Core Insights - TriplePoint Venture Growth (NYSE: TPVG) experienced a significant share price increase following the release of its third fiscal quarter results [1] - The company slightly missed net investment income expectations but demonstrated overall strong performance in other areas [1] Financial Performance - The reported results indicate a strong operational performance despite the slight miss in net investment income [1]

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Financial Data and Key Metrics Changes - The company increased its NAV by 3% to $9.10 per share and over-earned its dividend, generating $13.8 million in net investment income (NII), equating to $0.35 per share [7][37] - The total investment income for the third quarter was $26.5 million with a portfolio yield of 15.7%, compared to $35.7 million and a portfolio yield of 15.1% for the prior year period [35] - Total operating expenses were $12.7 million, down from $16.6 million for the prior year period [36] Business Line Data and Key Metrics Changes - The company funded $33 million in debt investments to four portfolio companies, slightly down from $38.7 million in Q2 [23] - Debt investments funded this quarter carried a weighted average annualized portfolio yield of 13.4% at origination, down from 15.5% in Q2 [24] - The company had $70 million of additional signed term sheets for venture growth stage companies post the quarter's end [8] Market Data and Key Metrics Changes - Eight debt portfolio companies raised $656 million during the quarter, compared to nine portfolio companies raising $443 million in Q2 [28] - The company reported a net increase in net assets resulting from operations for the third quarter totaling $22.6 million or $0.57 per share, compared to $2.1 million or $0.06 per share for the same period last year [37] Company Strategy and Development Direction - The company plans to continue closely managing and monitoring the portfolio while diversifying investments in attractive sectors such as verticalized software, aerospace and defense, health tech, and AI [13][14] - The focus remains on companies that have recently raised capital, have ample cash runways, and are backed by select venture investors [13] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding gradual improvement in venture capital markets and increased investment opportunities in 2025 [19] - The company noted that the venture capital markets have not yet fully recovered, and the road to recovery remains uneven [15] Other Important Information - The company renewed its credit facility to $300 million during the quarter, with an accordion feature to increase it up to $400 million [8] - As of September 30, the company had estimated spillover income of $41.5 million or $1.03 per share [40] Q&A Session Summary Question: Implications of Trump's Presidential Election Win - Management indicated it is too early to assess the impact on venture markets but suggested a potentially favorable M&A environment could benefit capital markets activities [44][45] Question: Changes in Non-Accrual Costs - The decrease in non-accrual costs was attributed to the acquisition of Good Eggs by GrubMarket and the modification of loans to Moda Operandi [46][47] Question: Portfolio Company Driving Realized Loss - The realized loss was due to Good Eggs, resulting from the acquisition and receiving equity for debt instruments [48] Question: Decline in Interest Expenses - The decline was primarily due to lower utilization of the credit facility and lower expenses on the term loan [49] Question: Changes in Industry Sectors with Capital Inflows - Management noted gradual signals of increased investment activity in sectors such as space economy, defense, robotics, and cybersecurity [50][51] Question: Caution in Investment Timing - The company is being selective in lending to companies that attract follow-on capital, ensuring they are in sectors experiencing growth [52][53] Question: Current Valuations in Venture Capital - Management indicated a period of recalibration for certain companies, with some experiencing improving valuations, particularly within their portfolio [56][57]

Company Performance - TriplePoint Venture Growth (TPVG) reported quarterly earnings of $0.35 per share, exceeding the Zacks Consensus Estimate of $0.34 per share, but down from $0.54 per share a year ago, indicating a 35.19% year-over-year decline [1] - The company posted revenues of $26.52 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 3.39%, but down from $35.74 million year-over-year, reflecting a 25.5% decrease [2] - Over the last four quarters, TPVG has only surpassed consensus EPS estimates once and has topped consensus revenue estimates just once [2] Stock Performance - TPVG shares have declined approximately 40% since the beginning of the year, contrasting with the S&P 500's gain of 21.2% [3] - The current consensus EPS estimate for the upcoming quarter is $0.34 on revenues of $25.37 million, and for the current fiscal year, it is $1.40 on revenues of $107.39 million [7] Industry Outlook - The Financial - SBIC & Commercial Industry, to which TPVG belongs, is currently ranked in the bottom 27% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact TPVG's stock performance [5]

