wt-20260630

Table of Contents

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

(Mark One)


☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2026


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number 814-01698

Willow Tree Capital Corporation

(Exact name of registrant as specified in its charter)


Maryland						93-2706372
(State or other jurisdiction of incorporation or organization)						(I.R.S. Employer Identification No.)

450 Park Avenue, 29th Floor, New York, NY						10022
(Address of principal executive offices)						(Zip Code)

Registrant’s telephone number, including area code: (212) 218-1090

Title of each class

Trading
Symbol(s)

Name of each exchange on which registered

N/A

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large accelerated filer	o	Accelerated filer	o
Non-accelerated filer	x	Smaller reporting company	o
		Emerging growth company	x

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of August 12, 2026, the registrant had 27,615,211 shares of common stock, $0.01 par value per share, outstanding.

Table of Contents

TABLE OF CONTENTS


		Page
Part I - Financial Information		3
Item 1.	Consolidated Statements of Assets and Liabilities as of June 30, 2026 (unaudited) and December 31, 2025	3
	Consolidated Statements of Operations for the three and six months ended June 30, 2026 (unaudited) and June 30, 2025 (unaudited)	4
	Consolidated Statements of Changes in Net Assets for the three and six months ended June 30, 2026 (unaudited) and June 30, 2025 (unaudited)	5
	Consolidated Statements of Cash Flows for the six months ended June 30, 2026 (unaudited) and June 30, 2025 (unaudited)	6
	Consolidated Schedule of Investments as of June 30, 2026 (unaudited) and December 31, 2025	7
	Notes to Consolidated Financial Statements (unaudited)	21
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	41
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	57
Item 4.	Controls and Procedures	59
Part II - Other Information		60
Item 1.	Legal Proceedings	60
Item 1A.	Risk Factors	60
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	60
Item 3.	Defaults Upon Senior Securities	60
Item 4.	Mine Safety Disclosures	60
Item 5.	Other Information	60
Item 6.	Exhibits	61
Signatures		62

Table of Contents

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

This Quarterly Report on Form 10-Q contains forward-looking statements regarding the plans and objectives of management for future operations. Any such forward-looking statements may involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by any forward-looking statements. Forward-looking statements, which involve assumptions and describe our future plans, strategies and expectations, are generally identifiable by use of the words “may,” “will,” “should,” “expect,” “anticipate,” “estimate,” “believe,” “intend,” “target,” “goals,” “plan,” “forecast,” “project,” other variations on these words or comparable terminology, or the negative of these words. These forward-looking statements are based on assumptions that may be incorrect, and we cannot assure you that the projections included in these forward-looking statements will come to pass. Our actual results could differ materially from those expressed or implied by the forward-looking statements as a result of various factors, including the factors discussed in Item 1A entitled “Risk Factors” in Part I in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025, Item 1A entitled “Risk Factors” in Part II of this Quarterly Report on Form 10-Q and elsewhere in this Quarterly Report on Form 10-Q.

The following factors are among those that may cause actual results to differ materially from our forward-looking statements:

•Our future operating results;

•Our business prospects and prospects of our portfolio companies;

•The ability of our portfolio companies to achieve their objectives;

•Changes in political, economic, or industry conditions, the interest rate environment, imposition of tariffs, the risk of future government shutdowns or conditions affecting the financial and capital markets;

•Our contractual arrangements and relationships with third parties;

•Volatility of leveraged loan markets;

•The adequacy of our financing sources and working capital;

•Risk of borrower default;

•Interest rate volatility could adversely affect our results, particularly because we intend to use leverage as part of our investment strategy;

•Actual and potential conflicts of interest with Willow Tree Capital Corp Advisors LLC (the "Adviser") and its affiliates;

•Our ability to make distributions;

•Changes to the fair value of our investments;

•Geo-political conditions, including revolution, insurgency or war including those arising out of the ongoing war between Russia and Ukraine, the conflicts in the Middle East, the ongoing turmoil in Europe and South America, and general uncertainty surrounding the financial and political stability of the United States, the United Kingdom, the European Union and China;

•The impact of increased competition among other entities and our affiliates for investment opportunities;

•Competition with other entities and our affiliates for investment opportunities;

•The ability of our Adviser to locate suitable investments for us and to monitor and administer our investments;

•The ability of our Adviser to attract and retain highly talented professionals;

•Risks related to the uncertainty of the value of our portfolio investments, particularly those having no liquid trading market;

•Our ability to qualify for and maintain tax treatment as a regulated investment company ("RIC") under Subchapter M of the Internal Revenue Code of 1986, as amended (the "Code"), and as a business development company ("BDC") under the Investment Company Act of 1940, as amended (the "1940 Act");

•The impact of information technology system failures, data security breaches, data privacy compliance, network disruptions, and cybersecurity attacks, and the increasing use of artificial intelligence and machine learning technology; and

•Future changes in laws or regulations and conditions in our operating areas.

Although we believe that the assumptions on which these forward-looking statements are based are reasonable, any of those assumptions could prove to be inaccurate, and as a result, the forward-looking statements based on those assumptions also could be inaccurate. We have based the forward-looking statements included in this Quarterly Report on Form 10-Q on information available to us on the date of this Quarterly Report on Form 10-Q, and we assume no obligation to update any such forward-looking statements, unless we are required to do so by applicable law. However, you are advised to consult any additional disclosures that we may make directly to you or through reports that we may file in the future with the Securities and Exchange Commission (the “SEC”), including annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K.

Table of Contents

Part I. Financial Information

Item 1. Financial Statements

WILLOW TREE CAPITAL CORPORATION

Consolidated Statements of Assets and Liabilities

(in thousands, except share and per share amounts)


	As of June 30,		As of December 31,
	2026		2025
Assets	(unaudited)
Investments, at fair value:
Non-controlled, non-affiliated investments (cost of $918,011 and $876,688 at June 30, 2026 and December 31, 2025, respectively)	$	921,452	$	884,414



Cash	37,790		27,591
Receivable for investments sold	24,130		17,953
Deferred financing costs	5,556		6,496
Interest, dividends and fee receivable	5,206		5,363


Prepaid expenses and other assets	36		85
Total assets	$	994,170	$	941,902

Liabilities
Borrowings	$	531,265	$	531,190
Distribution payable	11,166		9,242
Interest payable	7,112		7,831
Payable for investments purchased	3,045		—
Investment income incentive fees payable	2,154		1,616
Management fees payable	1,312		1,044
Contributions received in advance	475		—
Accrued capital gains incentive fees	468		969

Accrued expenses and other liabilities	2,779		2,366
Total liabilities	$	559,776	$	554,258

Commitments and contingencies (see Note 7)

Net Assets
Common stock, $0.01 par value, 200,000,000 shares authorized, 27,234,435 and 24,058,078 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively	$	272	$	241
Additional paid in capital	432,781		381,471
Distributable earnings (loss)	1,341		5,932
Total net assets	$	434,394	$	387,644
Total liabilities and net assets	$	994,170	$	941,902
Net asset value per share	$	15.95	$	16.11

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents

WILLOW TREE CAPITAL CORPORATION

Consolidated Statements of Operations (Unaudited)

(in thousands, except share and per share amounts)


	For the three months ended June 30,				For the six months ended June 30,
	2026		2025		2026		2025
Investment income:
From non-controlled, non-affiliated investments:
Interest income	$	20,837	$	16,371	$	41,350	$	30,090
PIK interest income	1,337		789		2,624		1,519


Other income	71		176		88		360
Total investment income from non-controlled, non-affiliated investments	22,245		17,336		44,062		31,969












Total investment income	22,245		17,336		44,062		31,969

Expenses:
Interest and borrowing expenses	7,867		7,221		15,873		13,558
Investment income incentive fees	1,481		962		2,871		1,767
Management fees	1,312		913		2,507		1,639
Professional fees	470		574		1,027		1,130

Administration fees	190		129		377		254

Capital gains incentive fees(1)	(259)		—		(501)		—
Other general and administrative expenses	558		804		1,310		1,251
Total expenses	11,619		10,603		23,464		19,599







Net investment income	10,626		6,733		20,598		12,370

Net realized gain (loss):
Non-controlled, non-affiliated investments	74		—		74		—
Foreign currency transactions	(2)		—		(2)		—


Net realized gain (loss)	72		—		72		—

Net change in unrealized appreciation (depreciation):
Non-controlled, non-affiliated investments	(2,356)		996		(4,150)		2,850
Foreign currency transactions	(15)		—		(136)		—
Net change in unrealized appreciation (depreciation)	(2,371)		996		(4,286)		2,850
Net realized and unrealized gain (loss)	(2,299)		996		(4,214)		2,850

Net increase (decrease) in net assets resulting from operations	$	8,327	$	7,729	$	16,384	$	15,220

Per share information - basic and diluted
Net investment income (loss) per share	$	0.40	$	0.37	$	0.80	$	0.75
Net increase (decrease) in net assets resulting from operations per share	$	0.31	$	0.43	$	0.65	$	0.92
Weighted average shares of common stock outstanding	26,834,220		18,064,572		25,696,777		16,579,232

(1) Capital gains incentive fees displayed above represents the reversals of previously accrued capital gains incentive fees which is based on a hypothetical liquidation basis in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for the three and six month periods ended June 30, 2026 (see Note 3).

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents

WILLOW TREE CAPITAL CORPORATION

Consolidated Statements of Changes in Net Assets (Unaudited)

(in thousands, except share and per share amounts)


	For the three months ended June 30,				For the six months ended June 30,
	2026		2025		2026		2025
Net increase (decrease) in net assets resulting from operations:
Net investment income (loss)	$	10,626	$	6,733	$	20,598	$	12,370

Net realized and unrealized gain (loss)	(2,299)		996		(4,214)		2,850
Net increase (decrease) in net assets resulting from operations	8,327		7,729		16,384		15,220





Capital share transactions:
Issuance of common stock	9,403		—		36,903		50,000
Issuance of common stock from dividend reinvestment plan	6,751		3,622		14,439		3,622
Distributions to common shareholders	(11,166)		(5,409)		(20,976)		(5,409)
Net increase (decrease) from capital share transactions	4,988		(1,787)		30,366		48,213
Total increase (decrease) in net assets	13,315		5,942		46,750		63,433
Net assets, beginning of period	421,079		292,981		387,644		235,490
Net assets, end of period	$	434,394	$	298,923	$	434,394	$	298,923

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents

WILLOW TREE CAPITAL CORPORATION

Consolidated Statements of Cash Flows (Unaudited)

(in thousands)


	For the six months ended June 30,
	2026		2025
Cash flows from operating activities:
Net increase (decrease) in net assets resulting from operations	$	16,384	$	15,220
Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities:
Net realized (gain) loss on investments	(74)		—
Net realized (gain) loss on foreign currency transactions	2		—
Net change in unrealized (appreciation) depreciation on investments	4,150		(2,850)
Net change in unrealized (appreciation) depreciation on foreign currency translations	136		—
Purchases of investment securities	(114,794)		(243,329)
Proceeds from sales and principal repayments of investment securities	77,700		61,873
Interest and fee income paid in kind	(2,623)		(1,497)
Net amortization of investment discounts and premiums	(1,533)		(891)
Amortization of deferred financing costs	939		853
Changes in operating assets and liabilities:
Receivable for investments sold	(6,177)		126
Interest, dividends and fee receivable	157		(1,030)
Receivable from Adviser	—		460
Prepaid expenses and other assets	49		230


Interest payable	(719)		3,239

Investment income incentive fees payable	538		962
Management fees payable	268		478
Accrued capital gains incentive fees	(501)		—
Payable for investments purchased	3,045		(13,607)
Accrued expenses and other liabilities	413		19
Net cash provided by (used in) operating activities	$	(22,640)	$	(179,744)

Cash flows from financing activities:

Proceeds from issuance of common stock	36,903		50,000
Contribution received in advance	475		24,299
Proceeds from borrowing	148,815		394,815
Repayments of borrowing	(148,740)		(237,479)
Distributions paid in cash	(4,612)		(1,787)
Cash paid for foreign currency settlement	(2)		—
Deferred financing costs paid	—		(2,104)
Repayments of repurchase agreements	—		(11,641)

Net cash provided by (used in) financing activities	$	32,839	$	216,103
Net increase (decrease) in cash	$	10,199	$	36,359
Cash, beginning of period	27,591		8,107
Cash, end of period	$	37,790	$	44,466

Supplemental Disclosure of Cash Flow Information
Cash paid during the period for taxes	$	14	$	—
Cash paid during the period for interest	15,361		8,983

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of June 30, 2026 (Unaudited) (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
Aerospace & Defense
GRVTY, Inc.		Term Loan	SOFR + 4.75%	8.41%	5/28/2026	5/30/2033	$	5,000	$	4,951	$	4,950	1.14%
GRVTY, Inc.	(5)	Revolver	—	0.50%	5/28/2026	5/30/2033	$	50	—		(1)		—%
GRVTY, Inc.	(5)	Delayed Draw Term Loan	—	1.00%	5/28/2026	5/30/2033	$	50	—		—		—%
Neptune Platform Buyer, LLC	(4)	Term Loan	SOFR + 4.75%	8.48%	11/8/2024	1/19/2031	$	8,434	8,349		8,420		1.94%
Neptune Platform Buyer, LLC	(4)	Term Loan	SOFR + 4.75%	8.48%	1/22/2025	1/19/2031	$	2,243	2,243		2,239		0.52%
Neptune Platform Buyer, LLC	(5)	Delayed Draw Term Loan	—	1.00%	11/8/2024	1/19/2031	$	2,350	(22)		(4)		—%
Neptune Platform Buyer, LLC	(5)	Delayed Draw Term Loan	P + 3.75%	10.50%	1/24/2025	1/19/2031	$	641	319		320		0.07%
Neptune Platform Buyer, LLC	(5)	Delayed Draw Term Loan	P + 3.75%	10.50%	1/24/2025	1/19/2031	$	1,402	151		148		0.03%
Neptune Platform Buyer, LLC	(5)	Delayed Draw Term Loan	—	1.00%	5/28/2026	1/19/2031	$	50	—		—		—%
Premier Forge Purchaser LLC	(4)	Term Loan	SOFR + 5.25%	8.99%	6/29/2026	6/29/2033	$	5,179	5,114		5,114		1.18%
Premier Forge Purchaser LLC	(5)	Revolver	—	0.50%	6/29/2026	6/29/2032	$	50	(1)		(1)		—%
Stellant Midco, LLC	(4)	Term Loan	SOFR + 4.50%	8.24%	9/15/2025	9/16/2030	$	12,429	12,425		12,429		2.86%
SV-AERO Holdings, LLC	(4)	Term Loan	SOFR + 4.75%	8.41%	12/10/2024	11/1/2030	$	4,962	4,944		4,962		1.14%
SV-AERO Holdings, LLC	(5)	Delayed Draw Term Loan	—	1.00%	12/10/2024	10/30/2026	$	1,261	—		—		—%
Systems Planning And Analysis, Inc.	(4)	Term Loan	SOFR + 4.75%	8.48%	11/8/2024	8/16/2027	$	289	288		288		0.07%
Systems Planning And Analysis, Inc.	(5),(9)	Revolver	SOFR + 4.75%	8.45%	11/8/2024	8/16/2027	$	1,541	567		569		0.13%
Systems Planning And Analysis, Inc.	(4),(5)	Delayed Draw Term Loan	SOFR + 4.75%	8.48%	11/8/2024	8/16/2027	$	9,282	8,497		8,509		1.96%
Systems Planning And Analysis, Inc.	(4)	Delayed Draw Term Loan	SOFR + 4.75%	8.48%	11/8/2024	8/16/2027	$	231	230		231		0.05%
Systems Planning And Analysis, Inc.	(4)	Delayed Draw Term Loan	SOFR + 4.75%	8.48%	10/6/2025	8/16/2027	$	3,194	3,177		3,190		0.73%
									51,232		51,363		11.82%




Commercial Services & Suppliers
Ambient Enterprises Holdco, LLC	(4)	Term Loan	SOFR + 5.25%	8.98%	11/8/2024	6/28/2030	$	5,499	5,426		5,513		1.27%
Ambient Enterprises Holdco, LLC	(4)	Term Loan	SOFR + 5.50%	9.23%	7/3/2025	6/28/2030	$	2,008	1,979		2,013		0.46%
Ambient Enterprises Holdco, LLC	(4)	Term Loan	SOFR + 5.50%	9.23%	10/31/2025	6/28/2030	$	1,088	1,071		1,091		0.25%
Ambient Enterprises Holdco, LLC	(4)	Term Loan	SOFR + 5.50%	9.23%	3/31/2026	6/28/2030	$	6,104	6,086		6,119		1.41%
Ambient Enterprises Holdco, LLC	(5)	Revolver	—	0.50%	11/8/2024	12/7/2029	$	685	(7)		—		—%
Ambient Enterprises Holdco, LLC		Delayed Draw Term Loan	SOFR + 5.50%	9.23%	11/8/2024	6/28/2030	$	1,219	1,217		1,237		0.28%
Ambient Enterprises Holdco, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.50%	9.23%	12/31/2024	6/28/2030	$	1,612	1,589		1,616		0.37%
Ambient Enterprises Holdco, LLC	(5)	Delayed Draw Term Loan	SOFR + 5.50%	9.23%	10/31/2025	6/28/2030	$	50	24		24		0.01%
Ambient Enterprises Holdco, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.50%	9.23%	7/3/2025	6/28/2030	$	2,936	2,895		2,943		0.68%
Ambient Enterprises Holdco, LLC	(5)	Delayed Draw Term Loan	—	0.75%	5/26/2026	6/28/2030	$	50	—		—		—%
American Combustion Industries, LLC	(4)	Term Loan	SOFR + 5.35%	8.99%	11/8/2024	8/31/2028	$	9,167	9,079		9,127		2.10%
American Combustion Industries, LLC	(5)	Revolver	SOFR + 5.25%	8.99%	11/8/2024	8/31/2028	$	1,415	1,165		1,173		0.27%
American Combustion Industries, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.35%	8.99%	11/8/2024	8/31/2028	$	1,051	1,037		1,047		0.24%
American Combustion Industries, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.35%	8.99%	11/8/2024	8/31/2028	$	3,151	3,121		3,138		0.72%
Cards Live Oak Holdings Inc.	(4)	Term Loan	SOFR + 4.75%	8.48%	10/20/2025	10/21/2032	$	18,622	18,456		18,546		4.27%
Cards Live Oak Holdings Inc.	(5),(9)	Revolver	SOFR + 4.75%	8.94%	10/20/2025	10/21/2032	$	50	29		29		0.01%
Cards Live Oak Holdings Inc.	(5),(9)	Delayed Draw Term Loan	SOFR + 4.75%	8.65%	10/20/2025	10/21/2032	$	50	32		33		0.01%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of June 30, 2026 (Unaudited) (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
Cranetech USA Inc	(4)	Term Loan	SOFR + 5.00%	8.64%	6/17/2026	6/17/2032	$	7,671	$	7,557	$	7,556	1.74%
Cranetech USA Inc	(5)	Revolver	—	0.50%	6/17/2026	6/17/2032	$	33	—		(1)		—%
Cranetech USA Inc	(5)	Delayed Draw Term Loan	—	1.00%	6/17/2026	6/17/2032	$	33	—		—		—%
ESCP DTFS Inc.	(4)	Term Loan	SOFR + 5.50%	9.23%	11/8/2024	9/28/2029	$	31,711	31,339		31,678		7.29%
Ironhorse Purchaser, LLC	(4)	Term Loan	SOFR + 6.00%	9.73%	4/15/2026	9/30/2027	$	8,649	8,575		8,562		1.97%
Ironhorse Purchaser, LLC	(5)	Revolver	SOFR + 6.00%	9.66%	4/15/2026	9/30/2027	$	50	4		4		—%
Ironhorse Purchaser, LLC	(5)	Delayed Draw Term Loan	—	1.00%	4/15/2026	9/30/2027	$	50	—		(1)		—%
KAMC Holdings, Inc.	(4)	Term Loan	SOFR + 5.25%	8.91%	8/1/2025	8/1/2031	$	17,054	16,836		16,518		3.80%
KAMC Holdings, Inc.	(5),(9)	Revolver	SOFR + 5.25%	8.91%	8/1/2025	8/1/2031	$	36	9		8		—%
NWP Acquisition Holdings, LLC	(4)	Term Loan	SOFR + 5.25%	8.98%	11/21/2024	11/21/2030	$	26,645	26,299		26,988		6.21%
NWP Acquisition Holdings, LLC	(5)	Revolver	SOFR + 6.00%	8.98%	11/21/2024	11/21/2030	$	5,050	945		1,010		0.23%
NWP Acquisition Holdings, LLC	(4),(5),(9)	Delayed Draw Term Loan	SOFR + 5.25%	9.00%	11/21/2024	11/21/2030	$	14,940	14,766		15,119		3.48%
WRM Wastewater Merger Sub, Inc.	(4)	Term Loan	SOFR + 5.75%	9.39%	5/19/2025	12/28/2029	$	1,385	1,369		1,385		0.32%
WRM Wastewater Merger Sub, Inc.	(4),(5)	Delayed Draw Term Loan	SOFR + 5.75%	9.39%	5/19/2025	12/28/2029	$	4,651	165		218		0.05%
									161,063		162,693		37.44%
Construction & Engineering
Elessent Clean Technologies Inc.	(4)	Term Loan	SOFR + 6.00%	9.67%	11/20/2024	11/15/2029	$	11,916	11,752		12,022		2.77%
Elessent Clean Technologies Inc.	(5)	Revolver	—	0.50%	11/20/2024	11/15/2029	$	1,711	(23)		—		—%
Legacy Precast Buyer	(4)	Term Loan	SOFR + 4.50%	8.17%	12/16/2025	12/16/2032	$	18,105	17,937		18,130		4.17%
Legacy Precast Buyer	(5)	Revolver	—	0.38%	12/16/2025	12/16/2032	$	4,727	(44)		—		—%
Legacy Precast Buyer	(5)	Delayed Draw Term Loan	—	0.75%	12/16/2025	12/16/2032	$	5,157	(22)		33		0.01%
Seahawk Buyer LLC	(4)	Term Loan	SOFR + 5.25%	8.87%	5/1/2026	4/30/2032	$	6,834	6,801		6,800		1.57%
Seahawk Buyer LLC	(5),(9)	Revolver	SOFR + 5.25%	8.88%	5/1/2026	4/30/2032	$	50	12		12		—%
Seahawk Buyer LLC	(5)	Delayed Draw Term Loan	—	1.00%	5/1/2026	4/30/2032	$	50	—		—		—%
									36,413		36,997		8.52%
Containers & Packaging
Key Container Borrower, LLC	(4)	Term Loan	SOFR + 4.50%	8.16%	2/17/2026	2/17/2032	$	5,649	5,596		5,593		1.29%
Key Container Borrower, LLC	(5)	Revolver	—	0.50%	2/13/2026	2/17/2032	$	50	—		(1)		—%
Key Container Borrower, LLC	(5)	Delayed Draw Term Loan	—	0.50%	2/13/2026	2/17/2032	$	50	—		—		—%
									5,596		5,592		1.29%
Distributors
Radwell Parent, LLC	(4)	Term Loan	SOFR + 4.75%	8.48%	4/2/2026	4/1/2030	$	1,103	1,100		1,100		0.25%
Radwell Parent, LLC	(4)	Term Loan	SOFR + 4.75%	8.48%	3/30/2026	4/1/2030	$	4,451	4,440		4,440		1.02%
Radwell Parent, LLC	(5)	Revolver	SOFR + 4.75%	8.48%	3/30/2026	4/1/2030	$	100	26		26		0.01%
Radwell Parent, LLC	(4)	Delayed Draw Term Loan	SOFR + 4.75%	8.48%	3/30/2026	4/1/2030	$	450	449		449		0.10%
Radwell Parent, LLC	(5)	Delayed Draw Term Loan	SOFR + 4.75%	8.48%	3/30/2026	4/1/2030	$	100	2		3		—%
									6,017		6,018		1.38%
Diversified Consumer Services
Apex Service Partners, LLC	(4)	Term Loan	SOFR + 5.00%	8.73%	11/8/2024	10/24/2030	$	27,367	27,168		27,367		6.30%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of June 30, 2026 (Unaudited) (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
Apex Service Partners, LLC	(4)	Term Loan	SOFR + 5.00%	8.73%	4/29/2025	10/24/2030	$	25	$	25	$	25	0.01%
Apex Service Partners, LLC	(5)	Revolver	SOFR + 5.00%	8.73%	11/8/2024	10/24/2029	$	2,555	1,155		1,173		0.27%
Apex Service Partners, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.00%	8.73%	9/24/2024	10/24/2030	$	6,514	6,466		6,514		1.50%
Apex Service Partners, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.00%	8.73%	11/8/2024	10/24/2030	$	10,278	10,241		10,278		2.37%
Apex Service Partners, LLC		Delayed Draw Term Loan	SOFR + 5.00%	8.73%	4/29/2025	10/24/2030	$	74	74		74		0.02%
Del-Air Heating, Air Conditioning & Refrigeration, LLC	(4)	Term Loan	SOFR + 5.50%	9.15%	2/4/2025	2/4/2031	$	11,919	11,735		11,430		2.63%
Del-Air Heating, Air Conditioning & Refrigeration, LLC	(5),(9)	Revolver	SOFR + 5.50%	9.18%	2/12/2025	2/4/2031	$	4,260	2,206		2,097		0.48%
Del-Air Heating, Air Conditioning & Refrigeration, LLC	(4),(5)	Delayed Draw Term Loan	SOFR + 5.50%	9.17%	2/4/2025	2/4/2031	$	11,269	7,046		6,757		1.56%
IFH Franchisee Holdings, LLC	(4)	Term Loan	SOFR + 5.50%	9.14%	1/10/2025	12/20/2029	$	13,680	13,535		13,733		3.16%
IFH Franchisee Holdings, LLC	(5)	Delayed Draw Term Loan	—	1.00%	1/10/2025	12/20/2029	$	3,136	(17)		12		—%
Sandlot Baseball BorrowerCo, LLC	(5)	Revolver	—	0.50%	6/2/2025	12/27/2028	$	2,253	—		—		—%
Sandlot Baseball BorrowerCo, LLC	(4)	Delayed Draw Term Loan	SOFR + 4.75%	8.48%	6/2/2025	12/27/2028	$	11,941	11,858		12,061		2.78%
Sandlot Baseball BorrowerCo, LLC	(5)	Delayed Draw Term Loan	SOFR + 4.75%	8.48%	3/6/2026	12/27/2030	$	50	1		2		—%
									91,493		91,523		21.08%
Energy Equipment & Services
Offen, Inc.	(4)	Term Loan	SOFR + 5.00%	8.64%	7/18/2025	7/22/2030	$	41,425	41,085		39,735		9.15%
Offen, Inc.	(5)	Revolver	—	0.50%	7/18/2025	7/23/2029	$	3,178	(25)		(130)		-0.03%
									41,060		39,605		9.12	%
Entertainment
Amerspirit FL, LLC		Term Loan	SOFR + 4.75%	8.48%	9/26/2025	8/15/2030	$	2,135	2,108		2,092		0.48%
Amerspirit FL, LLC		Delayed Draw Term Loan	SOFR + 4.75%	8.48%	9/26/2025	8/15/2030	$	6,365	6,284		6,236		1.44%
Amerspirit FL, LLC	(5)	Delayed Draw Term Loan	SOFR + 4.75%	8.48%	9/26/2025	8/15/2030	$	1,237	733		724		0.17%
									9,125		9,052		2.09%
Financial Services
Electronic Merchant Systems, LLC	(4)	Term Loan	SOFR + 4.50%	8.52%	11/18/2024	7/29/2026	$	9,794	9,723		9,917		2.28%
Electronic Merchant Systems, LLC	(4)	Term Loan	SOFR + 4.75%	8.42%	11/14/2025	8/1/2030	$	1,365	1,350		1,382		0.32%
GC Waves Holdings, Inc.	(4)	Term Loan	SOFR + 4.50%	8.14%	12/31/2024	10/4/2030	$	3,591	3,616		3,626		0.83%
GC Waves Holdings, Inc.	(4)	Delayed Draw Term Loan	SOFR + 4.50%	8.14%	11/8/2024	10/4/2030	$	11,386	11,301		11,500		2.65%
GC Waves Holdings, Inc.	(4),(5)	Delayed Draw Term Loan	SOFR + 4.50%	8.14%	10/6/2025	10/4/2030	$	1,149	409		425		0.10%
Pathstone Family Office, LLC	(4)	Term Loan	SOFR + 4.50%	8.24%	11/26/2024	5/15/2029	$	552	549		557		0.13%
Pathstone Family Office, LLC	(4)	Term Loan	SOFR + 4.50%	8.24%	11/8/2024	5/15/2029	$	15,316	15,257		15,470		3.56%
Pathstone Family Office, LLC	(4)	Term Loan	SOFR + 4.50%	8.24%	6/1/2026	5/15/2029	$	8,165	8,085		8,247		1.90%
Pathstone Family Office, LLC	(5)	Revolver	—	0.50%	11/8/2024	5/15/2028	$	1,048	(3)		—		—%
Pathstone Family Office, LLC	(4),(9)	Delayed Draw Term Loan	SOFR + 4.50%	8.15%	11/8/2024	5/15/2029	$	4,036	4,020		4,077		0.94%
Pathstone Family Office, LLC		Delayed Draw Term Loan	SOFR + 4.50%	8.24%	2/13/2026	5/15/2029	$	1,398	1,389		1,412		0.33%
Pathstone Family Office, LLC	(5)	Delayed Draw Term Loan	SOFR + 4.50%	8.23%	6/1/2026	5/15/2029	$	50	2		3		—%
RPX Corporation	(4)	Term Loan	SOFR + 5.50%	9.14%	11/8/2024	8/2/2030	$	3,693	3,666		3,693		0.85%
RPX Corporation	(5)	Revolver	—	0.50%	9/30/2025	8/2/2030	$	2,601	(1)		—		—%
Wealth Enhancement Group, LLC	(4)	Delayed Draw Term Loan	SOFR + 4.25%	7.94%	11/8/2024	10/2/2028	$	3,688	3,688		3,688		0.85%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of June 30, 2026 (Unaudited) (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
Wealth Enhancement Group, LLC	(4)	Delayed Draw Term Loan	SOFR + 4.25%	7.94%	11/8/2024	10/2/2028	$	6,857	$	6,857	$	6,857	1.58%
Wealth Enhancement Group, LLC	(4)	Delayed Draw Term Loan	SOFR + 4.25%	7.94%	11/8/2024	10/2/2028	$	2,752	2,752		2,752		0.63%
									72,660		73,606		16.95%
Food Products
Demakes Financeco, LLC	(4)	Term Loan	SOFR + 5.50%	9.17%	6/15/2026	9/11/2026	$	3,065	3,016		3,016		0.69%
									3,016		3,016		0.69%









