Kayne Anderson BDC, Inc 8-K, filed Nov 5, 2026
Kayne Anderson BDC, Inc. (KBDC)
About this 8-K
Kayne Anderson BDC, Inc filed this 8-K on November 5, 2026.
Items reported
- Item 2.02: Financial results
- Item 7.01: Regulation FD disclosure
- Item 9.01: Financial statements and exhibits
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CURRENT REPORT
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Item 2.02. Results of Operations and Financial Condition.
On November 5, 2026, Kayne Anderson BDC, Inc. (the “Company”) issued a press release announcing its financial results for the third quarter ended September 30, 2026. The text of the press release is included as Exhibit 99.1 to this Form 8-K.
On November 6, 2026, the Company will host a conference call to discuss its financial results for the third quarter ended September 30, 2026. In connection therewith, the Company provided an earnings presentation on its website at https://www.kaynebdc.com. A copy of the earnings presentation is attached hereto as Exhibit 99.2 to this Form 8-K.
The information disclosed under this Item 2.02, including Exhibit 99.1 and Exhibit 99.2 hereto, is being “furnished” and shall not be deemed “filed” by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section, and shall not be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended (the “Securities Act”), or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
Item 7.01. Regulation FD Disclosure.
On November 5, 2026, the Company issued a press release, included herewith as Exhibit 99.1, announcing the declaration of a fourth quarter 2026 dividend of $0.40 per share, which will be payable on January 19, 2027 to stockholders of record as of December 31, 2026.
The information disclosed under this Item 7.01, including Exhibit 99.1 hereto, is being “furnished” and shall not be deemed “filed” by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section, and shall not be deemed incorporated by reference into any filing under the Securities Act or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
| Exhibit Number |
Description | |
| 99.1 | Press Release of Kayne Anderson BDC, Inc., dated November 5, 2026. | |
| 99.2 | Kayne Anderson BDC, Inc. Third Quarter 2026 Earnings Presentation. | |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
1
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| KAYNE ANDERSON BDC, INC. | ||
| Date: November 5, 2026 | By: | /s/ Terry A. Hart |
| Name: | Terry A. Hart | |
| Title: | Chief Financial Officer and Treasurer | |
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Exhibit 99.1
Kayne Anderson BDC, Inc. Announces September 30, 2026 Financial Results and Declares Fourth Quarter 2026 Dividend of $0.40 Per Share
CHICAGO--(BUSINESS WIRE)-- Kayne Anderson BDC, Inc. (NYSE: KBDC) (“KBDC” or the “Company”), a business development company externally managed by its investment adviser, KA Credit Advisors, LLC, today announced its financial results for the third quarter ended September 30, 2026.
Financial Highlights for the Quarter Ended September 30, 2026
| ● | Net investment income of $30.2 million, or $0.46 per share; |
| ● | Net asset value of $15.71 per share, decreased from $16.00 per share as of June 30, 2026, primarily as a result of realized and unrealized losses of $0.36, partially offset by higher net investment income earned over distributions paid of $0.06 and accretive share repurchases of $0.01; |
| ● | New private credit and equity investment commitments of $76.3 million, fundings of $91.9 million and repayments of $114.9 million, resulting in a net funded decrease of $23.0 million; |
| ● | The Company’s Board of Directors (the “Board”) declared a dividend of $0.40 per share, to be paid on January 19, 2027, to stockholders of record as of December 31, 2026. |
“Third quarter net investment income of $0.46 per share exceeded our $0.40 base dividend and generated an annualized ROE from net investment income of 11.7%,” said Doug Goodwillie, Co-Chief Executive Officer. “Our credit performance has been exemplary since our IPO in May 2024, but we did experience some pressure this quarter with a slight decline in NAV per share and a momentary increase in non-accruals. We expect to resolve the few related credit issues in the portfolio in the near future which should support NAV stability and bring non-accrual metrics back in-line with our strong historical track record. The portfolio remains healthy as our value lending credit philosophy dictates investing via conservative capital structures in first-lien loans to core middle market businesses in stable and staple industries. This strategy positions KBDC to deliver attractive risk adjusted returns to our shareholders.”
“With the declaration of our fourth quarter dividend, we delivered on our commitment to pay the $0.40 base dividend throughout 2026 and we ended the quarter with $0.32 per share of undistributed net investment income,” said Ken Leonard, Co-Chief Executive Officer. “We remained selective this quarter, committing $76 million to new private credit investments. With over $500 million of liquidity, we are well-positioned to support our sponsor partners as deal activity picks up. Our income-producing portfolio earns an average spread of 587 basis points over SOFR. That spread, together with recent increases in reference rates and the long-term health of our portfolio, gives us confidence that we can maintain our base dividend going forward.”
