# EDGAR Filing Document

**Accession Number:** 0000832574
**File Stem:** 0001133228-25-005889
**Filing Date:** 2025-6
**Character Count:** 66200
**Document Hash:** 0759d18d34019d5c610675c46d54fa27
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001133228-25-005889.hdr.sgml**: 20250602

**ACCESSION NUMBER**: 0001133228-25-005889

**CONFORMED SUBMISSION TYPE**: N-CSRS

**PUBLIC DOCUMENT COUNT**: 19

**CONFORMED PERIOD OF REPORT**: 20250331

**FILED AS OF DATE**: 20250602

**DATE AS OF CHANGE**: 20250602

**EFFECTIVENESS DATE**: 20250602

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** REYNOLDS FUNDS INC
- **CENTRAL INDEX KEY:** 0000832574

**ORGANIZATION NAME:**
- **EIN:** 000000000
- **STATE OF INCORPORATION:** MD
- **FISCAL YEAR END:** 0930

**FILING VALUES:**
- **FORM TYPE:** N-CSRS
- **SEC ACT:** 1940 Act
- **SEC FILE NUMBER:** 811-05549
- **FILM NUMBER:** 251013829

**BUSINESS ADDRESS:**
- **STREET 1:** C/O US BANCORP FUND SERVICES, LLC
- **STREET 2:** 615 EAST MICHIGAN STREET
- **CITY:** MILWAUKEE
- **STATE:** WI
- **ZIP:** 53202
- **BUSINESS PHONE:** 8007739665

**MAIL ADDRESS:**
- **STREET 1:** C/O US BANCORP FUND SERVICES, LLC
- **STREET 2:** 615 EAST MICHIGAN STREET
- **CITY:** MILWAUKEE
- **STATE:** WI
- **ZIP:** 53202

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** REYNOLDS BLUE CHIP GROWTH FUND INC
- **DATE OF NAME CHANGE:** 19920528

## Series and Classes Contracts Data

### REYNOLDS BLUE CHIP GROWTH FUND (Series ID: S000000865)

| Class ID   | Class Name                     | Ticker Symbol   |
|:---|:---|:---|
| C000002481 | REYNOLDS BLUE CHIP GROWTH FUND | RBCGX           |

?xml version='1.0' encoding='ASCII'? 2025-04-09226110_ReynoldsBlueChipGrowthFund_TF_TSRSemiAnnual

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

**FORM N-CSR**

**CERTIFIED SHAREHOLDER REPORT OF REGISTERED**

**MANAGEMENT INVESTMENT COMPANIES**

Investment Company Act file number **<u>811-05549</u>**

**<u>Reynolds Funds, Inc</u>** **<u>.</u>**

(Exact name of registrant as specified in charter)

**<u>c/o U.S. Bank Global Fund Services</u>**

**<u>615 East Michigan Street</u>**

**<u>Milwaukee, Wisconsin 53202</u>**

(Address of principal executive offices) (Zip code)

**<u>Frederick L. Reynolds</u>**

**<u>Reynolds Capital Management, LLC</u>**

**<u>125 East Harmon Avenue #102</u>**

**<u>Las Vegas, Nevada 89109</u>**

(Name and address of agent for service)

**<u>1-800-773-9665</u>**

Registrant's telephone number, including area code

Date of fiscal year end: **<u>September 30, 2025</u>**

Date of reporting period: **<u>March 31, 2025</u>**

**<u>Item 1. Reports to Stockholders.</u>**

(a) ---

| | |
|:---|:---|
| ![image](img001.jpg) | **Reynolds Blue Chip Growth Fund**  |
| ![image](img001.jpg) | RBCGX  |
| ![image](img001.jpg) | Semi-Annual Shareholder Report \| March 31, 2025  |

---

This semi-annual shareholder report contains important information about the Reynolds Blue Chip Growth Fund for the period of October 1, 2024, to March 31, 2025. You can find additional information about the Fund at https://reynoldsfunds.com. You can also request this information by contacting us at 800-773-9665.

**WHAT WERE THE FUND COSTS FOR THE LAST SIX MONTHS?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Fund Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of** **a $10,000 investment** **\*** |
| Reynolds Blue Chip Growth Fund | $98 | 1.94% |

---

\* Annualized

**KEY FUND STATISTICS** (as of March 31, 2025)

---

| | |
|:---|:---|
| **Net Assets** | $63420365 |
| **Number of Holdings** | 87 |
| **Portfolio Turnover** | 205% |

---

Visit https://reynoldsfunds.com for more recent performance information.

