Blue Owl Capital Corporation Reports First Quarter Net Investment Income Per Share of $0.47 and NAV Per Share of $15.47
Blue Owl Capital reported a strong first quarter with net investment income per share of $0.47, exceeding dividends by 25%. The NAV per share increased to $15.47, the highest since inception. The company declared a first quarter supplemental dividend of $0.05 per share. The Board approved a 2024 Repurchase Program of up to $150 million. Investment income increased to $399.6 million, expenses rose to $211.6 million, and liquidity stood at $742.8 million in cash.
Record net asset value per share for the third consecutive quarter.
12.1% return on equity for the quarter.
Announced a second quarter regular dividend of $0.37 per share.
Declared a first quarter supplemental dividend of $0.05 per share.
Approved a 2024 Repurchase Program of up to $150 million.
New investment commitments totaled $1,202.7 million across 18 new portfolio companies and 13 existing portfolio companies.
Interest expenses increased, impacting total expenses.
Decline in the principal amount of new investments funded compared to the previous period.
Loans on non-accrual represented 1.8% of the total fair value of the debt portfolio.
FIRST QUARTER 2024 HIGHLIGHTS
- First quarter net investment income ("NII") per share of
$0.47 25% - As a result, the Board of Directors (the "Board") declared a first quarter supplemental dividend of
$0.05 - Total dividends for the first quarter were
$0.42 10.9% annualized dividend yield based on first quarter net asset value ("NAV") per share - NAV per share increased to
$15.47 $15.45
"OBDC's first quarter results reflect a strong start to the year, achieving record net asset value per share for the third consecutive quarter while maintaining solid credit performance," commented Craig W. Packer, Chief Executive Officer. "We generated a
Dividend Declarations
The Company's Board declared a second quarter 2024 regular dividend of
The Board also declared a first quarter 2024 supplemental dividend of
2024 Stock Repurchase Program
On May 6, 2024, the Board approved the 2024 Repurchase Program (the "repurchase program") under which the Company may repurchase up to
PORTFOLIO AND INVESTING ACTIVITY
For the three months ended March 31, 2024, new investment commitments totaled
For the three months ended March 31, 2024, the principal amount of new investments funded was
For the three months ended December 31, 2023, the principal amount of new investments funded was
As of March 31, 2024 and December 31, 2023, the Company had investments in 198 and 193 portfolio companies with an aggregate fair value of
As of March 31, 2024, based on fair value, our portfolio consisted of
As of December 31, 2023, based on fair value, our portfolio consisted of
As of March 31, 2024 and December 31, 2023, approximately
As of March 31, 2024 and December 31, 2023, the weighted average total yield of accruing debt and income-producing securities at fair value (which includes interest income and amortization of fees and discounts) was
As of March 31, 2024, loans on non-accrual represented
RESULTS OF OPERATIONS FOR THE FIRST QUARTER ENDED MARCH 31, 2024
Investment Income
Investment income increased to
Expenses
Total expenses increased to
Liquidity and Capital Resources
As of March 31, 2024, we had
CONFERENCE CALL AND WEBCAST INFORMATION
Conference Call Information:
The conference call will be broadcast live on May 9, 2024 at 10:00 a.m. Eastern Time on the Events section of OBDC's website at www.BlueOwlCapitalCorporation.com. Please visit the website to test your connection before the webcast.
Participants are also invited to access the conference call by dialing one of the following numbers:
- Domestic: (877) 737-7048
- International: +1 (201) 689-8523
All callers will need to reference "Blue Owl Capital Corporation" once connected with the operator. All callers are asked to dial in 10-15 minutes prior to the call so that name and company information can be collected.
Replay Information:
An archived replay will be available for 14 days via a webcast link located on the Events section of OBDC's website, and via the dial-in numbers listed below:
- Domestic: (877) 660-6853
- International: +1 (201) 612-7415
- Conference ID: 13745168
ABOUT BLUE OWL CAPITAL CORPORATION
Blue Owl Capital Corporation (NYSE: OBDC) is a specialty finance company focused on lending to
Certain information contained herein may constitute "forward-looking statements" that involve substantial risks and uncertainties. Such statements involve known and unknown risks, uncertainties and other factors and undue reliance should not be placed thereon. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about OBDC, its current and prospective portfolio investments, its industry, its beliefs and opinions, and its assumptions. Words such as "anticipates," "expects," "intends," "plans," "will," "may," "continue," "believes," "seeks," "estimates," "would," "could," "should," "targets," "projects," "outlook," "potential," "predicts" and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond OBDC's control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements including, without limitation, the risks, uncertainties and other factors identified in OBDC's filings with the SEC. Investors should not place undue reliance on these forward-looking statements, which apply only as of the date on which OBDC makes them. OBDC does not undertake any obligation to update or revise any forward-looking statements or any other information contained herein, except as required by applicable law.
