KBRA, a major credit rating agency, recently published its updated report analyzing key metrics within recurring revenue loan (RRL) securitizations for the second quarter of 2025. This follows a similar report released in the first quarter.
The report, presented in a dashboard format, draws data from quarterly collateral loan tapes provided by issuers of KBRA-rated RRL securitizations. The data included in this release reflects information current as of June 2025.
A key finding is a modest 1.9% quarter-over-quarter increase in annualized recurring revenue (ARR). This figure, however, remains above the historical average for KBRA-rated RRLs.
Additionally, the report indicates improved cash and liquidity positions. Cash reserves have returned to levels closer to the historical average, while liquidity cushions are above the historical average.
KBRA officials highlighted the positive trends in the data. They emphasized the continued strength of the recurring revenue loan market.
The report is available for viewing on the KBRA website. Several KBRA executives, including HyunKyeong Kim, Sean Malone, Eric Hudson, and Eric Thompson, are available to discuss the findings and provide further insight. Adam Tempkin is the media contact, and Jason Lilien is available for business development inquiries.
KBRA is registered in the U.S., EU, and UK and holds significant recognition in other jurisdictions. Its ratings are accepted for regulatory capital purposes in various locations. The agency offers a full range of credit rating services.
This report is one of several recent publications from KBRA covering various aspects of the private credit and structured credit markets. These reports collectively provide a comprehensive overview of current market trends and conditions.
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