Strategy Inc Q2 FY2026 Earnings Call
· Earnings call transcript and AI-powered summary
Hercules Capital (HTGC) Q2 2026 Earnings Summary
- Overview: Record operating performance with strong originations, stable credit, and improved market backdrop vs. Q1 2026. Platform AUM reached $6.1B (+14.4% YoY). NII covered base distribution by 125% (full distribution including $0.07 supplemental by 106%). 24th consecutive quarter with supplemental distribution. Focus remained on disciplined underwriting, strong balance sheet, and proactive credit management. H1 2026 originations hit records: $2.74B commitments (+35.6% YoY) and $1.35B fundings (+8.5% YoY).
Financial Performance (Q2 2026 vs. Q1 2026 and YoY)
- Total investment income: Record $149.1M (+5.4% QoQ, +8.5% YoY), driven by net debt portfolio growth of $127.8M YTD and $572.1M in prepayments.
- Core investment income (ex-prepayment revenue): $134.4M (vs. record $134.9M in Q1; +7.8% YoY).
- Net investment income: Record $92.9M or $0.50/share (+5.5% QoQ, +4.7% YoY).
- Effective yield: 13.4% (vs. 12.8% in Q1); core yield: 12% (vs. 12.2% in Q1), impacted by Dec 2025 rate cut and portfolio mix.
- ROAE: 16.8% (vs. 16.9% in Q1); ROAA: 8.3% (vs. 8.1% in Q1).
- Gross operating expenses: $61.1M (vs. $58.1M in Q1); net of RIA recharges: $56.2M. Interest expense stable at $31.1M (vs. $30.8M in Q1). Weighted avg. cost of debt: 5.2%.
Continue Reading
Unlock the full AI-powered summary with key highlights, financial performance, and analyst Q&A.
Upgrade to ProfessionalContinue Reading
Unlock the full earnings call transcript with speaker labels and formatted dialogue.
Upgrade to Professional