Investment Portfolio Performance - The fair value of the investment portfolio as of March 31, 2025, was $213,577,198, compared to $175,015,571 as of March 31, 2024, indicating a year-over-year increase of approximately 22%[248][252]. - Total investment income decreased to $499,094 for the three months ended March 31, 2025, from $1,528,091 for the same period in 2024, representing a decline of about 67%[258][259]. - Net investment loss for the three months ended March 31, 2025, was $(3,661,769), compared to $(3,222,902) for the same period in 2024, reflecting an increase in losses[258]. - The net realized loss on investments for the three months ended March 31, 2025, was $(17,951), compared to a net loss of $(424,074) for the same period in 2024[258]. - The net change in unrealized appreciation of investments for the three months ended March 31, 2025, was $2,888,878, contrasting with a depreciation of $(18,418,370) in the same period in 2024[258]. Investment Strategy and Activities - The company’s investment strategy focuses on non-controlling equity and equity-related investments, primarily in high-growth, venture-backed companies across various sectors[241]. - The company did not exit or receive proceeds from any investments during the three months ended March 31, 2025[250]. - The company is frequently negotiating investments in private companies, subject to closing conditions[298]. - The fair value of investments is determined in good faith by the Board of Directors, which may fluctuate due to inherent uncertainties[300]. Financial Performance and Expenses - Compensation expenses for the three months ended March 31, 2025, were $1,667,835, down from $2,185,318 in the same period in 2024, a decrease of approximately 24%[258]. - Total operating expenses decreased to $4,160,863 for the three months ended March 31, 2025, from $4,750,993 for the same period in 2024, representing a decrease of approximately 12.4%[260]. - Net investment loss for the three months ended March 31, 2025, was $3,661,769, compared to a loss of $3,222,902 for the same period in 2024, indicating an increase in loss of about 13.6%[261]. Cash Reserves and Obligations - Cash reserves decreased to $16,180,542 as of March 31, 2025, down from $20,035,640 at the beginning of the year, primarily due to new investments and operating expenses[269]. - Total cash reserves and liquid securities amounted to $38,518,303 as of March 31, 2025, compared to $37,626,760 as of December 31, 2024, reflecting an increase of approximately 2.4%[267]. - The company has $75.2 million in total contractual obligations as of March 31, 2025, with $39.7 million due for the 6.00% Notes due 2026 and $35.0 million for the 6.50% Convertible Notes due 2029[271]. Share Repurchase and Distributions - No shares were repurchased under the Share Repurchase Program during the three months ended March 31, 2025, with approximately $25.0 million remaining available for repurchase[273]. - The company declared a total distribution of $12.10 per share from its formation through March 31, 2025[287]. - The distribution on May 4, 2021, was $2.50 per share, with 2,335,527 shares issued in lieu of cash, representing approximately 9.6% of outstanding shares prior to the distribution[294]. - The company intends to focus on equity investments primarily for capital gains, with distributions expected to be less consistent than other BDCs[291]. - The company plans to make future distributions in the form of additional shares under its dividend reinvestment plan (DRIP) unless stockholders opt for cash[292]. - All distributions paid from realized gains, with none representing a return of capital[288]. - The company does not anticipate paying distributions on a quarterly basis, expecting to declare and pay at least annually if earnings or realized capital gains are available[291]. Market Risks - The company is subject to market risks, including potential impacts on the valuation of equity investments during periods of capital market disruption[299]. - As of March 31, 2025, all debt investments and outstanding borrowings bore fixed rates of interest[301].

Q1 2025 Earnings Overview - SuRo Capital's NAV per share was $666 as of March 31, 2025[8] - The company's net assets were approximately $1568 million at quarter-end[8] - A new portfolio company investment was made in Plaid Inc for $50 million[7] - An additional $50 million debt refinance occurred in Q1[8] - $353 million in 600% Notes due 2026 were repurchased to date[11] - $350 million in 650% Convertible Notes due 2029 were issued to date[11] Portfolio Company Activity - CoreWeave, Inc successfully executed an IPO on March 28th[8] According to Reuters, CoreWeave raised over $15 billion from the listing at a valuation of approximately $230 billion[32, 38] - OpenAI announced a $400 billion financing round at a $3000 billion post-money valuation[8, 32, 47] Portfolio Composition - The top 5 positions accounted for 46% of the investment portfolio at fair value, based on a total investment portfolio fair value of $2136 million at March 31, 2025[29, 30]

