Blue Owl (OBDC) Q4 2025 Earnings Call Transcript | The Motley Fool

The Motley Fool

by newsfeedback@fool.com (Motley Fool Transcribing)

February 19, 2026

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Blue Owl Capital (OBDC) delivered a strong set of results in its Q4 2025 earnings call, highlighting key achievements across its private credit operations and portfolio performance. Notably, the company executed a $1.4 billion private credit loan sale, including $400 million from Blue Owl Capital Corporation, at an average price of 99.7% of book value with four institutional investors. This transaction marked a significant milestone as it was executed directly at book value, a rare feat in the private secondary market where sales typically occur at discounts. The company also repurchased $148 million of its own stock at an average 14% discount to net asset value (NAV), marking the largest buyback in Blue Owl's history and boosting NAV per share by $0.05. Blue Owl's portfolio demonstrated robust performance, with total revenue growth of 8% year over year and EBITDA growth of 11%. Sectors such as software and healthcare led the way, with software borrowers showing 10% revenue growth and 16% EBITDA growth over the trailing 12 months. The company's software portfolio also maintained strong fundamentals, with 90% of its exposures being first-lien senior secured loans at a low loan-to-value ratio (LTV) of about 30%. This conservative underwriting approach has minimized principal losses and ensured stability in the portfolio. Blue Owl's financial metrics remained stable, with an adjusted net investment income (NII) per share of $0.36 for the quarter, consistent with sequential performance. The company's return on equity (ROE) stood at 9.7%, reflecting its efficient use of capital. Despite a slight decline in NAV per share to $14.81 due to write-downs on watch list names, Blue Owl maintained strong liquidity, holding approximately $4 billion in cash and facility capacity, which management described as "ample" for future opportunities. The company also announced a new dividend policy, declaring a base dividend of $0.37 per share for the next quarter while leaving room for potential adjustments based on market conditions. Management emphasized its commitment to carefully evaluating dividends each quarter,

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Originally published on The Motley Fool on 2/19/2026