KBDC's stable NII continues to cover the $0.40 dividend, but the rise in non-accruals to 2.5% and NAV erosion warrant monitoring. The $100M buyback extension provides a floor, but the stock trades at a ~12% discount to NAV ($14.29 avg repurchase vs $16.23 NAV). Watch the Q2 earnings call for credit quality updates and any guidance on portfolio yield trajectory.
Price Chart
Executive Summary
Kayne Anderson BDC reported Q1 2026 NII of $0.43 per share, in line with the prior quarter's $0.44 and above the $0.40 regular dividend, but total investment income fell to $57.3M from $61.9M QoQ due to lower rates and reduced fee income. Non-accruals nearly doubled to 2.5% of debt investments (from 1.4%), and NAV per share declined to $16.23 from $16.32, driven by $0.17 in realized and unrealized losses. The company extended its $100M share repurchase plan through May 2027.
Key Financial Metrics
Key Facts
- Q1 2026 NII of $28.9M, or $0.43 per share, vs $0.44 in Q4 2025 and $0.40 in Q1 2025
- Total investment income of $57.3M, down from $61.9M QoQ and up from $55.2M YoY
- NAV per share fell to $16.23 from $16.32, driven by $0.17 in realized/unrealized losses
- Non-accrual investments at fair value rose to $53.7M (2.5% of debt investments) from $31.0M (1.4%)
- Regular dividend maintained at $0.40 per share for Q2 2026, payable July 16, 2026
- Share repurchase plan extended to May 2027, with $100M authorization; $36.7M remaining as of May 5, 2026
- Debt-to-equity ratio increased to 1.05x from 1.02x; asset coverage at 195%
- Weighted average yield on debt portfolio declined to 10.1% from 10.3% (excluding non-income producing)
Financial Impact
NII per share of $0.43 vs $0.44 prior quarter; total investment income down $4.6M QoQ; non-accruals increased by $22.7M
Risk Factors
- Non-accrual investments nearly doubled to 2.5% of debt portfolio, signaling potential credit deterioration
- Portfolio yield declining (10.1% vs 10.3% prior quarter) amid lower SOFR rates
- NAV per share has declined for five consecutive quarters from $16.51 to $16.23
- Realized losses of $2.3M including $2.0M loss on Regiment Security Partners restructure
Market Snapshot
Documents Analyzed
This report is based on 7 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001213900-26-054511 |
| Document: ea029001601_ex99-2.htm | 0001213900-26-054511 |
| Document: ea0290016-8k_kayne.htm | 0001213900-26-054511 |
| Document: 0001213900-26-054511-index-headers.html | 0001213900-26-054511 |
| Document: 0001213900-26-054511-index.html | 0001213900-26-054511 |
| Document: 0001213900-26-054511.txt | 0001213900-26-054511 |
| 8-K Data (Synthetic) | 0001213900-26-054511 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 9, 2026 17d ago | 8-K | $12.45 $12.46 | ▲ +0.08% | ▲ +0.14% | $12.93 (+3.86%) |
Sep 30, 2026 26d ago | Insider Buy | $12.76 $12.67 | ▼ −0.71% | ▼ −1.44% | $12.93 (+1.33%) |
Sep 25, 2026 4w ago | Insider Buy | $13.04 $13.03 | ▼ −0.08% | ▲ +0.67% | $12.93 (−0.84%) |
Sep 23, 2026 4w ago | Insider Buy | $12.99 $13.04 | ▲ +0.38% | ▼ −0.16% | $12.93 (−0.46%) |
Sep 16, 2026 5w ago | Insider Buy | $13.24 $13.07 | ▼ −1.28% | ▼ −1.16% | $12.93 (−2.34%) |
Aug 10, 2026 11w ago | 8-K | $13.75 $13.60 | ▼ −1.09% | ▼ −1.34% | $12.93 (−5.96%) |
Jun 29, 2026 17w ago | 8-K | $13.53 $13.68 | ▲ +1.11% | ▲ +1.24% | $12.93 (−4.43%) |
May 11, 2026 24w ago | 8-K | $15.15 $15.15 | · 0.00% | ▼ −0.54% | $12.93 (−14.65%) |
May 28, 2025 17mo ago | Insider Cluster | $14.07 $14.11 | ▲ +0.32% | ▼ −0.08% | $12.93 (−8.10%) |
US Market Status
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