Financial Data and Key Metrics Changes - The company ended the quarter with a net asset value (NAV) of $156.8 million or $6.66 per share, a slight decrease from $6.68 per share at the end of the previous year [19][37] - The decrease in NAV per share was primarily driven by a net investment loss, offset by an increase in unrealized appreciation of investments [37] Business Line Data and Key Metrics Changes - OpenAI announced a $40 billion funding round at a $300 billion post-money valuation, significantly up from its previous $7 billion round [9] - CoreWeave completed a $1.5 billion IPO at a valuation of approximately $23 billion, and its stock price increased over 35% post-IPO [11][13] - Canva reported annualized revenue exceeding $6 billion, marking an increase of over 30% year-over-year [15] Market Data and Key Metrics Changes - The Nasdaq experienced its worst quarterly performance since 2022, impacting private market valuations [6][7] - The S&P 500 saw significant volatility, with a drop of up to 12% before rebounding slightly [8] Company Strategy and Development Direction - The company is focused on AI infrastructure and applications, with significant investments in companies like OpenAI and CoreWeave [24] - The management believes the portfolio is well-positioned for future growth, particularly in AI and fintech sectors [23][42] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the portfolio's positioning despite ongoing market volatility and uncertainties [8][24] - The company is seeing more investment opportunities than ever, particularly in AI and fintech [42] Other Important Information - The company made a $5 million investment in Plaid, which is expected to be its last private financing before going public [16] - The company has a note repurchase program for its 6% notes due 2026, having repurchased $35.3 million in aggregate principal [34] Q&A Session Questions and Answers Question: Plans for ServiceTitan position post-lockup expiration - Management indicated that they do not view themselves as holders of public securities and would exit the position in normalized market conditions [42] Question: Discount for unregistered shares - The discount applied to CoreWeave and ServiceTitan shares is due to their unregistered status, which will be removed once they are registered [48] Question: Return of capital to shareholders - Management stated that if net realized gains are achieved by year-end, a distribution would be made by then or early in the next quarter [52] Question: OpenAI's valuation and investment mark-up - Management clarified that the investment mark-up reflects a less than 100% increase due to the nature of the valuation adjustments [55]

Financial Data and Key Metrics Changes - The company ended the quarter with a net asset value (NAV) of $156.8 million or $6.66 per share, a slight decrease from $6.68 per share at the end of the previous year [20][38] - The decrease in NAV per share was primarily driven by a net investment loss, offset by an increase in unrealized appreciation of investments [38] Business Line Data and Key Metrics Changes - The top five positions as of March 31 accounted for approximately 46% of the investment portfolio at fair value, with the top 10 positions representing about 70% [21] - CoreWeave's stock price increased over 35% since its IPO, significantly outperforming broader market indices [14] - Canva reported over $6 billion in annualized revenue, marking an increase of more than 30% year-over-year [16] Market Data and Key Metrics Changes - The first quarter of 2025 saw significant declines in major indices, including the Nasdaq, Russell 2000, and Dow Jones Industrial Average, due to ongoing global trade tensions and new tariffs [6][7] - The S&P 500 experienced extreme volatility, with a drop of as much as 12% before rebounding [8] Company Strategy and Development Direction - The company is focused on AI infrastructure and applications, with significant investments in companies like OpenAI and CoreWeave, which are positioned for future growth [24] - The company continues to explore opportunities in fintech and consumer sectors, with a strong emphasis on AI and AI-adjacent companies [42] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the portfolio's positioning despite market challenges, highlighting the ongoing commitment of major tech companies to capital spending [8] - The company believes its portfolio is well-positioned for when the IPO window reopens, with many companies building fundamental momentum [8] Other Important Information - The company made a $5 million investment in Plaid, which is expected to be its last private financing before going public [17] - The company has a note repurchase program for its 6% notes due 2026, having repurchased $35.3 million in aggregate principal amount [35] Q&A Session Summary Question: Plans for ServiceTitan position post-lockup expiration - Management indicated that they do not view themselves as holders of public securities and would exit the position in normalized market conditions [42] Question: Discount applied to unregistered shares - The discount is related to the shares not being registered at the time of reporting, and it will be removed once the shares are registered [48] Question: Return of capital to shareholders - Management stated that if net realized gains are achieved by the end of the year, a distribution would be made by year-end or early in the next quarter [52] Question: OpenAI's valuation and investment mark-up - The investment in OpenAI was marked up approximately 60%, reflecting a more complex valuation increase than a simple doubling [56]