**WHAT DID THE FUND INVEST IN?** (as of March 31, 2025)

---

| | |
|:---|:---|
| **Sector Breakdown** | **(%)<sup>†</sup>**  |
|  Communication Services  | 21.4% |
|  Consumer Discretionary  | 13.2% |
|  Information Technology  | 10.0% |
|  Consumer Staples  | 2.6% |
|  Financials  | 1.5% |
|  Health Care  | 1.4% |
|  Industrials  | 1.2% |
|  Energy  | 0.9% |
|  Real Estate  | 0.2% |
|  Cash & Other  | 47.6% |

---

---

| | |
|:---|:---|
| **Top Holdings** | **(%)<sup>†</sup>**  |
|  First American Government Obligations Fund - Class X  | 53.4% |
|  Netflix, Inc.  | 8.3% |
|  Meta Platforms, Inc. - Class A  | 7.6% |
|  NVIDIA Corp.  | 7.0% |
|  Amazon.com, Inc.  | 6.6% |
|  Booking Holdings, Inc.  | 3.4% |
|  Alphabet, Inc. - Class C  | 3.2% |
|  Alphabet, Inc. - Class A  | 2.0% |
|  AutoZone, Inc.  | 1.8% |
|  Apple, Inc.  | 1.7% |

---

† Expressed as a percentage of net assets.

For additional information about the Fund; including its prospectus, financial information, holdings and proxy information, scan the QR code or visit https://reynoldsfunds.com.

**HOUSEHOLDING**

To reduce Fund expenses, only one copy of most shareholder documents may be mailed to shareholders with multiple accounts at the same address (Householding). If you would prefer that your Reynolds Capital Management, LLC documents not be householded, please contact Reynolds Capital Management, LLC at 800-773-9665, or contact your financial intermediary. Your instructions will typically be effective within 30 days of receipt by Reynolds Capital Management, LLC or your financial intermediary.

Reynolds Blue Chip Growth Fund PAGE 1 TSR-SAR-761724103

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Not applicable.

**<u>Item 2. Code of Ethics.</u>**

Not applicable for semi-annual reports.

**<u>Item 3. Audit Committee Financial Expert.</u>**

Not applicable for semi-annual reports.

**<u>Item 4. Principal Accountant Fees and Services.</u>**

Not applicable for semi-annual reports.

**<u>Item 5. Audit Committee of Listed Registrants.</u>**

Not applicable.

**<u>Item 6. Investments.</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Schedule of Investments is included within the financial statements filed under Item 7(a) of this Form.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Not applicable.

**<u>Item 7. Financial Statements and Financial Highlights for Open-End Investment Companies.</u>**

(a) ![](reynolds-logo.jpg)

**REYNOLDS BLUE CHIP GROWTH FUND** 

**Semi-Annual Financial Statements and Additional Information** 

**March 31, 2025** 

------

**TABLE OF CONTENTS** 

---

| | |
|:---|:---|
|  | **Page**  |
| [Schedule of Investments](#soi) | [1](#soi) |
| [Statement of Assets and Liabilities](#sal) | [4](#sal) |
| [Statement of Operations](#sop) | [5](#sop) |
| [Statements of Changes in Net Assets](#scna) | [6](#scna) |
| [Financial Highlights](#fihi) | [7](#fihi) |
| [Notes to Financial Statements](#not1) | [8](#not1) |
| [Approval of Investment Advisory Agreement](#app) | [12](#app) |
| [Additional Information](#add) | [15](#add) |