Health Care Providers & Services
Beacon Oral Specialists	(5),(9)	Delayed Draw Term Loan	SOFR + 5.50%	9.23%	9/12/2025	12/14/2026	$	1,171	241		240		0.06%
Beacon Oral Specialists	(4),(9)	Delayed Draw Term Loan	SOFR + 5.50%	9.22%	11/8/2024	12/14/2026	$	4,701	4,694		4,693		1.08%
Bristol Hospice, LLC	(4)	Term Loan	SOFR + 5.25%	8.89%	8/26/2025	8/26/2032	$	37,554	37,129		36,829		8.48%
Bristol Hospice, LLC	(5)	Revolver	—	0.50%	8/26/2025	8/26/2032	$	3,779	(33)		(73)		-0.02%
Cvausa Management, LLC	(4),(9)	Term Loan	SOFR + 5.25%	8.89%	1/14/2025	5/22/2029	$	6,807	6,784		6,807		1.57%
Cvausa Management, LLC	(5)	Revolver	—	0.50%	1/14/2025	5/22/2028	$	1,111	(3)		—		—%
Cvausa Management, LLC	(4),(5)	Delayed Draw Term Loan	SOFR + 5.25%	8.90%	8/1/2025	5/22/2029	$	10,369	2,715		2,957		0.68%
Dentive Capital, LLC	(4)	Term Loan	SOFR + 7.25% (4.25% PIK)	10.98%	11/8/2024	12/22/2028	$	4,330	4,310		4,226		0.97%
Dentive Capital, LLC	(5)	Revolver	SOFR + 7.25% (4.25% PIK)	10.98%	11/8/2024	5/27/2027	$	52	2		1		—%
Dentive Capital, LLC	(4)	Delayed Draw Term Loan	SOFR + 7.25% (4.25% PIK)	10.98%	11/8/2024	12/22/2028	$	236	235		230		0.05%
Dentive Capital, LLC	(4)	Delayed Draw Term Loan	SOFR + 7.25% (4.25% PIK)	10.98%	11/8/2024	12/22/2028	$	1,212	1,207		1,183		0.27%
Dermcare Holdings, LLC	(6)	Term Loan	17.00% PIK	17.00%	11/8/2024	10/16/2029	$	750	745		771		0.18%
Dermcare Management, LLC	(4)	Delayed Draw Term Loan	SOFR + 6.00%	9.74%	11/8/2024	4/21/2028	$	14,488	14,488		14,488		3.34%
Dermcare Management, LLC	(4)	Delayed Draw Term Loan	SOFR + 6.00%	9.74%	3/31/2025	4/21/2028	$	15,661	15,474		15,661		3.61%
GMLx Buyer LLC	(5)	Revolver	—	0.50%	1/2/2026	1/2/2032	$	5,549	(64)		(55)		-0.01%
GMLx Buyer LLC	(5)	Delayed Draw Term Loan	—	1.00%	1/2/2026	1/2/2032	$	13,317	(70)		(50)		-0.01%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 13.25%	16.99%	11/8/2024	2/15/2029	$	752	747		782		0.18%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 13.25%	16.99%	11/8/2024	2/15/2029	$	1,735	1,725		1,804		0.42%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 13.25%	16.99%	11/8/2024	2/15/2029	$	10,885	10,824		11,320		2.61%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 13.25%	16.99%	11/8/2024	2/15/2029	$	4,826	4,799		5,019		1.16%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 10.00%	13.64%	5/30/2025	2/15/2029	$	2,832	2,777		2,780		0.64%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 10.00%	13.65%	6/27/2025	2/15/2029	$	8,585	8,415		8,430		1.94%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 10.00%	13.65%	10/17/2025	2/15/2029	$	5,200	5,084		5,106		1.18%
LCM SDC Holdings, LLC	(6)	Delayed Draw Term Loan	SOFR + 10.00%	13.65%	4/30/2025	2/15/2029	$	5,136	5,104		5,043		1.16%
OpCo Borrower, LLC	(4)	Term Loan	SOFR + 5.25%	8.86%	5/8/2026	5/8/2030	$	29,432	29,275		29,211		6.72%
Regent Surgical Health, LLC	(5)	Revolver	P + 4.00%	10.75%	9/12/2025	9/12/2030	$	7,824	996		985		0.23%
Regent Surgical Health, LLC	(4),(9)	Delayed Draw Term Loan	SOFR + 5.00%	8.66%	9/12/2025	9/12/2030	$	17,165	16,948		16,923		3.90%
Regent Surgical Health, LLC	(5)	Delayed Draw Term Loan	—	1.00%	4/23/2026	9/12/2030	$	50	—		—		—%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.49%	11/8/2024	2/15/2028	$	6,290	6,299		6,291		1.45%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.49%	11/8/2024	2/15/2028	$	3,638	3,643		3,638		0.84%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of June 30, 2026 (Unaudited) (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.49%	11/8/2024	2/15/2028	$	414	$	415	$	414	0.10%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.49%	11/8/2024	2/15/2028	$	1,666	1,668		1,666		0.38%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.49%	11/8/2024	2/15/2028	$	7,384	7,394		7,384		1.70%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.49%	11/8/2024	2/15/2028	$	3,691	3,696		3,691		0.85%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.49%	11/8/2024	2/15/2028	$	3,541	3,546		3,541		0.82%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.49%	10/17/2025	2/15/2028	$	1,941	1,914		1,941		0.45%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.49%	4/30/2026	2/15/2028	$	1,118	1,120		1,118		0.26%
Salt Dental Collective, LLC		Revolver	SOFR + 6.75%	10.49%	11/8/2024	2/15/2028	$	933	935		933		0.21%
Salt Dental Collective, LLC	(4)	Delayed Draw Term Loan	SOFR + 6.75%	10.49%	11/8/2024	2/15/2028	$	7,516	7,527		7,516		1.73%
Salt Dental Collective, LLC	(4)	Delayed Draw Term Loan	SOFR + 6.75%	10.49%	2/5/2026	2/15/2028	$	50	49		50		0.01%
Together Womens Health, LLC	(4)	Term Loan	SOFR + 4.50%	8.14%	8/25/2025	8/26/2031	$	8,550	8,457		8,550		1.97%
Together Womens Health, LLC	(5)	Revolver	—	0.50%	8/26/2025	8/26/2031	$	2,305	(25)		—		—%
Together Womens Health, LLC	(5)	Delayed Draw Term Loan	SOFR + 4.50%	8.14%	8/26/2025	8/26/2031	$	12,606	1,633		1,769		0.41%
UEW Acquisition, LLC	(4)	Term Loan	SOFR + 5.50%	9.23%	8/13/2025	8/13/2030	$	12,615	12,458		12,603		2.90%
									235,277		236,416		54.47%
Hotels, Restaurants & Leisure
AG Bells, LLC	(4)	Term Loan	SOFR + 4.75%	8.42%	8/19/2025	8/19/2031	$	3,592	3,561		3,628		0.84%
AG Bells, LLC	(5)	Revolver	—	0.50%	8/19/2025	8/19/2030	$	1,696	(14)		—		—%
AG Bells, LLC		Delayed Draw Term Loan	SOFR + 4.75%	8.48%	4/20/2026	8/19/2031	$	50	50		51		0.01%
Ampler QSR Holdings, LLC	(4)	Term Loan	SOFR + 5.00%	8.73%	8/19/2025	8/19/2031	$	4,196	4,160		4,195		0.97%
Ampler QSR Holdings, LLC	(4)	Term Loan	SOFR + 5.00%	8.73%	4/20/2026	8/19/2031	$	2,360	2,337		2,359		0.54%
Ampler QSR Holdings, LLC	(5)	Revolver	—	0.50%	8/19/2025	8/19/2030	$	2,451	(20)		(1)		—%
Ampler QSR Holdings, LLC		Delayed Draw Term Loan	SOFR + 5.00%	8.67%	4/20/2026	8/19/2031	$	50	50		50		0.01%
Stonebridge Companies, LLC	(4)	Term Loan	SOFR + 5.00%	8.64%	5/16/2025	5/16/2031	$	4,611	4,554		4,656		1.07%
Stonebridge Companies, LLC	(5)	Revolver	—	0.50%	5/16/2025	5/16/2030	$	885	(10)		—		—%
Stonebridge Companies, LLC	(5)	Delayed Draw Term Loan	—	1.00%	5/16/2025	5/16/2031	$	1,327	(8)		13		—%
									14,660		14,951		3.44%
Insurance
HIG Operations Holdings, Inc.	(4)	Term Loan	SOFR + 4.50%	8.14%	12/11/2025	6/11/2031	$	17,671	17,585		17,671		4.07%
High Street Buyer, Inc.	(5)	Delayed Draw Term Loan	SOFR + 4.25%	7.98%	7/18/2025	4/14/2028	$	18,600	2,790		2,770		0.64%
World Insurance Associates, LLC	(4)	Term Loan	SOFR + 5.00%	8.73%	2/14/2025	4/3/2030	$	44,182	44,182		44,182		10.17%
World Insurance Associates, LLC	(5)	Revolver	—	0.50%	2/14/2025	4/3/2030	$	1,127	—		—		—%
									64,557		64,623		14.88%
Multi-Utilities
Dukes Root Control Inc.	(4)	Term Loan	SOFR + 5.50%	9.38%	11/8/2024	12/8/2028	$	8,490	8,475		8,490		1.95%
Dukes Root Control Inc.	(4)	Term Loan	SOFR + 5.50%	9.33%	7/2/2025	12/10/2029	$	2,071	2,059		2,071		0.48%
Dukes Root Control Inc.	(5)	Revolver	—	1.00%	11/8/2024	12/8/2028	$	908	(4)		—		—%
Dukes Root Control Inc.	(4),(9)	Delayed Draw Term Loan	SOFR + 5.50%	9.36%	11/8/2024	10/8/2030	$	347	345		347		0.08%
									10,875		10,908		2.51%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of June 30, 2026 (Unaudited) (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
Professional Services
RKD Group, LLC	(4)	Term Loan	SOFR + 5.25%	8.89%	5/16/2025	5/19/2031	$	3,477	$	3,448	$	3,441	0.79%
RKD Group, LLC	(5)	Revolver	—	0.50%	5/19/2025	5/19/2031	$	1,805	(15)		(19)		—%
RKD Group, LLC	(5)	Delayed Draw Term Loan	—	1.00%	5/19/2025	5/19/2031	$	3,233	(27)		(33)		-0.01%
Royal Holdco Corporation	(4)	Term Loan	SOFR + 4.50%	8.15%	3/12/2025	12/30/2030	$	2,686	2,663		2,644		0.61%
Royal Holdco Corporation	(5),(9)	Revolver	SOFR + 4.50%	8.19%	3/13/2025	12/30/2030	$	1,345	1,117		1,100		0.25%
Royal Holdco Corporation	(4),(5),(9)	Delayed Draw Term Loan	SOFR + 4.50%	8.18%	3/12/2025	12/30/2030	$	5,999	4,464		4,418		1.02%
Secretariat Advisors, LLC	(4)	Term Loan	SOFR + 4.00%	7.73%	2/24/2025	2/28/2032	$	4,736	4,716		4,668		1.07%
Secretariat Advisors, LLC	(5)	Delayed Draw Term Loan	—	4.00%	6/28/2025	2/28/2032	$	1,081	—		(15)		—%
VRC Companies, LLC	(4)	Term Loan	SOFR + 5.75%	9.45%	11/8/2024	6/29/2027	$	2,901	2,898		2,901		0.67%
VRC Companies, LLC	(4)	Term Loan	SOFR + 5.50%	9.16%	11/8/2024	6/29/2027	$	1,868	1,862		1,868		0.43%
VRC Companies, LLC	(5)	Revolver	—	0.50%	11/8/2024	6/29/2027	$	100	—		—		—%
VRC Companies, LLC	(4)	Term Loan	SOFR + 5.00%	8.67%	12/11/2025	6/29/2027	$	3,305	3,305		3,305		0.76%
VRC Companies, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.25%	8.93%	11/19/2024	6/29/2027	$	20,234	20,117		20,234		4.66%
VRC Companies, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.75%	9.45%	11/8/2024	6/29/2027	$	491	490		491		0.11%
									45,038		45,003		10.36%
Software
ACP Avenu Buyer, LLC	(4)	Term Loan	SOFR + 5.00%	8.69%	4/21/2025	10/2/2029	$	6,892	6,841		6,863		1.58%
ACP Avenu Buyer, LLC	(4)	Term Loan	SOFR + 5.00%	8.69%	8/1/2025	10/2/2029	$	10,124	10,036		10,083		2.32%
ACP Avenu Buyer, LLC	(5),(9)	Revolver	SOFR + 5.00%	8.65%	4/21/2025	10/2/2029	$	2,061	445		451		0.10%
ACP Avenu Buyer, LLC	(5)	Delayed Draw Term Loan	—	1.00%	4/21/2025	10/2/2029	$	5,889	(22)		(24)		-0.01%
Durare Bidco LLC	(5)	Delayed Draw Term Loan	SOFR + 4.75%	8.43%	8/7/2025	8/9/2032	$	50	21		21		—%
Durare Bidco LLC	(4)	Term Loan	SOFR + 4.75%	8.40%	8/7/2025	8/9/2032	$	9,042	8,962		8,971		2.07%
Durare Bidco LLC	(5)	Revolver	—	0.50%	8/7/2025	8/9/2032	$	50	—		—		—%
Flexera Software LLC	(4)	Term Loan	SOFR + 4.50%	8.15%	8/13/2025	8/16/2032	$	9,861	9,828		9,712		2.24%
Flexera Software LLC		Term Loan	E + 4.50%	6.71%	8/13/2025	8/16/2032	€	2,976	3,458		3,351		0.77%
Flexera Software LLC	(4)	Term Loan	SOFR + 4.50%	8.15%	2/17/2026	8/16/2032	$	2,355	2,350		2,320		0.53%
Flexera Software LLC	(5)	Revolver	—	0.25%	8/13/2025	8/16/2032	$	50	—		(1)		—%
									41,919		41,747		9.60%




Specialty Retail
Amylu Borrower Sub, LLC	(4)	Term Loan	SOFR + 4.75%	8.41%	4/29/2025	6/10/2031	$	12,445	12,342		12,570		2.89%
Amylu Borrower Sub, LLC	(5)	Revolver	—	0.38%	6/10/2025	6/10/2031	$	2,508	(21)		—		—%
Amylu Borrower Sub, LLC	(5)	Delayed Draw Term Loan	SOFR + 4.75%	8.37%	6/10/2025	6/10/2031	$	1,996	326		363		0.08%
Lash Opco, LLC	(4)	Term Loan	SOFR + 7.00% (2.00% PIK)	10.76%	11/8/2024	9/18/2027	$	2,779	2,737		2,682		0.62%
Orthofeet, Inc	(4)	Term Loan	SOFR + 5.50%	9.13%	11/8/2024	7/30/2030	$	12,815	12,646		12,734		2.93%
Orthofeet, Inc	(5)	Revolver	—	0.50%	11/8/2024	7/30/2030	$	1,524	(20)		(10)		—%
									28,010		28,339		6.52%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents

Willow Tree Capital Corporation
Consolidated Schedule of Investments as of June 30, 2026 (Unaudited)
(in thousands)

Investments (1)(7)(8)

Footnotes

Investment Type

Reference Rate and Spread (2)

Interest Rate (2)

Acquisition Date

Maturity Date

Par Amount/Units (1)

Cost (3)

Fair Value

% of Net Assets

Private Debt - United States

Private Debt - non-controlled, non-affiliated

Total Private Debt - United States

918,011

921,452

212.16%

Total Private Debt - non-controlled/non-affiliated

918,011

921,452

212.16%

(1)Unless otherwise indicated, all loan investments held by the Company (which such term “Company” shall include the Company’s consolidated subsidiaries for purposes of this Consolidated Schedule of Investments) are denominated in U.S. dollars. All loan investments are income producing unless otherwise indicated. All loan investments are first lien debt unless otherwise indicated. Certain portfolio company investments are subject to contractual restrictions on sales, such as approval of the agent or borrower. The total par amount is presented for loan investments. Certain of the Company’s loan investments are pledged as collateral under the Company's credit facility.

(2)Variable rate loans to the portfolio companies bear interest at a rate that is determined by reference to either Secured Overnight Financing Rate ("SOFR"), an alternate base rate (commonly based on the Federal Funds Rate ("F") or the U.S. Prime Rate ("P")), or Euro Interbank Offered Rate ("E"), which generally resets periodically. For each loan investment, the Company has indicated the reference rate used and provided the spread and the interest rate in effect as of June 30, 2026.

(3)The cost represents the original cost adjusted for the amortization of discounts and premiums, as applicable, on loan investments using the effective interest method in accordance with accounting principles generally accepted in the United States of America (“GAAP”).

(4)Loan investment is pledged as collateral under the Company's credit facility. A single investment may be divided into parts that are individually pledged as collateral to the Company's credit facility.

(5)Position or portion thereof is an unfunded loan commitment, and no interest is being earned on the unfunded portion, although the investment may be subject to unused commitment fees. Negative cost and fair values are the result of the commitment being valued below par.

(6)Investment is subordinated.

(7)Unless otherwise indicated, investments are valued using unobservable inputs and are considered Level 3 investments. Fair value was determined in good faith by the Company's Board of Directors, in accordance with the Company’s valuation policy. See Note 2. Significant Accounting Policies and Note 5. Fair Value Measurements in the Notes to the Consolidated Financial Statements.

(8)Under Section 55(a) of the Investment Company Act, the Company may not acquire any non-qualifying asset unless, at the time of acquisition, qualifying assets represent at least 70% of the Company’s total assets. As of June 30, 2026, the Company had no non-qualifying assets.

(9)For investments with multiple reference rates or alternate base rates, the interest rate shown is the weighted average interest rate in effect at June 30, 2026.