Selected Financial Highlights
| As of | ||||||||
| (in thousands, except per share data) | September 30, 2026 | June 30, 2026 | ||||||
| Portfolio company investments, at fair value | $ | 2,222,668 | $ | 2,266,618 | ||||
| Total assets | $ | 2,288,551 | $ | 2,341,758 | ||||
| Total debt outstanding, at principal | $ | 1,212,000 | $ | 1,238,000 | ||||
| Net assets | $ | 1,036,262 | $ | 1,059,652 | ||||
| Net asset value per share | $ | 15.71 | $ | 16.00 | ||||
| Total debt-to-equity ratio | 1.17x | 1.17x | ||||||
| For the quarter ended | ||||||||
| September 30, 2026 | June 30, 2026 | |||||||
| Net investment income per share | $ | 0.46 | $ | 0.42 | ||||
| Net realized and unrealized gains (losses) per share(1) | $ | (0.36 | ) | $ | (0.26 | ) | ||
| Earnings per share | $ | 0.10 | $ | 0.16 | ||||
| Regular dividend per share | $ | 0.40 | $ | 0.40 | ||||
| (1) | Amounts shown may not correspond for the period as it includes the effect of the timing of the distribution, shares repurchased, and the issuance of common stock. |
Results of Operations
Total investment income for the quarter ended September 30, 2026 was $59.0 million, as compared to $55.7 million for the quarter ended June 30, 2026. The increase was primarily related to prepayment and accelerated amortization from realizations in the quarter and higher average outstanding private credit investment balances during the quarter. PIK income represented 4.9% of total interest income for the quarter, as compared to 4.5% for the quarter ended June 30, 2026.
Net investment income for the quarter ended September 30, 2026 was $30.2 million or $0.46 per share as compared to $27.5 million or $0.42 per share for the quarter ended June 30, 2026. Net expenses for the quarter were $28.8 million, as compared to $28.2 million for the quarter ended June 30, 2026. The increase was primarily related to higher interest expense associated with increased average borrowings, partially offset by lower incentive fees.
For the quarter ended September 30, 2026, the Company had a realized loss of $14.9 million and had a net change in unrealized losses on investments of $8.5 million. The realized loss was due to the restructure of American Soccer Company, Incorporated (Score), whereby a portion of the existing debt investment was exchanged for new debt investments and a preferred equity investment. The unrealized losses for the quarter were primarily driven by decreases in fair value of investments on watch list and quarterly amortization of original issue discounts, partially offset by new upfront fees for originations during the quarter and the reversal of the $14.9 million unrealized loss on Score that was realized this quarter.
Portfolio and Investment Activity
| As of | ||||||||
| ($ in thousands, unless otherwise noted) | September 30, 2026 | June 30, 2026 | ||||||
| Portfolio company investments at fair value | $ | 2,222,668 | $ | 2,266,618 | ||||
| Number of portfolio companies | 100 | 104 | ||||||
| Average portfolio company investment size | $ | 22,227 | $ | 21,794 | ||||
| Asset class: | ||||||||
| First lien debt | 92.5 | % | 92.8 | % | ||||
| Subordinated debt | 5.4 | % | 5.3 | % | ||||
| Equity | 2.1 | % | 1.9 | % | ||||
| Non-accrual debt investments: | ||||||||
| Non-accrual investments at fair value | $ | 78,413 | $ | 59,130 | ||||
| Non-accrual investments as a percentage of debt investments at fair value | 3.6 | % | 2.7 | % | ||||
| Interest rate type: | ||||||||
| Percentage floating-rate | 95.1 | % | 95.3 | % | ||||
| Percentage fixed-rate | 4.9 | % | 4.7 | % | ||||
| Yields on debt investments (at fair value): | ||||||||
| Weighted average yield - excluding non-accruals | 10.3 | % | 10.2 | % | ||||
| Weighted average yield - including non-accruals | 10.0 | % | 9.9 | % | ||||
| Investment activity during the quarter ended ($ in millions): | ||||||||
| Gross new investment commitments | $ | 76.3 | $ | 138.7 | (1) | |||
| Principal amount of investments funded | $ | 91.9 | $ | 146.4 | (1) | |||
| Principal amount of investments sold or repaid | $ | (114.9 | ) | $ | (67.9 | ) (1) | ||
| Net principal amount of investments funded (repaid) | $ | (23.0 | ) | $ | 78.5 | |||
| (1) | For the quarter ending June 30, 2026, broadly syndicated loans represent $0 of new investment commitments, $0 of investments funded and $29.8 million of investments sold or repaid. |
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Liquidity and Capital Resources
As of September 30, 2026, the Company had $275 million senior unsecured notes outstanding, $937 million borrowed under its credit facilities and cash and cash equivalents of $45.7 million (including investments in money market funds). As of that date, the Company had $463 million of undrawn commitments available on its credit facilities (subject to borrowing base restrictions and other conditions).
