Q1 25 EPS
$0.42
BEAT +13.61%
Est. $0.37
Q1 25 Revenue
$35.4M
BEAT +5.63%
Est. $33.5M
vs S&P Since Q1 25
-68.4%
TRAILING MARKET
RWAY -40.3% vs S&P +28.1%
Market Reaction
Did RWAY Beat Earnings? Q1 2025 Results
Runway Growth Finance cleared Wall Street's bar by a comfortable margin in the first quarter of 2025, posting earnings per share of $0.42 against a consensus estimate of $0.37, a beat of 13.61%, while revenue of $35.40 million topped expectations by … Read more Runway Growth Finance cleared Wall Street's bar by a comfortable margin in the first quarter of 2025, posting earnings per share of $0.42 against a consensus estimate of $0.37, a beat of 13.61%, while revenue of $35.40 million topped expectations by 5.63%, even as total investment income declined from $40.01 million a year earlier amid a shrinking portfolio. The most material driver behind the earnings beat was a combination of realized gains, including $6.06 million in net realized gains partly fueled by $8.94 million from affiliate investments, alongside tighter operating expenses that cushioned the drop in interest income. The portfolio stood at $1.00 billion in fair value across 52 companies at quarter-end, with a dollar-weighted annualized yield on debt investments of 15.4%. Looking ahead, CEO David Spreng pointed to the company's integration into the BC Partners platform and $315.40 million in available liquidity as key levers for selective, opportunistic deployment, supported by a freshly issued $107.00 million in 7.51% Series 2025A Senior Notes.
Key Takeaways
- • Dollar-weighted annualized yield on debt investments of 15.44%
- • Aggregate equity sale proceeds of $38.1 million generating $7.4 million in net realized gains
- • Principal prepayments of $71.9 million and $3.7 million from scheduled amortization
- • Lower total operating expenses of $19.8 million vs. $21.3 million year-over-year
- • Net unrealized losses on investments of $19.8 million weighed on net asset growth
RWAY YoY Financials
Q1 2025 vs Q1 2024, source: SEC Filings
RWAY Revenue by Segment
Business unit performance breakdown
“In the first quarter of 2025, Runway Growth advanced its platform strategy, enhancing origination channels as we seek to maximize our portfolio. For the first quarter, we delivered net investment income of $15.6 million, comfortably covered our quarterly distributions, and executed on three investments in existing portfolio companies. As officially part of the broader BC Partners platform, we believe we have ample liquidity to move both opportunistically and selectively when the right investments arise. Looking ahead, we are well positioned to optimize our portfolio while maintaining credit-first underwriting practices as we deliver strong returns for our shareholders.”
— David Spreng, Q1 2025 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% |