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.
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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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