CCAP earnings analysis
What we found in CCAP's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Crescent Capital BDC's Q2 2026 results weakened materially year over year: total investment income fell to $36.323 million from $42.992 million, and net earnings declined to a $0.09-per-share loss from $0.41 of income. Credit indicators deteriorated, with non-accrual investments rising to 4.8% of debt cost, NAV per share falling to $17.82, and asset coverage declining to 169%. Liquidity and financing capacity remain adequate, including $199.6 million of undrawn facility capacity, but negative operating cash flow and increased portfolio losses offset the benefit of active investment deployment and expanded credit facilities.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Investment income declined year over year
- Total investment income was $36.323 million, down from $42.992 million in Q2 2025. Net investment income was $13.098 million, or $0.36 per share, versus $16.887 million, or $0.46 per share, a year earlier.
- Quarterly earnings turned negative
- Q2 2026 net increase in net assets resulting from operations was a loss of $3.247 million, or $(0.09) per share, compared with income of $15.013 million, or $0.41 per share, in Q2 2025. The quarter included $16.145 million of net realized and unrealized investment losses.
- Lower rates pressured income
- Management stated that lower interest income was primarily driven by declining benchmark rates and restructurings of certain debt investments; interest from investments fell to $34.7 million from $40.2 million. Net management fees declined to $4.0 million from $5.0 million after the fee rate reduction effective April 1, 2026.
- Liquidity exceeded unfunded commitments
- Liquidity remained substantial, with $35.7 million of cash and restricted cash and $199.6 million of undrawn capacity under the senior revolving and SPV facilities as of June 30, 2026. Management stated that these resources exceeded the Company's $195.2 million of unfunded commitments.
- Credit facilities were expanded
- The SPV Asset Facility was expanded from $400.0 million to $500.0 million, while its reinvestment period was extended to May 21, 2029 and stated maturity to May 21, 2031. The SMBC facility was also increased from $310.0 million to $335.0 million.
- Portfolio deployment remained active
- Portfolio investment activity was positive: new investments totaled $57.0 million versus $36.1 million of proceeds from investments sold or repaid, producing a $20.9 million net portfolio increase in Q2 2026.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Non-accrual exposure increased
- Non-accrual exposure increased to 13 portfolio companies from 11 at December 31, 2025, representing 4.8% of debt investments at cost and 2.5% at fair value, versus 4.1% and 2.0%, respectively.
- NAV and net assets declined
- Net asset value per share declined to $17.82 from $19.10 at December 31, 2025, while net assets fell to $656.451 million from $706.038 million. The six-month net decrease in net assets from operations was $18.760 million.
- Higher leverage reduced coverage
- Debt carrying value increased to $922.945 million from $873.761 million, while asset coverage declined to 169% from 179%. Management warned that additional realized losses, unrealized depreciation, rising rates or a recession could increase the risk of covenant breaches.
- Operating cash flow turned negative
- Operating cash flow was negative $13.949 million for the six months ended June 30, 2026, compared with positive $21.308 million in the prior-year period. The Company purchased $171.852 million of investments while receiving $129.157 million from sales and principal repayments.
- Portfolio valuation losses increased
- The investment portfolio carried $54.393 million of net unrealized depreciation at June 30, 2026, compared with $34.051 million at December 31, 2025. Controlled investments also generated $10.909 million of net realized losses during the first six months.
- Non-qualifying asset mix increased
- The filing identifies no separately revised risk factors and directs investors to the December 31, 2025 Form 10-K; however, the current filing reports that non-qualifying assets represented 17.6% of fair value, up from 9.7% at year-end, creating additional regulatory and portfolio-composition risk.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $-0.09
- Segment
- Single reportable segment: the Company operates as one specialty-finance/investment segment. Total investment income was $36.323 million for Q2 2026.
What they said about what is next.
The 10-Q does not provide numeric revenue or EPS guidance. The filing reports a regular third-quarter cash dividend of $0.34 per share, payable October 15, 2026.
The filing reads worse than the one before it.
What came before.
- 10-Q · May 13, 2026
- Crescent Capital BDC reported Q1 2026 results with revenues of $37.9 million and a diluted EPS of $0.42, reflecting a decline from $42.1 million and $0.45 respectively in the prior year. Key segments showed mixed…
- 10-K · February 25, 2026
- Crescent Capital BDC (CCAP) positions itself as a middle‑market private credit BDC that originates secured and unsecured debt (and related equity) for companies with EBITDA generally between $10 million and $250…
- 10-Q · August 13, 2025
- Crescent Capital BDC reported Q2 (quarter ended June 30, 2025) total investment income of $42,992,000 versus $48,951,000 a year ago and delivered reported EPS of $0.46, in line with consensus. Net investment income per…
- 10-K · February 19, 2025
- Crescent Capital BDC (CCAP) positions itself as a specialty finance BDC focused on middle‑market lending, leveraging Crescent’s origination platform and credit team. The 10‑K emphasizes a capital preservation investment…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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