Investment Portfolio - As of September 30, 2024, the aggregate cost and fair value of investments were $739.0 million and $721.0 million, respectively[133]. - The portfolio consisted of 309 investments in 107 companies, including 137 debt investments with a fair value of $604.7 million and a weighted average loan to enterprise value ratio of 7.6%[133]. - As of December 31, 2023, the aggregate cost and fair value of investments were $850.1 million and $802.1 million, respectively[134]. - The portfolio included 321 investments in 109 companies, with 151 debt investments having a fair value of $730.3 million and a weighted average loan to enterprise value ratio of 7.9%[134]. - The largest industry sectors by fair value as of September 30, 2024, included Consumer Products and Services at $123.5 million (17.1%) and E-Commerce - Clothing and Accessories at $113.2 million (15.7%)[138]. - Total portfolio company investments at fair value as of December 31, 2023, amounted to $802,145,000, representing 100% of total investments[140]. - Growth capital loans constituted 95.0% of total debt investments at fair value as of September 30, 2024, valued at $574,663,000[141]. - The ending portfolio at fair value as of September 30, 2024, was $720,974,000, down from $870,178,000 in 2023[143]. - Total debt investments as of December 31, 2023, were $730,295,000, with growth capital loans making up 98.5% of this total[141]. - The company had investments in three portfolio companies on non-accrual status as of September 30, 2024, with an aggregate fair value of $17.9 million[148]. Financial Performance - For the three months ended September 30, 2024, the net increase in net assets resulting from operations was $22.6 million, compared to $2.1 million for the same period in 2023[149]. - The net investment income for the three months ended September 30, 2024, was $13.8 million, down from $19.1 million in the same period of 2023[149]. - Total operating expenses for the three months ended September 30, 2024, were $12.7 million, a decrease from $16.6 million for the same period in 2023[152]. - The company recognized net realized losses on investments of $5.0 million for the three months ended September 30, 2024, compared to $25.6 million for the same period in 2023[153]. - The net change in unrealized gains for the three months ended September 30, 2024, was $13.9 million, compared to $8.6 million for the same period in 2023[153]. - Total investment and other income for the three months ended September 30, 2024, was $26.5 million, down from $35.7 million in the same period of 2023[150]. - Base management fees for the three months ended September 30, 2024, were $3.4 million, down from $4.6 million for the same period in 2023[152]. - Average net asset value for the three months ended September 30, 2024, was $355.9 million, down from $379.1 million in 2023[158]. - Total return based on NAV for the three months ended September 30, 2024, was 7.6%, compared to 0.7% in 2023[157]. Cash and Debt Management - As of September 30, 2024, cash and cash equivalents were $48.6 million, down from $122.5 million in 2023[162][163]. - The company had $300.0 million in total commitments available under the Credit Facility as of September 30, 2024[165]. - Outstanding borrowings under the Credit Facility were $10.0 million as of September 30, 2024, down from $215.0 million at the end of 2023[165]. - The company recorded a net cash provided by operating activities of $106.3 million for the nine months ended September 30, 2024[162]. - The net cash used in financing activities during the same period was $229.3 million, primarily due to net repayments under the Credit Facility[162]. - Total payment obligations for debt repayment as of September 30, 2024 amounted to $405.0 million, with $70.0 million due in less than one year[171]. - Unfunded commitments totaled $74.0 million as of September 30, 2024, down from $118.1 million as of December 31, 2023[173]. - The fair value of unfunded commitments was $0.7 million as of September 30, 2024, compared to $1.6 million as of December 31, 2023[176]. Regulatory and Compliance - The company is externally managed and has elected to be regulated as a Business Development Company (BDC) under the 1940 Act[132]. - The company must distribute at least 90% of its net ordinary income to maintain RIC tax treatment, with potential distributions being subject to a 4% U.S. federal excise tax if requirements are not met[177]. - Cash distributions per share have been authorized since the initial public offering, with historical distributions potentially being less frequent or lower in amount in the future[177]. - For the three months ended September 30, 2024, distributions paid were comprised of interest-sourced distributions equal to 70.5% of total distributions paid[179]. - As of September 30, 2024, estimated undistributed taxable earnings from net investment income amounted to $41.5 million, or $1.03 per share[179]. - The Board declared a $0.30 per share regular quarterly distribution payable on December 27, 2024[183]. Risk Factors - The company faces risks including changes in laws and regulations, economic downturns, and interest rate volatility that could impact its financial condition and results of operations[131]. - Interest rate sensitivity may affect the company's earnings and portfolio values due to changes in interest rates[186]. - The company is subject to financial market risks, including changes in interest rates and capital market volatility, which could adversely affect its results of operations[185]. - A prolonged reduction in interest rates could decrease gross investment income and net investment income if not offset by increases in the spread over the Prime Rate[186]. - The company has established risk management systems to identify and analyze risks related to interest rates and funding costs[186]. - A hypothetical increase of 300 basis points in interest rates could lead to an increase in interest income of $10,649 thousand, while a decrease of 300 basis points could result in a decrease of $7,796 thousand[189]. - The company had no hedging transactions in place for interest rate risk or foreign currency exchange rate risk as of September 30, 2024, deeming the risk acceptable[190]. Legal Matters - A securities class action complaint was filed against the company, but the court granted a motion to dismiss on August 7, 2024, with final judgment entered on September 19, 2024[194]. - A derivative complaint against certain officers and directors was dismissed without prejudice on September 17, 2024[195].

