Golub Capital BDC (GBDC) Q3 2025 Financial Results Summary
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Golub Capital BDC, Inc. (GBDC) Q4 2025 Financial Results Summary
Release Date: The financial results for the quarter ending September 30, 2025, were released on [insert release date here].
Summary of Financial Results
- Quarterly Base Distribution:
- Declared at $0.39 per share for FY 2026 Q1.
- Coverage of the distribution remains strong at approximately 100%.
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The base dividend yield as of September 30, 2025, is 10.5% on NAV.
-
Profitability Metrics:
- Adjusted net investment income (NII) per share is $0.39, resulting in an adjusted NII return on equity (ROE) of 10.4%.
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Adjusted earnings per share (EPS) is $0.36, translating to an adjusted ROE of 9.6%.
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Key Profitability Drivers:
- Solid portfolio company performance contributing to NII.
- Portfolio spreads are declining but remain attractive.
- Favorable borrowing costs with a base management fee of 1.0% and an incentive fee rate of 15.0% (8.0% hurdle rate).
Earnings Review
- Net Asset Value (NAV):
- Decreased by $0.03 per share to $14.97, down from $15.00 as of June 30, 2025.
- Repurchased 0.4 million shares for $5.2 million at a weighted average price of $14.02 per share, equating to 94% of NAV.
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Total share repurchases for the fiscal year amount to 2.9 million shares for $40.6 million, leading to an NAV accretion of over $0.01 per share.
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Debt and Funding:
- GAAP debt-to-equity ratio net decreased to 1.23x, with 49% of debt funding being unsecured and 81% classified as floating rate.
- Weighted average cost of debt stands at 5.6%.
- Total available liquidity is reported at $1.2 billion.
Portfolio & Credit Quality
- Investment Portfolio:
- Engaged in $8.8 billion worth of investments at fair value with $370.8 million in exits/sales and $86.5 million in new commitments.
- Approximately 90% of total investments received internal performance ratings of 4 or 5.
- Non-accrual investments decreased to 0.3% of total investments at fair value (from 0.6% at cost).
Detailed Financial Performance
Key Financial Metrics Compared to Prior Quarters
| Metric | September 30, 2024 | September 30, 2025 |
|---|---|---|
| Net Investment Income Per Share | **$0.45** | **$0.38** (No Change) |
| Adjusted Net Investment Income | **$0.47** | **$0.39** (No Change) |
| Earnings Per Share | **$0.36** | **$0.36** (No Change) |
| Net Asset Value Per Share | **$15.19** | **$14.97** (Decrease of 1.47%) |
| Distributions Paid Per Share | **$0.49** | **$0.39** (Decrease of 20.41%) |
Quarterly Investment Details
- New Investment Commitments: Reported at $86.5 million.
- Exits and Sales of Investments: Totaled $370.8 million.
- Total Investments Decreased by approximately 2.1% or $192.2 million** during Q4 2025.
Credit Quality Overview
- The overall credit quality is maintained with nearly 90% of the investments having strong performance ratings.
- The number of non-accrual investments remained constant at nine during Q4 2025.
Dividend and Share Repurchase Activity
- Quarterly Dividend: Declared a dividend of $0.39 for Q4 FY 2025.
- Share Repurchases: Conducted share repurchases totaling 2.9 million shares resulting in NAV accretion.
This summary highlights the financial performance of Golub Capital BDC, Inc. (GBDC) for Q4 2025, reflecting a solid operational footing combined with a commitment to shareholder returns through dividends and strategic share repurchases.
