Goldman Sachs Bdc(NYSE) GSBD

Goldman Sachs BDC lends money to medium-sized American businesses. It helps private companies grow and manage their daily operations. The firm earns money from interest and gains on these investments.

How the Money is Invested

• 1st Lien Debt: Loans that have the primary claim on assets if a borrower defaults; these comprise the bulk of the investment portfolio.
• Unitranche Loans: Single debt instruments that combine different levels of risk and interest rates into one package for borrowers.
• Equity Securities: Direct ownership stakes in private companies, allowing the firm to benefit from long-term business growth and value increases.
• Second Lien Debt: Loans that are repaid after senior lenders in a bankruptcy; these typically offer higher interest rates to offset increased risk.

Recent Strategic Investments

• Acquired common stock in Thrasio Holdings, Inc. on June 18, 2024, as part of a restructuring of the consumer goods company.
• Purchased a new debt position in mPulse Mobile, Inc. on September 5, 2024, to expand its presence in health care technology.
• Added preferred stock from SDB HOLDCO, LLC, also known as Specialty Dental Brands, on March 29, 2024.
• Invested in the common stock of MedeAnalytics Group Holdings, LLC on April 21, 2023, following an initial debt investment in the company.

What Makes the Model Work

Goldman Sachs BDC operates as a Business Development Company, a specialized fund that provides capital to private firms and must distribute most earnings to shareholders. It targets companies with EBITDA—earnings before interest, taxes, depreciation, and amortization—between $5 million and $75 million annually.

A Look at the Numbers

• Revenue reached $83.2 million in Q4 2025, an increase of 19.2% from the $69.8 million reported in Q4 2024.
• Gross profit grew to $71.2 million in Q4 2025, rising 69% compared to the same period in the previous year.
• Net income fell to $23.7 million in Q4 2025, down 36.8% from $37.5 million in Q4 2024.
• Operating cash flow was -$29.9 million in Q4 2025, a result that worsened from the $13.1 million generated in Q4 2024.

Bottom Line

Goldman Sachs BDC has focused its strategy on providing secured loans to mid-sized American companies across diverse industries. By leveraging the sourcing network of its parent organization, the firm maintains a portfolio primarily composed of senior debt intended to provide steady income and capital protection.