FIDUS Investment Corporation Reports 12.1% Increase in Q2 2025 Investment Income

FIDUS Investment Corporation (FIC) reported its financial results for the second quarter of 2025, revealing a total investment income of $40.0 million, a 12.1% increase from $35.7 million in the same period last year. This growth was driven by a rise in interest income, which reached $32.2 million, up 2.2% year-over-year, alongside a significant increase in fee income, which surged by 155.2% to $3.9 million. For the first half of 2025, total investment income amounted to $76.5 million, reflecting an 8.7% increase compared to $70.3 million in the prior year. The company’s net investment income for the quarter was $18.6 million, a 9.9% increase from $16.9 million in Q2 2024.

FIC's total assets as of June 30, 2025, were reported at $1.26 billion, up from $1.16 billion at the end of 2024. The company’s net assets also increased to $692.3 million, compared to $655.7 million at the end of the previous fiscal year. The net asset value per share rose to $19.57, up from $19.33. The increase in net assets was attributed to a combination of net investment income and unrealized gains on investments, which totaled $14.3 million for the quarter.

Operationally, FIC expanded its investment portfolio, with total investments at fair value reaching $1.15 billion, an increase from $1.09 billion at the end of 2024. The company made investments totaling $210.0 million during the first half of 2025, including eleven new portfolio companies. The weighted average yield on debt investments was reported at 13.1%, slightly down from 13.3% in the previous period. As of June 30, 2025, FIC had 92 active portfolio companies, with 50 of those investments bearing interest at variable rates.

In terms of strategic developments, FIC has continued to utilize its Small Business Investment Company (SBIC) licenses to access lower-cost capital through SBA-guaranteed debentures. As of June 30, 2025, the company had $202.0 million in outstanding SBA debentures and $140.0 million available under its credit facility. The company also declared a quarterly dividend of $0.43 per share, alongside a supplemental dividend of $0.14 per share, reflecting its commitment to returning capital to shareholders.

Looking ahead, FIC remains focused on maintaining a diversified investment portfolio while navigating potential market challenges, including interest rate volatility and economic uncertainties. The company plans to leverage its existing capital resources and access to SBA debentures to continue funding its investment activities and support its growth strategy.