Net interest income grew 47.9% from 2024Q4 to 2026Q1, but net interest margin compressed to 1.7% in 2026Q2, and negative non-interest income in 8 of 10 quarters, including -$1.8M in 2026Q2, underscores revenue instability.
Carlyle Secured Lending, Inc. (CGBD) annual income statement — 13-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 |
|---|
| Net Interest Income | 112.3M | 117.5M | 103.1M | 131.81M | 124.86M | 104.03M | 114.1M | 147.63M | 145.34M | 121.27M | 86.2M | 58.77M | 29.09M | 4.62M |
| NII Growth % | -46.37% | 13.97% | -21.78% | 5.56% | 20.03% | -8.83% | -22.72% | 1.58% | 19.85% | 40.68% | 46.66% | 102.03% | 530.24% | - |
| Net Interest Margin % | 4.55% | 4.21% | 5.35% | 6.79% | 6.12% | 5.12% | 5.93% | 6.75% | 6.97% | 6% | 5.78% | 5.31% | 4.06% | 1.77% |
| Interest Income | 226.47M | 205.59M | 171.58M | 203.52M | 168.82M | 134.78M | 149.92M | 198.22M | 183.14M | 145.78M | 102.66M | 68.36M | 32.74M | 4.97M |
| Interest Expense | 89.45M | 88.09M | 68.48M | 71.71M | 43.96M | 30.75M | 35.82M | 50.59M | 37.8M | 24.51M | 16.46M | 9.58M | 3.65M | 353K |
| Loan Loss Provision | -65.49M | -30.52M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Non-Interest Income | 26.25M | -7.8M | -3.82M | -30.72M | -30.19M | 63.94M | -96.98M | -77.44M | -97.56M | -35.06M | -14.95M | -38.26M | -18.54M | -1.2M |
| Non-Interest Income % | 18.95% | -7.11% | -3.85% | -30.39% | -31.89% | 38.07% | -566.57% | -110.34% | -204.21% | -40.68% | -20.98% | -186.49% | -175.68% | -34.93% |
| Total Net Revenue | 138.55M | 109.7M | 99.28M | 101.09M | 94.67M | 167.96M | 17.12M | 70.19M | 47.78M | 86.2M | 71.25M | 20.52M | 10.55M | 3.42M |
| Revenue Growth % | 64.62% | 10.5% | -1.79% | 6.77% | -43.63% | 881.27% | -75.61% | 46.91% | -44.58% | 20.98% | 247.32% | 94.4% | 208.48% | - |
| Non-Interest Expense | 90.02M | -30.23M | 7.56M | 6.37M | 7.21M | 6.83M | 9.71M | 8.45M | 8.43M | 1.74M | 1.37M | 1.84M | 4.94M | 5.35M |
| Efficiency Ratio | 64.98% | -27.56% | 7.61% | 6.3% | 7.61% | 4.07% | 56.76% | 12.04% | 17.65% | 2.02% | 1.92% | 8.98% | 46.8% | 156.33% |
| Operating Income | 78.14M | 170.46M | 91.72M | 94.72M | 87.47M | 161.13M | 7.4M | 61.73M | 39.34M | 84.46M | 69.89M | 18.67M | 5.61M | -1.93M |
| Operating Margin % | 56.4% | 155.38% | 92.39% | 93.7% | 92.39% | 95.93% | 43.24% | 87.96% | 82.35% | 97.98% | 98.08% | 91.02% | 53.2% | -56.33% |
| Operating Income Growth % | - | 85.85% | -3.17% | 8.29% | -45.72% | 2076.91% | -88.01% | 56.9% | -53.42% | 20.86% | 274.26% | 232.61% | 391.33% | - |
| Pretax Income | 14.58M | 71.88M | 91.72M | 94.72M | 87.47M | 161.13M | 7.4M | 61.73M | 39.34M | 84.46M | 69.89M | 18.67M | 5.61M | -1.93M |
| Pretax Margin % | 10.52% | 65.52% | 92.39% | 93.7% | 92.39% | 95.93% | 43.24% | 87.96% | 82.35% | 97.98% | 98.08% | 91.02% | 53.2% | -56.33% |
| Income Tax | 1.47M | 1.91M | 2.74M | 2.44M | 1.83M | 782K | 573K | 404K | 230K | 264K | 76K | 0 | 0 | 0 |
| Effective Tax Rate % | 10.09% | 2.65% | 2.99% | 2.57% | 2.09% | 0.49% | 7.74% | 0.65% | 0.58% | 0.31% | 0.11% | 0% | 0% | 0% |
| Net Income | 13.11M | 69.97M | 88.98M | 92.28M | 85.64M | 160.35M | 6.83M | 61.33M | 39.12M | 84.2M | 69.81M | 18.67M | 5.61M | -1.93M |
| Net Margin % | 9.46% | 63.78% | 89.63% | 91.29% | 90.46% | 95.47% | 39.9% | 87.38% | 81.87% | 97.68% | 97.97% | 91.02% | 53.2% | -56.33% |
| Net Income Growth % | -82.27% | -21.36% | -3.58% | 7.76% | -46.59% | 2248.12% | -88.87% | 56.79% | -53.55% | 20.61% | 273.85% | 232.61% | 391.33% | - |
| Net Income (Continuing) | 13.11M | 69.97M | 88.98M | 92.28M | 85.64M | 160.35M | 6.83M | 61.33M | 39.12M | 84.2M | 69.81M | 18.67M | 5.61M | -1.93M |
| EPS (Diluted) | - | 1.01 | 1.58 | 1.64 | 1.49 | 2.69 | 0.08 | 1.02 | 0.63 | 1.59 | 2.03 | 0.56 | 0.17 | -0.06 |
| EPS Growth % | -84.51% | -36.08% | -3.66% | 10.07% | -44.61% | 3233.33% | -92.09% | 61.9% | -60.38% | -21.67% | 262.5% | 229.41% | 392.6% | - |
| EPS (Basic) | - | 1.02 | 1.68 | 1.75 | 1.58 | 2.89 | 0.08 | 1.02 | 0.63 | 1.59 | 2.03 | 0.56 | 0.17 | -0.06 |
| Diluted Shares Outstanding | 0 | 69.04M | 56.47M | 56.31M | 57.48M | 59.53M | 56.42M | 60.19M | 62.53M | 53M | 34.4M | 33.17M | 33.17M | 33.17M |
Quick answers to the most common questions about buying CGBD stock.