As of September 30, 2026, the Company’s debt-to-equity ratio was 1.17x and its asset coverage ratio was 186%. The Company targets a debt-to-equity ratio of 1.0x to 1.25x (which equates to asset coverage of 200% to 180%). The Company may operate above or below this target based on market conditions.
Recent Developments
| ● | On November 4, 2026, the Board of Directors declared a dividend to common stockholders in the amount of $0.40 per share. The dividend of $0.40 per share will be paid on January 19, 2027, to stockholders of record as of the close of business on December 31, 2026. |
| ● | From October 1, 2026 to October 29, 2026, the Company’s agent repurchased 146,242 shares of common stock at an average price of $12.60 per share for a total amount of $1.8 million. As of October 29, 2026, $92.8 million remains for repurchase under the Company’s current 10b5-1 Plan. |
Conference Call Information
KBDC will host a conference call at 12:00 pm ET on Friday, November 6, 2026, to review its financial results. All interested parties are invited to participate using the following telephone dial-in or the webcast details:
Telephone Dial-in
| ● | Toll Free: +1 833-461-5787 |
| ● | Alternative: +1 585-542-9983 |
| ● | Conference ID: 700744934 |
Webcast Link
https://events.q4inc.com/attendee/700744934
Participants can pre-register and receive a unique passcode to skip operator assisted entry and dial directly into the earnings call. To avoid potential delays, please join at least 10 minutes prior to the start of the earnings call. Following completion of the call, a replay will be available at the Events & Presentation page of KBDC’s website.
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Kayne Anderson BDC, Inc.
Consolidated Statements of Assets and Liabilities
(amounts in 000’s, except share and per share amounts)
| September 30, | December 31, | |||||||
| 2026 | 2025 | |||||||
| Assets: | (Unaudited) | |||||||
| Portfolio company investments, at fair value: | ||||||||
| Non-controlled, non-affiliated investments (amortized cost of $2,076,422 and $2,079,041) | $ | 2,072,855 | $ | 2,084,737 | ||||
| Non-controlled, affiliated investments (amortized cost of $132,259 and $118,459) | 127,359 | 113,684 | ||||||
| Controlled, affiliated investments (amortized cost of $35,162 and $0) | 22,454 | - | ||||||
| Total portfolio company investments, at fair value (amortized cost of $2,243,843 and $2,197,500) | 2,222,668 | 2,198,421 | ||||||
| Investments in money market funds (amortized cost of $22,261 and $25,409) | 22,261 | 25,409 | ||||||
| Cash | 23,443 | 18,027 | ||||||
| Deposits for investments | - | 13,015 | ||||||
| Receivable for sales of investments | 81 | 7,168 | ||||||
| Receivable for principal payments on investments | 145 | 308 | ||||||
| Interest receivable | 19,461 | 24,063 | ||||||
| Prepaid expenses and other assets | 492 | 291 | ||||||
| Total Assets | $ | 2,288,551 | $ | 2,286,702 | ||||
| Liabilities: | ||||||||
| Corporate Credit Facility | $ | 162,000 | $ | 135,000 | ||||
| Unamortized Corporate Credit Facility issuance costs | (2,704 | ) | (3,372 | ) | ||||
| Revolving Funding Facility | 583,000 | 525,000 | ||||||
| Unamortized Revolving Funding Facility issuance costs | (5,491 | ) | (4,671 | ) | ||||
| Revolving Funding Facility II | 192,000 | 195,000 | ||||||
| Unamortized Revolving Funding Facility II issuance costs | (1,705 | ) | (2,100 | ) | ||||
| Notes | 268,493 | 274,701 | ||||||
| Unamortized notes issuance costs | (1,959 | ) | (2,560 | ) | ||||
| Shares repurchased payable | 23 | 496 | ||||||
| Distributions payable | 26,381 | 27,213 | ||||||
| Management fee payable | 5,657 | 5,613 | ||||||
| Incentive fee payable | 1,203 | 3,935 | ||||||
| Accrued expenses and other liabilities | 25,391 | 22,041 | ||||||
| Accrued excise tax expense | - | 475 | ||||||
| Total Liabilities | $ | 1,252,289 | $ | 1,176,771 | ||||
| Commitments and contingencies | ||||||||
| Net Assets: | ||||||||
| Common Shares, $0.001 par value; 100,000,000 shares authorized; 65,950,801 and 67,998,184 as of September 30, 2026 and December 31, 2025, respectively, issued and outstanding | $ | 66 | $ | 68 | ||||
| Additional paid-in capital | 1,079,233 | 1,108,001 | ||||||
| Total distributable earnings (deficit) | (43,037 | ) | 1,862 | |||||
| Total Net Assets | $ | 1,036,262 | $ | 1,109,931 | ||||
| Total Liabilities and Net Assets | $ | 2,288,551 | $ | 2,286,702 | ||||
| Net Asset Value Per Common Share | $ | 15.71 | $ | 16.32 | ||||
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Kayne Anderson BDC, Inc.