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of December 31, 2025 (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
Aerospace & Defense
Neptune Platform Buyer, LLC	(4)	Term Loan	SOFR + 4.75%	8.42%	11/8/2024	1/19/2031	$	8,434	$	8,342	$	8,433	2.18%
Neptune Platform Buyer, LLC	(4)	Term Loan	SOFR + 4.75%	8.42%	1/22/2025	1/19/2031	$	2,243	2,243		2,243		0.58%
Neptune Platform Buyer, LLC	(5)	Delayed Draw Term Loan	—	1.00%	1/24/2025	1/19/2031	$	1,403	—		—		—%
Neptune Platform Buyer, LLC	(5)	Delayed Draw Term Loan	—	1.00%	1/24/2025	1/19/2031	$	641	—		—		—%
Neptune Platform Buyer, LLC	(5)	Delayed Draw Term Loan	—	1.00%	11/8/2024	1/19/2031	$	2,350	(24)		—		—%
Stellant Midco, LLC	(4)	Term Loan	SOFR + 4.50%	8.32%	9/15/2025	9/16/2030	$	12,491	12,487		12,491		3.22%
SV-AERO Holdings, LLC	(4)	Term Loan	SOFR + 5.00%	8.67%	12/10/2024	11/1/2030	$	5,636	5,613		5,636		1.45%
SV-AERO Holdings, LLC	(5)	Delayed Draw Term Loan	—	1.00%	12/10/2024	10/30/2026	$	1,261	—		—		—%
Systems Planning And Analysis, Inc.	(4)	Term Loan	SOFR + 4.75%	8.42%	11/8/2024	10/29/2027	$	589	587		589		0.15%
Systems Planning And Analysis, Inc.	(5),(9)	Revolver	SOFR + 4.75%	10.00%	11/8/2024	10/29/2027	$	3,128	1,149		1,159		0.30%
Systems Planning And Analysis, Inc.	(4)	Delayed Draw Term Loan	SOFR + 4.75%	8.42%	11/8/2024	10/29/2027	$	473	471		473		0.12%
Systems Planning And Analysis, Inc.	(4),(5),(9)	Delayed Draw Term Loan	SOFR + 4.75%	8.44%	11/8/2024	10/29/2027	$	18,870	17,233		17,299		4.46%
Systems Planning And Analysis, Inc.	(4),(9)	Delayed Draw Term Loan	SOFR + 4.75%	8.42%	10/6/2025	10/29/2027	$	6,512	6,463		6,512		1.68%
									54,564		54,835		14.15%
Commercial Services & Suppliers
Ambient Enterprises Holdco, LLC	(4)	Term Loan	SOFR + 5.25%	8.92%	11/8/2024	6/28/2030	$	11,663	11,559		11,750		3.03%
Ambient Enterprises Holdco, LLC	(4),(9)	Term Loan	SOFR + 5.25%	8.92%	7/3/2025	6/28/2030	$	2,522	2,482		2,541		0.66%
Ambient Enterprises Holdco, LLC	(4)	Term Loan	SOFR + 5.25%	8.92%	10/31/2025	6/28/2030	$	1,094	1,075		1,102		0.28%
Ambient Enterprises Holdco, LLC	(5)	Revolver	—	0.50%	11/8/2024	12/7/2029	$	685	(8)		—		—%
Ambient Enterprises Holdco, LLC	(5)	Delayed Draw Term Loan	—	0.75%	11/8/2024	6/28/2030	$	3,388	(24)		55		0.01%
Ambient Enterprises Holdco, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.25%	8.92%	12/31/2024	6/28/2030	$	1,620	1,594		1,632		0.42%
Ambient Enterprises Holdco, LLC	(5)	Delayed Draw Term Loan	—	0.75%	10/31/2025	6/28/2030	$	50	—		—		—%
Ambient Enterprises Holdco, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.25%	8.92%	7/3/2025	6/28/2030	$	281	276		282		0.07%
American Combustion Industries, LLC	(4)	Term Loan	SOFR + 5.25%	9.07%	11/8/2024	8/31/2028	$	9,214	9,106		9,037		2.33%
American Combustion Industries, LLC	(5)	Revolver	SOFR + 5.25%	9.07%	11/8/2024	8/31/2028	$	1,415	1,162		1,152		0.30%
American Combustion Industries, LLC	(4),(5)	Delayed Draw Term Loan	SOFR + 5.25%	9.07%	11/8/2024	8/31/2028	$	3,769	337		321		0.08%
American Combustion Industries, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.25%	9.07%	11/8/2024	8/31/2028	$	3,167	3,130		3,107		0.80%
Cards Live Oak Holdings INC	(4)	Term Loan	SOFR + 4.75%	8.42%	10/20/2025	10/21/2032	$	18,716	18,535		18,529		4.78%
Cards Live Oak Holdings INC	(5)	Revolver	P + 3.75 %	10.50%	10/20/2025	10/21/2032	$	50	16		16		—%
Cards Live Oak Holdings INC	(5)	Delayed Draw Term Loan	—	1.00%	10/20/2025	10/21/2032	$	50	—		(1)		—%
ESCP DTFS Inc.	(4)	Term Loan	SOFR + 5.50%	9.17%	11/8/2024	9/28/2029	$	32,588	32,148		32,473		8.38%
KAMC Holdings, Inc.	(4)	Term Loan	SOFR + 5.25%	9.10%	8/1/2025	8/1/2031	$	17,140	16,900		16,844		4.35%
KAMC Holdings, Inc.	(5),(9)	Revolver	SOFR + 5.25%	9.05%	8/1/2025	8/1/2031	$	36	9		9		—%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of December 31, 2025 (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
NWP Acquisition Holdings, LLC	(4)	Term Loan	SOFR + 5.50%	9.17%	11/21/2024	11/21/2030	$	26,730	$	26,345	$	26,997	6.96%
NWP Acquisition Holdings, LLC	(5)	Revolver	—	0.50%	11/21/2024	11/21/2030	$	5,000	(72)		—		—%
NWP Acquisition Holdings, LLC	(4),(5),(9)	Delayed Draw Term Loan	SOFR + 5.50%	9.29%	11/21/2024	11/21/2030	$	14,955	10,812		11,140		2.87%
TCF III Owl Buyer, LLC	(4)	Term Loan	SOFR + 5.50%	9.34%	11/8/2024	4/19/2026	$	2,814	2,814		2,814		0.73%
TCF III Owl Buyer, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.50%	9.34%	11/8/2024	4/19/2026	$	2,079	2,079		2,079		0.54%
WRM Wastewater Merger Sub, Inc.	(4)	Term Loan	SOFR + 5.75%	9.47%	5/19/2025	12/28/2029	$	1,392	1,374		1,392		0.36%
WRM Wastewater Merger Sub, Inc.	(4),(5)	Delayed Draw Term Loan	SOFR + 5.75%	9.48%	5/19/2025	12/28/2029	$	4,652	159		219		0.06%
									141,808		143,490		37.02%
Construction & Engineering
Elessent Clean Technologies Inc.	(4)	Term Loan	SOFR + 6.00%	9.73%	11/20/2024	11/15/2029	$	12,219	12,027		12,241		3.16%
Elessent Clean Technologies Inc.	(5)	Revolver	—	0.50%	11/20/2024	11/15/2029	$	1,711	(27)		—		—%
Legacy Precast Buyer	(4)	Term Loan	SOFR + 4.75%	8.46%	12/16/2025	12/16/2032	$	18,150	17,970		17,969		4.64%
Legacy Precast Buyer	(5)	Revolver	—	0.38%	12/16/2025	12/16/2032	$	4,727	(47)		(47)		-0.01%
Legacy Precast Buyer	(5)	Delayed Draw Term Loan	—	—	12/16/2025	12/16/2032	$	5,157	(25)		(26)		-0.01%
									29,898		30,137		7.77%
Diversified Consumer Services
Apex Service Partners, LLC	(4)	Term Loan	SOFR + 5.00%	8.82%	11/8/2024	10/24/2030	$	27,507	27,283		27,782		7.17%
Apex Service Partners, LLC	(4)	Term Loan	SOFR + 5.00%	8.84%	4/29/2025	10/24/2030	$	25	25		25		0.01%
Apex Service Partners, LLC	(5),(9)	Revolver	SOFR + 5.00%	8.71%	11/8/2024	10/24/2029	$	2,555	650		670		0.17%
Apex Service Partners, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.00%	8.82%	9/24/2024	10/24/2030	$	6,547	6,494		6,612		1.71%
Apex Service Partners, LLC	(4),(9)	Delayed Draw Term Loan	SOFR + 5.00%	8.78%	11/8/2024	10/24/2030	$	10,330	10,288		10,432		2.69%
Apex Service Partners, LLC	(5),(9)	Delayed Draw Term Loan	SOFR + 5.00%	8.81%	4/29/2025	10/24/2030	$	74	51		52		0.01%
Del-Air Heating, Air Conditioning & Refrigeration, LLC	(4)	Term Loan	SOFR + 5.50%	9.37%	2/4/2025	2/4/2031	$	11,979	11,775		11,740		3.03%
Del-Air Heating, Air Conditioning & Refrigeration, LLC	(5),(9)	Revolver	SOFR + 5.50%	9.37%	2/12/2025	2/4/2031	$	4,260	1,915		1,903		0.49%
Del-Air Heating, Air Conditioning & Refrigeration, LLC	(4),(5)	Delayed Draw Term Loan	SOFR + 5.50%	9.32%	2/4/2025	2/4/2031	$	11,305	7,064		7,031		1.81%
IFH Franchisee Holdings, LLC	(4)	Term Loan	SOFR + 5.50%	9.37%	1/10/2025	12/20/2029	$	13,750	13,583		13,787		3.56%
IFH Franchisee Holdings, LLC	(5)	Delayed Draw Term Loan	—	1.00%	1/10/2025	12/20/2029	$	3,136	(19)		9		—%
Sandlot Baseball BorrowerCo, LLC	(5)	Revolver	—	0.50%	6/2/2025	12/27/2028	$	2,253	—		—		—%
Sandlot Baseball BorrowerCo, LLC	(4),(5)	Delayed Draw Term Loan	SOFR + 5.00%	8.67%	6/2/2025	12/27/2028	$	11,999	7,006		7,107		1.83%
									86,115		87,150		22.48%
Energy Equipment & Services
Offen, Inc.	(4)	Term Loan	SOFR + 5.00%	8.82%	7/18/2025	7/22/2030	$	41,635	41,252		41,218		10.63%
Offen, Inc.	(5)	Revolver	—	0.50%	7/18/2025	7/23/2029	$	3,178	(29)		(32)		(0.01)%
									41,223		41,186		10.63%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of December 31, 2025 (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
Entertainment
Amerspirit FL, LLC		Term Loan	SOFR + 4.75%	8.42%	9/26/2025	8/15/2030	$	2,135	$	2,105	$	2,104	0.54%
Amerspirit FL, LLC		Delayed Draw Term Loan	SOFR + 4.75%	8.42%	9/26/2025	8/15/2030	$	6,365	6,275		6,272		1.62%
Amerspirit FL, LLC	(5),(9)	Delayed Draw Term Loan	SOFR + 4.75%	8.42%	9/26/2025	8/15/2030	$	1,237	355		354		0.09%
									8,735		8,730		2.25%
Financial Services
Electronic Merchant Systems, LLC	(4)	Term Loan	SOFR + 4.75%	9.07%	11/18/2024	8/1/2030	$	9,844	9,764		9,926		2.56%
Electronic Merchant Systems, LLC	(4)	Term Loan	SOFR + 4.75%	8.60%	11/14/2025	8/1/2030	$	1,372	1,355		1,383		0.36%
GC Waves Holdings, Inc.	(4)	Term Loan	SOFR + 4.50%	8.22%	12/31/2024	10/4/2030	$	3,609	3,637		3,609		0.93%
GC Waves Holdings, Inc.	(4)	Delayed Draw Term Loan	SOFR + 4.50%	8.22%	11/8/2024	10/4/2030	$	11,444	11,349		11,444		2.95%
GC Waves Holdings, Inc.	(5),(9)	Delayed Draw Term Loan	SOFR + 4.50%	8.22%	10/6/2025	10/4/2030	$	1,150	56		61		0.02%
Pathstone Family Office, LLC	(4)	Term Loan	SOFR + 5.00%	8.82%	11/26/2024	5/15/2029	$	554	552		560		0.14%
Pathstone Family Office, LLC	(4)	Term Loan	SOFR + 5.00%	8.82%	11/8/2024	5/15/2029	$	15,395	15,325		15,549		4.01%
Pathstone Family Office, LLC	(5)	Revolver	SOFR + 5.00%	8.82%	11/8/2024	5/15/2028	$	1,048	247		252		0.07%
Pathstone Family Office, LLC	(4),(5)	Delayed Draw Term Loan	SOFR + 5.00%	8.82%	11/8/2024	5/15/2029	$	5,439	74		153		0.04%
RPX Corporation	(4)	Term Loan	SOFR + 5.50%	9.25%	11/8/2024	8/2/2030	$	20,234	20,068		20,234		5.22%
RPX Corporation	(5)	Revolver	—	0.50%	9/30/2025	8/2/2030	$	2,601	(2)		—		—%
Wealth Enhancement Group, LLC	(4)	Delayed Draw Term Loan	SOFR + 4.50%	8.49%	11/8/2024	10/2/2028	$	3,707	3,707		3,707		0.96%
Wealth Enhancement Group, LLC	(4)	Delayed Draw Term Loan	SOFR + 4.50%	8.49%	11/8/2024	10/2/2028	$	6,892	6,892		6,892		1.78%
Wealth Enhancement Group, LLC	(4)	Delayed Draw Term Loan	SOFR + 4.50%	8.49%	11/8/2024	10/2/2028	$	2,767	2,767		2,767		0.71%
									75,791		76,537		19.74%
Health Care Equipment & Supplies
HLSG Intermediate, LLC	(4)	Term Loan	SOFR + 5.25%	9.08%	11/8/2024	3/31/2029	$	1,966	1,966		1,966		0.51%
HLSG Intermediate, LLC	(4)	Term Loan	SOFR + 5.25%	9.08%	11/8/2024	3/31/2029	$	4,824	4,784		4,824		1.24%
HLSG Intermediate, LLC	(4)	Term Loan	SOFR + 5.25%	9.08%	3/14/2025	3/31/2029	$	1,635	1,615		1,635		0.42%
HLSG Intermediate, LLC	(5)	Revolver	SOFR + 5.25%	9.08%	11/8/2024	3/31/2029	$	1,226	377		389		0.10%
HLSG Intermediate, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.25%	9.08%	11/8/2024	3/31/2029	$	2,942	2,909		2,942		0.76%
HLSG Intermediate, LLC	(4),(5)	Delayed Draw Term Loan	SOFR + 5.25%	9.08%	3/14/2025	3/31/2029	$	2,776	402		435		0.11%
HLSG Intermediate, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.25%	9.08%	11/8/2024	3/31/2029	$	34	34		34		0.01%
									12,087		12,225		3.15%
Health Care Providers & Services
Beacon Oral Specialists	(5)	Delayed Draw Term Loan	—	1.00%	9/12/2025	12/14/2026	$	1,171	(3)		(3)		—%
Beacon Oral Specialists	(4),(5),(9)	Delayed Draw Term Loan	SOFR + 5.50%	8.64%	11/8/2024	12/14/2026	$	4,977	4,710		4,711		1.22%
Bristol Hospice, LLC	(4)	Term Loan	SOFR + 5.00%	8.72%	8/26/2025	8/26/2032	$	28,970	28,694		28,970		7.47%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of December 31, 2025 (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
Bristol Hospice, LLC	(5)	Revolver	—	0.50%	8/26/2025	8/26/2032	$	3,779	$	(36)	$	—	—%
Cvausa Management, LLC	(4),(9)	Term Loan	SOFR + 5.25%	8.97%	1/14/2025	5/22/2029	$	14,867	14,809		15,016		3.87%
Cvausa Management, LLC	(5)	Revolver	—	0.50%	1/14/2025	5/22/2028	$	1,111	(4)		—		—%
Cvausa Management, LLC	(5)	Delayed Draw Term Loan	SOFR + 5.25%	8.98%	8/1/2025	5/22/2029	$	22,387	5,502		6,326		1.63%
Dentive Capital, LLC	(4)	Term Loan	SOFR + 7.25% (4.25% PIK)	10.92%	11/8/2024	12/22/2028	$	4,239	4,215		4,103		1.06%
Dentive Capital, LLC	(5)	Revolver	SOFR + 7.25% (4.25% PIK)	10.92%	11/8/2024	5/27/2027	$	52	2		—		—%
Dentive Capital, LLC	(4)	Delayed Draw Term Loan	SOFR + 7.25% (4.25% PIK)	10.92%	11/8/2024	12/22/2028	$	231	229		223		0.06%
Dentive Capital, LLC	(4)	Delayed Draw Term Loan	SOFR + 7.25% (4.25% PIK)	10.92%	11/8/2024	12/22/2028	$	1,187	1,180		1,149		0.30%
Dermcare Holdings, LLC	(6)	Term Loan	17.0% PIK	17.00%	11/8/2024	10/16/2029	$	692	685		703		0.18%
Dermcare Management, LLC	(4)	Delayed Draw Term Loan	SOFR + 6.00%	9.82%	11/8/2024	4/21/2028	$	14,561	14,561		14,473		3.73%
Dermcare Management, LLC	(4),(5)	Delayed Draw Term Loan	SOFR + 6.00%	9.82%	3/31/2025	4/21/2028	$	24,768	5,917		6,142		1.58%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 13.25% PIK	17.07%	11/8/2024	2/15/2029	$	690	685		718		0.19%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 13.25% PIK	17.07%	11/8/2024	2/15/2029	$	1,594	1,582		1,658		0.43%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 13.25% PIK	17.07%	11/8/2024	2/15/2029	$	9,998	9,926		10,398		2.68%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 13.25% PIK	17.07%	11/8/2024	2/15/2029	$	4,433	4,401		4,610		1.19%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 10.00% PIK	13.82%	5/30/2025	2/15/2029	$	2,710	2,646		2,644		0.68%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 10.00% PIK	13.82%	6/27/2025	2/15/2029	$	8,217	8,015		8,018		2.07%
LCM SDC Holdings, LLC	(6)	Term Loan	SOFR + 10.00% PIK	13.82%	10/17/2025	2/15/2029	$	4,977	4,839		4,856		1.25%
LCM SDC Holdings, LLC	(6)	Delayed Draw Term Loan	SOFR + 10.00% PIK	13.82%	4/30/2025	2/15/2029	$	4,916	4,878		4,797		1.24%
OPCO Borrower, LLC	(4)	Term Loan	SOFR + 6.25%	10.23%	11/8/2024	8/19/2027	$	17,662	17,570		17,705		4.57%
OPCO Borrower, LLC	(4)	Term Loan	SOFR + 6.25%	10.23%	6/2/2025	4/26/2029	$	11,670	11,570		11,698		3.02%
Regent Surgical Health, LLC	(5)	Revolver	—	0.50%	9/12/2025	9/12/2030	$	7,824	(110)		(117)		(0.03)%
Regent Surgical Health, LLC	(4),(5)	Delayed Draw Term Loan	SOFR + 5.00%	8.73%	9/12/2025	9/12/2030	$	17,252	14,769		14,754		3.81%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.57%	11/8/2024	2/15/2028	$	6,322	6,334		6,322		1.63%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.57%	11/8/2024	2/15/2028	$	3,656	3,663		3,656		0.94%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.57%	11/8/2024	2/15/2028	$	416	417		416		0.11%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.57%	11/8/2024	2/15/2028	$	1,124	1,126		1,125		0.29%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.57%	11/8/2024	2/15/2028	$	1,675	1,678		1,675		0.43%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.57%	11/8/2024	2/15/2028	$	7,422	7,436		7,422		1.91%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.57%	11/8/2024	2/15/2028	$	3,710	3,717		3,710		0.96%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.57%	11/8/2024	2/15/2028	$	3,560	3,566		3,560		0.92%
Salt Dental Collective, LLC	(4)	Term Loan	SOFR + 6.75%	10.57%	10/17/2025	2/15/2028	$	1,951	1,915		1,951		0.50%
Salt Dental Collective, LLC	(5)	Revolver	SOFR + 6.75%	10.57%	11/8/2024	2/15/2028	$	933	857		856		0.22%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of December 31, 2025 (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
Salt Dental Collective, LLC	(4)	Delayed Draw Term Loan	SOFR + 6.75%	10.57%	11/8/2024	2/15/2028	$	7,555	$	7,568	$	7,555	1.95%
Together Womens Health, LLC	(4)	Term Loan	SOFR + 4.75%	8.42%	8/25/2025	8/26/2031	$	8,593	8,491		8,495		2.19%
Together Womens Health, LLC	(5)	Revolver	—	0.50%	8/26/2025	8/26/2031	$	2,305	(27)		(26)		(0.01)%
Together Womens Health, LLC	(5)	Delayed Draw Term Loan	SOFR + 4.75%	8.42%	8/26/2025	8/26/2031	$	12,614	1,629		1,635		0.42%
UEW Acquisition, LLC	(4)	Term Loan	SOFR + 5.50%	9.17%	8/13/2025	8/13/2030	$	12,678	12,478		12,524		3.23%
									222,080		224,428		57.89%
Hotels, Restaurants & Leisure
AG Bells, LLC	(4)	Term Loan	SOFR + 5.00%	8.72%	8/19/2025	8/19/2031	$	3,611	3,577		3,611		0.93%
AG Bells, LLC	(5)	Revolver	—	0.50%	8/19/2025	8/19/2030	$	1,696	(16)		—		—%
Ampler QSR Holdings, LLC	(4)	Term Loan	SOFR + 5.00%	8.72%	8/19/2025	8/19/2031	$	4,217	4,178		4,199		1.08%
Ampler QSR Holdings, LLC	(5)	Revolver	—	5.00%	8/19/2025	8/19/2030	$	2,451	(23)		(11)		—%
Stonebridge Companies, LLC	(4)	Term Loan	SOFR + 5.00%	8.72%	5/16/2025	5/16/2031	$	4,646	4,583		4,658		1.20%
Stonebridge Companies, LLC	(5)	Revolver	—	0.50%	5/16/2025	5/16/2030	$	885	(12)		2		—%
Stonebridge Companies, LLC	(5)	Delayed Draw Term Loan	—	1.00%	5/16/2025	5/16/2031	$	1,327	(9)		3		—%
									12,278		12,462		3.22%
Insurance
High Street Buyer, Inc.	(5),(9)	Delayed Draw Term Loan	SOFR + 4.50%	8.17%	7/18/2025	4/14/2028	$	18,612	1,340		1,364		0.35%
Higginbotham Insurance Agency, Inc.	(4)	Term Loan	SOFR + 4.50%	8.22%	11/8/2024	6/11/2031	$	17,760	17,664		17,760		4.58%
World Insurance Associates, LLC	(4)	Term Loan	SOFR + 5.00%	8.67%	2/14/2025	4/3/2030	$	44,405	44,405		44,405		11.46%
World Insurance Associates, LLC	(5)	Revolver	—	0.50%	2/14/2025	4/3/2030	$	1,127	—		—		—%
									63,409		63,529		16.39%
Multi-Utilities
Dukes Root Control Inc.	(4)	Term Loan	SOFR + 5.50%	9.47%	11/8/2024	12/7/2029	$	8,533	8,514		8,533		2.20%
Dukes Root Control Inc.	(4)	Term Loan	SOFR + 5.50%	9.63%	7/2/2025	12/7/2029	$	2,081	2,067		2,081		0.54%
Dukes Root Control Inc.	(5)	Revolver	—	1.00%	11/8/2024	12/7/2029	$	908	(5)		—		—%
Dukes Root Control Inc.	(4),(9)	Delayed Draw Term Loan	SOFR + 5.50%	9.48%	11/8/2024	12/7/2029	$	348	347		348		0.09%
									10,923		10,962		2.83%
Professional Services
RKD Group, LLC	(4)	Term Loan	SOFR + 5.50%	9.38%	5/16/2025	5/19/2031	$	3,494	3,463		3,452		0.89%
RKD Group, LLC	(5)	Revolver	—	0.50%	5/19/2025	5/19/2031	$	1,805	(16)		(22)		(0.01)%
RKD Group, LLC	(5)	Delayed Draw Term Loan	—	1.00%	5/19/2025	5/19/2031	$	3,233	(29)		(39)		(0.01)%
Royal Holdco Corporation	(4)	Term Loan	SOFR + 4.50%	8.24%	3/12/2025	12/30/2030	$	2,699	2,674		2,689		0.69%
Royal Holdco Corporation	(5),(9)	Revolver	SOFR + 4.50%	8.20%	3/13/2025	12/30/2030	$	1,345	934		937		0.24%
Royal Holdco Corporation	(5),(9)	Delayed Draw Term Loan	SOFR + 4.50%	8.29%	3/12/2025	12/30/2030	$	6,003	1,234		1,264		0.33%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents


Willow Tree Capital Corporation Consolidated Schedule of Investments as of December 31, 2025 (in thousands)
Investments (1)(7)(8)	Footnotes	Investment Type	Reference Rate and Spread (2)	Interest Rate (2)	Acquisition Date	Maturity Date	Par Amount/Units (1)		Cost (3)		Fair Value		% of Net Assets
Private Debt - United States
Private Debt - non-controlled, non-affiliated
Secretariat Advisors, LLC	(4)	Term Loan	SOFR + 4.00%	7.67%	2/24/2025	2/28/2032	$	4,760	$	4,738	$	4,727	1.22%
Secretariat Advisors, LLC	(5)	Delayed Draw Term Loan	—	4.00%	6/28/2025	2/28/2032	$	1,081	—		(7)		—%
VRC Companies, LLC	(4)	Term Loan	SOFR + 5.50%	9.19%	11/8/2024	6/29/2027	$	2,916	2,912		2,916		0.75%
VRC Companies, LLC	(4)	Term Loan	SOFR + 5.25%	9.09%	11/8/2024	6/29/2027	$	1,878	1,869		1,878		0.48%
VRC Companies, LLC	(5)	Revolver	—	0.50%	11/8/2024	6/29/2027	$	100	—		—		—%
VRC Companies, LLC		Term Loan	SOFR + 5.00%	8.74%	12/11/2025	6/29/2027	$	3,322	3,289		3,289		0.85%
VRC Companies, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.25%	9.07%	11/19/2024	6/29/2027	$	20,337	20,161		20,337		5.25%
VRC Companies, LLC	(4)	Delayed Draw Term Loan	SOFR + 5.50%	9.19%	11/8/2024	6/29/2027	$	493	493		493		0.13%
									41,722		41,914		10.81%
Software
ACP Avenu Buyer, LLC	(4)	Term Loan	SOFR + 4.75%	8.74%	4/21/2025	10/2/2029	$	6,926	6,868		6,978		1.80%
ACP Avenu Buyer, LLC	(4)	Term Loan	SOFR + 4.75%	8.74%	8/1/2025	10/2/2029	$	10,175	10,080		10,252		2.64%
ACP Avenu Buyer, LLC	(5)	Revolver	—	0.50%	4/21/2025	10/2/2029	$	2,061	(17)		—		—%
ACP Avenu Buyer, LLC	(5)	Delayed Draw Term Loan	—	1.00%	4/21/2025	10/2/2029	$	5,889	(25)		44		0.01%
Durare Bidco LLC	(5)	Delayed Draw Term Loan	—	0.50%	8/7/2025	8/9/2032	$	50	—		—		—%
Durare Bidco LLC	(4)	Term Loan	SOFR + 4.75%	8.62%	8/7/2025	8/9/2032	$	9,042	8,956		8,973		2.31%
Durare Bidco LLC	(5)	Revolver	—	0.50%	8/7/2025	8/9/2032	$	50	—		—		—%
Flexera Software LLC	(4)	Term Loan	SOFR + 4.50%	8.35%	8/13/2025	8/16/2032	$	12,217	12,176		12,186		3.14%
Flexera Software LLC		Term Loan	E + 4.50 %	6.43%	8/13/2025	8/16/2032	€	2,976	3,457		3,486		0.90%
Flexera Software LLC	(5)	Revolver	—	0.25%	8/13/2025	8/16/2032	$	50	—		—		—%
Superjet Buyer, LLC	(4)	Term Loan	SOFR + 5.00%	8.82%	11/8/2024	5/23/2030	$	821	816		821		0.21%
Superjet Buyer, LLC	(4)	Term Loan	SOFR + 5.00%	8.82%	11/8/2024	5/23/2030	$	4,967	4,938		4,967		1.28%
Superjet Buyer, LLC	(4),(5)	Delayed Draw Term Loan	SOFR + 5.00%	8.82%	11/8/2024	5/23/2030	$	5,149	1,025		1,054		0.27%
									48,274		48,761		12.58%
Specialty Retail
Amylu Borrower Sub, LLC	(4)	Term Loan	SOFR + 5.00%	8.74%	4/29/2025	6/10/2031	$	12,508	12,394		12,657		3.27%
Amylu Borrower Sub, LLC	(5)	Revolver	—	0.50%	6/10/2025	6/10/2031	$	2,508	(23)		—		—%
Amylu Borrower Sub, LLC	(5)	Delayed Draw Term Loan	—	1.00%	6/10/2025	6/10/2031	$	1,998	(8)		34		0.01%
Lash Opco, LLC	(4)	Term Loan	SOFR + 7.00% (2.00% PIK)	10.94%	11/8/2024	9/17/2027	$	2,764	2,749		2,635		0.68%
Orthofeet, Inc	(4)	Term Loan	SOFR + 5.50%	9.70%	11/8/2024	7/30/2030	$	12,880	12,691		12,757		3.29%
Orthofeet, Inc	(5)	Revolver	—	0.50%	11/8/2024	7/30/2030	$	1,524	(22)		(15)		—%
									27,781		28,068		7.24%

Total Private Debt - United States									$	876,688	$	884,414	228.15%

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents

Willow Tree Capital Corporation
Consolidated Schedule of Investments as of December 31, 2025
(in thousands)

Investments (1)(7)(8)

Footnotes

Investment Type

Reference Rate and Spread (2)

Interest Rate (2)

Acquisition Date

Maturity Date

Par Amount/Units (1)

Cost (3)

Fair Value

% of Net Assets

Private Debt - United States

Private Debt - non-controlled, non-affiliated

Total Private Debt - non-controlled, non-affiliated

876,688

884,414

228.15%

(6)Investment is subordinated.