---

------

**[**TABLE OF CONTENTS**](#TOC)**

**Reynolds Blue Chip Growth Fund** 

**Schedule of Investments** 

**March 31, 2025 (Unaudited)** 

---

| | | |
|:---|:---|:---|
|  | **Shares** | **Value**  |
| **COMMON STOCKS - 52.2%**<br>|  |  |
| **Aerospace & Defense - 0.1%**<br>|  |  |
| Boeing Co.<sup>(a)</sup> | 300 | $51165  |
| **Air Freight & Logistics - 0.1%**<br>|  |  |
| FedEx Corp. | 250 | 60945  |
| **Automobiles - 0.3%**<br>|  |  |
| Tesla, Inc.<sup>(a)</sup> | 755 | 195666  |
| **Banks - 0.5%**<br>|  |  |
| Bank of America Corp. | 1400 | 58422  |
| Citigroup, Inc. | 700 | 49693  |
| JPMorgan Chase & Co. | 400 | 98120  |
| Truist Financial Corp. | 1500 | 61725  |
| Wells Fargo & Co. | 800 | 57432  |
|  |  | 325392  |
| **Beverages - 0.1%**<br>|  |  |
| PepsiCo, Inc. | 350 | 52479  |
| **Broadline Retail - 6.6%**<br>|  |  |
| Amazon.com, Inc.<sup>(a)</sup> | 21950 | 4176207  |
| **Building Products - 0.1%**<br>|  |  |
| Trane Technologies PLC | 150 | 50538  |
| **Capital Markets - 0.4%**<br>|  |  |
| Blackstone, Inc. | 400 | 55912  |
| Goldman Sachs Group, Inc. | 200 | 109258  |
|  Interactive Brokers Group, Inc. - Class A | 300 | 49677  |
| Morgan Stanley | 500 | 58335  |
|  |  | 273182  |
| **Communications Equipment - 0.1%**<br>|  |  |
| Arista Networks, Inc.<sup>(a)</sup> | 225 | 17433  |
| Cisco Systems, Inc. | 900 | 55539  |
|  |  | 72972  |
| **Consumer Finance - 0.1%**<br>|  |  |
| Capital One Financial Corp. | 300 | 53790  |
| **Consumer Staples Distribution & Retail - 2.2%** | **Consumer Staples Distribution & Retail - 2.2%** |  |
| Casey's General Stores, Inc. | 150 | 65106  |
| Costco Wholesale Corp. | 710 | 671504  |
| Walmart, Inc. | 7450 | 654035  |
|  |  | 1390645  |
| **Energy Equipment & Services - 0.1%**<br>|  |  |
| Schlumberger NV | 1400 | 58520  |
| **Entertainment - 8.5%**<br>|  |  |
| Live Nation Entertainment, Inc.<sup>(a)</sup> | 400 | 52232  |
| Netflix, Inc.<sup>(a)</sup> | 5650 | 5268795  |
| Spotify Technology SA<sup>(a)</sup> | 175 | 96255  |
|  |  | 5417282  |

---

---

| | | |
|:---|:---|:---|
|  | **Shares** | **Value**  |
| **Financial Services - 0.5%**<br>|  |  |
| Berkshire Hathaway, Inc. - Class B<sup>(a)</sup> | 325 | $173088  |
| Mastercard, Inc. - Class A | 150 | 82218  |
| Visa, Inc. - Class A | 200 | 70092  |
|  |  | 325398  |
| **Food Products - 0.1%**<br>|  |  |
| Hershey Co. | 300 | 51309  |
| **Health Care Equipment & Supplies - 1.1%** | **Health Care Equipment & Supplies - 1.1%** |  |
| Abbott Laboratories | 400 | 53060  |
| Intuitive Surgical, Inc.<sup>(a)</sup> | 1325 | 656233  |
|  |  | 709293  |
| **Health Care Providers & Services - 0.2%** | **Health Care Providers & Services - 0.2%** |  |
| Cardinal Health, Inc. | 300 | 41331  |
| Labcorp Holdings, Inc. | 250 | 58185  |
| Quest Diagnostics, Inc. | 300 | 50760  |
|  |  | 150276  |
| **Hotels, Restaurants & Leisure - 3.7%**<br>|  |  |
| Booking Holdings, Inc. | 470 | 2165248  |
| Hilton Worldwide Holdings, Inc. | 300 | 68265  |
|  Marriott International, Inc./MD - Class A | 300 | 71460  |
| McDonald's Corp. | 200 | 62474  |
|  |  | 2367447  |
| **Household Products - 0.2%**<br>|  |  |
| Clorox Co. | 400 | 58900  |
| Colgate-Palmolive Co. | 600 | 56220  |
| Procter & Gamble Co. | 300 | 51126  |
|  |  | 166246  |
| **Industrial Conglomerates - 0.2%**<br>|  |  |
| 3M Co. | 300 | 44058  |
| Honeywell International, Inc. | 300 | 63525  |
|  |  | 107583  |
| **Interactive Media & Services - 12.8%**<br>|  |  |
| Alphabet, Inc. - Class A | 8000 | 1237120  |
| Alphabet, Inc. - Class C | 12900 | 2015367  |
| Meta Platforms, Inc. - Class A | 8400 | 4841424  |
|  |  | 8093911  |
| **IT Services - 0.2%**<br>|  |  |
| International Business Machines Corp. | 550 | 136763  |
| Shopify, Inc. - Class A<sup>(a)</sup> | 150 | 14322  |
|  |  | 151085  |
| **Life Sciences Tools & Services - 0.0%<sup>(b)</sup>** | **Life Sciences Tools & Services - 0.0%<sup>(b)</sup>** |  |
| OmniAb, Inc.<sup>(a)</sup> | 2450 | 5880  |
| **Machinery - 0.1%**<br>|  |  |
| Snap-on, Inc. | 150 | 50551  |
| **Oil, Gas & Consumable Fuels - 0.8%**<br>|  |  |
| Cheniere Energy, Inc. | 250 | 57850  |
| Chevron Corp. | 400 | 66916  |

