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Financing the Growth of Tomorrow’s Companies Today October 30, 2025 Q3 2025 INVESTOR PRESENTATION
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Important Notice: Forward Looking Statements This presentation may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. You should understand that under Section 27A(b)(2)(B) of the Securities Act of 1933, as amended, and Section 21E(b)(2)(B) of the Securities Exchange Act of 1934, as amended, or the Exchange Act, the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 do not apply to forward-looking statements made in periodic reports we file under the Exchange Act. The information disclosed in this presentation is made as of the date hereof and reflects Hercules’ current assessment of its financial performance for the period reported. Actual financial results filed with the Securities and Exchange Commission in the future may differ from those contained herein in the event of additional adjustments recorded prior to the filing of its financial statements. This presentation may contain forward-looking statements. These forward-looking statements include comments with respect to our financial objectives, loan portfolio growth, strategies and results of our operations. However, by their nature, these forward-looking statements involve numerous assumptions, uncertainties and risks, both general and specific. The risk exists that these statements may not be fulfilled. We caution readers of this presentation not to place undue reliance on these forward-looking statements as a number of factors could cause future Company results to differ materially from these statements. Forward-looking statements may be influenced in particular by factors such as fluctuations in interest rates and stock indices, the effects of competition in the areas in which we operate, and changes in economic, political and regulatory conditions. We caution that the foregoing list is not exhaustive. When relying on forward-looking statements to make decisions, investors should carefully consider the aforementioned factors as well as other uncertainties and events. This presentation should be read in conjunction with our recent SEC filings. Historical results discussed in this presentation are not indicative of future results. 2 2
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3 Hercules Capital Structure Internally Managed Business Development Company (BDC) IPO Date June 9, 2005 Investment Options - Common Stock Institutional Notes PAR $1000.00/$2000.00 • 2.625% Notes due 2026 • 3.375% Notes due 2027 • 4.50% Notes due 2026 • 4.55% Notes due 2026 • 4.750% Notes due 2028 • 6.000% Notes due 2030 Securitization Notes • 4.95% Asset-backed Notes due 2031 Retail Notes (Baby Bonds) PAR $25.00 • HCXY (NYSE) 6.25% Notes due 2033 Annualized Base Dividend Yield(1) 8.5% as of September 30, 2025 Distributions Declared $0.40 per share base for Q3 2025 $0.07 per share supplemental for Q3 2025 Price to NAV 1.49x - October 27, 2025 0.7x to 1.9x historical range (1) Annualized based on the $0.40 per share base distribution declared for Q3 2025 and a closing stock price of $18.91 as of September 30, 2025
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We are HTGC: a Publicly Traded, Internally Managed BDC 4 As a business development company, or BDC, we invest mostly in smaller US businesses and do so under the stringent oversight of federal regulators and an independent board of directors. Established by Congress more than 40 years ago, BDCs are subject to various federal securities regulations that are designed to mitigate risk and protect stockholders’ best interests. Among other things, BDCs have: • At least a majority independent, stockholder-elected board of directors that have a duty to protect and act in stockholders’ best interests • A minimum asset-to-leverage ratio of 2:1 • A comprehensive, thorough and consistent process for fair valuing portfolio investments • A rigorous compliance program designed to prevent violations of the securities laws, identify and mitigate conflicts of interest and ensure that the company is acting in stockholders’ best interests No management fee means a more efficient and transparent return on investment. Most BDCs are externally managed, meaning they pay an investment management fee to a separate investment adviser. These fees can range from 1.00% – 2.00% of the BDC’s total assets under management, plus 15% - 20% of the BDC’s net investment income. By contrast, HTGC does not pay an investment management fee to anyone. As an internally managed BDC, HTGC pays only its actual operating costs and nothing more – maximizing investment returns and providing a unique level of transparency to stockholders. Our NYSE listing provides daily liquidity and enhanced corporate governance. HTGC trades on the New York Stock Exchange, or NYSE, giving stockholders daily liquidity and further enhancing regulatory oversight. As