Blue Owl Capital Corp (OBDC): Results of Operations and Financial Condition
Blue Owl Capital Corp (OBDC) filed an SEC Form 8-K — Results of Operations and Financial Condition. Blue Owl Capital Corporation Announces June 30, 2026 Financial Results NEW YORK — August 5, 2026 — Blue Owl Capital Corporation (NYSE: OBDC) (“OBDC” or the “Company”) today announced financial results for its second quarter ended June 30, 2026. SECOND QUARTER 2026 HIGHLIGHTS • Se
How this was made
The 30-second read
Why it matters
Traders can update models for quarterly income (GAAP and adjusted NII per share), dividend timing (base and supplemental), and balance-sheet/NAV trajectory (markdowns partially offset by buybacks).
Market read
New quarterly earnings metrics and a declared supplemental dividend with specific record and payable dates create a near-term catalyst for income and NAV-sensitive positioning.
What to watch
Non-accrual at fair value improved to 0.8% from 1.0%, but the filing also notes markdowns on a small number of names, which can be volatile and concentrated.
Blue Owl Capital Corporation reported second quarter GAAP net investment income per share of $0.36 and adjusted NII per share of $0.34, while NAV per share declined to $14.26 from $14.41 as of March 31, 2026.
Adjusted NII per share increased to $0.34 from $0.31 in the prior quarter, expenses declined, leverage reached a two-year low, and the Company repurchased approximately $35 million of stock. These positives were offset by NAV per share declining to $14.26, net realized and unrealized losses of $(0.22) per share, reduced investment activity, and non-accruals at cost increasing to 2.8% from 2.0%.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Net investment income per shareGAAP | $0.36 | – | – |
| Adjusted net investment income per sharenon-GAAP | $0.34 | – | – |
| Net realized and unrealized gains (losses) per shareGAAP | $(0.22) | – | – |
| Adjusted net realized and unrealized gains (losses) per sharenon-GAAP | $(0.21) | – | – |
| Net increase (decrease) in net assets resulting from operations per shareGAAP | $0.13 | – | – |
| Adjusted net increase (decrease) in net assets resulting from operations per sharenon-GAAP | $0.13 | – | – |
| Investment incomeother | $401 million | – | – |
| Total expensesother | $224 million | – | – |
| Base dividend declared per shareother | $0.31 | – | – |
| Supplemental dividend declared per shareother | $0.02 | – | – |
| Total investments at fair valueother | $14,955,049 | – | – |
| Total debt outstanding (net of unamortized debt issuance costs)other | $7,903,533 | – | – |
| Net assetsother | $7,031,759 | – | – |
| Net asset value per shareother | $14.26 | – | – |
| Net debt-to-equityother | 1.11x | – | – |
| First-lien senior secured debt investments at fair valueother | $10,937,849 | – | – |
| Second-lien senior secured debt investments at fair valueother | $674,223 | – | – |
| Unsecured debt investments at fair valueother | $377,224 | – | – |
| Specialty finance debt investments at fair valueother | $171,254 | – | – |
| Preferred equity investments at fair valueother | $262,536 | – | – |
| Common equity investments at fair valueother | $714,693 | – | – |
| Specialty finance equity at fair valueother | $1,426,590 | – | – |
| Joint ventures at fair valueother | $390,680 | – | – |
| Number of portfolio companiesother | 229 | – | – |
| Percentage of debt investments at floating ratesother | 96.0 % | – | – |
| Percentage of senior secured debt investmentsother | 78.8 % | – | – |
| Weighted average spread over base rate of floating rate debt investmentsother | 5.6 % | – | – |
| Weighted average total yield of accruing debt and income-producing securities at fair valueother | 9.9 % | – | – |
| Weighted average total yield of accruing debt and income-producing securities at costother | 9.9 % | – | – |
| Percentage of investments on non-accrual of the portfolio at fair valueother | 0.8 % | – | – |
| Total new investment commitmentsother | $319,324 | – | – |
| Total principal amount of new investments fundedother | $218,615 | – | – |
| Total principal amount of investments sold or repaidother | $(746,699) | – | – |
| Weighted average interest rate of new investment commitmentsother | 8.7 % | – | – |
| Weighted average spread over applicable base rate of new debt investment commitments at floating ratesother | 4.9 % | – | – |
Capital returns
- The Board declared a third quarter 2026 base dividend of $0.31 per share for stockholders of record as of September 30, 2026, payable on or before October 15, 2026.
