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Here's What Key Metrics Tell Us About Ares Capital (ARCC) Q2 Earnings

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For the quarter ended June 2024, Ares Capital (ARCC - Free Report) reported revenue of $755 million, up 19.1% over the same period last year. EPS came in at $0.61, compared to $0.58 in the year-ago quarter.

The reported revenue represents a surprise of +5.70% over the Zacks Consensus Estimate of $714.27 million. With the consensus EPS estimate being $0.58, the EPS surprise was +5.17%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Ares Capital performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Dividend income: $143 million versus the five-analyst average estimate of $139.62 million.
  • Other Income: $15 million compared to the $14.03 million average estimate based on five analysts.
  • Capital Structuring Service Fees: $58 million compared to the $33.22 million average estimate based on five analysts.
  • Interest Income From Investments: $539 million compared to the $523.85 million average estimate based on five analysts.
View all Key Company Metrics for Ares Capital here>>>

Shares of Ares Capital have returned +0.9% over the past month versus the Zacks S&P 500 composite's +0.1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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