MidCap Financial Investment Corporation Reports Financial Results for the Quarter and Fiscal Year Ended December 31, 2025

Core Viewpoint - MidCap Financial Investment Corporation reported solid net investment income for the fourth quarter of 2025, with a net investment income of $0.39 per share, reflecting a slight increase from the previous quarter. However, the net asset value (NAV) per share decreased to $14.18, indicating a decline in asset value primarily due to certain investments from earlier vintages [1][4]. Financial Results - The net investment income for the quarter was $36 million, compared to $37.1 million for the same quarter in 2024 [11]. - The NAV per share decreased by 3.3% from $14.66 as of September 30, 2025, to $14.18 as of December 31, 2025 [4][8]. - New investment commitments during the quarter totaled $141 million, with gross fundings of $156 million [4]. Dividend Declaration - The Board declared a quarterly dividend of $0.31 per share, payable on March 26, 2026, to stockholders of record as of March 10, 2026 [2][4]. Stock Repurchase Program - The Company repurchased 1,091,753 shares at a weighted average price of $11.81 per share during the quarter, resulting in approximately $0.03 per share of NAV accretion [13][15]. - A new stock repurchase plan of $100 million was authorized, in addition to the remaining capacity of approximately $7.9 million from the existing plan, bringing the total available for repurchases to approximately $107.9 million [15][17]. Portfolio Composition - As of December 31, 2025, software investments represented only 11.4% of the portfolio, indicating a focus on resilience against AI-related risks [5]. - The investment portfolio at fair value was $3.17 billion, with total assets amounting to $3.32 billion [8][29]. Debt and Leverage - The Company’s outstanding debt obligations totaled $2.0 billion, with a net leverage ratio of 1.45x as of December 31, 2025 [19][4]. - The debt-to-equity ratio was reported at 1.53x, reflecting the Company’s capital structure [8]. Market Activity - The Company noted that it has been actively evaluating strategies to maximize shareholder value, including stock repurchases at significant discounts to NAV [3]. - The market conditions during the fourth quarter presented attractive opportunities for repurchases, which the Company plans to capitalize on aggressively [3].