Investment Strategy - Trinity Capital Inc. targets investments in growth-oriented companies with expected annual revenues of up to $100 million[389]. - The company aims to generate current income and capital appreciation primarily through term loans, equipment financings, and asset-based lending[388]. - Investments typically have initial interest-only periods of up to 24 months and total terms of up to 60 months[390]. - The company is required to invest at least 70% of total assets in qualifying assets under the 1940 Act[388]. - As of the latest report, substantially all of the company's investments are considered Level 3 assets due to the nature of lending to venture capital-backed companies[405]. Financial Performance - As of September 30, 2025, the company's investment portfolio had an aggregate fair value of approximately $2,192.4 million, up from $1,725.6 million as of December 31, 2024, representing a growth of 27.2%[412]. - The company recorded $1.4 million and $2.7 million in dividend income for the three and nine months ended September 30, 2025, respectively, compared to $0.5 million and $1.0 million for the same periods in 2024, indicating a significant increase of 180% and 170%[410]. - Total investment income for the three months ended September 30, 2025, was approximately $75.6 million, an increase of 22.3% from $61.8 million in the same period of 2024, with an effective yield of 15.0%[432]. - Net investment income for the three months ended September 30, 2025, was approximately $37.0 million, compared to $29.4 million for the same period in 2024, representing a 25.8% increase[440]. - The net realized losses on investments for the three months ended September 30, 2025, were approximately $(20.0) million, compared to $(13.9) million for the same period in 2024[443]. Portfolio Management - The company has engaged independent valuation firms to assist in valuing its investments, particularly those with potential for material fluctuations[401]. - The company's ten largest portfolio companies represented approximately 24.6% of the total fair value of investments as of September 30, 2025, down from 26.7% as of December 31, 2024[417]. - The weighted average time to maturity of the debt in the portfolio was approximately 3.3 years as of September 30, 2025, compared to 3.2 years as of December 31, 2024[415]. - The company’s portfolio management team utilizes an ongoing investment risk rating system to monitor outstanding loans and equipment financings, ensuring proactive risk management[421]. - As of September 30, 2025, loans to three portfolio companies and equipment financings to one portfolio company on non-accrual status totaled approximately $56.2 million, with a fair value of approximately $20.7 million, representing 1.0% of the Company's debt investment portfolio[430]. Capital Structure and Financing - The company completed its initial public offering on February 2, 2021, raising capital through the sale of 8,006,291 shares at $14.00 per share[393]. - The company received an aggregate of $607.8 million in proceeds from repayments and sales of investments during the nine months ended September 30, 2025, including $224.3 million from early repayments on debt investments[418]. - The asset coverage ratio as of September 30, 2025, was approximately 184.2%, allowing the company to potentially borrow $2 for every $1 of investor equity[459]. - Total contractual obligations as of September 30, 2025, amounted to $1,191.758 million, with $125.354 million due within one year[465]. - The company intends to pay quarterly distributions to stockholders, with the most recent distribution of $0.51 per share declared for September 30, 2025[466][467]. Market and Risk Factors - The company is subject to financial market risks, including valuation risk and interest rate risk, which could materially impact its market risks[479]. - The company may hedge against interest rate and currency exchange rate fluctuations using standard hedging instruments, which could limit its ability to benefit from lower interest rates[486]. - The company’s net income could be impacted by hypothetical changes in interest rates, with a 300 basis points increase in the Prime Rate potentially resulting in a net income increase of $34.931 million[484]. - The company has minimal exposure to currency risk as payments from foreign domiciled portfolio companies are primarily received in U.S. dollars[485]. Stock Performance - As of November 3, 2025, the last reported closing sales price of the common stock was $15.12 per share, representing a premium of approximately 13.6% to the net asset value per share of $13.31[470]. - The net asset value per share is determined at the end of each quarter and may not reflect the value on the date of high and low closing sales prices[471]. - The company’s shares may trade at a market price that is less than the net asset value per share, with potential for trading at unsustainable premiums or discounts[472]. Corporate Governance - The company formed a wholly-owned subsidiary, Trinity Capital Adviser LLC, to provide investment advisory services[394]. - The company has entered into indemnification agreements with its directors and executive officers to provide maximum indemnification permitted under Maryland law[474].

