Golub Capital BDC, Inc. Announces Fiscal Year 2024 Fourth Quarter Financial Results

Declares Quarterly Distribution of $0.39 Per Share, and a Fiscal Year 2024 Fourth Quarter Supplemental Distribution of $0.04 Per Share

NEW YORK--(BUSINESS WIRE)--November 19, 2024-- 

Golub Capital BDC, Inc., a business development company (Nasdaq: GBDC), today announced its financial results for its fourth fiscal quarter ended September 30, 2024.

Except where the context suggests otherwise, the terms "we," "us," "our, " and "Company" refer to Golub Capital BDC, Inc. and its consolidated subsidiaries. "GC Advisors" refers to GC Advisors LLC, our investment adviser.

 
SELECTED FINANCIAL HIGHLIGHTS 
 
(in thousands, expect per share 
data) 
                                    September 30, 2024     June 30, 2024 
                                   --------------------  ----------------- 
Investment portfolio, at fair 
 value                              $        8,235,411    $   7,867,514 
Total assets                        $        8,705,978    $   8,477,205 
Net asset value per share           $            15.19    $       15.32 
 
                                                Quarter Ended 
                                   --------------------------------------- 
                                    September 30, 2024     June 30, 2024 
                                   --------------------  ----------------- 
Net investment income per share     $             0.45    $        0.46 
Amortization of purchase premium 
 per share                                        0.02             0.02 
                                       ---------------       ---------- 
Adjusted net investment income 
 per share(1)                       $             0.47    $        0.48 
 
Net realized/unrealized 
 gain/(loss) excluding write-down 
 of purchase premium per share      $            (0.09)   $       (0.15) 
Unrealized (loss) from the 
 write-down of the GBDC 3 
 purchase premium per share(1)                      --            (0.26) 
                                       ---------------       ---------- 
Net realized/unrealized 
 gain/(loss) per share              $            (0.09)   $       (0.41) 
Reversal of unrealized (loss) 
 resulting from the write-down of 
 the GBDC 3 purchase premium per 
 share(1)                                           --             0.26 
Reversal of realized/unrealized 
 loss resulting from the 
 amortization of purchase premium 
 per share(1)                                    (0.02)           (0.02) 
                                       ---------------       ---------- 
Adjusted net realized/unrealized 
 gain/(loss) per share(1)           $            (0.11)   $       (0.17) 
 
Earnings/(loss) per share           $             0.36    $        0.05 
Adjusted earnings/(loss) per 
 share(1)                           $             0.36    $        0.31 
 
Net asset value per share           $            15.19    $       15.32 
Distributions paid per share        $             0.49    $        0.50 
 
 
 
(1)    On September 16, 2019 and June 3, 2024, the Company completed its 
       acquisition of Golub Capital Investment Corporation ("GCIC") and Golub 
       Capital BDC 3, Inc. ("GBDC 3"), respectively. Each acquisition was 
       accounted for under the asset acquisition method of accounting in 
       accordance with Accounting Standards Codification 805-50, Business 
       Combinations -- Related Issues. Under asset acquisition accounting, 
       where the consideration paid to GCIC and GBDC 3's stockholders exceeded 
       the relative fair values of the assets acquired, the premium paid by 
       the Company was allocated to the cost of the GCIC and GBDC 3 
       investments acquired by the Company pro-rata based on their relative 
       fair value. Immediately following each acquisition, the Company 
       recorded its assets at their respective fair values and, as a result, 
       the purchase premium allocated to the cost basis of the assets acquired 
       was immediately recognized as unrealized depreciation on the Company's 
       Consolidated Statement of Operations. The purchase premium allocated to 
       investments in loan securities acquired from GCIC and GBDC 3 will 
       amortize over the life of the loans through interest income with a 
       corresponding reversal of the unrealized depreciation on such loans 
       acquired through their ultimate disposition. The purchase premium 
       allocated to investments in equity securities will not amortize over 
       the life of the equity securities through interest income and, assuming 
       no subsequent change to the fair value of the GCIC and GBDC 3 equity 
       securities acquired and disposition of such equity securities at fair 
       value, the Company will recognize a realized loss with a corresponding 
       reversal of the unrealized depreciation upon disposition of the GCIC 
       and GBDC 3 equity securities acquired. As a supplement to U.S. 
       generally accepted accounting principles ("GAAP") financial measures, 
       the Company is providing the following non-GAAP financial measures that 
       it believes are useful for the reasons described below: "Adjusted Net 
       Investment Income" and "Adjusted Net Investment Income Per Share" -- 
       excludes the amortization of the purchase premium from net investment 
       income calculated in accordance with GAAP. "Adjusted Net Investment 
       Income Before Accrual for Capital Gain Incentive Fee" - Adjusted Net 
       Investment Income excluding the accrual or reversal for the capital 
       gain incentive fee required under GAAP; "Adjusted Net Realized and 
       Unrealized Gain/(Loss)" and "Adjusted Net Realized and Unrealized 
       Gain/(Loss) Per Share" -- excludes the unrealized loss resulting from 
       the purchase premium write-down and the corresponding reversal of the 
       unrealized loss from the amortization of the premium from the 
       determination of realized and unrealized gain/(loss) in accordance with 
       GAAP. "Adjusted Net Income/(Loss)" and "Adjusted Earnings/(Loss) Per 
       Share" -- calculates net income and earnings per share based on 
       Adjusted Net Investment Income and Adjusted Net Realized and Unrealized 
       Gain/(Loss). The Company believes that excluding the financial impact 
       of the purchase premium write down in the above non-GAAP financial 
       measures is useful for investors as it is a non-cash expense/loss 
       resulting from the acquisitions of GCIC and GBDC 3 and is one method 
       the Company uses to measure its financial condition and results of 
       operations. In addition, the Company believes excluding the accrual of 
       the capital gain incentive fee under GAAP is useful as a portion of 
       such accrual is not contractually payable under the terms of the 
       Company's investment advisory agreement with GC Advisors. 
 

