% of the quarterly hurdle rate in any calendar quarter (8.75% annualized assuming a 7.00% annualized hurdle rate); and •20.00% of the amount of our pre-incentive fee net investment income, if any, that exceeds 125.00% of the quarterly hurdle rate in any calendar quarter (8.75% annualized assuming a 7.00% annualized hurdle rate). These calculations are appropriately prorated for any period of less than three months and adjusted for any share issuances or repurchases during the current quarter. 242 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) The second part of the incentive fee, the capital gains incentive 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 20.00% of our realized capital gains for the calendar year, if any, computed net of all realized capital losses and unrealized capital depreciation at the end of such year. In determining the capital gains incentive fee payable to the Investment Adviser, we calculate the aggregate realized capital gains, aggregate realized capital losses and aggregate unrealized capital depreciation, as applicable, with respect to each investment that has been in our portfolio. For the purpose of this calculation, an “investment” is defined as the total of all rights and claims which may be asserted against a portfolio company arising from our participation in the debt, equity, and other financial instruments issued by that company. Aggregate realized capital gains, if any, equal the sum of the differences between the aggregate net sales price of each investment and the aggregate amortized cost basis of such investment when sold or otherwise disposed. Aggregate realized capital losses equal the sum of the amounts by which the aggregate net sales price of each investment is less than the aggregate amortized cost basis of such investment when sold or otherwise disposed. Aggregate unrealized capital depreciation equals the sum of the differences, if negative, between the aggregate valuation of each investment and the aggregate amortized cost basis of such investment as of the applicable calendar year-end. At the end of the applicable calendar year, the amount of capital gains that serves as the basis for our calculation of the capital gains incentive fee involves netting aggregate realized capital gains against aggregate realized capital losses on a since-inception basis and then reducing this amount by the aggregate unrealized capital depreciation. If this number is positive, then the capital gains incentive fee payable is equal to 20.00% of such amount, less the aggregate amount of any capital gains incentive fees paid since inception. The total income incentive fee incurred was $26,508, $40,772, and $80,548 during the years ended June 30, 2026, 2025, and 2024, respectively. No capital gains incentive fee was incurred during the years ended June 30, 2026, 2025, and 2024. Administration Agreement We have also entered into an administration agreement (the “Administration Agreement”) with Prospect Administration under which Prospect Administration, among other things, provides (or arranges for the provision of) administrative services and facilities for us. For providing these services, we reimburse Prospect Administration for our allocable portion of overhead incurred by Prospect Administration in performing its obligations under the Administration Agreement, including rent and our allocable portion of the costs of our Chief Financial Officer and Chief Compliance Officer and her staff. Under this agreement, Prospect Administration furnishes us with office facilities, equipment and clerical, bookkeeping and record keeping services at such facilities. Prospect Administration also performs, or oversees the performance of, our required administrative services, which include, among other things, being responsible for the financial records that we are required to maintain and preparing reports to our stockholders and reports filed with the SEC. In addition, Prospect Administration assists us in determining and publishing our net asset value, overseeing the preparation and filing of our tax returns and the printing and dissemination of reports to our stockholders, and generally oversees the payment of our expenses and the performance of administrative and professional services rendered to us by others. Under the Administration Agreement, Prospect Administration also provides on our behalf managerial assistance to certain portfolio companies (see Managerial Assistance to Portfolio Companies section below). The Administration Agreement may be terminated by either party without penalty upon 60 days’ written notice to the other party. Prospect Administration is a wholly-owned subsidiary of the Investment Adviser. The Administration Agreement provides that, absent willful misfeasance, bad faith or negligence in the performance of its duties or by reason of the reckless disregard of its duties and obligations, Prospect Administration and its officers, managers, partners, agents, employees, controlling persons, members and any other person or entity affiliated with it are entitled to indemnification from us for any damages, liabilities, costs and expenses (including reasonable attorneys’ fees and amounts reasonably paid in settlement) arising from the rendering of Prospect Administration’s services under the Administration Agreement or otherwise as administrator for us. Our payments to Prospect Administration are reviewed quarterly by our Board of Directors. In December 2025, Prospect Administration finalized a litigation settlement related to a portfolio company owned by the Company that provided $20,500 in proceeds to Prospect Administration. During the year ended June 30, 2026, Prospect Administration sent $2,369 of the proceeds to the Company for reimbursement of external legal fees previously incurred by us related to the litigation, which is recorded within the reimbursement of administrative expenses presented in the Consolidated Statement of Operations. From the remaining proceeds, $3,375 was sent to the portfolio company involved in the litigation settlement, and $14,756 was used to offset the below allocations of overhead expense from Prospect Administration to the Company during the year ended June 30, 2026. The gross allocation of overhead expense from Prospect Administration to the Company was $22,095, $22,257, and $25,781 for the years ended June 30, 2026, 2025, and 2024, respectively. The $17,125 in litigation settlement proceeds discussed above was 243 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) recorded in the year ended June 30, 2026 to offset this allocation of overhead expense and is presented as a reimbursement of administrative expenses to arrive at the total net operating expenses reported in the Consolidated Statement of Operations. Prospect Administration received estimated payments of $1,534, $2,615, and $4,435 directly from our portfolio companies for legal, tax, and other administrative services during the years ended June 30, 2026, 2025, and 2024, respectively. We were given a credit for these payments as a reduction of the administrative services cost payable