---

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

1<br>

------

**[**TABLE OF CONTENTS**](#TOC)**

**Reynolds Blue Chip Growth Fund** 

**Schedule of Investments** 

**March 31, 2025 (Unaudited) (Continued)** 

---

| | | |
|:---|:---|:---|
|  | **Shares** | **Value**  |
| **COMMON STOCKS - (Continued)**  | **COMMON STOCKS - (Continued)**  | **COMMON STOCKS - (Continued)**  |
| **Oil, Gas & Consumable Fuels - (Continued)**  | **Oil, Gas & Consumable Fuels - (Continued)**  | **Oil, Gas & Consumable Fuels - (Continued)**  |
| ConocoPhillips | 500 | $52510  |
| Diamondback Energy, Inc. | 350 | 55958  |
| Exxon Mobil Corp. | 500 | 59465  |
| Texas Pacific Land Corp. | 150 | 198749  |
| Vitesse Energy, Inc. | 129 | 3172  |
|  |  | 494620  |
| **Passenger Airlines - 0.3%**<br>|  |  |
| Delta Air Lines, Inc. | 1500 | 65400  |
| Southwest Airlines Co. | 1700 | 57086  |
| United Airlines Holdings, Inc.<sup>(a)</sup> | 1100 | 75955  |
|  |  | 198441  |
| **Pharmaceuticals - 0.1%**<br>|  |  |
| Johnson & Johnson | 300 | 49752  |
| **Professional Services - 0.3%**<br>|  |  |
| Automatic Data Processing, Inc. | 200 | 61106  |
| Broadridge Financial Solutions, Inc. | 250 | 60615  |
| Equifax, Inc. | 300 | 73068  |
|  |  | 194789  |
| &nbsp;&nbsp;&nbsp; **Semiconductors & Semiconductor** <br>**Equipment - 7.0%** | &nbsp;&nbsp;&nbsp; **Semiconductors & Semiconductor** <br>**Equipment - 7.0%** |  |
| NVIDIA Corp. | 40800 | 4421904  |
| **Software - 1.0%**<br>|  |  |
| Crowdstrike Holdings, Inc. - Class A<sup>(a)</sup> | 250 | 88145  |
| Fair Isaac Corp.<sup>(a)</sup> | 150 | 276624  |
| Microsoft Corp. | 700 | 262773  |
| Palo Alto Networks, Inc.<sup>(a)</sup> | 150 | 25596  |
|  |  | 653138  |
| **Specialty Retail - 2.5%**<br>|  |  |
| Advance Auto Parts, Inc. | 1400 | 54894  |
| AutoZone, Inc.<sup>(a)</sup> | 300 | 1143834  |
| Best Buy Co., Inc. | 600 | 44166  |
| CarMax, Inc.<sup>(a)</sup> | 700 | 54544  |
| Carvana Co.<sup>(a)</sup> | 300 | 62724  |
| Home Depot, Inc. | 175 | 64136  |
| Lowe's Cos., Inc. | 250 | 58307  |
| TJX Cos., Inc. | 400 | 48720  |
| Ulta Beauty, Inc.<sup>(a)</sup> | 150 | 54981  |
|  |  | 1586306  |
|  **Technology Hardware, Storage & Peripherals - 1.7%**<br>|  |  |
| Apple, Inc. | 4850 | 1077330  |
| **Textiles, Apparel & Luxury Goods - 0.1%** | **Textiles, Apparel & Luxury Goods - 0.1%** |  |
| Ralph Lauren Corp. | 300 | 66222  |

---

---

| | | |
|:---|:---|:---|
|  | **Shares** | **Value**  |
| **Wireless Telecommunication Services - 0.1%**<br>|  |  |
| T-Mobile US, Inc. | 200 | $53342  |
| &nbsp;&nbsp;&nbsp; **TOTAL COMMON STOCKS** <br>**(Cost $14,461,738)** |  | 33153606  |
|  **REAL ESTATE INVESTMENT TRUSTS - COMMON - 0.2%**<br>|  |  |
| **Retail REITs - 0.1%**<br>|  |  |
| Simon Property Group, Inc. | 300 | 49824  |
| **Specialized REITs - 0.1%**<br>|  |  |
| Digital Realty Trust, Inc. | 400 | 57316  |
| Millrose Properties, Inc.<sup>(a)</sup> | 325 | 8616  |
|  |  | 65932  |
| &nbsp;&nbsp;&nbsp; **TOTAL REAL ESTATE INVESTMENT TRUSTS - COMMON** <br>**(Cost $114,408)** |  | 115756  |
| **RIGHTS - 0.0%**<br>|  |  |
| **Biotechnology *-* 0.0%**<br>|  |  |
|  OmniAb Operations, Inc. - $12.50 Earnout Shares<sup>(a)(c)</sup> | 189 | 0  |
|  OmniAb Operations, Inc. - $15.00 Earnout Shares<sup>(a)(c)</sup> | 189 | 0  |
| **Total Biotechnology** |  | 0  |
| &nbsp;&nbsp;&nbsp; **TOTAL RIGHTS** <br>**(Cost $0)** |  | 0  |
| **SHORT-TERM INVESTMENTS - 53.4%**<br>|  |  |
| **Money Market Funds - 53.4%**<br>|  |  |
|  First American Government Obligations Fund - Class X, 4.27%<sup>(d)(e)</sup> | 33857846 | 33857846  |
| &nbsp;&nbsp;&nbsp; **TOTAL SHORT-TERM INVESTMENTS**<br>**(Cost $33,857,846)** |  | 33857846  |
| &nbsp;&nbsp;&nbsp; **TOTAL INVESTMENTS - 105.8%** <br>**(Cost $48,433,992)** |  | $67127208  |
| &nbsp;&nbsp;&nbsp; Liabilities in Excess of Other <br>Assets - (5.8)% |  | (3706843)  |
| **TOTAL NET ASSETS - 100.0%** |  | $63420365 |

