Q2 2026 Goldman Sachs BDC Inc Earnings Call Transcript
Key Points
- Net investment income increased materially to $0.38 per share, representing an annualized yield on book value of approximately 12.6%.
- Non-accruals decreased to 2.9% at fair value from 3.2% in the prior quarter, with one portfolio company restored to accrual status.
- New originations featured improved economics, with a weighted average spread of 511 basis points and a conservative weighted average loan-to-value of 37.4%.
- Leverage has been reduced below the target of 1.25 times, creating capacity for new deployment and reactivation of the stock repurchase program.
- The workout team successfully managed complex situations, including a full paydown of the Thrasio senior loan and over 75% paydown of a second-out position at par.
- The company maintains a strong liability structure with committed long-dated facilities and no mark-to-market provisions, providing stability in volatile markets.
- Net asset value declined modestly by just under 1% to $12.06 per share from $12.17 in the first quarter.
- Deployment activity was intentionally selective, with new commitments of only $12.9 million across nine portfolio companies during the quarter.
- The weighted average yield on total debt and income-producing investments decreased to 9.5% from the first quarter.
- The M&A environment remained subdued, with private equity deal volumes down 38% quarter over quarter and sponsored loan issuance down 33%.
- The company faces ongoing headwinds from AI disruption concerns and geopolitical uncertainty, which are affecting business models across the portfolio.
- Net debt-to-equity ratio of 1.35 times at quarter end was at the upper end of the operating range, though it has since declined.
Good morning and thank you for joining us. My name is Haley Neeven, Head of the Investor Relations Team for Goldman Sachs BDC Inc., and I would like to welcome everyone to the Goldman Sachs BDC Inc. Second Quarter 2026 Earnings Conference Call.
Please note that all participants will be in listen-only mode until the end of the call, when we will open the line for questions. Before we begin today's call, I would like to remind our listeners that today's remarks may include forward-looking statements. These statements represent the company's belief regarding future events that by their nature are uncertain and outside of the company's control. The company's actual results and financial condition may differ, possibly materially, from what is indicated in those forward-looking statements as a result of a number of factors, including those described from time to time in the company's SEC filings.
This audio cast is copyrighted material of Goldman Sachs BDC, Inc. And may not be duplicated, reproduced or rebroadcast without
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