Consolidated Statements of Operations
(amounts in 000’s, except share and per share amounts) (Unaudited)
| For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
| September 30, | September 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Income: | ||||||||||||||||
| Investment income from investments: | ||||||||||||||||
| From non-controlled, non-affiliated investments: | ||||||||||||||||
| Interest income from non-controlled, non- affiliated investments | $ | 52,485 | $ | 56,752 | $ | 151,961 | $ | 166,517 | ||||||||
| Payment-in-kind interest income from non- controlled, non-affiliated investments | 2,625 | 2,146 | 9,399 | 4,515 | ||||||||||||
| Dividend income | 318 | 412 | 1,016 | 821 | ||||||||||||
| From non-controlled, affiliated investments: | ||||||||||||||||
| Interest income from non-controlled, affiliated investments | 3,251 | 2,063 | 9,331 | 2,063 | ||||||||||||
| From controlled, affiliated investments: | ||||||||||||||||
| Interest income from controlled, affiliated investments | 39 | - | 39 | - | ||||||||||||
| Payment-in-kind interest income from controlled, affiliated investments | 245 | - | 245 | - | ||||||||||||
| Total Investment Income | 58,963 | 61,373 | 171,991 | 173,916 | ||||||||||||
| Expenses: | ||||||||||||||||
| Management fees | 5,657 | 5,583 | 16,634 | 16,126 | ||||||||||||
| Incentive fees | 1,203 | 4,419 | 6,209 | 13,361 | ||||||||||||
| Interest expense | 20,724 | 20,207 | 59,193 | 55,716 | ||||||||||||
| Professional fees | 389 | 369 | 1,031 | 1,082 | ||||||||||||
| Directors fees | 164 | 158 | 492 | 474 | ||||||||||||
| Excise tax expense (benefit) | - | - | (11 | ) | (43 | ) | ||||||||||
| Other general and administrative expenses | 634 | 591 | 1,794 | 1,775 | ||||||||||||
| Total Expenses | 28,771 | 31,327 | 85,342 | 88,491 | ||||||||||||
| Less: Management fee waiver | - | - | - | (2,071 | ) | |||||||||||
| Net Expenses | 28,771 | 31,327 | 85,342 | 86,420 | ||||||||||||
| Net Investment Income (Loss) | 30,192 | 30,046 | 86,649 | 87,496 | ||||||||||||
| Realized and unrealized gains (losses) on investments | ||||||||||||||||
| Net realized gains (losses): | ||||||||||||||||
| Non-controlled, non-affiliated investments | (14,901 | ) | (22 | ) | (29,369 | ) | 534 | |||||||||
| Total net realized gains (losses) | (14,901 | ) | (22 | ) | (29,369 | ) | 534 | |||||||||
| Net change in unrealized gains (losses): | ||||||||||||||||
| Non-controlled, non-affiliated investments | (7,982 | ) | (5,407 | ) | (18,396 | ) | (13,464 | ) | ||||||||
| Non-controlled, affiliated investments | 32 | 424 | (125 | ) | (1,501 | ) | ||||||||||
| Controlled, affiliated investments | (522 | ) | - | (3,574 | ) | - | ||||||||||
| Total net change in unrealized gains (losses) | (8,472 | ) | (4,983 | ) | (22,095 | ) | (14,965 | ) | ||||||||
| Total realized and unrealized gains (losses) | (23,373 | ) | (5,005 | ) | (51,464 | ) | (14,431 | ) | ||||||||
| Income tax (expense) benefit on unrealized appreciation/depreciation on investments | (210 | ) | (428 | ) | (618 | ) | (1,327 | ) | ||||||||
| Net Increase in Net Assets Resulting from Operations | $ | 6,609 | $ | 24,613 | $ | 34,567 | $ | 71,738 | ||||||||
| Basic and diluted net investment income per share | $ | 0.46 | $ | 0.43 | $ | 1.30 | $ | 1.23 | ||||||||
| Basic and diluted net increase in net assets resulting from operations per share | $ | 0.10 | $ | 0.35 | $ | 0.52 | $ | 1.01 | ||||||||
| Weighted Average Common Shares Outstanding - Basic and Diluted | 66,041,019 | 70,430,331 | 66,506,862 | 70,852,621 | ||||||||||||
5
About Kayne Anderson BDC, Inc.
Kayne Anderson BDC, Inc. is a business development company (“BDC”) that invests primarily in first lien senior secured loans, with a secondary focus on unitranche and split-lien loans to middle market companies. KBDC is externally managed by its investment adviser, KA Credit Advisors, LLC, an indirect controlled subsidiary of Kayne Anderson Capital Advisors, L.P., a prominent alternative investment management firm. KBDC has elected to be regulated as a BDC under the Investment Company Act of 1940, as amended (“1940 Act”). KBDC’s investment objective is to generate current income and, to a lesser extent, capital appreciation. For more information, please visit www.kaynebdc.com.
