Hercules Technology Growth Capital, Inc. (NYSE: HTGC) (“Hercules” or the “Company”), the leading specialty finance company focused on providing senior secured loans to venture capital-backed companies in technology-related markets, including technology, biotechnology, life science and energy technology (aka cleantech) industries, at all stages of development, announced today its financial results for the second quarter ended June 30, 2013.
The Company also announced that its Board of Directors has declared a second quarter cash dividend of $0.28 per share, that will be payable on August 20, 2013, to shareholders of record as of August 13, 2013.
Second Quarter 2013 Highlights:
- Originated approximately $253.4 million in total debt commitments to new and existing portfolio companies, up 82.3% compared to the second quarter of 2012.
- Funded approximately $201.6 million of debt investments during the second quarter, an increase of 80.0% compared to the second quarter of 2012.
- Received approximately $131.4 million in principal repayments, including approximately $93.3 million of early principal repayments and approximately $38.1 million in scheduled principal payments.
- Record high total investment income of approximately $34.5 million, an increase of 44.4%, in the second quarter of 2013, compared to $23.9 million for the second quarter of 2012.
- Increased net investment income, or “NII”, during the quarter by 43.1% to approximately $17.6 million, as compared to $12.3 million in the second quarter of 2012. NII per share was $0.29 on approximately 60.3 million outstanding shares for the second quarter of 2013 compared with NII of $0.25 per share for the second quarter of 2012.
- Increased distributable net operating income, or “DNOI”, by 42.2% to approximately $19.2 million compared to $13.5 million in the second quarter of 2012. DNOI per share was $0.32 on approximately 60.3 million outstanding shares for the second quarter of 2013 compared with DNOI of $0.28 per share for the second quarter of 2012.
- Record high total investment assets increased 43.9% year over year to approximately $1.04 billion as of June 30, 2013, compared to $722.8 million as of June 30, 2012.
- Hercules’ portfolio companies announced or completed eight liquidity events during the second quarter of 2013.
- Increased the quarterly dividend by $0.01, or approximately 3.7%, to $0.28 per share payable on August 20, 2013, to shareholders of record as of August 13, 2013; the thirty-second consecutive dividend since inception bringing total dividends declared since inception to $8.44 per share.
“I am pleased to announce another strong quarter of performance and financial results for Hercules. Total investment assets surpassed the $1.0 billion mark, a remarkable achievement for Hercules. Hercules’ portfolio companies announced or completed fourteen liquidity events year-to-date, a testament to our team’s ability to pick the most innovative and disruptive venture-capital backed companies, and create value for our shareholders,” said Manuel A. Henriquez, President and Chief Executive Officer of Hercules. “While we had a robust quarter of origination activity, the majority of these commitments closed late in the quarter and as a result, we expect the revenue generation from the funding of these new assets to be fully reflected in our third quarter results.”