Blue Owl Capital Corporation Announces Preliminary Fourth Quarter Financial Results and Portfolio Update

PR Newswire

NEW YORK, Jan. 16, 2025

NEW YORK, Jan. 16, 2025 /PRNewswire/ -- Blue Owl Capital Corporation (NYSE: OBDC or the "Company") today announced preliminary financial results and provided a portfolio update for the fourth quarter ended December 31, 2024. The Company has elected to provide these results in connection with the closing of the merger with Blue Owl Capital Corporation III ("OBDE") on January 13, 2025.

"OBDC's and OBDE's standalone fourth quarter performance reflects the consistent strength of our portfolios and positive momentum heading into 2025," commented Craig W. Packer, Chief Executive Officer of OBDC. "The successful closing of the merger subsequent to quarter end further improves our ability to deliver attractive risk-adjusted returns to all shareholders. The increased scale of the combined company positions OBDC to enhance its liquidity profile, achieve lower costs of financing and generate immediate operational efficiencies."

SELECT FINANCIAL RESULTS

 
                                                    For the Three Months Ended December 31, 2024 
                      -------------------------------------------------------------------------------------------------------- 
($ in millions, 
except per share                     Actual (unaudited)                                   Actual (unaudited) 
amounts)                                    OBDC                                                 OBDE 
                      ------------------------------------------------  ------------------------------------------------------ 
Total investment 
 income per share     $                                           1.01  $                                                 1.05 
Net investment 
income per share      $                                           0.47  $                                                 0.43 
Net 
 realized/unrealized 
 gain/(loss) per 
 share                                   $                      (0.08)                        $                         (0.08) 
Earnings gain/(loss) 
per share             $                                           0.39  $                                                 0.35 
Return on equity(1)                                             12.3 %                                                  11.3 % 
 
 
                                                       As of December 31, 2024 
($ in millions, 
except per share        Actual (unaudited)              Actual (unaudited)                    Pro forma 
amounts)                       OBDC                            OBDE                        (unaudited) OBDC 
                  ------------------------------  ------------------------------  ---------------------------------- 
Cash, cash 
 equivalents and 
 restricted 
 cash             $                          514  $                          210  $                              725 
Total assets                  $           13,852   $                       4,485    $                         18,337 
Total 
 outstanding 
 debt              $                       7,579   $                       2,503    $                         10,082 
Total committed 
 debt                         $           10,271   $                       3,102    $                         13,373 
Total net assets   $                       5,953   $                       1,839   $                           7,792 
Net asset value 
 per share         $                       15.26   $                       14.91   $                           15.26 
Net 
debt-to-equity                             1.19x                           1.25x                               1.20x 
 
Funding mix (on 
a committed 
basis): 
 Revolving 
  credit 
  facility                                29.1 %                          22.6 %                              27.6 % 
 CLO                                      21.5 %                           8.4 %                              18.5 % 
 SPV facility                              2.9 %                          42.7 %                              12.2 % 
 Unsecured notes                          46.5 %                          26.3 %                              41.8 % 
 

PORTFOLIO HIGHLIGHTS

 
                                                   As of December 31, 2024 
At fair value 
unless otherwise 
noted ($ in            Actual (unaudited)            Actual (unaudited)                Pro forma 
millions)                      OBDC                         OBDE                    (unaudited) OBDC 
                   ---------------------------  ----------------------------  ---------------------------- 
Total investments  $                    13,195  $                      4,223  $                     17,417 
Top 15 
 investments                              32 %                          28 %                          29 % 
Top 25 
 investments                              44 %                          41 %                          40 % 
Number of 
 portfolio 
 companies                                 227                           189                           236 
Average position 
 size                                    0.4 %                         0.5 %                         0.4 % 
 
Asset class: 
 First lien 
  senior secured 
  debt 
  investments                           75.6 %                        85.2 %                        77.9 % 
 Second lien 
  senior secured 
  debt 
  investments                            5.4 %                         4.5 %                         5.2 % 
 Unsecured debt 
  investments                            2.3 %                         1.6 %                         2.1 % 
 Preferred equity 
  investments                            2.8 %                         3.2 %                         2.9 % 
 Common equity 
  investments                           11.7 %                         5.4 %                        10.2 % 
 Joint ventures                          2.2 %                         0.1 %                         1.7 % 
 
Industry 
diversification: 
 Internet 
  software and 
  services                              10.5 %                        12.8 %                        11.1 % 
 Insurance                               7.6 %                        10.8 %                         8.3 % 
 Food and 
  beverage                               7.3 %                         5.5 %                         6.8 % 
 Healthcare 
  providers and 
  services                               6.3 %                         8.4 %                         6.8 % 
 Healthcare 
  technology                             6.2 %                         7.3 %                         6.5 % 
 Asset based 
  lending and 
  fund finance                           5.9 %                         1.0 %                         4.7 % 
 Manufacturing                           5.9 %                         3.3 %                         5.2 % 
 Business 
  services                               4.7 %                         7.1 %                         5.3 % 
 Buildings and 
  real estate                            3.9 %                         3.3 %                         3.8 % 
 Consumer 
  products                               3.6 %                         2.8 %                         3.4 % 
 Other industries                       38.1 %                        37.7 %                        38.0 % 
 
Non-accruals as a 
 percentage of 
 total 
 investments                             0.4 %                         0.1 %                         0.3 % 
Internal 1- and 
 2-rated 
 investments                            90.3 %                        92.6 %                        90.8 % 
 
 
1. Annualized Q4 2024 net investment income per share divided by average 
beginning and ending period net asset value per share. 
------------------------------------------------------------------------------ 
 

DISCLAIMERS

The preliminary financial estimates provided herein have been prepared by, and are the responsibility of, the Company's management. Neither KPMG LLP, the Company's independent registered public accounting firm, nor any other independent accountants, have audited, reviewed, compiled, or performed any procedures with respect to the accompanying preliminary financial data.

These estimates are subject to the completion of the Company's financial closing procedures and are not a comprehensive statement of our financial results as of December 31, 2024. Actual results may differ materially from these estimates as a result of the completion of the period and the Company's financial closing procedures, final adjustments and other developments which may arise between now and the time that the Company's financial results are finalized.

ABOUT BLUE OWL CAPITAL CORPORATION

Blue Owl Capital Corporation (NYSE: OBDC) is a specialty finance company focused on lending to U.S. middle-market companies. As of December 31, 2024, on a pro forma combined basis with OBDE, OBDC had investments in 236 portfolio companies with an aggregate fair value of $17.4 billion. OBDC has elected to be regulated as a business development company under the Investment Company Act of 1940, as amended. OBDC is externally managed by Blue Owl Credit Advisors LLC, an SEC-registered investment adviser that is an indirect affiliate of Blue Owl Capital Inc. ("Blue Owl") (NYSE: OWL) and is a part of Blue Owl's Credit platform.

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