Hercules Capital's second quarter NII meets estimates at $0.50/share while NAV increases to $12.15.

Hercules Capital reported second quarter total investment income of $149.1 million, an increase of 8.5% year-over-year, and Net Investment Income (NII) of $92.9 million, or $0.50 per share. The firm's Net Asset Value (NAV) per share rose 2.1% sequentially to $12.15, meeting the high end of its preliminary guidance.

Key Highlights

• Net Asset Value (NAV) per share increased 2.1% from the prior quarter to $12.15, in line with the company's preliminary outlook and analyst expectations.
• Despite strong new debt and equity commitments of $927.3 million, the debt portfolio decreased by a net $170.2 million (cost basis) due to a significant increase in early loan repayments to $572.1 million.
• Credit quality remained stable, though loans on non-accrual status increased to two from one in the prior quarter, representing 0.1% of the total portfolio at fair value.
• The Board of Directors declared a total second quarter cash distribution of $0.47 per share, covered by the $0.50 in NII per share.