INVESTOR CONTACTS
Investor Contact:
BDC Investor Relations
credit-ir@blueowl.com
Media Contact:
Prosek Partners
Josh
pro-blueowl@prosek.com
FINANCIAL HIGHLIGHTS | ||||
For the Three Months Ended | ||||
($ in thousands, except per share amounts) | March 31, | December 31, | March 31, | |
Investments at Fair Value | $ 12,414,384 | $ 12,713,348 | $ 13,157,251 | |
Total Assets | $ 13,329,632 | $ 13,511,396 | $ 13,679,100 | |
Net Asset Value Per Share | $ 15.47 | $ 15.45 | $ 15.15 | |
Investment Income | $ 399,577 | $ 411,227 | $ 377,622 | |
Net Investment Income | $ 182,765 | $ 199,021 | $ 177,859 | |
Net Income | $ 182,517 | $ 188,969 | $ 201,842 | |
Net Investment Income Per Share | $ 0.47 | $ 0.51 | $ 0.45 | |
Net Realized and Unrealized Gains (and Losses) Per Share | $ — | $ (0.03) | $ 0.07 | |
Net Income Per Share | $ 0.47 | $ 0.48 | $ 0.52 | |
Distributions Declared from Net Investment Income Per Share | $ 0.37 | $ 0.35 | $ 0.33 | |
Supplemental Distributions Declared from Net Investment Income Per Share | $ 0.05 | $ 0.08 | $ 0.06 | |
Weighted Average Yield of Accruing Debt and Income Producing Securities at Fair Value | 12.1 % | 12.4 % | 12.0 % | |
Weighted Average Yield of Accruing Debt and Income Producing Securities at Amortized Cost | 12.3 % | 12.5 % | 12.0 % | |
Percentage of Debt Investment Commitments at Floating Rates | 97.3 % | 97.4 % | 98.2 % | |
CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES | ||||
(Amounts in thousands, except share and per share amounts) | ||||
March 31, 2024 | December 31, | |||
Assets | ||||
Investments at fair value | ||||
Non-controlled, non-affiliated investments (amortized cost of | $ 10,831,170 | $ 11,264,956 | ||
Non-controlled, affiliated investments (amortized cost of | 32,223 | 19,988 | ||
Controlled, affiliated investments (amortized cost of | 1,550,991 | 1,428,404 | ||
Total investments at fair value (amortized cost of | 12,414,384 | 12,713,348 | ||
Cash (restricted cash of | 666,716 | 658,702 | ||
Foreign cash (cost of | 76,095 | 956 | ||
Interest receivable | 119,050 | 112,260 | ||
Receivable from a controlled affiliate | 25,985 | 22,978 | ||
Prepaid expenses and other assets | 27,402 | 3,152 | ||
Total Assets | $ 13,329,632 | $ 13,511,396 | ||
Liabilities | ||||
Debt (net of unamortized debt issuance costs of | $ 6,885,675 | $ 7,077,088 | ||
Distribution payable | 144,201 | 136,407 | ||
Management fee payable | 47,243 | 47,711 | ||
Incentive fee payable | 38,768 | 42,217 | ||
Payables to affiliates | 6,252 | 3,835 | ||
Accrued expenses and other liabilities | 178,963 | 182,745 | ||
Total Liabilities | 7,301,102 | 7,490,003 | ||
Commitments and contingencies (Note 7) | ||||
Net Assets | ||||
Common shares | 3,897 | 3,897 | ||
Additional paid-in-capital | 5,924,002 | 5,924,002 | ||
Accumulated undistributed (overdistributed) earnings | 100,631 | 93,494 | ||
Total Net Assets | 6,028,530 | 6,021,393 | ||
Total Liabilities and Net Assets | $ 13,329,632 | $ 13,511,396 | ||
Net Asset Value Per Share | $ 15.47 | $ 15.45 | ||
CONSOLIDATED STATEMENTS OF OPERATIONS | |||
(Amounts in thousands, except share amounts) | |||
(Unaudited) | |||
For the Three Months Ended | |||
2024 | 2023 | ||
Investment Income | |||
Investment income from non-controlled, non-affiliated investments: | |||
Interest income | $ 294,450 | $ 288,678 | |
Payment-in-kind ("PIK") interest income | 41,235 | 43,055 | |
Dividend income | 21,336 | 17,833 | |
Other income | 5,313 | 2,964 | |
Total investment income from non-controlled, non-affiliated investments | 362,334 | 352,530 | |
Investment income from non-controlled, affiliated investments: | |||
Interest income | $ 68 | — | |
Dividend income | 16 | — | |
Total investment income from non-controlled, affiliated investments: | 84 | — | |
Investment income from controlled, affiliated investments: | |||
Interest income | 8,002 | 2,674 | |
Payment-in-kind ("PIK") interest income | 176 | — | |
Dividend income | 28,789 | 22,026 | |
Other Income | 192 | 392 | |
Total investment income from controlled, affiliated investments | 37,159 | 25,092 | |
Total Investment Income | 399,577 | 377,622 | |
Expenses | |||
Interest expense | 119,129 | 103,955 | |
Management fees | 47,243 | 48,093 | |
Performance based incentive fees | 38,768 | 37,728 | |
Professional fees | 3,596 | 3,673 | |
Directors' fees | 320 | 258 | |
Other general and administrative | 2,516 | 2,671 | |
Total Operating Expenses | 211,572 | 196,378 | |
Net Investment Income (Loss) Before Taxes | 188,005 | 181,244 | |
