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Blue Owl Technology Finance Corp. First Quarter 2026 Financial Results

On May 6, 2026, Blue Owl Technology Finance Corp. (NYSE: OTF) announced its financial results for the first quarter ended March 31, 2026. The Company reported a GAAP net investment income (NII) per share of $0.37 and an adjusted NII per share of $0.29. It declared dividends for the second quarter, amounting to $0.40 per share including a base dividend of $0.35 and a special dividend of $0.05.

Key Highlights

• - The net asset value per share decreased to $16.49 from $17.33 last quarter, mainly due to unrealized losses tied to widened credit spreads impacting the portfolio.
• - The Company secured new investment commitments totaling $1.7 billion, with sales and repayments amounting to $1.1 billion in comparison to the previous quarter.
• - OTF's net debt-to-equity ratio ended at 0.85x, a rise from 0.75x as of December 31, 2025.
• - Approximately 80% of shares held by pre-listing shareholders have been released from lock-up with scheduled monthly releases until June 12, 2026.

Market Commentary

Craig W. Packer, Chief Executive Officer, expressed that the technology market's volatility has caused significant spread widening, thus influencing valuations across OTF's portfolio. He noted that the challenges faced reflect broader market dynamics rather than changes in underlying credit trends. With over $2 billion in liquidity, Blue Owl is ensuring a selective deployment of capital, aiming to capture favorable market opportunities.

Recent Financial Activities

On February 17, 2026, the Board approved a $300 million share repurchase program, intending purchases from time to time within open-market transactions. Up until March 31, 2026, the Company had repurchased approximately $50.2 million in common stock.

Dividend Declarations and Lock-Up Releases

The Board has declared a base dividend of $0.35 per share for stockholders of record by June 30, 2026, to be paid on or before July 15, 2026. A series of five special dividends of $0.05 per share has also been declared, with specific record and payment dates available on the Company’s website.

The lock-up release schedule began in November 2025, and it has permitted shareholders to gradually unlock their shares, reinforcing confidence in long-term stock stability.

Portfolio Composition

As of March 31, 2026, Blue Owl invested in 203 portfolio companies across 37 industries, boasting an overall portfolio value of $14.1 billion. The predominant asset allocation consists of first-lien senior secured investments, which account for approximately 77.7% of the total value.

Investment activity during Q1 2026 included commitments in new and existing portfolio companies, with a significant amount being first-lien senior secured debt investments.

Future Outlook

As demanded by fluctuating market conditions, OTF is poised to adapt and reinforce its presence in the competitive technology financing landscape. The management remains optimistic, focusing on achieving long-term equity expansions while enhancing liquidity management strategies to optimize financial performance.

In summary, Blue Owl Technology Finance Corp.'s first quarter financial results indicate resilience amidst market challenges, with strategic commitments and a robust investment portfolio aimed at long-term growth.