Group 1 - The article promotes iREIT on Alpha as a source for in-depth research on various income alternatives including REITs, mREITs, Preferreds, BDCs, MLPs, and ETFs [1] - It highlights the positive feedback from users, with 438 testimonials, most of which are rated 5 stars, indicating high satisfaction [1] Group 2 - The article includes a disclosure stating that the author has a beneficial long position in the shares of AM, indicating a personal investment interest [2] - It clarifies that the opinions expressed are those of the author and not influenced by compensation from any company mentioned [2]

Core Insights - Blue Owl Capital Corp. (NYSE: OBDC) demonstrated resilience in the first quarter earnings, showcasing robust net investment income despite a challenging and volatile market [1] - The company successfully grew its portfolio value, indicating strong performance in a difficult economic environment [1] Financial Performance - The first quarter earnings report highlighted the company's ability to maintain strong net investment income [1] - The growth in portfolio value reflects the company's strategic positioning and adaptability in the current market conditions [1]

Core Viewpoint - Blue Owl Capital Corporation reported a decline in earnings per share (EPS) for the first quarter of 2025, missing consensus estimates, while total investment income increased year over year but also fell short of expectations [1][3]. Financial Performance - The first-quarter EPS was 39 cents, down from 47 cents a year ago and below the Zacks Consensus Estimate of 43 cents [1]. - Total investment income reached $464.6 million, reflecting a 16.3% year-over-year increase, but missed the consensus estimate by 2.6% [1][3]. - Net investment income rose 10.1% year over year to $201.3 million, exceeding the estimate of $184.7 million [3]. - Total expenses increased by 22.7% year over year to $259.6 million, primarily due to higher interest expenses and management fees, surpassing the estimate of $250.4 million [4]. Investment Commitments and Portfolio - Blue Owl Capital made total new investment commitments of $1.2 billion across 12 new portfolio companies and 22 existing ones [3]. - The company ended the quarter with investments in 236 portfolio companies, with an aggregate fair value of $17.7 billion, resulting in an average investment size of $75 million per company [3]. Cash Flow and Debt - The cash balance at the end of the first quarter was $511.5 million, slightly up from $505.7 million at the end of 2024 [4]. - Total assets increased to $18.4 billion from $13.9 billion at the end of 2024 [4]. - Debt rose to $10.2 billion from $7.5 billion at the end of 2024, with a net debt to equity ratio of 1.26X [5]. Dividend and Share Repurchase - The board declared a second-quarter 2025 dividend of 37 cents per share, payable on or before July 15, 2025, and a supplemental dividend of 1 cent per share for the first quarter [6]. - The company has a stock repurchase program allowing for the purchase of up to $150 million in shares, but no repurchases were made in the first quarter [7].

May 8, 2025 Quarterly Earnings Presentation NYSE: OBDC | | • • | Net asset value per share of $15.14, compared to $15.26 as of 12/31/2024 Adjusted net investment income per share of $0.3931 as of 3/31/2025 | | --- | --- | --- | | | | • GAAP net investment income per share of $0.41, down from $0.47 as of 12/31/2024 | | Earnings Summary | • | Adjusted net income per share of $0.3231 as of 3/31/2025 | | | | • GAAP net income per share of $0.49, up from $0.40 as of 12/31/2024 | | | • | Adjusted ROE on net inves ...

Blue Owl Capital Corporation (OBDC) Q1 2025 Earnings Call May 08, 2025 10:00 AM ET Company Participants Michael Mosticchio - Principal & Head of BDC Investor RelationsCraig Packer - Co-President & Chief Executive Officer of each of the Blue Owl BDCsLogan Nicholson - MD and President - Blue Owl BDCJonathan Lamm - MD and CFO & COO of Blue Owl BDCBrian Mckenna - Director - Equity ResearchMickey Schleien - MD - Equity ResearchMaxwell Fritscher - Equity Research Associate Conference Call Participants Casey Alexa ...

