Blue Owl Capital Corporation Reports Financial Results for Q4 and 2025 Year-End

On February 18, 2026, Blue Owl Capital Corporation (NYSE: OBDC) disclosed its financial results for the fourth quarter and fiscal year ending December 31, 2025. The announcement highlighted several key financial figures and strategic moves the company undertook during this period.

Fourth Quarter Highlights

The company reported a GAAP net investment income (NII) of $0.38 per share for the fourth quarter. Adjusted NII per share was stable at $0.36, consistent with the previous quarter. For the quarter, Blue Owl declared dividends of $0.37 per share, reflecting an impressive annualized yield of 10% based on the net asset value (NAV) per share of $14.81, down slightly from $14.89 in the prior quarter. The decline in NAV was attributed to credit-related markdowns on several investments, although these were partially counteracted by share repurchases that were beneficial for the NAV.

Investment commitments for the fourth quarter amounted to $684 million with significant repayments and sales totalling $1.4 billion, marking a substantial increase from the previous quarter. The percentage of investments on non-accrual remained minimal, highlighting the healthy state of the company's portfolio.

Investment Strategies and Share Repurchase Program

The CEO of Blue Owl, Craig W. Packer, expressed confidence in the company’s strategy as they concluded the year with robust earnings and credit performance. Packer noted that the company repurchased approximately $148 million of its common stock during the fourth quarter. This move was notably the largest quarterly repurchase activity in the company’s history. The board also approved a new $300 million share repurchase program following the successful completion of the previous $200 million authorization.

Asset Sales and Future Prospects

In a strategic asset sale, Blue Owl announced agreements to sell $1.4 billion worth of investments to institution investors. This includes $400 million in investments from OBDC, which involved partial sales of existing portfolio companies. The transaction is expected to enhance liquidity while maintaining a diverse portfolio and capacity for new investments.

Financial Overview for the Fiscal Year 2025

Throughout 2025, Blue Owl secured $4.3 billion in new investment commitments, a notable decrease compared to the $7.3 billion achieved in 2024. This included funding across both new and existing portfolio companies. Despite the decrease in new commitments, the overall performance remained stable with significant repayments aiding cash flow.

Investment income for the year reached $1.85 billion, up from $1.6 billion in the previous year. Although interest expense also increased, the company's overall net investment income and assets exceeded prior figures, suggesting a steady growth trajectory.

By the end of 2025, Blue Owl held investments across 234 portfolio companies valued at an aggregate fair value of $16.5 billion. The company’s focus remains on its core strategy, providing lending solutions to U.S. middle-market companies, emphasizing long-term value creation for its shareholders.

As for dividend declarations, a regular dividend of $0.37 per share has been announced for the first quarter of 2026, payable on or before April 15, 2026. This is an ongoing commitment to shareholder returns as part of their broader investment strategy.

Conclusion

Blue Owl Capital’s financial results for Q4 and the fiscal year of 2025 reflect a strategic focus on portfolio management, disciplined investment practices, and shareholder value enhancement. As they prepare for 2026, the company is positioned to leverage its robust financial foundation for future growth initiatives.