ARCC FY 2022 Earnings Report — Ares Capital Corporation Revenue & Financial Results | Market Cap Arena

Ares Capital CorporationARCC

FY 2022 Earnings

Reported March 31, 2023

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2022	Prior Q	FY 2021	QoQ Change	YoY Change
Revenue	$1.2B	—	$2.0B	—	-41.7%
Op. Income	$655M	—	$1.6B	—	-59.0%
Gross Margin	62.0%	—	81.9%	—	-19.9pp
Net Margin	50.2%	—	76.4%	—	-26.3pp
EPS (Diluted)	$1.19	—	$3.51	—	-66.1%
Free Cash Flow	$746M	—	$935M	—	-20.2%

Revenue Flow

Item	Amount
REVENUE	$1.2B
Cost of Revenue	$455M
GROSS PROFIT	$741M
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$38M
SG&A Expenses	$38M
Other Expenses	$48M
Operating Expenses	$86M
Cost & Expenses	$541M
OPERATING INCOME	$655M
Interest Income	$1.5B
Interest Expense	$455M
Other Income/Expenses	$0
INCOME BEFORE TAX	$655M
Income Tax Expense	$55M
Net Income from Continuing Ops	$600M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$600M
Net Income Deductions	-$17M
BOTTOM LINE NET INCOME	$617M
D&A	$0
EBIT	$655M
EBITDA	$655M
EPS	$1
EPS Diluted	$1

Income Statement

Item	Amount
REVENUE	$1.2B
Cost of Revenue	$455M
GROSS PROFIT	$741M
R&D Expenses	$0
Selling & Marketing	$0
General & Administrative	$38M
SG&A Expenses	$38M
Other Expenses	$48M
Operating Expenses	$86M
Cost & Expenses	$541M
OPERATING INCOME	$655M
Interest Income	$1.5B
Interest Expense	$455M
Other Income/Expenses	$0
INCOME BEFORE TAX	$655M
Income Tax Expense	$55M
Net Income from Continuing Ops	$600M
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$600M
Net Income Deductions	-$17M
BOTTOM LINE NET INCOME	$617M
D&A	$0
EBIT	$655M
EBITDA	$655M
EPS	$1
EPS Diluted	$1

Cash Flow Statement

Item	Amount
Net Income	$600M
Depreciation & Amortization	$0
Stock-Based Compensation	$0
Deferred Income Tax	$0
Other Non-Cash Items	$293M
Change in Working Capital	-$147M
OPERATING CASH FLOW	$746M
Capital Expenditure	$0
Acquisitions (Net)	$0
Purchases of Investments	-$9.9B
Sales/Maturities of Investments	$7.7B
Other Investing Activities	$0
NET CASH FROM INVESTING	-$2.1B
Net Debt Issuance	$1.1B
Common Stock Repurchased	$0
Common Dividends Paid	-$912M
Other Financing Activities	-$16M
NET CASH FROM FINANCING	$1.2B
FREE CASH FLOW	$746M
Net Change in Cash	-$149M

Balance Sheet

Item	Amount
Cash & Equivalents	$303M
Short-Term Investments	$0
Net Receivables	$180M
Inventory	$0
Other Current Assets	$34M
TOTAL CURRENT ASSETS	$517M
PP&E (Net)	$20M
Goodwill	$0
Intangible Assets	$0
Long-Term Investments	$21.8B
Tax Assets	$0
Other Non-Current Assets	$81M
TOTAL NON-CURRENT ASSETS	$21.9B
TOTAL ASSETS	$22.4B
Account Payables	$87M
Short-Term Debt	$807M
Deferred Revenue	$0
Other Current Liabilities	$21M
TOTAL CURRENT LIABILITIES	$1.2B
Long-Term Debt	$11.5B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$0
Other Non-Current Liabilities	$56M
TOTAL NON-CURRENT LIABILITIES	$11.6B
TOTAL LIABILITIES	$12.8B
Common Stock	$1M
Additional Paid-In Capital	$9.6B
Retained Earnings	-$2M
Treasury Stock	$0
Accum. Other Comp. Income	$0
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$9.6B
Minority Interest	$0
TOTAL EQUITY	$9.6B
TOTAL LIABILITIES & EQUITY	$22.4B
Total Debt	$12.4B
Net Debt	$12.1B