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Sep 30, 2025
Main Street Capital Q3 2025 Earnings Report
Main Street Capital reported strong third quarter 2025 results with increased net investment income and distributable net investment income per share, alongside a record net asset value per share.
Key Takeaways
Main Street Capital delivered a strong performance in the third quarter of 2025, marked by an annualized return on equity of 17.0%, robust net investment income and distributable net investment income per share, and a record net asset value per share. The company's diversified investment strategies and efficient operating structure contributed to these favorable results, with significant net fair value increases in its lower middle market investment portfolio.
Net investment income increased to $86.5 million, or $0.97 per share, up from $0.96 per share in the prior year.
Distributable net investment income remained strong at $92.7 million, or $1.03 per share, consistent with the prior year.
Net asset value reached a record $32.78 per share, an increase of 1.5% from the previous quarter and 3.6% year-to-date.
Total investment income grew to $139.8 million, driven by an $8.0 million increase in dividend income and a $2.2 million increase in fee income.
Revenue by Segment
Forward Guidance
Main Street Capital is confident in its ability to continue delivering superior results, supported by strong liquidity, a conservative leverage profile, and favorable investment activity in its diversified lower middle market and private loan strategies.
Positive Outlook
- Declaration of another $0.30 per share supplemental dividend, marking the seventeenth consecutive quarterly supplemental dividend.
- 11 increases to regular monthly dividends declared since the fourth quarter of 2021.
- Maintenance of very strong liquidity and a conservative leverage profile, supported by long-term lender relationships and recent investment grade notes offering.
- Diversified lower middle market and private loan investment strategies are generating favorable investment activity in the fourth quarter.
- Continued benefits from the asset management business and a cost-efficient operating structure.
Challenges Ahead
- No specific negative forward guidance was provided in the report.
- No specific negative forward guidance was provided in the report.
Historical Earnings Impact
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Avg. Return Before/After Earnings
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