(8)Under Section 55(a) of the Investment Company Act, the Company may not acquire any non-qualifying asset unless, at the time of acquisition, qualifying assets represent at least 70% of the Company’s total assets. As of December 31, 2025, the Company had no non-qualifying assets.

(9)For investments with multiple reference rates or alternate base rates, the interest rate shown is the weighted average interest rate in effect at December 31, 2025.

The accompanying notes are an integral part of these unaudited consolidated financial statements.

Table of Contents

WILLOW TREE CAPITAL CORPORATION

Notes to Consolidated Financial Statements (Unaudited)

1. Organization

Willow Tree Capital Corporation (the “Company”), was formed on June 29, 2022 as a Maryland Corporation. The Company invests primarily in floating rate middle market senior secured loans. The Company is an externally managed, non-diversified, closed-end management investment company that has elected to be regulated as a business development company (“BDC”) under the Investment Company Act of 1940, as amended (the “1940 Act”). In addition, beginning with its tax year ended December 31, 2024, the Company has elected to be treated for U.S. federal income tax purposes and intends to qualify annually, as a regulated investment company (“RIC”), under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). The Company is externally managed by Willow Tree Capital Corp Advisors LLC (the “Adviser”).

On October 31, 2023, WT Capital Fund - SPV1, LLC (the "SPV Subsidiary"), a wholly owned subsidiary of the Company was formed. The SPV Subsidiary is consolidated in accordance with accounting principles generally accepted in the United States of America ("GAAP") for reporting purposes, and the portfolio investments held by it are included in the consolidated financial statements. On January 19, 2024, Willow Tree Capital Offshore Blocker, LLC (the "Blocker Subsidiary"), a wholly owned subsidiary of the Company was formed. On December 23, 2025, WT Capital Fund - SPV1 Sub Gold LLC (the “SPV1 Subsidiary”), a Delaware limited liability company, a wholly owned subsidiary of the Company was formed. The SPV Subsidiary, the Blocker Subsidiary and the SPV1 Subsidiary are consolidated for GAAP reporting purposes. The portfolio investments held by the SPV Subsidiary, the Blocker Subsidiary and the SPV1 Subsidiary are included in the consolidated financial statements.

On November 8, 2024, immediately prior to the Company's election to be regulated as a BDC (the "BDC Election"), each of Willow Tree Capital Fund, LLC, a Delaware limited liability company managed by the Adviser and Willow Tree Capital Offshore Fund, LLC, a Cayman Islands limited liability company managed by the Adviser merged with and into the Company (the "Merger"). After the Merger, the Company made the BDC Election, and commenced operations.

The Company’s investment objective is to maximize the total return to shareholders in the form of current income and capital appreciation. The Company generates returns primarily from interest income and fees from senior secured loans, with some capital appreciation through nominal junior capital co-investments.

The Company conducts a continuous private offering (the “Private Offering”) of shares of its common stock, par value $0.01 (the “Shares”), to accredited investors, as defined in Regulation D under the Securities Act of 1933 (the “1933 Act”) or non U.S. persons as defined in Regulation S under the 1933 Act, in reliance on exemptions from the registration requirements of the 1933 Act. The Company will hold one or more closings at which it will either accept capital commitments to purchase Shares from investors or issue Shares for immediate cash investment by the investors.

Shareholders that make capital commitments to the Company will be required to fund drawdowns to purchase the Company’s Shares up to the amount of their respective capital commitments each time the Company delivers a drawdown notice.

2. Summary of Significant Accounting Policies

Basis of Financial Statement Presentation

The accompanying unaudited consolidated financial statements have been prepared in accordance with GAAP and pursuant to the requirements for reporting on Form 10-Q and Articles 6, 10 and 12 of Securities Exchange Commission (“SEC”) Regulation S-X. Accordingly, the Company has not included in this quarterly report all of the information and notes required by GAAP for annual financial statements. This requires the Company to make certain estimates and assumptions that may affect the amounts reported in the unaudited consolidated financial statements and accompanying notes. These unaudited consolidated financial statements reflect normal and recurring adjustments that in the opinion of the Company are necessary for the fair statement of the results for the periods presented. Actual results may differ from the estimates and assumptions included in the unaudited consolidated financial statements. The Company is an investment company for the purposes of accounting and financial reporting in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 946, Financial Services—Investment Companies (“ASC 946”).

Table of Contents

Basis of Consolidation

As provided under ASC Topic 946 and Regulation S-X, the Company will not consolidate its investment in a company other than an investment company subsidiary or a controlled operating company whose business consists of providing services to the Company. All material intercompany transactions are eliminated in consolidation.

The Company consolidated the results of the Company’s wholly owned subsidiaries which are considered to be investment companies. All significant intercompany balances and transactions have been eliminated in consolidation. As of June 30, 2026, the Company’s consolidated subsidiaries were the SPV Subsidiary, the Blocker Subsidiary and the SPV1 Subsidiary.

Use of Estimates

The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Investments at Fair Value

Investment transactions are recorded on the trade date. Realized gains or losses will be computed using the specific identification method without regard to unrealized gains or losses previously recognized, and include investments charged off during the period, net of recoveries. The net change in unrealized gains or losses primarily reflects the change in investment values, including the reversal of previously recorded unrealized gains or losses with respect to investments realized during the period. The Company's Board of Directors (the "Board") or, if designated pursuant to Rule 2a-5 under the 1940 Act (“Rule 2a-5”), the Adviser will determine the NAV per share quarterly. The NAV per share is equal to the value of total assets minus liabilities divided by the total number of shares of the Company’s common stock outstanding at the date as of which the determination is made.

As part of the valuation process, the Board takes into account relevant factors in determining the fair value of the Company’s investments, including: the estimated enterprise value of a portfolio company (i.e., the total fair value of the portfolio company’s debt and equity), the nature and realizable value of any collateral, the portfolio company’s ability to make payments based on its earnings and cash flow, the markets in which the portfolio company does business, a comparison of the portfolio company’s securities to any similar publicly traded securities, and overall changes in the interest rate environment and the credit markets that may affect the price at which similar investments may be made in the future. When an external event such as a purchase transaction, public offering or subsequent equity sale occurs, the Board considers whether the pricing indicated by the external event corroborates its valuation.

The Board undertakes a multi-step valuation process, which includes, among other procedures, the following:

•With respect to investments for which market quotations are readily available, those investments will typically be valued at the bid price of those market quotations;

•With respect to investments for which market quotations are not readily available, the Company's quarterly valuation process begins with each portfolio company or investment being initially valued by the respective Willow Tree valuation team. Preliminary valuations are then reviewed and discussed with the principals of Willow Tree. Separately, an independent valuation firm engaged by the Board provides third party valuation consulting services with respect to the Company's investments at least twice annually for all investments held in the portfolio for at least six months.

•Preliminary valuation conclusions will be documented and discussed with Willow Tree’s valuation committee. Agreed upon valuation recommendations will be presented to the Audit Committee;

•The Audit Committee will review the valuation recommendations and recommend values for each investment to the Board; and

•The Board will review the recommended valuations and determine the fair value of each investment.

•The Board will conduct this valuation process on a quarterly basis.

The Company will apply FASB ASC 820, Fair Value Measurement (“ASC 820”), as amended, which establishes a framework for measuring fair value in accordance with GAAP and required disclosures of fair value measurements. ASC

Table of Contents

820 determines fair value to be the price that would be received for an investment in a current sale, which assumes an orderly transaction between market participants on the measurement date. Market participants are defined as buyers and sellers in the principal or most advantageous market (which may be a hypothetical market) that are independent, knowledgeable, and willing and able to transact. In accordance with ASC 820, the Company will consider its principal market to be the market that has the greatest volume and level of activity. ASC 820 specifies a fair value hierarchy that prioritizes and ranks the level of observability of inputs used in determination of fair value. In accordance with ASC 820, these levels are summarized below:

•Level 1—Quoted prices (unadjusted) in active markets for identical assets or liabilities that the reporting entity can access at the measurement date.

•Level 2—Quoted prices for similar assets or liabilities in active markets, or quoted prices for identical or similar assets or liabilities in markets that are not active, or other observable inputs other than quoted prices.

•Level 3—Unobservable inputs for the asset or liability. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value.

Transfers between levels, if any, will be recognized at the beginning of the reporting period in which the transfer occurred. In addition to using the above inputs in investment valuations, the Company will apply the valuation policy approved by the Board, which is consistent with ASC 820. Under the valuation policy, the Company will evaluate the source of the inputs, including any markets in which the Company's investments are trading (or any markets in which securities with similar attributes are trading), in determining fair value. When an investment is valued based on prices provided by reputable dealers or pricing services (that is, broker quotes), the Company will subject those prices to various criteria in making the determination as to whether a particular investment would qualify for treatment as a Level 2 or Level 3 investment. For example, the Company, or the independent valuation firm(s), will review pricing support provided by dealers or pricing services in order to determine if observable market information is being used, versus unobservable inputs.

Due to the inherent uncertainty of determining the fair value of investments that do not have a readily available market value, the fair value of the Company’s investments may fluctuate from period to period. Additionally, the fair value of such investments may differ significantly from the values that would have been used had a ready market existed for such investments and may differ materially from the values that may ultimately be realized. Further, such investments are generally less liquid than publicly traded securities and may be subject to contractual and other restrictions on resale. If the Company was required to liquidate a portfolio investment in a forced or liquidation sale, the Company could realize amounts that are different from the amounts presented and such differences could be material.

In addition, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses ultimately realized on these investments to be different than the unrealized gains or losses reflected herein.

Cash

Cash represents cash on hand and demand deposits held at financial institutions. Cash equivalents include short-term highly liquid investments of sufficient credit quality that are readily convertible to known amounts of cash and have original maturities of three months or less. Cash equivalents are carried at cost, plus accrued interest, which approximates fair value. Cash equivalents are held to meet short-term liquidity requirements, rather than for investment purposes. Cash and cash equivalents are held at major financial institutions and are subject to credit risk to the extent those balances exceed applicable Federal Deposit Insurance Corporation (FDIC) or Securities Investor Protection Corporation (SIPC) limits. As of June 30, 2026 and December 31, 2025, the Company held $37.8 million and $27.6 million in cash, respectively. As of June 30, 2026 and December 31, 2025, the Company had no cash equivalents held.

Foreign Currency Translation

The Company’s books and records are maintained in U.S. dollars. Any foreign currency amounts are translated into U.S. dollars on the following basis:

•Fair value of investment securities, other assets and liabilities—at the exchange rates prevailing at the end of the reporting period.

Table of Contents

•Purchases and sales of investment securities, income and expenses—at the exchange rates prevailing on the respective dates of such transactions, income or expenses.

The results of operations based on changes in foreign exchange rates are separately disclosed in the Consolidated Statements of Operations, if any. Foreign investment securities and currency translations may involve certain considerations and risks not typically associated with investing in U.S. companies and U.S. government securities. These risks include, but are not limited to, currency fluctuations and revaluations and future adverse political, social and economic developments, which could cause investments in foreign markets to be less liquid and prices more volatile than those of comparable U.S. companies or U.S. government securities.

Revenue Recognition

Interest and Dividend Income

Interest income is recorded on an accrual basis and includes the accretion of discounts, amortization of premiums and payment-in-kind (“PIK”) interest. Discounts from and premiums to par value on investments purchased are accreted/amortized into interest income over the life of the respective investment security using the effective interest method. To the extent loans contain PIK provisions, PIK interest, computed at the contractual rates, is accrued and recorded as interest income and added to the principal balance of the loan. PIK interest income added to the principal balance is generally collected upon repayment of the outstanding principal.

Loans are generally placed on non-accrual status when interest and/or principal payments become materially past due and there is reasonable doubt that principal or interest will be collected in full. Recognition of interest income of that loan will be ceased until all principal and interest is current through payment or until a restructuring occurs, such that the interest income is deemed to be collectible. However, the Company remains contractually entitled to this interest. Accrued and unpaid interest is generally reversed when a loan is placed on non-accrual status. Interest payments received on non-accrual loans may be recognized as income or applied to principal depending upon the Company’s judgment regarding collectability. Non-accrual loans are restored to accrual status when past due principal and interest are paid or there is no longer any reasonable doubt that such principal or interest will be collected in full and, in the Company’s judgment, are likely to remain current. The Company may make exceptions to this policy if the loan has sufficient collateral value or is in the process of collection. Accrued interest is written-off when it becomes probable that the interest will not be collected, and the amount of uncollectible interest can be reasonably estimated.

Dividend income on preferred equity is recorded on an accrual basis to the extent that such amounts are payable by the portfolio company and are expected to be collected. Dividend income on common equity is recorded on the record date for private portfolio companies or on the ex-dividend date for publicly traded portfolio companies. To the extent preferred equity contains PIK provisions, PIK dividends computed at the contractual rates are accrued and recorded as dividend income and added to the principal balance of the preferred equity. PIK dividends added to the principal balance are generally collected upon redemption of the equity. As of June 30, 2026 and December 31, 2025, the Company did not maintain any investments in equity securities.

Other Income

Other income may include income such as consent, waiver, amendment, unused, and prepayment fees associated with the Company’s investment activities. Such fees are recognized as income when earned or the services are rendered.

Income Taxes

The Company has elected to be treated, and intends to qualify annually, for U.S. federal income tax purposes as a RIC under Subchapter M of the Code. So long as the Company maintains its status as a RIC, it generally will not have to pay corporate-level U.S. federal income taxes on any ordinary income or capital gains that it distributes at least annually to its shareholders. Any tax liability related to income earned and distributed by the Company would represent obligations of the Company’s shareholders and would not be reflected in the consolidated financial statements of the Company.

To qualify and be subject to tax as a RIC for U.S. federal income tax purposes, the Company will need to ensure that (among other things) it satisfies certain sources of income and asset diversification requirements and distributes to its shareholders annually an amount equal to at least 90% of its “investment company taxable income” for that year, which is generally its ordinary income plus the excess, if any, of its realized net short-term capital gains over its realized net long-term capital losses. The Company will be subject to a nondeductible excise tax on certain amounts of undistributed income.

Table of Contents

If the Company fails to distribute in a timely manner an amount at least equal to the sum of (i) 98% of its ordinary income for the calendar year, (ii) 98.2% of the amount by which capital gains exceed capital losses (adjusted for certain ordinary losses) for the one-year period ending October 31 in that calendar year and (iii) certain undistributed amounts from previous years on which the Company paid no U.S. federal income tax (collectively, the “Excise Tax Distribution Requirements”), the Company will be subject to a 4% nondeductible U.S. federal excise tax on the amount by which the Company does not meet the Excise Tax Distribution Requirements. For this purpose, however, any ordinary income or capital gain net income retained by the Company that is subject to corporate income tax for the tax year ending in that calendar year will be considered to have been distributed by year-end (or earlier if estimated taxes are paid).

The Company evaluates tax positions taken or expected to be taken in the course of preparing its consolidated financial statements to determine whether the tax positions are “more-likely-than-not” to be sustained by the applicable tax authority. Tax positions not deemed to meet the “more-likely-than-not” threshold are reserved and recorded as a tax benefit or expense in the current year. All penalties and interest associated with income taxes are included in income tax expense. Conclusions regarding tax positions are subject to review and may be adjusted at a later date based on factors including, but not limited to, on-going analyses of tax laws, regulations and interpretations thereof.

New Accounting Standards

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures ("ASU 2023-09"). ASU 2023-09 modifies the reporting requirements for income tax disclosures related to effective tax rates and cash income taxes paid. Pursuant to ASU 2023-09, public business entities are required to disclose certain categories in the income tax rate reconciliation, as well as additional information for reconciling items that meet a specific quantitative threshold. Additionally, ASU 2023-09 requires annual disclosures of income taxes paid for all entities, including the amount of income taxes paid, net of refunds received, disaggregated by federal, state, and foreign jurisdictions. The standard is effective for fiscal years beginning after December 15, 2024 for public business entities (“PBEs”) and December 15, 2025 for entities other than PBEs with early adoption permitted. The Company has evaluated the impact of ASU 2023-09 on its consolidated financial statements and concluded the adoption of the standard did not have a material impact on the consolidated financial statements of the Company.

3. Agreements and Related Party Transactions

Formation Transactions

Prior to the Company making the BDC Election, on November 8, 2024, the Company entered into an agreement and plan of merger (the “Onshore Merger Agreement”) with Willow Tree Capital Fund, LLC, a Delaware limited liability company managed by the Adviser (the “Onshore Fund”). Under this agreement, the Onshore Fund would merge with and into the Company, with the Company surviving the merger (the “Onshore Merger”). Before completing the Onshore Merger, the Adviser served as the investment adviser to the Onshore Fund. According to the Onshore Merger Agreement, the members of the Onshore Fund would receive approximately 0.99 shares of the Company’s common stock, par value $0.01 per share (the “Common Stock”), for each unit of membership interest held by such members. The Onshore Merger closed on November 8, 2024, prior to the BDC Election. As a result, the Company issued 6,939,661 shares of Common Stock and acquired a portfolio of assets consisting of 96 loans to 32 borrowers (including term loans, delayed draw term loans, and revolvers), cash, and other assets (collectively, the “Onshore Assets”), which had an aggregate net asset value $108.9 million.

Contemporaneously with entering the Onshore Merger Agreement, and prior to the Company making the BDC Election, on November 8, 2024, the Company entered into an agreement and plan of merger (the “Offshore Merger Agreement” and, together with the Onshore Merger Agreement, the “Merger Agreements”) with Willow Tree Capital Offshore Fund, LLC, a Cayman Islands limited liability company managed by the Adviser (the “Offshore Fund”). Under this agreement, the Offshore Fund would merge with and into the Company, with the Company surviving the merger (the “Offshore Merger” and, together with the Onshore Merger, the “Mergers”). Before completing the Offshore Merger, the Adviser served as the investment adviser to the Offshore Fund. According to the Offshore Merger Agreement, the members of the Offshore Fund would receive one (1) share of Common Stock for each unit of membership interest held by such members. The Offshore Merger closed on November 8, 2024, prior to the BDC Election. As a result, the Company issued 4,803,384 shares of Common Stock and acquired a portfolio of assets consisting of 51 loans to 26 borrowers (including term loans, delayed draw term loans, and revolvers), cash, and other assets (collectively, the “Offshore Assets”), which had an aggregate net asset value of $75.4 million.

Following the completion of the Mergers, the Company's total assets was approximately $389.0 million, consisting of 99 loans to 33 borrowers (including term loans, delayed draw term loans, and revolvers), cash, and other assets.

Table of Contents

Investment Management Agreement

The Company is externally managed by the Adviser pursuant to an Investment Management Agreement. The Adviser is an indirect majority owned subsidiary of Willow Tree Credit Partners LP. Subject to the overall supervision of the Board, the Adviser manages the Company’s day-to-day operations and provides investment advisory services to the Company.

The Company has entered the Investment Management Agreement, dated as of November 8, 2024, with the Adviser. Under the Investment Management Agreement, the Company pays the Adviser a fee for its services. The fee consists of two components: a Management Fee (as defined below) and an Incentive Fee (as defined below). Each of the Management Fee and the Incentive Fee are payable on the terms described below.

Unless terminated earlier, the Investment Management Agreement will continue in effect for a period of two years from its effective date. It will remain in effect from year to year thereafter if approved annually by the Board or by the affirmative vote of the holders of a majority of the Company's outstanding voting securities, and, in either case, if also approved by the vote of a majority of the Company's directors who are not parties to the Investment Management Agreement or “interested persons” (as such term is defined in Section 2(a)(19) of the 1940 Act).

Management Fee

The management fee (“Management Fee”) is payable quarterly in arrears and will be payable at an annual rate of 1.25% of the Company’s net assets at the end of the most recently completed calendar quarter. The Management Fee for any partial quarter will be prorated during the relevant calendar quarter.

For the three and six months ended June 30, 2026, the Company incurred $1.3 million and $2.5 million in Management Fees, respectively. For the three and six months ended June 30, 2025, the Company incurred $0.9 million and $1.6 million in Management Fees, respectively.

As of June 30, 2026 and December 31, 2025, $1.3 million and $1.0 million, respectively, of Management Fees, were unpaid and are included in management fees payable in the Consolidated Statements of Assets and Liabilities.

Incentive Fee

The Company pays the Adviser an incentive fee (“Incentive Fee”) as set forth below. The Incentive Fee consists of two parts: an investment-income component and a capital gains component. These components are largely independent of each other, with the result that one component may be payable even if the other is not.

Investment Income Incentive Fee

Under the investment-income component, the Company pays the Adviser an incentive fee with respect to pre-incentive fee net investment income. The investment-income component will be calculated and payable quarterly in arrears based on the pre-incentive fee net investment income for the immediately preceding fiscal quarter. Payments based on pre-incentive fee net investment income will be based on the pre-incentive fee net investment income earned for the quarter.

For this purpose, “pre-incentive fee net investment income” means interest income, dividend income and any other income (including any other fees, such as commitment, origination, structuring, diligence, managerial and consulting fees or other fees received from portfolio companies) accrued during the fiscal quarter, minus operating expenses for the quarter (including the Management Fee, expenses payable under any administration agreement and dividends paid on any issued and outstanding preferred stock, but excluding the Incentive Fee). Pre-incentive fee net investment income includes, in the case of investments with a deferred interest feature (such as original issue discount, debt instruments with PIK interest and zero coupon securities), accrued income that the Company has not yet received in cash; provided, however, that the portion of the investment-income incentive fee attributable to deferred interest features will be paid, only if and to the extent received in cash, and any accrual thereof will be reversed if and to the extent such interest is reversed in connection with any write off or similar treatment of the investment giving rise to any deferred interest accrual, applied in each case in the order such interest was accrued. Such subsequent payments in respect of previously accrued income will not reduce the amounts payable for any quarter pursuant to the calculation of the investment-income component described above. Pre-incentive fee net investment income does not include any realized capital gains, realized capital losses or unrealized capital appreciation or depreciation.

Table of Contents

(6.00% annualized). The Company will pay the Adviser an investment-income incentive fee with respect to pre-incentive fee net investment income in each calendar quarter as follows:

(1)No investment-income incentive fee in any calendar quarter in which pre-incentive fee net investment income does not exceed the hurdle rate of 1.50%;

(2)100% of pre-incentive fee net investment income with respect to that portion of such pre-incentive fee net investment income, if any, that exceeds the hurdle rate but is less than or equal to 1.714% in any calendar quarter (6.857% annualized) (the portion of pre-incentive fee net investment income that exceeds the hurdle but is less than or equal to 1.714% is referred to as the “catch-up”; the “catch-up” is meant to provide the Adviser with 12.50% of pre-incentive fee net investment income as if a hurdle did not apply if pre-incentive fee net investment income exceeds 1.714% in any calendar quarter); and

(3)12.50% of the amount of pre-incentive fee net investment income, if any, that exceeds 1.714% in any calendar quarter (6.857% annualized) payable to the Adviser (once the hurdle is reached and the catch-up is achieved, 12.50% of all pre-incentive fee net investment income thereafter is allocated to the Adviser).

The following is a graphical representation of the calculation of the investment-income component of the incentive fee:

Pre-Incentive Fee Net Investment Income (express as a percentage of the value of net assets):


0%	1.50%	1.714%
← 0% →	← 100% →	← 12.5% →

For the three and six months ended June 30, 2026, the Company incurred $1.5 million and $2.9 million, respectively, in investment income incentive fees. For the three and six months ended June 30, 2025, the Company incurred $1.0 million and $1.8 million, respectively, in investment income incentive fees. As of June 30, 2026 and December 31, 2025, $2.2 million and $1.6 million, respectively, of incentive fees on investment income, were unpaid and are included in investment income incentive fees payable in the Consolidated Statements of Assets and Liabilities.