Forward-looking Statements
This press release may contain “forward-looking statements” that involve substantial risks and uncertainties. Such statements involve known and unknown risks, uncertainties and other factors and undue reliance should not be placed thereon. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about KBDC, its current and prospective portfolio investments, its industry, its beliefs and opinions, and its assumptions. Words such as “anticipates,” “expects,” “intends,” “plans,” “will,” “may,” “continue,” “believes,” “seeks,” “estimates,” “would,” “could,” “should,” “targets,” “projects,” “outlook,” “potential,” “predicts” and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond KBDC’s control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements including, without limitation, the risks, uncertainties and other factors identified in KBDC’s filings with the SEC. All forward-looking statements speak only as of the date of this press release. KBDC does not undertake any obligation to update or revise any forward-looking statements or any other information contained herein, except as required by applicable law.
Contacts:
Investor Relations
kaynebdc@kaynecapital.com
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Exhibit 99.2
KAYNEBDC.COM KAYNE ANDERSON BDC, INC. EARNINGS PRESENTATION Third Quarter 2026
2 Disclaimer and Forward-Looking Statement This presentation may contain "forward-looking statements" that involve substantial risks and uncertainties. Such statements involve known and unknown risks, uncertainties and other factors and undue reliance should not be placed thereon. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about Kayne Anderson BDC, Inc. ("KBDC"), its current and prospective portfolio investments, its industry, its beliefs and opinions, and its assumptions. Words such as "anticipates," "expects," "intends," "plans," "will," "may," "continue," "believes," "seeks," "estimates," "would," "could," "should," "targets," "projects," "outlook," "potential," "predicts" and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond KBDC's control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements including, without limitation, the risks, uncertainties and other factors identified in KBDC's filings with the SEC. All forward-looking statements speak only as of the date of this presentation. KBDC does not undertake any obligation to update or revise any forward-looking statements or any other information contained herein, except as required by applicable law.
EXECUTIVE SUMMARY
4 Executive Summary Quarterly Highlights 1Annualized dividend yield is calculated by dividing the declared dividend per share by the net asset value per share at the end of the quarter and annualizing such amount over four quarterly periods. There can be no assurance that the same dividend yield will be achieved. 2Actual yields earned over the life of investments could be materially different from the yields presented herein. 3Excludes opportunistic debt investments. As of September 30, 2026, KBDC held $120 million (fair market value) of opportunistic investments, representing ~5% of total fair market value of investments. Opportunistic investments include BC CS 2, L.P. (Cuisine Solutions, Inc.) and SGCP Partners, Inc. (SG Credit). 4Excludes investments on watchlist representing ~6% of total market fair value. Financial Results Portfolio Balance Sheet & Liquidity Recent Events » Net investment income per share: $0.46 » Net asset value per share: $15.71 » Annualized ROE: 11.7% on net investment income » 3Q'26 dividend per share: $0.40 regular » Annualized regular dividend yield of ~10.2%(1) » Total fair value was approximately $2.2 billion invested in 100 companies » Insignificant software exposure consistent with value lending strategy » Weighted average yield at amortized cost of debt investments was 10.4% excluding non-income producing investments and 9.9% including non-income producing investments(2) » 93% first-lien portfolio » Weighted average and median EBITDA of borrowers of $57.5 million(3)(4) and $38.0 million(3)(4), respectively » Average position size of 1.0% with 10 largest positions representing 19.4% of the debt portfolio (fair value) » 3.6% of total debt investments (fair value) and 5.4% (amortized cost) were on non-accrual » Outstanding debt balance was $1,212 million; quarter-end debt-to-equity ratio was 1.17x » Total liquidity of $508.7 million, including cash and cash equivalents of $45.7 million and undrawn committed debt capacity of $463.0 million » $100 million Share Repurchase Plan: Repurchased 265,761 shares / $3.6 million for the three months ended September 30, 2026 » Declared 4Q'26 regular distribution of $0.40 per share on November 4, 2026
