ARCC Earnings Prediction
The chart below shows how ARCC performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ARCC sees a -0.55% change in stock price 10 days leading up to the earnings, and a +0.32% change 10 days following the report. On the earnings day itself, the stock moves by +0.22%. This data can give you a slight idea of what to expect for the next quarter's release.
ARCC Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
808.00M
-6.70%
12.38%
Gross Margin
--
--
--
Operating Margin
50.25%
-13.48%
-0.48%
Net Margin
48.76%
-15.55%
8.89%
EPS
0.62
-28.74%
19.23%
No Data Available
ARCC Earnings Analysis
Ares Capital Corporation Corporation (ARCC.O) Earnings Conference Call
Positive
Record NAV Achievement: 1. Record NAV per Share: Ares Capital Corporation reported a record net asset value (NAV) per share of $19.77, marking a significant milestone in the company's financial performance.
Core Earnings Performance: 2. Strong Core Earnings: The company achieved core earnings of $0.58 per share for Q3 2024, demonstrating consistent profitability and financial health.
Investment Commitment Surge: 3. Increased Investment Commitments: Ares Capital originated approximately $3.9 billion in new investment commitments during the third quarter, more than doubling year-over-year, reflecting strong market activity.
Portfolio Value Increase: 4. Robust Portfolio Growth: The total portfolio at fair value grew to $25.9 billion, representing a 4% increase from the previous quarter and an 18% increase year-over-year.
Strong Liquidity Position: 5. High Liquidity Position: The company maintained a strong liquidity position with nearly $5.8 billion in total available liquidity, providing significant financial flexibility for future investments.
Negative
Core Earnings Decline: 1. Declining Core Earnings: Core earnings per share decreased to $0.58 in Q3 2024 from $0.61 in Q2 2024 and $0.59 in Q3 2023.
Declining Average Yield: 2. Reduced Weighted Average Yield: The weighted average yield on debt and other income-producing securities fell to 11.7% at September 30, down from 12.2% at June 30 and 12.4% a year ago.
Decline in GAAP Net Income: 3. Lower GAAP Net Income: GAAP net income per share remained flat at $0.52 for Q3 2024, compared to $0.89 in Q3 2023, indicating a significant year-over-year decline.
Interest and Credit Fees Rise: 4. Increased Interest and Credit Facility Fees: The increase in interest and credit facility fees was attributed to higher leverage during the quarter, impacting overall expenses negatively.
EBITDA Growth Decline: 5. Decline in EBITDA Growth: The growth rate of EBITDA for portfolio companies decreased to 10% in Q3 2024 from 12% in the previous quarter, indicating a slowdown in financial performance.
ARCC FAQs
How does ARCC typically perform around its earnings report dates?
Is Ares Capital Corporation (ARCC) Q3 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
ARCC Earning Call Sentiment
Ares Capital Corporation (ARCC) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
ARCC.O
-2.98%Positive
The earnings call summary highlights strong financial performance with record high stockholders' equity and low nonaccrual rates. The Q&A section indicates stable credit performance and a busy outlook for the next year. The company's dividend stability and strong liquidity further support a positive sentiment. Despite some unclear responses, the overall outlook is positive, with significant investment commitments and a strong backlog. The market is likely to react positively, potentially leading to a 2% to 8% stock price increase.