Capital Gains Incentive Fee

Under the capital gains component, the Company will pay the Adviser at the end of each calendar year 12.50% of aggregate cumulative realized capital gains from the date of the BDC Election through the end of that year, computed net of aggregate cumulative realized capital losses and aggregate cumulative unrealized depreciation through the end of such year, less the aggregate amount of any previously paid capital gains incentive fees.

The Company will accrue, but will not pay, a capital gains incentive fee with respect to unrealized appreciation. The capital gains component of the Incentive Fee will not be subject to any minimum return to shareholders.

Capital gains incentive fees accrued (reversed), but not yet payable, on a hypothetical liquidation basis under GAAP for the three and six months ended June 30, 2026 were $(0.3) million and $(0.5) million, respectively. Capital gains incentive fees accrued (reversed), but not yet payable, on a hypothetical liquidation basis under GAAP for the three and six months June 30, 2025 were $0.0 million for both periods.

As of June 30, 2026 and December 31, 2025, $0.5 million and $1.0 million, respectively, of accrued capital gains incentive fees are included in the Consolidated Statements of Assets and Liabilities.

Administration Agreement

The Company has entered into an administration agreement (the “Administration Agreement”), dated as of November 8, 2024, with Willow Tree Credit Partners LP (the “Administrator”, "Willow Tree"). Under the expected terms of the Administration Agreement, Willow Tree performs, or oversees the performance of, administrative services, which include, but are not limited to, providing office space, equipment and office services, maintaining financial records, preparing reports to shareholders and reports filed with the SEC, and managing the payment of expenses and the performance of administrative and professional services rendered by others, which could include employees of the Willow Tree or its affiliates. The Company reimburses Willow Tree for services performed for the Company pursuant to the terms of the Administration Agreement.

Table of Contents

In addition, pursuant to the terms of the Administration Agreement, Willow Tree may delegate its obligations under the Administration Agreement to an affiliate or to a third party, and the Company will reimburse Willow Tree for any services performed for the Company by such affiliate or third party. To the extent that Willow Tree outsources any of its functions, the Company will pay the fees associated with such functions on a direct basis, without profit to Willow Tree.

The Board, including a majority of the independent directors, will review the compensation paid to the Administrator to determine if the provisions of the Administrative Agreement are carried out satisfactorily and to determine, among other things, whether the fees payable under the Administrative Agreement are reasonable in light of the services provided.

Unless terminated earlier, the Administration Agreement will remain in effect for a period of two years from the date it first became effective, and will remain in effect from year-to-year thereafter if approved annually by a majority of the Board or by the holders of a majority of the Company’s outstanding voting securities and, in each case, a majority of the independent directors. The Company may terminate the Administration Agreement, without payment of any penalty, upon 60 days’ written notice. The decision to terminate the agreement may be made by a majority of the Board or the shareholders holding a majority of the outstanding shares of common stock. In addition, the Administrator may terminate the Administration Agreement, without payment of any penalty, upon 60 days’ written notice.

For the three and six months ended June 30, 2026, the Company incurred $0.2 million and $0.4 millions, respectively, in administration fees. For the three and six months ended June 30, 2025, the Company incurred $0.1 million and $0.3 million, respectively, in administration fees.

License Agreement

The Company has entered into a license agreement with Willow Tree. Under the License Agreement, the Company will have a non-exclusive, royalty-free license to use the name “Willow Tree” and the Willow Tree logo. Under the License Agreement, the Company has the right to use the “Willow Tree” name for so long as the Adviser or one of its affiliates remains the Company's investment adviser. Other than with respect to this limited license, the Company has no legal right to the “Willow Tree” name. The License Agreement will remain in effect for so long as the Investment Management Agreement with the Adviser is in effect.

4. Investments

The composition of the Company’s investment portfolio at amortized cost and fair value as of June 30, 2026 and December 31, 2025 was as follows (amounts in thousands):


	June 30, 2026						December 31, 2025
	Amortized Cost		Fair Value		% of Total Investments at Fair Value		Amortized Cost		Fair Value		% of Total Investments at Fair Value
Private Debt	$	918,011	$	921,452	100	%	$	876,688	$	884,414	100	%
Total investments	$	918,011	$	921,452	100	%	$	876,688	$	884,414	100	%

Table of Contents

5. Fair Value of Investments

The following tables presents the fair value hierarchy of the Company’s investments as of June 30, 2026 and December 31, 2025, categorized by the ASC Topic 820 valuation hierarchy, as previously described (amounts in thousands):


	June 30, 2026
Assets	Level 1		Level 2		Level 3		Total
Private Debt	$	—	$	—	$	921,452	$	921,452
Total investments	$	—	$	—	$	921,452	$	921,452


	December 31, 2025
Assets	Level 1		Level 2		Level 3		Total
Private Debt	$	—	$	—	$	884,414	$	884,414
Total investments	$	—	$	—	$	884,414	$	884,414

The following tables presents the change in the fair value of investments for which Level 3 inputs were used to determine the fair value for the three and six months ended June 30, 2026 (amounts in thousands):


Three months ended June 30, 2026	Private Debt
Fair value, beginning of period	$	899,048

Purchases of investments (including PIK, if any)	81,174
Proceeds from principal repayments and sales of investments	(57,073)
Accretion of discount/amortization of premium	600
Net realized gain (loss)	74
Net change in unrealized appreciation (depreciation)	(2,371)


Fair value, end of period	$	921,452
Net change in unrealized appreciation (depreciation) on non-controlled, non-affiliated company investments still held at June 30, 2026	$	(2,316)


Six months ended June 30, 2026	Private Debt
Fair value, beginning of period	$	884,414

Purchases of investments (including PIK, if any)	117,417
Proceeds from principal repayments and sales of investments	(77,700)
Accretion of discount/amortization of premium	1,533
Net realized gain (loss)	74
Net change in unrealized appreciation (depreciation)	(4,286)


Fair value, end of period	$	921,452
Net change in unrealized appreciation (depreciation) on non-controlled, non-affiliated company investments still held at June 30, 2026	$	(4,085)

For the three and six months ended June 30, 2026, there were no transfers into or out of Level 3.

Table of Contents


Three months ended June 30, 2025	Private Debt
Fair value, beginning of period	$	637,395

Purchases of investments (including PIK, if any)	88,143
Proceeds from principal repayments and sales of investments	(49,913)
Accretion of discount/amortization of premium	535

Net change in unrealized appreciation (depreciation)	996


Fair value, end of period	$	677,156
Net change in unrealized appreciation (depreciation) on non-controlled, non-affiliated company investments still held at June 30, 2025	$	996


Six months ended June 30, 2025	Private Debt
Fair value, beginning of period	$	490,462

Purchases of investments (including PIK, if any)	244,826
Proceeds from principal repayments and sales of investments	(61,873)
Accretion of discount/amortization of premium	891

Net change in unrealized appreciation (depreciation)	2,850


Fair value, end of period	$	677,156
Net change in unrealized appreciation (depreciation) on non-controlled, non-affiliated company investments still held at June 30, 2025	$	2,850

For the three and six months ended June 30, 2025, there were no transfers into or out of Level 3.

Significant Unobservable Inputs

In accordance with ASC Topic 820, the following tables provide quantitative information about the significant unobservable inputs of the Company’s Level 3 investments as of June 30, 2026 and December 31, 2025. The table is not intended to be all-inclusive but instead captures the significant unobservable inputs relevant to the Company’s determination of fair value (amounts in thousands):

Type of Investment

Fair Value as of June 30, 2026

Valuation Technique

Significant Unobservable Inputs

Range of Significant Unobservable Inputs

Weighted Average Unobservable Input

Private Debt

885,441

Yield Analysis

Yield %

7.69% - 17.62%

9.78%

36,011

Recent Transaction

Total

921,452

Type of Investment

Fair Value as of December 31, 2025

Valuation Technique

Significant Unobservable Inputs

Range of Significant Unobservable Inputs

Weighted Average Unobservable Input

Private Debt

866,518

Yield Analysis

Yield %

7.23% - 17.87%

9.14%

17,896

Recent Transaction

Total

884,414

Table of Contents

6. Borrowings

In accordance with the 1940 Act, with certain limitations, the Company is allowed to borrow amounts such that its asset coverage, as defined in the 1940 Act, is at least 150% after such borrowing. As of June 30, 2026 and December 31, 2025, the Company’s asset coverage was 181.8% and 173.0%, respectively.

The following table presents the Company’s outstanding borrowings as of June 30, 2026 (amounts in thousands):


	Aggregated Principal Committed		Outstanding Principal		Unused Portion (1)		Carrying Value (2)		Maturity Date
Credit Facility	$	575,000	$	480,200	$	94,800	$	480,200	11/8/2029
Subscription Line	51,746		51,065		681		51,065		11/6/2026
Total	$	626,746	$	531,265	$	95,481	$	531,265

(1)The unused portion is the amount upon which commitment fees are based, if any.

(2)The carrying value is gross of any deferred financing costs.

The following table presents the Company's outstanding borrowings as of December 31, 2025 (amounts in thousands):


	Aggregated Principal Committed		Outstanding Principal		Unused Portion (1)		Carrying Value (2)		Maturity Date
Credit Facility	$	575,000	$	495,100	$	79,900	$	495,100	11/8/2029
Subscription Line	70,996		36,090		34,906		36,090		11/6/2026
Total	$	645,996	$	531,190	$	114,806	$	531,190

(1)The unused portion is the amount upon which commitment fees are based, if any.

(2)The carrying value is gross of any deferred financing costs.

For the three months ended June 30, 2026 and 2025, the Company had total average borrowings of $505.4 million and $386.0 million at a weighted average interest rate of 5.73% and 6.66% respectively. For the six months ended June 30, 2026 and 2025, the Company had total average borrowings of $511.5 million and $359.8 million at a weighted average interest rate of 5.75% and 6.71%, respectively.

Credit Facility

On November 8, 2024, WT Capital Fund – SPV1, LLC (the “Borrower”), a Delaware limited liability company and wholly owned subsidiary of the Company, entered into an Amended and Restated Loan, Security and Collateral Management Agreement with Ally Bank, as administrative agent for a $300.0 million revolving credit facility (the “A&R Credit Facility”). The A&R Credit Facility combined, amended and restated the Prior Onshore Credit Facility and the Prior Offshore Credit Facility each as defined and described below. On February 21, 2025, the Borrower entered into a First Amendment to the A&R Credit Facility, which increased the total commitments thereunder from $300.0 million to $500.0 million. On December 23, 2025, the Company entered into a Second Amendment to the A&R Credit Facility which, among other things, (i) increased the total commitment under the A&R Credit Facility from $500.0 million to $575.0 million, (ii) joined the SPV1 Subsidiary as a new borrower, (iii) reduced applicable spreads, (iv) allow acquisitions of loans in foreign currencies such as EUR and GBP and (v) amend the definition of "Change of Control" and "Material Modification" as defined in the A&R Credit Facility.

Prior to the consummation of the transactions under the Merger Agreements, the Borrower was a wholly owned subsidiary of the Onshore Fund and, prior to the effectiveness of the A&R Credit Facility, the Borrower was the borrower under a $100.0 million revolving credit facility with Ally Bank (“Prior Onshore Credit Facility”). On November 8, 2024, WT Capital Fund (Offshore) – SPV1, LLC (the “Prior Offshore Borrower”), a Delaware limited liability company and wholly owned subsidiary of the Company, merged with the Borrower with the Borrower being the surviving limited liability company. Prior to the consummation of the transactions under the Merger Agreements, the Prior Offshore Borrower was a wholly owned subsidiary of the Offshore Fund and, prior to the effectiveness of the A&R Credit Facility, the Prior

Table of Contents

Offshore Borrower was the borrower under a $100.0 million revolving credit facility with Ally Bank (“Prior Offshore Credit Facility”).

The A&R Credit Facility is secured by all of the assets held by the Borrower. Under the A&R Credit Facility, the Borrower has made certain customary representations and warranties, and is required to comply with various covenants, reporting requirements and other customary requirements for similar facilities. The Company acts as the collateral manager and as the transferor under the A&R Credit Facility and the related transaction documents, and, in connection therewith, the Company has made certain customary representations and warranties, and is required to comply with various covenants, reporting requirements and other customary requirements for similar facilities. The A&R Credit Facility includes usual and customary events of default for credit facilities of this nature.

Borrowings under the A&R Credit Facility are considered the Company’s borrowings for purposes of complying with the asset coverage requirements under the Investment Company Act of 1940, as amended.

The A&R Credit Facility matures on November 8, 2029 and bears interest based on either Term SOFR or Daily Simple SOFR plus 2.00% per annum, at the Company's option. Prior to the effectiveness of the Second Amendment to the A&R Credit Facility, borrowings under the facility bore interest at a rate based on either Term SOFR or Daily Simple SOFR plus 2.50% per annum, at the Company's option. The A&R Credit Facility also charges a non-usage fee, which for the first three months following February 21, 2025, was calculated daily based on the product of 0.50% and the unused facility amount. Thereafter, the non-usage fee is the sum of the following:

i.for each day during the accrual period that the advances outstanding on such day are less than or equal to the product of 25.00% multiplied by the facility amount on such day, the sum of the products for each such day during such accrual period of (A) one divided by 360, (B) 1.00% and (C) the unused facility amount as of each such day; plus

ii.for each day during the accrual period that the advances outstanding on such day are greater than the product of 25.00% multiplied by the facility amount on such day, but less than the product of 50.00% multiplied by the facility amount on such day, the sum of the products for each such day during such accrual period of (A) one divided by 360, (B) 0.75% and (C) the unused facility amount as of each such day; plus

iii.for each day during the accrual period that the advances outstanding on such day are greater than the product of 50.00% multiplied by the facility amount on such day, the sum of the products for each such day during such accrual period of (A) one divided by 360, (B) 0.50% and (C) the unused facility amount as of each such day.

As of June 30, 2026 and December 31, 2025, the Company had an aggregate amount of $480.2 million and $495.1 million of debt outstanding, respectively.

For the three and six months ended June 30, 2026 and 2025, the components of interest expense related to the A&R Credit Facility were as follows (amounts in thousands):


	For the three months ended June 30,						For the six months ended June 30,
	2026			2025			2026			2025
Borrowing interest expense	$	6,711		$	5,402		$	13,613		$	9,871
Unused facility fee	130			214			239			369
Amortization of deferred financing costs	429			366			854			668
Total interest and debt financing expense	$	7,270		$	5,982		$	14,706		$	10,908
Average borrowings	472,514			328,810			479,909			296,634
Weighted average interest rate	5.70		%	6.59		%	5.72		%	6.71		%

As of June 30, 2026, and December 31, 2025, each of the Company and the Borrower were in compliance with all covenants and other requirements applicable to it under the A&R Credit Facility.

Table of Contents

Subscription Line

On November 8, 2024, the Company entered into a $90.0 million revolving credit facility with City National Bank, as administrative agent (the "Subscription Facility"). The Subscription Facility is a replacement of each of the Prior Onshore Subscription Facility and the Prior Offshore Subscription Facility each as defined and described below.

Prior to the consummation of the transactions under the Merger Agreements, and prior to the effectiveness of the Subscription Facility, (a) the Onshore Fund was the borrower under a revolving credit facility with City National Bank as administrative agent (the "Prior Onshore Subscription Facility") and (b) the Offshore Fund was a borrower under a revolving credit facility with City National Bank as administrative agent (the "Prior Offshore Subscription Facility" and, collectively with the Prior Onshore Subscription Facility, the "Prior Subscription Facilities"). In connection with the Mergers and the consummation of the transactions under the Merger Agreements, each of the Prior Subscription Facilities were terminated.

The Subscription Facility is secured by (a) the Company's rights to make capital calls of the capital commitments of each of its investors and all other rights, title, interests, powers and privileges related to, appurtenant to or arising out of the Company's rights to require or demand that such investors make capital contributions to the Company, (b) the Company's rights, titles, interest and privileges in and to the capital commitments, uncalled capital commitments, pending capital calls and capital contributions made by its investors, (c) all of the Company's rights, titles, interests, remedies and privileges under the applicable organizational documents, subscription agreements and side letters (including those in accordance with each of the Onshore Fund's and the Offshore Fund's operating agreements) to make, issue notices with respect to, and enforce capital calls and to receive and enforce the funding of capital contributions; (d) the Company's rights, titles, interests, remedies and privileges under its organizational documents and subscription agreements to issue and enforce capital calls, to receive and enforce capital contributions and relating to issuing, enforcing or receiving capital calls, capital commitments or capital contributions, (e) the Company's deposit accounts at City National Bank (or any substitute account, wherever located) into which capital call proceeds are paid, together with the Company's rights, titles and interests in and to each such account, all sums or other property now or at any time on deposit therein, credited thereto or payable thereof, and all instruments, documents, certificates and other writings evidencing each such account, and (f) all proceeds of the foregoing.

The Subscription Facility includes customary representations and warranties, and is required to comply with various affirmative and negative covenants, reporting requirements and other customary requirements for similar credit facilities and includes usual and customary events of default for credit facilities of this nature.

On November 7, 2025, the Company entered into a First Amendment to the Subscription Facility (the "First Amendment") which among things, (i) extended the maturity date from November 7, 2025 to November 6, 2026 and (ii) amended the definition of "Borrowing Base" from 60% of certain Unfunded Capital Commitments to 70% of such Unfunded Capital Commitments. The Subscription Facility bears interest based on either Term SOFR or Daily Simple SOFR plus 2.50% per annum or Prime Rate plus 1.50% per annum, at the Company's option. The Subscription Facility also charges an unused commitment fee of 0.35% per annum on the unused available commitment during the applicable calendar quarter.

As of June 30, 2026 and December 31, 2025, the Company had an aggregate amount of $51.1 million and $36.1 million of debt outstanding, respectively.

For the three and six months ended June 30, 2026 and 2025, the components of interest expense related to the City National Bank Subscription Facility were as follows (amounts in thousands):


	For the three months ended June 30,						For the six months ended June 30,
	2026			2025			2026			2025
Borrowing interest expense	$	512		$	1,010		$	981		$	2,101
Unused facility fee	18			28			52			52
Amortization of deferred financing costs	67			201			134			399
Total interest and debt financing expense	$	597		$	1,239		$	1,167		$	2,552
Average borrowings	32,913			57,215			31,603			63,145
Weighted average interest rate	6.24		%	7.08		%	6.26		%	6.71		%

Table of Contents

Participation Agreements

Macquarie Bank Limited

In order to finance certain investment transactions, the Company may, from time to time, enter into secured borrowing agreements with Macquarie Bank Limited (“Macquarie”), whereby the Company sells to Macquarie an investment that it holds and concurrently enters into an agreement to repurchase the same investment at an agreed-upon price at a future date, not to exceed 90 days from the date it was sold (the “Macquarie Transaction”). In accordance with ASC Topic 860, Transfers and Servicing, these Macquarie Transactions meet the criteria for secured borrowings.

As of June 30, 2026 and December 31, 2025, the Company did not have any outstanding secured borrowings, as the contractual maturity of such secured borrowing agreement terminated on February 6, 2025.

The components of interest expense related to Macquarie for the three and six months ended June 30, 2026 and 2025 were as follows (amounts in thousands):


	For the three months ended June 30,						For the six months ended June 30,
	2026			2025			2026			2025
Borrowing interest expense	$	—		$	—		$	—		$	98
Unused facility fee	—			—			—			—
Amortization of deferred financing costs	—			—			—			—
Total interest and debt financing expense	$	—		$	—		$	—		$	98
Average borrowings	—			—			—			—
Weighted average interest rate	—		%	—		%	—		%	—		%

7. Commitments and Contingencies

In the normal course of business, the Company may enter into contracts that provide a variety of general indemnifications. Any exposure to the Company under these arrangements could involve future claims that may be made against the Company. Currently, no such claims exist or are expected to arise, and accordingly, the Company has not accrued any liability in connection with such indemnifications.

Other Commitments and Contingencies

Unfunded commitments

The Company’s investment portfolio may contain revolving line of credit or delayed draw commitments, which require the Company to fund when requested by the portfolio companies. The Company believes that it maintains sufficient financial resources to satisfy any unfunded commitments, including cash on hand and available borrowings to fund such unfunded commitments. As of June 30, 2026 and December 31, 2025, the Company had unfunded investment commitments in the aggregate par amount of $147.7 million and $197.8 million, respectively. Such commitments are subject to the satisfaction of certain conditions set forth in the documents governing these loans and letters of credit and there can be no assurance that such conditions will be satisfied.

As of June 30, 2026, the Company had the following unfunded commitments by investment types (amounts in thousands):

Investments - non-controlled, non-affiliated

Commitment Type

Unfunded Commitment

ACP Avenu Buyer, LLC

Delayed Draw Term Loan

5,889

ACP Avenu Buyer, LLC

Revolver

1,601

AG Bells, LLC

Revolver

1,696

Ambient Enterprises Holdco, LLC

Delayed Draw Term Loan

Ambient Enterprises Holdco, LLC

Delayed Draw Term Loan

Ambient Enterprises Holdco, LLC

Revolver

685

American Combustion Industries, LLC

Revolver

236

Amerspirit FL, LLC

Delayed Draw Term Loan

488

Ampler QSR Holdings, LLC

Revolver

2,451

Amylu Borrower Sub, LLC

Delayed Draw Term Loan

1,662

Amylu Borrower Sub, LLC

Revolver

2,508

Apex Service Partners, LLC

Revolver

1,382

Table of Contents

Investments - non-controlled, non-affiliated

Commitment Type

Unfunded Commitment

Beacon Oral Specialists

Delayed Draw Term Loan

928

Bristol Hospice, LLC

Revolver

3,779

Cards Live Oak Holdings Inc.

Delayed Draw Term Loan

Cards Live Oak Holdings Inc.

Revolver

Cranetech USA Inc

Delayed Draw Term Loan

Cranetech USA Inc

Revolver

Cvausa Management, LLC

Delayed Draw Term Loan

7,660

Cvausa Management, LLC

Revolver

1,111

Del-Air Heating, Air Conditioning & Refrigeration, LLC

Delayed Draw Term Loan

4,090

Del-Air Heating, Air Conditioning & Refrigeration, LLC

Revolver

1,988

Dentive Capital, LLC

Revolver

Dukes Root Control Inc.

Revolver

908

Durare Bidco LLC

Delayed Draw Term Loan

Durare Bidco LLC

Revolver

Elessent Clean Technologies Inc.

Revolver

1,711

Flexera Software LLC

Revolver

GC Waves Holdings, Inc.

Delayed Draw Term Loan

737

GMLx Buyer LLC

Delayed Draw Term Loan

13,317

GMLx Buyer LLC

Revolver

5,549

GRVTY, Inc.

Delayed Draw Term Loan

GRVTY, Inc.

Revolver

High Street Buyer, Inc.

Delayed Draw Term Loan

15,810

IFH Franchisee Holdings, LLC

Delayed Draw Term Loan

3,136

Ironhorse Purchaser, LLC

Delayed Draw Term Loan

Ironhorse Purchaser, LLC

Revolver

KAMC Holdings, Inc.

Revolver

Key Container Borrower, LLC

Delayed Draw Term Loan

Key Container Borrower, LLC

Revolver

Legacy Precast Buyer

Delayed Draw Term Loan

5,157

Legacy Precast Buyer

Revolver

4,727

Neptune Platform Buyer, LLC

Delayed Draw Term Loan

1,252

Neptune Platform Buyer, LLC

Delayed Draw Term Loan

320

Neptune Platform Buyer, LLC

Delayed Draw Term Loan

Neptune Platform Buyer, LLC

Delayed Draw Term Loan

2,350

NWP Acquisition Holdings, LLC

Delayed Draw Term Loan

NWP Acquisition Holdings, LLC

Revolver

4,040

Offen, Inc.

Revolver

3,178

Orthofeet, Inc

Revolver

1,524

Pathstone Family Office, LLC

Delayed Draw Term Loan

Pathstone Family Office, LLC

Revolver

1,048

Premier Forge Purchaser LLC

Revolver

Radwell Parent, LLC

Delayed Draw Term Loan

Radwell Parent, LLC

Revolver

Regent Surgical Health, LLC

Delayed Draw Term Loan

Regent Surgical Health, LLC

Revolver

6,729

RKD Group, LLC

Delayed Draw Term Loan

3,233

RKD Group, LLC

Revolver

1,805

Royal Holdco Corporation

Delayed Draw Term Loan

1,496

Royal Holdco Corporation

Revolver

224

RPX Corporation

Revolver

2,601

Sandlot Baseball BorrowerCo, LLC

Delayed Draw Term Loan

Sandlot Baseball BorrowerCo, LLC

Revolver

2,253

Seahawk Buyer LLC

Delayed Draw Term Loan

Seahawk Buyer LLC

Revolver

Secretariat Advisors, LLC

Delayed Draw Term Loan

1,081

Stonebridge Companies, LLC

Delayed Draw Term Loan

1,327

Stonebridge Companies, LLC

Revolver

885

Table of Contents

Investments - non-controlled, non-affiliated

Commitment Type

Unfunded Commitment

SV-AERO Holdings, LLC

Delayed Draw Term Loan

1,261

Systems Planning And Analysis, Inc.

Delayed Draw Term Loan

785

Systems Planning And Analysis, Inc.

