BBDC Earnings Prediction
The chart below shows how BBDC performed 10 days before and after its earnings report, based on data from the past quarters. Typically, BBDC sees a -1.56% change in stock price 10 days leading up to the earnings, and a +2.68% change 10 days following the report. On the earnings day itself, the stock moves by +0.36%. This data can give you a slight idea of what to expect for the next quarter's release.
BBDC Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
65.94M
-8.71%
5.19%
Gross Margin
--
--
--
Operating Margin
40.48%
-5.53%
10.06%
Net Margin
37.65%
-9.08%
7.17%
EPS
0.24
-14.29%
14.29%
No Data Available
BBDC Earnings Analysis
Barings BDC Inc Corporation (BBDC.N) Earnings Conference Call
Positive
Strong Q4 Performance: BBDC delivered strong results in Q4 2024, with a meaningful uptick in deployment and strong originations, reflecting a robust credit performance.
Strong Shareholder Return: Total shareholder return for 2024 exceeded 24%, placing BBDC in the top quartile among publicly traded peers, driven by stable interest rates and durable credit performance.
Portfolio Stability and Income: Net asset value per share remained stable at $11.29, indicating portfolio stability, with net investment income of $0.28 per share exceeding the dividend of $0.26 per share.
Non-Accrual Rate Improvement: The non-accrual rate improved, declining from 50 basis points in September to 30 basis points in December, showcasing strong credit quality.
Diversified Investment Portfolio: BBDC's portfolio is highly diversified, with 72% consisting of secured investments and a weighted average interest coverage of 2.2 times, above industry averages.
Strong Liquidity Position: The company has a strong liquidity position with over $464 million of available capital and $323 million of unfunded commitments, allowing for continued support of new origination activity.
Dividend Declaration and Yield: The board declared a fourth-quarter dividend of $0.26 per share and special dividends totaling $0.15 per share, equating to an 11% yield based on net asset value.
Share Repurchase Commitment: BBDC executed a share repurchase plan, purchasing over 650,000 shares in 2024, demonstrating a commitment to aligning interests with shareholders.
Negative
Net Asset Value Stability: Net asset value per share was $11.29, showing only a slight increase of 0.1% year over year, indicating limited growth potential.
Limited Income Growth: Net investment income for the quarter was $0.28 per share, which is only marginally above the dividend of $0.26 per share, suggesting limited income growth.
Portfolio Losses and Restructuring: The company experienced net realized losses on the portfolio, predominantly due to the restructure of investments in SECO, indicating potential issues with asset performance.
Portfolio Risk Assessment: The portfolio's risk ratings showed minimal movement, with 11% of issuers classified as risk ratings four and five, indicating some level of stress in the portfolio.
Transaction Timeline Delays: The average transaction timeline from initial activity to closed transactions is three to six months, suggesting potential delays in capital deployment.
Cautious Growth Outlook: The company expressed caution regarding the pace of new buyout opportunities due to regulatory and trade uncertainties, indicating a more conservative outlook for future growth.
Credit Quality Concerns: The non-accrual rate, while low at 0.3%, still reflects some level of concern regarding the credit quality of the portfolio, especially in a changing economic environment.
BBDC FAQs
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BBDC Earning Call Sentiment
Barings BDC, Inc. (NYSE:BBDC) Q4 2024 Earnings Call Transcript
BBDC.N
-3.25%Positive
The earnings call summary and Q&A reveal mixed signals: strong financial metrics and shareholder returns, but concerns over regulatory uncertainty, market volatility, and PIK income. While the company demonstrates stability and potential through share repurchase plans and a solid dividend yield, the cautious outlook on new buyouts and unclear guidance on regulatory impacts temper enthusiasm. Given the market cap of approximately $1 billion, the stock is likely to have a muted reaction, resulting in a neutral sentiment, with potential price movement between -2% to 2%.
