Carlyle Secured Lending (NASDAQ:CGBD) Announces Earnings Results, Beats Estimates By $0.01 EPS

Carlyle Secured Lending (NASDAQ:CGBD) released its quarterly earnings results on Monday. The company reported $0.36 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.35 by $0.01, FiscalAI reports. The business had revenue of $64.08 million during the quarter, compared to the consensus estimate of $65.78 million. Carlyle Secured Lending had a return on equity of 8.85% and a net margin of 19.52%.

Here are the key takeaways from Carlyle Secured Lending’s conference call:

• Strong origination and improving deal terms — CGBD funded $217 million in the quarter and the Carlyle direct lending platform closed over $1.2 billion of new commitments (platform originations +14% YoY), while new deal spreads widened ~50 bps and first‑lien leverage was reduced.
• Joint venture ramp driving upside — MMCF surpassed $1 billion of investments with a ~15% dividend yield and expanded equity/debt capacity, and the new SCP JV (Carlyle + Sixth Street) is capitalized to scale via CLOs to potentially $6–7 billion of fee‑free assets, which management expects will boost CGBD earnings as it ramps.
• Base dividend reset and near‑term earnings trough — the board reduced the base dividend to $0.35 per share (from $0.40) to support NAV and financial flexibility, and management expects earnings to trough in Q2 before recovering as JVs ramp.
• Opportunistic buybacks — CGBD repurchased $19 million of shares in Q1 at an average discount of 26% (accreting ~$0.09 to NAV) and has added ~$8 million in Q2 buybacks (another ~$0.05 accretion), reflecting continued share‑repurchase execution against a meaningful discount.
• NAV and credit snapshot — NAV fell to $15.89 from $16.26 (≈$29 million net loss, two‑thirds from unrealized spread widening), but portfolio credit metrics remain stable with 94% senior secured exposure, median EBITDA of $100 million, and non‑accruals at only ~0.9% of fair value.

Carlyle Secured Lending Stock Down 1.0%

Carlyle Secured Lending stock traded down $0.11 during midday trading on Wednesday, reaching $11.14. The company’s stock had a trading volume of 118,774 shares, compared to its average volume of 706,896. The company has a quick ratio of 0.85, a current ratio of 0.85 and a debt-to-equity ratio of 1.31. Carlyle Secured Lending has a fifty-two week low of $10.61 and a fifty-two week high of $14.49. The company has a market cap of $781.25 million, a P/E ratio of 15.69 and a beta of 0.66. The business has a 50-day simple moving average of $11.27 and a 200-day simple moving average of $11.99.

Carlyle Secured Lending Cuts Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, July 16th. Investors of record on Tuesday, June 30th will be issued a $0.35 dividend. This represents a $1.40 annualized dividend and a yield of 12.6%. The ex-dividend date of this dividend is Tuesday, June 30th. Carlyle Secured Lending’s dividend payout ratio is 156.86%.

Analyst Ratings Changes

CGBD has been the topic of several recent research reports. JPMorgan Chase & Co. decreased their price target on Carlyle Secured Lending from $12.00 to $10.00 and set a “neutral” rating on the stock in a report on Friday, March 13th. B. Riley Financial reaffirmed a “buy” rating on shares of Carlyle Secured Lending in a research report on Tuesday. Finally, Wells Fargo & Company reduced their price objective on Carlyle Secured Lending from $13.00 to $12.00 and set an “overweight” rating for the company in a research note on Wednesday. Three analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. According to MarketBeat, Carlyle Secured Lending has an average rating of “Hold” and a consensus target price of $12.50.

Insider Transactions at Carlyle Secured Lending

In other Carlyle Secured Lending news, Director John G. Nestor sold 4,401 shares of the stock in a transaction that occurred on Friday, March 6th. The stock was sold at an average price of $11.29, for a total transaction of $49,687.29. Following the completion of the sale, the director directly owned 5,516 shares of the company’s stock, valued at approximately $62,275.64. This trade represents a 44.38% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.61% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Carlyle Secured Lending

Large investors have recently modified their holdings of the business. Northwestern Mutual Wealth Management Co. boosted its stake in shares of Carlyle Secured Lending by 71.9% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 2,630 shares of the company’s stock valued at $36,000 after buying an additional 1,100 shares in the last quarter. Kestra Advisory Services LLC acquired a new position in Carlyle Secured Lending during the fourth quarter worth about $47,000. Tower Research Capital LLC TRC increased its holdings in Carlyle Secured Lending by 1,011.6% in the second quarter. Tower Research Capital LLC TRC now owns 4,313 shares of the company’s stock valued at $59,000 after buying an additional 3,925 shares in the last quarter. Equitable Holdings Inc. acquired a new stake in shares of Carlyle Secured Lending during the 3rd quarter valued at approximately $134,000. Finally, Advisory Research Inc. boosted its stake in shares of Carlyle Secured Lending by 9.2% during the 3rd quarter. Advisory Research Inc. now owns 11,340 shares of the company’s stock worth $142,000 after acquiring an additional 953 shares in the last quarter. 24.51% of the stock is owned by hedge funds and other institutional investors.

About Carlyle Secured Lending

Carlyle Secured Lending, Inc (NASDAQ: CGBD) is a closed-end, non-diversified business development company that provides customized debt financing solutions to middle-market companies. Chartered under the Investment Company Act of 1940, the company invests primarily in floating-rate senior secured loans, including first-lien, unitranche and one-stop structures. Its objective is to generate current income and capital appreciation through disciplined credit selection and active portfolio management.

The firm focuses on U.S.