Blue Owl Capital to Report Q1 Earnings: What Do the Estimates Say?

Core Viewpoint - Blue Owl Capital Corporation is expected to report its first-quarter 2025 results on May 7, 2025, with earnings estimated at 43 cents per share and revenues at $452.9 million, indicating a year-over-year earnings decline of 8.5% but a revenue growth of 13.3% [1] Financial Performance Estimates - The Zacks Consensus Estimate for Blue Owl Capital's revenues for 2025 is $1.9 billion, reflecting a year-over-year increase of 17.1% [2] - The consensus estimate for the current year's EPS is $1.70, suggesting a decline of approximately 10.5% year-over-year [2] - The company has beaten the consensus estimate in one of the last four quarters, met once, and missed twice, with an average surprise of negative 0.5% [2] Earnings Prediction - The model predicts a likely earnings beat for Blue Owl Capital, supported by a positive Earnings ESP of +2.33% and a Zacks Rank of 3 (Hold) [3] Q1 Results Influencers - The estimated net investment income for Q1 indicates a 9.5% year-over-year decline, with expected elevated net operating expenses around $250 million due to higher interest expenses and management fees [5] - Dividend income is anticipated to increase, with the Zacks Consensus Estimate for controlled affiliated dividend income showing a 1.5% year-over-year rise, while the model predicts a 2.9% growth [6][7] - Non-controlled non-affiliated interest income is expected to grow by 4.9% year-over-year according to the Zacks Consensus Estimate, with the model estimating a 3.8% increase [7] Investment Portfolio Insights - Blue Owl Capital's investment portfolio is projected to grow, driven by strong demand for financing solutions, with both the Zacks Consensus Estimate and model estimates indicating a 1.8% increase in controlled affiliated interest income compared to the same quarter last year [8] - The Zacks Consensus Estimate for payment-in-kind interest income from non-controlled, non-affiliated investments suggests a significant year-over-year growth of 15.7%, which may help offset some negatives [9] - The expected supplemental dividend per share is projected to be 3 cents [9]