Blue Owl Capital Inc. · NYSE:OWL
Blue Owl Capital — Owl Rock Capital Corporation II — Q2 2022 Earnings Presentation
23 slides from Blue Owl Capital's earnings presentation, August 2022
Slide 1: Owl Rock Capital Corporation II Quarterly Earnings Presentation
Owl Rock Capital Corporation II Quarterly Earnings Presentation June 30, 2022 This is neither an offer to sell nor a solicitation of an offer to buy the securities described herein. An offering is made only by the Owl Rock Capital Corporation II prospectus to individuals who meet minimum suitability
Slide 2: Risk Factors
Risk Factors An investment in Owl Rock Capital Corporation II ("ORCC II") is speculative and involves a high degree of risk, including the risk of a substantial loss of investment, as well as substantial fees and costs, all of which can impact an investor's return. The following are some of the risk
Slide 3: Risk Factors Cont'd
Risk Factors Cont’d • The Adviser and its affiliates face a number of conflicts with respect to us. Currently, the Adviser and its affiliates manage other investment entities, including the Owl Rock BDCs, other investment funds, client accounts and proprietary accounts, and are not prohibited from r
Slide 4: Important Information
Important Information Unless otherwise indicated, the Report Date referenced herein is 6/30/2022. Past performance is not a guide to future results and is not indicative of expected realized returns. Assets Under Management (“AUM”) refers to the assets that we manage and are generally equal to the s
Slide 5: Overview of Owl Rock Capital Corporation II
Owl Rock | A Division of Blue Owl Overview of Owl Rock Capital Corporation II Quick Facts Total Portfolio Investments ($MMs) • Specialty finance company that provides individual $2,289.9 investors access to Owl Rock’s institutional quality, direct lending platform • Exemptive relief since launch all
Slide 6: High Quality Senior Secured Portfolio
Owl Rock | A Division of Blue Owl High Quality Senior Secured Portfolio • High quality directly originated upper middle market portfolio Scaled and • Target EBITDA: $10 million − $250 million Diversified, Senior • Borrower weighted average EBITDA of $151 million with portfolio company leverage of 6.
Slide 7: ORCC II Fund Level Performance – Relative Track Record
Owl Rock | A Division of Blue Owl ORCC II Fund Level Performance – Relative Track Record Since inception, ORCC II has generated an attractive annualized total return of 7.7% and an annualized distribution yield of 7.0% NAV Performance and Distributions1 Performance Leveraged ORCC II High Yield4 $8.9
Slide 8: Financial Highlights
Owl Rock | A Division of Blue Owl Financial Highlights (Dollar amounts in thousands, except per share data; per share data is based on weighted average shares outstanding during the period, except as otherwise noted) Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Net investment income per share $0.13 $0.15
Slide 9: Portfolio Highlights – Selected Metrics
Owl Rock | A Division of Blue Owl Portfolio Highlights – Selected Metrics As of and For Three Months Ended (Dollar amounts in thousands) June 30, 2021 September 30, 2021 December 31, 2021 March 31, 2022 June 30, 2022 Investments at Fair Value 2,389,240 2,318,748 2,419,528 2,384,686 2,289,875 Number
Slide 10: Quarterly Statements of Financial Condition
Owl Rock | A Division of Blue Owl Quarterly Statements of Financial Condition (Dollar amounts in thousands, except per share data; per share data is based on weighted average shares outstanding during the period, except as otherwise noted) As of June 30, 2021 September 30, 2021 December 31, 2021 Mar
Slide 11: Quarterly Operating Results Detail