- The Board declared a second quarter 2026 supplemental dividend of $0.02 per share for stockholders of record as of August 31, 2026, payable on or before September 15, 2026.
- Dividends declared totaled $0.33 per share, representing an annualized dividend yield of 9.3%.
- The Company repurchased approximately $35 million of OBDC common stock, which was accretive to NAV per share in the second quarter.
What drove it
- Investment income increased to $401 million from $397 million, primarily driven by higher dividend income and non-recurring other income from a realization of a preferred equity investment, offset by a decline in average investments over the period.
- Total expenses decreased to $224 million from $235 million, primarily driven by lower interest expense following the decline in daily average borrowings.
- New investment commitments totaled $319 million across 5 new portfolio companies and 8 existing portfolio companies.
- The Company had investments in 229 portfolio companies across 30 industries, with an aggregate portfolio size of $15.0 billion at fair value and an average investment size of $65.3 million at fair value.
- The Company considers 52% of first-lien senior secured debt investments to be unitranche loans as of June 30, 2026.
Concerns
- NAV per share was $14.26, compared with $14.41 as of March 31, 2026, primarily reflecting markdowns on a small number of names, partially offset by over-earning the dividend and accretive share repurchases.
- Net realized and unrealized gains (losses) per share were $(0.22).
- Investments on non-accrual represented 2.8% of the portfolio at cost, compared with 2.0% as of March 31, 2026.
- New investment commitments were $319 million, compared with $676 million for the three months ended March 31, 2026.
- The weighted average total yield of accruing debt and income-producing securities at fair value was 9.9 %, compared with 10.0 % as of March 31, 2026.
What to watch
- The pace of originations and repayments, spreads of new deployments, and base rate movements, which the Company identified as factors that will affect investment income.
- Credit performance and the level of investments on non-accrual.
- Further NAV effects from markdowns on portfolio companies.
- Deployment of capital as market conditions stabilize and investment opportunities become increasingly attractive.
- The third quarter 2026 base dividend of $0.31 per share.
Balance sheet and cash flow
- As of June 30, 2026, the Company had $238 million in cash and restricted cash.
- The Company had $8.0 billion in total principal value of debt outstanding, including $4.2 billion of undrawn capacity on the Company’s credit facilities and $5.3 billion of unsecured notes.
- The funding mix was composed of 33.6% secured and 66.4% unsecured borrowings as of June 30, 2026 on an outstanding basis.
- The Company amended and extended the revolving credit facility with all banking partners renewing commitments and issued $800 million of unsecured debt during the second quarter.
- Daily average borrowings declined from $9.3 billion to $8.4 billion.
Analysis
OBDC generated stronger sequential recurring earnings per share, with GAAP net investment income per share of $0.36 versus $0.32 and adjusted NII per share of $0.34 versus $0.31. Investment income increased to $401 million from $397 million, led by higher dividend income and non-recurring other income from a preferred-equity realization. The Company also stated that lower average investments partially offset those income drivers. Total expenses fell to $224 million from $235 million as daily average borrowings declined from $9.3 billion to $8.4 billion.
The portfolio continued to be concentrated in senior and floating-rate credit. First-lien senior secured debt investments were $10,937,849 and represented 73.2 % of total investments, while senior secured debt investments represented 78.8 % of investments. Debt investments were 96.0 % floating rate, and the weighted average spread over the base rate was unchanged at 5.6 %. The weighted average total yield of accruing debt and income-producing securities at fair value declined to 9.9 % from 10.0 %.