by us to Prospect Administration. Had Prospect Administration not received these payments during the years ended June 30, 2026, 2025, and 2024, Prospect Administration’s charges for its administrative services during the respective periods would have increased by this amount. Managerial Assistance As a BDC, we are obligated under the 1940 Act to make available to certain of our portfolio companies significant managerial assistance. “Making available significant managerial assistance” refers to any arrangement whereby we provide significant guidance and counsel concerning the management, operations, or business objectives and policies of a portfolio company. We are also deemed to be providing managerial assistance to all portfolio companies that we control, either by ourselves or in conjunction with others. The nature and extent of significant managerial assistance provided by us to controlled and non-controlled portfolio companies will vary according to the particular needs of each portfolio company. Examples of such activities include (i) advice on recruiting, hiring, management and termination of employees, officers and directors, succession planning and other human resource matters; (ii) advice on capital raising, capital budgeting, and capital expenditures; (iii) advice on advertising, marketing, and sales; (iv) advice on fulfillment, operations, and execution; (v) advice on managing relationships with unions and other personnel organizations, financing sources, vendors, customers, lessors, lessees, lawyers, accountants, regulators and other important counterparties; (vi) evaluating acquisition and divestiture opportunities, plant expansions and closings, and market expansions; (vii) participating in audit committee, nominating committee, board and management meetings; (viii) consulting with and advising board members and officers of portfolio companies (on overall strategy and other matters); and (ix) providing other organizational, operational, managerial and financial guidance. Prospect Administration arranges for the provision of such managerial assistance arrangement on our behalf. When doing so, Prospect Administration utilizes its own personnel and primarily personnel of our Investment Adviser. We may bear the administrative expense of managerial assistance or, on behalf of Prospect Administration, may invoice portfolio companies receiving and paying for contractual managerial assistance, and we remit to Prospect Administration its cost of providing such services, including the charges deemed appropriate by our Investment Adviser for providing such managerial assistance. No income is recognized by Prospect. During the years ended June 30, 2026, 2025, and 2024 we received payments of $11,021 ,$9,286, $10,459, respectively, from our portfolio companies for contractual managerial assistance and subsequently remitted these amounts to Prospect Administration. Co-Investments On January 6, 2026, we, our Investment Adviser and certain affiliates received an exemptive order from the SEC (the “Order”), which superseded a prior co-investment exemptive order granted on January 13, 2020 (and amended on August 2, 2022), that permits us, among other things, to participate with other funds managed by the Investment Adviser or certain affiliates, including Priority Income Fund, Inc., Prospect Floating Rate and Alternative Income Fund, Inc. and Prospect Enhanced Yield Fund, in certain co-investment transactions, where co-investing would otherwise be prohibited under the 1940 Act, subject to the conditions included therein. Under the terms of the Order, we generally are permitted to co-invest with certain of our affiliates if such co-investments are done on the same terms and at the same time, as further detailed in the Order. The Order requires that a “required majority” (as defined in Section 57(o) of the 1940 Act) of our Board of Directors make certain findings (1) in most instances when we co-invest with our affiliate in an issuer where our affiliate has an existing investment in the issuer, and either (i) we do not have an existing investment in the issuer or (ii) we do have an existing investment in the issuer, but we are not co-investing on a pro-rata basis with our affiliate, and (2) if we dispose of an asset acquired in a transaction under the Order unless the disposition is done on a pro rata basis. Pursuant to the Order, our Board of Directors oversees our participation in the co-investment program. As required by the Order, we have adopted, and our Board of Directors has approved, policies and procedures reasonably designed to ensure compliance with the terms of the Order, and the Investment Adviser and our Chief Compliance Officer will provide reporting to the Board of Directors. 244 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) In certain situations where a co-investment with one or more funds managed by the Investment Adviser or its affiliates is not covered by the Order, such as when there is an opportunity to invest in different securities of the same issuer, the personnel of the Investment Adviser or its affiliates will need to decide which fund will proceed with the investment. Such personnel will make these determinations based on policies and procedures, which are designed to reasonably ensure that investment opportunities are allocated fairly and equitably among affiliated funds over time and in a manner that is consistent with applicable laws, rules and regulations. We reimburse CLO investment valuation services fees initially incurred by Priority Income Fund, Inc. During the years ended June 30, 2026, 2025, and 2024, we recognized expenses related to valuation services of $32, $89, and $80, respectively. Additionally, we both incur and reimburse for expenses related to marketing, insurance, legal fees, offering costs and general and administrative expenses that are allocated between Prospect, Priority Income Fund, Inc., Prospect Floating Rate and Alternative Income Fund, Inc., Prospect Enhanced Yield Fund and Prospect Credit REIT, LLC. During the year ended June 30, 2026, the net amount reimbursed to us for these expenses was $203 and during the years ended June 30, 2025 and 2024, the net amount reimbursed from us for these expenses was $51 and $177, respectively. Note 14. Transactions with Controlled Companies The descriptions below detail the transactions which Prospect Capital Corporation (“Prospect”) has entered into with each of our controlled companies. Certain of the controlled entities discussed below were consolidated effective July 1, 2014 (see Note 1). As such, transactions with these Consolidated Holding Companies are presented on a consolidated basis. Belnick, LLC (d/b/a The Ubique Group) On March 31, 2025, Prospect exercised certain rights and remedies under its loan documents to exercise voting rights in respect of the equity of Belnick, LLC and certain of its subsidiaries (“Belnick”), enabling Prospect to control 100% of the voting power of Belnick and to, among other things, appoint new officers, all of whom are our Investment Adviser’s professionals. As a result, Prospect’s investment in Belnick became classified as a control investment. Effective May 22, 2025, Prospect established 100% ownership of Belnick Holdings of Delaware, LLC (“Belnick Delaware”), a Consolidated Holding Company. On May 23, 2025, Belnick Delaware acquired a 100% voting interest in Belnick’s Class P Preferred units, which together with the voting rights obtained through proxy over the remaining Class A units, provides Prospect with 100% of the voting interest in Belnick. Belnick Delaware executed a share transfer agreement for the remaining Class A units and effective December 31, 2025, owns 100% of the membership units in Belnick. Belnick is a provider of high-volume, value-oriented furniture and furnishings to a broad range of residential and commercial end markets. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 11,508 $ 2,748 $ — Other Income Structuring Fee $ — $ 33 $ — Administrative Agent 50 — — Total Other Income $ 50 $ 33 $ — Reimbursement of Legal, Tax, etc. (1) $ 84 $ 8 $ — (1) Paid from Belnick to Prospect Administration LLC (“PA”) as reimbursement for legal, tax, and portfolio level accounting services provided directly to Belnick (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions (2) $ — $ 3,400 $ — Interest Income Capitalized as PIK 11,505 2,740 — 245 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) As of June 30, 2026 June 30, 2025 Interest Receivable (3) $ 33 $ 31 Other Receivables (4) 3 (41) (2) During the year ended June 30, 2025, Prospect provided $3,400 of equity funding. (3) Interest income recognized but not yet paid. (4) Represents amounts due from/to Belnick to/from Prospect for reimbursement of future expenses paid by Prospect on behalf of Belnick. CP Energy Services Inc. Prospect owns 100% of the equity of CP Holdings of Delaware LLC (“CP Holdings”), a Consolidated Holding Company. CP Holdings owns 99.8% of the equity of CP Energy Services, Inc. (“CP Energy”), and the remaining equity is owned by CP Energy management. CP Energy owns directly or indirectly 100% of each of CP Well; Wright Foster Disposals, LLC; Foster Testing Co., Inc.; ProHaul Transports, LLC; and Wright Trucking, Inc. CP Energy provides oilfield flowback services and fluid hauling and disposal services through its subsidiaries. In June 2019, CP Energy purchased a controlling interest in the common equity of Spartan Energy Holdings, Inc. (“Spartan Holdings”), which owns 100% of Spartan Energy Services, LLC (“Spartan”) a portfolio company of Prospect with $61,429 and $51,477 in first lien term loans (the “Spartan Term Loans”) due to us as of June 30, 2026 and June 30, 2025, respectively. As a result of CP Energy’s purchase, and given Prospect’s controlling interest in CP Energy, our Spartan Term Loans are presented as control investments under CP Energy beginning June 30, 2019. Spartan remains the direct borrow and guarantor to Prospect for the Spartan Term Loans. In December 2019, Wolf Energy Holdings, Inc. (“Wolf Energy Holdings”), our Consolidated Holding Company that previously owned 100% of Appalachian Energy LLC (“AEH”); Wolf Energy Services Company, LLC (“Wolf Energy Services”); and Wolf Energy, LLC (collectively our previously controlled membership interest and net profit interest investments in “Wolf Energy”), merged with and into CP Energy, with CP Energy continuing as the surviving entity. CP Energy acquired 100% of our equity investment in Wolf Energy, which is reflected in our valuation of the CP Energy common stock beginning December 31, 2019. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income Interest Income from CP Energy $ 13,355 $ 12,550 $ 11,452 Interest Income from Spartan 6,898 6,013 4,840 Total Interest Income $ 20,253 $ 18,563 $ 16,292 Reimbursement of Legal, Tax, etc. (1) $ 7 $ 35 $ 99 (1) Paid from CP Energy to Prospect Administration LLC as reimbursement for legal, tax, and portfolio level accounting services provided directly to CP Energy (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions CP Energy $ 3,601 $ 9,600 $ 2,900 Spartan 7,000 5,931 4,569 Total Additions $ 10,601 $ 15,531 $ 7,469 Interest Income Capitalized as PIK CP Energy $ 7,252 $ 5,574 $ 8,455 Spartan 2,952 4,370 3,954 Total Interest Income Capitalized as PIK $ 10,204 $ 9,944 $ 12,409 246 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) As of June 30, 2026 June 30, 2025 Interest Receivable (2) $ 59 $ 55 Other Receivables (3) 1,107 778 (2) Interest income recognized but not yet paid. (3) Represents amounts due from CP Energy and Spartan to Prospect for reimbursement of expenses paid by Prospect on behalf of CP Energy and Spartan. Credit Central Loan Company, LLC Prospect owns 100% of the equity of Credit Central Holdings of Delaware, LLC (“Credit Central Delaware”), a Consolidated Holding Company. Credit Central Delaware owns 99.8% of the equity of Credit Central Loan Company, LLC (f/k/a Credit Central Holdings, LLC) (“Credit Central”), with entities owned by Credit Central management owning the remaining equity. Credit Central owns 100% of each of Credit Central, LLC; Credit Central South, LLC; Credit Central of Texas, LLC; and Credit Central of Tennessee, LLC. Credit Central is a branch-based provider of installment loans. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 6,355 $ 8,711 $ 8,207 Managerial Assistance (1) 700 700 700 Reimbursement of Legal, Tax, etc. (2) — — 6 (1) No income recognized by Prospect. Managerial Assistance (“MA”) payments were paid from Credit Central to Prospect and subsequently remitted to PA. (2) Paid from Credit Central to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to Credit Central (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ 2,714 $ — $ — Accreted Original Issue Discount — — 1,105 Interest Income Capitalized as PIK — 7,949 4,882 As of June 30, 2026 June 30, 2025 Interest Receivable (3) $ 15 $ 26 Other Receivables (4) 79 11 (3) Interest income recognized but not yet paid. (4) Represents amounts due from Credit Central to Prospect for reimbursement of expenses paid by Prospect on behalf of Credit Central. Echelon Transportation LLC (f/k/a Echelon Aviation LLC) 247 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Prospect owns 100% of the membership interests of Echelon Transportation LLC (“Echelon”). Echelon owns 60.7% of the equity of AerLift Leasing Limited (“AerLift”). Following Echelon’s receipt of the final plane proceeds in the year ended June 30, 2026, we wrote off the remaining cost basis of our common and preferred equity and recognized realized losses of $22,738 and $29,596 respectively. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 1,297 $ 3,343 $ 3,470 Managerial Assistance (1) 189 250 250 Reimbursement of Legal, Tax, etc. (2) 37 288 6 (1) No income recognized by Prospect. MA payments were paid from Echelon to Prospect and subsequently remitted to PA. (2) Paid from Echelon to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to Echelon (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income Capitalized as PIK $ — $ 1,260 $ — Repayment of Loan Receivable 57,986 1,260 1,861 Realized (Loss) Gain (52,334) — — As of June 30, 2026 June 30, 2025 Interest Receivable (3) $ — $ 1,378 Other Receivables (4) 9 24 (3) Interest income recognized but not yet paid. (4) Represents amounts due from Echelon to Prospect for reimbursement of expenses paid by Prospect on behalf of Echelon. Energy Solutions Holdings Inc. Prospect owns 100% of the equity of Energy Solutions Holdings Inc. (“Energy Solutions”), a Consolidated Holding Company. Energy Solutions owns 100% of each of Freedom Marine Solutions, LLC (“Freedom Marine”) (see discussion below for transactions with our controlled portfolio company “Freedom Marine Solutions, LLC”) and Yatesville Coal Company, LLC (“Yatesville”). Energy Solutions also serves as the holding company for our 4.9% voting interest of Discovery MSO Holdco, LLC. Discovery MSO Holdco, LLC owns 100% of Discovery Point Retreat, LLC, a non-control portfolio company of Prospect with outstanding principal of $20,135 in first lien term loans and $293 in first lien delay draw term loans due to us as of June 30, 2026. Energy Solutions also serves as the holding company for our 4.7% voting interest of TCSPV Holdings IV, LLC. TCSPV Holdings IV, LLC owns 100% of Healthcare Venture Partners, LLC, a non-control portfolio company of Prospect with outstanding principal of $11,570 in first lien term loans due to us as of June 30, 2026. Energy Solutions also serves as the holding company for our 4.8% voting interest of BFC-SDR, LLC. BFC-SDR, LLC owns 100% of Safety Solutions Financing, LLC, a non-control portfolio company of Prospect with outstanding principal of $19,252 in first lien term loans due to us as of June 30, 2026. First Tower Finance Company LLC Prospect owns 100% of the equity of First Tower Holdings of Delaware LLC (“First Tower Delaware”), a Consolidated Holding Company. First Tower Delaware holds 80.10% of the voting interest of First Tower Finance Company LLC (“First Tower Finance”), resulting in a 78.06% ownership of First Tower Finance. First Tower Finance owns 100% of First Tower, LLC (“First Tower”), a multiline specialty finance company. 248 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 71,975 $ 65,954 $ 62,675 Other Income Structuring Fee $ 328 $ 421 $ — Total Other Income $ 328 $ 421 $ — Managerial Assistance (1) $ 2,400 $ 2,400 $ 2,400 Reimbursement of Legal, Tax, etc. (2) 13 — — (1) No income recognized by Prospect. MA payments were paid from First Tower to Prospect and subsequently remitted to PA. (2) Paid from First Tower to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to First Tower (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ 10,928 $ 17,501 $ — Interest Income Capitalized as PIK 31 10,115 29,385 Repayment of Loan Receivable 2,867 437 319 As of June 30, 2026 June 30, 2025 Interest Receivable (3) $ 205 $ 189 Other Receivables (4) 4 96 (3) Interest income recognized but not yet paid. (4) Represents amounts due from First Tower to Prospect for reimbursement of expenses paid by Prospect on behalf of First Tower. Freedom Marine Solutions, LLC As discussed above, Prospect owns 100% of the equity of Energy Solutions, a Consolidated Holding Company. Energy Solutions owns 100% of Freedom Marine. Freedom Marine owns 100% of each of Vessel Company, LLC (“Vessel”); Vessel Company II, LLC (“Vessel II”); and Vessel Company III, LLC (“Vessel III”). Vessel II owns MV JF Jett LLC; MV Clint Jett, LLC; and MV Gulf Endeavor, LLC. Vessel III owns MV FMS Courage, LLC; and MV FMS Endurance, LLC. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Reimbursement of Legal, Tax, etc. (1) $ — $ 1 $ — (1) Paid from Freedom Marine to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to Freedom Marine (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ 850 $ 975 $ — 249 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) As of June 30, 2026 June 30, 2025 Other Receivables (2) $ 5 $ 1 (2) Represents amounts due from Freedom Marine to Prospect for reimbursement of expenses paid by Prospect on behalf of Freedom Marine. InterDent, Inc. Prospect owns 100% of the equity of InterDent, Inc. (“InterDent”). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 42,685 $ 39,207 $ 36,946 Managerial Assistance (1) 1,463 1,463 1,463 Reimbursement of Legal, Tax, etc. (2) 21 15 23 (1) No income recognized by Prospect. MA payments were paid from InterDent to Prospect and subsequently remitted to PA. (2) Paid from InterDent to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to InterDent (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ 18,000 $ 17,000 $ — Interest Income Capitalized as PIK 17,916 15,479 23,249 As of June 30, 2026 June 30, 2025 Interest Receivable (3) $ 124 $ 116 Other Receivables (4) 11 55 (3) Interest income recognized but not yet paid. (4) Represents amounts due from InterDent to Prospect for reimbursement of expenses paid by Prospect on behalf of InterDent. Kickapoo Ranch Pet Resort Prospect owns 100% of the membership interest of Kickapoo Ranch Pet Resort (“Kickapoo”). Kickapoo is a luxury pet boarding facility. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 81 $ 160 $ 92 Dividend Income — — 80 Other Income Structuring Fee $ — $ — $ 75 Total Other Income $ — $ — $ 75 250 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ — $ — $ 1,500 Repayment of Loan Receivable — 800 — As of June 30, 2026 June 30, 2025 Other Receivables (1) $ 11 $ 4 (1) Represents amounts due from Kickapoo to Prospect for reimbursement of expenses paid by Prospect on behalf of Kickapoo. MITY, Inc. Prospect owns 100% of the equity of MITY Holdings of Delaware Inc. (“MITY Delaware”), a Consolidated Holding Company. MITY Delaware owns 100% of the equity of MITY, Inc. (f/k/a MITY Enterprises, Inc.) (“MITY”). MITY owns 100% of each of MITY-Lite, Inc. (“MITY-Lite”); Broda USA, Inc. (f/k/a Broda Enterprises USA, Inc.) (“Broda USA”); and Broda Enterprises ULC (“Broda Canada”). MITY is a designer, manufacturer and seller of multipurpose room furniture and specialty healthcare seating products. During the three months ended December 31, 2016, Prospect formed a separate legal entity, MITY FSC, Inc., (“MITY FSC”) in which Prospect owns 100% of the equity. MITY FSC does not have material operations. This entity earns commission payments from MITY-Lite based on its sales to foreign customers, and distributes it to its shareholder. We recognize such commission, if any, as other income. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 9,052 $ 8,801 $ 8,434 Interest Income from Broda Canada 538 535 554 Total Interest Income $ 9,590 $ 9,336 $ 8,988 Other Income Structuring Fee $ 178 $ 107 $ 130 Total Other Income $ 178 $ 107 $ 130 Managerial Assistance (1) $ 450 $ 376 $ 300 Reimbursement of Legal, Tax, etc. (2) 31 37 23 Realized (Loss) Gain 19 12 (1) (1) No income recognized by Prospect. MA payments were paid from MITY to Prospect and subsequently remitted to PA. (2) Paid from MITY to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to MITY (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ 7,123 $ 4,265 $ 5,150 251 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) As of June 30, 2026 June 30, 2025 Interest Receivable (3) $ 27 $ 26 Other Receivables (4) 2 65 (3) Interest income recognized but not yet paid. (4) Represents amounts due from MITY to Prospect for reimbursement of expenses paid by Prospect on behalf of MITY. National Property REIT Corp. Prospect owns 100% of the equity of NPH Property Holdings, LLC (“NPH”), a Consolidated Holding Company. NPH owns 100% of the common equity of National Property REIT Corp. (“NPRC”). NPRC is a Maryland corporation and a qualified REIT for federal income tax purposes. In order to qualify as a REIT, NPRC issued 125 shares of Series A Cumulative Non-Voting Preferred Stock to 125 accredited investors. The preferred stockholders are entitled to receive cumulative dividends semi-annually at an annual rate of 12.5% and do not have the ability to participate in the management or operation of NPRC. NPRC was formed to hold for investment, operate, finance, lease, manage, and sell a portfolio of real estate assets and engage in any and all other activities as may be necessary, incidental or convenient to carry out the foregoing. NPRC acquires real estate assets, including, but not limited to, industrial, commercial, and multi-family properties. NPRC may acquire real estate assets directly or through joint ventures by making a majority equity investment in a property-owning entity (the “JV”). Additionally, through its wholly owned subsidiaries, NPRC invests in online consumer loans and rated secured structured notes (“RSSN”). During the year ended June 30, 2026, we provided $47,564 of debt financing to NPRC to fund real estate capital expenditures and provide working capital. During the year ended June 30, 2026, we received partial repayments of $73,323 of our loans previously outstanding with NPRC and its wholly owned subsidiary. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 60,395 $ 89,786 $ 99,538 Other Income Structuring Fee $ — $ — $ 16,470 Royalty, net profit and revenue interests — 14,825 50,329 Total Other Income $ — $ 14,825 $ 66,799 Managerial Assistance (1) $ 2,300 $ 1,767 $ 3,525 Reimbursement of Legal, Tax, etc. (2) 1,777 2,151 1,664 (1) No income recognized by Prospect. MA payments were paid from NPRC to Prospect and subsequently remitted to PA. (2) Paid from NPRC to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to NPRC (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ 47,564 $ 96,995 $ 252,944 Interest Income Capitalized as PIK — 2,728 1,004 Repayment of Loan Receivable 73,323 285,386 108,950 252 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) As of June 30, 2026 June 30, 2025 Interest Receivable (3) $ 158 $ 1,100 Other Receivables (4) 1 (1) (3) Interest income recognized but not yet paid. (4) Represents amounts due to NPRC from Prospect for a credit of reimbursements of expenses paid by Prospect on behalf of NPRC. Nationwide Loan Company LLC Prospect owns 100% of the membership interests of Nationwide Acceptance Holdings LLC (“Nationwide Holdings”), a Consolidated Holding Company. Nationwide Holdings owns 94.22% of the equity of Nationwide Loan Company LLC (“Nationwide”), with members of Nationwide management owning the remaining 5.78% of the equity. On June 20, 2025, the First Lien Term Loan debt of $29,091 converted to equity. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 1,049 $ 3,793 $ 5,111 Other Income Structuring Fee $ — $ — $ 147 Total Other Income $ — $ — $ 147 Managerial Assistance (1) $ 400 $ 400 $ 100 Reimbursement of Legal, Tax, etc. (2) 3 115 3 (1) No income recognized by Prospect. MA payments were paid from Nationwide to Prospect and subsequently remitted to PA. (2) Paid from Nationwide to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to Nationwide (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ — $ 4,000 $ 5,350 Interest Income Capitalized as PIK 1,049 2,484 4,622 As of June 30, 2026 June 30, 2025 Interest Receivable (3) $ 3 $ 3 Other Receivables (4) 55 36 (3) Interest income recognized but not yet paid. (4) Represents amounts due from Nationwide to Prospect for reimbursement of expenses paid by Prospect on behalf of Nationwide. NMMB, Inc. Prospect owns 100% of the equity of NMMB Holdings, Inc. (“NMMB Holdings”), a Consolidated Holding Company. NMMB Holdings owns 92.77% of the fully-diluted equity of NMMB, Inc. (f/k/a NMMB Acquisition, Inc.) (“NMMB”) as of June 30, 2026 and June 30, 2025, with NMMB management owning the remaining equity. NMMB owns 100% of Refuel Agency, Inc. (“Refuel Agency”). Refuel Agency owns 100% of Armed Forces Communications, Inc. (“Armed Forces”). NMMB is an advertising media buying business. 253 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 3,820 $ 4,039 $ 4,255 Dividend Income (1) 2,112 — 657 Managerial Assistance (2) 400 400 400 Realized (Loss) Gain 2,108 6,366 1,040 Reimbursement of Legal, Tax, etc. (3) 17 9 1 (1) All dividends were paid from earnings and profits of NMMB. (2) No income recognized by Prospect. MA payments were paid from NMMB to Prospect and subsequently remitted to PA. (3) Paid from NMMB to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to NMMB (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). As of June 30, 2026 June 30, 2025 Interest Receivable (4) $ 10 $ 11 Other Receivables (5) 1 10 (4) Interest income recognized but not yet paid. (5) Represents amounts due from NMMB to Prospect for reimbursement of expenses paid by Prospect on behalf of NMMB. Pacific World Corporation Prospect owns 100% of the preferred equity of Pacific World Corporation (“Pacific World”), which represents a 99.99% and 99.99% fully-diluted ownership interest of Pacific World as of June 30, 2026 and June 30, 2025, respectively. As a result, Prospect’s investment in Pacific World is classified as a control investment. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 9,775 $ 9,865 $ 10,164 Other Income Structuring Fee $ 418 $ 286 $ 812 Total Other Income $ 418 $ 286 $ 812 Reimbursement of Legal, Tax, etc. (1) $ — $ 38 $ 5 (1) Paid from Pacific World to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to Pacific World (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ 16,700 $ 14,275 $ 32,500 Interest Income Capitalized as PIK 8,126 6,317 9,021 Repayment of Loan Receivable — 4,875 — 254 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) As of June 30, 2026 June 30, 2025 Interest Receivable (2) $ 27 $ 27 Other Receivables (3) 197 155 (2) Interest income recognized but not yet paid. (3) Represents amounts due from Pacific World to Prospect for reimbursement of expenses paid by Prospect on behalf of Pacific World. QC Holdings TopCo, LLC As of June 30, 2026 and June 30, 2025, Prospect holds a 95.4% and 99.55% equity interest in QC Holdings TopCo, LLC (“QC Holdings”), representing a controlling beneficial interest in QC Holdings per the 1940 Act. QC Holdings specializes in consumer-focused alternative financial services and credit solutions. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 13,767 $ 37 $ — Other Income Structuring Fee $ — $ 2,319 $ — Total Other Income $ — $ 2,319 $ — Managerial Assistance (1) $ 650 $ — $ — Reimbursement of Legal, Tax, etc. (2) 269 — — (1) No income recognized by Prospect. MA payments were paid from QC Holdings to Prospect and subsequently remitted to PA. (2) Paid from QC Holdings to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to QC Holdings (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ 6,805 $ 77,286 $ — As of June 30, 2026 June 30, 2025 Interest Receivable (2) $ 40 $ 37 Other Receivables (3) (122) (132) (2) Interest income recognized but not yet paid. (3) Represents amounts due to QC Holdings from Prospect for a credit of reimbursements of expenses paid by Prospect on behalf of QC Holdings. R-V Industries, Inc. Prospect owns 100% of the equity of R-V Holdings of Delaware, LLC (“R-V Holdings”), a Consolidated Holding Company. R-V Holdings owns 90.28% of the fully-diluted equity of R-V Industries, Inc. (“R-V”), with R-V management owning the remaining 9.72% of the equity. On December 15, 2020 we restructured our $28,622 Senior Subordinated Note with R-V into a $28,622 First Lien Note. No realized gain or loss was recorded as a result of the transaction. 255 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 6,333 $ 5,558 $ 5,358 Dividend Income (1) 13,288 8,774 — Other Income Advisory Fee $ — $ — $ 106 Total Other Income $ — $ — $ 106 Managerial Assistance (2) $ 180 $ 180 $ 180 Reimbursement of Legal, Tax, etc. (3) 13 14 17 (1) All dividends were paid from earnings and profits of R-V. (2) No income recognized by Prospect. MA payments were paid from R-V to Prospect and subsequently remitted to PA. (3) Paid from R-V to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to R-V (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ 14,000 $ 10,000 $ 3,700 As of June 30, 2026 June 30, 2025 Interest Receivable (4) $ — $ 16 Other Receivables (5) 10 8 (4) Interest income recognized but not yet paid. (5) Represents amounts due from R-V to Prospect for reimbursement of expenses paid by Prospect on behalf of R-V. Strategic Chemical Solutions Corp. (effective October 21, 2025 f/k/a USES Corp.) Prospect owns 99.96% of the equity of Strategic Chemical Solutions Corp. as of June 30, 2026. Strategic Chemical Solutions Corp. provides industrial, environmental, and maritime services in the Gulf States region. On December 31, 2025, we wrote down the cost basis of the Term Loan A and the Term Loan B loans to zero and realized a loss of $35,568 and $30,651 respectively. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 2,826 $ 2,775 $ 1,990 Other Income Administrative Agent $ 6 $ — $ — Total Other Income $ 6 $ — $ — Realized (Loss) Gain $ (66,219) $ — $ — Reimbursement of Legal, Tax, etc. (1) 4 74 — 256 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) (1) Paid from Strategic Chemical Solutions Corp. to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to Strategic Chemical Solutions Corp. (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ — $ 6,000 $ — Interest Income Capitalized as PIK 1,405 2,638 1,545 Repayment of Loan Receivable — 2,300 — As of June 30, 2026 June 30, 2025 Interest Receivable (2) $ 8 $ 8 Other Receivables (3) 197 221 (2) Interest income recognized but not yet paid. (3) Represents amounts due from Strategic Chemical Solutions Corp. to Prospect for reimbursement of expenses paid by Prospect on behalf of Strategic Chemical Solutions Corp. Universal Turbine Parts, LLC On December 10, 2018, UTP Holdings Group, Inc. (“UTP Holdings”) purchased all of the voting stock of Universal Turbine Parts, LLC (“UTP”) and appointed a new board of directors to UTP Holdings, consisting of three employees of the Investment Adviser. At the time UTP Holdings acquired UTP, UTP Holdings (f/k/a Harbortouch Holdings of Delaware) was a wholly-owned holding company controlled by Prospect and therefore Prospect’s investment in UTP is classified as a control investment. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 6,043 $ 4,755 $ 4,030 Dividend Income (1) 6,179 — — Other Income Structuring Fee $ — $ 300 $ — Total Other Income $ — $ 300 $ — Managerial Assistance (2) $ 10 $ 10 $ 10 Reimbursement of Legal, Tax, etc. (3) 14 21 3,345 (1) All dividends were paid from earnings and profits of UTP. (2) No income recognized by Prospect. MA payments were paid from UTP to Prospect and subsequently remitted to PA. (3) Paid from UTP to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to UTP (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions $ — $ 20,000 $ 2,500 Dividend Income Capitalized as PIK 6,179 — — Repayment of Loan Receivable 248 107 49 257 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) As of June 30, 2026 June 30, 2025 Interest Receivable (4) $ 16 $ 17 Other Receivables (5) 4 10 (4) Interest income recognized but not yet paid. (5) Represents amounts due from UTP to Prospect for reimbursement of expenses paid by Prospect on behalf of UTP. Valley Electric Company, Inc. Prospect owns 100% of the common stock of Valley Electric Holdings I, Inc. (“Valley Holdings I”), a Consolidated Holding Company. Valley Holdings I owns 100% of Valley Electric Holdings II, Inc. (“Valley Holdings II”), a Consolidated Holding Company. Valley Holdings II owns 94.99% of Valley Electric Company, Inc. (“Valley Electric”), with Valley Electric management owning the remaining 5.01% of the equity. Valley Electric owns 100% of the equity of VE Company, Inc., which owns 100% of the equity of Valley Electric Co. of Mt. Vernon, Inc. (“Valley”), a leading provider of specialty electrical services in the state of Washington and among the top 50 electrical contractors in the United States. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income Interest Income from Valley $ 1,238 $ 1,314 $ 1,389 Interest Income from Valley Electric 11,300 11,363 10,927 Total Interest Income $ 12,538 $ 12,677 $ 12,316 Dividend Income (1) $ 10,924 $ — $ — Other Income Royalty, net profit and revenue interests $ 666 $ 666 $ 666 Total Other Income $ 666 $ 666 $ 666 Managerial Assistance (2) $ 600 $ 600 $ 600 Reimbursement of Legal, Tax, etc. (3) 12 3 — (1) All dividends were paid from earnings and profits of Valley. (2) No income recognized by Prospect. MA payments were paid from Valley Electric to Prospect and subsequently remitted to PA. (3) Paid from Valley to PA as reimbursement for legal, tax, and portfolio level accounting services provided directly to Valley (No direct income recognized by Prospect, but we were given a credit for these payments as a reduction to the administrative services payable by Prospect to PA). Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income Capitalized as PIK $ — $ — $ 4,763 As of June 30, 2026 June 30, 2025 Interest Receivable (4) $ 35 $ 757 Other Receivables (5) 9 9 (4) Interest income recognized but not yet paid. (5) Represents amounts due from Valley Electric to Prospect for reimbursement of expenses paid by Prospect on behalf of Valley Electric. 258 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Victor Technology, LLC Prospect owns 100% of the equity of Victor Holdings of Delaware, LLC (“Victor Holdings”), a Consolidated Holding Company. During the year ended June 30, 2026, Victor Holdings acquired 100% of the equity interest in VTI Acquisition, Inc. (“VTI”) and 100% of the equity interest in Victor Technology, LLC (“Victor Technology”). As a result, Prospect’s investment in Victor Technology is classified as a control investment as of June 30, 2026. Victor Technology is a manufacturer and distributor of office supplies, including calculators, standing desks, organizers and paperclips. Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Interest Income $ 619 $ — $ — Other Income Administrative Agent $ 13 $ — $ — Total Other Income $ 13 $ — $ — Years Ended June 30, 2026 June 30, 2025 June 30, 2024 Additions (1) $ 2,000 $ — $ — Repayment of Loan Receivable 150 — — (1) During the year ended June 30, 2026, Prospect provided $2,000 of equity funding. As of June 30, 2026 June 30, 2025 Interest Receivable (2) $ 3 $ — Other Receivables (3) 17 — (2) Interest income recognized but not yet paid. (3) Represents amounts due from Victor Technology to Prospect for reimbursement of expenses paid by Prospect on behalf of Victor Technology. Note 15. Litigation From time to time, we may become involved in various investigations, claims and legal proceedings that arise in the ordinary course of our business. These matters may relate to intellectual property, employment, tax, regulation, contract or other matters. The resolution of such matters as may arise will be subject to various uncertainties and, even if such claims are without merit, could result in the expenditure of significant financial and managerial resources. We are not aware of any material legal proceedings as of June 30, 2026. 259 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Note 16. Financial Highlights The following is a schedule of financial highlights for each of the five years ended in the period ended June 30, 2026: Year Ended June 30, 2026 2025 2024 2023 2022 Per Share Data(10) Net asset value per common share at beginning of year $ 6.56 $ 8.74 $ 9.24 $ 10.48 $ 9.81 Net investment income 0.68 0.77 1.02 1.06 0.88 Net realized and change in unrealized gains (losses)(1) (0.40) (1.87) (0.42) (1.31) 0.61 Net increase (decrease) from operations 0.28 (1.11) (5) 0.60 (0.25) 1.49 Distributions of net investment income to preferred stockholders (0.22) (4) (0.24) (0.24) (0.17) (0.05) Distributions of capital gains to preferred stockholders — (4) — — (7) — (7) (0.01) Total distributions to preferred stockholders (0.22) (0.24) (0.24) (0.17) (0.06) Net increase (decrease) from operations applicable to common stockholders 0.06 (1.35) 0.36 (0.43) (5) 1.43 Distributions of net investment income to common stockholders (0.50) (4) (0.44) (8) (0.56) (0.60) (0.60) Distributions of capital gains to common stockholders — (4) — — (0.02) (0.11) Return of capital to common stockholders (0.02) (4) (0.16) (8) (0.16) (0.10) (0.01) Total distributions to common stockholders (0.52) (0.60) (0.72) (0.72) (0.72) Effect of other comprehensive income (9) 0.01 Common stock transactions(2) (0.41) (0.25) (0.15) (0.10) (0.05) Offering costs from issuance of preferred stock — — — — (0.03) Reclassification of preferred stock issuance costs — — — — 0.03 Net asset value per common share at end of year $ 5.71 (5) $ 6.56 (5) $ 8.74 (5) $ 9.24 (5) $ 10.48 (5) Per share market value at end of year $ 2.31 $ 3.18 $ 5.53 $ 6.20 $ 6.99 Total return based on market value(3) (10.73 %) (33.71 %) 1.47 % (1.37 %) (8.59 %) Total return based on net asset value(3) 6.97 % (13.47 %) 7.61 % (1.96 %) 17.21 % Shares of common stock outstanding at end of year 512,746,556 455,902,826 424,846,963 404,033,549 393,164,437 Weighted average shares of common stock outstanding 479,866,265 440,314,909 412,703,365 398,514,965 390,571,648 Ratios/Supplemental Data Net assets at end of year $ 2,928,846 $ 2,988,772 $ 3,711,733 $ 3,732,665 $ 4,119,123 Portfolio turnover rate 7.03 % 12.43 % 7.56 % 6.05 % 15.92 % Ratio of operating expenses to average net assets applicable to common shares(6)(11) 10.55 % 11.26 % 11.84 % 11.01 % 9.00 % Ratio of net investment income to average net assets applicable to common shares(6) 11.00 % 10.03 % 11.25 % 10.75 % 8.44 % (1)Realized gains (losses) is inclusive of net realized losses (gains) on investments, net realized losses (gains) from extinguishment of debt, net realized gains (losses) on derivative instruments and foreign currency transactions, and net realized gains (losses) from the repurchases and redemptions of preferred stock. (2)Common stock transactions include the effect of our issuance of common stock in public offerings (net of underwriting and offering costs), shares issued in connection with our common stock dividend reinvestment plan, and common shares issued pursuant to the Holder Optional Conversion of our 5.50% Preferred Stock and 6.50% Preferred Stock. (3)Total return based on market value is based on the change in market price per common share between the opening and ending market prices per share in each period and assumes that common stock dividends are reinvested in accordance with our common stock dividend reinvestment plan. Total return based on net asset value is based upon the change in net asset value per common share between the opening and ending net asset values per common share in each period and assumes that dividends are reinvested in accordance with our common stock dividend reinvestment plan. For periods less than a year, total return is not annualized. (4)Tax character of distributions is not yet finalized for the respective fiscal period and will not be finalized until we file our tax return for our tax year ending August 31, 2026. Refer to Note 12. (5)Does not foot due to rounding. 260 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) (6)Operating expenses for the respective fiscal periods do not reflect the effect of dividend payments to preferred shareholders. (7)Effect is less than $0.01. (8)The amounts reflected for the respective fiscal periods were updated based on tax information received subsequent to our Form 10-K filing for the year ended June 30, 2025. Certain reclassifications have been made in the presentation of prior period amounts. See Note 2 and Note 12 within the accompanying notes to the consolidated financial statements for further discussion. (9)Effect of other comprehensive income is related to income/(loss) deemed attributable to instrument specific credit risk derived from changes in fair value associated with liabilities valued under the fair value option (ASC 825.) (10)Per share data amount is based on the basic weighted average number of common shares outstanding for the year/period presented (except for dividends to stockholders which is based on actual rate per share). (11)Absent the reimbursement of administrative expenses described in Note 13, the ratio of operating expenses to average net assets applicable to common shares would have been 11.13% for the year ended June 30, 2026. 