Core Insights - SuRo Capital reported a net asset value of $6.66 per share as of March 31, 2025, a slight decrease from $6.68 per share at the end of 2024 and $7.17 per share a year earlier [1][10][33] - The company highlighted significant market volatility in recent months, with the Nasdaq experiencing its weakest first quarter since 2022 and its worst week since 2020 [2][3] - Despite market challenges, SuRo Capital noted strong momentum in its portfolio, including CoreWeave's completion of the largest tech IPO since 2021 and OpenAI's $40 billion financing round at a $300 billion valuation [2][3] Financial Performance - For the first quarter of 2025, SuRo Capital reported a net investment loss of $3.7 million, or $(0.16) per share, compared to a loss of $3.2 million, or $(0.13) per share, in the same period of 2024 [10][30][33] - The total investment income for the quarter was approximately $499,094, a significant decrease from $1,528,091 in the previous year [30] - The company experienced a net change in unrealized appreciation of investments amounting to $2.9 million, contrasting with a depreciation of $18.4 million in the prior year [12][30] Investment Portfolio - As of March 31, 2025, SuRo Capital held investments in 37 portfolio companies, with a total fair value of approximately $213.6 million [4][10] - The top five investments accounted for about 46% of the total portfolio's fair value, with notable investments including ARK Type One Deep Ventures Fund LLC and Whoop, Inc. [5][4] - Recent investments included a $5 million stake in Plaid, a fintech platform, and a $1 million follow-on investment in WHOOP [3][9] Market Conditions and Strategy - The company remains committed to supporting innovative private companies despite challenging market conditions [3] - SuRo Capital's strategy includes backing high-growth sectors such as AI infrastructure and fintech, aiming to provide access to emerging private companies before they go public [24] - The company anticipates that shares of CoreWeave will be registered and freely tradable by September 2025, which may enhance liquidity for its investments [7][10]

NEW YORK, April 29, 2025 (GLOBE NEWSWIRE) -- SuRo Capital Corp. (“SuRo Capital”) (Nasdaq: SSSS) today announced that it will report its financial results for the quarter ended March 31, 2025 after the close of the U.S. market on Tuesday, May 6, 2025. Management will hold a conference call and webcast for investors at 2:00 p.m. PT (5:00 p.m. ET). The conference call access number for U.S. participants is 866-580-3963, and the conference call access number for participants outside the U.S. is +1 786-697-3501. ...

Financial Performance - As of March 31, 2025, SuRo Capital's net asset value is estimated to be between $6.50 and $7.00 per share, compared to $6.68 per share at December 31, 2024[9]. - The total net assets increased from approximately $157.6 million at December 31, 2024, to approximately $181.7 million at March 31, 2025[9]. - The preliminary financial estimates provided are unaudited and subject to change, with actual results potentially differing materially[13]. Investment Activities - The company held positions in 37 portfolio companies as of March 31, 2025, including 32 privately held and 5 publicly held[11]. - During Q1 2025, SuRo Capital invested a total of $1.3 million in Orchard Technologies, Inc. and $1.0 million in Whoop, Inc.[11]. - Subsequent to the quarter-end, the company invested $5.0 million in Plaid Inc. on April 4, 2025[12]. Shareholder Information - There are 23,551,859 shares of common stock outstanding as of March 31, 2025[10]. Future Outlook - The company expects to announce its first quarter results for the period ended March 31, 2025, in May 2025[14]. - The company cautions that forward-looking statements regarding future performance involve risks and uncertainties that could cause actual results to differ materially[15]. - The company is not classified as an emerging growth company under the Securities Act[5].