Credit and valuation require attention. NAV per share fell to $14.26 from $14.41, with the Company citing markdowns on a small number of names. GAAP net realized and unrealized losses were $(0.22) per share. Investments on non-accrual increased to 2.8% of the portfolio at cost from 2.0%, although non-accruals at fair value declined to 0.8% from 1.0%. The Company stated that portfolio company operating trends remained stable and credit performance tracked in line with expectations.
Investment activity moderated. Total new investment commitments were $319,324, compared with $676 million in the prior quarter and $1,116,767 in the prior-year quarter. Principal funding totaled $218,615, while investments sold or repaid totaled $(746,699). New debt commitments were entirely floating rate, but the weighted average interest rate on new commitments was 8.7 %, compared with 9.7 % in the prior-year quarter, and the floating-rate spread was 4.9 %, compared with 5.4 %.
Capital allocation combined shareholder distributions, repurchases, and debt-facility actions. Dividends declared totaled $0.33 per share, including a $0.02 per share supplemental dividend, and the Company repurchased approximately $35 million of common stock. It also issued $800 million of unsecured debt and extended its revolving credit facility. Net debt-to-equity was 1.11x, compared with 1.13x in the prior quarter, and the Company reported $238 million of cash and restricted cash plus $4.2 billion of undrawn credit-facility capacity. The filing did not provide earnings or financial outlook guidance beyond the declared third quarter 2026 base dividend.
Management, verbatim
We are pleased with OBDC's performance this quarter, generating strong earnings resulting in a 9.6% annualized return on adjusted net investment income and healthy dividend coverage. Portfolio company operating trends remained stable, and credit performance continued to track in line with expectations.
Craig W. Packer, Chief Executive Officer
As market conditions continue to stabilize and investment opportunities become increasingly attractive, we believe OBDC is well positioned to deploy capital selectively. With leverage at a two-year low and a strong liquidity profile, we have meaningful flexibility to capitalize on compelling investment opportunities as we focus on delivering attractive risk-adjusted returns for shareholders.
Craig W. Packer, Chief Executive Officer
Not in the filing
stated, not guessed- Revenue
- Revenue by operating segment
- Operating income
- Operating margin
- Gross margin
- GAAP net income total
- Adjusted net income total
- GAAP EPS
- Non-GAAP EPS other than adjusted net investment income per share
- Operating cash flow
- Free cash flow
- Financial outlook guidance
- Prior guidance or previous outlook section
- Cash flow statement figures
- Total debt maturity schedule
- Tax rate
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
This is an SEC Form 8-K (Item 2.02) with an attached earnings release for Blue Owl Capital Corporation’s quarter ended June 30, 2026.
Ticker impact
OBDC reported Q2 2026 results with GAAP net investment income per share of $0.36, adjusted NII per share of $0.34, and declared a $0.02 supplemental dividend.
Likely modest, income-focused reaction; NAV decline and markdowns may cap upside despite dividend support.
The filing provides specific per-share earnings, NAV change drivers, and a new dividend schedule (record and payable dates), which are direct inputs to valuation and yield positioning.
Market effects
BDC/credit-income peers may see read-across on dividend sustainability, NAV sensitivity to markdowns, and leverage/liquidity posture.
No explicit regional impact beyond US-listed credit-income sentiment.
Limited, as the disclosure is company-specific and not tied to global macro or cross-border events.
Counterpoint
The NAV decline despite dividend over-earning and buybacks could signal underlying credit mark risk that may reappear in future quarters.
Key entities
- issuerBlue Owl Capital Corporation
NYSE-listed BDC reporting Q2 2026 financial results and declaring dividends under its supplemental dividend framework.
- executiveCraig W. Packer
CEO quoted on performance, leverage, liquidity, and deployment flexibility.
