Revenue remains highly erratic, swinging from $70.8M in 2025Q2 to a negative $13.0M in 2025Q4, reflecting the inherent instability of CLO equity cash flows.
| Sales/Revenue | - | - | - | - | - | - | - | - | - | - | - | - |
| Revenue Growth % | - | - | - | - | - | - | - | - | - | - | - | - |
| Cost of Goods Sold | - | - | - | - | - | - | - | - | - | - | - | - |
| COGS % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - |
| Gross Profit | 68.57M | 97.61M | 122.69M | -92.73M | 140.84M | 64.06M | -5.37M | -49.6M | 35.1M | 44.14M | 42.35M | 23M |
| Gross Margin % | 59.07% | 84.18% | 90% | 117.98% | 90.69% | 85.92% | -66.44% | 142.52% | 73.08% | 76.43% | 100% | 100% |
| Gross Profit Growth % | -29.76% | -20.44% | 232.31% | -165.84% | 119.85% | 1292.43% | 89.17% | -241.33% | -20.49% | 4.24% | 84.14% | - |
| Operating Expenses | 155.95M | 12.12M | 3.94M | 9.08M | 8.98M | 3.17M | 3.32M | 5.25M | 3.96M | 15.36M | 13.2M | 2.4M |
| OpEx % of Revenue | 134.34% | 10.45% | 2.89% | -11.55% | 5.78% | 4.26% | 41.05% | -15.08% | 8.25% | 26.6% | 31.17% | 10.43% |
| Selling, General & Admin | 7.26M | 11.33M | 4.55M | 7.23M | 6.83M | 3.18M | 3.33M | 5.46M | 3.2M | 15.36M | 13.2M | 2.4M |
| SG&A % of Revenue | 6.25% | 9.77% | 3.34% | -9.2% | 4.4% | 4.27% | 41.14% | -15.7% | 6.67% | 26.6% | 31.17% | 10.43% |
| Research & Development | - | - | - | - | - | - | - | - | - | - | - | - |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | - | - | - | - | - | - | - | - | - | - | - | - |
| Operating Income | -87.39M | 85.49M | 118.75M | -101.81M | 131.86M | 60.89M | -8.69M | -54.85M | 31.13M | 40.48M | 29.15M | 20.6M |
| Operating Margin % | -75.28% | 73.73% | 87.11% | 129.53% | 84.9% | 81.66% | -107.49% | 157.6% | 64.82% | 70.08% | 68.83% | 89.57% |
| Operating Income Growth % | -202.22% | -28.01% | 216.64% | -177.21% | 116.56% | 800.5% | 84.15% | -276.19% | -23.09% | 38.87% | 41.5% | - |
| EBITDA | -87.39M | 85.49M | 118.75M | -101.81M | 131.86M | 60.89M | -8.69M | -54.85M | 31.13M | 7.27M | 560.07K | 0 |
| EBITDA Margin % | -75.28% | 73.73% | 87.11% | 129.53% | 84.9% | 81.66% | -107.49% | 157.6% | 64.82% | 12.58% | 1.32% | - |
| EBITDA Growth % | -202.22% | -28.01% | 216.64% | -177.21% | 116.56% | 800.5% | 84.15% | -276.19% | 328.4% | 1197.46% | - | - |
| D&A (Non-Cash Add-back) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -33.21M | -28.59M | -20.6M |
| EBIT | -87.39M | 85.49M | 118.75M | -101.81M | 131.86M | 60.89M | -8.69M | -54.85M | 31.13M | 90.96M | 28.59M | 20.6M |
| Net Interest Income | 176.37M | 153.07M | 118.08M | 96.91M | 67.41M | 48.05M | 48.13M | 50.4M | 47.99M | -7.94M | -2.52M | 0 |
| Interest Income | 203.98M | 171.41M | 131.72M | 111.04M | 81.88M | 58.54M | 61.59M | 65.2M | 60.92M | 7.94M | 2.52M | 0 |
| Interest Expense | 27.61M | 18.34M | 13.63M | 14.13M | 14.47M | 10.5M | 13.46M | 14.8M | 12.93M | 0 | 0 | 0 |
| Other Income/Expense | - | - | - | - | - | - | - | - | - | - | - | - |
| Pretax Income | -115M | 85.49M | 118.75M | -101.81M | 131.86M | 60.89M | -8.69M | -54.85M | 31.13M | 90.58M | -40.96M | 8.34M |
| Pretax Margin % | -99.07% | 73.73% | 87.11% | 129.53% | 84.9% | 81.66% | -107.49% | 157.6% | 64.82% | 156.83% | -96.72% | 36.29% |
| Income Tax | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 384.79K | 0 | 0 |
| Effective Tax Rate % | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0.42% | 0% | 0% |
| Net Income | -134.44M | 80.31M | 118.75M | -101.81M | 131.86M | 60.89M | -8.69M | -54.85M | 31.13M | 90.96M | -40.96M | 8.34M |
| Net Margin % | -115.81% | 69.26% | 87.11% | 129.53% | 84.9% | 81.66% | -107.49% | 157.6% | 64.82% | 157.5% | -96.72% | 36.29% |
| Net Income Growth % | -267.4% | -32.37% | 216.64% | -177.21% | 116.56% | 800.5% | 84.15% | -276.19% | -65.78% | 322.09% | -590.84% | - |