a public company listed on the NYSE, HTGC must publicly disclose material financial and information on an annual, quarterly and ad hoc basis. NYSE rules require HTGC to have independent audit and compensation committees that adhere to strict governance standards. HTGC must also hold an annual stockholder meeting to elect directors. HTGC receives preferential tax treatment and additional oversight from Rating Agencies. HTGC qualifies as a regulated investment company, or RIC, by satisfying portfolio diversification and minimum distribution requirements. As a RIC, HTGC eliminates corporate-level taxation while retaining capital gains and/or a spillover of taxable income. HTGC and our debt securities are regularly diligenced and assessed by multiple rating agencies that impose high standards with respect to operational and financial stability. Highly Regulated | Financially Efficient | Uniquely Transparent
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• Key Performance Highlights • Company & Strategic Overview • Financial Highlights • Portfolio Highlights • Venture Capital Market Opportunity • Analyst Coverage Third Quarter 2025 Investor Presentation
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Key Performance Highlights
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Q3 2025 Highlights (1) Source: HTGC and S&P Capital IQ as of 9/30/25 (2) Based on NII, excludes realized and unrealized gains/losses (3) Includes commitments and fundings during the quarter that were assigned to or directly committed or funded by the Adviser Funds which are external vehicles managed by Hercules Adviser LLC (4) Regulatory leverage is defined as GAAP leverage excluding SBA debentures (5) As of October 27, 2025 Robust Earnings • Net Investment Income (NII) of $88.6M • Total Investment Income of $138.1M • NII per share of $0.49 Strong Shareholder Returns • 1YR/3YR/5YR Total Shareholder Returns(1): 4.4% / 104.2% / 127.1% • ROAE(1,2): 17.4% • ROAA(1,2): 8.7% • Net Interest Margin (NIM): 10.8% High-Yield Portfolio of Earning Assets • Total Debt Investments (at cost): $4.07B • Total Investments (at cost): $4.29B • Effective Yield: 13.5% Industry-Leading Originations Platform • $21.6B in total net debt commitments since inception • Annualized loss rate of 3.0 basis points, or 0.030% • Gross debt & equity commitments: $846.2M(3) • Gross debt & equity fundings: $504.6M(3) Strong Liquidity and Balance Sheet • $655.0 available liquidity (subject to existing terms and covenants) • GAAP and regulatory leverage: 99.5% and 83.6% (4) Strong Capital Raising Position • Price-to-NAV: 1.49x(5) • “ATM” Equity Distribution Program • Investment Grade Credit Ratings: Fitch: BBB- | Moody’s: Baa2 | DBRS: BBB (high) | KBRA: BBB+ 7
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4.4% 104.2% 127.1% 119.0% -1.1% 44.3% 66.9% 33.1% -10% 10% 30% 50% 70% 90% 110% 130% 150% 1- Year 3-Year 5-Year 7-Year HTGC Peer Group 12.4% 18.2% 21.3% 17.0% 17.4% 10.0% 10.6% 12.5% 13.4% 9.7% 0% 4% 8% 12% 16% 20% 2021 2022 2023 2024 Q3 2025 HTGC Peer Group 6.2% 8.8% 10.6% 8.9% 8.7% 4.9% 5.0% 5.3% 6.1% 4.3% 0% 2% 4% 6% 8% 10% 12% 2021 2022 2023 2024 Q3 2025 HTGC Peer Group Return on Average Assets % (ROAA) Return on Average Equity % (ROAE) (1) Peer Group: MFIC, ARCC, OCSL, FSK, GBDC, GSBD, MAIN, NMFC, OBDC, PNNT, PSEC, SLRC, BBDC, TCPC, CCAP, TSLX (1) (1) Source: HTGC and S&P Capital IQ as of 9/30/25 for HTGC and 6/30/25 for Peer Group. Return on Average Assets based on NII divided by average total assets. Source: HTGC and S&P Capital IQ as of 9/30/25 for HTGC and 6/30/25 for Peer Group. Return on Average Equity based on NII. NII divided by average of beginning of period equity and end of period equity. 8 Delivering Strong Sustainable Shareholder Returns Total Shareholder Return (TSR) vs. BDC Peer Group (1) TSR is defined as stock appreciation plus base dividend distributions. Source: S&P Capital IQ as of September 30, 2025 (2) Peer Group: MFIC, ARCC, OCSL, FSK, GBDC, GSBD, MAIN, NMFC, OBDC, PNNT, PSEC, SLRC, BBDC, TCPC, CCAP, TSLX (2) (1)
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12.4% 18.2% 21.3% 17.0% 17.4% 95.6% 113.7% 87.1% 89.6% 99.5% 84.1% 101.3% 77.4% 75.6% 83.6% 0% 30% 60% 90% 120% 0% 5% 10% 15% 20% 25% 30% 2021 2022 2023 2024 Q3 2025 ROAE GAAP Leverage Regulatory Leverage Net Regulatory Leverage 9 Leverage to Return on Average Equity % (ROAE) (1) Excludes SBA (2) Excludes SBA and cash (1) (2) 9 Available Leverage for Potential Earnings Growth 69.9%71.9% 100.1% 73.9% 82.3%
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$11.22 $10.53 $11.43 $11.66 $12.05 1.47 1.26 1.46 1.72 1.57 0.96 0.82 0.96 0.93 0.89 0.3 0.5 0.7 0.9 1.1 1.3 1.5 1.7 2021 2022 2023 2024 Q3 2025 $8 $10 $12 $14 $16 Hercules NAV Hercules Price to NAV Peer Group Price to NAV (1) Peer Group: MFIC, ARCC, OCSL, FSK, GBDC, GSBD, MAIN, NMFC, OBDC, PNNT, PSEC, SLRC, BBDC, TCPC, CCAP, TSLX Price to NAV Source: HTGC and S&P Capital IQ as of 9/30/25 for HTGC and 6/30/25 for Peer Group. Stock price based on clos ing price on last trading day of each calendar year or relative quarter. (1) 10 Price to NAV Multiple (x) Net Asset Value (NAV) Hercules Has Consistently Maintained a Premium to NAV Creates a strong capital raising position to support growth and stability
