What drove CSWC's earnings beat in Q1 2025?

Capital Southwest Corporation's (CSWC) earnings beat in Q1 2025 can be attributed to several key factors:

1. **Revenue Growth**: The most significant contributor to the earnings beat was the increase in revenue. CSWC reported a revenue uptick of $3.41 million compared to the same period last year. This growth in revenue is a clear indicator of the company's successful business operations and market performance during the quarter.
2. **Expense Management**: Effective expense management likely played a role in the earnings beat. While the exact details of expense management are not available, companies that can control their expenses relative to their revenue growth are more likely to exceed earnings expectations.
3. **Investment Income**: Capital Southwest is a business development company (BDC) that invests in private companies. An increase in investment income, which is not provided in the available reports, could have also contributed to the earnings beat.

In conclusion, Capital Southwest's Q1 2025 earnings beat was primarily driven by revenue growth. The company's ability to increase its revenue by $3.41 million, coupled with effective expense management, was the key to this achievement. Investment income, though not detailed, may have also made a positive contribution.