For fiscal year 2025, Carlyle Secured Lending, Inc. (CGBD) reported total revenue of $109.7M. This represents a 3106.8% increase compared to $3.4M in 2013.
Carlyle Secured Lending, Inc. (CGBD) is profitable, generating $70.0M in net income for the fiscal year ending 2025 with a net profit margin of 63.8%.
Carlyle Secured Lending, Inc. (CGBD) reported an operating income of $170.5M, resulting in an operating profit margin of 155.4%. This margin reflects the operational efficiency of the business before interest and taxes.
Carlyle Secured Lending, Inc. (CGBD) generated $140.2M in gross profit for the year, representing a gross profit margin of 127.8%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Credit costs and leverage
Metrics are mathematically derived from official filings.
NII Growth Volatile Amid Rate Shifts
Net interest income swung from $28.6M in 2024Q4 to $42.3M in 2026Q1, a 47.9% increase, before dipping to $40.8M in 2026Q2, reflecting floating-rate portfolio sensitivity.
The sharp NII expansion in early 2026 likely benefited from elevated base rates, but the subsequent decline suggests rate headwinds or portfolio repositioning. The volatility underscores the portfolio's floating-rate nature, making NII highly sensitive to Fed policy. Investors should monitor the trajectory as rate cuts could compress spreads.
NIM Compression Signals Pressure
Net interest margin fell from 1.8% in 2024Q1 to 1.7% in 2026Q2, with a trough of 1.0% in 2025Q4, indicating funding cost pressures outpacing asset yields.
The NIM decline, despite higher NII, suggests that the cost of funds is rising faster than portfolio yields, possibly due to competitive pressures or increased leverage costs. The 2025Q4 dip to 1.0% is particularly concerning, though it recovered to 1.7% by 2026Q2. This volatility indicates a fragile margin structure that could erode profitability if rates fall.
Efficiency Ratio Spikes on Fee Income
Efficiency ratio swung from 4.2% in 2024Q1 to 47.3% in 2026Q1, driven by negative non-interest income, indicating operating leverage is highly sensitive to fee volatility.
The efficiency ratio's extreme variability stems from non-interest income swings, which turned negative in most quarters, inflating the ratio. The 2025Q3 and 2025Q4 ratios of 4.3% and 47.7% respectively highlight the distortion. Excluding fee income, core operating expenses appear stable, but the reliance on interest income makes the cost structure vulnerable to rate changes.
Provision Spike Threatens Earnings
Provision for loan losses turned negative in 2025Q4 (-$30.5M) and remained negative through 2026Q2, totaling -$14.1M, suggesting credit deterioration or reserve builds.
The negative provisions indicate that the company is setting aside significant reserves for potential loan losses, which directly reduced net income to near zero in 2026Q2. This suggests that credit quality may be weakening, possibly due to higher interest rates pressuring borrowers. The absence of provisions in prior quarters may have understated credit risk, and the recent spike warrants close monitoring.
Fee Income Negative and Unstable
Non-interest income was negative in 8 of 10 quarters, ranging from -$21.8M to $20.0M, indicating that fee income is not a reliable revenue source and may be offset by losses.
The persistent negative non-interest income suggests that the company is incurring losses on investments or derivatives, possibly related to mark-to-market adjustments. The positive spike in 2025Q4 ($20.0M) is an outlier, likely from realized gains. This volatility makes fee income an unreliable earnings driver, and the negative trend may indicate hedging costs or other non-core activities.
2025Q4 Marks Turning Point
2025Q4 saw a dramatic shift with revenue jumping to $74.6M and provision expense of -$30.5M, leading to a net income of $17.4M, a pivotal quarter for credit costs.
The quarter stands out as a potential inflection point where the company recognized significant credit losses, possibly reflecting a portfolio review or economic downturn. The subsequent quarters show continued negative provisions, suggesting ongoing credit stress. This period may indicate a shift in the credit cycle, and investors should assess whether the reserve builds are adequate for future losses.
Earnings Quality Under Scrutiny
Despite reported revenue growth, negative provisions and volatile fee income suggest earnings quality may be weaker than headline numbers imply, warranting caution.
The company's net income has been heavily impacted by provision expenses, which turned negative in recent quarters, indicating potential credit deterioration. Additionally, non-interest income has been consistently negative, suggesting that core earnings may be overstated. Investors should scrutinize the sustainability of NII and the adequacy of reserves, as the current earnings may not be repeatable.