Income tax expense (benefit) | 5,240 | 3,385 | |
Net Investment Income (Loss) After Taxes | $ 182,765 | $ 177,859 | |
Net Realized and Change in Unrealized Gain (Loss) | |||
Net change in unrealized gain (loss): | |||
Non-controlled, non-affiliated investments | $ (951) | $ 65,423 | |
Non-controlled, affiliated investments | 214 | (1) | |
Controlled, affiliated investments | 9,338 | 10,254 | |
Translation of assets and liabilities in foreign currencies | (1,946) | 1,210 | |
Income tax (provision) benefit | (10) | (281) | |
Total Net Change in Unrealized Gain (Loss) | 6,645 | 76,605 | |
Net realized gain (loss): | |||
Non-controlled, non-affiliated investments | (5,193) | (52,483) | |
Foreign currency transactions | (1,700) | (139) | |
Total Net Realized Gain (Loss) | (6,893) | (52,622) | |
Total Net Realized and Change in Unrealized Gain (Loss) | (248) | 23,983 | |
Net Increase (Decrease) in Net Assets Resulting from Operations | $ 182,517 | $ 201,842 | |
Earnings Per Share - Basic and Diluted | $ 0.47 | $ 0.52 | |
Weighted Average Shares Outstanding - Basic and Diluted | 389,732,868 | 391,049,102 | |
PORTFOLIO AND INVESTMENT ACTIVITY | ||||
For the Three Months Ended March 31, | ||||
($ in thousands) | 2024 | 2023 | ||
New investment commitments | ||||
Gross originations | $ 1,240,198 | $ 175,114 | ||
Less: Sell downs | (37,500) | — | ||
Total new investment commitments | $ 1,202,698 | $ 175,114 | ||
Principal amount of investments funded: | ||||
First-lien senior secured debt investments | $ 844,033 | $ 36,809 | ||
Second-lien senior secured debt investments | — | — | ||
Unsecured debt investments | — | — | ||
Preferred equity investments | 732 | 24,194 | ||
Common equity investments | 69,042 | 9,653 | ||
Joint Ventures(1) | 6,563 | 23,625 | ||
Total principal amount of investments funded | $ 920,370 | $ 94,281 | ||
Principal amount of investments sold or repaid: | ||||
First-lien senior secured debt investments | $ (412,299) | $ (56,696) | ||
Second-lien senior secured debt investments | (800,422) | (19,200) | ||
Unsecured debt investments | (28,278) | (193) | ||
Preferred equity investments | (373) | — | ||
Common equity investments | — | — | ||
Joint Ventures(1) | — | — | ||
Total principal amount of investments sold or repaid | $ (1,241,372) | $ (76,089) | ||
Number of new investment commitments in new portfolio companies(2) | 18 | 3 | ||
Average new investment commitment amount | $ 51,899 | $ 941 | ||
Weighted average term for new debt investment commitments (in years) | 5.8 | 3.0 | ||
Percentage of new debt investment commitments at floating rates | 99.9 % | 100.0 % | ||
Percentage of new debt investment commitments at fixed rates | 0.1 % | — % | ||
Weighted average interest rate of new debt investment commitments(3) | 11.1 % | 12.4 % | ||
Weighted average spread over applicable base rate of new floating rate debt investment commitments | 5.7 % | 7.2 % | ||
________________ | |
(1) | This was disclosed as "Investment funds and vehicles" as of March 31, 2023. |
(2) | Number of new investment commitments represents commitments to a particular portfolio company. |
(3) | For the three months ended March 31, 2024, assumes each floating rate commitment is subject to the greater of the interest rate floor (if applicable) or 3-month SOFR, which was |
View original content:https://www.prnewswire.com/news-releases/blue-owl-capital-corporation-reports-first-quarter-net-investment-income-per-share-of-0-47-and-nav-per-share-of-15-47--302140427.html
SOURCE Blue Owl Capital Corporation
FAQ
<p>What was Blue Owl Capital 's first quarter net investment income per share?</p>
Blue Owl Capital reported a net investment income per share of $0.47 for the first quarter.
<p>What was the NAV per share for Blue Owl Capital as of March 31, 2024?</p>
The NAV per share for Blue Owl Capital was $15.47 as of March 31, 2024.
<p>What dividends were declared by Blue Owl Capital for the first quarter of 2024?</p>
Blue Owl Capital declared a regular dividend of $0.37 per share and a supplemental dividend of $0.05 per share for the first quarter of 2024.
<p>What was the purpose of the 2024 Repurchase Program approved by Blue Owl Capital ?</p>
The 2024 Repurchase Program allows the Company to repurchase up to $150 million of its common stock.
<p>How did Blue Owl Capital 's investment income change compared to the same period last year?</p>
Blue Owl Capital 's investment income increased from $377.6 million to $399.6 million for the three months ended March 31, 2024.