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$1,324.0 $1,464.2 $1,654.7 $1,945.2 $2,462.0 $2,624.0 $2,600.0 $3,028.9 $3,416.9 $3,831.6 $4,410.2 $0 $400 $800 $1,200 $1,600 $2,000 $2,400 $2,800 $3,200 $3,600 $4,000 $4,400 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Q3 2025 $73.5 $100.3 $96.4 $108.7 $143.3 $157.1 $150.0 $188.1 $304.0 $325.8 $254.7 $0 $50 $100 $150 $200 $250 $300 $350 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD Q3 2025 Net Investment Income “NII” ($ in millions) $157.1 $175.1 $190.9 $207.8 $267.9 $287.3 $281.0 $321.7 $460.7 $493.6 $395.1 $0 $50 $100 $150 $200 $250 $300 $350 $400 $450 $500 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD Q3 2025 Total Investment Income ($ in millions) Total Assets ($ in millions) $1,252.3 $1,511.5 $1,619.8 $1,980.5 $2,402.0 $2,315.4 $2,390.9 $3,005.7 $3,247.0 $3,708.8 $4,290.8 $0 $400 $800 $1,200 $1,600 $2,000 $2,400 $2,800 $3,200 $3,600 $4,000 $4,400 $4,800 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Q3 2025 Total Investments at Cost ($ in millions) 11 Hercules Key Performance Highlights
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$0.2 $0.9 $1.5 $2.7 $4.0 $5.7 $7.3 $9.9 $13.4 $17.3 $19.4 $21.6 $0.2 $0.7 $1.2 $1.9 $2.9 $4.2 $5.6 $7.6 $9.6 $11.9 $13.3 $14.7 $0 $2 $4 $6 $8 $10 $12 $14 $16 $18 $20 $22 $24 2005 2007 2009 2011 2013 2015 2017 2019 2021 2023 2024 YTD Q3 2025 Cumulative Commitments Cumulative Fundings $ in billions HTGC IPO (1) Excludes losses on debt extinguishment and other non-credit related losses (2) When compared to total net debt commitments during the same period 12 Portfolio Growth with Underwriting Discipline Cumulative Net Debt Commitment and Fundings, Since Inception Cumulative Total Aggregate Net Realized Gains/(Losses)(1) Since Inception $0.5 ($1.1) $1.7 $4.3 ($26.5) ($52.9) ($50.1) ($47.0) ($32.1) ($12.0) ($6.9) ($2.3) ($29.0) ($40.1) ($23.6) ($79.7) ($54.3) ($53.9) ($45.4) ($75.9) ($134.7) 0.0 2.2 0.0 0.0 44.2 50.3 30.9 17.3 8.9 2.0 1.0 0.0 3.0 3.0 1.6 4.5 2.3 1.9 1.4 1.9 3.0 -140 -120 -100 -80 -60 -40 -20 0 20 40 60 -$140 -$90 -$40 $10 $60 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD Q3 2025 Net Realized Loss Carry Forward Annualized Loss Rate (bps) $ in millions (2)
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Company & Strategic Overview
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WARRANT PORTFOLIO 102 COMPANIES LIQUIDITY & BALANCE SHEET $655.0 MILLION DEBT INVESTMENT PORTFOLIO $4.07 BILLION MARKET CAPITALIZATION $3.22 BILLION (1) Source for Enterprise Value and Market Capitalization is S&P Capital IQ, and Price/NAV are both based on ending stock price as of October 27, 2025. Other data presented on this slide is as of 9/30/25. (2) Subject to existing terms and covenants. (3) Effective Yield is inclusive of all fees, including all realized unamortized fees and all realized transaction fees including but not limited to amendment fees and prepayment fees, and is calculated based on the weighted average principal balance of loans outstanding on a daily basis. Hercules At-a-Glance WARRANT HOLDINGS IN 102 companies EQUITY HOLDINGS IN 78 companies TOTAL WARRANT AND EQUITY GAAP COST $212.9 million TOTAL WARRANT AND EQUITY FAIR VALUE $204.0 million AVAILABLE LIQUIDITY TO INVEST(2) $655.0 million GAAP LEVERAGE 99.5% / 83.6% ex. SBA INVESTMENT GRADE RATINGS Fitch: BBB- Moody’s: Baa2 DBRS: BBB (high) KBRA: BBB+ DEBT INVESTMENTS COST BASIS $4.07 billion DEBT INVESTMENTS FAIR VALUE $4.10 billion EFFECTIVE YIELD 13.5%(3) DEBT INVESTMENTS IN 122 companies SHORT TERM MATURITIES 36-48 months INVESTMENT SIZE $5 to $500 million FOUNDED DECEMBER 2003 IPO: June 2005 “HTGC” ENTERPRISE VALUE $5.25 billion(1) MARKET CAPITALIZATION $3.22 billion(1) NET ASSET VALUE PER SHARE $12.05 as of 9/30/25 HISTORICAL PRICE/NAV ~0.7x to ~1.9x range CURRENT PRICE/NAV 1.49x(1) Largest BDC Focused on Providing Financing to High-Growth Venture Capital-Backed Companies 14
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What We Don’t Do • No direct oil and gas exposure • No CLO exposure • No CMBS or RMBS exposure • No metals or minerals exposure • No crypto or cannabis exposure Why Hercules is Different from Other BDCs (1) As of September 30, 2025 What We Do • We focus primarily on pre-IPO and M&A, innovative high-growth venture capital backed companies at their expansion (venture growth) and established stages in a broadly diversified variety of technology and life sciences industries • Highly asset sensitive debt investment portfolio – 97.8% floating rate loans and with interest rate floors (1) • We are generally the only lender and 90.4% are "true" first lien senior secured(1) • 7.9% of our debt investments are second lien senior secured of which approximately 90.5% Hercules has the right to buy out the first lien holder (1) • The majority of our debt investments include warrants for potential additional total return • Generally, our debt investments have short term amortizing maturities (36-48 months) • Focused on strong and sustainable shareholder returns • Disciplined, proven investment philosophy with over 21 years of strong credit performance history 15 We invest in innovative venture growth-stage companies Internally Managed • Shareholder-aligned management structure • Not incentivized to grow AUM for base fees
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Technology Life Sciences We are at Center Stage of the Innovation Economy Hercules has domain expertise in its key industry sectors “We are not generalists” 16 • We Invest at the Expansion “Venture Growth” and Established Stage • $21.6 billion in total net debt commitments to over 700 companies since inception • Offices in key venture capital markets: CA | MA | NY | CO | UK • Over 1000 different VC & PE firms, financial investors • 270+ portfolio companies completed/announced an IPO or M&A event since inception
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Financial Highlights
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Income Statement: Q3 2025 vs. Q3 2024 Summary Results 18 2025 2024 Year/Year ($ in 000's, except per share amounts) Change Interest Income (excluding payment-in-kind (PIK) interest income) $ 116,682 $ 106,344 10% PIK Interest Income $ 14,475 $ 12,706 14% Fee Income 6,936 6,198 12% Total Investment Income 138,093 125,248 10% Interest and Loan Fees 27,193 22,363 22% General and Administrative and Tax Expenses 6,180 6,582 -6% Employee Compensation 20,231 15,353 32% Expenses Allocated to the Adviser Subsidiary (4,063) (2,214) Total Net Operating Expenses 49,541 42,084 18% Pre-Tax Net Investment Income-NII 88,552 83,164 6% Total Net Realized Gain (Loss) & Net Change in Unrealized Appreciation (Depreciation) 31,133 (14,453) Net Increase(Decrease) in Net Assets from Operations 119,685 68,711 74% NII - Net Investment Income per Share (Basic) $ 0.49 $ 0.51 -4% Weighted Average Shares Outstanding - Basic 180,360 161,019 12% Three Months Ended September 30,
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Current and Historical Income Statements 19 Nine Months Ended September 30, Twelve Months Ended December 31, ($ in 000's, except per share amounts) 2025 2024 Interest Income (excluding payment-in-kind (PIK) interest income) $ 334,717 $ 415,925 PIK Interest Income $ 41,583 $ 51,270 Fee Income 18,763 26,396 Total Investment Income 395,063 493,591 Interest and Loan Fees 74,966 85,958 General and Administrative and Tax Expenses 18,075 25,507 Employee Compensation 58,073 67,074 Expenses Allocated to the Adviser Subsidiary (10,795) (10,780) Total Net Operating Expenses 140,319 167,759 Pre-Tax Net Investment Income-NII 254,744 325,832 Total Net Realized Gain (Loss) & Net Change in Unrealized Appreciation (Depreciation) (5,835) (62,866) Net Increase(Decrease) in Net Assets from Operations 248,909 262,966 NII - Net Investment Income per Share (Basic) $ 1.44 $ 2.00 Weighted Average Shares Outstanding - Basic 175,633 161,082
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20 Current and Historical Balance Sheets September 30, December 31, ($ in 000's, except per share amounts) 2025 2024 ASSETS Total Investments, at fair value $ 4,306,154 $ 3,659,978 Cash and cash equivalents 29,274 42,679 Foreign Cash 130 70,445 Restricted cash 21,087 3,297 Interest receivable 36,327 32,578 Right of use asset 15,333 16,778 Other assets 1,862 5,836 Total Assets $ 4,410,167 $ 3,831,591 LIABILITIES Debt (net of debt issuance costs) 2,151,138 1,768,955 Accounts payable and accrued liabilities 52,577 54,861 Operating lease liability 16,587 18,194 Total Liabilities $ 2,220,302 $ 1,842,010 Net Assets $ 2,189,865 $ 1,989,581 Shares Outstanding 181,776 170,575 Net Assets per Share $ 12.05 $ 11.66
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11.5% 11.5% 12.9% 14.7% 15.1% 16.0% 15.5% 15.3% 14.9% 14.7% 14.4% 13.7% 13.0% 13.9% 13.5% 11.1% 11.3% 12.4% 13.8% 14.0% 14.1% 14.2% 14.3% 14.0% 13.7% 13.3% 12.9% 12.6% 12.5% 12.5% 8.8% 9.0% 10.2% 11.4% 12.0% 12.0% 12.0% 11.9% 11.4% 10.6% 10.6% 10.1% 9.8% 9.9% 9.8% 6% 8% 10% 12% 14% 16% Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Effective Yield GAAP Effective Yield Core Yield Loan Coupon Rate (1) Effective Yield is inclusive of all fees, including all realized unamortized fees and all realized transaction fees including but not limited to amendment fees and prepayment fees, and is calculated based on the weighted average principal balance of loans outstanding on a daily basis (2) Core Yield, a non-GAAP measure, excludes early loan repayments, dividend from Hercules Adviser LLC and Gibraltar Acquisition LLC, one-time fees and bank interest income, and includes income and fees from expired commitments (2)(1) Effective Yield vs. Core Yield – Leads to Strong Earnings Median Core Yield of 13.3% (Q1 2022 – Q3 2025) 21
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NAV Roll-Forward – Q3 2025 22 $11.84 $0.49 $(0.01) $0.18 $- $0.02 $(0.47) $12.05 NAV/share at Q2 2025 Net investment income Net realized loss Net unreal. appreciation Public Offering Stock Compensation & DRIP Dividends paid NAV/share at Q3 2025 $10.30 $10.80 $11.30 $11.80 $12.30 $12.80 $13.30 $13.80 Increase Decrease Total
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$2,391.3 $2,550.9 $2,661.4 $2,795.4 $2,968.7 $2,937.9 $3,091.9 $3,057.3 $3,383.0 $3,392.5 $3,380.6 $3,494.6 $3,739.2 $3,978.7 $4,095.6 11.5% 11.5% 12.9% 14.7% 15.1% 16.0% 15.5% 15.3% 14.9% 14.7% 14.4% 13.7% 13.0% 13.9% 13.5% 0% 2% 4% 6% 8% 10% 12% 14% 16% $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 $4,500 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Effective Yield (%) Total Debt Investments, at value (millions) Total Debt Investments at Fair Value Effective Yield (1) High-Yield Portfolio of Earning Assets (1) Effective Yield is inclusive of all fees, including all realized unamortized fees and all realized transaction fees including but not limited to amendment fees and prepayment fees, and is calculated based on the weighted average principal balance of loans outstanding on a daily basis 14.4% 23 Median Effective Yield of 14.4% (Q1 2022 to Q3 2025)
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$51,669 $57,925 $67,547 $82,200 $86,136 $96,583 $97,791 $102,692 $101,532 $103,498 $102,885 $99,718 $97,415 $111,782 $110,900 8.9% 9.4% 10.3% 12.7% 12.7% 13.7% 13.3% 13.7% 12.6% 13.0% 12.5% 11.7% 10.7% 11.5% 10.8% 0% 2% 4% 6% 8% 10% 12% 14% $0 $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Net Interest Margin (%) Net Interest Margin (in thousands) Net Interest Margin (in thousands) Net Interest Margin %(1) Strong, Consistent Net Interest Margin - NIM (1) Net Interest Margin % = Net Interest Income/Average Yielding Assets excluding Equity Investments 12.5% 24 Median NIM of 12.5% (Q1 2022 to Q3 2025)
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Early Payoffs Lead to Higher Effective Yields and Earnings (1) Effective Yield is inclusive of all fees, including all realized unamortized fees and all realized transaction fees including but not limited to amendment fees and prepayment fees, and is calculated based on the weighted average principal balance of loans outstanding on a daily basis (2) Core Yield, a non-GAAP measure, excludes early loan repayments, dividend from Hercules Adviser LLC and Gibraltar Acquisition LLC, one-time fees and bank interest income, and includes income and fees from expired commitments 11.5% 11.5% 12.9% 14.7% 15.1% 16.0% 15.5% 15.3% 14.9% 14.7% 14.4% 13.7% 13.0% 13.9% 13.5% 11.1% 11.3% 12.4% 13.8% 14.0% 14.1% 14.2% 14.3% 14.0% 13.7% 13.3% 12.9% 12.6% 12.5% 12.5% 8.8% 9.0% 10.2% 11.4% 12.0% 12.0% 12.0% 11.9% 11.4% 10.6% 10.6% 10.1% 9.8% 9.9% 9.8% 4% 8% 12% 16% Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 GAAP Effective Yield Core Yield Loan Coupon Rate $84.9 $33.0 $124.5 $130.9 $202.4 $297.0 $148.0 $277.7 $161.1 $306.1 $229.6 $225.2 $131.8 $267.4 $262.3 3.5% 1.3% 4.6% 4.6% 6.8% 10.1% 4.7% 9.1% 4.8% 9.0% 6.7% 6.4% 3.5% 6.7% 6.4% 0% 5% 10% 15% 20% $0 $50 $100 $150 $200 $250 $300 $350 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Early Payoffs Early Payoffs as % of Ending Total Debt Investment Balance at Cost (2)(1) 25 Impact of Early Payoffs on Effective Yields Effective Yields Unscheduled Early Payoffs ($ in millions) $373.3 $925.1 $922.0 $661.5
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$15,881 $17,794 $17,545 $20,052 $20,637 $20,884 $20,997 $16,648 $22,370 $21,141 $19,721 $18,570 $19,957 $23,048 $22,348 2.4% 2.6% 2.4% 2.8% 2.8% 2.7% 2.7% 2.0% 2.6% 2.5% 2.2% 2.0% 2.1% 2.2% 2.0% 0% 1% 2% 3% $0 $5,000 $10,000 $15,000 $20,000 $25,000 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 OPEX as a % of Total Assets (%) OPEX (in thousands) OPEX (exc. Interest and Fees) OPEX as a % of Average Total Assets Non-Interest and Fee Expense to Average Total Assets 2.4% 26 Median adjusted OPEX to average total assets of 2.4% (Q1 2022 to Q3 2025)
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$488.9 $659.0 $628.9 $562.1 $381.1 $400.6 $335.3 $483.4 $479.5 $489.0 $448.5 $455.7 $471.5 $437.5 17.0% 22.5% 20.8% 17.3% 11.8% 12.0% 9.8% 13.1% 13.1% 13.4% 11.7% 11.3% 11.0% 9.9% $0 $100 $200 $300 $400 $500 $600 $700 $800 $900 $1,000 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 0% 5% 10% 15% 20% 25% Available Unfunded Commitments (in millions) Available Unfunded Commitments as % Total Assets Available Unfunded Commitments (in millions) Unfunded Commitments as % of Total Assets (1) 27 Unfunded Commitments as a Percentage of Total Assets (1) Amount represents available unfunded commitments, including undrawn revolving facilities, which are available at the request by the portfolio company.
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(1) Debt only; based on fair value $2,410.3 $2,579.4 $2,661.4 $2,795.4 $2,968.6 $2,937.9 $3,091.9 $3,057.3 $3,383.0 $3,392.5 $3,380.6 $3,494.6 $3,739.2 $3,978.7 $4,095.6 2.10 2.13 2.20 2.23 2.26 2.24 2.28 2.24 2.16 2.18 2.24 2.26 2.31 2.26 2.27 1.0 2.0 3.0 4.0 5.0$0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 $4,500 $5,000 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Credit Rating Debt Portfolio Value ($ in millions) Debt Portfolio Value Weighted Investment Credit Rating(1) Our disciplined credit underwriting standards have delivered consistent long-term results High Quality Lower Quality 28 Consistent and Disciplined Underwriting Standards Grade 1 - High $ 513.4 12.5% $ 617.2 15.5% $ 727.1 19.4% $ 654.5 18.7% $ 731.3 21.6% Grade 2 $ 2,128.9 52.0% $ 1,886.3 47.4% $ 1,560.1 41.7% $ 1,649.9 47.2% $ 1,474.9 43.6% Grade 3 $ 1,340.9 32.7% $ 1,381.0 34.7% $ 1,266.7 33.9% $ 1,012.6 29.0% $ 1,078.0 31.9% Grade 4 $ 112.4 2.8% $ 94.2 2.4% $ 152.7 4.1% $ 159.4 4.6% $ 75.7 2.3% Grade 5 - Low $ — 0.00% $ — 0.00% $ 32.7 0.9% $ 18.2 0.5% $ 20.7 0.6% Weighted Avg. (at Cost) 2.27 2.26 2.31 2.26 2.24 Q3 2025 Q2 2025 Credit Grading (at Fair Value), Q3 2025 - Q3 2024 ($ in millions) Q3 2024Q4 2024Q1 2025
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Capital Sources as of 9/30/25 $ in Millions % of Total Equity $2,189.9 50.1% SBA License 3 – HC IV $175.0 4.0% SBA License 4 – SBIC V $175.0 4.0% January 2027 Notes (Institutional) $350.0 8.0% September 2026 Notes (Institutional) $325.0 7.4% October 2033 Notes (Baby Bonds) $40.0 0.9% June 2030 Notes (Institutional) $350.0 8.0% September 2028 Convertible Notes (Institutional) $287.5 6.6% March 2026 Notes (Institutional) $100.0 2.3% July 2031 Asset-backed Notes $88.6 2.0% Credit Facilities (MUFG Bank & SMBC) $288.9 6.7% Total Capital $4,369.9 100.0% Debt Capital Stack Total Corporate Capitalization SBA License 3 - HC IV 4.0% SBA License 4 - SBIC V 4.0% Equity 50.1% Credit Facilities (MUFG Bank & SMBC) 6.7% 2027 Notes (Institutional) 8.0% 2026 Notes (Institutional) 7.4% 2033 Notes (Baby Bonds) 0.9% 2030 Notes (Institutional) 8.0% 2031 Asset-backed Notes 2.0% 2028 Conv. Notes (Institutional) 6.6% 2026 Notes (Institutional) 2.3% $75.0 SMBC 16.9% MUFG Bank 15.7% 2031 Asset-Backed Notes 3.2% 2027 Notes (Institutional) 12.5% 2033 Notes (Baby Bonds) 1.4% SBA License 3 - HC IV 6.2% SBA License 4 - SBIC V 6.2% 2026 Notes (Institutional) 11.6% 2028 Conv. Notes (Institutional) 10.2% 2030 Institutional Notes 12.5% 2026 Notes (Institutional) 3.6% $475.0 $440.0 $350.0 ($ in millions) $40.0 $325.0 $350.0 $100.0 $175.0 $88.6 $175.0 $287.5 Diversified Sources of Funding: Q3 2025 Entity Capitalization 29
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(1) Interest rate range for the SBA debentures does not include annual fees (2) Does not include $0.5M of outstanding letter of credits (3) Includes $25.0M of term debt with a maturity date of November 2029 SMBC LOC Facility SMBC Credit Facility MUFG Bank Credit Facility Notes SBA Debentures Jan. 2027 Inst. Notes Sept. 2026 Inst. Notes Oct. 2033 Retail Notes Sept. 2028 Conv. Notes March 2026 Inst. Notes June 2030 Inst. Notes License 3 HC IV License 4 SBIC V Securitization DATE ENTERED Feb. 2023 Nov. 2024 June 2025 Jan. 2022 Sept. 2021 Oct. 2018 March 2025 Nov. 2020 March 2021 June 2025 March 2021 July 2024 June 2022 FACILITY SIZE ($ in millions) $175.0 $300.0(3) $440.0 $350.0 $325.0 $40.0 $287.5 $100.00 $350.0 $175.0 $175.0 $150.00 INTEREST RATE SOFR + 145 bps SOFR + 200 bps SOFR + 250-275 bps 3.375% Unsecured 2.625% Unsecured 6.25% Unsecured 4.750% Unsecured 4.50%/4.55% Unsecured 6.000% Unsecured 2.34%(1) 4.80%(1) 4.95% MATURITY February 2028 November 2029 June 2029 January 2027 September 2026 October 2033 September 2028 March 2026 June 2030 Mature 10 years after borrowing Mature 10 years after borrowing July 2031 ADDITIONAL INFO (Expandable up to $400.0) (Expandable up to $500.0) (Expandable up to $600.0) Moody’s: Baa3 KBRA: BBB+ Moody’s: Baa3 KBRA: BBB+ NYSE: HCXY DBRS: BBB KBRA: BBB+ KBRA: BBB+ KBRA: BBB+ Moody’s:Baa3 KBRA: BBB+ Rate set in March 2022 Rate set in September 2025 Fitch: BBB OUTSTANDING ($ in millions) $0.0 $222.9(2) $66.0 $350.0 $325.0 $40.0 $287.5 $100.00 $350.0 $175.0 $175.0 $88.6 ($ in millions) (2) Diversified Sources of Funding: Q3 2025 Well-Managed Debt Maturity Schedule 30 $350.0 $64.5 $110.5 $175.0 $40.0 $287.5 $25.0 $325.0 $100.0 $350.0 $88.6 $0 $50 $100 $150 $200 $250 $300 $350 $400 $450 2026 2027 2028 2029 2030 2031 2032 2033 2035 January 2027 Notes SBA Bonds October 2033 Notes September 2028 Conv. Notes SMBC Term Debt September 2026 Notes March 2026 Notes June 2030 Notes Securitization
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-$0.12 -$0.08 -$0.07 -$0.05 -$0.03 $0.03 $0.06 $0.10 -$0.16 -$0.12 -$0.08 -$0.04 $0.00 $0.04 $0.08 $0.12 -$30,000 -$20,000 -$10,000 $0 $10,000 $20,000 $30,000 -200 -100 -75 -50 -25 25 50 75 Earning per Share (EPS) Net Income ($ in thousands) Net Income EPS (1) EPS calculated on basic weighted shares outstanding of 180.36 million and a static debt investment portfolio as of September 30, 2025. Estimates are also subject to change due to impact from potential participation in the Company’s equity ATM program and future equity offerings. Interest Rates & Asset Sensitivity Basis Point Movement in Prime Rate 31 (1)
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Portfolio Highlights
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0.6% 23.0% 0.5% 19.3% 3.3% 0.5% 0.8% 1.8% 1.2% 0.5% 2.4% Communications & Networking Consumer & Business Products Drug Delivery Drug Discovery & Development Sustainable & Renewable Technologies Healthcare Services, Other Defense Technologies Information Services Consumer & Business Services Space Technologies Media/Content/Info Medical Devices & Equipment Semiconductors Software Electronics & Computer Hardware Biotechnology Tools Manufacturing Technology Diversified Financial Services 35.3% 10.1%0.5% 0.2% 97.8% 2.2% Floating Fixed Floating vs. Fixed Rate 86.0% 7.5% 1.6% 3.8% 0.2% 0.9% Sr. Sec. 1st Pos. Debt Investments Sr. Sec. 2nd Pos. Debt Investments Unsecured Debt Investments Equity Investments Investment Funds & Vehicles Warrant Positions 42% 8% 5% 28% 4% International: 13% (Portfolio Companies as of December 31, 2024) Hercules’ Investment Portfolio: Q3 2025 Industry Breakout Investment Type Breakout Percentage of Portfolio Companies by Region 33
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Hercules' Warrant & Equity Portfolio: Potential Future Upside for Shareholder’s Total Return $31.5M x 2X multiple: $63.0M - $17.1M cost = $45.9M unrealized gain = $0.25/share Current Warrant & Equity Portfolio – Q3 2025 • 102 warrant holdings • GAAP fair value: $40.7 million • GAAP cost: $34.1 million • $63.0 million in nominal Exercise Value (as of 9/30/25) • 78 equity holdings • GAAP fair value: $163.3 million • GAAP cost: $178.8 million • Illustrative models of potential warrant gains (as of 9/30/25) (1) • Assumption: 50% of warrants will not monetize • GAAP cost: $17.1 million • Based on 180.4 million weighted average shares 1 Portfolio Company has completed an Initial Public Offering – YTD 2025 • Voyager Technologies, Inc. 10 Portfolio Companies announced/completed M&A Liquidity Events – YTD 2025 • bluebird bio, Inc. • Next Insurance, Inc. • 3Gtms, LLC • Capella Space Corporation • Couchbase, Inc. • 23andMe, Inc. • HilleVax, Inc. • SingleStore, Inc. • Signal AI • Akero Therapeutics, Inc. 34 $31.5M x 3X multiple: $94.5 - $17.1M cost = $77.4M unrealized gain = $0.43/share $31.5M x 4X multiple: $126.0M - $17.1M cost = $108.9M unrealized gain = $0.60/share (1) For illustrative purposes only, does not reflect an actual investment and is no guarantee of future returns.
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Selected List of Warrant and Equity Portfolio Holdings Technology Life Sciences 35
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39.7% 38.8% 38.7% 29.5% 23.0% 2.1% 3.9% 0.7% 1.8% 0.4%16.3% 14.8% 16.2% 10.2% 1.6% 0.5% 0.3% 0.8% 0.5% 5.0% 6.7% 9.3% 16.7% 19.3% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2021 2022 2023 2024 Q3 2025 % Total Investment Portfolio at Fair Value Diversified Financial Services Electronics & Computer Hardware Space Technologies Manufacturing Technology Consumer & Business Products Defense Technologies Healthcare Services, Other Sustainable & Renewable Software Semiconductors Media/Content/Info Consumer & Business Services Drug Delivery Information Services Communications & Networking Medical Devices & Equipment Drug Discovery & Development Biotechnology Tools 2.0% $4,306.2($M) 0.5% $2,434.5 23.6% $2,964.0 $3,248.0 1.5% 2.3% 3.3% 36 A Broadly Diversified Portfolio Re-Balanced According to our Assessment of Ongoing Market Conditions Mitigates Risk $3,660.0 2.4% 29.5% 1.0% 3.1% 26.9% 1.1% 1.6% 4.5% 3.5% 0.7% 2.7% 3.5% 10.1% 1.2% 24.1% 4.3% 35.3% 3.1%
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Select List of Diversified Portfolio Companies 37 For illustrative purposes only. The companies listed above do not constitute a fulllist of all investments made by Hercules Capital, Inc. or the funds or accounts managed by Hercules Adviser LLC. Technology Fintech Marketplaces Security Software Aerospace & Defense Life Sciences Healthcare BioPharma
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More than 1000 Venture Capital & Private Equity Firms Technology Life Sciences Expansion or “Venture Growth” & Established Key VC Investment Centers: Silicon Valley Boston New York San Diego Denver London FINANCIAL SPONSORS INDUSTRY SECTORS STAGES OF DEVELOPMENT GEOGRAPHIC LOCATION Diversified Investment Approach Mitigates Risk 38 Four Key Diversification Strategies
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Expansion Stage Established Type of Company Follow-on Rounds of Growth Capital (Series B-Liquidity Event) Private Late Stage/ Select Public Companies Equity Capital Provider Venture Capital/ Private Equity Public Markets/ Private Equity Expectation for Additional Sponsor Support 1–3 Additional Rounds 0–2 Additional Rounds Targeted Warrant Gain Potential 3–7 x 2–4 x Potential Time to Liquidity 4–6 years 2–4 years Primarily Invest at Stages of High Growth 39
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Venture Capital Market Opportunity
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$84.7 $60.2 $80.2 $108.5 $103.3 $175.4 $360.0 $236.1 $166.4 $215.6 $250.2 4,379 4,496 4,649 4,995 4,341 14,134 19,648 18,262 15,346 15,235 10,616 0 5,000 10,000 15,000 20,000 25,000 $0 $50 $100 $150 $200 $250 $300 $350 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD Q3 2025 # of Deals Dollars Invested (billions) $ in billions # of deals Note: Represents VC investments only Source: Dow Jones VentureSource thru 2019, Pitchbook/NVCA Venture Monitor thru Q3 2025 Venture Capital Investment Activity 2015 – Q3 2025 Over $2.5 Trillion in VC Investments Since 1997 $39.6 $46.1 $39.7 $56.5 $58.7 $91.8 $171.3 $224.6 $103.5 $85.7 $45.7 $0 $50 $100 $150 $200 $250 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD Q3 2025 Funds Raised (billions) 41 Venture Capital Fundraising Activity 2015 – Q3 2025 Source: Dow Jones VentureSource thru 2019, Pitchbook/NVCA Venture Monitor thru Q3 2025
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Mergers & Acquisitions Exits of Venture Capital–Backed Companies $84.7 $120.5 $89.0 $129.5 $123.4 $103.1 $151.4 $79.2 $62.3 $82.3 $82.2 675 703 730 759 708 883 1326 1057 842 920 742 0 200 400 600 800 1,000 1,200 1,400 $0 $50 $100 $150 $200 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD Q3 2025 # of Deals Amount Paid (billions) $ in billions # of M&A Deals $8.0 $2.8 $9.9 $11.2 $25.0 $209.1 $658.9 $42.4 $30.2 $43.6 $91.8 79 41 60 82 79 146 317 86 88 66 50 0 50 100 150 200 250 300 350 $0 $100 $200 $300 $400 $500 $600 $700 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD Q3 2025 # of IPOs Amount Raised (billions) $ in billions # of IPOs 42 Initial Public Offerings Source: Dow Jones VentureSource thru 2019, Pitchbook/NVCA Venture Monitor thru Q3 2025 Source: Dow Jones VentureSource thru 2019, Pitchbook/NVCA Venture Monitor thru Q3 2025
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$84.7 $60.2 $80.2 $108.5 $103.3 $175.4 $360.0 $236.1 $166.4 $215.6 $250.2 $745 $807 $882 $1,213 $1,475 $1,188 $2,639 $3,121 $2,174 $2,693 $2,866 $0 $50 $100 $150 $200 $250 $300 $350 $400 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD Q3 2025 $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 VC Dollars Invested (billions) Hercules Debt & Equity Commitments (millions) VC Dollars Invested Hercules Debt & Equity Commitments Hercules’ Total Commitments VS. VC Dollars Invested Note: Represents US VC investments only 43 Venture Capital Investment Activity 2015 – Q3 2025 • Hercules’ uncompromising yield and credit underwriting standards drive commitments • Market conditions determine commitment activity more than pure VC investment activity • Hercules’ 11-year historical average participation rate: 1.1% 1.0% 1.6% 1.1% 1.1% 1.4% 0.7% 0.7% 1.3% Hercules Commitments as % of VC Dollars Invested 1.3% 1.3% Source: Dow Jones VentureSource thru 2019, Pitchbook/NVCA Venture Monitor thru Q3 2025 1.1%
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Large Market Opportunity and Differentiated Asset Class of Investments Attractive Yields and Upside from Equity and Warrant Portfolio Focused on Strong and Sustainable Shareholder Returns Experienced Management Team with Domain Expertise Platform in Place to Grow Portfolio Strong Balance Sheet and Diverse Funding Sources Strong Venture Capital and Private Equity Relationships Strict Focus on Credit Underwriting Process Investment Highlights 44
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Analyst Coverage
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Crispin Love Re-initiated Coverage 7/20/2020 Casey Alexander Initiated Coverage 6/23/15 Christopher Nolan Initiated Coverage 11/20/2017 Paul Johnson Transferred Coverage 2/20/2024 Finian O’Shea Transferred Coverage 7/13/2018 Hercules Capital is followed by the analysts listed above. Please note that any opinions, estimates or forecasts regarding Hercules Capital’s performance made by these analysts are theirs alone and do not represent opinions, forecasts or predictions of Hercules Capital or its management. Hercules Capital does not by its reference above or distribution imply its endorsement of or concurrence with such information, conclusions or recommendations. Broad Industry Analyst Coverage John Hecht Initiated Coverage 6/30/2015 Brian McKenna Re-initiated Coverage 11/2/2020 46 Doug Harter Assumed Coverage 5/24/2024