---

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

2<br>

------

**[**TABLE OF CONTENTS**](#TOC)**

**Reynolds Blue Chip Growth Fund** 

**Schedule of Investments** 

**March 31, 2025 (Unaudited) (Continued)** 

Percentages are stated as a percent of net assets.

The Global Industry Classification Standard ("GICS<sup>®</sup>") was developed by and/or is the exclusive property of MSCI, Inc. ("MSCI") and Standard & Poor's Financial Services LLC ("S&P"). GICS<sup>®</sup> is a service mark of MSCI and S&P and has been licensed for use by U.S. Bank Global Fund Services.

PLC - Public Limited Company

REIT - Real Estate Investment Trust

<sup>(a)</sup> Non-income producing security.

<sup>(b)</sup> Represents less than 0.05% of net assets.

<sup>(c)</sup> Fair value determined using significant unobservable inputs in accordance with fair value methodologies established and applied by the Adviser, acting as Valuation Designee. These securities represented $0 or 0.0% of net assets as of March 31, 2025.

<sup>(d)</sup> The rate shown represents the 7-day annualized effective yield as of March 31, 2025.

<sup>(e)</sup> Fair value of this security exceeds 25% of the Fund's net assets. Additional information for this security, including the financial statements, is available from the SEC's EDGAR database at www.sec.gov. 

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

3<br>

------

**[**TABLE OF CONTENTS**](#TOC)**

**REYNOLDS BLUE CHIP GROWTH FUND** 

**Statement of Assets and Liabilities** 

**March 31, 2025 (Unaudited)** 

---

| | |
|:---|:---|
| **ASSETS:**<br>|  |
| Investments, at value | $67127208  |
| Receivable for investments sold | 1007175  |
| Interest receivable | 91872  |
| Receivable for fund shares sold | 10349  |
| Dividends receivable | 4099  |
| Dividend tax reclaims receivable | 1413  |
| Prepaid expenses and other assets | 69954  |
| &nbsp;&nbsp;&nbsp; **Total assets** | 68312070  |
| **LIABILITIES:**<br>|  |
| Payable for investments purchased | 4745349  |
| Payable to adviser | 55651  |
| Payable for capital shares redeemed | 34604  |
| Payable for distribution and shareholder servicing fees | 6348  |
| Payable for expenses and other liabilities | 49753  |
| &nbsp;&nbsp;&nbsp; **Total liabilities** | 4891705  |
| **NET ASSETS** | $63420365 |
| **Net Assets Consists of:**<br>|  |
| Capital stock ($0.01 per share) | $9953  |
| Additional paid-in capital | 40754023  |
| Total distributable earnings | 22656389  |
| &nbsp;&nbsp;&nbsp; **Total net assets** | $63420365 |
| Net assets | $63420365  |
| Shares issued and outstanding | 995270  |
| Net asset value per share | $63.72  |
| **Cost:**<br>|  |
| &nbsp;&nbsp;&nbsp; Investments, at cost | $48433992 |

