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Earnings Releases·

Varagon Capital Corporation — Third Quarter 2026 Earnings Summary

  • EPS declined to $0.18 in Q3 2026 from $0.33 in Q3 2025 and $0.17 in Q2 2026, while Net Investment Income per share remained stable at $0.23; Net Asset Value (NAV) per share fell to $8.93 from $8.98 in Q2 2026 and $9.26 in Q3 2025.
  • The company declared a Q4 2026 distribution of $0.23 per share, maintaining the 10.2% annualized yield, with no specific forward guidance on revenue or earnings provided.
  • Total investments decreased to $818.996 million in Q3 2026 from $836.632 million in Q2 2026, while total borrowings declined to $468.1 million, resulting in a debt-to-equity ratio of 1.26x.
  • Portfolio quality remains high with 90% of investments rated 1 or 2, though three companies (0.7% of fair value) are on non-accrual status and 1.7% are rated as Internal Performance Rating 5.
  • The portfolio consists of 121 100% floating-rate, sponsor-backed companies with a weighted average current yield of 9.8% at amortized cost, up from 9.6% in Q2 2026.