XXXX. deliver and challenging of second and to for continued results you operating steps and market in the Michael, earnings and company economic today. took continued strong growth the volatile all and thank more capital to you, Hercules Despite position Thank for joining asset in half a us further additional environment, QX Capital
delivered that record our a quarter. of equity the $X.XX record in first billion time commitments have originations new over with history QX debt gross and performance over of commitments Our QX in billion, in we $X continued
Our the $XXX were strong also quarter gross during over million. with fundings
million. delivered record this net net portfolio of debt first remained we $XXX Similar the the second over debt half per that XXXX, QX fundings share of XXXX quarter income XXXX. This, the the NII million drive half $XXX investment continue million low, of during and our record to second payoffs record from growth XXXX. QX, with half $XXX a which and and early of of the during combined billion higher half of growth portfolio will we core anticipate over QX, gross commitments in We saw raise us put to first increase last in quarterly investment has during distribution sequential of strong strong in record $X.XX in debt For the our second for to resulted to gross able first months. base and be equity environment, rate $X.XX the XX to current our position base for a distribution what
we markets a And over million, a capital XXXX. of during Our result, executed our the series and remains QX, as in outlook us transactions originations great half of into favorable. second position position which $XXX a put heading to boosted on on liquidity
some recap for our performance Let the me of of QX. highlights key
and life technology activity teams during quarter. again sciences the our Our driven by record strong originations QX delivering once both was performance
that expertise demonstrated investment evenly nearly Having we commitments core between sciences. new XX X domain funded in XX companies technology capital significant verticals, quarter life balance Our sciences the and consistently a the both relationships. focus funding be activity to QX, new commitments of us in were continues in the life the market. technology ability of specific during and and between an deliver the which We different on advantage to for originations borrower in and split verticals XX competitive with individuals over and our to were our team area
our XXXX, half For scale which expand borrower new further added XX of relationships, market. have we first in the the
for new show were milestones our activity funding companies and the able strength relationship to to during portfolio again achieve addition portfolio strong that funding with quarter. continue In expand companies, numerous performance once we to
As prudent and of ratio new record has should combined the irrespective underwriting, loan to result funding closing debt funding-to-commitment next delivered continue portfolio on from at drive commitments billion originations. a of $X.XX conservative and our for equity continued This, well we transactions strong as several recent in declined slightly. our later-stage larger that new quarters activity the existing the of with focus XXXX, and the over market as
start term, XXXX, $XXX capital Since In our near million as of ever of have currently expire pending team of of million that we addition, prior to XX, commitments further of deal has we this close $XXX our $X period. that the July portfolio the will out billion, commitments XXXX, closed drive of or available and $XXX term drawn will over this is have strongest unfunded which anticipate million commitments the exceeds we approximately closed and year new delivered in expiration. QX signed assuming already XX% $XXX million additional growth sheets. commitments which an in any to is new and year-to-date pending through currently nonbinding Combined,
QX, bit for We given expect moderate QX this slightly trend seasonality that a slower a to but for continue is originations. in new quarter typically
Volatility and in investments. Our companies of for particularly billion healthy exceed the continues remains potential accelerated markets, new to currently deal active pipeline across very stage equity QX. growth and $X
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QX, debt X% new the maintain environment Although similar Hercules million at BDCs during and successfully second for has cost $XXX raising more quarter. vehicles capital challenging, of to was the and over for become capital many our able raise of capital
environment, business stage. did not underwriting new do irrespective earnings market expect more previous to asset negatively on continued the conditions, current may risk equity terms increased This a markets we Based portfolio QX, an and we to higher Consistent with later companies terms volatility indicated long-term it as our historical short again net in selective where we macro to growth. on new chase for than market potential certain while are credits calls, of we credit, to being on a year-to-date. benefit we of disciplined this market growth-stage volatility of net and and transactions. are even term challenging exactly emphasis debt susceptible in our for seen yields certain underwriting And is to we to we is patient more companies net normal we As and increasingly be approach value investment on end it impact in have what remain intend originations, at profile and established and the downturn. believe industries more the that plan avoiding increasing time, are risk-adjusted with better opportunities
company X the IPOs, the pressure transactions. portfolio M&A exits in liquidity ongoing including X Year-to-date, continue companies complete reflect had markets. to QX X the their industry QX, During and equity in events or companies we've announce for complete and