Core Insights - SuRo Capital's portfolio has shown resilience despite volatile market conditions, highlighted by CoreWeave's IPO being the largest tech IPO since 2021 and OpenAI's record $40 billion financing at a $300 billion valuation [2][3] - The estimated net asset value of SuRo Capital is projected to be between $6.50 to $7.00 per share as of March 31, 2025 [4] Investment Portfolio Update - As of March 31, 2025, SuRo Capital held positions in 37 portfolio companies, including 32 privately held and 5 publicly held [5] - Recent investments include a $5 million investment in Plaid and a $1 million follow-on investment in WHOOP, alongside smaller investments in Orchard Technologies [3][5] - Liquid assets amounted to approximately $18.1 million, consisting of cash and securities of publicly traded portfolio companies [5] Financial Performance - SuRo Capital's net assets were approximately $157.6 million at the end of 2024, increasing to about $181.7 million by March 31, 2025 [4] - The company has repurchased a total of 1,413,294 of its 6.00% Notes due 2026, utilizing the full authorized funds of $35.3 million under its Note Repurchase Program [12] Share Repurchase Program - Since the inception of the Share Repurchase Program in August 2017, SuRo Capital has repurchased over 6 million shares for approximately $39.3 million, with an additional $25 million available for future repurchases [14]

Investment Strategy and Focus - The company aims to maximize total return primarily through capital gains on equity investments, with a secondary focus on income from debt investments[15]. - The company has adopted a disciplined investment strategy focusing on high-growth sectors such as software-as-a-service, artificial intelligence, and financial technology[16]. - The company believes that access to high-growth private technology companies is a key value proposition for shareholders[30]. - The company focuses on late-stage companies with shorter time horizons to expected liquidity compared to traditional venture capital funds[31]. - The company seeks to create a varied portfolio of non-controlling equity investments to minimize the impact of downturns in specific companies[36]. - The company has identified six key investment themes, including software-as-a-service and artificial intelligence, which have produced significant numbers of high-growth companies[39]. - The company operates as an internally managed, non-diversified closed-end management investment company, enhancing transparency for stockholders[20]. - The company maintains a diverse portfolio, with private portfolio companies representing 91.6% of total investments as of December 31, 2024[48]. Financial Performance - As of December 31, 2024, the fair value of the total portfolio investments is $209,380,742, an increase from $184,081,249 as of December 31, 2023, representing a growth of 13.5%[48]. - Total Investment Income for 2024 was $4,673,427, a decrease of 29.2% from $6,596,780 in 2023[462]. - Net Investment Loss for 2024 was $(13,951,287), compared to $(13,439,609) in 2023, indicating a slight increase in losses[467]. - Net Change in Unrealized Appreciation/(Depreciation) of Investments was $(18,968,978) in 2024, contrasting with a gain of $30,453,935 in 2023[467]. - Total Operating Expenses decreased to $18,624,714 in 2024 from $20,036,389 in 2023, a reduction of 7.0%[462]. - Net Change in Net Assets Resulting from Operations was $(38,124,247) in 2024, compared to a positive change of $5,066,822 in 2023[467]. - The net asset value (NAV) of the investment portfolio is determined quarterly, reflecting the fair value of investments[50]. - The net asset value per share fell to $6.68 in 2024, down from $7.99 in 2023, indicating a decrease of approximately 16.4%[456]. - The net assets decreased to $157.57 million in 2024 from $203.36 million in 2023, representing a decline of about 22.5%[456]. Compliance and Regulatory Requirements - The company is subject to diversification requirements as a RIC for U.S. federal income tax purposes, limiting investments in any single investment company to no more than 5% of total assets[61]. - The company must maintain at least 70% of its gross assets in qualifying assets to comply with the 1940 Act, impacting its investment strategy[68]. - The company has adopted a code of ethics to ensure compliance with federal securities laws and to manage personal investment transactions by its personnel[77]. - The company is required to conduct periodic examinations by the SEC to ensure compliance with the 1940 Act, which may affect operational transparency[66]. - The company has elected to qualify as a Regulated Investment Company (RIC) for U.S. federal income tax purposes, which requires distributing at least 90% of its investment company taxable income annually[93]. - The company must meet the 90% Income Test, deriving at least 90% of its gross income from qualifying sources, to maintain RIC status[97]. - The company is subject to a 4% nondeductible U.S. federal excise tax on certain undistributed income unless it meets specific distribution requirements[95]. - The company may face limitations on distributions due to asset coverage ratio requirements and financial covenants under loan agreements[99]. Investment Valuation and Classification - The company applies fair value accounting, with the majority of its investments classified as Level 3, indicating a high degree of judgment in valuation[511]. - The fair value of the company's investments may fluctuate significantly due to the inherent uncertainty of valuation, especially for those without readily available market values[521]. - The Board of Directors applies various valuation methodologies for investments without market quotations, including comparisons to secondary market transactions and analysis of financial ratios[519]. - The company engages independent valuation firms to appraise 100% of its investments without readily available market quotations[520]. - The company conducts a quarterly review of fair value hierarchy classifications, with reclassifications impacting Level 3 reported as transfers at the beginning of the measurement period[515]. Portfolio Composition - The company holds a 10% membership interest in the CW Opportunity 2 LP, with a fair value of $17,775,155, representing 11.28% of net assets[474]. - The investment in the ARK Type One Deep Ventures Fund has a fair value of $17,638,247, accounting for 11.19% of net assets[474]. - Preferred shares in Learneo, Inc. have a total fair value of $16,882,029, which is 10.71% of net assets[474]. - Blink Health, Inc. has preferred shares with a total fair value of $15,092,515, representing 9.58% of net assets[474]. - Whoop, Inc. holds preferred shares valued at $14,923,457, making up 9.47% of net assets[474]. - The company has invested in ServiceTitan, Inc. with common shares valued at $14,027,713, which is 8.90% of net assets[474]. - Total portfolio investments amounted to $256,809,654 with a fair value of $209,380,742, representing 132.88% of net assets[480]. - The largest investment is in StormWind, LLC, with preferred shares valued at $12,535,875, accounting for 6.16% of net assets[491]. Employee and Operational Structure - As of December 31, 2024, the company had ten employees, all located in the United States[24]. - The company has a source of permanent equity capital, allowing for long-term investments in portfolio companies without the pressure of returning capital on a defined schedule[4]. - The company must offer significant managerial assistance to portfolio companies, enhancing its role in the management and operations of its investments[72].