5 » Scaled, differentiated BDC via focus on core middle market ($10-$75+ million of EBITDA) » Target market and credit selection process facilitates: (i) conservative structures (first lien, lower leverage) in (ii) private equity- backed businesses with (iii) financial maintenance covenants generating (iv) attractive yields Executive Summary At-a-Glance 1Includes the last out position of Regiment and Score Sports. 2Excludes opportunistic debt investments. As of September 30, 2026, KBDC held $120 million (fair market value) of opportunistic investments, representing ~5% of total fair market value of investments. Opportunistic investments include BC CS 2, L.P. (Cuisine Solutions, Inc.) and SGCP Partners, Inc. (SG Credit). 3Excludes investments on watchlist. 4Weighted average yield is calculated on fair value of debt investments excluding non-income producing investments. 5NII yield is calculated by dividing annualized 3Q NII per share by NAV per share at September 30, 2026. KBDC OVERVIEW (SEPTEMBER 30, 2026) $2.2bn Portfolio Fair Value ($2.6bn commitments) (Q2: $2.3bn FV / $2.6bn commitments) 98% Financial Maint. Covenants2,3 (Q2: 100%) ~93% First Lien Senior Secured1 (Q2: ~93%) 98% PE Sponsored Companies2 (Q2: 98%) 100 Portfolio Companies (Q2: 104) 2.4x Wtd. Avg. Interest Coverage2,3 (Q2: 2.4x) ~10.3% Wtd. Avg. Portfolio Yield4 (Q2: ~10.2%) 4.6x Wtd. Avg. Net Leverage2,3 (Q2: 4.5x) 3.6% FV Debt on Non-Accrual (Q2: 2.7%) 11.7% NII Yield5 (Q2: 10.5%)
6 Executive Summary Key Financial Highlights 1Yield on an annualized basis. ($000 except per share data) Sep 30, 2026 Jun 30, 2026 Mar 31, 2026 Dec 31, 2025 Sep 30, 2025 Net Investment Income $0.46 $0.42 $0.43 $0.44 $0.43 Net Realized and Unrealized Gains (Losses) ($0.36) ($0.26) ($0.17) ($0.12) ($0.08) Net Income (loss) $0.10 $0.16 $0.26 $0.32 $0.35 Net Asset Value $15.71 $16.00 $16.23 $16.32 $16.34 Annualized ROE (on Net Investment Income) 11.7% 10.5% 10.6% 10.8% 10.5% Annualized ROE (on Net Income) 2.5% 4.0% 6.4% 7.8% 8.6% Regular Distributions $0.40 $0.40 $0.40 $0.40 $0.40 Supplemental Distributions - - - - - Special Distributions - - - - - Total Distributions $0.40 $0.40 $0.40 $0.40 $0.40 Regular Distribution Yield(1) 10.2% 10.0% 9.9% 9.8% 9.8% Supplemental Distribution Yield(1) - - - - - Special Distribution Yield(1) - - - - - Total Distribution Yield 10.2% 10.0% 9.9% 9.8% 9.8% Total Debt $1,212,000 $1,238,000 $1,138,000 $1,130,000 $1,153,000 Net Assets $1,036,262 $1,059,652 $1,079,192 $1,109,931 $1,140,096 Debt-to-Equity at Quarter End 1.17x 1.17x 1.05x 1.02x 1.01x As of Date and for the Three Months Ended
PORTFOLIO OVERVIEW
8 Portfolio Overview Key Statistics 1Includes KBDC's investments in BC CS 2, L.P. (Cuisine Solutions, Inc.) and SGCP Partners, Inc. (SG Credit) which are considered subordinated debt. KEY PORTFOLIO STATISTICS ($ IN MILLIONS) Sep 30, 2026 Jun 30, 2026 Mar 31, 2026 Dec 31, 2025 Sep 30, 2025 Portfolio Highlights Funded Investments at Fair Value $2,223 $2,267 $2,194 $2,198 $2,256 Average Position Size at Fair Value ($) $22.2 $21.8 $20.9 $20.5 $20.9 Average Position Size at Fair Value (%) 1.0% 1.0% 1.0% 0.9% 0.9% Portfolio Composition (at fair value) First Lien 93% 93% 93% 93% 94% Second Lien - - - - - Subordinated(1) 5% 5% 5% 5% 4% Equity 2% 2% 2% 2% 2% Loans by Interest Rate Type % Floating Rate Debt Investments 95.1% 95.3% 95.1% 95.7% 96.0% % Fixed Rate Debt Investments 4.9% 4.7% 4.9% 4.3% 4.0% Asset Level Yields excluding non-income producing debt investments (at fair value) Weighted Average Yield on Debt Investments 10.3% 10.2% 10.1% 10.3% 10.6% Asset Level Yields including non-income producing debt investments (at fair value) Weighted Average Yield on Debt Investments 10.0% 9.9% 9.9% 10.1% 10.4% Non-accrual Debt Investments (at fair value) Non-accrual Investments $78.4 $59.1 $53.7 $31.0 $31.0 Non-accrual Investments as a % of Debt Investments 3.6% 2.7% 2.5% 1.4% 1.4%