261 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Note 17. Segment Reporting The Company operates through a single operating and reporting segment with an investment objective to generate both current income and capital appreciation. The chief operating decision maker (“CODM”) is comprised of the Company’s chief executive officer and chief operating officer and the CODM assesses the performance and makes operating decisions of the Company on a consolidated basis primarily based on the Company’s net increase (decrease) in net assets resulting from operations applicable to common stockholders (“net income”). In addition to numerous other factors and metrics, the CODM utilizes net income as a key metric in determining the amount of dividends to be distributed to the Company’s common stockholders. As the Company’s operations comprise of a single reporting segment, the segment assets are reflected on the accompanying consolidated statements of assets and liabilities as “total assets” and the significant segment expenses are listed on the accompanying consolidated statement of operations. 262 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) Note 18. Subsequent Events Management has evaluated subsequent events through the date of issuance of these consolidated financial statements and has determined that there are no subsequent events outside the ordinary scope of business that require adjustment to, or disclosure in, the consolidated financial statements other than those disclosed below. On August 20, 2026, we announced the declaration of monthly dividends for our for 7.50% Preferred Stock holders of record on the following dates based on an annual dividend rate equal to 7.50% of the stated value of $25.00 per share as set forth in the Articles Supplementary for the Preferred Stock, from the date of issuance or, if later from the most recent dividend payment date (the first business day of the month, with no additional dividend accruing in November as a result), as follows: Monthly Cash 7.50% Preferred Shareholder Distribution Record Date Payment Date Monthly Amount ($ per share), before pro ration for partial periods September 2026 9/21/2026 10/1/2026 $0.156250 October 2026 10/21/2026 11/2/2026 $0.156250 November 2026 11/18/2026 12/1/2026 $0.156250 On August 20, 2026, we announced the declaration of monthly dividends for our Floating Rate Preferred Stock for holders of record on the following dates based on an annualized dividend rate equal to 6.50% of the stated value of $25.00 per share as set forth in the Articles Supplementary for the Preferred Stock, from the date of issuance or, if later from the most recent dividend payment date (the first business day of the month, with no additional dividend accruing in November as a result), authorized on August 19, 2026, as follows: Monthly Cash Floating Rate Preferred Shareholder Distribution Record Date Payment Date Monthly Amount ($ per share), before pro ration for partial periods September 2026 9/21/2026 10/1/2026 $0.135417 October 2026 10/21/2026 11/2/2026 $0.135417 November 2026 11/18/2026 12/1/2026 $0.135417 On August 20, 2026, we announced the declaration of monthly dividends for our 5.50% Preferred Stock for holders of record on the following dates based on an annual dividend rate equal to 5.50% of the stated value of $25.00 per share as set forth in the Articles Supplementary for the Preferred Stock, from the date of issuance or, if later from the most recent dividend payment date (the first business day of the month, with no additional dividend accruing in November as a result), as follows: Monthly Cash 5.50% Preferred Shareholder Distribution Record Date Payment Date Monthly Amount ($ per share), before pro ration for partial periods September 2026 9/21/2026 10/1/2026 $0.114583 October 2026 10/21/2026 11/2/2026 $0.114583 November 2026 11/18/2026 12/1/2026 $0.114583 263 PROSPECT CAPITAL CORPORATION NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) (in thousands, except share and per share data) On August 20, 2026, we announced the declaration of monthly dividends for our 6.50% Preferred Stock for holders of record on the following dates based on an annual dividend rate equal to 6.50% of the stated value of $25.00 per share as set forth in the Articles Supplementary for the Preferred Stock, from the date of issuance or, if later from the most recent dividend payment date (the first business day of the month, with no additional dividend accruing in November as a result), as follows: Monthly Cash 6.50% Preferred Shareholder Distribution Record Date Payment Date Monthly Amount ($ per share), before pro ration for partial periods September 2026 9/21/2026 10/1/2026 $0.135417 October 2026 10/21/2026 11/2/2026 $0.135417 November 2026 11/18/2026 12/1/2026 $0.135417 On August 20, 2026, we announced the declaration of quarterly dividends for our 5.35% Preferred Stock for holders of record on the following dates based on an annual dividend rate equal to 5.35% of the stated value of $25.00 per share as set forth in the Articles Supplementary for the 5.35% Preferred Stock, from the date of issuance or, if later from the most recent dividend payment date (the first business day of the month, with no additional dividend accruing in November as a result), as follows: Quarterly Cash 5.35% Preferred Shareholder Distribution Record Date Payment Date Amount ($ per share) August 2026 - October 2026 10/21/2026 11/2/2026 $0.334375 On August 20, 2026, we announced the declaration of monthly dividends on our common stock as follows: Monthly Cash Common Stockholder Distribution Record Date Payment Date Amount ($ per share) September 2026 9/28/2026 10/21/2026 $0.0350 October 2026 10/28/2026 11/18/2026 $0.0350 On July 1, 2026, we sold our 94.99% equity interests in Valley Electric for total consideration of $280,779, including fees and escrowed amounts. The consideration includes repayment in full of the $10,452 First Lien Term Loan, $34,777 First Lien Term B, and $38,630 First Lien Term Loan receivable to us, together with $35 of accrued interest and a $2,516 prepayment premium for early repayment, as well as a $9,840 advisory fee for the transaction. We received $143,874 of cash at closing and recorded a realized gain of $131,821 on the sale of our equity position in Valley Electric. In addition, there is $40,655 being held in escrow and additional future earn-out potential that will be recognized as additional realized gain if and when it is received. On August 19, 2026, the Company filed an amendment to its charter (the “Articles of Amendment”) with the SDAT to increase the Company’s authorized shares of stock from 2,000,000,000 shares of stock to 4,000,000,000 shares of stock. The foregoing description of the Articles of Amendment is only a summary and is qualified in its entirety by reference to the full text of the Articles of Amendment, a copy of which is filed as Exhibit 3.21 to this Annual Report on Form 10-K. On August 19, 2026, the Board of Directors of the Company amended and restated the bylaws of the Company (the “Amended and Restated Bylaws”) to change the voting standard for uncontested director elections from absolute majority to majority of the votes cast. The foregoing description of the Amended and Restated Bylaws is only a summary and is qualified in its entirety by reference to the full text of the Amended and Restated Bylaws, a copy of which is filed as Exhibit 3.2 to this Annual Report on Form 10-K. 264