Revolver

970

Together Womens Health, LLC

Delayed Draw Term Loan

10,905

Together Womens Health, LLC

Revolver

2,305

VRC Companies, LLC

Revolver

100

World Insurance Associates, LLC

Revolver

1,127

WRM Wastewater Merger Sub, Inc.

Delayed Draw Term Loan

4,478

147,683

As of December 31, 2025, the Company had the following unfunded commitments by investment types (amounts in thousands):


Investments - non-controlled, non-affiliated	Commitment Type	Unfunded Commitment
ACP Avenu Buyer, LLC	Delayed Draw Term Loan	$	5,889
ACP Avenu Buyer, LLC	Revolver	2,061
AG Bells, LLC	Revolver	1,696
Ambient Enterprises Holdco, LLC	Delayed Draw Term Loan	50
Ambient Enterprises Holdco, LLC	Delayed Draw Term Loan	3,388
Ambient Enterprises Holdco, LLC	Revolver	685
American Combustion Industries, LLC	Delayed Draw Term Loan	3,376
American Combustion Industries, LLC	Revolver	236
Amerspirit FL, LLC	Delayed Draw Term Loan	865
Ampler QSR Holdings, LLC	Revolver	2,451
Amylu Borrower Sub, LLC	Delayed Draw Term Loan	1,998
Amylu Borrower Sub, LLC	Revolver	2,508
Apex Service Partners, LLC	Delayed Draw Term Loan	23
Apex Service Partners, LLC	Revolver	1,885
Beacon Oral Specialists	Delayed Draw Term Loan	252
Beacon Oral Specialists	Delayed Draw Term Loan	1,171
Bristol Hospice, LLC	Revolver	3,779
Cards Live Oak Holdings INC	Delayed Draw Term Loan	50
Cards Live Oak Holdings INC	Revolver	33
Cvausa Management, LLC	Delayed Draw Term Loan	16,533
Cvausa Management, LLC	Revolver	1,111
Del-Air Heating, Air Conditioning & Refrigeration, LLC	Delayed Draw Term Loan	4,090
Del-Air Heating, Air Conditioning & Refrigeration, LLC	Revolver	2,272
Dentive Capital, LLC	Revolver	50
Dermcare Management, LLC	Delayed Draw Term Loan	18,476
Dukes Root Control Inc.	Revolver	908
Durare Bidco LLC	Delayed Draw Term Loan	50
Durare Bidco LLC	Revolver	50
Elessent Clean Technologies Inc.	Revolver	1,711
Flexera Software LLC	Revolver	50
GC Waves Holdings, Inc.	Delayed Draw Term Loan	1,092
High Street Buyer, Inc.	Delayed Draw Term Loan	17,251
HLSG Intermediate, LLC	Delayed Draw Term Loan	2,341
HLSG Intermediate, LLC	Revolver	837
IFH Franchisee Holdings, LLC	Delayed Draw Term Loan	3,136
KAMC Holdings, Inc.	Revolver	27
Legacy Precast Buyer	Delayed Draw Term Loan	5,157
Legacy Precast Buyer	Revolver	4,727
Neptune Platform Buyer, LLC	Delayed Draw Term Loan	1,403
Neptune Platform Buyer, LLC	Delayed Draw Term Loan	641
Neptune Platform Buyer, LLC	Delayed Draw Term Loan	2,350
NWP Acquisition Holdings, LLC	Delayed Draw Term Loan	4,000
NWP Acquisition Holdings, LLC	Revolver	5,000

Table of Contents


Investments - non-controlled, non-affiliated	Commitment Type	Unfunded Commitment
Offen, Inc.	Revolver	$	3,178
Orthofeet, Inc	Revolver	1,524
Pathstone Family Office, LLC	Delayed Draw Term Loan	5,340
Pathstone Family Office, LLC	Revolver	797
Regent Surgical Health, LLC	Delayed Draw Term Loan	2,256
Regent Surgical Health, LLC	Revolver	7,824
RKD Group, LLC	Delayed Draw Term Loan	3,233
RKD Group, LLC	Revolver	1,805
Royal Holdco Corporation	Delayed Draw Term Loan	4,740
Royal Holdco Corporation	Revolver	404
RPX Corporation	Revolver	2,601
Salt Dental Collective, LLC	Revolver	78
Sandlot Baseball BorrowerCo, LLC	Delayed Draw Term Loan	4,942
Sandlot Baseball BorrowerCo, LLC	Revolver	2,253
Secretariat Advisors, LLC	Delayed Draw Term Loan	1,081
Stonebridge Companies, LLC	Delayed Draw Term Loan	1,327
Stonebridge Companies, LLC	Revolver	885
Superjet Buyer, LLC	Delayed Draw Term Loan	4,134
SV-AERO Holdings, LLC	Delayed Draw Term Loan	1,261
Systems Planning And Analysis, Inc.	Delayed Draw Term Loan	1,595
Systems Planning And Analysis, Inc.	Revolver	1,970
Together Womens Health, LLC	Delayed Draw Term Loan	10,905
Together Womens Health, LLC	Revolver	2,305
VRC Companies, LLC	Revolver	100
World Insurance Associates, LLC	Revolver	1,127
WRM Wastewater Merger Sub, Inc.	Delayed Draw Term Loan	4,478
		$	197,802

Off balance sheet risk

Off-balance sheet risk refers to an unrecorded potential liability that may result in a future obligation or loss, even though it does not appear on the Consolidated Statements of Assets and Liabilities. The Company may enter into derivative instruments that contain elements of off-balance sheet market and credit risk. As of June 30, 2026 and December 31, 2025, there were no commitments outstanding for derivative contracts.

Legal proceedings

From time to time, the Company may become a party to certain legal proceedings incidental to the normal course of its business. As of June 30, 2026, management is not aware of any material pending legal proceedings.

8. Net Assets

The Company has the authority to issue 200,000,000 shares of common stock, par value $0.01 per share. The Company issues shares of common stock in the Private Offering on an ongoing basis at an offering price generally equal to the net asset value per share. As of June 30, 2026 and December 31, 2025, the Company had 27,234,435 and 24,058,078 shares issued and outstanding, respectively.

The Company issued and sold the following shares of common stock during the six months ended June 30, 2026 (amounts in thousands, except share and per share amounts):


		For the six months ended June 30, 2026
Date	Number of Shares Issued	Gross Proceeds		Net Proceeds		Average Price/Share
3/24/2026	1,711,263	$	27,500	$	27,500	16.07
5/15/2026	580,074	9,403		9,403		16.21
	2,291,337	$	36,903	$	36,903

Table of Contents

The Company issued and sold the following shares of common stock during the six months ended June 30, 2025 (amounts in thousands, except share and per share amounts):


		For the six months ended June 30, 2025
Date	Number of Shares Issued	Gross Proceeds		Net Proceeds		Average Price/Share
3/28/2025	3,090,235	$	50,000	$	50,000	16.18
	3,090,235	$	50,000	$	50,000

9. Distributions and Dividend Reinvestment

The following tables reflects the distributions declared on the Company’s common stock for the six months ended June 30, 2026 and 2025 (amounts in thousands, except per share amounts):


Date Declared	Record Date	Payment Date	Amount Per Share		Total Amount
3/12/2026	3/12/2026	4/27/2026	$	0.40	$	9,810
6/11/2026	6/11/2026	7/27/2026	0.41		11,166


			$	0.81	$	20,976


Date Declared	Record Date	Payment Date	Amount per Share		Total Amount
6/10/2025	6/10/2025	6/17/2025	$	0.30	$	5,409
			$	0.30	$	5,409

With respect to distributions, the Company has adopted an “opt out” dividend reinvestment plan (“DRIP”) for its shareholders. As a result, in the event of a declared cash distribution or other distribution, each shareholder that has not “opted out” of the DRIP will have their dividends or distributions automatically reinvested in additional shares of Common Stock rather than receiving cash distributions. Shareholders who receive distributions in the form of shares of Common Stock will be subject to the same U.S. federal, state and local tax consequences as if they received cash distributions.

Pursuant to the DRIP, the following tables summarizes the amounts and shares issued to shareholders who have not opted out of the Company’s DRIP during the six months ended June 30, 2026 and 2025 (amounts in thousands, except share amounts):


Payment Date	DRIP Value		DRIP Shares Issued
1/26/2026	$	7,688	465,930
4/27/2026	6,751		419,089
	$	14,439


Payment Date	DRIP Value		DRIP Shares Issued
6/17/2025	$	3,622	222,903
	$	3,622

During certain periods, our distributions may exceed our earnings. As a result, it is possible that a portion of the distributions we make may represent a return on capital. A return of capital generally is a shareholder’s investment rather than a return of earnings or gains derived from our investment activities. Each year, a statement on Form 1099-DIV identifying the tax character of the distributions will be mailed to our shareholders. The tax character of the distributions are not determined until our taxable year end.

Table of Contents

10. Earnings Per Share

The following table sets forth the computation of basic and diluted earnings per share for the three and six months ended June 30, 2026 and 2025 (amounts in thousands, except share and per share amounts):


	For the three months ended June 30,				For the six months ended June 30,
	2026		2025		2026		2025
Net increase (decrease) in net assets resulting from operations	$	8,327	$	7,729	$	16,384	$	15,220
Weighted average shares outstanding (basic and diluted)	26,834,220		18,064,572		25,696,777		16,579,232
Net increase (decrease) in net assets resulting from operations per share (basic and diluted)	$	0.31	$	0.43	$	0.65	$	0.92

11. Tax Information

For the three and six months ended June 30, 2026 and 2025, the Company did not accrue any excise or other tax fees. For the three and six months ended June 30, 2026, the Company paid excise and other tax fees of $0.04 million. For the three and six months ended June 30, 2025, the Company did not pay any excise or other tax fees.

In accordance with ASC 740, the Company evaluates tax positions taken in the course of preparing the Company’s tax returns to determine whether the tax positions are “more-likely-than-not” to be sustained by the applicable tax authority. Tax benefits of positions not deemed to meet the more-likely-than-not threshold, or uncertain tax positions, would be recorded as a tax expense in the current year. It is the Company’s policy to recognize accrued interest and penalties, if any, related to unrecognized tax benefits as a component of provision for income taxes. Management has analyzed tax laws and regulations and their application to the Company as of June 30, 2026, inclusive of the open tax return years, and does not believe that there are any uncertain tax positions that require recognition of a tax liability in the consolidated financial statements, nor does it expect any such positions to arise within the next 12 months. The Company is currently not undergoing any tax examinations.

12. Financial Highlights

The following are financial highlights for common shares outstanding during the six months ended June 30, 2026 and 2025 (amounts in thousands, except share and per share amounts):


	For the six months ended June 30,
	2026			2025
Per share data: (1)
Net asset value, beginning of period	$	16.11		$	15.76
Net investment income (loss)	0.80			0.75
Net change in unrealized appreciation (depreciation)	(0.15)			0.17
Net increase (decrease) in net assets from operations	0.65			0.92
Distributions declared (2)	(0.81)			(0.30)
Total increase (decrease) in net assets	(0.16)			0.62
Net asset value, end of period	$	15.95		$	16.38
Shares Outstanding, end of period	27,234,435			18,253,180
Total Return (3)	4.03		%	3.93		%
Ratios
Ratio of net expenses to average net assets (4)	11.45		%	14.87		%
Ratio of net investment income (loss) to average net assets (4)	10.05		%	9.38		%
Portfolio turnover rate (5)	8.62		%	10.28		%
Supplemental Data
Net Assets, end of period	$	434,394		$	298,923
Weighted average shares outstanding	25,696,777			16,579,232
Total capital commitments, end of period	$	479,753		$	470,350

Table of Contents


	For the six months ended June 30,
Asset coverage ratio	181.77	%	174.72	%
Ratio of total contributed capital to total committed capital, end of period	90.27	%	61.21	%

(1)Per share amounts are calculated based on the weighted average shares outstanding for the six months ended June 30, 2026 and 2025.

(2)The per share data for distributions was derived by using the actual shares outstanding at the date of the relevant transactions (refer to Note 9. Distributions and Dividend Reinvestment).

(3)Total return is calculated as the change in NAV per share during the period, plus distributions per share, if any, divided by the NAV per share at the beginning of the period.

(4)Amounts are annualized. For the six months ended June 30, 2026 and 2025, the ratio of total operating expenses, excluding interest and borrowing expenses, to average net assets was 3.70% and 4.58%, respectively.

(5)Portfolio turnover rate is calculated using the lesser of total sales or total purchases over the average of the investments at fair value for the period reported.

13. Segment Reporting

The Company operates through a single operating and reporting segment with an investment objective to generate attractive risk-adjusted total returns consisting current income and of capital appreciation. The CODM, which comprises the Company’s chief executive officer and chief financial officer, assesses the performance and makes operating decisions of the Company on a consolidated basis primarily based on the Company’s net increase (decrease) in net assets resulting from operations (“net income”). In addition to numerous other factors and metrics, the CODM utilizes consolidated net income as a key metric in determining the amount of distributions to be paid to the Company’s shareholders. As the Company’s operations comprise a single reporting segment, the segment assets are reflected on the Consolidated Statements of Assets and Liabilities as “total assets” and the significant segment expenses are listed on the accompanying Consolidated Statements of Operations.

14. Subsequent Events

The Company's management evaluated subsequent events through the date of the issuance of the consolidated financial statements included herein. There have been no subsequent events that occurred during such period that would require disclosure in this Form 10-Q or would be required to be recognized in the consolidated financial statements as of June 30, 2026, except as discussed below.

On July 27, 2026, the Company issued approximately 380,777 shares of its Common Stock pursuant to the Company’s DRIP in connection with the distribution paid to shareholders on July 27, 2026.

Table of Contents

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The information in this section contains forward-looking statements that involve risks and uncertainties. See “Item 1A. Risk Factors” and “Cautionary Statement Regarding Forward-Looking Statements” for a discussion of the uncertainties, risks and assumptions associated with these statements. You should read the following discussion in conjunction with the unaudited consolidated financial statements and related notes and other financial information appearing elsewhere in this Quarterly Report on Form 10-Q.

The following discussion is designed to provide a better understanding of our unaudited consolidated financial statements, including a brief discussion of our business, key factors that impacted our performance and a summary of our operating results. The following discussion should be read in conjunction with our unaudited consolidated financial statements and the notes thereto included or incorporated by reference in Item 1 of this Quarterly Report. Historical results and percentage relationships among any amounts in the financial statements are not necessarily indicative of trends in operating results for any future periods.

Overview of Our Business

Willow Tree Capital Corporation (the "Company," "we," "us" or "our") was formed on June 29, 2022 as a Maryland corporation. The Company invests primarily in floating rate middle market senior secured loans. The Company is an externally managed, non-diversified, closed-end management investment company that has elected to be regulated as a business development company (“BDC”) under the Investment Company Act of 1940, as amended (the “1940 Act”). The Company has elected to be treated, and intends to qualify annually, for U.S. federal income tax purposes as a regulated investment company (“RIC”), under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). The Company is externally managed by Willow Tree Capital Corp Advisors LLC (the “Adviser”). The Adviser is an investment adviser that is registered with the SEC under the Advisers Act of 1940, as amended. As an externally managed BDC, we do not have any employees, and our investment and management functions are provided by an outside investment adviser and administrator under an advisory agreement and administration agreement. We pay the Adviser for investment and management services pursuant to the terms of the Investment Management Agreement. Willow Tree Credit Partners LP (the "Administrator") serves as our administrator. The Administrator provides the administrative services necessary for us to operate pursuant to the Administration Agreement. The Administrator has entered into a sub-administration agreement with State Street Bank and Trust Company ("State Street") pursuant to which State Street will receive compensation for its services.

Our investment objective is to generate current income and, to a lesser extent, capital appreciation. We invest primarily in primarily in floating rate middle market senior secured loans. We define “middle market” as companies with annual earnings before interest expense, income tax expense, depreciation and amortization, or “EBITDA” ranging from approximately $5 million to $75 million. These loans are typically secured with a priority lien on assets. Our investment objectives are to maximize the total return to our shareholders in the form of current income and capital appreciation. To achieve our investment objective, we will leverage the Adviser's investment team’s extensive network of relationships with other sophisticated institutions to source, evaluate and, as appropriate, partner with on transactions. We generate returns primarily from interest income and fees from senior secured loans, with some capital appreciation through nominal junior capital co-investments.

Formation Transaction

Prior to the Company electing to be regulated as a BDC (the "BDC Election"), on November 8, 2024, the Company entered into an agreement and plan of merger (the “Onshore Merger Agreement”) with Willow Tree Capital Fund, LLC, a Delaware limited liability company managed by the Adviser (the “Onshore Fund”), under which the Onshore Fund would merge with and into the Company, with the Company surviving the merger (the “Onshore Merger”). Before completing the Onshore Merger, the Adviser served as investment adviser to the Onshore Fund. According to the Onshore Merger Agreement, the members of the Onshore Fund would receive approximately 0.99 shares of the Company’s common stock, par value $0.01 per share (the “Common Stock”) for each unit of membership interest held by such members. The Onshore Merger closed on November 8, 2024, prior to the BDC Election. As a result of the Onshore Merger, the Company issued 6,939,661 shares of Common Stock, and acquired a portfolio of assets consisting of 96 loans to 32 borrowers (including term loans, delayed draw term loans, and revolvers), cash and other assets (collectively, the “Onshore Assets”), which assets had an aggregate net asset value of $108.9 million.

Table of Contents

Cayman Islands limited liability company managed by the Adviser (the “Offshore Fund”), under which the Offshore Fund would merge with and into the Company, with the Company surviving the merger (the “Offshore Merger” and, together with the Onshore Merger, the “Mergers”). Before completing the Offshore Merger, the Adviser served as investment adviser to the Offshore Fund. According to the Offshore Merger Agreement, the members of the Offshore Fund would receive one (1) share of Common Stock for each unit of membership interest held by such members. The Offshore Merger closed on November 8, 2024, prior to the BDC Election. As a result of the Offshore Merger, the Company issued 4,803,384 shares of Common Stock, and acquired a portfolio of assets consisting of 51 loans to 26 borrowers (including term loans, delayed draw term loans, and revolvers), cash and other assets (collectively, the “Offshore Assets”), which assets had an aggregate net asset value of $75.4 million.

Following the completion of the Mergers, the Company’s total assets were approximately $389.0 million consisting of 99 loans to 33 borrowers (including term loans, delayed draw term loans, and revolvers), cash and other assets.

Portfolio Composition

The total value of our investment portfolio was $921.5 million as of June 30, 2026, as compared to $884.4 million as of December 31, 2025. As of June 30, 2026, we had investments in 60 portfolio companies with an aggregate cost of $918.0 million. As of December 31, 2025, we had investments in 54 portfolio companies with an aggregate cost of $876.7 million.

As of June 30, 2026, our investment portfolio consisted of the following investments (amounts in thousands):


	Amortized Cost		Percentage of Total Portfolio		Fair Value		Percentage of Total Portfolio
Total Private Debt - United States	$	918,011	100	%	$	921,452	100	%
	$	918,011	100	%	$	921,452	100	%

As of December 31, 2025, our investment portfolio consisted of the following investments (amounts in thousands):


	Amortized Cost		Percentage of Total Portfolio		Fair Value		Percentage of Total Portfolio
Total Private Debt - United States	$	876,688	100	%	$	884,414	100	%
	$	876,688	100	%	$	884,414	100	%

The weighted average stated interest rate and weighted average maturity, both on aggregate principal amount outstanding, of all our debt outstanding as of June 30, 2026 and December 31, 2025, were 9.1% and 3.8 years and 9.3% and 4.1 years, respectively.

Investment Activity

During the three months ended June 30, 2026, we made 30 new investments totaling $66.5 million of commitments, excluding short-term investments. During the three months ended June 30, 2026, we had partial realizations in 4 portfolio company borrowers totaling $55.3 million of commitments and full realization in 1 portfolio company borrower totaling $10.9 million of commitments. We had no full repayments during the three months ended June 30, 2026.

During the six months ended June 30, 2026, we made 40 new investments totaling $91.4 million of commitments, excluding short-term investments. During the six months ended June 30, 2026, we had partial realizations in 4 portfolio company borrowers totaling $55.3 million of commitments, full realization in 1 portfolio company borrower totaling $10.9 million of commitments, and full repayments in 2 portfolio company borrowers totaling $17.1 million of commitments.

During the three months ended June 30, 2025, we made 11 new investments totaling $107.3 million of commitments, excluding short-term investments. During the three months ended June 30, 2025, we had no investment realization activity.

During the six months ended June 30, 2025, we made 22 new investments totaling $249.9 million of commitments, excluding short-term investments. During the six months ended June 30, 2025, we had no investment realization activity.

The industry composition of investments based on fair value as of June 30, 2026 and December 31, 2025 were as follows:

Table of Contents


	June 30, 2026		December 31, 2025
Health Care Providers & Services	25.66	%	25.38	%
Commercial Services & Suppliers	17.66	%	16.22	%
Diversified Consumer Services	9.93	%	9.85	%
Financial Services	7.99	%	8.65	%
Insurance	7.01	%	7.18	%
Aerospace & Defense	5.57	%	6.20	%
Professional Services	4.88	%	4.74	%
Software	4.53	%	5.51	%
Energy Equipment & Services	4.30	%	4.66	%
Construction & Engineering	4.02	%	3.41	%
Specialty Retail	3.08	%	3.17	%
Hotels, Restaurants & Leisure	1.62	%	1.41	%
Multi-Utilities	1.18	%	1.24	%
Entertainment	0.98	%	1.00	%
Distributors	0.65	%	—	%
Containers & Packaging	0.61	%	—	%
Food Products	0.33	%	—	%
Health Care Equipment & Supplies	—	%	1.38	%
Total	100	%	100	%

See Note 4 to our unaudited consolidated financial statements for further discussion on the Company's portfolio and selected balance sheet information as of June 30, 2026 and December 31, 2025, respectively.

The geographic composition of investments at cost and fair value as of June 30, 2026 were as follows (amounts in thousands):


	June 30, 2026
	Amortized Cost		Fair Value		% of Total Investments at Fair Value		Fair Value as % of Net Assets
United States	$	918,011	$	921,452	100	%	212.12	%
Total investments	$	918,011	$	921,452	100	%	212.12	%

The geographic composition of investments at cost and fair value as of December 31, 2025 were as follows (amounts in thousands):


	December 31, 2025
	Amortized Cost		Fair Value		% of Total Investments at Fair Value		Fair Value as % of Net Assets
United States	$	876,688	$	884,414	100	%	228.15	%
Total investments	$	876,688	$	884,414	100	%	228.15	%

Our Adviser monitors on an ongoing basis, the financial trends of each portfolio company to determine if it is meeting its respective business plan and to assess the appropriate course of action for each portfolio company. Our Adviser has several methods of evaluating and monitoring the performance and fair value of our investments, which may include the following: (i) assessment of success in adhering to the portfolio company’s business plan and compliance with covenants; (ii) periodic or regular contact with portfolio company management and, if appropriate, the financial or strategic sponsor to discuss financial position, requirements and accomplishments; (iii) comparisons to our other portfolio companies in the industry, if any; (iv) attendance at and participation in board meetings or presentations by portfolio companies; and (v) review of monthly and quarterly financial statements and financial projections of portfolio companies.

Table of Contents

As part of the portfolio monitoring process, our Adviser also employs an investment rating system to categorize our investments. In addition to various risk management and monitoring tools, our Adviser grades the credit risk of all investments on a scale of 1 to 4 no less frequently than quarterly. This system is intended primarily to reflect the underlying risk of a portfolio investment relative to our initial cost basis in respect of such portfolio investment (i.e., at the time of origination or acquisition), although it may also take into account in certain circumstances the performance of the portfolio company’s business, the collateral coverage of the investment and other relevant factors. The following risk rating scale is used:

•Investment Rating 1 is strong financial condition, trending positive;

•Investment Rating 2 is stable and performing;

•Investment Rating 3 is trending downward, but no expected principal loss; and

•Investment Rating 4 is non-accrual, possible principal impairment.

Our Adviser grades the investments in our portfolio at least each quarter and it is possible that the grade of a portfolio investment may be reduced or increased over time. All investments that carry a risk rating of 4 will be reviewed at least once per month with the Adviser's Chief Credit Officer, who is responsible for overseeing our restructuring processes. Activities relating to such investments ranges from a heightened level of interfacing with management and all other capital constituents to hiring financial and legal advisers in furtherance of a balance sheet restructuring. When deemed necessary, the Adviser professionals may participate as members or leaders of ad hoc creditors’ committees and/or be called upon to testify in bankruptcy court on behalf of a certain class of creditors. The following table shows the composition of our portfolio (excluding investments in money market funds, if any) on the 1 to 4 grading scale as of June 30, 2026 and December 31, 2025, respectively (amounts in thousands):


	June 30, 2026				December 31, 2025
Investment Performance Rating	Fair Value		Percentage of Total		Fair Value		Percentage of Total
Grade 1	$	—	0.0	%	$	—	0.0	%
Grade 2	918,770		99.7	%	881,779		99.7	%
Grade 3	2,682		0.3	%	2,635		0.3	%
Grade 4	—		0.0	%	—		0.0	%
Total Investments	$	921,452	100.0	%	$	884,414	100.0	%

Non-Accrual Assets

Generally, when interest and/or principal payments on a loan become past due, or if we otherwise do not expect the borrower to be able to service its debt and other obligations, we will place the loan on non-accrual status and will generally cease recognizing interest income on that loan for financial reporting purposes until all principal and interest have been brought current through payment or due to a restructuring such that the interest income is deemed to be collectible. As of June 30, 2026 and December 31, 2025, we had no non-accrual assets.

