Core Viewpoint - Blue Owl Technology Finance reported strong growth in its loan portfolio and investment activity in Q2 2025, despite a year-over-year decline in adjusted profits and increased expenses due to a recent merger [1][5][8]. Financial Performance - Adjusted net investment income per share was $0.36, exceeding analyst estimates of $0.33, but down 21.7% from $0.46 in Q2 2024 [2]. - Total revenue was $319.5 million, slightly below the forecast of $319.6 million, and up 83.5% from $174.2 million in Q2 2024 [2]. - Net asset value per share increased to $17.17, a 2.6% rise from $16.74 a year earlier [2]. - Total investments at fair value reached $12.7 billion, a significant increase of 104.7% from $6.2 billion in Q2 2024 [2]. Business Model and Strategy - The company specializes in providing loans and structured investments to technology companies, focusing on software and enterprise IT sectors [3]. - It operates as a business development company (BDC), investing at least 80% of its assets in technology-related companies [3]. - The strategy includes leveraging external management for deal sourcing and risk management while maintaining conservative credit policies [4]. Key Developments - The merger with Blue Owl Technology Finance II was completed, increasing the portfolio's investments to $12.7 billion and expanding the number of portfolio companies to 184 across 37 industries [5]. - New investment commitments surged to $1.47 billion, more than doubling from $820 million in the prior quarter [6]. Credit Quality and Expenses - The credit quality remained strong, with non-accrual investments less than 0.1% of the portfolio by fair value [7]. - Total operating costs rose to $159.0 million from $82.1 million in the prior quarter, primarily due to the larger portfolio and increased fees [8]. Dividend and Outlook - A regular dividend of $0.35 per share was announced, along with a special dividend of $0.05 per share for Q3 2025, resulting in an annualized dividend yield of 9.3% [10]. - The company did not provide specific financial guidance for the upcoming quarter but highlighted a strong investment pipeline and stable credit conditions [11].