Hercules Capital, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Financial Highlights (Tables)

Financial Highlights (Tables)

12 Months Ended

Dec. 31, 2023

Investment Company, Financial Highlights [Abstract]

Following is a schedule of financial highlights for the five years ended December 31, 2023, 2022, 2021, 2020, and 2019:


(in thousands, except per share data and ratios)	Year Ended December 31,
	2023			2022			2021			2020			2019
Per share data (1):
Net asset value at beginning of period	$	10.53		$	11.22		$	11.26		$	10.55		$	9.90
Net investment income	2.11			1.50			1.29			1.39			1.41
Net realized gain (loss)	0.06			(0.01)			0.18			(0.50)			0.16
Net unrealized appreciation (depreciation)	0.17			(0.68)			0.03			1.13			0.14
Total from investment operations	2.34			0.81			1.50			2.02			1.71
Net increase (decrease) in net assets from capital share transactions (1)	0.44			0.34			(0.08)			0.01			0.20
Distributions of net investment income (6)	(1.93)			(1.63)			(1.06)			(1.03)			(1.15)
Distributions of capital gains (6)	—			(0.36)			(0.49)			(0.36)			(0.18)
Stock-based compensation expense included in net investment income and other movements (2)	0.05			0.15			0.09			0.07			0.07
Net asset value at end of period	$	11.43		$	10.53		$	11.22		$	11.26		$	10.55

Ratios and supplemental data:
Per share market value at end of period	$	16.67		$	13.22		$	16.59		$	14.42		$	14.02
Total return (3)	42.00		%	(10.14)		%	25.62		%	14.31		%	39.36		%
Shares outstanding at end of period	157,758			133,045			116,619			114,726			107,364
Weighted average number of common shares outstanding	144,091			125,189			114,742			111,985			101,132
Net assets at end of period	$	1,802,706		$	1,401,459		$	1,308,547		$	1,291,704		$	1,133,049
Ratio of total expense to average net assets (4)	9.92		%	9.92		%	9.86		%	11.30		%	11.95		%
Ratio of net investment income before investment gains and losses to average net assets (4)	19.26		%	13.96		%	11.28		%	13.64		%	13.74		%
Portfolio turnover rate (5)	31.95		%	19.29		%	51.58		%	32.38		%	31.30		%
Weighted average debt outstanding	$	1,607,278		$	1,468,335		$	1,248,177		$	1,309,903		$	1,177,379
Weighted average debt per common share	$	11.15		$	11.73		$	10.88		$	11.70		$	11.64

(1)All per share activity is calculated based on the weighted average shares outstanding for the relevant period, except net increase (decrease) in net assets from capital share transactions, which is based on the common shares outstanding as of the relevant balance sheet date.

(2)Adjusts for the impact of stock-based compensation expense, which is a non-cash expense and has no net impact to net asset value. Pursuant to ASC Topic 718, the expense is offset by a corresponding increase in paid-in capital. Additionally, adjusts for other items attributed to the difference between certain per share data based on the weighted-average basic shares outstanding and those calculated using the shares outstanding as of a period end or transaction date.

(3)The total return for the years ended December 31, 2023, 2022, 2021, 2020, and 2019 equals to the change in the ending market value over the beginning of the period price per share plus distributions paid per share during the period, divided by the beginning price assuming the distribution is reinvested on the date of the distribution. As such, the total return is not annualized. The total return does not reflect any sales load that must be paid by investors.

(4)The ratios are calculated based on weighted average net assets for the relevant period and are annualized.

(5)The portfolio turnover rate for the years ended December 31, 2023, 2022, 2021, 2020, and 2019 equals to the lesser of investment portfolio purchases or sales during the period, divided by the average investment portfolio value during the period. As such, portfolio turnover rate is not annualized.

(6)Includes distributions on unvested restricted stock awards.