Q4 25 EPS
$0.50
BEAT +0.38%
Est. $0.50
Q4 25 Revenue
$793.0M
vs S&P Since Q4 25
-5.8%
TRAILING MARKET
ARCC -0.7% vs S&P +5.0%
Full Year 2025 Results
FY 25 EPS
$2.01
BEAT +0.95%
Est. $1.99
FY 25 Revenue
$3.05B
MISS 0.06%
Est. $3.05B
Market Reaction
Did ARCC Beat Earnings? Q4 2025 Results
Ares Capital closed out Q4 2025 with a narrow but meaningful earnings beat, posting core EPS of $0.50 against a consensus estimate of $0.50, a 0.38% beat, while revenue of $793.00 million fell well short of the $1.37 billion analysts had expected, a … Read more Ares Capital closed out Q4 2025 with a narrow but meaningful earnings beat, posting core EPS of $0.50 against a consensus estimate of $0.50, a 0.38% beat, while revenue of $793.00 million fell well short of the $1.37 billion analysts had expected, a miss of 42.28%, even as total investment income climbed 39.9% year-over-year. The central story behind the quarter was credit pressure: GAAP earnings declined to $293.00 million ($0.41 per share) from $357.00 million a year ago, dragged down by $155.00 million in net realized losses versus just $29.00 million in Q4 2024. Still, core EPS comfortably covered the $0.48 quarterly dividend, a threshold management has consistently defended. The company also delivered record gross commitments of $5.83 billion in the quarter, with 80% in first lien senior secured loans, and grew its portfolio to $29.48 billion across 603 companies. With an investment backlog of approximately $2.20 billion as of late January 2026 and the CFO recently purchasing shares in the open market, a signal of internal conviction, Ares Capital enters 2026 with its pipeline intact and its credit quality holding steady at a 1.8% non-accrual rate.
Key Takeaways
- • Record Q4 gross investment commitments of $5.8 billion, with $4.1 billion funded
- • Net investment income of $370 million ($0.52 per share) in Q4 2025
- • Stable credit quality with non-accruals at 1.8% of total investments at amortized cost
- • Portfolio grew to 603 companies from 550 year-over-year
- • Weighted average portfolio grade stable at 3.1
- • 72% of portfolio in floating rate securities at fair value
- • Full-year gross commitments of $15.8 billion, a record level
ARCC YoY Financials
Q4 2025 vs Q4 2024, source: SEC Filings
“Our strong fourth quarter results capped another successful year for our company. We originated a record level of new investment commitments, maintained strong credit performance with stable non-accruals, and generated a healthy level of profits, including core earnings in excess of our dividends.”
— Kort Schnabel, Q4 2025 Earnings Press Release
ARCC Earnings Trends
ARCC vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
ARCC EPS Trend
Earnings per share: estimate vs actual
ARCC Revenue Trend
Quarterly revenue: estimate vs actual
ARCC Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 | — | $0.47 | — | $763.0M | -1.72% |
| Q4 25 BEAT FY | $0.50 | $0.50 | +0.38% | $793.0M | — |
| FY Full Year | $1.99 | $2.01 | +0.95% | $3.05B | -0.06% |
| Q3 25 MISS | $0.50 | $0.50 | -0.68% | $782.0M | +2.01% |
| Q2 25 MISS | $0.51 | $0.50 | -1.11% | $745.0M | -0.72% |
| Q1 25 MISS | $0.54 | $0.50 | -6.65% | $732.0M | -4.93% |