Goldman Sachs BDC Reports Fiscal Year 2025 Financial Results

**Goldman Sachs BDC, Inc. Reports Fiscal Year 2025 Results**

Goldman Sachs BDC, Inc., a specialty finance company focused on lending to middle-market companies, released its financial results for the fiscal year ended December 31, 2025. The company reported total investment income of $365.57 million, a decrease from $434.37 million in the previous fiscal year. Net expenses totaled $179.98 million, compared to $176.52 million for the year ended December 31, 2024. The company's net investment income after taxes was $181.57 million, down from $252.55 million in the prior year. The company's net increase in net assets from operations was $119.27 million, compared to $62.87 million for the year ended December 31, 2024.

A key factor influencing the company's financial performance was the composition and yield of its investment portfolio. As of December 31, 2025, the portfolio, excluding investments in money market funds, comprised $3.03 billion in first lien/senior secured debt, $135.15 million in first lien/last-out unitranche, $47.91 million in second lien/senior secured debt, $8.48 million in unsecured debt, $26.43 million in preferred stock, and $14.71 million in common stock. The weighted average yield on the total portfolio at amortized cost was 9.3%, while the weighted average yield at fair value was 10.5%. The company's investment strategy focuses on direct originations of secured debt to U.S. middle-market companies, with the largest industry concentrations in Software, Health Care Providers & Services, and Health Care Technology.

Strategic developments included the company's ongoing investment allocation policies, which address potential conflicts of interest in allocating investment opportunities among Goldman Sachs BDC and other accounts managed by the Investment Adviser. The company also benefits from an exemptive order from the SEC, allowing it to co-invest alongside other Goldman Sachs-managed accounts, subject to certain conditions and board oversight. The company's investment strategy is consistent with that of the broader Goldman Sachs Asset Management Private Credit platform, with a focus on capital preservation and capital appreciation.

Operationally, the company's portfolio consisted of 564 investments in 171 portfolio companies across 40 different industries as of December 31, 2025. The company's performing debt portfolio was primarily floating rate, with 99.4% bearing a floating rate and 0.6% bearing a fixed rate. The company's weighted average leverage (net debt/EBITDA) was 5.9x, and the weighted average interest coverage was 2.0x. The company's investment adviser monitors the financial trends of each portfolio company on an ongoing basis to determine if it is meeting its respective business plans and to assess the appropriate course of action for each portfolio company. The company also employs an investment rating system to categorize its investments, grading the credit risk of all investments on a scale of 1 to 4 no less frequently than quarterly.

Looking ahead, the company will continue to focus on its investment strategy of lending to middle-market companies, while navigating the challenges and opportunities presented by the current economic environment. The company's ability to generate current income and capital appreciation will depend on its Investment Adviser's ability to identify, invest in, and monitor companies that meet its investment criteria. The company's future operating results will also be influenced by factors such as changes in interest rates, market conditions, and the performance of its portfolio companies.