v3.25.4
Distributions
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Distributions Distributions
The Company intends to distribute approximately all of its net investment income on a semi-annual basis and substantially all of its taxable income on an annual basis, except that the Company may retain certain net capital gains for reinvestment.
On March 24, 2021, the Board adopted an "opt out" DRIP on behalf of the Company's stockholders, pursuant to which each of the stockholders' cash distributions will be automatically reinvested in additional shares of the Company's common stock. If a stockholder chooses to "opt out", then such stockholder will receive cash in lieu of shares of the Company’s common stock. On August 16, 2022, the Board amended and restated the DRIP, effective as of September 18, 2022 (the "Amendment"). The Amendment clarifies that by "opting out" a stockholder may elect to receive some or all of their dividends or distributions in cash. Additionally, the notice requirement for stockholders to withdraw or modify their elections under the DRIP was amended such that a stockholder must notify the Company's transfer agent and registrar of any changes to their election no later than the day before the start of the quarterly period for which the stockholder desires to receive some or all of the dividend or distribution in cash. The Company will only use newly-issued shares of common stock to implement the DRIP. For the years ended December 31, 2025, December 31, 2024 and December 31, 2023, the Company has issued 1,503,421, 11,854,750 and 8,631,890 shares through the DRIP, respectively.
Differences between taxable income and the results of operations for financial reporting purposes may be permanent or temporary in nature. Permanent differences are reclassified among capital accounts in the financial statements to reflect their tax character. Differences in classification may also result from the treatment of short-term gains as ordinary income for U.S. federal income tax purposes. During the years ended December 31, 2025, December 31, 2024 and December 31, 2023, the Company's reclassifications of amounts for book purposes arising from permanent book/tax differences primarily related to reclass of distributions were as follows:
 Year Ended December 31,
 202520242023
Undistributed net investment income$— $4,725 $790 
Distributions in excess of net realized gains— (3,626)(790)
Additional paid-in-capital— (1,099)— 

For U.S. federal income tax purposes, distributions paid to stockholders of the Company are reported as ordinary income, return of capital, long term capital gains or a combination thereof. The tax character of distributions paid by the Company for the years ended December 31, 2025, December 31, 2024 and December 31, 2023 was estimated to be as follows:
Year Ended December 31,
 202520242023
Ordinary income (non-qualified)$99,190 $114,050 $104,327 
Ordinary income (qualified)— — — 
Capital gains1,630 2,993 1,096 
Return of capital2,966 172 — 
Total$103,786 $117,215 $105,423 
As of December 31, 2025 and December 31, 2024, the costs of investments for the Company for U.S. federal income tax purposes were $1,528,050 and $1,445,123, respectively.
December 31, 2025December 31, 2024
Tax cost$1,528,050 $1,445,123 
Gross unrealized appreciation on investments48,382 466,251 
Gross unrealized depreciation on investments(64,334)(465,719)
Total investments at fair value$1,512,098 $1,445,655 
As of December 31, 2025 and December 31, 2024, the components of distributable earnings on a tax basis differ from the amounts reflected per the Company's Consolidated Statements of Assets and Liabilities by temporary book/tax differences primarily arising from differences between the tax and book basis of the Company's investment in securities held directly and undistributed income.
For the years ended December 31, 2025, December 31, 2024 and December 31, 2023, the Company's components of accumulated earnings (deficit) on a tax basis were as follows:
 Year Ended December 31,
 202520242023
Accumulated capital gains (capital loss carryforwards)$— $— $— 
Other temporary differences(522)(541)(1,738)
Undistributed ordinary income— — — 
Unrealized appreciation (depreciation)(15,952)567 5,849 
Total$(16,474)$26 $4,111 
The Company is subject to a 4.0% nondeductible federal excise tax on certain undistributed income unless the Company distributes, in a timely manner as required by the Code, an amount at least equal to the sum of (1) 98.0% of its respective net ordinary income earned for the calendar year and (2) 98.2% of its respective capital gain net income for the one-year period ending October 31 in the calendar year. For the years ended December 31, 2025, December 31, 2024 and December 31, 2023, the Company incurred excise taxes of $0, $0 and $0, respectively.
The following information is hereby provided with respect to distributions declared during the years ended December 31, 2025, December 31, 2024 and December 31, 2023:
Year Ended December 31,
202520242023
Distributions per share$1.0970 $1.2950 $1.3160 
Ordinary dividends (1)95.57 %97.30 %98.96 %
Long-term capital gains1.57 %2.55 %1.04 %
Qualified dividend income— %— %— %
Dividends received deduction— %— %— %
Interest-related dividends (2)91.31 %93.87 %97.13 %
Qualified short-term capital gains (2)2.18 %— %— %
Return of capital2.86 %0.15 %— %
(1)Ordinary dividends are from the Company's net investment income and net short-term capital gains for the year. This type of dividend is reported as ordinary income. Ordinary dividend distributions from a RIC generally do not qualify for the preferential tax rate on dividend income from domestic corporations and qualified foreign corporations except to the extent that the RIC received the income in the form of qualifying dividends from domestic corporations and qualified foreign corporations. 
(2)Interest-related dividends and short-term capital gain dividends received by nonresident aliens and foreign corporations are generally eligible for exemption from U.S. withholding tax in accordance with Sections 871(k) and 881(e) of the Code.