Barings BDC, Inc. (NYSE: BBDC) on Thursday reported fourth-quarter total investment income of $68.0 million and net investment income of $28.0 million, or $0.27 per share. For the full year ended Dec. 31, 2025, the company recorded total investment income of $279.2 million and net investment income of $117.8 million.
Latest Quarterly Results
The company’s net investment income of $28.0 million for the quarter ended Dec. 31, 2025, compared with $33.6 million in the quarter ended Sept. 30, 2025. The net increase in net assets resulting from operations was $25.2 million, or $0.24 per share, for the fourth quarter.
Segment highlights based on investment category are as follows:
- Non-Control / Non-Affiliate Investments: Interest income reached $44.2 million, with dividend income of $1.8 million and fee income of $5.1 million.
- Affiliate Investments: Interest income was $1.4 million, while dividend income totaled $9.8 million.
- Control Investments: Interest income was $0.2 million.
The company’s net asset value (NAV) per share was $11.09 as of Dec. 31, 2025, compared to $11.10 as of Sept. 30, 2025.
Full-Year Results Context
For the full year 2025, Barings BDC reported a net increase in net assets from operations of $101.9 million, or $0.97 per share. This reflects a contraction compared to the $110.3 million reported for the full year 2024. Total investment income for 2025 was $279.2 million, up from $258.4 million in 2024. The debt-to-equity ratio stood at 1.24x at year-end, compared to 1.23x at the end of 2024.
Business & Operations Update
During the fourth quarter of 2025, the company made 19 new investments totaling $83.2 million and contributed $50.0 million to existing portfolio companies. An additional $2.9 million debt investment was made in a portfolio company providing financing to plaintiff law firms. Fourteen loans totaling $84.6 million were repaid during the period. One portfolio company investment was restructured, resulting in a net realized loss of $2.9 million. Non-accruals were reported at 0.2% of fair value.
M&A or Strategic Moves
The company sold $90.9 million of investments to its joint ventures during the fourth quarter, recognizing a net realized gain of $0.4 million. On Feb. 19, 2026, the Board authorized a new 12-month share repurchase program to buy up to $30.0 million of common stock starting March 1, 2026. This follows a prior $30.0 million program under which the company had repurchased 702,054 shares at an average price of $9.04 as of Feb. 19, 2026.
Guidance & Outlook
The Board declared a quarterly cash dividend of $0.26 per share, payable on March 11, 2026, to stockholders of record as of March 4, 2026. In terms of post-quarter activity, the company made approximately $47.6 million in new commitments after Dec. 31, 2025, of which $37.9 million closed and funded. These new investments consist of $22.9 million in first-lien debt and $14.7 million in second-lien debt.
Performance Summary
Barings BDC reported Q4 net investment income of $0.27 per share. Full-year 2025 net assets increased by $101.9 million. The company authorized a new $30 million share repurchase program. Total net assets were $1.16 billion at year-end.