tiprankstipranks
New Mountain Finance (NMFC)
NASDAQ:NMFC
US Market
Want to see NMFC full AI Analyst Report?
EarningsQ2 2026 Earnings Report

New Mountain Finance (NMFC) Q2 2026 Earnings Report

572 Followers

NMFC Q2 2026 EPS Results

Actual EPS$0.26
Consensus EPS$0.26
Beat/MissMissed by -<$0.01
One Year Ago EPS$0.32

NMFC Q2 2026 Revenue Results

Actual Revenue$16.49M
Expected Revenue$62.78M
Beat/MissMissed by -$46.29M
YoY Revenue Growth-82.98%

Earnings Announcement Details

QuarterQ2 2026
Date08/03/2026
TimeAfter Close
Conference CallMonday, August 3, 2026
NMFC Upcoming Earnings
New Mountain Finance's next earnings date is estimated for November 4, 2026, based on past reporting schedules.

Q2 2026 Earnings Call Audio

NMFC Q2 2026 Earnings Call
0:00 / 0:00

Q2 2026 Earnings Slide Deck

Q2 2026 Earnings Call Summary

Q2 2026
Earnings Call Date:Aug 03, 2026|
% Change Since:
|
Earnings Call Sentiment|Neutral
The call presents a balanced picture: management highlighted coverage of the dividend, improved non-accruals, active buybacks at deep discounts, strong liquidity and deliberate liability management, and a high implied dividend yield. Offsetting these positives are a notable QoQ decline in total investment income (-11%), muted M&A and origination activity (industry volume down ~55% QoQ), PIK exposure (13% of investment income), specific write-downs (Convey) and remaining portfolio concentration. Management expressed optimism about portfolio monetizations and NAV upside, but material near-term execution and market risks remain.
Company Guidance
Management guided that Q2 adjusted net investment income was $0.26 per share (covering the $0.25 quarterly dividend), with a $0.25 dividend declared for Sept. 30 (record Sept. 16) and an expectation that NII will continue to cover dividends; NAV was $10.89 (down $0.03, ~30 bps q/q), non‑accruals at fair value improved to 1.5% from 2.6%, loan‑to‑value is 49%, 88% of the portfolio is rated green (non‑green names carry a weighted average mark of ~$0.67), the portfolio is ~80% senior with equity ~6% across 113 companies (top 10 = 24%), and they repurchased ~$9M of stock in Q2 at ~ $8/share (~27% discount), $66M YTD repurchases with ~ $80M remaining capacity. Q2 totals: investment income $61M (‑11% QoQ), total net expenses ~$37M, effective incentive fee 15% after a $1.4M waiver; PIK from origination was 13% of investment income (modified PIK 3%), PIK assets marked ~95% of par and 89% of that income came from green names. Balance sheet and capital guidance: total assets $2.4B, liabilities $1.4B, NAV ~$1.0B ($10.89/share), net debt/equity 1.11x (target range 1.0–1.25x), >$2B total borrowing capacity including ~ $830M available under credit facilities (covering ~ $160M unfunded commitments and 2027 maturities), closed a $150M delayed‑funding private placement, extended the revolver to 2031, ~60% of debt maturing 2029 or later, loan portfolio 89% floating / 11% fixed and liabilities 74% floating / 26% fixed; management reiterated plans to continue opportunistic buybacks within leverage targets, remain active in the unsecured market, and permanently reduce fees to 15% by 2027, noting spreads for insulated sectors have stabilized around SOFR +500 bps.
Dividend Coverage and Stability
Adjusted net investment income of $0.26 per share in Q2 covered the $0.25 per share dividend; Board declared a $0.25 dividend for Q3 and management expects NII to continue covering the dividend.
NAV Stabilization
Net asset value per share of $10.89, a modest decline of $0.03 (30 basis points) sequentially, with management noting book value stabilization and potential upside if certain loans move back toward par.
Improved Credit Metrics — Non-Accruals
Non-accruals at fair value improved meaningfully from 2.6% in Q1 to 1.5% in Q2, signaling better credit performance across the portfolio.
Active Share Repurchases at Deep Discounts
Repurchased approximately $9 million of stock during the quarter at about $8 per share, roughly a 27% discount to book value; year-to-date repurchases of approximately $66 million with ~$80 million remaining capacity.
Strong Shareholder Alignment
New Mountain ownership increased ~100 basis points sequentially and ~400 basis points year-over-year to approximately 18% of shares outstanding as of June 30, reflecting increased insider alignment.
Attractive Dividend Yield
Dividend yield implied at ~15% based on Friday's closing stock price; management positions the dividend as sustainable given anticipated earnings power of the portfolio.
Portfolio Quality and Risk Rating
88% of the portfolio carries a green risk rating; investments generating noncash income marked at a weighted average fair value of ~95% of par, and 89% of that income is from green-rated names.
Liquidity, Leverage and Liability Management
Total assets $2.4B, liabilities $1.4B, NAV $1.0B (NAV/share $10.89); net debt-to-equity 1.11x (below midpoint of 1.0–1.25x target). More than $2B total borrowing capacity including ~$830M available under facilities; closed a $150M private placement and extended corporate revolver maturity to 2031; ~60% of outstanding debt maturing 2029 or later.
Floating Rate Positioning
89% of the loan portfolio is floating-rate and 74% of liabilities are floating-rate, with management increasing floating liabilities to reduce asset-liability mismatch risk.
Disciplined Origination and Secondary Purchases
Originations of $73M in Q2 offset by $105M of sales/repayments leaving the company effectively fully invested; yields on new investments exceeded yields on repayments, driven in part by discounted secondary purchases.

NMFC Earnings History

Report Date
Fiscal Quarter
Forecast / EPS
Last Year's EPS
EPS YoY Change
Press Release
Nov 04, 2026
2026 (Q3)
0.26 / -
0.32
2026 (Q2)
0.26 / 0.26
0.32-18.75% (-0.06)
2026 (Q1)
0.32 / 0.30
0.32-6.25% (-0.02)
2025 (Q4)
0.32 / 0.32
0.320.00% (0.00)
2025 (Q3)
0.32 / 0.32
0.33-3.03% (-0.01)
2025 (Q2)
0.32 / 0.32
0.36-11.11% (-0.04)
2025 (Q1)
0.32 / 0.32
0.36-11.11% (-0.04)
2024 (Q4)
0.34 / 0.32
0.4-20.00% (-0.08)
2024 (Q3)
0.35 / 0.33
0.4-17.50% (-0.07)
2024 (Q2)
0.36 / 0.36
0.39-7.69% (-0.03)
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed