Investment Strategy - Equus Total Return, Inc. aims to maximize stockholder returns through capital appreciation and current income by investing in companies with a total enterprise value between $5.0 million and $75.0 million [169]. - Equus is evaluating opportunities to transform into an operating company, with a potential shareholder authorization expected in 2023 or 2024 [172]. Economic Indicators - During Q3 2023, oil prices increased from $70.64 to $90.79 per barrel, while gas prices rose from $2.48 to $2.68, indicating a recovery in the energy sector [177]. - The U.S. GDP grew at an annualized rate of 4.9% in Q3 2023, surpassing consensus estimates of 4.3%, driven by increased consumer spending and service consumption [180]. - The unemployment rate in the U.S. stood at 3.8% as of September 30, 2023, with projections suggesting it may rise to 4.0% to 4.5% in 2024 due to anticipated recession [181]. - The Conference Board projects a mild recession for the U.S. economy in 2024, with overall GDP growth of 2.2% for 2023 and 0.8% for 2024 [180]. - The annualized inflation rate in October 2023 was reported at 3.7%, up from 2.6% at the end of Q2 2023, driven by rising energy prices [182]. Financial Performance - Net asset value increased from $2.61 per share to $3.49 per share, a rise of 33.7% [187]. - Common stock is trading at a 57.6% discount to net asset value, compared to 45.2% as of December 31, 2022 [187]. - Net investment loss for the nine months ended September 30, 2023, was $3.2 million, up from $2.6 million in the same period of 2022 [195]. - Investment income was $0.04 million for the three months ended September 30, 2023, and $0.06 million for the nine months ended September 30, 2023 [196]. - A $2.4 million debt investment was made in Morgan E&P, LLC, with a recorded change in fair value of $15.0 million due to increased acreage rights and oil prices [198]. Operational Management - Management evaluated the impact of market conditions on portfolio company valuations, indicating sufficient operating cash flow for the next twelve months [194]. - Compensation expense increased to $1.5 million for the nine months ended September 30, 2023, from $1.1 million in the same period of 2022 [196]. - Professional fees remained stable at $0.7 million for the nine months ended September 30, 2023, compared to $0.6 million in 2022 [197]. - The company advanced an additional $3.9 million to Morgan under its existing credit facility during October and November 2023 [201]. Financial Risks - The company has not incurred additional borrowings since the reduction of its asset coverage ratio from 200% to 150% approved by shareholders in November 2019 [173]. - The Federal Reserve set the federal funds rate at 5.5% in July 2023, the highest in 22 years, with no further increases expected for the remainder of 2023 [184]. - The company is subject to financial market risks, including interest rate changes and marketable equity security price fluctuations [202].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period to Name of each exchange on which registered Common Stock New York Stock Exchange Commission File Number 814-00098 EQUUS TOTAL RETURN, INC. (Exact name of registrant as specif ...

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q 1934 For the transition period to Commission File Number 814-00098 EQUUS TOTAL RETURN, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organizat ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the year ended December 31, 2022 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 814-00098 EQUUS TOTAL RETURN, INC. (Exact name of registrant as specified in its charter) Delaware 76-0345915 (State or other jurisdiction of incorpor ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period to Commission File Number 814-00098 | --- | --- | |----------------------------------------------------------------------------------------------------------------------- ...

Investment Strategy - Equus Total Return, Inc. aims to provide the highest total return through capital appreciation and current income by investing in companies with a total enterprise value between $5.0 million and $75.0 million [168]. - The company is evaluating various opportunities to transform into an operating company, although it cannot assure successful implementation within a specific timeframe [169]. - The Fund's ability to borrow funds and issue senior securities is subject to restrictions, impacting its investment strategy and tax status as a RIC [190]. Financial Performance - Net investment loss was $0.8 million for the three months ended June 30, 2022, unchanged from the same period in 2021, while the loss for the six months was $1.7 million compared to $1.8 million in 2021 [193]. - The fair value of Equus Energy, LLC increased by $2.5 million during the six months ended June 30, 2022, contributing to a net change in unrealized appreciation of $7.5 million due to rising mineral acreage prices and crude oil prices [199]. - The Fund's net asset value increased from $2.69 per share to $2.75 per share, reflecting a 2.23% increase [185]. Market Conditions - As of March 31, 2022, the global death toll from the coronavirus exceeded 6.3 million, impacting market conditions and economic forecasts [176]. - The U.S. GDP declined at an annualized rate of 0.9% in Q2 2022, following a 1.6% decline in Q1 2022, indicating potential recessionary conditions [179]. - Consumer prices reached an annualized rate of 9.1% by the end of Q2 2022, the highest since 1981, driven primarily by a nearly 60% increase in gasoline prices from June 2021 to June 2022 [182]. - The Federal Reserve raised the short-term federal funds rate by 0.5% on May 4, 2022, and by 0.75% in both June and July 2022, significantly increasing borrowing costs and recession risks [183]. Company Operations - The company has approved an increase in authorized shares from 50 million to 100 million to facilitate its transformation into an operating company and evaluate larger acquisition candidates [171]. - The company has not incurred additional borrowings beyond a margin loan for U.S. Treasury bills, despite a reduction in its asset coverage ratio from 200% to 150% [172]. - Equus Energy, a portfolio company, plans to secure equity or debt financing, shut-in additional wells, or sell certain holdings to conserve cash resources amid volatile oil and gas prices [178]. - Management has implemented initiatives to enhance liquidity and reduce operational costs, including internalizing management and modifying investment strategies [186]. - The company has taken steps to minimize employee exposure to the coronavirus by enabling remote work and utilizing cloud-based systems for operations [177]. Mergers and Acquisitions - Global merger and acquisition activity in 2021 exceeded $5.0 trillion, a 38.9% increase from 2020, with U.S. corporate acquirers accounting for over 50% of this activity [184]. - Private equity firms completed 8,548 transactions worth $2.1 trillion in 2021, more than double the $1.0 trillion total for 2020, with technology, media, and telecommunications leading the sectors [185]. Employee Incentives - The 2016 Equity Incentive Plan allows for the award of up to 2,434,728 shares to promote the interests of the Fund and retain essential personnel [173]. Employment Statistics - The unemployment rate in the U.S. remained stable at 3.6% from March to June 2022, significantly lower than the 14.5% peak in April 2020 [180].

PART I. FINANCIAL INFORMATION [Unaudited Condensed Financial Statements](index=3&type=section&id=Item%201.%20Unaudited%20Condensed%20Financial%20Statements) Unaudited Q1 2022 financial statements show increased net assets to **$37.4 million** due to unrealized appreciation of its sole energy investment, as the company pursues an operating company transformation [Condensed Balance Sheets](index=3&type=section&id=Condensed%20Balance%20Sheets) As of March 31, 2022, total assets increased to **$40.9 million** and net assets to **$37.4 million**, primarily due to increased fair value of portfolio investments, resulting in a NAV per share of **$2.77** Condensed Balance Sheet Highlights (in thousands, except per share data) | Metric | March 31, 2022 | December 31, 2021 | | :--- | :--- | :--- | | Total Investments at Fair Value | $15,000 | $13,000 | | Cash and cash equivalents | $22,300 | $23,465 | | **Total Assets** | **$40,937** | **$39,716** | | Total Liabilities | $3,502 | $3,351 | | **Total Net Assets** | **$37,435** | **$36,365** | | **Net Asset Value Per Share** | **$2.77** | **$2.69** | [Condensed Statements of Operations](index=4&type=section&id=Condensed%20Statements%20of%20Operations) For Q1 2022, the