Blue Owl Capital Corporation Announces Preliminary Fourth Quarter Financial Results and Portfolio Update
Rhea-AI Summary
Blue Owl Capital Corporation (NYSE: OWL) announced preliminary, unaudited fourth-quarter 2024 results and a portfolio update in connection with its merger with Blue Owl Capital Corporation III, which closed on January 13, 2025. The release reports pro forma total assets of $18,337 million, cash and equivalents of $725 million, and pro forma total net assets of $7,792 million with net asset value per share of $15.26. Quarterly per-share metrics include total investment income $1.01, net investment income $0.47, and earnings $0.39 for OBDC. The company cautions results are preliminary, unaudited and subject to closing adjustments.
Positive
- Pro forma total assets of $18,337 million
- Pro forma cash and equivalents of $725 million
- Pro forma total net assets of $7,792 million
- Net asset value per share maintained at $15.26
- Quarterly net investment income per share of $0.47
- Merger with OBDE closed on January 13, 2025
Negative
- Quarterly net realized/unrealized loss per share of $(0.08)
- Total outstanding pro forma debt of $10,082 million
- Preliminary results are unaudited and may change
Insights
Pro forma scale from the closed merger and stable Q4 metrics support stronger liquidity and financing flexibility near term.
The combined company shows immediate balance-sheet scale: pro forma
Key dependencies and risks are explicit in the release: these are preliminary, unaudited figures subject to closing procedures, and funding mix shifts (pro forma unsecured notes
Concrete items to watch: finalized audited Q4 and full-year 2024 results and any adjustments to pro forma debt figures, the realized impact of integration on reported costs and liquidity, and near‑term funding actions (credit facility utilization or note issuance) over the next few quarters, especially into
NEW YORK, Jan. 16, 2025 /PRNewswire/ -- Blue Owl Capital Corporation (NYSE: OBDC or the "Company") today announced preliminary financial results and provided a portfolio update for the fourth quarter ended December 31, 2024. The Company has elected to provide these results in connection with the closing of the merger with Blue Owl Capital Corporation III ("OBDE") on January 13, 2025.
"OBDC's and OBDE's standalone fourth quarter performance reflects the consistent strength of our portfolios and positive momentum heading into 2025," commented Craig W. Packer, Chief Executive Officer of OBDC. "The successful closing of the merger subsequent to quarter end further improves our ability to deliver attractive risk-adjusted returns to all shareholders. The increased scale of the combined company positions OBDC to enhance its liquidity profile, achieve lower costs of financing and generate immediate operational efficiencies."
SELECT FINANCIAL RESULTS
For the Three Months Ended December 31, 2024 | ||
($ in millions, except per share amounts) | Actual (unaudited) | Actual (unaudited) |
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 equity1 | 12.3 % | 11.3 % |
As of December 31, 2024 | |||
($ in millions, except per share amounts) | Actual (unaudited) | Actual (unaudited) | Pro forma |
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 millions) | Actual (unaudited) | Actual (unaudited) | Pro forma | ||
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
Certain information contained herein may constitute "forward-looking statements" that involve substantial risks and uncertainties. Such statements involve known and unknown risks, uncertainties and other factors and undue reliance should not be placed thereon. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about OBDC, its current and prospective portfolio investments, its industry, its beliefs and opinions, and its assumptions. Words such as "anticipates," "expects," "intends," "plans," "will," "may," "continue," "believes," "seeks," "estimates," "would," "could," "should," "targets," "projects," "outlook," "potential," "predicts" and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond OBDC's control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements including, without limitation, the risks, uncertainties and other factors identified in OBDC's filings with the SEC. Investors should not place undue reliance on these forward-looking statements, which apply only as of the date on which OBDC makes them. OBDC does not undertake any obligation to update or revise any forward-looking statements or any other information contained herein, except as required by applicable law.
INVESTOR CONTACTS
Investor Contact:
BDC Investor Relations
Michael Mosticchio
credit-ir@blueowl.com
Media Contact:
Prosek Partners
Josh Clarkson
pro-blueowl@prosek.com
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SOURCE Blue Owl Capital Corporation
FAQ
What preliminary Q4 2024 per-share results did Blue Owl (OWL) report?
When did Blue Owl's merger with Blue Owl Capital Corporation III close?
What are Blue Owl's pro forma assets and cash as of December 31, 2024?
What was Blue Owl's pro forma net asset value per share reported for Q4 2024?
How much pro forma outstanding debt did Blue Owl report as of December 31, 2024?
Are Blue Owl's Q4 2024 results audited and final for investors?