| Net Income (Continuing) | -115M | 85.49M | 118.75M | -101.81M | 131.86M | 60.89M | -8.69M | -54.85M | 31.13M | 90.58M | -40.96M | 8.34M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 119M | 0 | 0 |
| EPS (Diluted) | -1.05 | 0.86 | 1.74 | -2.21 | 3.94 | 1.88 | -0.30 | -2.27 | 1.76 | 5.61 | -2.96 | 1.02 |
| EPS Growth % | -222.09% | -50.57% | 178.73% | -156.09% | 109.57% | 726.67% | 86.78% | -228.98% | -68.63% | 289.53% | -389.35% | - |
| EPS (Basic) | -1.05 | 0.86 | 1.74 | -2.21 | 3.94 | 1.88 | -0.30 | -2.37 | 1.76 | 5.61 | -2.96 | 1.02 |
| Diluted Shares Outstanding | 128.03M | 93.38M | 67.18M | 46.89M | 33.43M | 32.35M | 28.63M | 24.16M | 17.69M | 16.21M | 13.82M | 8.16M |
| Basic Shares Outstanding | 128.03M | 93.38M | 67.18M | 46.89M | 33.43M | 32.35M | 28.63M | 23.15M | 17.69M | 16.21M | 13.82M | 8.16M |
| Dividend Payout Ratio | - | - | - | - | - | 66.16% | - | - | 184.03% | 38.32% | - | - |
CLO equity valuation volatility
As reported in recent financial statements, ECCW's revenue trajectory remains highly erratic, with quarterly figures swinging from $70.8M in 2025Q2 to a negative $13.0M in 2025Q4, reflecting the inherent instability of CLO equity cash flows and the impact of mark-to-market accounting on recognized income.
The extreme variance in top-line figures suggests that GAAP revenue is a poor proxy for the fund's actual cash-generating capacity. Investors should monitor whether these fluctuations represent temporary accounting adjustments or a fundamental deterioration in the underlying loan collateral performance.
Based on the company's reported figures, the net margin collapsed to -115.81% on a TTM basis, a figure that appears heavily influenced by non-cash unrealized mark-to-market losses rather than a structural failure in the fund's ability to collect interest from its CLO equity tranches.
The divergence between GAAP net income and the recurring nature of CLO distributions warrants caution, as the effective yield method relies on subjective assumptions regarding future defaults. Analysts should prioritize cash distribution data over reported net income to assess the true sustainability of the dividend.
According to SEC filings, the company's operating margin has faced significant pressure, recently reaching -75.28%, which highlights the impact of fixed management and incentive fees on the fund's profitability during periods of market-driven asset devaluation and portfolio underperformance.
The high fixed-cost structure, combined with the volatility of the investment portfolio, creates a challenging environment for maintaining positive operating leverage. Investors should investigate whether the current fee structure remains appropriate given the recent trend of negative net income and potential NAV erosion.
Data from recent quarterly reports indicates that the fund's reliance on ATM equity offerings to support distributions may be masking underlying capital erosion, as the persistent negative net margin suggests that the cost of capital may exceed the returns generated by new portfolio deployments.
Short-term observers might focus on the dividend yield, but the fundamental risk lies in the potential for overcollateralization test failures to permanently impair cash flows. If the CCC-rated bucket concentration continues to rise, the fund may face a structural inability to maintain its current distribution levels.
Quick answers to the most common questions about buying ECCW stock.
Eagle Point Credit Company Inc. (ECCW) reported a net loss of $134.4M for the fiscal year ending 2025.
Eagle Point Credit Company Inc. (ECCW) reported an operating income of $-87.4M, resulting in an operating profit margin of -75.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Eagle Point Credit Company Inc. (ECCW) generated $68.6M in gross profit for the year, representing a gross profit margin of 59.1%. This demonstrates the company's core pricing power and production efficiency.