company reported a net increase in net assets of **$1.07 million** or **$0.08 per share**, driven by **$2.0 million** net unrealized appreciation of portfolio securities, offsetting a net investment loss Statement of Operations Summary (in thousands, except per share data) | Metric | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | | :--- | :--- | :--- | | Total Expenses | $930 | $1,025 | | Net Investment Loss | ($930) | ($1,025) | | Net Unrealized Appreciation of Portfolio Securities | $2,000 | $1,500 | | **Net Increase in Net Assets** | **$1,070** | **$298** | | **Net Increase in Net Assets Per Share** | **$0.08** | **$0.02** | [Condensed Statements of Changes in Net Assets](index=5&type=section&id=Condensed%20Statements%20of%20Changes%20in%20Net%20Assets) Total net assets increased by **$1.07 million** in Q1 2022, entirely from operations, growing from **$36.37 million** to **$37.44 million** with no capital share activity Changes in Net Assets (in thousands) | Description | Q1 2022 | | :--- | :--- | | Net Assets at January 1, 2022 | $36,365 | | Net increase in net assets from operations | $1,070 | | **Net Assets at March 31, 2022** | **$37,435** | [Condensed Statements of Cash Flows](index=6&type=section&id=Condensed%20Statements%20of%20Cash%20Flows) Q1 2022 net cash used in operating activities was **$1.66 million**, a significant shift from Q1 2021, with overall cash and cash equivalents decreasing by **$1.16 million** Cash Flow Summary (in thousands) | Cash Flow Activity | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | | :--- | :--- | :--- | | Net Cash (Used in) Provided by Operating Activities | ($1,660) | $25,630 | | Net Cash Provided by (Used in) Financing Activities | $500 | ($24,000) | | **Net (Decrease) Increase in Cash** | **($1,160)** | **$1,630** | | Cash and cash equivalents at end of period | $22,330 | $25,509 | [Schedules of Investments](index=8&type=section&id=Schedules%20of%20Investments) As of March 31, 2022, the company's sole investment is Equus Energy, LLC, valued at **$15.0 million**, representing **40.1%** of net assets, posing significant concentration risk as a 'non-diversified' investment company - The company's sole portfolio investment is in Equus Energy, LLC, an energy company based in Houston, TX[28](index=28&type=chunk)[38](index=38&type=chunk) Investment in Equus Energy, LLC (in thousands) | Metric | March 31, 2022 | December 31, 2021 | | :--- | :--- | :--- | | Cost | $7,961 | $7,961 | | Fair Value | $15,000 | $13,000 | | Fair Value as % of Net Assets | 40.1% | 35.7% | - The company is classified as a 'non-diversified' investment company, meaning it is not limited in the proportion of assets that can be invested in a single issuer. This concentration increases risk, as the company's performance is heavily tied to this single energy investment[34](index=34&type=chunk) [Notes to Condensed Financial Statements](index=12&type=section&id=Notes%20to%20Condensed%20Financial%20Statements) Notes detail the company's BDC/RIC status and operating company conversion plan, focusing on the valuation of its Level 3 investment, Equus Energy, LLC, whose fair value increased due to rising energy prices, despite going concern doubts - The company is a BDC and RIC, but shareholders have authorized the withdrawal of the BDC election to facilitate a transformation into an operating company. This transformation is a core part of the company's current strategy[50](index=50&type=chunk)[118](index=118&type=chunk) - The company's sole investment, Equus Energy, LLC, is a Level 3 asset valued using unobservable inputs. Its fair value increased by **$2.0 million** in Q1 2022 due to higher mineral acreage prices and a substantial increase in crude oil and natural gas prices[94](index=94&type=chunk)[116](index=116&type=chunk) - Despite improved commodity prices, Equus Energy's operators have not undertaken significant capital expenditures. This, among other factors, raises substantial doubt about Equus Energy's ability to continue as a going concern[127](index=127&type=chunk)[128](index=128&type=chunk) - The company periodically borrows funds via a margin account at quarter-end to purchase U.S. Treasury bills, a practice used to maintain its RIC diversification status. On April 7, 2022, a **$3.0 million** margin loan was repaid after the purchased Treasury Bills matured[66](index=66&type=chunk)[67](index=67&type=chunk)[160](index=160&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=30&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q1 2022 performance, liquidity, and strategic direction, focusing on the planned BDC to operating company conversion and the positive impact of rising energy prices on its sole investment, while acknowledging concentration