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ARCC Reports Div Up - NAV Up - NII Up - PWAY Up - PIK/TII Down In Q2-18

|About: Ares Capital (ARCC)

The projections from Yahoo Finance for Ares Capital (ARCC)

Revenue Estimate Current Qtr. (Jun 2018) Next Qtr. (Sep 2018) Current Year (2018) Next Year (2019)
No. of Analysts 10 10 12 11
Avg. Estimate 322.41M 330.08M 1.29B 1.37B
Low Estimate 315.01M 317.3M 1.08B 1.19B
High Estimate 331.56M 342.79M 1.34B 1.47B
Year Ago Sales 284M 294M 1.16B 1.29B
Earnings Estimate Current Qtr. (Jun 2018) Next Qtr. (Sep 2018) Current Year (2018) Next Year (2019)
No. of Analysts 15 15 14 15
Avg. Estimate 0.39 0.40 1.60 1.69
Low Estimate 0.38 0.38 1.56 1.52
High Estimate 0.41 0.42 1.69 1.85
Year Ago EPS 0.34 0.36 1.39 1.60

Key spreadsheets for ARCC:

On 9-02-15 I received a reply Ares Capital Corporation IR to the following question: "I want to know if loan origination fees, loan prepayment fees and accelerated amortization of OIDs are components of the 'structuring fee' income line." Their reply: "Structuring fee income only includes origination fees. All other items mentioned are captured as realized gains." That accounting treatment could explain why the 'realized and unrealized gains' change is 'more positive' for ARCC than average.

