Oxford Square Capital Corp (NASDAQ:OXSQ) Reports Mixed Q3 2025 Results

Financial Results Overview

OXFORD SQUARE CAPITAL CORP (NASDAQ:OXSQ) reported financial results for the third quarter ending September 30, 2025, revealing a mixed performance relative to analyst expectations. The business development company announced a net asset value of $2.92 per share as of September 30, 2025, compared to $2.91 per share at the end of the previous quarter. The company also declared monthly distributions of $0.035 per share for January, February, and March of 2026, maintaining its consistent distribution policy.

Earnings and Revenue Performance

The company's third quarter financial results showed both positive and challenging aspects compared to market expectations:

• Revenue: Reported $10.24 million, exceeding analyst estimates of $9.79 million
• Earnings Per Share: Came in at $0.07, slightly below the estimated $0.0714
• Net Investment Income: Totaled $3.8 million for the quarter, or $0.07 per share

The revenue beat of approximately 4.6% demonstrates stronger-than-expected investment performance during the quarter, while the narrow miss on EPS suggests operating expenses or other factors slightly impacted bottom-line results. This mixed outcome presents a nuanced picture for investors evaluating the company's quarterly performance.

Market Reaction and Price Movement

Trading activity following the earnings release has shown positive momentum across multiple timeframes:

• Last week: +1.6%
• Last two weeks: +9.2%
• Last month: +12.5%

The sustained positive price movement suggests investor confidence in the company's overall performance and future prospects. The market appears to be focusing on the revenue beat and stable NAV per share rather than the slight EPS miss. The declaration of consistent distributions through the first quarter of 2026 likely provides additional support for the stock's performance.

Forward-Looking Estimates

Analyst projections for the coming periods provide context for the company's trajectory:

• Q4 2025 Revenue Estimate: $9.90 million
• Q4 2025 EPS Estimate: $0.0714
• Full Year 2025 Revenue Estimate: $39.77 million
• Full Year 2025 EPS Estimate: $0.306

The press release did not include specific forward guidance from management, making direct comparison with these analyst estimates unavailable. Investors will need to monitor future communications for management's outlook on achieving these projected figures.

Portfolio and Distribution Strategy

Oxford Square Capital maintained its focus on its core investment strategy during the quarter, with portfolio allocations primarily in corporate debt securities and collateralized loan obligation (CLO) investments. The company's diversified approach across sectors including technology, healthcare, and industrials continues to form the foundation of its investment philosophy. The declared distributions for the first quarter of 2026 maintain the company's pattern of returning income to shareholders, with the $0.035 per share monthly distribution representing a key component of total return for investors.

For more detailed earnings information and updated analyst estimates, visit the OXSQ earnings and estimates page.

Disclaimer: This article provides financial analysis for informational purposes only and does not constitute investment advice, recommendation, or endorsement of any security. Investors should conduct their own research and consult with financial advisors before making investment decisions.