Hercules Technology Growth Capital Inc (NYSE:HTGC) Q4 2019 Earnings Conference Call - Final Transcript

Feb 20, 2020 • 05:00 pm ET


Hercules Technology Growth Capital Inc (NYSE:HTGC) Q4 2019 Earnings Conference Call - Final Transcript


Loading Event

Loading Transcript


Ladies and gentlemen, thank you for standing by, and welcome to the Hercules Capital Q4 2019 Earnings Conference Call. [Operator Instructions]

I would now like to turn the conference over to your host, Mr. Michael Hara, Managing Director of Investor Relations. Please go ahead, sir.

Michael Hara

Thank you, Grace. Good afternoon, everyone, and welcome to Hercules' conference call for the fourth quarter and full year 2019. With us on the call today from Hercules are Scott Bluestein, Chief Executive Officer and Chief Investment Officer; and Seth Meyer, Chief Financial Officer. Hercules' fourth quarter and full year 2019 financial results were released just after today's market close and can be accessed from Hercules' Investor Relations section at htgc.com. We have arranged for a replay of the call at Hercules' web page or by using the telephone number and passcode provided in today's earnings release.

During this call, we may make forward-looking statements based on current expectations. Actual financial results filed with the Securities and Exchange Commission may differ from those contained herein due to timing delays between the date of this release and in the confirmation and final audit results. In addition, the statements contained in this release that are not purely historical are forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to uncertainties and other factors that could cause actual results to differ materially from those expressed in the forward-looking statements, including and without limitation the risks and uncertainties including the uncertainties surrounding the current market turbulence and other factors we identify from time to time in our filings with the SEC.

Although we believe that the assumptions on which these forward-looking statements are reasonable, any of those assumptions can prove to be inaccurate. And as a result, the forward-looking statements based on those assumptions also can be incorrect. You should not place undue reliance upon these forward-looking statements. The forward-looking statements contained in this release are made as of the date hereof, and Hercules assumes no obligation to update the forward-looking statements or subsequent events. To obtain copies of related SEC filings, please visit our website.

With that, I'll turn the call over to Scott.

Scott Bluestein

Thank you, Michael and thank you all for joining us today. Our strong finish in Q4 capped off a record year, where our key competitive advantages and our differentiated lending model were once again reflected in our results. We delivered strong new debt and equity commitments and total gross fundings, while continuing to deliver superior and consistent credit performance and operating results.

Our overall performance throughout 2019 put us in a strong position to declare record shareholder distributions for 2019. And more importantly, we continue to believe that we are well positioned at this particular juncture of the credit and economic cycle. The continued strength of our originations platform, robust liquidity and strong balance sheet delivered another year of outstanding growth, profitability and credit quality, with records on multiple fronts, including, total investment income of $267.9 million, up 29%; net