Oaktree Specialty Lending (OCSL) Company Report

Oaktree Specialty Lending Corporation (OCSL) achieved adjusted net investment income of $0.40 per share for the fourth fiscal quarter ending September 30, 2025, an increase from $0.37 in the prior quarter, and the board approved a dividend of $0.40 per share for the quarter.
The company continued to reduce non-accruals, which were 2.8% of the portfolio measured at fair value at year-end, down 100 basis points from last year.
OCSL's leverage ratio at quarter-end was 0.97 times, within its target range of 0.9 times-1.25 times, and it maintained ample liquidity of approximately $695 million.
New-funded investment commitments, including drawdowns, amounted to $220 million, with a weighted average spread on deployments of approximately SOFR plus 570, and 88% of new originations were first-lien loans.

Nov 18, 2025, 4:00 PM

Transcript

OCSL Reports Increased Q4 2025 Adjusted Net Investment Income and Dividend

OCSL

Earnings

Dividends

New Projects/Investments

OCSL reported adjusted net investment income of $0.40 per share for Q4 2025, an increase from $0.37 in the prior quarter, and declared a $0.40 per share dividend.
Non-accruals decreased to 2.8% of the portfolio at fair value at year-end, a 20 basis point reduction from the previous quarter.
The company's leverage ratio stood at 0.97 times, within its target range, and it had $695 million in liquidity at quarter end.
New-funded investment commitments rose 54% to $220 million in Q4, with a weighted average spread on deployments of approximately SOFR plus 570.
The portfolio is primarily composed of 83% first-lien senior-secured debt, yielding a weighted average of 9.8%.

Nov 18, 2025, 4:00 PM

Transcript

OCSL Reports Q4 2025 Financial Results

OCSL

Earnings

Dividends

New Projects/Investments

For the quarter ended September 30, 2025, OCSL reported GAAP net investment income of $0.41 per share and adjusted net investment income of $0.40 per share.
The company declared a quarterly cash distribution of $0.40 per share and its Net Asset Value (NAV) was $16.64 per share as of September 30, 2025.
OCSL's portfolio stood at $2.8 billion at fair value across 143 portfolio companies, with $208 million of new investment commitments and $220 million of new investment fundings during the quarter.
The net debt to equity ratio was 0.97x, and liquidity totaled $695 million as of September 30, 2025.
Oaktree implemented an incentive fee cap in the first fiscal quarter of 2025, which has retained $20.4 million in Part I incentive fees that would have otherwise been paid to Oaktree.

Nov 18, 2025, 4:00 PM

Presentation

OCSL Reports Q4 2025 Adjusted Net Investment Income of $0.40 Per Share

OCSL

Earnings

Dividends

New Projects/Investments

Oaktree Specialty Lending Corporation (OCSL) reported adjusted net investment income of $0.40 per share for the fourth fiscal quarter of 2025, an increase from $0.37 in the prior quarter, and approved a $0.40 per share dividend for the quarter.
Non-accruals decreased to 2.8% of the portfolio measured at fair value at year-end, down 20 basis points from the third quarter and 100 basis points from last year.
New-funded investment commitments totaled $220 million in Q4 2025, a 54% increase from the prior quarter, with 88% of new originations being first-lien loans and a weighted average spread on deployments of approximately SOFR plus 570.
The company's leverage ratio was 0.97 times at quarter-end, slightly up from 0.93 times last quarter, remaining at the low end of their target range of 0.9 times to 1.25 times, providing ample financial flexibility.

Nov 18, 2025, 4:00 PM

Transcript

Oaktree Specialty Lending Corporation Announces Fourth Fiscal Quarter and Full Year 2025 Financial Results

OCSL

Earnings

New Projects/Investments

Oaktree Specialty Lending Corporation reported total investment income of $77.3 million ($0.88 per share) and GAAP net investment income of $35.8 million ($0.41 per share) for the fourth fiscal quarter ended September 30, 2025. For the full fiscal year 2025, total investment income was $316.8 million ($3.68 per share) and GAAP net investment income was $152.6 million ($1.77 per share).
The company's Net Asset Value (NAV) per share was $16.64 as of September 30, 2025, a decrease from $16.76 as of June 30, 2025, primarily reflecting unrealized depreciation on certain debt and equity investments.
During the quarter ended September 30, 2025, OCSL originated $208.2 million of new investment commitments with a weighted average yield of 9.7% on new debt investments, and received $177.0 million from prepayments, exits, and sales. The investment portfolio was valued at $2.8 billion at fair value across 143 portfolio companies.
As of September 30, 2025, total debt outstanding was $1,495.0 million, with a net debt to equity ratio of 0.97x. The company reported $695 million in liquidity, which includes $80 million of cash and $615 million of undrawn capacity on its credit facility.

