Q2 23 EPS
$0.49
BEAT +8.89%
Est. $0.45
Q2 23 Revenue
$41.9M
BEAT +99,650.00%
Est. $42,000
Did RWAY Beat Earnings? Q2 2023 Results
Runway Growth Finance Corp. Delivered a strong second quarter for 2023, reporting earnings of $0.49 per share on total investment income of $41.90 million, up sharply from $25.02 million in Q2 2022, as a larger investment portfolio and elevated inter… Read more Runway Growth Finance Corp. Delivered a strong second quarter for 2023, reporting earnings of $0.49 per share on total investment income of $41.90 million, up sharply from $25.02 million in Q2 2022, as a larger investment portfolio and elevated interest rates drove meaningful income growth across the business. Net investment income climbed to $19.68 million from $14.48 million a year earlier, with the dollar-weighted annualized yield on debt investments reaching 16.7% for the quarter, reflecting the company's credit-first strategy and predominantly senior secured loan portfolio. The $1.10 billion investment portfolio, spanning 49 companies, recorded no credit losses during the period, and a swing to $2.64 million in net unrealized gains from $16.20 million in unrealized losses in Q2 2022 helped lift net assets from operations to $22.32 million. With a pipeline exceeding $2.00 billion and acting CEO Greg Greifeld signaling selective deployment at favorable terms in the second half of 2023, Runway Growth appears positioned to sustain momentum despite a modest quarter-over-quarter contraction in NAV per share to $14.17.
Key Takeaways
- • Significantly larger loan portfolio driving higher total investment income
- • Rising interest rates boosting dollar-weighted annualized yield on debt investments to 16.7%
- • Net unrealized gains of $2.6 million versus $16.2 million unrealized losses in the prior year period
- • No credit losses during Q2 2023 or year-to-date
- • 99% senior secured term loan composition providing portfolio stability
RWAY YoY Financials
Q2 2023 vs Q2 2022, source: SEC Filings
RWAY Revenue by Segment
Business unit performance breakdown
“Runway Growth's second quarter results speak to our team's diligence and active portfolio management, both of which are critical elements in constructing our stable portfolio. With a robust pipeline exceeding $2 billion, Runway continued to execute against its credit-first strategy in pursuit of only the highest quality, late-stage companies. In all market cycles, Runway has prioritized capital preservation to protect its borrowers while delivering attractive, risk-adjusted returns to enhance shareholder value.”
— Greg Greifeld, Q2 2023 Earnings Press Release
RWAY Earnings Trends
RWAY vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
RWAY EPS Trend
Earnings per share: estimate vs actual
RWAY Revenue Trend
Quarterly revenue: estimate vs actual
RWAY Quarterly Results
12 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 MISS | $0.31 | $0.29 | -7.05% | $29.5M | -0.18% |
| Q4 25 MISS FY | $0.35 | $0.32 | -7.35% | $30.0M | -4.96% |
| FY Full Year | — | $1.55 | — | $137.3M | — |
| Q3 25 BEAT | $0.39 | $0.43 | +10.40% | $36.7M | +4.91% |
| Q2 25 MISS | $0.39 | $0.38 | -1.66% | $35.1M | +2.57% |
| Q1 25 BEAT | $0.37 | $0.42 | +13.61% | $35.4M | +5.63% |
| Q4 24 MISS FY | $0.42 | $0.39 | -6.70% | $33.8M | -6.42% |
| FY Full Year | $1.67 | $1.64 | -1.60% | $144.6M | -1.72% |
| Q3 24 MISS | $0.45 | $0.41 | -8.89% | $36.7M | -5.25% |
| Q2 24 MISS | $0.44 | $0.37 | -15.91% | $34.2M | -9.66% |
| Q1 24 BEAT | $0.45 | $0.46 | +2.22% | $40.0M | +0.00% |
| Q4 23 MISS FY | $0.49 | $0.45 | -8.16% | $39.2M | +0.00% |
| FY Full Year | — | $1.93 | — | $164.2M | — |
| Q3 23 BEAT | $0.47 | $0.54 | +14.89% | $43.8M | +8.44% |
| Q2 23 BEAT | $0.45 | $0.49 | +8.89% | $41.9M | +99,650.00% |