Announces Federal Tax Treatment of 2025 Dividends
Announces Fourth Quarter and Full Year 2025 Earnings Release and Conference Call Schedule
HOUSTON, Jan. 15, 2026 /PRNewswire/ — Main Street Capital Corporation (NYSE:MAIN) (“Main Street” or the “Company”) is pleased to announce its preliminary operating results for the fourth quarter of 2025, the federal tax treatment of its dividends paid in 2025 and its fourth quarter and full year 2025 earnings release and conference call schedule.
In commenting on the Company’s preliminary operating results for the fourth quarter of 2025, Dwayne L. Hyzak, Main Street’s Chief Executive Officer, stated, “We are extremely pleased with our continued strong performance in the fourth quarter, which closed another great year for Main Street across our key financial metrics, including several new quarterly and annual records. Our preliminary operating results highlight that our fourth quarter performance resulted in another quarter of strong operating results, including favorable distributable net investment income per share and a new record for net asset value per share for the fourteenth consecutive quarter, primarily driven by a significant net fair value increase and including the benefits of material net realized gains in both our lower middle market and private loan investment portfolios. We also produced extremely strong fourth quarter investment activity in our unique lower middle market investment strategy, resulting in an annual record for gross investments of approximately $700 million in 2025. Our fourth quarter results continued our positive performance over the last few years and resulted in an estimated return on equity of over 17% for the quarter and for the full year. We look forward to sharing the full details of our fourth quarter and full year 2025 results in late February.”
Preliminary Estimates of Fourth Quarter 2025 Results
Main Street’s preliminary estimate of fourth quarter 2025 net investment income (“NII”) is $1.01 to $1.05 per share, distributable net investment income (“DNII”)(1) is $1.07 to $1.11 per share and DNII before taxes(2) is $1.09 to $1.13 per share.
Main Street’s preliminary estimate of net asset value (“NAV”) per share as of December 31, 2025 is $33.29 to $33.37, representing an increase of $0.51 to $0.59 per share, or 1.5% to 1.8%, from the NAV per share of $32.78 as of September 30, 2025, with this increase after the impact of the supplemental dividend paid in December 2025 of $0.30 per share. The estimated NAV per share increase is primarily due to the net fair value increase of the investment portfolio and the accretive impact of equity issuances, partially offset by the net tax provision for the quarter. The net fair value increase of the existing investment portfolio is primarily the result of net fair value increases of the existing lower middle market (“LMM”) and private loan investment portfolios, partially offset by net fair value decreases of the wholly-owned asset manager and the residual middle market investment portfolio.
As a result of Main Street’s preliminary estimates of NII, the net changes in the fair value of the investment portfolio and the net tax provision as noted above, Main Street estimates that it generated a return on equity of over 17% for both the fourth quarter on an annualized basis and for the full year of 2025.(3)
Main Street preliminarily estimates that investments on non-accrual status comprised 1.0% of the total investment portfolio at fair value and 3.3% at cost as of December 31, 2025.
Investment Portfolio Activity
The Company’s fourth quarter 2025 operating activities include the following investment activity in the LMM and private loan investment strategies:
- $300.0 million in total LMM portfolio investments, which after aggregate repayments and return of invested equity capital, including a decrease in cost basis associated with the exits of several LMM portfolio investments, resulted in a net increase of $253.1 million in the total cost basis of the LMM investment portfolio; and
- $231.4 million in total private loan portfolio investments, which after aggregate repayments, return of invested equity capital associated with the exit of two private loan portfolio investments and a decrease in cost basis due to a realized loss on a private loan portfolio investment resulted in a net increase of $108.8 million in the total cost basis of the private loan investment portfolio.
Federal Tax Treatment of 2025 Dividends
Main Street has posted information regarding the U.S. federal income tax characteristics of its dividends paid in 2025 on its website under “2025 Form 1099 Information” (https://www.mainstcapital.com/investors/listed-securities-information/tax-information).(4) Main Street paid dividends totaling $4.23 per share in 2025, with approximately 8% of such …