Results of Operations

For the three and six months ended June 30, 2026 and 2025

Operating results for the three and six months ended June 30, 2026 and 2025 were as follows (amounts in thousands):


	For the three months ended June 30,				For the six months ended June 30,
	2026		2025		2026		2025
Total investment income	$	22,245	$	17,336	$	44,062	$	31,969
Net operating expenses	11,619		10,603		23,464		19,599
Net investment income before excise tax	10,626		6,733		20,598		12,370
Excise tax expense	—		—		—		—
Net investment income after excise tax	10,626		6,733		20,598		12,370
Net realized and unrealized gain (loss)	(2,299)		996		(4,214)		2,850
Net increase in net assets resulting from operations	$	8,327	$	7,729	$	16,384	$	15,220

Table of Contents

Net increase in net assets resulting from operations for the three months ended June 30, 2026 and 2025 was approximately $8.3 million and $7.7 million, respectively. The increase is primarily due to a $3.9 million increase in net investment income, partially offset by a $3.3 million increase in net realized and unrealized loss period-over-period.

Net increase in net assets resulting from operations for the six months ended June 30, 2026 and 2025 was approximately $16.4 million and $15.2 million, respectively. The increase is primarily due to a $8.2 million increase in net investment income, partially offset by a $7.1 million increase in net realized and unrealized loss period-over-period.

Investment Income (amounts in thousands):


	For the three months ended June 30,				For the six months ended June 30,
	2026		2025		2026		2025
Interest income	$	20,837	$	16,371	$	41,350	$	30,090
PIK interest income	1,337		789		2,624		1,519
Other income	71		176		88		360
Total investment income	$	22,245	$	17,336	$	44,062	$	31,969

Total investment income for the three months ended June 30, 2026 increased $4.9 million, or 28.3%, as compared to the three months ended June 30, 2025. Total investment income for the six months ended June 30, 2026 increased $12.1 million, or 37.8%, as compared to the six months ended June 30, 2025. The increase in total investment income for each comparable period is attributable to the significant increase in our portfolio as the Company continues to ramp up.

Operating Expenses (amounts in thousands):


	For the three months ended June 30,				For the six months ended June 30,
	2026		2025		2026		2025
Interest and borrowing expenses	$	7,867	$	7,221	$	15,873	$	13,558
Investment income incentive fees	1,481		962		2,871		1,767
Management fees	1,312		913		2,507		1,639
Professional fees	470		574		1,027		1,130
Administration fees	190		129		377		254
Capital gains incentive fees	(259)		—		(501)		—
Other general and administrative expenses	558		804		1,310		1,251
Total expenses	$	11,619	$	10,603	$	23,464	$	19,599

Interest and Borrowing Expenses

Interest and borrowing expenses for the three and six months ended June 30, 2026, were attributable to borrowings under the Credit Facility and Subscription Line (as discussed below under “Liquidity and Capital Resources”). For the three and six months ended June 30, 2026, the Company incurred $7.9 million and $15.9 million in interest and borrowing expenses, respectively. For the three and six months ended June 30, 2025, the Company incurred $7.2 million and $13.6 million in interest and borrowing expenses, respectively. Interest and borrowing expenses increased approximately $0.6 million, or 8.9%, for the three months ended June 30, 2026 from the comparable period in 2025 due to an increase in the average debt outstanding of approximately $119.4 million, partially offset by a decrease in the weighted average interest rate of approximately 0.9%. Interest and borrowing expenses increased approximately $2.3 million, or 17.1%, for the six months ended June 30, 2026 from the comparable period in 2025 due to an increase in the average debt outstanding of approximately $151.7 million, partially offset by a decrease in the weighted average interest rate of approximately 1.0%.

Compensation of the Adviser

We pay the Adviser an investment advisory fee for its services under the Investment Management Agreement consisting of two components: a management fee and an incentive fee. The cost of both the management fee and the incentive fee is ultimately borne by the shareholders.

Table of Contents

Management Fee

See Note 3 to our unaudited consolidated financial statements for additional information regarding the Investment Management Agreement and the fee arrangement thereunder. For the three and six months ended June 30, 2026, the amount of Management Fee incurred was $1.3 million and $2.5 million, respectively. For the three and six months ended June 30, 2025, the amount of Management Fee incurred was $0.9 million and $1.6 million, respectively. The increase in Management Fee for the three and six months ended June 30, 2026 as compared to the three and six months ended June 30, 2025 was driven by the increase in net assets period-over-period.

Incentive Fees

Investment Income Incentive Fee

For this purpose, “pre-incentive fee net investment income” means interest income, dividend income and any other income (including any other fees, such as commitment, origination, structuring, diligence, managerial and consulting fees or other fees received from portfolio companies) accrued during the fiscal quarter, minus operating expenses for the quarter (including the Management Fee, expenses payable under any administration agreement and dividends paid on any issued and outstanding preferred stock, but excluding the Incentive Fee). Pre-incentive fee net investment income includes, in the case of investments with a deferred interest feature (such as original issue discount, debt instruments with payment-in-kind interest and zero coupon securities), accrued income that the Company has not yet received in cash; provided, however, that the portion of the investment-income incentive fee attributable to deferred interest features will be paid, only if and to the extent received in cash, and any accrual thereof will be reversed if and to the extent such interest is reversed in connection with any write off or similar treatment of the investment giving rise to any deferred interest accrual, applied in each case in the order such interest was accrued. Such subsequent payments in respect of previously accrued income will not reduce the amounts payable for any quarter pursuant to the calculation of the investment-income component described above. Pre-incentive fee net investment income does not include any realized capital gains, realized capital losses or unrealized capital appreciation or depreciation.

Pre-incentive fee net investment income, expressed as a rate of return on the value of net assets (defined as total assets less liabilities) at the end of the immediately preceding fiscal quarter, will be compared to a “hurdle rate” of 1.50% per quarter (6.00% annualized). The Company will pay the Adviser an investment-income incentive fee with respect to pre-incentive fee net investment income in each calendar quarter as follows:

1.No investment-income incentive fee in any calendar quarter in which pre-incentive fee net investment income does not exceed the hurdle rate of 1.50%;

2.100% of pre-incentive fee net investment income with respect to that portion of such pre-incentive fee net investment income, if any, that exceeds the hurdle rate but is less than or equal to 1.714% in any calendar quarter (6.857% annualized) (the portion of pre-incentive fee net investment income that exceeds the hurdle but is less than or equal to 1.714% is referred to as the “catch-up”; the “catch-up” is meant to provide the Adviser with 12.50% of pre-incentive fee net investment income as if a hurdle did not apply if pre-incentive fee net investment income exceeds 1.714% in any calendar quarter); and

3.12.50% of the amount of pre-incentive fee net investment income, if any, that exceeds 1.714% in any calendar quarter (6.857% annualized) payable to the Adviser (once the hurdle is reached and the catch-up is achieved, 12.50% of all pre-incentive fee net investment income thereafter is allocated to the Adviser).

Table of Contents

The following is a graphical representation of the calculation of the investment-income component of the incentive fee:

Pre-Incentive Fee Net Investment Income (express as a percentage of the value of net assets)


0%	1.50%	1.714%
← 0% →	← 100% →	← 12.5% →

Investment income incentive fees increased approximately $0.5 million and $1.1 million for the three and six months ended June 30, 2026, respectively, from the comparable periods in 2025 due to a higher pre-incentive fee net investment income in excess of the hurdle period-over-period. As of June 30, 2026 and December 31, 2025, $2.2 million and $1.6 million, respectively, of incentive fees on investment income, were unpaid and are included in investment income incentive fees payable in our Consolidated Statements of Assets and Liabilities.

Capital Gains Incentive Fee

Capital gains incentive fees accrued (reversed), but not yet payable, on a hypothetical liquidation basis under GAAP for the three and six months ended June 30, 2026 were $(0.3) million and $(0.5) million, respectively. For the three and six months ended June 30, 2025, the Company did not accrue (reverse) capital gains incentive fees. As of June 30, 2026 and December 31, 2025, $0.5 million and $1.0 million, respectively, of accrued capital gains incentive fees are included in our Consolidated Statements of Assets and Liabilities.

Unless terminated earlier, the Investment Management Agreement will continue in effect for a period of two years from its effective date. It will remain in effect from year to year thereafter if approved annually by the board of directors of the Company (the “Board”) or by the affirmative vote of the holders of a majority of our outstanding voting securities, and, in either case, if also approved by the vote of a majority of the Company's directors who are not parties to the Investment Management Agreement or “interested persons” (as such term is defined in Section 2(a)(19) of the 1940 Act).

Professional Fees

Professional fees include legal, audit, tax, valuation, technology and other professional fees incurred related to the management of us. For the three and six months ended June 30, 2026, the Company incurred $0.5 million and $1.0 million, respectively, in professional fees. For the three and six months ended June 30, 2025, the Company incurred $0.6 million and $1.1 million, respectively, in professional fees.

Administration Fees

Administration fees represent fees paid to the Administrator for our allocable portion of overhead and other expenses incurred by the Administrator in performing its obligations under the administration agreement. See Note 3 to our consolidated financial statements for additional information regarding the Administration Agreement and the administrative fees thereunder. For the three and six months ended June 30, 2026, the Company incurred $0.2 million and $0.4 million, respectively, in administration fees. For the three and six months ended June 30, 2025, the Company incurred $0.1 million and $0.3 million, respectively, in administration fees.

Table of Contents

Other General and Administrative Expenses

Other general and administrative expenses include director fees, insurance, filing, research, our sub-administrator, subscriptions and other costs. For the three and six months ended June 30, 2026, the Company incurred $0.6 million and $1.3 million in other general and administrative expenses, respectively. For the three and six months ended June 30, 2025, the Company incurred $0.8 million and $1.3 million in other general and administrative expenses, respectively.

Net Unrealized Appreciation (Depreciation)

Net change in unrealized appreciation (depreciation) for the three and six months ended June 30, 2026 and 2025 were as follows (amounts in thousands):


	For the three months ended June 30,				For the six months ended June 30,
	2026		2025		2026		2025
Non-control, non-affiliate investments	$	(2,356)	$	996	$	(4,150)	$	2,850
Foreign currency translation	(15)		—		(136)		—
Net change in unrealized appreciation (depreciation)	$	(2,371)	$	996	$	(4,286)	$	2,850

For the three months ended June 30, 2026 and 2025, the net change in unrealized appreciation (depreciation) was $(2.4) million and $1.0 million, respectively. For the six months ended June 30, 2026 and 2025, the net change in unrealized appreciation (depreciation) was $(4.3) million and $2.9 million, respectively. The increase in net unrealized depreciation on the Company’s portfolio for the three and six months ended June 30, 2026 reflects the impact of wider market credit spreads across the private credit market, as well as certain company-specific fundamental performance factors, which collectively resulted in lower fair values across the Company’s debt investments. For the three and six months ended June 30, 2025, the net unrealized appreciation on the Company’s portfolio was driven by fundamental portfolio performance of investments.

Net Realized Gain (Loss)

Net realized gain (loss) for the three and six months ended June 30, 2026 and 2025 were as follows (amounts in thousands):


	For the three months ended June 30,				For the six months ended June 30,
	2026		2025		2026		2025
Non-controlled, non-affiliated investments	$	74	$	—	$	74	$	—
Foreign currency transactions	(2)		—		(2)		—
Net realized gain (loss)	$	72	$	—	$	72	$	—

For the three and six months June 30, 2026, the Company recorded net realized gain of $0.1 million and $0.1 million, respectively. The net realized gain for both the three and six months ended June 30, 2026 was driven by the partial realizations in 4 portfolio company borrowers and full realization in 1 portfolio company borrower. There was no realized gain (loss) recorded for the three and six months ended June 30, 2025.

Liquidity and Capital Resources

We believe that our current cash on hand, our short-term investments, our available borrowing capacity under the Credit Facility, unfunded investor Capital Commitments and our anticipated cash flows from operations will be adequate to meet our cash needs for our daily operations for at least the next twelve months.

Under the 1940 Act, we are required to meet an asset coverage ratio, defined under the 1940 Act as the ratio which the value of our total assets (less all liabilities and indebtedness not represented by senior securities) bears to the aggregate amount of our outstanding senior securities representing our indebtedness, of at least 150% after each issuance of senior securities. Our asset coverage ratio was 181.8% and 173.0% as of June 30, 2026 and December 31, 2025, respectively.

Cash Flows

For the six months ended June 30, 2026, we experienced a net increase in cash in the amount of $10.2 million. During that period, our operating activities used $22.6 million in cash, consisting primarily of purchases of portfolio investment

Table of Contents

securities of $114.8 million, which was partially offset by proceeds from sales and principal repayments of investment securities of $77.7 million. In addition, financing activities provided net cash of $32.8 million, consisting primarily of net borrowings under the Credit Facility (as defined below) and Subscription Line (as defined below) of $0.1 million and proceeds from the issuance of Common Stock of $36.9 million. At June 30, 2026, we had $37.8 million of cash on hand.

For the six months ended June 30, 2025, we experienced a net increase in cash in the amount of $36.4 million. During that period, our operating activities used $179.7 million in cash, consisting primarily of purchases of portfolio investment securities of $243.3 million, which was partially offset by proceeds from sales and principal repayments of investment securities of $61.9 million. In addition, financing activities provided net cash of $216.1 million, consisting primarily of borrowings under the Credit Facility of $394.8 million and proceeds from the issuance of Common Stock of $50.0 million. At June 30, 2025, we had $44.5 million of cash on hand.

Financing Transactions

Credit Facility

On November 8, 2024, WT Capital Fund – SPV1, LLC (the “Borrower”), a Delaware limited liability company and wholly owned subsidiary of the Company, entered into an Amended and Restated Loan, Security and Collateral Management Agreement with Ally Bank, as administrative agent for a $300.0 million revolving credit facility (the “A&R Credit Facility”). The A&R Credit Facility combined, amended and restated the Prior Onshore Credit Facility and the Prior Offshore Credit Facility each as defined and described below. On February 21, 2025, the Borrower entered into a First Amendment to the A&R Credit Facility, which increased the total commitments thereunder from $300.0 million to $500.0 million. On December 23, 2025, the Company entered into a Second Amendment to the A&R Credit Facility which, among other things, (i) increased the total commitment under the A&R Credit Facility from $500.0 million to $575.0 million, (ii) joined WT Capital Fund - SPV 1 Sub Gold LLC, a wholly owned subsidiary of the Company, as a new borrower, (iii) reduced applicable spreads, (iv) allow acquisitions of loans in foreign currencies such as EUR and GBP and (v) amend the definition of "Change of Control" and "Material Modification" as defined in the A&R Credit Facility.

Borrowings under the A&R Credit Facility are considered the Company’s borrowings for purposes of complying with the asset coverage requirements under the Investment Company Act of 1940, as amended.

Table of Contents

Subscription Line

On November 7, 2025, the Company entered into a First Amendment to the Subscription Facility which among things, (i) extended the maturity date from November 7, 2025 to November 6, 2026 and (ii) amended the definition of "Borrowing Base" from 60% of certain Unfunded Capital Commitments to 70% of such Unfunded Capital Commitments. The Subscription Facility bears interest based on either Term SOFR or Daily Simple SOFR plus 2.50% per annum or Prime Rate plus 1.50% per annum, at the Company’s option. The Subscription Facility also charges an unused commitment fee of 0.35% per annum on the unused available commitment during the applicable calendar quarter.

The Subscription facility is secured by (a) the Company's rights to make capital calls of the capital commitments of each of its investors and all other rights, title, interests, powers and privileges related to, appurtenant to or arising out of the Company's rights to require or demand that such investors make capital contributions to the Company, (b) the Company's rights, titles, interest and privileges in and to the capital commitments, uncalled capital commitments, pending capital calls and capital contributions made by its investors, (c) all of the Company's rights, titles, interests, remedies and privileges under the applicable organizational documents, subscription agreements and side letters (including those in accordance with each of the Onshore Fund's and the Offshore Fund's operating agreements) to make, issue notices with respect to, and enforce capital calls and to receive and enforce the funding of capital contributions; (d) the Company's rights, titles, interests, remedies and privileges under its organizational documents and subscription agreements to issue and enforce capital calls, to receive and enforce capital contributions and relating to issuing, enforcing or receiving capital calls, capital commitments or capital contributions, (e) the Company's deposit accounts at City National Bank (or any substitute account, wherever located) into which capital call proceeds are paid, together with the Company's rights, titles and interests in and to each such account, all sums or other property now or at any time on deposit therein, credited thereto or payable thereof, and all instruments, documents, certificates and other writings evidencing each such account, and (f) all proceeds of the foregoing.

Participation Agreements

Table of Contents

Distributions to Shareholders

We have elected to be treated, and intend to qualify annually as a RIC under the Code for U.S. federal income tax purposes, and intend to make the required distributions to our shareholders as specified therein. In order to maintain our tax treatment as a RIC and to obtain RIC tax benefits, we must meet certain minimum distribution, source-of-income and asset diversification requirements. If such requirements are met, then we are generally required to pay income taxes only on the portion of our taxable income and gains we do not distribute (actually or constructively) and certain built-in gains. We monitor our distribution requirements with the goal of ensuring compliance with the Code. We can offer no assurance that we will achieve results that will permit the payment of any level of cash distributions and our ability to make distributions will be limited by the asset coverage requirement and related provisions under the 1940 Act and contained in any applicable indenture and related supplements. In addition, in order to satisfy the annual distribution requirement applicable to RICs, we may declare a significant portion of our dividends in shares of our Common Stock instead of in cash. A shareholder generally would be subject to tax on 100% of the fair market value of the dividend on the date the dividend is received by the shareholder in the same manner as a cash dividend, even though a portion of the dividend was paid in shares of our Common Stock.

The minimum distribution requirements applicable to RICs require us to distribute to our shareholders each year at least 90% of our investment company taxable income, or ICTI, as defined by the Code. Depending on the level of ICTI and net capital gain, if any, earned in a tax year, we may choose to carry forward income in excess of current year distributions into the next tax year and pay a 4% U.S. federal excise tax on such excess. Any such carryover income must be distributed before the end of the next tax year through a dividend declared prior to filing the final tax return related to the year which generated such income.

ICTI generally differs from net investment income for financial reporting purposes due to temporary and permanent differences in the recognition of income and expenses. We may be required to recognize ICTI in certain circumstances in which we do not receive cash. For example, if we hold debt obligations that are treated under applicable tax rules as having OID (such as debt instruments issued with warrants), we must include in ICTI each year a portion of the OID that accrues over the life of the obligation, regardless of whether cash representing such income is received by us in the same taxable year. We may also have to include in ICTI other amounts that we have not yet received in cash, such as (i) PIK interest income and (ii) interest income from investments that have been classified as non-accrual for financial reporting purposes. Interest income on non-accrual investments is not recognized for financial reporting purposes, but generally is recognized in ICTI. Because any OID or other amounts accrued will be included in our ICTI for the year of accrual, we may be required to make a distribution to our shareholders in order to satisfy the minimum distribution requirements, even though we will not have received and may not ever receive any corresponding cash amount. ICTI also excludes net unrealized appreciation or depreciation, as investment gains or losses are not included in taxable income until they are realized.

During the six months ended June 30, 2026, we declared distributions of $21.0 million, of which $11.2 million were unpaid and included in distribution payable in our Consolidated Statements of Assets and Liabilities. During the six months ended June 30, 2025, we declared and paid distributions of $5.4 million.

Critical Accounting Policies and Use of Estimates

The preparation of our financial statements in accordance with U.S. GAAP will require management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses for the periods covered by such financial statements. We have identified investment valuation and revenue recognition as our most critical accounting estimates. On an ongoing basis, we evaluate our estimates, including those related to the matters described below. These estimates are based on the information that is currently available to us and on various other assumptions that we believe to be reasonable under the circumstances. Actual results could differ materially from those estimates under different assumptions or conditions. A discussion of our critical accounting policies follows.

Investment Valuation

Investments at Fair Value

Section 2(a)(41) of the 1940 Act requires us to value our assets as follows: (i) the third party price for securities for which a quotation is readily available; and (ii) for all other securities and assets, fair value, as determined in good faith by the Board. A market quotation is only “readily available” to the extent that the security can be valued with Level 1 Inputs (as defined below). As a result, the Board must determine the fair value of all securities valued with Level 2 Inputs or Level 3 Inputs (each as defined below). Since most of the securities that we hold will not have readily available market quotations,

Table of Contents

we expect that the Board will be required to determine the “fair value” of the respective Company’s securities, with input from the Adviser, third-party independent valuation firms and the respective audit committee of the Board as of the end of each quarter.

ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. There is no single standard for determining fair value in good faith since fair value depends upon circumstances of each individual case. In general, fair value is the amount that we might reasonably expect to receive upon the current sale of the security in an arm’s length transaction. Due to the uncertainty inherent in the valuation process, such estimates of fair value may differ significantly from the values that would have been obtained had a ready market for the securities existed, and the differences could be material. Additionally, changes in the market environment and other events that may occur over the life of the investments may cause the gains or losses ultimately realized on these investments to be different than the valuations currently assigned.

Investments for which market quotations are readily available in an active market are valued at such market quotations, which are generally obtained from an independent pricing service or one or more broker dealers or market-makers, provided that a quotation will not be deemed readily available if it is not reliable. However, debt and equity investments closed within approximately 90 days are generally valued at cost, plus accreted discount, if applicable, which approximates fair value. Debt and equity securities for which market quotations are not readily available will be valued at fair value as determined in good faith by or under the direction of the Board. Because we expect that there will not be a readily available market value for many of the investments in its respective portfolio, we expect to value most of our portfolio investments at fair value as determined in good faith under the direction of the Board in accordance with the Investment Valuation Process listed below, which have been reviewed and approved by the Board.

Under ASC 820, we perform detailed valuations of our debt and equity investments on an individual basis, using market based, income based, and bond yield approaches as appropriate.

Under the market approach, we estimate the enterprise value of the portfolio companies in which we invest. There is no one methodology to estimate enterprise value and, in fact, for any one portfolio company, enterprise value is best expressed as a range of fair values, from which we derive a single estimate of enterprise value. To estimate the enterprise value of a portfolio company, we analyze various factors, including the portfolio company’s historical and projected financial results. Typically, private companies are valued based on multiples of EBITDA, cash flows, net income, revenues, or in limited cases, book value. We review various sources of transactional data, including publicly comparable companies and private mergers and acquisitions with similar characteristics. We will generally require portfolio companies to provide annual audited and quarterly and monthly unaudited financial statements, as well as annual projections for the upcoming fiscal year.

Under the income approach, we generally prepare and analyze the internal rate of return of our debt investments based on the expected future cash flow streams. Under the bond yield approach, we review bond yields of similar companies and compare such yields to the internal rate of return of our debt investments. We review various sources of transactional data, including private mergers and acquisitions involving debt investments with similar characteristics, and assess the information in the valuation process. The guidance establishes three levels of the fair value hierarchy as follows:

•Level 1—Valuations based on quoted prices in active markets for identical assets or liabilities that we have the ability to access.

•Level 2—Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly.

•Level 3—Valuations based on inputs that are unobservable and significant to the overall fair value measurement.

Investment Valuation Process

The Board undertakes a multi-step valuation process each quarter in connection with determining the fair value of each of the Company’s investments:

•The Company’s quarterly valuation process begins with each portfolio company or investment being initially valued by the respective Willow Tree valuation team member.

•Preliminary valuations are then reviewed and discussed with the principals of Willow Tree.

Table of Contents

•Separately, an independent valuation firm engaged by the Board will provide third party valuation consulting services with respect to our investments at least twice annually for all investments held in the portfolio for at least six months. In certain cases, the Adviser may determine it is not cost-effective, and as a result is not in its shareholder’s best interest, to consult with the independent financial advisory services firm on its investments. Such instances include, but are not limited to, a loan closing a few days prior to quarter-end.

•As part of the valuation process, the independent valuation firm may review the credit documents, audited financial statements, interim financial statements, financial projections, our internal credit memos, as well as other documents as necessary, for each of our investments. After reviewing the documents, the independent valuation firm conducts various analyses including (i) historical and projected financial results, (ii) cash flow and credit ratios, (iii) comparable public and private companies and transactions, (iv) current and projected financial covenants, (v) internal rate of return based upon the expected future cash flow streams, and (vi) bond yields of comparable companies. Based on these analyses, the independent valuation firm determines if the manager valuations fall within their fair value range as of the valuation date.

•The independent valuation firm will evaluate the Company’s valuation compared to its range. If there are discrepancies, they will be resolved via discussion with the Adviser.

•The Adviser’s valuation team prepares a valuation report for the audit committee of the Board.

•The audit committee of the Board (the “Audit Committee”) is apprised of the preliminary valuations and the results of the independent valuation firm’s conclusion. Once resolved, the independent valuation firm issues its opinion as to whether our valuations are reasonable.

•The Audit Committee will review the preliminary valuations, and the Adviser responds and supplements the preliminary valuations to reflect any comments provided by the audit committee.

•The Audit Committee will make recommendations to the Board regarding the fair value of each investment in our portfolio; and

•The Board will discuss valuations and determines the fair value of each investment in our portfolio in good faith, based on the input of the Adviser, the respective independent valuation firms, if any, and the respective audit committee, and determines the fair values of such assets.

Revenue Recognition

Interest and Dividend Income

Interest income is recorded on an accrual basis and includes the accretion of discounts, amortization of premiums and PIK interest. Discounts from and premiums to par value on investments purchased are accreted/amortized into interest income over the life of the respective investment security using the effective interest method. To the extent loans contain PIK provisions, PIK interest, computed at the contractual rates, is accrued and recorded as interest income and added to the principal balance of the loan. PIK interest income added to the principal balance is generally collected upon repayment of the outstanding principal.

