Royce Small-Cap Trust, Inc. (NYSE-RVT) declares Second Quarter Common Stock Distribution of $0.29 Per Share

Rhea-AI Summary

Royce Small-Cap Trust (NYSE: RVT) has announced a quarterly distribution of $0.29 per share, payable on June 25, 2025, to stockholders of record as of June 12, 2025. The distribution follows the Fund's policy of paying quarterly distributions at an annual rate of 7% based on the rolling average of prior four quarter-end NAVs. The distribution comprises 4% from net investment income ($0.0116) and 96% from net realized long-term gains ($0.2784). The Fund's performance metrics show a 12.02% average annual total return over the past 5 years, with a current annualized distribution rate of 7.10%. However, the Fund has experienced a -1.91% cumulative total return for the fiscal year through May 31, 2025.

Positive

• Strong 12.02% average annual total return over the past 5-year period
• Healthy distribution rate of 7.10% annualized
• 96% of distribution comes from realized long-term gains, indicating successful investment strategy
• No return of capital in distributions, suggesting sustainable payout

Negative

• Negative cumulative total return of -1.91% for the current fiscal year
• Distribution policy is subject to change at Board's discretion, creating uncertainty

Insights

Investment Fund Analyst

Royce Small-Cap Trust declares $0.29 quarterly dividend with 7.10% annualized yield amid -1.91% YTD performance.

Royce Small-Cap Trust (NYSE: RVT) has announced its Q2 2025 distribution of $0.29 per share, maintaining its quarterly dividend policy. The distribution will be paid on June 25 to shareholders of record as of June 12. This distribution reflects the fund's commitment to its established policy of distributing 7% of the rolling average of prior four quarter-end NAVs.

The dividend sources reveal important information about the fund's performance: 96% of the distribution comes from realized long-term capital gains, with just 4% from net investment income. This composition suggests the fund has successfully captured significant long-term appreciation in its small-cap holdings, allowing it to distribute these gains to shareholders.

Despite the positive distribution news, the fund's year-to-date performance shows a negative total return of -1.91%, indicating recent market challenges for small-cap equities. However, the five-year average annual return stands at a robust 12.02%, demonstrating strong longer-term performance. The current annualized distribution rate of 7.10% is relatively high for a small-cap equity fund, potentially making it attractive for income-focused investors despite the recent performance dip.

The distribution policy's flexibility is noteworthy - the Board retains discretion to change the annual rate, providing both potential upside and downside risk to future distributions depending on market conditions and fund performance. For tax planning purposes, investors should note that the overwhelming majority of distributions represent long-term capital gains rather than ordinary income.

NEW YORK, June 2, 2025 /PRNewswire/ -- Royce Small-Cap Trust, Inc. (NYSE-RVT) has declared a quarterly distribution of $0.29 per share on its Common Stock.  The distribution, optionally payable in additional shares of Common Stock, or in cash by specific stockholder election, is to be paid on June 25, 2025, to stockholders of record at the close of business on June 12, 2025 (ex-dividend on June 12, 2025).  The price of shares issued for reinvestment will be determined on June 20, 2025.

The Fund has adopted a Distribution Policy of paying quarterly distributions on its Common Stock. Distributions are being made at the annual rate of 7% of the rolling average of the prior four calendar quarter-end net asset values (NAVs), with the fourth quarter distribution being the greater of 1.75% of the rolling average or the minimum distribution required by IRS regulations. The policy, including the annual rate, is subject to change at the discretion of the Fund's Board of Directors.

The Fund's estimated sources of the distribution to be paid on June 25, 2025 and for 2025 yearto-date are as follows

 

Estimated Allocations as of May 31, 2025
Fund	Distribution Per Share	Net Investment Income	Net Realized Short-Term Gains	Net Realized Long-Term Gains	Return of Capital
RVT	$0.29	$0.0116 (4 %)	$0.00 (0 %)	$0.2784 (96 %)	$0.00 (0 %)

 

Estimated Allocations for 2025 through May 31, 2025
Fund	Distribution Per Share	Net Investment Income	Net Realized Short-Term Gains	Net Realized Long-Term Gains	Return of Capital
RVT	$0.59	$0.0235 (4 %)	$0.00 (0 %)	$0.5665 (96 %)	$0.00 (0 %)

 You should not draw any conclusions about the Fund's investment performance from the amount of the current distribution or from the terms of the Fund's Distribution Policy.  The amounts and sources of distributions reported herein are only estimates and are not being provided for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes will depend upon the Fund's investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. The Fund will send you a Form 1099-DIV for the calendar year that will tell you how to report these distributions for federal income tax purposes.

Fund Performance and Distribution Rate Information: 

 

Fund	Average Annual Total Return (in relation to NAV for the 5-year period ending on 5/31/2025)1	Annualized Current Distribution Rate (expressed as a percentage of NAV as of 5/31/2025)2	Cumulative Total Return (in relation to NAV for the fiscal year through 5/31/2025)3	Cumulative Fiscal Year Distribution Rate (as a percentage of NAV as of 5/31/2025)4
RVT	12.02 %	7.10 %	-1.91 %	3.61 %

¹  Average Annual Total Return in relation to NAV represents the compound average of the Annual NAV Total Returns of the Fund for the five-year period ended May 31, 2025.  Annual NAV Total Return is the percentage change in the Fund's NAV over a year, assuming reinvestment of distributions paid.

²  The Annualized Current Distribution Rate is the current fiscal period's distribution rate annualized as a percentage of the Fund's NAV as of May 31, 2025.

³  Cumulative Total Return is the percentage change in the Fund's NAV from December 31, 2024 to May 31, 2025 assuming reinvestment of distributions paid.

⁴  The Cumulative Fiscal Year Distribution Rate is the dollar value of distributions for the fiscal year period (January 1, 2025 to May 31, 2025), as a percentage of the Fund's NAV as of May 31, 2025.

About Royce Small-Cap Trust, Inc.

Royce Small-Cap Trust, Inc. (the "Fund") is a closed-end diversified management investment company whose shares of Common Stock are listed and traded on the New York Stock Exchange.  The Fund's primary investment goal is long-term capital growth.  The Fund invests at least 80% of its net assets in equity securities of small-cap companies (i.e., those that have a market capitalization not greater than that of the largest company in the Russell 2000® Index at the time of its most recent reconstitution) under normal circumstances.

One Madison Avenue, New York, NY 10010 | (800) 221-4268 | F (212) 832-8921 | www.royceinvest.com

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SOURCE Royce Small Cap Trust

FAQ

What is the dividend amount for RVT stock in Q2 2025?

RVT declared a quarterly dividend of $0.29 per share for Q2 2025, payable on June 25, 2025.

When is the ex-dividend date for RVT's Q2 2025 distribution?

The ex-dividend date for RVT's Q2 2025 distribution is June 12, 2025.

What is RVT's current distribution yield?

RVT has an annualized current distribution rate of 7.10% based on NAV as of May 31, 2025.

How has RVT performed over the past 5 years?

RVT has achieved an average annual total return of 12.02% in relation to NAV for the five-year period ending May 31, 2025.

What is the source of RVT's current distribution?

The current distribution consists of 4% ($0.0116) from net investment income and 96% ($0.2784) from net realized long-term gains.