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Crescent Capital Announces $20M Stock Repurchase Program with Strong Dividend Coverage
ByAinvest
Thursday, Aug 14, 2025 4:06 pm ET1min read
Crescent Capital BDC, Inc. (CCAP) reported Q2 2025 net investment income of $0.46 per share, up from $0.45 in Q1. The company has announced a $20M stock repurchase program and maintains a 110% dividend coverage ratio. CEO Jason A. Breaux attributed the increase in net investment income to accelerated amortization related to a one-time event.
Crescent Capital BDC, Inc. (CCAP) reported its second-quarter 2025 earnings, with net investment income (NII) of $0.46 per share, up from $0.45 in the previous quarter. The company also announced a $20 million stock repurchase program and maintains an 110% dividend coverage ratio.The increase in net investment income was attributed to a one-time accelerated amortization of deferred financing costs, according to CEO Jason A. Breaux. The company's net asset value (NAV) per share declined to $19.55 from $19.62 in the prior quarter, reflecting ongoing credit pressures in the middle market lending space.
Crescent Capital BDC's investment portfolio included 187 companies with a fair value of $1.6 billion, predominantly in unitranche first lien loans (65.2%). The company maintained strong liquidity with $26.1 million in cash and $227.2 million in undrawn credit capacity. The debt-to-equity ratio of 1.23x provides adequate cushion under regulatory limits while still allowing for efficient capital deployment.
The company's dividend policy remained unchanged, with a regular quarterly dividend of $0.42 per share and a final special dividend of $0.05 per share to be paid in the third quarter. The new stock repurchase program, authorized by the company's board, could help support the stock price if shares trade below NAV.
Analysts have a mixed outlook on the stock, with the average rating being "buy" and the consensus recommendation for the closed-end funds peer group also being "buy". The median 12-month price target for Crescent Capital BDC Inc. is $17.00, about 14.1% above its August 12 closing price of $14.60.
References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_PLX6409F7:0-crescent-capital-bdc-reports-q2-net-investment-income-of-0-46-share/
[2] https://www.nasdaq.com/articles/crescent-capital-bdc-ccap-q2-earnings-match-estimates
[3] https://www.stocktitan.net/news/CCAP/crescent-capital-bdc-inc-reports-second-quarter-2025-earnings-ydru4j6ykizp.html
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