Nov 18, 2025, 11:01 AM

8-K

Oaktree Specialty Lending Reports Q4 Earnings and Dividend Coverage

OCSL

Earnings

Dividends

Demand Weakening

Oaktree Specialty Lending (OCSL) reported strong Q4 results with non-GAAP net investment income of $0.40 per share, surpassing analyst expectations, and fully covered its quarterly dividend, maintaining a 12.0% forward yield.
The company's financial strength is tempered by high debt levels, with a debt-to-equity ratio near 0.98, and a significant 18.3% decline in total investment income year-over-year, alongside a three-year revenue decline of 46.2%.
Net realized losses improved significantly to $(17.1) million from $(136.4) million in the prior year, though net unrealized depreciation increased.

Nov 17, 2025, 10:36 PM

Morningstar

Oaktree Specialty Lending Corporation Announces Q3 2025 Financial Results

OCSL

Earnings

Dividends

Debt Issuance

Oaktree Specialty Lending Corporation reported GAAP net investment income of $33.5 million ($0.38 per share) and adjusted net investment income of $32.5 million ($0.37 per share) for the third fiscal quarter of 2025, a decrease from the prior quarter primarily due to lower total investment income and higher interest expenses.
The company's Net Asset Value (NAV) per share slightly increased to $16.76 as of June 30, 2025, and a quarterly cash distribution of $0.40 per share was declared.
OCSL originated $147.2 million in new investment commitments with a 9.1% weighted average yield on new debt investments, while receiving $249.4 million from prepayments and sales during the quarter. The investment portfolio's fair value was $2.8 billion across 149 companies.
The company maintained strong liquidity with $79.8 million in unrestricted cash and $650.0 million in undrawn capacity, and amended its syndicated credit facility to reduce interest rate margins and extend maturity dates. Its total debt to equity ratio was 0.99x.

Aug 5, 2025, 12:00 AM

8-K

Oaktree Specialty Lending Corp Terminates OSI2 Facility

OCSL

Debt Issuance

On May 14, 2025, the company repaid all outstanding borrowings under the OSI2 Facility, effectively terminating the material definitive agreement that would have matured on January 26, 2029.
The filing was issued via a Form 8-K and signed by CFO Christopher McKown on May 16, 2025.

May 16, 2025, 12:00 AM

8-K

Oaktree Specialty Lending Corp Amends Equity Distribution Agreement

OCSL

On May 5, 2025, the company executed a Fourth Amendment to its Equity Distribution Agreement, enabling an equity offering of up to $300.0 million and adding SMBC Nikko Securities America, Inc. as an additional placement agent.
The amendment adjusts defined terms and procedures for communications related to the share offering, with all modifications effective immediately.
The agreement was duly executed by key officers, including the CFO and Secretary, confirming the company's commitment to the revised terms.

May 5, 2025, 12:00 AM

8-K

[Oaktree Specialty Lending Corp Reports Q2 2025 Earnings & Results]

OCSL

Earnings

Debt Issuance

Dividends

New Projects/Investments

Q2 2025 earnings highlights: GAAP total investment income of $77.6M, GAAP net investment income of $39.1M, and Adjusted net investment income of $38.7M ($0.45 per share) (down from $0.54)
Declared dividends of $0.40 base plus $0.02 supplemental per share
Robust investment activity with $407M committed across 32 investments and a weighted average debt yield of 9.5%; plus $279.4M generated from prepayments, exits, and sales
Capital structure actions include issuance of new unsecured bonds maturing in 2030 and an amended credit facility with reduced rates, alongside strong liquidity marked by a 0.93x net debt/equity ratio, $98M in cash, and $1,040M undrawn credit capacity
NAV per share declined to $16.75 from $17.63, reflecting investment write-downs and losses on specific debt and equity investments