Hercules Capital, Inc. (NYSE:HTGC) Q3 2019 Earnings Conference Call - Final Transcript
Oct 30, 2019 • 05:00 pm ET
For the fourth quarter, we expect SG&A expenses of $16 million to $17 million. As communicated previously, the reduced expense level due to the settlement with our former CEO will partially be offset by increased investment in our team and infrastructure.
Should market conditions remain favorable and origination activity exceed our expected growth, the SG&A expenses could increase based on origination activity during the quarter. We expect our borrowing costs to increase slightly, due to increased activity in Q4 and greater use of our credit facilities.
Finally, although very difficult to predict, we expect $100 million in prepayment activity in Q4. In closing, we continue to see Hercules Capital well positioned for the remainder of 2019.
I will now turn the call over to the operator to begin the Q&A part of our call. Operator, over to you.