Investment Income - Total investment income for Q3 2025 was $75.6 million, a 22.3% increase year-over-year from $61.8 million in Q3 2024[3] - Net investment income (NII) reached $37.0 million, or $0.52 per basic share, reflecting a 25.9% growth compared to $29.4 million, or $0.54 per share, in Q3 2024[4] - Total investment income for the three months ended September 30, 2025, was $75,550 thousand, a 22.2% increase from $61,766 thousand in the same period of 2024[35] - Net investment income for the three months ended September 30, 2025, was $36,966 thousand, compared to $29,360 thousand for the same period in 2024, reflecting a growth of 25.9%[35] Asset and Liability Management - Net Asset Value (NAV) increased by 31.9% year-over-year to $998.3 million, or $13.31 per share, up from $923.6 million at the end of Q3 2024[4] - Total assets increased to $2,246,935 thousand as of September 30, 2025, up from $1,774,241 thousand on December 31, 2024, representing a growth of 26.6%[33] - Total liabilities rose to $1,248,671 thousand as of September 30, 2025, up from $951,259 thousand on December 31, 2024, marking a 31.2% increase[33] - Net asset value per share decreased slightly to $13.31 as of September 30, 2025, from $13.35 on December 31, 2024[33] Investment Activities - The company funded total gross investments of $470.6 million, including $272.0 million to 17 new portfolio companies and $175.5 million to 20 existing portfolio companies[4] - Total investment exits and repayments amounted to $255.7 million, with $120.4 million from investments sold to multi-sector holdings[4] Expenses and Financial Performance - Operating expenses for Q3 2025 were $17.6 million, an increase from $15.5 million in Q3 2024, primarily due to higher compensation and professional fees[5] - Interest expense rose to $21.0 million in Q3 2025 from $16.9 million in Q3 2024, attributed to increased weighted average debt outstanding[6] - Total gross expenses for the three months ended September 30, 2025, were $38,895 thousand, an increase of 21.8% from $31,913 thousand in the same period of 2024[35] - The company reported a net increase in net assets resulting from operations of $27,645 thousand for the three months ended September 30, 2025, compared to $24,400 thousand in the same period of 2024, reflecting a growth of 9.2%[35] Liquidity and Credit Facilities - The company had approximately $217.9 million in available liquidity, including $9.5 million in unrestricted cash[17] - The KeyBank credit facility was expanded by $90 million, increasing total commitments from $600 million to $690 million[18] Dividends - The company declared a regular dividend of $0.51 per share for Q3 2025, marking the 23rd consecutive quarter of consistent or increased regular dividends[4] Unrealized and Realized Gains - Net realized loss from investments was $20,025 thousand for the three months ended September 30, 2025, compared to a loss of $13,880 thousand in the same period of 2024[35] - Net change in unrealized appreciation from investments was $10,704 thousand for the three months ended September 30, 2025, compared to $8,920 thousand in the same period of 2024, indicating an increase of 20.8%[35] Shareholder Information - Weighted average shares outstanding (basic) increased to 71,467,831 for the three months ended September 30, 2025, compared to 54,412,566 in the same period of 2024[35]

Core Insights - The article discusses Hercules Capital, Inc. (NYSE: HTGC) and compares it with Trinity Capital Inc. (TRIN) to evaluate their financial strategies and performance [1]. Group 1: Company Overview - Hercules Capital, Inc. is highlighted as a significant player in the financial management sector, particularly in shaping financial strategies for top-tier corporates [1]. - Trinity Capital Inc. is mentioned in the context of a comparative analysis with Hercules Capital, indicating a focus on investment opportunities within the sector [1]. Group 2: Analyst Background - Roberts Berzins, with over a decade of experience in financial management, has contributed to institutionalizing the REIT framework in Latvia, enhancing liquidity in pan-Baltic capital markets [1]. - His expertise includes developing national SOE financing guidelines and frameworks for channeling private capital into affordable housing [1].

Core Insights - The article discusses Hercules Capital, Inc. (NYSE: HTGC) and compares it with Trinity Capital Inc. (TRIN) to evaluate their financial strategies and performance [1] Company Overview - Hercules Capital, Inc. is highlighted for its financial management and investment strategies, particularly in the context of the broader capital markets [1] Analyst Background - Roberts Berzins, with over a decade of experience in financial management, has contributed to shaping financial strategies for top-tier corporates and has been involved in institutionalizing REIT frameworks in Latvia [1] Market Development - Efforts have been made to enhance the liquidity of pan-Baltic capital markets, including the development of national SOE financing guidelines and frameworks to channel private capital into affordable housing [1]

Group 1 - The article discusses Trinity Capital Inc. (NASDAQ: TRIN) and its baby bonds, highlighting that the entire Business Development Company (BDC) sector is currently under pressure [1] - The investing group Trade With Beta provides features such as frequent picks for mispriced preferred stocks and baby bonds, weekly reviews of over 1200 equities, IPO previews, hedging strategies, and an actively managed portfolio [1] - The article emphasizes that the author has a beneficial long position in the shares of TRIN, indicating a personal investment interest in the company [1]

Core Insights - Trinity Capital Inc. has committed $15 million in growth capital to Kard Financial, Inc., a commerce media network focused on enhancing engagement and loyalty for fintechs and financial institutions through merchant-specific rewards [1][3]. Company Overview - Trinity Capital Inc. is an alternative asset manager that aims to provide consistent returns through private credit markets, having deployed over $4.7 billion across more than 420 investments since its inception in 2008 [4]. - Kard Financial operates a flexible, API-first platform that allows financial institutions and fintechs to create customized rewards ecosystems, reaching tens of millions of consumers and processing over $10 billion in transactions monthly [2][5]. Strategic Importance - The partnership with Kard is expected to modernize loyalty programs and enhance accessibility within the rewards ecosystem, facilitating growth and market expansion for Kard [3]. - Kard's use of first-party transaction data and AI-driven insights enables the creation of personalized rewards that foster loyalty and drive customer engagement for both financial institutions and merchants [2][5].