Loans are generally placed on non-accrual status when interest and/or principal payments become materially past due and there is reasonable doubt that principal or interest will be collected in full. Recognition of interest income of that loan will be ceased until all principal and interest is current through payment or until a restructuring occurs, such that the interest income is deemed to be collectible. However, we remain contractually entitled to this interest. Accrued and unpaid interest is generally reversed when a loan is placed on non-accrual status. Interest payments received on non-accrual loans may be recognized as income or applied to principal depending upon our judgment regarding collectability. Non-accrual loans are restored to accrual status when past due principal and interest are paid or there is no longer any reasonable doubt that such principal or interest will be collected in full and, in our judgment, are likely to remain current. We may make exceptions to this policy if the loan has sufficient collateral value or is in the process of collection. Accrued interest is written-off when it becomes probable that the interest will not be collected, and the amount of uncollectible interest can be reasonably estimated.

Table of Contents

private portfolio companies or on the ex-dividend date for publicly traded portfolio companies. To the extent preferred equity contains PIK provisions, PIK dividends computed at the contractual rates are accrued and recorded as dividend income and added to the principal balance of the preferred equity. PIK dividends added to the principal balance are generally collected upon redemption of the equity. As of June 30, 2026, the Company did not maintain any investments in equity securities.

Other Income

Investment Transactions

Investment transactions are recorded on the trade date. Realized gains or losses are measured by the difference between the net proceeds from the repayment or sale and the amortized cost basis of the investment using the specific identification method without regard to unrealized gains or losses previously recognized, and include investments charged off during the period, net of recoveries. Unrealized gains or losses primarily reflect the change in investment values, including the reversal of previously recorded unrealized gains or losses when gains or losses are realized.

Other income may include income such as consent, waiver, amendment, unused, and prepayment fees associated with our investment activities, as well as any fees for managerial assistance services rendered by the Company to its portfolio companies. Such fees are recognized as income when earned or the services are rendered.

Income Taxes

We have elected to be treated, and intend to qualify annually, as a RIC under the Code for U.S. federal income tax purposes. To maintain our RIC tax election, we must, among other requirements, meet certain annual source-of-income and quarterly asset diversification requirements. We also must annually satisfy the Annual Distribution Requirement.

If we fail to distribute in a timely manner an amount at least equal to the sum of (i) 98% of our ordinary income for the calendar year, (ii) 98.2% of the amount by which our capital gains exceed our capital losses (adjusted for certain ordinary losses) for the one-year period ending October 31 in that calendar year and (iii) certain undistributed amounts from previous years on which we paid no U.S. federal income tax (collectively, the “Excise Tax Distribution Requirements”), we will be subject to a 4% nondeductible U.S. federal excise tax on the amount by which we do not meet the Excise Tax Distribution Requirements. For this purpose, however, any ordinary income or capital gain net income retained by us that is subject to corporate income tax for the tax year ending in that calendar year will be considered to have been distributed by year-end (or earlier if estimated taxes are paid).

Off-Balance Sheet Arrangements

Rule 18f-4 provides that a BDC may enter into an unfunded commitment agreement that is not a derivatives transaction, such as an agreement to provide financing to a portfolio company, if the BDC has, among other things, a reasonable belief, at the time it enters into such an agreement, that it will have sufficient cash to meet its obligations with respect to all of its unfunded commitment agreements, in each case as it becomes due. We may become a party to financial instruments with off-balance sheet risk in the normal course of our business to fund investments and to meet the financial needs of our portfolio companies. These instruments may include commitments to extend credit and involve, to varying degrees, elements of liquidity and credit risk in excess of the amount recognized in the balance sheet. Since commitments may expire without being drawn upon, the total commitment amount does not necessarily represent future cash requirements. The balance of unused commitments to extend financing as of June 30, 2026 was as follows (amounts in thousands):

June 30, 2026

Investments - non-controlled, non-affiliated

Commitment Type

Commitment Expiration Date

Unfunded Commitment

Fair Value

ACP Avenu Buyer, LLC

Delayed Draw Term Loan

April 21, 2027

5,889

(24)

ACP Avenu Buyer, LLC

Revolver

October 2, 2029

1,601

(7)

AG Bells, LLC

Revolver

August 19, 2030

1,696

—

Ambient Enterprises Holdco, LLC

Delayed Draw Term Loan

April 30, 2027

—

Ambient Enterprises Holdco, LLC

Delayed Draw Term Loan

November 26, 2027

—

Ambient Enterprises Holdco, LLC

Revolver

December 7, 2029

685

—

American Combustion Industries, LLC

Revolver

August 31, 2028

236

(1)

Table of Contents

June 30, 2026

Investments - non-controlled, non-affiliated

Commitment Type

Commitment Expiration Date

Unfunded Commitment

Fair Value

Amerspirit FL, LLC

Delayed Draw Term Loan

August 15, 2027

488

(10)

Ampler QSR Holdings, LLC

Revolver

August 19, 2030

2,451

(1)

Amylu Borrower Sub, LLC

Delayed Draw Term Loan

June 10, 2027

1,662

Amylu Borrower Sub, LLC

Revolver

June 10, 2031

2,508

—

Apex Service Partners, LLC

Revolver

October 24, 2029

1,382

—

Beacon Oral Specialists

Delayed Draw Term Loan

December 14, 2026

928

(2)

Bristol Hospice, LLC

Revolver

August 26, 2032

3,779

(73)

Cards Live Oak Holdings Inc.

Delayed Draw Term Loan

October 21, 2027

—

Cards Live Oak Holdings Inc.

Revolver

October 21, 2032

—

Cranetech USA Inc

Delayed Draw Term Loan

June 17, 2028

(1)

Cranetech USA Inc

Revolver

June 17, 2032

(1)

Cvausa Management, LLC

Delayed Draw Term Loan

February 1, 2027

7,660

—

Cvausa Management, LLC

Revolver

May 22, 2028

1,111

—

Del-Air Heating, Air Conditioning & Refrigeration, LLC

Delayed Draw Term Loan

August 4, 2026

4,090

(168)

Del-Air Heating, Air Conditioning & Refrigeration, LLC

Revolver

February 4, 2031

1,988

(82)

Dentive Capital, LLC

Revolver

December 22, 2028

(1)

Dukes Root Control Inc.

Revolver

December 7, 2029

908

—

Durare Bidco LLC

Delayed Draw Term Loan

August 7, 2028

—

Durare Bidco LLC

Revolver

August 9, 2032

—

Elessent Clean Technologies Inc.

Revolver

November 15, 2029

1,711

—

Flexera Software LLC

Revolver

August 16, 2032

(1)

GC Waves Holdings, Inc.

Delayed Draw Term Loan

October 6, 2027

737

GMLx Buyer LLC

Delayed Draw Term Loan

December 31, 2027

13,317

(133)

GMLx Buyer LLC

Revolver

January 2, 2032

5,549

(55)

GRVTY, Inc.

Delayed Draw Term Loan

May 28, 2028

(1)

GRVTY, Inc.

Revolver

May 28, 2033

(1)

High Street Buyer, Inc.

Delayed Draw Term Loan

July 19, 2027

15,810

(95)

IFH Franchisee Holdings, LLC

Delayed Draw Term Loan

December 21, 2026

3,136

Ironhorse Purchaser, LLC

Delayed Draw Term Loan

April 15, 2028

(1)

Ironhorse Purchaser, LLC

Revolver

March 31, 2029

—

KAMC Holdings, Inc.

Revolver

August 1, 2031

(1)

Key Container Borrower, LLC

Delayed Draw Term Loan

February 17, 2028

(1)

Key Container Borrower, LLC

Revolver

February 17, 2032

(1)

Legacy Precast Buyer

Delayed Draw Term Loan

December 16, 2027

5,157

Legacy Precast Buyer

Revolver

December 16, 2032

4,727

—

Neptune Platform Buyer, LLC

Delayed Draw Term Loan

July 27, 2026

1,252

(2)

Neptune Platform Buyer, LLC

Delayed Draw Term Loan

July 27, 2026

320

(1)

Neptune Platform Buyer, LLC

Delayed Draw Term Loan

July 26, 2027

—

Neptune Platform Buyer, LLC

Delayed Draw Term Loan

July 27, 2026

2,350

(4)

NWP Acquisition Holdings, LLC

Delayed Draw Term Loan

May 21, 2026

—

NWP Acquisition Holdings, LLC

Revolver

November 21, 2030

4,040

—

Offen, Inc.

Revolver

July 23, 2029

3,178

(130)

Orthofeet, Inc

Revolver

July 30, 2030

1,524

(10)

Pathstone Family Office, LLC

Delayed Draw Term Loan

June 1, 2028

—

Pathstone Family Office, LLC

Revolver

May 15, 2028

1,048

—

Premier Forge Purchaser LLC

Revolver

June 29, 2032

(1)

Radwell Parent, LLC

Delayed Draw Term Loan

March 10, 2028

—

Radwell Parent, LLC

Revolver

April 1, 2030

—

Regent Surgical Health, LLC

Delayed Draw Term Loan

April 23, 2027

(1)

Regent Surgical Health, LLC

Revolver

September 12, 2030

6,729

(95)

RKD Group, LLC

Delayed Draw Term Loan

May 19, 2027

3,233

(33)

RKD Group, LLC

Revolver

May 19, 2031

1,805

(19)

Royal Holdco Corporation

Delayed Draw Term Loan

March 8, 2027

1,496

(23)

Royal Holdco Corporation

Revolver

December 30, 2030

224

(3)

RPX Corporation

Revolver

August 2, 2030

2,601

—

Table of Contents


			June 30, 2026
Investments - non-controlled, non-affiliated	Commitment Type	Commitment Expiration Date	Unfunded Commitment		Fair Value
Sandlot Baseball BorrowerCo, LLC	Delayed Draw Term Loan	September 6, 2027	$	49	$	—
Sandlot Baseball BorrowerCo, LLC	Revolver	December 27, 2028	2,253		—
Seahawk Buyer LLC	Delayed Draw Term Loan	November 1, 2027	50		—
Seahawk Buyer LLC	Revolver	May 1, 2032	38		—
Secretariat Advisors, LLC	Delayed Draw Term Loan	February 26, 2027	1,081		(15)
Stonebridge Companies, LLC	Delayed Draw Term Loan	May 16, 2027	1,327		13
Stonebridge Companies, LLC	Revolver	May 16, 2030	885		—
SV-AERO Holdings, LLC	Delayed Draw Term Loan	October 30, 2026	1,261		—
Systems Planning And Analysis, Inc.	Delayed Draw Term Loan	June 7, 2027	785		(1)
Systems Planning And Analysis, Inc.	Revolver	August 16, 2027	970		(1)
Together Womens Health, LLC	Delayed Draw Term Loan	August 26, 2027	10,905		—
Together Womens Health, LLC	Revolver	August 26, 2031	2,305		—
VRC Companies, LLC	Revolver	June 29, 2027	100		—
World Insurance Associates, LLC	Revolver	April 3, 2030	1,127		—
WRM Wastewater Merger Sub, Inc.	Delayed Draw Term Loan	May 19, 2027	4,478		—
			$	147,683	$	(944)

The balance of unused commitments to extend financing as of December 31, 2025 was as follows (amounts in thousands):

December 31, 2025

Investments - non-controlled, non-affiliated

Commitment Type

Commitment Expiration Date

Unfunded Commitment

Fair Value

ACP Avenu Buyer, LLC

Delayed Draw Term Loan

April 21, 2027

5,889

ACP Avenu Buyer, LLC

Revolver

October 2, 2029

2,061

—

AG Bells, LLC

Revolver

August 19, 2030

1,696

—

Ambient Enterprises Holdco, LLC

Delayed Draw Term Loan

April 30, 2027

—

Ambient Enterprises Holdco, LLC

Delayed Draw Term Loan

April 30, 2027

3,388

Ambient Enterprises Holdco, LLC

Revolver

December 7, 2029

685

—

American Combustion Industries, LLC

Delayed Draw Term Loan

June 15, 2026

3,376

(65)

American Combustion Industries, LLC

Revolver

August 31, 2028

236

(5)

Amerspirit FL, LLC

Delayed Draw Term Loan

August 15, 2027

865

(13)

Ampler QSR Holdings, LLC

Revolver

August 19, 2030

2,451

(11)

Amylu Borrower Sub, LLC

Delayed Draw Term Loan

June 10, 2027

1,998

Amylu Borrower Sub, LLC

Revolver

June 10, 2031

2,508

—

Apex Service Partners, LLC

Delayed Draw Term Loan

April 29, 2027

—

Apex Service Partners, LLC

Revolver

October 24, 2029

1,885

—

Beacon Oral Specialists

Delayed Draw Term Loan

December 14, 2026

252

(1)

Beacon Oral Specialists

Delayed Draw Term Loan

December 14, 2026

1,171

(3)

Bristol Hospice, LLC

Revolver

August 26, 2032

3,779

—

Cards Live Oak Holdings INC

Delayed Draw Term Loan

October 21, 2027

(1)

Cards Live Oak Holdings INC

Revolver

October 21, 2032

—

Cvausa Management, LLC

Delayed Draw Term Loan

February 1, 2027

16,533

165

Cvausa Management, LLC

Revolver

May 22, 2028

1,111

—

Del-Air Heating, Air Conditioning & Refrigeration, LLC

Delayed Draw Term Loan

August 4, 2026

4,090

(82)

Del-Air Heating, Air Conditioning & Refrigeration, LLC

Revolver

February 4, 2031

2,272

(45)

Dentive Capital, LLC

Revolver

December 22, 2028

(2)

Dermcare Management, LLC

Delayed Draw Term Loan

March 31, 2026

18,476

(112)

Dukes Root Control Inc.

Revolver

December 7, 2029

908

—

Durare Bidco LLC

Delayed Draw Term Loan

August 7, 2028

—

Durare Bidco LLC

Revolver

August 9, 2032

—

Elessent Clean Technologies Inc.

Revolver

November 15, 2029

1,711

—

Flexera Software LLC

Revolver

August 16, 2032

—

GC Waves Holdings, Inc.

Delayed Draw Term Loan

October 6, 2027

1,092

—

High Street Buyer, Inc.

Delayed Draw Term Loan

July 19, 2027

17,251

(86)

HLSG Intermediate, LLC

Delayed Draw Term Loan

March 14, 2027

2,341

—

HLSG Intermediate, LLC

Revolver

March 30, 2029

837

—

Table of Contents


			December 31, 2025
Investments - non-controlled, non-affiliated	Commitment Type	Commitment Expiration Date	Unfunded Commitment		Fair Value
IFH Franchisee Holdings, LLC	Delayed Draw Term Loan	December 21, 2026	$	3,136	$	9
KAMC Holdings, Inc.	Revolver	August 1, 2031	27		—
Legacy Precast Buyer	Delayed Draw Term Loan	December 16, 2027	5,157		(52)
Legacy Precast Buyer	Revolver	December 16, 2032	4,727		(47)
Neptune Platform Buyer, LLC	Delayed Draw Term Loan	July 27, 2026	1,403		—
Neptune Platform Buyer, LLC	Delayed Draw Term Loan	July 27, 2026	641		—
Neptune Platform Buyer, LLC	Delayed Draw Term Loan	July 27, 2026	2,350		—
NWP Acquisition Holdings, LLC	Delayed Draw Term Loan	May 21, 2026	4,000		40
NWP Acquisition Holdings, LLC	Revolver	November 21, 2030	5,000		—
Offen, Inc.	Revolver	July 23, 2029	3,178		(32)
Orthofeet, Inc	Revolver	July 30, 2030	1,524		(15)
Pathstone Family Office, LLC	Delayed Draw Term Loan	June 21, 2026	5,340		53
Pathstone Family Office, LLC	Revolver	May 15, 2028	797		—
Regent Surgical Health, LLC	Delayed Draw Term Loan	September 13, 2027	2,256		(34)
Regent Surgical Health, LLC	Revolver	September 12, 2030	7,824		(117)
RKD Group, LLC	Delayed Draw Term Loan	May 19, 2027	3,233		(39)
RKD Group, LLC	Revolver	May 19, 2031	1,805		(22)
Royal Holdco Corporation	Delayed Draw Term Loan	March 8, 2027	4,740		(18)
Royal Holdco Corporation	Revolver	December 30, 2030	404		(2)
RPX Corporation	Revolver	August 2, 2030	2,601		—
Salt Dental Collective, LLC	Revolver	February 15, 2028	78		—
Sandlot Baseball BorrowerCo, LLC	Delayed Draw Term Loan	June 5, 2026	4,942		—
Sandlot Baseball BorrowerCo, LLC	Revolver	December 27, 2028	2,253		—
Secretariat Advisors, LLC	Delayed Draw Term Loan	February 26, 2027	1,081		(7)
Stonebridge Companies, LLC	Delayed Draw Term Loan	May 16, 2027	1,327		3
Stonebridge Companies, LLC	Revolver	May 16, 2030	885		2
Superjet Buyer, LLC	Delayed Draw Term Loan	May 23, 2026	4,134		—
SV-AERO Holdings, LLC	Delayed Draw Term Loan	October 30, 2026	1,261		—
Systems Planning And Analysis, Inc.	Delayed Draw Term Loan	June 7, 2027	1,595		—
Systems Planning And Analysis, Inc.	Revolver	August 16, 2027	1,970		—
Together Womens Health, LLC	Delayed Draw Term Loan	August 26, 2027	10,905		(123)
Together Womens Health, LLC	Revolver	August 26, 2031	2,305		(26)
VRC Companies, LLC	Revolver	June 29, 2027	100		—
World Insurance Associates, LLC	Revolver	April 3, 2030	1,127		—
WRM Wastewater Merger Sub, Inc.	Delayed Draw Term Loan	May 19, 2027	4,478		—
			$	197,802	$	(595)

Recent Developments

On July 27, 2026, the Company issued approximately 380,777 shares of its Common Stock pursuant to the Company’s DRIP in connection with the distribution paid to shareholders on July 27, 2026.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

We are subject to certain financial market risks, including valuation risk and interest rate fluctuations.

Valuation Risk

We have invested, and plan to continue to invest, in illiquid debt securities of private companies. These investments will generally not have a readily available market price, and we will value these investments at fair value as determined in good faith in accordance with our valuation policy and procedures established by our Board. There is no single standard for determining fair value in good faith. As a result, determining fair value requires that judgment be applied to the specific facts and circumstances of each portfolio investment while employing a consistently applied valuation process for the types of investments we make. If we were required to liquidate a portfolio investment in a forced or liquidation sale, we may realize amounts that are different from the amounts presented and such differences could be material. See Note 2

Table of Contents

“Summary of Significant Account Policies” to our unaudited consolidated financial statements for more details on estimates and judgments made by us in connection with the valuation of our investments.

Interest Rate Risk

We are subject to financial market risks, including changes in interest rates. Because we have borrowed, and may from time to time borrow money to make investments, our net investment income will depend in part upon the difference between the rate at which we borrow funds and the rate at which we invest these funds as well as our level of leverage. As a result, there can be no assurance that a significant change in market interest rates will not have a material adverse effect on our net investment income or net assets.

We regularly measure our exposure to interest rate risk. We assess interest rate risk and manage our interest rate exposure on an ongoing basis by comparing our interest rate-sensitive assets to our interest rate-sensitive liabilities. Based on that review, we determine whether or not any hedging transactions are necessary to mitigate exposure to changes in interest rates. The Federal Reserve reduced interest rates by 0.25% in each of September, October and December of 2025, bringing the benchmark rate to the 3.50% to 3.75% range. The Federal Reserve has maintained this range at each of its meetings in 2026. In considering the extent and timing of additional rate cuts in the future, the Federal Reserve stated that it will carefully assess incoming data relating to inflationary pressures and the unemployment rate, the evolving economic outlook, and the balance of risks. Given the evolving economic environment and policy considerations, there can be no assurance regarding the magnitude or timing of future federal funds rate adjustments in either direction. In a high interest rate environment, our net investment income would increase due to an increase in interest income generated by our investment portfolio. However, our cost of funds would also increase, which could also impact net investment income. It is possible that the Federal Reserve's tightening cycle could result in a recession in the United States, which would likely decrease interest rates. Alternatively, in a prolonged low interest rate environment, including a reduction of base rates, such as SOFR, to zero, the difference between the total interest income earned on interest earning assets and the total interest expense incurred on interest bearing liabilities may be compressed, reducing our net interest income and potentially adversely affecting our operating results.

As of June 30, 2026, 99.9% of investments at fair value (excluding unfunded debt investments) represent floating-rate investments with a SOFR floor (includes investments bearing prime interest rate contracts) and 0.1% of our investments at fair value represent fixed-rate investments. Additionally, our senior secured revolving credit facilities are also subject to floating interest rates and are currently paid based on floating SOFR rates and prime interest rates.

The following table estimates the potential changes in net cash flow generated from interest income and expenses, should interest rates increase by 50, 100, 150 or 200 basis points, or decrease by 50, 100, 150 or 200 basis points. Interest income is calculated as revenue from interest generated from our portfolio of investments held on June 30, 2026. Interest expense is calculated based on the terms of our outstanding revolving credit facilities. For our floating rate credit facilities, we use the outstanding balance as of June 30, 2026. Interest expense on our floating rate credit facilities is calculated using the interest rate as of June 30, 2026, adjusted for the hypothetical changes in rates, as shown below. The base interest rate case assumes the rates on our portfolio investments remain unchanged from the actual effective interest rates as of June 30, 2026. These hypothetical calculations are based on a model of the investments in our portfolio, held as of June 30, 2026, and are only adjusted for assumed changes in the underlying base interest rates.

Actual results could differ significantly from those estimated in the table (amounts in thousands):


Basis Point Change	Increase (decrease) in interest income		(Increase) decrease in interest expense		Net increase (decrease) in investment income
Up 200 Basis Points	$	4,611	$	(2,649)	$	1,962
Up 150 Basis Points	3,458		(1,987)		1,471
Up 100 Basis Points	2,305		(1,325)		980
Up 50 Basis Points	1,153		(662)		491
Down 50 Basis Points	(1,153)		662		(491)
Down 100 Basis Points	(2,305)		1,325		(980)
Down 150 Basis Points	(3,458)		1,987		(1,471)
Down 200 Basis Points	(4,611)		2,649		(1,962)

Although we believe that this analysis is indicative of our existing sensitivity to interest rate changes, it does not adjust for changes in the credit market, credit quality, the size and composition of assets in our portfolio and other business

Table of Contents

developments that could affect our net income. Accordingly, we cannot assure you that actual results would not differ materially from the analysis above.

Item 4. Controls and Procedures

(a)Evaluation of Disclosure Controls and Procedures

In accordance with Rules 13a-15(b) and 15d-15(b) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), we, under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer, carried out an evaluation of the effectiveness of our disclosure controls and procedures (as defined in Rule 13a-15(e) and Rule 15d-15(e) of the Exchange Act) as of the end of the period covered by this Quarterly Report on Form 10-Q and determined that our disclosure controls and procedures are effective as of the end of the period covered by the Quarterly Report on Form 10-Q.

(b)Changes in Internal Controls Over Financial Reporting

There have been no changes in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that occurred during the quarter ended June 30, 2026 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Table of Contents

Part II. Other Information

Item 1. Legal Proceedings.

Neither we nor the Adviser are currently subject to any material pending legal proceedings, other than ordinary routine litigation incidental to our businesses. We and the Adviser may from time to time, however, be involved in litigation arising out of our operations in the normal course of business or otherwise. Furthermore, third parties may seek to impose liability on us in connection with the activities of our portfolio companies.

Item 1A. Risk Factors.

As of June 30, 2026, we believe that there have been no material changes to the risk factors previously reported under Item 1A. “Risk Factors” of the Annual Report on Form 10-K for the fiscal year ended December 31, 2025. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial may materially affect our business, financial condition and/or operating results.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

Except as previously reported by us on our current reports on Form 8-K, we did not sell any securities during the period covered by this Quarterly Report that were not registered under the Securities Act.

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Other Information

(a) None.

(b) None.

(c) During the fiscal quarter ended June 30, 2026, no director or officer has entered into any (i) contract, instruction or written plan for the purchase or sale of securities intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) under the Exchange Act or (ii) any non-Rule 10b5-1 trading arrangement.

Table of Contents

Item 6. Exhibits.

The following exhibits are filed as part of this report or hereby incorporated by reference to exhibits filed with the SEC:


Number						Exhibit
2.1						Agreement and Plan of Merger, dated as of November 8, 2024, by and between and Willow Tree Capital Corporation and Willow Tree Capital Fund, LLC (incorporated by reference to Exhibit 2.1 of the Company’s Current Report on Form 8-K, filed November 8, 2024)
2.2						Agreement and Plan of Merger, dated as of November 8, 2024, by and between and Willow Tree Capital Corporation and Willow Tree Capital Offshore Fund, LLC (incorporated by reference to Exhibit 2.2 of the Company’s Current Report on Form 8-K, filed November 8, 2024)
3.1						Articles of Amendment and Restatement (incorporated by reference to Exhibit 3.1 of the Company’s Current Report on Form 8-K, filed October 30, 2024)
3.2						Bylaws (incorporated by reference to Exhibit 3.2 to the Company's Registration Statement on Form 10, filed on May 24, 2024)
31.1*						Certification of Principal Executive Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2*						Certification of Principal Financial Officer Pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1**						Certification of Principal Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2**						Certification of Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

__________________

* Filed herewith

** Furnished herewith

Table of Contents

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


	Willow Tree Capital Corporation


Date: August 12, 2026	By:	/s/ Timothy Lower
	Name:	Timothy Lower
	Title:	Chief Executive Officer and President

Date: August 12, 2026	By:	/s/ Mark Klingensmith
	Name:	Mark Klingensmith
	Title:	Chief Financial Officer and Treasurer