Goldman Sachs BDC Holds Distribution at $0.32 Despite $0.04 Per-Share Loss
Key Facts
Goldman Sachs BDC said net investment income per share, on both a reported and adjusted basis, was $0.32 for the quarter ended September 30, 2026, and kept its base distribution for the fourth quarter at the same level. By contrast, the company posted a loss of $0.04 per share for the quarter, according to its financial statement. The company said net investment income represented an annualized return on book value of 10.9%. The results highlight a contrast between investment income and the distribution on one hand, and the reported per-share loss on the other. The company set December 31, 2026, as the record date for shareholders eligible for the base distribution.
Net investment income per share declined from the second quarter, when it was $0.38, or $0.37 excluding amortization of the purchase discount related to the merger, according to the company's filing with the U.S. Securities and Exchange Commission. The company reported earnings of $0.21 per share that quarter, while the third quarter ended with a loss of $0.04 per share. Total investment income fell to $75.0 million in the third quarter from $83.7 million in the second quarter. The company attributed the decline mainly to a smaller portfolio and the placement of some investments on non-accrual status. This means the drop in income was accompanied by an increase in the share of investments for which income is not recognized on an accrual basis.
Non-accrual investments rose to 4.2% of the total portfolio at fair value on September 30, compared with 2.9% on June 30, according to the company's statement. On an amortized cost basis, the share increased to 7.3% from 5.0% over the same period. The company's results showed non-accrual investments across 11 companies at the end of September. These figures put non-accruals at the center of the company's explanation for the decline in investment income during the quarter. The comparison between fair value and amortized cost also shows that the percentage differs depending on the valuation basis used.
The fair value of the company's investments and unfunded commitments totaled $3,216.8 million on September 30, 2026, across 168 companies in 41 industries, according to the statement. That scale provides a picture of the portfolio, which saw investment income decline and the share of non-accrual investments rise during the quarter. Meanwhile, net debt to equity fell to 1.21 times at the end of September from 1.35 times at the end of June. The company reported the ratio as part of its third-quarter results. The comparison brings together lower leverage and a broader incidence of non-accruals as two distinct indicators of the portfolio's position during the period.
In trading, GSBD closed at $8.94 on November 4, 2026, and then at $8.80 on November 5, according to EL7 data. The November 5 close was the latest when the results were published, following a series of closes at $9.06 on October 29, $8.93 on October 30, $8.92 on November 2 and $8.83 on November 3. These prices show the stock's movement in the sessions before the announcement, while the results were released after the market close on November 5. Those session prices do not measure the book value reported at the end of September. The company said its third-quarter earnings call will be held on November 6, 2026, at 9:00 a.m. Eastern time.