9 Private Credit, 98% Equity, 2% Portfolio Overview Diversity (As of September 30, 2026) Note: Please see the Company's filings with the SEC for more information about the Company's portfolio. 1Calculated as a percentage of total debt investments at fair value. 2In some instances, we have disclosed the borrower's DBA name. 3Calculated as a percentage of total fair value. BORROWER CONCENTRATION (1)(2) INDUSTRY CONCENTRATION INVESTMENT TYPE(3) » Diversified industry exposure across the portfolio, with insignificant exposure to software 20.2% 2.8% 4.0% 5.3% 5.7% 6.3% 9.5% 10.3% 11.0% 11.4% 13.5% All Others (15 Total) Leisure Products Chemicals Financial Services Machinery Professional Services Containers and Packaging Food Products Distributors Commercial Services & Supplies Health Care Providers & Services SG Credit Debt 4.8% Keany 1.7% CREO Group 1.7% Century Box 1.6% M2S 1.6% Handgards 1.6% Improving 1.6% Smyth 1.6% Peak Technologies 1.6% Genuine Cable Group 1.6% All Others 80.6% 100 Borrowers (Avg Position: 1.0%)
10 Portfolio Overview Asset Mix GROSS NEW COMMITMENTS ($M)(1) ASSET MIX AT END OF PERIOD(2) » KBDC committed approximately $76 million to new investments in 3Q'26 » Portfolio is 95% floating rate and approximately 93% first lien senior secured loans ROLLING INVESTMENT ACTIVITY ($ IN MILLIONS) Note: Please see the Company's filings with the SEC for more information about the Company's portfolio. 1Based on principal amount of investments and includes unfunded commitments. 2Based on fair value of investments. 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 1Q'26 2Q'26 3Q'26 Gross New Investment Commitments(1) $231 $340 $129 $296 $113 $93 $139 $76 Investment Fundings (Private Credit) 207 294 129 262 97 99 146 91 Investment Fundings (Equity) 2 1 - 12 2 0 1 1 Investments Repaid or Sold (Private Credit) (139) (86) (72) (74) (132) (75) (38) (115) Investments Repaid or Sold (BSL) (18) (27) (47) (113) (20) (17) (30) - Net Investment Activity $52 $181 $10 $87 ($52) $7 $79 ($23) $231 $340 $129 $296 $113 $93 $139 $76 $- $100 $200 $300 $400 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 1Q'26 2Q'26 3Q'26 98% 98% 98% 94% 93% 93% 93% 93% 1% 1% 1% 4% 5% 5% 5% 5% 1% 1% 1% 2% 2% 2% 2% 2% 0% 20% 40% 60% 80% 100% 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 1Q'26 2Q'26 3Q'26 First Lien Subordinated Debt Equity
FINANCIAL HIGHLIGHTS
12 Financial Highlights Net Asset Value NAV PER SHARE BRIDGE » NAV was lower by $0.29 per share, primarily the result of realized and unrealized losses on the portfolio (-$0.36), partially offset by net investment income exceeding dividends paid (+$0.06) and accretive share repurchases (+$0.01). $16.00 $0.89 $(0.23) $(0.13) $(0.43) $(0.40) $0.01 $15.71 $15.00 $15.50 $16.00 $16.50 $17.00 2Q'26 NAV Interest Income Realized Gain (Loss) Unrealized Gain (Loss) Operating Expenses Regular Distribution Share Repurchase 3Q'26 NAV
13 Financial Highlights Dividend History 1Yields presented above calculated by dividing either (i) dividends or (ii) NII, as applicable by the net asset value per share at the end of the quarter and annualizing such amount over four quarterly periods. 2All amounts presented on a per share basis utilizing end of period share count. DIVIDEND HISTORY(2) DIVIDEND AND NII YIELD(1) » Prior to 2024, KBDC did not distinguish between regular and supplemental or special distributions and generally distributed substantially all its income on a quarterly basis » During 3Q'24, KBDC established a $0.40 per share regular dividend » KBDC paid three special dividends on 12/20/24, 3/18/25 and 6/24/25 following pre-IPO share lock-up expirations » As of September 30, 2026, KBDC had undistributed net investment income of $0.32 per share 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 1Q'26 2Q'26 3Q'26 NII Yield 11.5% 9.7% 9.8% 10.5% 10.8% 10.6% 10.5% 11.7% Total Dividend Yield 12.0% 12.1% 12.2% 9.8% 9.8% 9.9% 10.0% 10.2% $0.40 $0.40 $0.40 $0.40 $0.40 $0.40 $0.40 $0.40 $0.10 $0.10 $0.10 $0.00 $0.10 $0.20 $0.30 $0.40 $0.50 $0.60 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 1Q'26 2Q'26 3Q'26 Base Dividend Special Dividend
BALANCE SHEET AND OPERATING RESULTS
