Blue Owl Technology Finance (OTF) investor relations material

Executive summary

• Net asset value (NAV) per share declined to $16.49 from $17.33 last quarter, mainly due to unrealized losses from credit spread widening and market volatility.

• Adjusted net investment income per share was $0.291, while GAAP net investment income per share was $0.37 for Q1 2026.

• Net investment income rose to $171.3 million for Q1 2026, up from $97.3 million year-over-year, driven by higher interest and dividend income following the merger with OTF II.

• Portfolio at fair value was $14.1 billion, with 203 portfolio companies, showing continued strong performance and minimal non-accruals.

• Equity monetization included a partial SpaceX sale, generating $133 million in proceeds and a realized gain of $117 million.

Financial highlights

• Total investment income for Q1 2026 was $325.9 million, up from $182.8 million in Q1 2025.

• Net realized and unrealized losses for Q1 2026 were $(391.2) million, leading to a net loss of $(219.9) million.

• Total dividends declared for Q1 2026 were $0.40 per share, including a $0.35 base and $0.05 special dividend.

• Share repurchases totaled $50.2 million in Q1 2026, with $115 million over the past two quarters.

• Net debt-to-equity increased to 0.85x from 0.75x at year-end 2025.

Outlook and guidance

• Management expects continued volatility in equity and debt markets but sees ample capital to deploy into attractive risk-adjusted opportunities.

• Dividend coverage may take longer to achieve due to market headwinds, but spillover income of $0.50 per share provides support.

• Q2 2026 dividends declared at $0.40 per share, with a base dividend of $0.35 and a special dividend of $0.05.

• Management targets a debt-to-equity range of 0.9x–1.25x.

• The company remains selective in capital deployment, aiming to support ROE expansion over time.