[8-K] FS KKR Capital Corp. Reports Material Event
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Insights
TL;DR: Beat on revenue, margin expands, cash builds; tariff and tax uncertainties linger but overall trajectory remains favorable.
Revenue and EPS outpaced prior-year comps and street expectations, driven by higher volume and disciplined pricing. 80 bp gross-margin gain during an inflationary environment highlights management’s ability to pass through costs. Cash flow strength enabled nearly $39 m of buybacks, shrinking the float by ~3% YTD. Balance-sheet flexibility improved: $173 m cash, no revolver draws, and term debt amortizing on schedule. Inventories are elevated—likely a buffer against supply snags—yet receivable conversion mitigates risk. The 20% backlog reduction warrants monitoring but still equates to roughly six months of production. Upcoming guidance updates should address potential tax-rate changes under the One Big Beautiful Bill Act and incremental tariff exposure.
TL;DR: Market-share momentum in alt-fuel buses continues; supply chain and backlog dip are watch points.
Alternative-power buses generated nearly 63% of Q3 bus revenue, underscoring Blue Bird’s technological edge as districts pivot to propane and EV fleets. Extended warranty and parts revenue remain solid, supporting recurring profit streams. However, inventories +18% and higher deferred-warranty balances suggest cost pressure risk if demand slows. The drop from 4,900 to 3,900 units in backlog indicates order cadence normalizing after post-COVID surge. Still, with ~6,900 units shipped YTD, production cadence is matching historical norms. Net interest expense declined 34%, confirming benefit of deleveraging. Continued pricing discipline and operational efficiency will be vital to offset tariff-induced cost creep.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | ||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | ||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | ||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act:
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
| Item 2.02. | Results of Operations and Financial Condition. |
On August 6, 2025, FS KKR Capital Corp. (the “Company”) issued a press release (the “Press Release”) providing an overview of its results for the quarter ended June 30, 2025.
A copy of the Press Release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
| Item 7.01. | Regulation FD Disclosure. |
In the Press Release, the Company announced a cash distribution totaling $0.70 per share, which will be paid on or about October 2, 2025 to stockholders of record as of the close of business on September 17, 2025.
The Company will make available under the “Events + presentation” page within the “Investor relations” section of the Company’s website (www.fskkradvisor.com/fsk) a presentation containing financial and operating information in advance of its previously announced August 7, 2025 conference call.
Forward-Looking Statements
This Current Report on Form 8-K may contain certain forward-looking statements, including statements with regard to future events or the future performance or operation of the Company. Words such as “believes,” “expects,” “projects” and “future” or similar expressions are intended to identify forward-looking statements. These forward-looking statements are subject to the inherent uncertainties in predicting future results and conditions. Certain factors could cause actual results to differ materially from those projected in these forward-looking statements. Factors that could cause actual results to differ materially include changes in the economy, risks associated with possible disruption in the Company’s operations or the economy generally due to terrorism, natural disasters or pandemics, future changes in laws or regulations and conditions in the Company’s operating area, and the price at which shares of common stock may trade on the New York Stock Exchange. Some of these factors are enumerated in the filings the Company makes with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
| Item 9.01. | Financial Statements and Exhibits. |
(d) Exhibits.
| EXHIBIT NUMBER |
DESCRIPTION | |
| 99.1 | Press Release, dated August 6, 2025. |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| FS KKR Capital Corp. | ||
| Date: August 6, 2025 | By: | /s/ Stephen Sypherd |
| Stephen Sypherd | ||
| General Counsel | ||
EXHIBIT INDEX
| EXHIBIT NUMBER |
DESCRIPTION | |
| 99.1 | Press Release, dated August 6, 2025. | |
