OWLMEDIUM SIGNALFINANCIAL10-K

Blue Owl significantly increased debt by 28% while experiencing a 28% decline in net income despite strong operating cash flow growth.

The company appears to be in an active growth phase, taking on substantial additional debt ($700M increase) while maintaining strong operational performance with operating cash flow up 26%. The declining net income is largely attributable to higher interest expense from the increased debt load, but the robust cash generation suggests the underlying business remains healthy.

Comparing 2026-02-19 vs 2025-02-21View on EDGAR →
FINANCIAL ANALYSIS

Blue Owl shows mixed financial signals with total assets growing 13% and operating cash flow surging 26%, indicating strong operational performance and business expansion. However, profitability declined significantly with net income falling 28% as interest expense jumped 36% due to a substantial 28% increase in total debt to $3.3B. The combination of strong cash generation with declining net income suggests an aggressive growth strategy funded by debt, which bears monitoring but appears manageable given the positive operational trends.

FINANCIAL STATEMENT CHANGES
Interest Expense
P&L
+35.9%
$55.7M→$75.7M

Interest expense surged 35.9% — significant debt increase or rising rates materially impacting earnings.

Total Debt
Balance Sheet
+28.4%
$2.6B→$3.3B

Debt rose 28.4% — additional borrowing for investment or operations; monitor coverage ratios.

Net Income
P&L
-28.1%
$109.6M→$78.8M

Net income declined 28.1% — review whether driven by operations, interest costs, or non-recurring items.

Cash & Equivalents
Balance Sheet
+27.9%
$152.1M→$194.5M

Cash grew 27.9% — improving liquidity position supports investment and shareholder returns.

Operating Cash Flow
Cash Flow
+25.7%
$999.6M→$1.3B

Operating cash flow grew 25.7% — strong conversion of earnings to cash, healthy business fundamentals.

Total Liabilities
Balance Sheet
+23.7%
$5.2B→$6.4B

Liabilities increased 23.7% — monitor debt-to-equity ratio and interest coverage.

Total Assets
Balance Sheet
+13.4%
$11.0B→$12.5B

Asset base grew 13.4% — expansion through organic growth, acquisitions, or capital deployment.

LANGUAGE CHANGES
NEW — 2026-02-19
PRIOR — 2025-02-21
ADDED
As of February 13, 2026, there were 665,568,093 of the registrant s shares of Class A common stock outstanding, 584,552,295 shares of the registrant s Class C common stock outstanding and 304,449,203 of the registrant s Class D common stock outstanding.
( OTIC ), until January 13, 2025, Blue Owl Capital Corporation III ( OBDE ) and, until March 24, 2025, Blue Owl Technology Finance Corp.
Blue Owl GP Refers collectively to Blue Owl Capital GP Holdings LLC, Blue Owl Capital GP LLC, and certain other directly or indirectly wholly owned subsidiaries of the Registrant that hold the Registrant s interests in Blue Owl Holdings, as well as Blue Owl Carry prior to the Internal Reorganization.
Blue Owl Limited Partnership Agreements Refers to the limited partnership agreements of the Blue Owl Operating Partnerships.
Blue Owl Operating Group Refers collectively to Blue Owl Holdings and its consolidated subsidiaries and any future Blue Owl Operating Partnership.
Blue Owl Operating Group Units Refers collectively to a unit in each entity constituting the Blue Owl Operating Group.
Blue Owl Operating Partnerships Prior to the Internal Reorganization, referred collectively to Blue Owl Holdings and Blue Owl Carry.
Following the Internal Reorganization, refers to Blue Owl Holdings and any future entity designated by our board of directors (the Board ) in its sole discretion as a Blue Owl Operating Partnership, unless context indicates otherwise.
For our Regulated Products, FPAUM is generally equal to total assets (including assets acquired with debt but excluding cash).
FPAUM also includes uncalled committed capital for products where we earn management fees thereon.
REMOVED
As of February 14, 2025, there were 608,346,194 of the registrant s shares of Class A common stock outstanding, 619,072,523 shares of the registrant s Class C common stock outstanding and 310,415,409 of the registrant s Class D common stock outstanding.
( OTIC ) and, until January 13, 2025, Blue Owl Capital Corporation III ( OBDE ).
Blue Owl GP Refers collectively to Blue Owl Capital GP Holdings LLC, Blue Owl Capital GP LLC, and certain other directly or indirectly wholly owned subsidiaries of the Registrant that hold the Registrant s interests in the Blue Owl Operating Partnerships.
Blue Owl Operating Group Refers collectively to the Blue Owl Operating Partnerships and their consolidated subsidiaries.
Blue Owl Operating Group Units Refers collectively to a unit in each of the Blue Owl Operating Partnerships.
Blue Owl Operating Partnerships Refers to Blue Owl Carry and Blue Owl Holdings, collectively.
Blue Owl Securities is wholly owned by Blue Owl and provides distribution services to all Blue Owl platforms.
For our BDCs, FPAUM is generally equal to total assets (including assets acquired with debt but excluding cash).
FPAUM also includes uncalled committed capital for products where we earn management fees on such uncalled committed capital.
our products Refers to the products that we manage, including our BDCs, private funds, insurance solutions offerings, CLOs and other securitizations, managed accounts and real estate investment trusts ( REIT ).
MORE FINANCIAL SIGNALS
CRMHIGHSalesforce significantly increased debt by 71% to $14.4B while simultaneously ac...
2026-03-02
UNHHIGHUNH's operating income plummeted 41% despite 12% revenue growth, indicating seve...
2026-03-02
PFEHIGHPfizer achieved a dramatic 87.3% reduction in total debt from $31.4B to $4.0B, r...
2026-02-26
GILDHIGHGILD dramatically increased R&D spending by 81.5% to $9.1B while introducing new...
2026-02-24
ANALYZE ANY FILING FREE

See what changed in your portfolio's filings

500+ US-listed companies analyzed. Language delta, financial analysis, instant signal scoring.

Try Tracenotes free →