Financial Data and Key Metrics Changes - The company ended the fourth quarter with a net asset value (NAV) of $157.6 million or $6.68 per share, a decrease from $6.73 at the end of Q3 2024 [27][58] - The decrease in NAV per share was primarily driven by a $0.22 per share decrease from net change in unrealized appreciation, a $0.16 per share decrease due to net investment loss, and a $0.06 per share decrease from stock-based compensation [58] - The company reported liquid assets totaling approximately $23.6 million, representing 10% of gross assets [29][58] Business Line Data and Key Metrics Changes - The top five positions as of December 31 included CoreWeave, OpenAI, Learneo, Blink Health, and Whoop, accounting for approximately 44% of the investment portfolio at fair value [28] - The company made significant investments in AI infrastructure, including a $12 million investment in Vast Data and a $5 million follow-on investment in CoreWeave [46][14] - Vast Data reached over $200 million in annual recurring revenue (ARR) and has been cash flow positive for the last three years [26] Market Data and Key Metrics Changes - CoreWeave filed its S-1 ahead of an anticipated IPO, targeting a valuation greater than $35 billion and seeking to raise approximately $4 billion [11] - OpenAI is in talks to raise $40 billion at a $300 billion valuation, with expectations of revenue tripling from $3.7 million to over $12.5 million in 2024 [16][20] - Canva reported having over 220 million monthly users and generating approximately $2.5 billion in annualized revenue [33] Company Strategy and Development Direction - The company aims to provide access to market-leading private companies before they go public, with a focus on AI infrastructure and applications [6][10] - The company is optimistic about the reopening of the IPO window, with several anticipated IPOs in its portfolio [10] - Investments in AI infrastructure and consumer goods are seen as key growth areas, with significant capital allocated to these sectors [43] Management's Comments on Operating Environment and Future Outlook - Management expressed excitement about the current portfolio, highlighting the potential for upcoming IPOs and the strong performance of portfolio companies [42][79] - The company acknowledged recent market volatility but remains hopeful about the growth prospects of its investments, particularly in AI [66][77] - Management noted that the largest weight on the portfolio has been Learneo, which has been marked down significantly [67] Other Important Information - The company has a share repurchase program with approximately $25 million remaining authorized, set to expire on October 31, 2025 [59] - The company has repurchased a total of over 6 million shares since the inception of the program [59] Q&A Session Summary Question: What is the internal base case expectation for NAV growth in 2025? - Management does not typically provide guidance on future NAV but suggests that assumptions can be made based on current portfolio valuations and anticipated IPOs [64][66] Question: Should the company consider issuing additional notes to increase cash on hand? - Management is comfortable with the current capital structure and does not anticipate issuing more convertible securities at this time [72][73] Question: What is the total dollar amount of pre-IPO investments and the likelihood of them going public? - Management is hopeful that CoreWeave will go public soon, with other companies like Lime and Canva also expected to pursue IPOs within the next year [76][77]