FOURTH QUARTER 2025 HIGHLIGHTS
Fourth quarter GAAP net investment income ("NII") per share of $0.26
Fourth quarter adjusted NII per share of $0.30(1)
Dividends declared for the first quarter were $0.40 per share, representing an annualized dividend yield of 9.2%(2) based on net asset value ("NAV") per share as of December 31, 2025
In connection with the listing, the Board of Directors (the "Board") declared five special dividends of $0.05 per share to be paid quarterly through September 2026
NAV per share increased to $17.33, as compared with $17.27 as of September 30, 2025, driven primarily by unrealized and realized gains in certain equity investments and accretive share repurchases
New investment commitments for the fourth quarter were $2.3 billion and sales and repayments were $881 million, as compared with $1.0 billion of new investment commitments and $848 million of sales and repayments for the three months ended September 30, 2025
Net debt-to-equity ended at 0.75x, as compared with 0.57x as of September 30, 2025
Investments on non-accrual represented 0.4% and 0.2% of the portfolio at cost and fair value, respectively, as compared with 0.2% and less than 0.1% as of September 30, 2025
OTF repurchased approximately $64.6 million of OTF common stock at 82% of price-to-book value
The Board approved a new $300 million share repurchase program, replacing the prior $200 million authorization
Approximately 47% of each pre-listing shareholder's position has been released from lock-up, with the remainder scheduled to be released in equal tranches of approximately 10.6% each month until June 12, 2026
"OTF delivered another strong quarter, marked by NAV growth and steady progress towards our target leverage," said Craig W. Packer, Chief Executive Officer. "The portfolio continues to demonstrate excellent credit quality, reinforcing the durability of our technology investing strategy."
Erik Bissonnette, President, added, "Our software credits remain the strongest-performing segment of our direct lending platform and, on average, have delivered strong revenue and EBITDA growth across all market environments. As AI reshapes the technology landscape, we have revisited our underwriting assumptions and assessed that mission-critical solutions with data moats and operating in low risk-tolerance environments, where our portfolio is focused, are well-positioned to adopt and benefit from AI."
Stock RepurchasesOn November 4, 2025, the Board approved a $200 million stock repurchase program, for which purchases may be made at management's discretion from time to time in open market transactions. As of December 31, 2025, the Company repurchased approximately $64.6 million of OTF common stock at 82% price-to-book value, accretive to net asset value per share in the fourth quarter.
On February 18, 2026 the Board approved a new repurchase program of up to $300 million of the Company's common stock, replacing the prior $200 million authorization.
Dividend DeclarationsThe Board declared a first quarter 2026 regular dividend of $0.35 per share for stockholders of record as of March 31, 2026, payable on or before April 15, 2026.
As previously announced, the Board also declared a series of five special dividends of $0.05 per share. A full schedule of the record and payment dates can be found on the Company's website at www.blueowltechnologyfinance.com.
Lock-Up Release ScheduleOn November 4, 2025, the Board approved an amended lock-up release schedule, effective as of November 13, 2025, that applies to shares currently subject to transfer restrictions. Under the new schedule, approximately 10.6% of these shares of the Company's common stock continue to be released each month until June 12, 2026.
As of today, approximately 47% of each shareholder's position has been released from lock-up. Following the previously announced amendment, the remaining shares still subject to transfer restrictions will be released in accordance with the following schedule:
Release Date
Approximate Percentage of Shares Subject to Transfer Restrictions Released
Approximate Number of Shares Subject to Transfer Restrictions Released
February 20, 2026
10.6 %
49,096,350
March 9, 2026
10.6 %
49,096,350
April 20, 2026
10.6 %
49,096,350
May 20, 2026
10.6 %
49,096,350
June 12, 2026
10.6 %
49,099,234
(1)
Adjusted to exclude any change in capital gains incentive fees accrued but not paid. These fees are related to cumulative unrealized gains in excess of cumulative net realized gains less any cumulative unrealized losses, less capital gains incentive fees paid inception to date.
(2)
Annualized dividend yield calculated as Q4 2025 annualized regular dividend of $0.35 per share and Q4 2025 annualized special dividend of $0.05 per share payable to shareholders of record as of December 31, 2025 divided by Q4 2025 net asset value per share of $17.33.
SELECT FINANCIAL HIGHLIGHTS
As of and for the Three Months Ended
($ in thousands, except per share amounts)
December 31, 2025
September 30, 2025
December 31, 2024
GAAP results:
Net investment income per share
$ 0.26
$ 0.28
$ 0.41
Net realized and unrealized gains (losses) per share
$ 0.18
$ 0.22
$ 0.06
Net increase (decrease) in net assets resulting from operations per share
$ 0.44
$ 0.50
$ 0.48
Capital gains incentive fee expense (benefit) per share
$ 0.03
$ 0.04
$ 0.01
Non-GAAP financial measures(1)(2):
Adjusted net investment income per share
$0.30
$0.32
$ 0.42
Adjusted net increase (decrease) in net assets resulting from operations per share
$0.47
$0.54
$ 0.48
Total investments at fair value
$ 14,286,039
$ 12,884,046
$ 6,407,466
Total debt outstanding (net of unamortized debt issuance costs)
$ 6,288,200
$ 4,966,719
$ 2,914,509
Net assets
$ 8,041,598
$ 8,055,224
$ 3,625,150
Net asset value per share
$ 17.33
$ 17.27
$ 17.09
Net debt-to-equity
0.75x
0.57x
0.74x
(1)
See Non-GAAP Financial Measures for a description of the non-GAAP measures and the reconciliations from the most comparable GAAP financial measures to the Company's non-GAAP measures, including on a per share basis. The Company's management utilizes these non-GAAP financial measures to internally analyze and assess financial results and performance. These measures are also considered useful by management as an additional resource for investors to evaluate the Company's ongoing results and trends, as well as its performance, excluding non-cash income and expenses. The presentation of non-GAAP measures is not intended to be a substitute for financial results prepared in accordance with GAAP and should not be considered in isolation.
