Rand Capital Corporation · NASDAQ:RAND
Rand Capital — Q3 2025 Earnings Presentation
17 slides from Rand Capital's earnings presentation, Nov 7, 2025
Slide 1: Third Quarter 2025 Financial Results
THIRD QUARTER 2025 FINANCIAL RESULTS November 7, 2025 Daniel P. Penberthy President & CEO Margaret W. Brechtel EVP & CFO © 2025 Rand Capital Corporation Nasdaq: RAND
Slide 2: Disclaimer and Forward Looking Statements
DISCLAIMER AND FORWARD LOOKING STATEMENTS This presentation contains “forward-looking statements” within the changes in general economic and/or industry specific conditions; and (3) meaning of Section 27A of the Securities Act of 1933, as amended, and other risk factors as detailed from time to time
Slide 3: Q3 2025 Results: Disciplined Execution Driving Resilient Results
Q3 2025 RESULTS: DISCIPLINED EXECUTION DRIVING RESILIENT RESULTS (Results compared with the prior-year period unless otherwise noted) Navigating Market Uncertainty The Rand Building, Buffalo, NY • New deal origination remains slow; continuing to take a selective and patient approach to evaluating op
Slide 4: Delivering Cash Dividends
DELIVERING CASH DIVIDENDS (Results compared with the prior-year period unless otherwise noted) Consistent quarterly dividends, even through periods of lower investment activity Supported by strong liquidity and income-generating portfolio Dividend strategy remains a priority amid dynamic conditions
Slide 5: Portfolio Composition and Yield Focus
PORTFOLIO COMPOSITION AND YIELD FOCUS Fair Value Portfolio Mix ($ in millions) Fair value decline driven largely by Seyberts loan repayment and a $52.4 valuation adjustment to FSS, partially offset by new investments $44.3 $7.5 $7.7 Mix at quarter-end, based on fair value: $44.9 $36.6 83% Fixed-rate
Slide 6: Q3 2025 Portfolio Activity
Q3 2025 PORTFOLIO ACTIVITY Investments New investment of $2.5 million ($2.25 million term loan at 14% plus 1% PIK interest and a $250,000 equity investment) Direct mail marketing agency serving the travel/tourism, home services, and legal services sectors Funded follow-on debt investment of $400,000
Slide 7: Portfolio Industry Classification
PORTFOLIO INDUSTRY CLASSIFICATION September 30, 2025 June 30, 2025 Software Automotive Software Marketing, Health & 5% 6% 5% 6% Wellness Health and 7% Wellness 6% Automotive, 7% Professional Services Manufacturing Professional Services 37% 9% 37% Manufacturing 10% Distribution Consumer 13% Products
Slide 8: Top Five Portfolio Investments
TOP FIVE PORTFOLIO INVESTMENTS Investments at Year % of Total Company Industry Investment Type ($ in millions) Fair Value Acquired Portfolio Term note Consumer Product – Pet product Caitec, Inc. $4.9 2020 manufacturer and distributor 11% (12% +2% PIK) Equity Distribution - controlled expansion Term
Slide 9: Financial Review
FINANCIAL REVIEW © 2025 Rand Capital Corporation Nasdaq: RAND
Slide 10: Third Quarter Financial Summary
THIRD QUARTER FINANCIAL SUMMARY ($ in thousands, except per share data) Q3 2025 Q3 2024 Total investment income down 29% Total investment income $ 1,580 $ 2,218 • Reflects 27% reduction in interest from portfolio companies due to the repayment of seven debt Total expenses 596 1,334 instruments over
Slide 11: Net Asset Value Change: Q3 2025
NET ASSET VALUE CHANGE: Q3 2025 ($ in thousands) $56,714 $993 $53,622 ($2,927) ($296) ($861) Net assets at 6/30/2025 Net investment income Net realized loss on sales Net change in unrealized Cash dividend Net assets at 9/30/2025 and dispositions of appreciation/depreciation investments on investment
Slide 12: Strong Capital Position with No Leverage
STRONG CAPITAL POSITION WITH NO LEVERAGE Net Asset Value Composition At September 30, 2025 Total assets of $54.6 million was down 25% from Per Share Assets and Liabilities year-end 2024 $9.5 million in cash, up from $835,000 at year-end 2024 $3.20 $9.5 million consolidated cash No outstanding balanc
Slide 13: Well-Positioned for Strategic Growth as Market Conditions Evolve
WELL-POSITIONED FOR STRATEGIC GROWTH AS MARKET CONDITIONS EVOLVE Strategic Growth Outlook • Executing long-term strategy supported by resilient, yield-focused investment model • Monitoring early signs of market improvement to reaccelerate deal activity • Prioritizing income-generating debt investmen
Slide 14: Supplemental Information
SUPPLEMENTAL INFORMATION © 2025 Rand Capital Corporation Nasdaq: RAND
Slide 15: Adjusted Expenses (Non-GAAP)
ADJUSTED EXPENSES (N -GAAP*) ON Three months Three months Nine months Nine months ended ended ended ended September 30, September 30, September 30, September 30, 2025 2024 2025 2024 Total expenses $ 596,203 $ 1,333,930 $ 523,109 $ 5,213,568 Exclude expenses (credits) for capital gains incentive fees
Slide 16: Adjusted Net Investment Income per Share (Non-GAAP)
ADJUSTED NET INVESTMENT INCOME PER SHARE (N -GAAP*) ON Three months Three months Nine months Nine months ended ended ended ended September 30, September 30, September 30, September 30, 2025 2024 2025 2024 Net investment income per share $ 0.33 $ 0.34 $ 1.60 $ 0.47 Exclude expenses (credits) for capi
Slide 17: Third Quarter 2025 Financial Results
THIRD QUARTER 2025 FINANCIAL RESULTS November 7, 2025 Daniel P. Penberthy President & CEO Margaret W. Brechtel EVP & CFO © 2025 Rand Capital Corporation Nasdaq: RAND