Exhibit 99.1 1 TriplePoint Venture Growth BDC Corp. Announces Third Quarter 2024 Financial Results Net Investment Income of $0.35 Per Share and Increase in Net Asset Value Per Share of $0.27 for the Third Quarter Declares Fourth Quarter 2024 Distribution of $0.30 per Share Menlo Park, Calif., November 6, 2024 - TriplePoint Venture Growth BDC Corp. (NYSE: TPVG) (the "Company," "TPVG," "we," "us," or "our"), the leading financing provider to venture growth stage companies backed by a select group of venture c ...

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Group 1 - The Cash Flow Kingdom Income Portfolio aims to achieve an overall yield in the range of 7% - 10% by combining various income streams for a steady payout [1] - TriplePoint Venture Growth (NYSE: TPVG) is identified as a high-yielding business development company (BDC), but its portfolio is considered risky with disappointing net asset value performance [1] - The Cash Flow Club focuses on company cash flows and access to capital, offering features like a personal income portfolio targeting 6%+ yield and coverage of various sectors including energy midstream and commercial mREITs [1] Group 2 - Jonathan Weber has been active in the stock market and as a freelance analyst, focusing primarily on value and income stocks since 2014 [2]

Core Viewpoint - TriplePoint Venture Growth (TPVG) has faced significant challenges, including a recent 25% dividend cut and underperformance compared to peers in the Business Development Company (BDC) sector [2][3][19]. Performance Analysis - TPVG's stock has declined over 25% since the last analysis, while the S&P 500 has increased by over 1% [3]. - The company reported a net investment income (NII) of $15.5 million, barely covering the required dividend payment of $15.436 million [3]. - TPVG missed analysts' estimates for both top and bottom lines, with a miss of $0.02 on NII and $0.84 million on total investment income [3][7]. Comparison with Peers - Among Venture Capital-focused BDCs, TPVG has performed the worst, with a negative total return since the start of interest rate hikes in 2022 [5]. - Hercules Capital (HTGC) achieved a total return of 43.37%, while Trinity Capital (TRIN) saw nearly a 22% increase [6]. Latest Earnings - In Q2, TPVG reported total investment income of $27.11 million, missing estimates by $2.25 million [7]. - The portfolio value declined from $942 million to $713.8 million, a decrease of 24.22% over the past two years [7]. Positive Developments - TPVG experienced a 44% growth in signed term sheets, with $130.1 million in commitments [8]. - The company has $50 million in cash and $300 million available on its credit facility, which may provide liquidity for future investments [8]. Dividend Coverage - The board cut the dividend due to higher-than-expected repayments and reduced fundings [10]. - At the end of the quarter, TPVG had $39.3 million in spillover income, indicating potential short-term coverage of the $0.30 dividend [11]. Valuation - Following the dividend cut, TPVG trades at a 26.5% discount to its NAV of $8.83, which is higher than the average discount of 6.46% [14][15].

junce On our last coverage of TriplePoint Venture Growth (NYSE:TPVG) we gave it the two thumbs down and the second-highest danger rating on our proprietary Kenny Loggins scale. The BDC will cut its dividend, in our view, and then trade at a 20% discount to that NAV. VGANY VOGOLNS LOW TPVG 10-Q Previous Article As such, we're expecting mid $6.00s to be realized. The new dividend will likely be around 25-30 cents a share, and that should put a floor around that price as well. Source: Value Loss Vs. Valuation ...