(2)
Adjusted to exclude any change in capital gains incentive fees accrued but not payable. These fees are related to cumulative unrealized gains in excess of cumulative net realized gains less any cumulative unrealized losses, less capital gains incentive fees paid inception to date.
PORTFOLIO COMPOSITION
As of December 31, 2025, the Company had investments in 199 portfolio companies across 39 industries, with an aggregate portfolio size of $14.3 billion at fair value and an average investment size of $71.8 million at fair value.
December 31, 2025
September 30, 2025
($ in thousands)
Fair Value
% of Total
Fair Value
% of Total
Portfolio composition:
First-lien senior secured (1)
$ 10,979,070
76.8 %
$ 9,885,010
76.8 %
Second-lien senior secured
568,641
4.0 %
426,867
3.3 %
Specialty finance debt
37,452
0.3 %
36,755
0.3 %
Unsecured
477,128
3.3 %
468,887
3.6 %
Preferred equity
1,072,481
7.5 %
1,096,622
8.5 %
Common equity
722,100
5.1 %
633,523
4.9 %
Specialty finance equity
375,812
2.6 %
317,890
2.5 %
Joint ventures
53,355
0.4 %
18,492
0.1 %
Total investments
$ 14,286,039
100.0 %
$ 12,884,046
100.0 %
(1)
We consider 60.6% and 58.1% of first-lien senior secured debt investments to be unitranche loans as of December 31, 2025 and September 30, 2025, respectively.
December 31, 2025
September 30, 2025
Number of portfolio companies
199
185
Percentage of debt investments at floating rates
96.2 %
97.0 %
Percentage of senior secured debt investments
81.1 %
81.3 %
Weighted average spread over base rate of all floating rate debt investments
5.4 %
5.6 %
Weighted average total yield of accruing debt and income-producing securities at fair value
9.6 %
10.1 %
Weighted average total yield of accruing debt and income-producing securities at cost
9.5 %
10.2 %
Percentage of investments on non-accrual of the portfolio at fair value
0.2 %
— %
PORTFOLIO AND INVESTMENT ACTIVITY
Full YearFor the year ended December 31, 2025, new investment commitments totaled $5.6 billion across 58 new portfolio companies and 58 existing portfolio companies. For the year ended December 31, 2024, new investment commitments were $2.7 billion across 54 new portfolio companies and 34 existing portfolio companies.
For the year ended December 31, 2025, the principal amount funded totaled $4.3 billion and aggregate principal amount of sales and repayments totaled $3.1 billion. For the year ended December 31, 2024, the principal amount of new investments funded was $2.1 billion and aggregate principal amount of sales and repayments was $1.8 billion.
Fourth QuarterFor the three months ended December 31, 2025, new investment commitments totaled $2.3 billion across 25 new portfolio companies and 15 existing portfolio companies. For the three months ended September 30, 2025, new investment commitments were $1.0 billion across 12 new portfolio companies and 17 existing portfolio companies.
For the three months ended December 31, 2025, the principal amount of new investments funded totaled $1.7 billion and aggregate principal amount of sales and repayments was $881 million. For the three months ended September 30, 2025, the principal amount of new investments funded totaled $745 million and aggregate principal amount of sales and repayments was $848 million.
For the Year Ended December 31,
($ in thousands)
2025
2024
New investment commitments
Gross originations
$ 5,627,964
$ 2,669,031
Less: Sell downs
(36,981)
(15,864)
Total new investment commitments
$ 5,590,983
$ 2,653,167
Principal amount of new investments funded:
First-lien senior secured debt investments
$ 3,694,471
$ 1,858,962
Second-lien senior secured debt investments
135,503
13,500
Specialty finance debt investments
11,050
1,226
Unsecured debt investments
142,980
51,607
Preferred equity investments
92,757
23,477
Common equity investments
44,202
99,473
Specialty finance equity investments
173,586
99,588
Joint ventures
16,521
948
Total principal amount of new investments funded
$ 4,311,070
$ 2,148,781
Drawdowns (Repayments) on revolvers and delayed draw term loans, net
$ 515,303
Principal amount of investments sold or repaid:
First-lien senior secured debt investments(1)
$ (2,632,820)
$ (1,229,745)
Second-lien senior secured debt investments
(122,007)
(172,334)
Specialty finance debt investments