Core Viewpoint - Trinity Capital Inc. (NASDAQ: TRIN) is positioned for potential growth, with UBS setting a price target of $17, indicating a 14.17% upside from its current price of $14.89 [1][5]. Investment Activity - TRIN has invested $130 million in Candel Therapeutics, a biopharmaceutical company focused on cancer-fighting viral immunotherapies, which may enhance TRIN's portfolio and future earnings [2][5]. Stock Performance - TRIN's stock is currently priced at $14.98, reflecting a slight increase of 1.01% with a price change of $0.15, and has shown volatility with a trading range between $14.72 and $15.015 today [3][5]. - Over the past year, TRIN's stock has fluctuated between a low of $12.50 and a high of $16.82 [3]. Market Metrics - TRIN's market capitalization is approximately $1.05 billion, indicating its size and market presence [4]. - The stock has a trading volume of 365,074 shares, demonstrating active investor interest which can influence price movements [4][5].

Core Viewpoint - Candel Therapeutics has secured a five-year, $130 million term loan facility with Trinity Capital to enhance its financial position and support the initiation of pivotal clinical trials for its lead product candidate, CAN-2409, in non-small cell lung cancer (NSCLC) and localized prostate cancer [1][2][3]. Financial Details - The loan facility consists of four tranches, with an initial draw of $50 million at closing, and an additional $80 million available based on the achievement of specific milestones [2][6]. - The interest rate on the loan is set at 10.25% per annum, with an interest-only period of 36 months, extendable for an additional 12 months upon meeting certain commercial milestones [2]. Strategic Implications - The financing will allow the company to initiate a pivotal phase 3 clinical trial of CAN-2409 in NSCLC in Q2 2026 and prepare for a potential Biologics License Application submission for prostate cancer in Q4 2026 [3][9]. - Candel Therapeutics aims to focus its resources on early localized prostate cancer and NSCLC, while seeking external partnerships for the development of CAN-2409 in pancreatic ductal adenocarcinoma (PDAC) [3][9]. Clinical Development - Candel has completed successful phase 2a clinical trials for CAN-2409 in both NSCLC and PDAC, and is advancing towards a pivotal phase 3 trial for localized prostate cancer [9]. - The company has received multiple designations from the FDA, including Fast Track and Orphan Drug Designation for CAN-2409 in various indications [9]. Company Overview - Candel Therapeutics is a clinical-stage biopharmaceutical company focused on developing multimodal biological immunotherapies to combat cancer, with its lead product candidate being CAN-2409 from its adenovirus platform [8].

Core Insights - Trinity Capital Inc. has committed $130 million in growth capital to Candel Therapeutics, a clinical-stage biopharmaceutical company focused on viral immunotherapies for cancer treatment [1][4] Company Overview - Candel Therapeutics is developing off-the-shelf cancer treatments that utilize the patient's immune system to combat various cancers, including prostate, pancreatic, lung, and brain cancer [2][6] - The company has received multiple FDA designations for its therapies, including Regenerative Medicine Advanced Therapy Designation and Fast Track Designation for localized prostate cancer and non-small cell lung cancer [2][6] Investment Details - The investment from Trinity Capital will support the clinical development of Candel's lead therapy, CAN-2409, and activities related to its pre-commercialization and launch for prostate cancer, pending regulatory approval [3][4] - This partnership is seen as a pivotal moment for Candel, enhancing its financial position and accelerating the advancement of its innovative therapies [4] Clinical Development - Candel's CAN-2409 has completed successful phase 2a clinical trials for non-small cell lung cancer and pancreatic ductal adenocarcinoma, and is undergoing a pivotal phase 3 trial for localized prostate cancer [6] - CAN-3110, another product candidate, is currently in a phase 1b clinical trial for recurrent high-grade glioma and has received Fast Track and Orphan Drug Designations from the FDA [6] Strategic Positioning - Trinity Capital aims to deliver consistent returns through investments in growth-oriented companies across various sectors, including life sciences, having deployed over $4.7 billion across more than 420 investments since its inception [5]

Group 1 - Business development companies (BDCs) have experienced significant declines in the past month due to fears in the lending markets stemming from lower interest rates [1] - The fundamentals of most BDCs remain strong despite the market downturn [1] - The article reflects an income-oriented investment strategy focused on high-yield income sources such as BDCs, REITs, CEFs, and ETFs to enhance retirement income [1] Group 2 - The author emphasizes the importance of conducting due diligence before making investment decisions, highlighting the unpredictability of market psychology [1] - The article does not provide specific investment recommendations or advice, indicating that past performance is not indicative of future results [2]