Palmer Square Capital BDC Declares $0.36 Base Dividend, Supplemental Expected
Palmer Square Capital BDC Inc., a business development company focused on corporate debt, declared a first quarter 2026 base dividend of $0.36 per share. The company also expects to announce an additional supplemental dividend in March.
Palmer Square Capital BDC Inc. (NYSE: PSBD), a business development company that invests primarily in corporate debt loans and private credit, declared a first quarter 2026 base dividend of $0.36 per share. The dividend will be paid to shareholders of record as of March 27, 2026. Read more dividend announcements.
The company announced the dividend on February 26, 2026, following the release of its fourth quarter and full year 2025 financial results. According to the company's dividend policy, Palmer Square expects to announce an additional supplemental dividend for the first quarter in March.
| Dividend Details | Information |
|---|---|
| Amount | $0.36 per share |
| Type | Quarterly base dividend |
| Record Date | March 27, 2026 |
| Payment Date | April 9, 2026 |
Fourth Quarter Financial Performance
Palmer Square reported net investment income of $13.1 million, or $0.41 per share, for the fourth quarter of 2025, compared to $14.8 million, or $0.45 per share, in the same period last year. Total investment income declined to $29.8 million from $34.9 million in the prior year quarter.
Net asset value stood at $14.85 per share as of December 31, 2025, down from $15.39 per share at September 30, 2025. The company recorded total net realized and unrealized losses of $18.4 million in the fourth quarter, compared to losses of $2.9 million in the fourth quarter of 2024.
The business development company paid cash distributions totaling $0.43 per share to stockholders during the fourth quarter of 2025.
Portfolio and Capital Structure
As of December 31, 2025, Palmer Square held total assets of $1.2 billion and total net assets of $464.1 million. The portfolio's total fair value stood at $1.2 billion, spread across 42 industries.
The company's debt-to-equity ratio was 1.54 times at year-end, compared to 1.53 times at the end of the third quarter. Palmer Square had $716.5 million in total debt outstanding and approximately $311.3 million in available liquidity.
At December 31, 2025, 98% of the long-term investments in the portfolio carried floating rates. The weighted average total yield to maturity of debt and income producing securities was 11.30% at fair value and 8.15% at amortized cost. Three portfolio companies were on non-accrual status, representing 0.09% of the portfolio at fair value.
During the fourth quarter, Palmer Square funded $91.4 million in new investments across 24 transactions, while sales and repayments totaled $148.3 million. Recurring payment-in-kind interest income amounted to $431,800, or 1.45% of total investment income.