Financial Data and Key Metrics Changes - The company reported total portfolio investments of nearly $18 billion and total net assets of nearly $8 billion, with total outstanding debt of approximately $10 billion [16] - The first quarter NAV per share was $15.14, down $0.12 from the last quarter, primarily due to changes in credit spreads and write-downs on a small number of high-focus investments [16] - Adjusted net investment income was $0.39 per share, down $0.08 from the prior quarter, reflecting a reduction in one-time income [16][17] - The company declared a supplemental dividend of $0.01 and a base dividend of $0.37 for the second quarter, indicating a 106% dividend coverage [18][19] Business Line Data and Key Metrics Changes - New investment commitments totaled $1.2 billion, with fundings of $800 million, excluding joint venture and strategic equity activity [7] - Over 90% of first-quarter direct loan originations were first lien investments, increasing from 73% to 77% of the portfolio over the last year [8][9] - The median EBITDA of portfolio borrowers grew slightly to $120 million, while weighted average EBITDA increased to $215 million [9] - The non-accrual rate was 0.8% at fair value and 1.4% at cost, compared to 0.41% and 0.9% in the prior quarter [11] Market Data and Key Metrics Changes - The company noted a slowdown in M&A activity due to recent policy shifts and uncertainty around tariffs, impacting deal flow [7][32] - The public loan market experienced volatility, but private credit spreads remained stable, with some market participants noting a 25 to 50 basis points widening [34][81] - The company highlighted that the majority of deal flow in the first quarter came from existing borrowers, with more than half being add-ons and refinancings [93] Company Strategy and Development Direction - The company aims to capitalize on market volatility by providing support to borrowers and sponsors facing challenges in accessing financing [23] - The strategy remains focused on credit quality, with an emphasis on upper middle market companies and diversified portfolios [84] - The company is exploring opportunities to rationalize liabilities inherited from the merger to lower costs [50][72] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the portfolio's resilience and the ability to maintain dividend levels despite macroeconomic uncertainties [25] - The company is closely monitoring investments for potential tariff impacts but remains confident in its defensive positioning [13] - Management indicated that while macroeconomic uncertainty persists, the market anticipates a significant reduction in interest rates, which will impact earnings [24] Other Important Information - The company ended the quarter with over $3 billion in total cash and capacity on its facilities, providing ample liquidity to meet near-term funding needs [21] - The company has visibility into several large repayments expected in the near term, which will help optimize its capital structure [20] Q&A Session Summary Question: Perspective on macro developments and M&A activity - Management noted that the M&A environment remains muted due to uncertainty around tariffs, impacting deal flow and spreads [32][34] Question: Timeline for public listing of OTF - Management stated there is nothing specific to disclose regarding the public listing of OTF at this time [38][39] Question: Share repurchase strategy - Management confirmed that share repurchase programs are regularly evaluated, but recent volatility did not coincide with open windows for repurchases [44][46] Question: Opportunities in inherited liabilities - Management indicated that there are opportunities to rationalize inherited liabilities at lower costs, with steps already taken to reprice certain facilities [50][72] Question: Probability of near-term recession - Management acknowledged the need for caution in underwriting due to potential economic changes but noted that the portfolio companies are currently not showing signs of economic weakness [56][58] Question: Incremental thoughts on non-traditional lending strategies - Management expressed interest in increasing exposure to diversified lending strategies, aiming to grow this segment over time [62][66] Question: Spillover income and dividend sustainability - Management clarified that spillover income is intended to sustain dividends during periods of volatility but will not be used to cover long-term income shortfalls [88][89] Question: Pipeline mix of new versus incumbent borrowers - Management reported that more than half of the deal flow in the first quarter came from existing borrowers, with a consistent pipeline expected for the second quarter [93][95]

Group 1 - Blue Owl Capital Corporation (NYSE: OBDC) is the second-largest publicly traded Business Development Company (BDC) [1] - The company is expected to release its first quarter results soon, amidst recent market volatility [1] - Investments known for their dividends and income are highlighted as a strategy for strong total returns in the current market environment [1] Group 2 - The analysis approach focuses on value investing, an owner's mindset, and a long-term investment horizon [1] - The author does not engage in writing sell articles or recommending shorting stocks [1]

Core Insights - Blue Owl Capital Corporation reported revenue of $464.65 million for Q1 2025, a year-over-year increase of 16.3% [1] - The company's EPS for the same period was $0.39, down from $0.47 a year ago, indicating a decline [1] - Revenue exceeded the Zacks Consensus Estimate of $452.85 million by 2.61%, while EPS fell short of the consensus estimate of $0.43 by 9.30% [1] Financial Performance Metrics - Investment income from non-controlled, non-affiliated investments showed significant growth, with interest income at $356.46 million, surpassing the estimated $303.80 million, reflecting a 21.1% increase year-over-year [4] - Other income from non-controlled, non-affiliated investments was reported at $5.59 million, slightly below the estimated $6.06 million, marking a 5.2% increase year-over-year [4] - Dividend income from controlled, affiliated investments reached $35.01 million, exceeding the estimated $29.21 million, representing a 21.6% year-over-year increase [4] - Total investment income from non-controlled, non-affiliated investments was $418.98 million, surpassing the average estimate of $380 million [4] - Total investment income from controlled, affiliated investments was reported at $43.98 million, exceeding the average estimate of $37.80 million [4] Stock Performance - Over the past month, shares of Blue Owl Capital Corporation returned +9.9%, compared to the Zacks S&P 500 composite's +10.6% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

分组1 - Blue Owl Capital Corporation reported quarterly earnings of $0.39 per share, missing the Zacks Consensus Estimate of $0.43 per share, and down from $0.47 per share a year ago, representing an earnings surprise of -9.30% [1] - The company posted revenues of $464.65 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 2.61%, and up from $399.58 million year-over-year [2] - Over the last four quarters, Blue Owl Capital Corporation has surpassed consensus revenue estimates three times, but has only exceeded EPS estimates once [2] 分组2 - The stock has underperformed the market, losing about 9.3% since the beginning of the year compared to the S&P 500's decline of -4.7% [3] - The current consensus EPS estimate for the coming quarter is $0.43 on revenues of $472.21 million, and for the current fiscal year, it is $1.70 on revenues of $1.87 billion [7] - The Zacks Industry Rank for Financial - Miscellaneous Services is in the bottom 43% of over 250 Zacks industries, indicating potential underperformance compared to higher-ranked industries [8]

Financial Results Announcement - Blue Owl Capital Corporation will release its financial results for Q1 2025 on May 7, 2025, after market close[3] - The press release regarding the financial results is attached as Exhibit 99.1 to the Form 8-K[5] Earnings Call - The earnings webcast/conference call is scheduled for May 8, 2025, at 10:00 a.m. Eastern Time[3]