Owl Rock | A Division of Blue Owl Quarterly Operating Results Detail For the Three Months Ended (Dollar amounts in thousands) June 30, 2021 September 30, 2021 December 31, 2021 March 31, 2022 June 30, 2022 Investment Income Interest from Investments - Interest Income1 $43,569 $44,781 $45,489 $43,757
Slide 12: Portfolio Highlights – Originations
Owl Rock | A Division of Blue Owl Portfolio Highlights – Originations (Dollar amounts in millions) ORCC II Quarterly Originations and Net Funds Growth • New investment commitments and fundings totaled $59 and $37, respectively, for the quarter. These commitments were distributed across 26 investment
Slide 13: Portfolio Highlights – Asset Mix
Owl Rock | A Division of Blue Owl Portfolio Highlights – Asset Mix New Investment Fundings End of Period Investments (At par value, Dollar amounts in millions) (At fair value, Dollar amounts in millions) $2,389 $2,420 $2,385 2% $2,319 3% 3% $2,290 1% 2% 2% 2% 1% 2% 1% 1% 3% 1% 2% $377 1% <1% 23% 20%
Slide 14: Portfolio Highlights – Diversification
Owl Rock | A Division of Blue Owl Portfolio Highlights – Diversification Borrower Diversification Industry Diversification Top 10 positions Internet software and services 13.2% represent 23% of the Insurance 7.8% portfolio at FV Food and beverage 7.6% Manufacturing 6.6% Financial services 6.5% Healt
Slide 15: Portfolio Highlights – Net Interest Margin
Owl Rock | A Division of Blue Owl Portfolio Highlights – Net Interest Margin 10.0% 8.8% 7.7% 7.8% 7.8% 7.8% 8.0% 6.4% 6.5% 6.5% 6.5% 6.6% 6.0% 4.0% 4.0% 3.4% 3.4% 3.4% 3.5% 2.3% 2.0% 1.0% 0.2% 0.1% 0.2% 0.0% 2Q'21 3Q'21 4Q'21 1Q'22 2Q'22 Asset Yield 1,2 Weighted Average Spread over Applicable Base R
Slide 16: Financing Landscape
Owl Rock | A Division of Blue Owl Financing Landscape SPV Asset Facility I SPV Asset Facility II Unsecured Notes Size $500 million $325 million Size $450 million Maturity Date November 30, 2024 April 14, 2030 Maturity Date November 26, 2024 Interest Rate SOFR + 255 SOFR + 250 Fixed Coupon 4.625% Und
Slide 17: Appendix
Appendix
Slide 18: Portfolio Snapshot (1 of 5)
Owl Rock | A Division of Blue Owl Portfolio Snapshot (1 of 5) Fair Amortized Interest LIBOR/ All-In 3-Year Facility Investment Name Value Cost Spread Prime Rate1 Rate OID2 YTM3 Type Industry Sponsor ABB/Con-cise Optical Group LLC $976 $971 7.50% 0.76% 8.26% 1.50% 8.76% 1st Lien Distribution New Moun
Slide 19: Portfolio Snapshot (2 of 5)
Owl Rock | A Division of Blue Owl Portfolio Snapshot (2 of 5) Fair Amortized Interest LIBOR/ All-In 3-Year Facility Investment Name Value Cost Spread Prime Rate1 Rate OID2 YTM3 Type Industry Sponsor Entertainment Benefits Group, LLC $857 $857 4.75% 1.53% 6.28% 1.00% 6.61% 1st Lien Business services
Slide 20: Portfolio Snapshot (3 of 5)
Owl Rock | A Division of Blue Owl Portfolio Snapshot (3 of 5) Fair Amortized Interest LIBOR/ All-In 3-Year Facility Investment Name Value Cost Spread Prime Rate1 Rate OID2 YTM3 Type Industry Sponsor Intelerad Medical Systems Incorporated (fka 11849573 Canada Inc.)4 $38,764 $39,000 6.25% 2.26% 8.51%
Slide 21: Portfolio Snapshot (4 of 5)
Owl Rock | A Division of Blue Owl Portfolio Snapshot (4 of 5) Fair Amortized Interest LIBOR/ All-In 3-Year Facility Investment Name Value Cost Spread Prime Rate1 Rate OID2 YTM3 Type Industry Sponsor Swipe Acquisition Corporation (dba PLI) $7,964 $7,979 8.00% 1.62% 9.62% 2.00% 10.29% 1st Lien Adverti
Slide 22: Portfolio Snapshot (5 of 5)
Owl Rock | A Division of Blue Owl Portfolio Snapshot (5 of 5) = Investments closed in 2Q’22 Past performance is not a guarantee of future results. Portfolio snapshot does not include any additional fees or leverage. 1. Amount reflected equals the current LIBOR or Prime election, or LIBOR floor if ap
Slide 23: Owl Rock | A Division of Blue Owl
Owl Rock | A Division of Blue Owl 4710152.1 4710152.1 FOR EXISTING INVESTOR USE ONLY. ORCC II IS CURRENTLY CLOSED TO NEW INVESTORS.
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