risks - The company's primary strategic focus is to transform from a BDC into an operating company. Shareholders have approved measures to facilitate this, including authorizing the withdrawal of the BDC election and increasing authorized shares[165](index=165&type=chunk)[167](index=167&type=chunk) - The increase in oil and gas prices, influenced by high demand and the conflict in Ukraine, has improved the outlook for the company's sole investment, Equus Energy. This led to a **$2.0 million** increase in the investment's fair value in Q1 2022[174](index=174&type=chunk)[192](index=192&type=chunk) Operational Results Comparison (in millions) | Metric | Three Months Ended March 31, 2022 | Three Months Ended March 31, 2021 | | :--- | :--- | :--- | | Net Investment Loss | $0.9 | $1.0 | | Net Change in Unrealized Appreciation | $2.0 | $1.5 | | Net Realized Loss | $0.0 | ($0.2) | - Management believes that operating cash flow and cash on hand are sufficient to meet operating requirements for the next twelve months[187](index=187&type=chunk) [Quantitative and Qualitative Disclosure about Market Risk](index=36&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosure%20about%20Market%20Risk) The company faces market risks primarily from equity price changes affecting its private company investment, with its valuation sensitive to public market equity price fluctuations, though interest rate changes do not directly impact income - The company's primary market risk is equity price risk associated with its investment in a private company. Significant changes in market equity prices can affect the valuation of this investment[199](index=199&type=chunk) - The company does not currently use derivative financial instruments to mitigate market risks and has no exposure to foreign currency fluctuations[197](index=197&type=chunk) [Controls and Procedures](index=36&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that disclosure controls and procedures were effective as of March 31, 2022, with no material changes to internal controls over financial reporting during the quarter - The CEO and CFO concluded that the Fund's disclosure controls and procedures were effective as of March 31, 2022[201](index=201&type=chunk) - There were no changes in internal control over financial reporting during the quarter that materially affected, or are reasonably likely to materially affect, internal controls[201](index=201&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=37&type=section&id=Item%201.%20Legal%20Proceedings) The company is occasionally involved in legal proceedings incidental to normal business, which management does not expect to materially affect financial condition or results of operations - The company does not expect any current legal proceedings to have a material effect on its financial condition or results of operations[203](index=203&type=chunk) [Risk Factors](index=37&type=section&id=Item%201A.%20Risk%20Factors) The company highlights key risks, including those associated with its strategic plan to convert into an operating company and the ongoing uncertain impact of the coronavirus pandemic on its business and financial condition - Significant risks are associated with the company's effort to convert from a BDC into an operating company[204](index=204&type=chunk) - The ultimate impact of the coronavirus pandemic remains highly uncertain and could continue to impact the company's business, results of operations, and financial condition[205](index=205&type=chunk) [Exhibits](index=38&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with Form 10-Q, including CEO and CFO certifications required by Rule 13a-14(a) and Section 1350, and incorporates previously filed documents by reference - The filing includes certifications by the Chief Executive Officer and Chief Financial Officer as required by the Sarbanes-Oxley Act (Rule 13a-14(a)/15d-14(a) and Section 1350)[210](index=210&type=chunk)[213](index=213&type=chunk)[212](index=212&type=chunk)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the year ended December 31, 2021 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 814-00098 EQUUS TOTAL RETURN, INC. (Exact name of registrant as specified in its charter) Delaware 76-0345915 (State or other jurisdiction of incorpor ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period to Commission File Number 814-00098 | --- | --- | |-------------------------------------------------------------------------------------------------|--------------------- ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period to Commission File Number 814-00098 | --- | --- | |-------------------------------------------------------------------------------------------------|-------------------------- ...