Ares Capital Q2-18 Q1-18 Q4-17 Q3-17 Q2-17 Q1-17 Q4-16 Q3-16 Q2-2016 Q1-2016 Q4-2015 Q3-2015 Q2-2015 Q1-2015 Q4-2014 Q3-2014 Q2-2014 Q1-2014 Q4-2013
Total investment income 333 317 307 294 284 275 261 258.670 245.262 248.050 261.676 260.948 249.479 253.247 270.917 253.396 224.927 239.719 233.742
Net investment income 162 149 140 153 124 94 146 137.696 105.264 117.926 147.103 130.477 108.503 121.677 128.185 105.290 91.991 112.336 111.510
Investments @ fair value 11.527 12.693 11.841 11.456 11.498 11.407 8.820 8.805 8.900 9.072 9.055 8.692 8.573 8.482 9.028 8.784 8.068 7.800 7.633
Wt Av Share Count 428 426 426 426 426 426 314 313.954 313.954 314.293 314.450 314.469 314.469 314.108 314.108 314.108 298.583 298.270 297.971
TII/share $0.7780 $0.7441 $0.7207 $0.6901 $0.6667 $0.6455 $0.8312 $0.8239 $0.7812 $0.7892 $0.8322 $0.8298 $0.7933 $0.8062 $0.8625 $0.8067 $0.7533 $0.8037 $0.7844
NII/share $0.3785 $0.3498 $0.3286 $0.3592 $0.2911 $0.2206 $0.4650 $0.4386 $0.3353 $0.3752 $0.4678 $0.4149 $0.3450 $0.3873 $0.4081 $0.3352 $0.3081 $0.3766 $0.3742
Core NII/share $0.39 $0.39 $0.38 $0.36 $0.34 $0.32 $0.42 $0.43 $0.39 $0.37 $0.40 $0.41 $0.37 $0.37 $0.42 $0.40 $0.34 $0.38 $0.41
Dividend/share $0.39 $0.38 $0.38 $0.38 $0.38 $0.38 $0.38 $0.38 $0.38 $0.38 $0.38 $0.38 $0.38 $0.43 $0.38 $0.38 $0.38 $0.43 $0.43
NAV/share $17.05 $16.84 $16.65 $16.49 $16.54 $16.50 $16.45 $16.59 $16.62 $16.50 $16.46 $16.79 $16.80 $16.71 $16.82 $16.71 $16.52 $16.42 $16.46
Wt Av Yield Income Securities @ FV 10.5% 10.1% 9.8% 9.6% 9.4% 9.3% 9.3% 9.7% 9.8% 10.1% 10.1% 10.4% 10.6% 10.5% 10.1% 9.9% 10.0% 10.2% 10.4%
Wt Av Yield Total Portfolio @ FV 9.0% 8.9% 8.7% 8.5% 8.2% 8.1% 8.3% 8.7% 8.9% 9.3% 9.1% 9.3% 9.6% 9.5% 9.1% 8.9% 9.0% 9.3% 9.5%
TII/Investments or Income Yield 11.55% 9.99% 10.37% 10.26% 9.88% 9.64% 11.84% 11.75% 11.02% 10.94% 11.56% 12.01% 11.64% 11.94% 12.00% 11.54% 11.15% 12.29% 12.25%
NII/TII 48.6% 47.0% 45.6% 52.0% 43.7% 34.2% 55.9% 53.2% 42.9% 47.5% 56.2% 51.0% 43.5% 48.0% 47.3% 41.6% 40.9% 46.9% 47.7%
The fee waiver was 10 million in Q1-18; the same as in Q4, Q3 and Q2-17
On 7-21-14 ARCC had a secondary offering of 13.5 million shares with the option to purchase 2 million more when shares were selling at $17.40
In Q2-16 NII was decremented by two cents per share from expenses related to the pending acquisition of ACAS - Q3 decrement was 0.8 cents.
Reported and actual numbers should come with an asterisk. Example: Q2-16 NII had a more than three cent/share subtraction for cap gain fees
Due to prior period loses, management may not earn or keep incentive fee dollars - but it is still subtracted from NII
Non-accruals at cost 2.7% 2.7% 3.1% 3.4% 2.7% 2.9% 2.9% 2.3% 1.3% 1.3% 2.6% 2.3% 1.7% 1.7% 2.2% 2.2% 1.9% 3.2% 3.1%
Non-accruals fair value 0.8% 1.0% 1.4% 0.9% 0.5% 1.1% 0.8% 1.2% 0.7% 0.6% 1.7% 1.7% 1.3% 1.3% 1.7% 1.6% 1.2% 1.9% 2.1%
PIK income YTD 35 19 79 57 37 11 48 32 19.850 8.126 23.710 15.399 12.230 2.900
PIK income Quarter 18 19 20 20 17 11 12 12 11.673 8.126 8.311 3.168 4.104 2.900
PIK/TII ratio 5.4% 6.0% 6.5% 6.8% 6.0% 4.0% 4.6% 4.6% 4.8% 3.3% 3.2% 1.2% 1.6% 1.1%
Oil & Gas/portfolio ratio 2.8% 2.2% 2.59% 1.9% 1.2% 1.04% 1.0%
Q2-18 Q1-18 Q4-17 Q3-17 Q2-17 Q1-17 Q4-16 Q3-16 Q2-16 Q1-16 Q4-15 Q3-15 Q2-15 Q1-15 Q4-14 Q3-14 Q2-14 Q1-14 Q4-13 Q3-13 Q2-13 Q1-13
Realized & Unrealized Gains 92 98 92 -14 54 24 -63 -27.445 52.136 37.622 -125.818 -13.618 38.019 -17.262 25.202 72.449 50.840 4.728 22.374 14.575 39.921 -18.755
Realized & Unrealized Gains/share $0.2150 $0.2300 $0.2160 -$0.0323 $0.1268 $0.0563 -$0.20 -$0.0874 0.1661 0.1197 - 0.4001 - 0.0433 0.1209 - 0.0549 0.0802 0.2306 0.1702 0.0159 0.0751 0.0543 0.1500 -0.0754
Cap Gain Incentive Expense 18 20 18 -3 10 16 -13 -5.491 10.427 3.762 -27.555 -2.628 7.682 -4.220 5.277 13.087 10.168 935 4.492 2.915 7.984 x
Cap Gain Expense/share $0.0421 $0.0469 $0.0422 -0.0069 0.0235 0.0376 -0.04 -0.0175 0.0332 .0120 - .0876 -.0084 .0244 -.0139 .0168 .0417 .0340 .0031 .0151 .0098 .0268 x

Disclosure: I am/we are long ARCC.