Here are the extracted tables from the press release:
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Amounts in thousands)
| Quarter Ended | September 30, 2024 | December 31, 2024 | March 31, 2025 | June 30, 2025 | September 30, 2025 |
|---|---|---|---|---|---|
| Investment Income | |||||
| Interest income | $222,383 | $217,306 | $208,895 | $212,899 | $211,548 |
| Acquisition purchase premium amortization | (6,178) | (5,686) | (4,592) | (3,602) | (3,543) |
| Dividend and fee income | $8,201 | $9,080 | $9,589 | $9,047 | $9,836 |
| Total Investment Income | $224,406 | $220,700 | $213,892 | $218,344 | $217,841 |
| Expenses | |||||
| Interest and other debt financing expenses | $66,595 | $79,643 | $69,911 | $70,698 | $70,366 |
| Base management fee | $20,534 | $21,581 | $21,714 | $22,082 | $22,514 |
| Incentive fee – net investment income, net of waiver | $13,085 | $18,058 | $18,247 | $18,543 | $18,434 |
| Other operating expenses | $4,546 | $5,303 | $5,358 | $5,759 | $5,762 |
| Total Expenses | $104,760 | $124,585 | $115,230 | $117,082 | $117,076 |
| Income and excise taxes | — | (475) | — | — | — |
| Net Investment Income after Tax | $119,646 | $96,590 | $98,662 | $101,262 | $100,765 |
| Net Gain (Loss) on Investments and Foreign Currency | |||||
| Net realized gain (loss) on investments and foreign currency transactions | $(29,459) | $(27,855) | $(11,041) | $(24) | $(33,460) |
| Net unrealized appreciation (depreciation) on investments and foreign currency translation | $(1,522) | $36,837 | $(13,718) | $(15,032) | $25,080 |
| Net unrealized appreciation (depreciation) on investments due to purchase premium from GCIC and GBDC 3 acquisition | $6,431 | $5,738 | $4,935 | $3,641 | $3,751 |
| Net gain (loss) on investments and foreign currency | $(24,550) | $14,720 | $(19,824) | $(11,415) | $(4,629) |
| Net realized gain (loss) on extinguishment of debt | — | (48) | — | — | — |
| Provision for taxes on realized gain and unrealized appreciation on investments | $103 | $52 | $146 | $211 | $154 |
| Net Increase (Decrease) in Net Assets Resulting from Operations | $95,199 | $111,314 | $78,984 | $90,058 | $96,290 |
| Per Share Data | |||||
| Net Investment Income Per Share | $0.45 | $0.37 | $0.37 | $0.38 | $0.38 |
| Adjusted Net Investment Income per share | $0.47 | $0.39 | $0.39 | $0.39 | $0.39 |
| Earnings (Loss) Per Share | $0.36 | $0.42 | $0.30 | $0.34 | $0.36 |
| Adjusted Earnings (Loss) Per Share | $0.36 | $0.42 | $0.30 | $0.34 | $0.36 |
| Distributions Paid | $0.49 | $0.48 | $0.39 | $0.39 | $0.39 |
| Weighted average shares of common stock outstanding | 264,439,678 | 264,343,512 | 266,484,213 | 266,844,118 | 266,345,245 |
CONDENSED CONSOLIDATED BALANCE SHEETS (Dollar amounts in 000s)
| As of | September 30, 2024 | December 31, 2024 | March 31, 2025 | June 30, 2025 | September 30, 2025 |
|---|---|---|---|---|---|
| Assets | |||||
| Investments, at fair value | $8,235,411 | $8,685,231 | $8,621,220 | $8,961,549 | $8,769,389 |
| Cash, cash equivalents and foreign currencies | $131,164 | $110,277 | $116,927 | $99,756 | $23,616 |
| Restricted cash, cash equivalents and foreign currencies | $228,388 | $110,597 | $129,457 | $79,017 | $88,827 |
| Other assets | $108,793 | $102,681 | $82,261 | $96,191 | $96,467 |
| Total Assets | $8,703,756 | $9,008,786 | $8,949,865 | $9,236,513 | $8,978,299 |
| Liabilities | |||||
| Debt | $4,624,791 | $4,919,258 | $4,833,150 | $5,154,001 | $4,926,778 |
| Unamortized debt issuance costs | $(25,361) | $(28,694) | $(26,232) | $(26,853) | $(26,005) |
| Interest payable | $45,701 | $51,518 | $50,473 | $51,446 | $38,254 |
| Management and income incentive fees payable | $33,619 | $38,823 | $40,869 | $40,613 | $40,884 |
| Other liabilities | $10,477 | $10,337 | $8,107 | $21,977 | $15,821 |
| Total Liabilities | $4,689,227 | $4,991,242 | $4,906,367 | $5,241,184 | $4,995,732 |
| Total Net Assets | $4,014,529 | $4,017,544 | $4,043,498 | $3,995,329 | $3,982,567 |
| Total Liabilities and Net Assets | $8,703,756 | $9,008,786 | $8,949,865 | $9,236,513 | $8,978,299 |
| Net Asset Value per Share | $15.19 | $15.13 | $15.04 | $15.00 | $14.97 |
| GAAP leverage | 1.16x | 1.24x | 1.21x | 1.30x | 1.25x |
| GAAP debt-to-equity, net | 1.09x | 1.19x | 1.16x | 1.26x | 1.23x |
| Asset coverage | 186.0% | 180.8% |