Hercules Capital reported a record-breaking year in 2025, driven by significant increases in new debt and equity commitments, fundings, and investment income. The company demonstrated strong growth in assets under management and maintained a conservative balance sheet, positioning itself for continued expansion and shareholder returns.
Record Full-Year 2025 Total Investment Income of $532.5 million, an increase of 7.9% year-over-year.
positiveRecord Full-Year 2025 Net Investment Income (NII) of $341.7 million, an increase of 4.9% year-over-year.
positiveRecord Full-Year 2025 Total New Debt and Equity Commitments of $3.92 Billion, an increase of 45.7% year-over-year.
positiveRecord Full-Year 2025 Total Fundings of $2.28 Billion, an increase of 25.9% year-over-year.
positiveAssets Under Management increased by 20.5% Year-over-Year to approximately $5.7 Billion.
positiveAnnounced a New Supplemental Cash Distribution for 2026 of $0.28 per Share, Payable over Four Quarters.
positiveNet Asset Value (NAV) per share increased 0.7% to $12.13.
positiveThe number of loans on non-accrual decreased quarter-over-quarter, with only one loan on non-accrual representing 0.1% of total investments at value.
positiveInterest expense and fees increased to $28.2 million in Q4 2025 from $22.1 million in Q4 2024, primarily due to higher weighted average borrowings and increased interest rates.
attentionNon-interest and fee expenses increased to $26.7 million in Q4 2025 from $21.4 million in Q4 2024, primarily due to an increase in employee compensation expenses.
attentionNet realized loss on debt investments was ($3.1) million in Q4 2025.
attentionRecorded ($16.4) million of net unrealized depreciation in Q4 2025, primarily attributable to debt investments.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
Record-breaking performance in 2025, achieving all-time highs in new debt and equity commitments, gross fundings, net debt portfolio growth, and investment income.
Demonstrates our ability to scale and support the world's most innovative companies while maintaining the disciplined underwriting that is the hallmark of our Company.
Positioned as the partner of choice for high-growth businesses and committed to delivering strong, consistent returns for our shareholders.
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Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.