Q3 25 EPS
$0.38
BEAT +0.37%
Est. $0.38
Q3 25 Revenue
$82.6M
MISS 1.09%
Est. $83.5M
vs S&P Since Q3 25
-27.7%
TRAILING MARKET
MFIC -15.6% vs S&P +12.0%
Market Reaction
Did MFIC Beat Earnings? Q3 2025 Results
MidCap Financial Investment Corporation delivered a mixed but broadly steady Q3 2025, edging past earnings expectations while falling just short on revenue as lower base rates continued to weigh on its floating-rate portfolio. Net investment income c… Read more MidCap Financial Investment Corporation delivered a mixed but broadly steady Q3 2025, edging past earnings expectations while falling just short on revenue as lower base rates continued to weigh on its floating-rate portfolio. Net investment income came in at $0.38 per share, nudging ahead of the $0.38 consensus estimate by 0.37%, though the figure marked a step down from $0.39 in the prior quarter and $0.44 a year ago. Total investment income reached $82.58 million, missing the $83.49 million consensus by 1.09%, even as revenue surged 33.9% year-over-year. The most consequential development in the quarter was a significant reduction in Merx Aviation Finance exposure, with roughly $97.00 million in repayments shrinking that position to 3.3% of the portfolio from 5.6%, a de-risking move management views as a catalyst for redeployment into higher-quality middle market loans. Net asset value per share dipped to $14.66 from $14.75, reflecting realized losses at select portfolio companies. With analysts maintaining bullish ratings and an additional $25.00 million in Merx paydowns anticipated by early 2026, management sees the path ahead as increasingly clear.
Key Takeaways
- • Net investment income of $0.38 per share for the quarter
- • Merx Aviation repaid approximately $97 million, reducing exposure to 3.3% of the total portfolio
- • First lien secured debt increased to 95% of portfolio at fair value
- • 100% floating rate portfolio
- • Weighted average yield on total debt portfolio at amortized cost was 10.2%
- • New investment commitments of $138 million during the quarter
- • Gross fundings of $142 million excluding revolver fundings
MFIC YoY Financials
Q3 2025 vs Q3 2024, source: SEC Filings
“During the September quarter, we continued to deploy capital into first lien middle market loans which we believe have strong credit attributes, underscoring MidCap Financial's strong position as a leading lender in the middle market. As we noted in last quarter's earnings announcement, we're pleased to report that Merx, our aircraft leasing portfolio company repaid approximately $97 million to MFIC during the quarter, reducing our investment to 3.3% of the total portfolio, down from 5.6% at the end of the prior quarter. We currently expect to receive additional paydowns of approximately $25 million from Merx in late 2025 or early 2026. We believe the reduction in our Merx exposure, and the redeployment into middle market loans, has meaningfully de-risked our investment portfolio and improved MFIC's earnings power.”
— Tanner Powell, Q3 2025 Earnings Press Release
MFIC Earnings Trends
MFIC vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
MFIC EPS Trend
Earnings per share: estimate vs actual
MFIC Revenue Trend
Quarterly revenue: estimate vs actual
MFIC Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 BEAT | $0.35 | $0.38 | +9.04% | $71.8M | -3.57% |
| Q4 25 BEAT FY | $0.37 | $0.39 | +5.86% | $78.4M | -0.65% |
| FY Full Year | $1.50 | $1.52 | +1.23% | $320.9M | -0.21% |
| Q3 25 BEAT | $0.38 | $0.38 | +0.37% | $82.6M | -1.09% |
| Q2 25 BEAT | $0.38 | $0.39 | +3.94% | $81.2M | -0.42% |
| Q1 25 MISS | $0.38 | $0.37 | -3.44% | $78.7M | -4.60% |