Ares Capital Corporation (ARCC) Tuesday reported lower net income for the first quarter impacted by net realized and unrealized losses versus gains last year. However, net investment income for the period was ahead of the prior-year figure helped particularly by a boost in dividend income.
Net increase in stockholder's equity resulting from operations or net income for the quarter was $80.34 million, down from $105.54 million for the prior-year period. Earnings per share were $0.32 compared with $0.49 last year.
The firm posted net investment income of $99.09 million, up from $77.03 million last year.
Core EPS for the three months totaled $0.38 flat with core EPS of $0.38 last year.
Seventeen analysts on average polled by Thomson Reuters estimated earnings per share of $0.40 for the quarter. Analyst estimates typically exclude one-time items.
Total investment income for the quarter was $195.05 million, up from $167.73 million last year, in which dividend income contributed $32.08 million compared with $9.21 million a year earlier.
The company incurred net realized and unrealized losses on investments of $18.75 million compared with a gain of $28.5 million last year.
Ares Capital further declared a second quarter dividend of $0.38 per share, payable on June 28, to stockholders of record on June 14.
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