FS KKR Capital Corp. (NYSE:FSK) released its financial and operating results for the quarter ended September 30, 2026, on November 5, 2026, reporting net investment income of $0.46 per share and a net asset value of $18.28 per share.

Key Highlights

  • Net investment income: $0.46 per share for Q3 2026, up from $0.44 per share in Q2 2026.
  • Net asset value: $18.28 per share as of September 30, 2026, compared to $18.30 per share as of June 30, 2026.
  • Q3 share repurchases: Approximately six million shares repurchased at a weighted average price of $11.24 per share, totaling approximately $69 million, according to the filing.
  • Q4 2026 distribution declared: $0.44 per share regular distribution and a $0.20 per share special distribution, both declared October 7, 2026.
  • Total investment portfolio fair value: $11.3 billion as of September 30, 2026, with 63.2% in senior secured securities.
  • Debt to equity ratio: 127% as of September 30, 2026, unchanged from June 30, 2026.
  • Non-accrual investments: 3.4% of the total investment portfolio at fair value as of September 30, 2026, down from 3.8% as of June 30, 2026.

FS KKR Capital Q3 2026 Results: Portfolio Activity and Distributions

According to the filing, FS KKR Capital Corp. reported net investment income of $0.46 per share for the quarter ended September 30, 2026, an increase from $0.44 per share in the prior quarter ended June 30, 2026. Adjusted net investment income, as defined by the company, was also $0.46 per share, compared to $0.43 per share in Q2 2026. Earnings per share came in at $0.26 for Q3 2026, compared to a loss of $0.13 per share in Q2 2026. Total net realized and unrealized loss was $0.19 per share, an improvement from $0.56 per share in the prior quarter.

The filing disclosed that total purchases during Q3 2026 were $335 million, versus $442 million of sales and repayments. The total fair value of investments stood at $11,306 million as of September 30, 2026, down from $11,418 million as of June 30, 2026. Senior Secured Loans - First Lien represented 58.9% of the portfolio by fair value. The weighted average annual yield on accruing debt investments was 10.0% as of September 30, 2026, compared to 9.8% as of June 30, 2026. FSK's weighted average stated interest rate on borrowings was 5.57%, and 73% of its $6.3 billion in total debt outstanding was in unsecured debt.

The company's board of directors declared a fourth quarter 2026 regular distribution of $0.44 per share, payable on or about December 24, 2026 to stockholders of record as of December 16, 2026, and a special distribution of $0.20 per share payable on or about December 15, 2026 to stockholders of record as of December 1, 2026. The filing stated that the special distribution "represents a portion of the Company's estimated accumulated spillback income" and is intended to distribute additional taxable income in connection with FSK's maintenance of its treatment as a regulated investment company. Additionally, on October 28, 2026, the board declared a cash dividend of $0.3125 per preferred share on FSK's convertible preferred stock, payable on or about December 31, 2026. Subsequent to quarter-end, between October 1 and October 30, 2026, the company repurchased 1,546,162 shares at an average price of $10.88 per share, totaling $17 million.

What Was Disclosed

FS KKR Capital Corp. reported Q3 2026 results showing net investment income of $0.46 per share, NAV of $18.28 per share, and a total investment portfolio of $11.3 billion. The board declared a $0.44 regular and $0.20 special distribution for Q4 2026, alongside continued share repurchase activity.