15 Balance Sheet Summary ($000 except per share data) Sep 30, 2026 Jun 30, 2026 Mar 31, 2026 Dec 31, 2025 Sep 30, 2025 Assets Portfolio company invest., at fair value $2,222,668 $2,266,618 $2,194,304 $2,198,421 $2,255,513 Cash and cash equivalents 45,704 39,703 32,662 43,436 46,125 Deposits for investments - - - 13,015 - Receivable for sales of investments 81 10,303 - 7,168 14,150 Receivable for principal pmts. on invest. 145 407 722 308 334 Interest receivable 19,461 24,196 24,420 24,063 21,500 Prepaid expenses and other assets 492 531 251 291 346 Total Assets $2,288,551 $2,341,758 $2,252,359 $2,286,702 $2,337,968 Liabilities Debt $1,205,493 $1,235,099 $1,136,822 $1,129,701 $1,153,000 Unamortized debt issuance costs (11,859) (12,990) (14,106) (12,703) (11,736) Shares repurchased payable 23 97 97 496 706 Distributions payable 26,381 26,490 26,595 27,213 27,927 Management fee payable 5,657 5,561 5,416 5,613 5,583 Incentive fee payable 1,203 1,895 3,111 3,935 4,419 Accrued expenses and other liabilities 25,391 25,954 15,232 22,516 17,973 Total Liabilities $1,252,289 $1,282,106 $1,173,167 $1,176,771 $1,197,872 Net Assets: Common Shares 66 66 66 68 70 Additional paid-in capital 1,079,233 1,082,851 1,086,618 1,108,001 1,133,350 Total distributable earnings (deficit) (43,037) (23,265) (7,492) 1,862 6,676 Total Net Assets $1,036,262 $1,059,652 $1,079,192 $1,109,931 $1,140,096 Total Liabilities and Net Assets $2,288,551 $2,341,758 $2,252,359 $2,286,702 $2,337,968 Net Asset Value Per Common Share $15.71 $16.00 $16.23 $16.32 $16.34 Debt to equity at quarter end 1.17x 1.17x 1.05x 1.02x 1.01x Average debt to equity 1.18x 1.11x 1.03x 1.03x 0.97x
16 Operating Results Summary ($000 except per share data) Sep 30, 2026 Jun 30, 2026 Mar 31, 2026 Dec 31, 2025 Sep 30, 2025 Investment income: Interest and dividend income $56,093 $53,202 $53,052 $57,325 $59,227 Payment-in-kind interest income 2,870 2,501 4,273 4,578 2,146 Total investment income $58,963 $55,703 $57,325 $61,903 $61,373 Expenses: Management fees 5,657 5,561 5,416 5,613 5,583 Incentive fees 1,203 1,895 3,111 3,935 4,419 Interest expense 20,724 19,609 18,860 20,645 20,207 Other general and admin. expenses 1,187 1,077 1,053 1,120 1,118 Excise tax expense (benefit) - - (11) 474 - Total expenses $28,771 $28,142 $28,429 $31,787 $31,327 Net expenses $28,771 $28,142 $28,429 $31,787 $31,327 Net investment income $30,192 $27,561 $28,896 $30,116 $30,046 Net realized gains (losses) (14,901) (12,221) (2,247) (613) (22) Net change in unrealized gains (losses) (8,472) (4,602) (9,021) (7,204) (4,983) Income tax (expense) benefit (210) (21) (387) (331) (428) Net increase in net assets resulting from operations $6,609 $10,717 $17,241 $21,968 $24,613 Net investment income per share $0.46 $0.42 $0.43 $0.44 $0.43 Earnings per share $0.10 $0.16 $0.26 $0.32 $0.35 Weighted average shares outstanding 66,041,019 66,347,339 67,144,353 68,482,556 70,430,331 For the Three Months Ended
17 Balance Sheet and Liquidity Financing Profile Note: Commitment and drawn amounts are as of September 30, 2026. 1Includes amortization of debt issuance and monitoring costs. DEBT FUNDING MIX ($M) BORROWING PER QUARTER ($M) » KBDC has diverse and adequate sources of liquidity to maintain its target debt-to-equity ratio of 1.00x to 1.25x » Debt capital is comprised of the following committed credit facilities and senior unsecured notes outstanding: Commitment Drawn Availability Pricing Maturity Corporate Facility $475.0 $162.0 $313.0 S + 2.10% November 22, 2029 Funding Facility 675.0 583.0 92.0 S + 1.95% February 20, 2031 Funding Facility II 250.0 192.0 58.0 S + 2.25% December 22, 2029 Series A Notes 25.0 25.0 - 8.65% June 30, 2027 Series B Notes 50.0 50.0 - 8.74% June 30, 2028 Series C Notes 40.0 40.0 - S + 2.32% June 30, 2028 Series D Notes 60.0 60.0 - S + 2.37% June 30, 2028 Series E Notes 100.0 100.0 - S + 2.6565% October 15, 2030 Total $1,675.0 $1,212.0 $463.0 $1,110 $1,163 $1,126 $1,190 $1,241 7.1% 6.9% 6.7% 6.5% 6.5% 5.80% 6.30% 6.80% 7.30% $700 $800 $900 $1,000 $1,100 $1,200 9/30/25 12/31/25 3/31/26 6/30/26 9/30/26 Average Daily Borrowing Average Interest Rate DEBT MATURITY PROFILE ($M) $25 $150 $100 $162 $583 $192 2027 2028 2029 2030 2031 Unsecured Notes Corporate Facility Funding Facility Funding Facility II