Fourth Fiscal Quarter 2024 Highlights

   -- 
 Net investment income per share for the quarter ended September 30, 
      2024 was $0.45 as compared to $0.46 for the quarter ended June 30, 2024. 
      Excluding $0.02 per share in purchase premium amortization from the 
      GCIC/GBDC 3 acquisitions, Adjusted Net Investment Income Per Share1 for 
      the quarter ended September 30, 2024 was $0.47. This compares to Adjusted 
      Net Investment Income Per Share1 of $0.48 for the quarter ended June 30, 
      2024 when excluding $0.02 per share in purchase premium amortization from 
      the GCIC/GBDC 3 acquisitions and no accrual or reversal for the capital 
      gain incentive fee under GAAP. 
 
 
   -- 
 Net realized and unrealized gain/(loss) per share for the quarter ended 
      September 30, 2024 was $(0.09). Adjusted Net Realized and Unrealized 
      Gain/(Loss) Per Share1 was $(0.11) when excluding $0.02 per share net 
      reversal of unrealized depreciation and realized loss resulting from the 
      amortization of the purchase premium. The Adjusted Net Realized and 
      Unrealized Gain/(Loss) Per Share1 for the quarter ended September 30, 
      2024 was primarily due to net realized losses recognized on the 
      restructuring of four portfolio companies that were partially offset by 
      net realized and unrealized gains recognized on the translation of 
      foreign currency transactions. For additional analysis, please refer to 
      the Quarter Ended 9.30.2024 Earnings Presentation available on the 
      Investor Resources link on the homepage of the Company's website 
      (www.golubcapitalbdc.com) under Events/Presentations. The Earnings 
      Presentation was also filed with the Securities and Exchange Commission 
      as an Exhibit to a Form 8-K. These results compare to net realized and 
      unrealized gain/(loss) per share of $(0.41) during the quarter ended June 
      30, 2024. Adjusted Net Realized and Unrealized Gain/(Loss) Per Share1 for 
      the quarter ended June 30, 2024 was $(0.17) when excluding $0.02 per 
      share net reversal of unrealized depreciation and realized loss resulting 
      from the amortization of the purchase premium and $0.26 per share 
      reversal of unrealized loss resulting from the one-time write-down of the 
      purchase premium allocated to the investments acquired from Golub Capital 
      BDC 3, Inc. ("GBDC 3"). 
 
 
   -- 
 Earnings per share for the quarter ended September 30, 2024 was $0.36 
      as compared to $0.05 for the quarter ended June 30, 2024. Adjusted 
      Earnings Per Share1 for the quarter ended September 30, 2024 was $0.36 as 
      compared to $0.31 for the quarter ended June 30, 2024. 
 
 
   -- 
 Net asset value per share decreased to $15.19 at September 30, 2024 
      from $15.32 at June 30, 2024. 
 
 
   -- 
 On June 2, 2024, our board of directors declared a series of special 
      distributions totaling $0.15 per share, distributed in three consecutive 
      quarterly payments of $0.05 per share per quarter. The first and second 

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