public have registered that transaction. into we via their or entered X or SPAC IPOs have to for merger definitive have companies addition, go In agreements
$XX the several loan and in and uncertain across markets. addressable QX our were million we cautious, expect repayments next M&A guidance IPO from accelerate million, the to market quarters As to significant approximately well decrease our of a $XXX million remains $XX million over XXXX. below Early $XXX
resulted While strong the the strong of reduced growth in level it our XXXX. in net prepayments share, very debt portfolio lower the which early us quarter, well NII for second of per positions growth in half loan earnings QX
we prepayments we $XXX In million we $X.XX this of of share. the $XX.X $XX million expect XXXX, quarter. and to investment in could and be change low QX and total generated progress remain income million, net $XX.X investment million income or per although as QX, For between
were took with been rate share the quarter, even during the approximately increases lower place our that beginning the QX of have at place would prepayment interest the activity of during per $X.XX QX quarter. in that level NII Assuming the
income, a from over received of During record QX, benefit core any excludes portfolio generated payoffs. our of which early million $XX
core is QX investment net base investment increase in the distribution share Our quarter. per and will income that income and in that fully income third recently raised will further net both expectation the cover
with liquidity QX. Credit of quality XX.X% at Our XX.X%, of a portfolio debt across XX.X% and well a leverage GAAP very investment generated remains which strong reported very continued was balance in positioned. guidance for yield of what our robust yield and our remains a we sheet effective With QX regulatory net core with the our portfolio quarter. conservative the in consistent consistent and platform,
of rating in credit internal the slightly than average was weighted QX. rating higher Our X.XX X.XX
slightly XX.X% X QX Grade credits to at QX. X compared XX.X% were QX. to Our in and also in XX% Grade versus higher XX.X% X in slightly decreased credits
debt Our with of QX, portfolio billion the a credit by of and a strategic credits loans the X has X.X% and on value our believe an our investment investments company's and X strategy our increased us credit and diversified and once X.X% active key across of strong respectively, $XX.X of at capital approximately X.X% $X or QX, inception, in with performance. cost and nonaccrual the this two should Capital up well total rated X and fair respectively. In value, Hercules quarter. of equity Since defensive million cost as rated portfolio portfolio. over serve We raising total made in of that million, diversification our as represented the portfolio credits of our during and number with environment. emphasized investment remained discipline $X.X positioning companies again cornerstones investment and X.X% percentage raising
monitor. For ample factor liquidity, just important we that one having it's our portfolio companies
X on recent estimate entire As have update of current a months When liquidity we brief portfolio. the volatility, liquidity looking make our our with provide are balance at wanted debt currently another of has investment across months outstanding of that debt portfolio. X result the we or which investment months of sheet. portfolio approximately on approximately their portfolio, of what XX-plus our less a to outstanding XX market to of XX% X% we up XX% with seeing liquidity Loans,
to with of forward spillover of million, The We fund ability The XXXX, of ample our QX par venture and efforts of of XXXX's activity us invest its ongoing over undistributed investment remained -- the to capital with $XXX provides commitments spillover $XXX broader going to coverage earnings QX per respect with QX record team, we activity million which timely and half Association. the continues for and pace our ecosystem $X.XX of our $X equity to on activity. at $XXX to first pace exceed PitchBook write-off our investment healthy to platform. equity had gathered in continued activity on our and of one to losses added was undistributed with ability the realized $XXX level share. the million. National due activity write-off according Venture with of of the position to due and Hercules offset us billion, of with team data realized activity while million, $XXX public gains positions. $X.X million warrant by and flexibility million of and earnings $X.X distributions investment billion XXXX. to QX, Fundraising fundraising and This at with the Thanks gross continue exited the net During tremendous with to business or $X.X legacy billion million, ended finance by strong comprised shareholder unfunded anticipated available $XXX of Capital liquidity continues provide its
declared base a we $X.XX of distribution our For once $X.XX supplemental increased again from $X.XX, to per QX, distribution share. and
distribution half and power our the closing, will as conditions materialize. the particular earnings quarterly remain well of NII variable of to of momentum all continued We on net advantage are generating first and the to the a positioned and income to business. aspects debt XXXX, evaluate result, continue market the that focus assets, we grow take from through core growth has portfolio growth base we and with expecting a In our
will and sheet disciplined balance invest to steadfast We in maintaining new on strong our continuing themes a remain with teams of our core and underwritings staying while platform.
companies, over the now management Seth. that many We make to thankful call will their the to partner of I investors continue Hercules and to turn choice. teams, are
