GSBD · Goldman Sachs BDC, Inc.

Goldman Sachs BDC, Inc. reported first quarter 2026 net investment income of $24.8 million ($0.22 per share), a significant decline from $42.2 million ($0.37 per share) in the prior quarter. The decrease was primarily driven by lower base interest rates and tightening credit spreads, which reduced total investment income to $78.8 million from $86.1 million. Net expenses rose to $53.0 million from $43.0 million, largely due to higher incentive fees tied to portfolio performance over the trailing twelve quarters and increased interest and other debt expenses. The company recorded net realized and unrealized losses of $38.4 million, compared to $18.5 million in the prior quarter, reflecting mark-to-market declines. Net asset value per share fell 3.7% to $12.17 from $12.64, partly due to the placement of two investments (One GI LLC and 3SI Security Systems, Inc.) on non-accrual status. As of March 31, 2026, non-accrual investments represented 3.2% of the portfolio at fair value and 4.7% at amortized cost. The ending net debt-to-equity ratio increased to 1.37x from 1.27x, indicating higher leverage. The Board declared a second quarter 2026 base dividend of $0.32 per share, payable July 28, 2026 to shareholders of record as of June 30, 2026. No share repurchases were executed during the quarter under the existing $75 million buyback plan. The company's portfolio remains heavily weighted toward senior secured debt (98.7% of investments), with 97.1% in first lien investments, and 99.4% of performing debt bearing floating rates. The weighted average yield on debt and income-producing investments at amortized cost was 9.9%, unchanged from the prior quarter.