---

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

4<br>

------

**[**TABLE OF CONTENTS**](#TOC)**

**Reynolds Blue Chip Growth Fund** 

**Statement of Operations** 

**For the Six Months Ended March 31, 2025 (Unaudited)** 

---

| | |
|:---|:---|
| **INVESTMENT INCOME:**<br>|  |
| Dividend income | $141741  |
| Less: Dividend withholding taxes | (616)  |
| Less: Issuance fees | (62)  |
| Interest income | 136983  |
| &nbsp;&nbsp;&nbsp; **Total investment income** | 278046  |
| **EXPENSES:**<br>|  |
| Investment advisory fees (Note 2) | 343503  |
| Fund administration and accounting fees and expenses | 66001  |
| Distribution fees | 41573  |
| Legal fees and expenses | 40428  |
| Transfer agent fees and expenses | 40219  |
| Shareholder servicing fees | 22172  |
| Custodian fees and expenses | 17815  |
| Federal and state registration fees | 15737  |
| Compliance fees and expenses | 14605  |
| Directors' fees | 13948  |
| Audit fees and expenses | 10378  |
| Reports to shareholders | 4033  |
| Other expenses and fees | 36376  |
| &nbsp;&nbsp;&nbsp; Total expenses | 666788  |
| **Net investment loss** | (388742)  |
| **REALIZED AND UNREALIZED GAIN (LOSS)**<br>|  |
| Net realized gain (loss) from:<br>|  |
| &nbsp;&nbsp;&nbsp; Investments | 8232368  |
| Net realized gain (loss) | 8232368  |
| Net change in unrealized appreciation (depreciation) on:<br>|  |
| &nbsp;&nbsp;&nbsp; Investments | (5954299)  |
| Net change in unrealized appreciation (depreciation) | (5954299)  |
| **Net realized and unrealized gain (loss)** | 2278069  |
| **NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS** | $1889327 |

---

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

5<br>

------

**[**TABLE OF CONTENTS**](#TOC)**

**Reynolds Blue Chip Growth Fund** 

**Statements of Changes in Net Assets** 

---

| | | |
|:---|:---|:---|
|  | **Six Months Ended** <br>**March 31, 2025** <br>(Unaudited) | **Year Ended** <br>**September 30, 2024**  |
| **OPERATIONS:**<br>|  |  |
| &nbsp;&nbsp;&nbsp; Net investment income (loss) | &nbsp;&nbsp; $(388742) | &nbsp;&nbsp; $(793488)  |
| &nbsp;&nbsp;&nbsp; Net realized gain (loss) | &nbsp;&nbsp; 8232368 | &nbsp;&nbsp; 7235893  |
| &nbsp;&nbsp;&nbsp; Net change in unrealized appreciation (depreciation) | &nbsp;&nbsp; (5954299) | &nbsp;&nbsp; 13464014  |
| &nbsp;&nbsp;&nbsp; **Net increase (decrease) in net assets from operations** | &nbsp;&nbsp; 1889327 | &nbsp;&nbsp; 19906419  |
| **DISTRIBUTIONS TO SHAREHOLDERS:**<br>|  |  |
| &nbsp;&nbsp;&nbsp; From earnings | &nbsp;&nbsp; (5176459) | &nbsp;&nbsp; —  |
| &nbsp;&nbsp;&nbsp; **Total distributions to shareholders** | &nbsp;&nbsp; (5176459) | &nbsp;&nbsp; —  |
| **CAPITAL TRANSACTIONS:**<br>|  |  |
| &nbsp;&nbsp;&nbsp; Subscriptions | &nbsp;&nbsp; 4440283 | &nbsp;&nbsp; 2886158  |
| &nbsp;&nbsp;&nbsp; Reinvestments | &nbsp;&nbsp; 5042467 | &nbsp;&nbsp; —  |
| &nbsp;&nbsp;&nbsp; Redemptions | &nbsp;&nbsp; (7656270) | &nbsp;&nbsp; (10521845)  |
| &nbsp;&nbsp;&nbsp; **Net increase (decrease) in net assets from capital transactions** | &nbsp;&nbsp; 1826480 | &nbsp;&nbsp; (7635687)  |
| **NET INCREASE (DECREASE) IN NET ASSETS** | &nbsp;&nbsp; (1460652) | &nbsp;&nbsp; 12270732  |
| **NET ASSETS:**<br>|  |  |
| &nbsp;&nbsp;&nbsp; Beginning of the period | &nbsp;&nbsp; 64881017 | &nbsp;&nbsp; 52610285  |
| &nbsp;&nbsp;&nbsp; End of the period | &nbsp;&nbsp; $63420365 | &nbsp;&nbsp; $64881017  |
| **SHARES TRANSACTIONS**<br>|  |  |
| &nbsp;&nbsp;&nbsp; Subscriptions | &nbsp;&nbsp; 62072 | &nbsp;&nbsp; 47995  |
| &nbsp;&nbsp;&nbsp; Reinvestments | &nbsp;&nbsp; 72025 | &nbsp;&nbsp; —  |
| &nbsp;&nbsp;&nbsp; Redemptions | &nbsp;&nbsp; (110156) | &nbsp;&nbsp; (186664)  |
| &nbsp;&nbsp;&nbsp; **Total increase (decrease) in shares outstanding** | &nbsp;&nbsp; 23941 | &nbsp;&nbsp; (138669) |

---

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

6<br>

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**[**TABLE OF CONTENTS**](#TOC)**

**Reynolds Blue Chip Growth Fund** 

**Financial Highlights** 

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Six Months** <br>**Ended** <br>**March 31, 2025** <br>(Unaudited) | **Year Ended September 30,**  | **Year Ended September 30,**  | **Year Ended September 30,**  | **Year Ended September 30,**  | **Year Ended September 30,**  |
|  | **Six Months** <br>**Ended** <br>**March 31, 2025** <br>(Unaudited) | **2024** | **2023** | **2022** | **2021** | **2020** |
| **PER SHARE DATA:**<br>|  |  |  |  |  |  |
| Net asset value, beginning of period | &nbsp;&nbsp;&nbsp; $66.80 | $47.40 | $44.70 | $77.51 | $68.96 | $51.48  |
| **INVESTMENT OPERATIONS:**<br>|  |  |  |  |  |  |
| Net investment income (loss)<sup>(a)</sup> | &nbsp;&nbsp;&nbsp; (0.39) | (0.78) | (0.44) | (0.68) | (0.93) | (0.70)  |
|  Net realized and unrealized gain (loss) on investments<sup>(b)</sup> | &nbsp;&nbsp;&nbsp;&nbsp;2.60 | 20.18 | 5.78 | (14.00) | 16.45 | 20.69  |
| **Total from investment operations** | &nbsp;&nbsp;&nbsp;&nbsp;2.21 | 19.40 | 5.34 | (14.68) | 15.52 | 19.99  |
| **LESS DISTRIBUTIONS FROM:**<br>|  |  |  |  |  |  |
| Net realized gains | &nbsp;&nbsp;&nbsp; (5.29) |  | (2.64) | (18.13) | (6.97) | (2.51)  |
| **Total distributions** | &nbsp;&nbsp;&nbsp; (5.29) |  | (2.64) | (18.13) | (6.97) | (2.51)  |
| **Net asset value, end of period** | &nbsp;&nbsp;&nbsp; $63.72 | $66.80 | $47.40 | $44.70 | $77.51 | $68.96  |
| Total return<sup>(c)</sup> | &nbsp;&nbsp;&nbsp; 2.59% | 40.93% | 12.53% | -25.97% | 23.72% | 40.26%  |
| **SUPPLEMENTAL DATA AND RATIOS:** | **SUPPLEMENTAL DATA AND RATIOS:** |  |  |  |  |  |
| Net assets, end of period (in thousands) | &nbsp;&nbsp;&nbsp; $63420 | $64881 | $52610 | $51797 | $77991 | $68718  |
| Ratio of expenses to average net assets:<br>|  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; Before expense reimbursement<sup>(d)</sup> | &nbsp;&nbsp;&nbsp; 1.94% | 2.00% | 2.18% | 1.95% | 1.85% | 2.03%  |
| &nbsp;&nbsp;&nbsp; After expense reimbursement<sup>(d)</sup> | &nbsp;&nbsp;&nbsp; 1.94% | 2.00% | 2.00% | 1.95% | 1.85% | 2.00%  |
|  Ratio of net investment income (loss) to average net assets<sup>(d)</sup> | &nbsp;&nbsp;&nbsp; (1.13)% | (1.34)% | (0.95)% | (1.18)% | (1.25)% | (1.25)%  |
| Portfolio turnover rate<sup>(c)</sup> | &nbsp;&nbsp;&nbsp; 205% | 269% | 431% | 623% | 279% | 263% |

---

<sup>(a)</sup> Net investment income per share has been calculated based on average shares outstanding during the period.

<sup>(b)</sup> Realized and unrealized gains and losses per share in the caption are balancing amounts necessary to reconcile the change in net asset value per share for the periods, and may not reconcile with the aggregate gains and losses in the Statement of Operations due to share transactions for the period.

<sup>(c)</sup> Not annualized for periods less than one year.

<sup>(d)</sup> Annualized for periods less than one year.

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

7<br>

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**[**TABLE OF CONTENTS**](#TOC)**

**REYNOLDS BLUE CHIP GROWTH FUND** 

**NOTES TO FINANCIAL STATEMENTS** 

**March 31, 2025 (Unaudited)** 

(1) Summary of Significant Accounting Policies —

The following is a summary of significant accounting policies of the Reynolds Funds, Inc. (the "Company"), which is registered as a diversified, open-end management investment company under the Investment Company Act of 1940 (the "Act"), as amended. The Company consists of one fund: Reynolds Blue Chip Growth Fund (the "Fund"). The Company was incorporated under the laws of Maryland on April 28, 1988. The Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board Accounting Standards Codification Topic 946 Financial Services – Investment Companies.

The investment objective of the Fund is to produce long-term growth of capital by investing in a diversified portfolio of common stocks issued by well-established growth companies commonly referred to as "blue chip" companies, as defined in the Fund's prospectus.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The following is a summary of the Fund's pricing procedures. It is intended to be a general discussion and may not necessarily reflect all pricing procedures followed by the Fund.

Each security, excluding short-term investments and money market funds, is valued at the last sale price reported by the principal security exchange on which the issue is traded (other than The Nasdaq OMX Group, Inc., referred to as "Nasdaq"), or if no sale is reported, the latest bid price. Securities which are traded on Nasdaq (including closed-end funds) under one of its three listing tiers, Nasdaq Global Market, Nasdaq Global Select Market and Nasdaq Capital Market, are valued at the Nasdaq Official Closing Price, or if no sale is reported, the latest bid price. Short-term investments with maturities of 60 days or less may be valued on an amortized cost basis to the extent it is equivalent to fair value, which involves valuing an instrument at its cost and thereafter assuming a constant amortization to maturity of any discount or premium, regardless of the impact of fluctuating rates on the fair value of the instrument. Amortized cost will not be used if its use would be inappropriate due to credit or other impairments of the issuer. Money market funds are valued at their net asset value per share. Securities for which quotations are not readily available are valued at fair value as determined by the investment adviser of the Fund, Reynolds Capital Management, LLC (the "Adviser"), as the valuation designee appointed by the Board of Directors (the "Board"), in accordance with fair value methodologies established and applied by the Adviser. The fair value of a security is the amount which the Fund might receive upon a current sale. The fair value of a security may differ from the last quoted price and the Fund may not be able to sell a security at the fair value. Market quotations may not be available, for example, if trading in particular securities was halted during the day and not resumed prior to the close of trading on the NYSE.

Under accounting principles generally accepted in the United States of America ("GAAP"), fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., the "exit price") in an orderly transaction between market participants at the measurement date.

In determining fair value, the Fund uses various valuation approaches. GAAP establishes a fair value hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by generally requiring that the most observable inputs be used when available. Observable inputs are those that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Fund. Unobservable inputs reflect the Fund's assumptions about the inputs market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The inputs or methodologies used for valuing securities are not necessarily an indication of the risks associated with investing in those securities.

The fair value hierarchy is categorized into three levels based on the inputs as follows:

Level 1 –

Valuations based on unadjusted quoted prices in active markets for identical assets that the Fund has the ability to access.

Level 2 –

Valuations based on quoted prices for similar securities or 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.

8<br>

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**[**TABLE OF CONTENTS**](#TOC)**

**REYNOLDS BLUE CHIP GROWTH FUND** 

**NOTES TO FINANCIAL STATEMENTS** 

**March 31, 2025 (Unaudited)(Continued)** 

The following table summarizes the Fund's investments as of March 31, 2025, based on the inputs used to value them:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Level 1** | **Level 2** | **Level 3** | **Total**  |
| **Investments:**<br>|  |  |  |  |
| &nbsp;&nbsp;&nbsp; Common Stocks  | $33153606 | $—  | $— | $33153606  |
| &nbsp;&nbsp;&nbsp; Real Estate Investment Trusts - Common | 115756 |  |  | 115756  |
| &nbsp;&nbsp;&nbsp; Rights  |  | —  | 0 | 0  |
| &nbsp;&nbsp;&nbsp; Money Market Funds  | 33857846 |  |  | 33857846  |
| **Total Investments**  | $67127208 | $— | $0 | $67127208 |

---

Refer to the Schedule of Investments for further disaggregation of investment categories.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Investment transactions are accounted for on a trade date basis for financial reporting purposes. Net realized gains and losses on sales of securities are computed on the highest amortized cost basis.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Fund records dividend income on the ex-dividend date and interest income on an accrual basis. Withholding taxes on foreign dividends have been provided for in accordance with the Fund's understanding of the applicable country's tax rules and regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) GAAP requires that certain components of net assets relating to permanent differences be reclassified between financial and tax reporting. These reclassifications have no effect on net assets or net asset value per share. For the year ended September 30, 2024, the Fund had no permanent differences.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The preparation of 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 financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from these estimates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) No provision has been made for Federal income taxes since the Fund has elected to be taxed as a "regulated investment company" and intends to distribute substantially all net investment company taxable income and net capital gains to shareholders and otherwise comply with the provisions of the Internal Revenue Code applicable to regulated investment companies. The Fund may utilize earnings and profits distributed to shareholders on redemption of shares as part of the dividends paid deduction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The Fund has reviewed all open tax years and major jurisdictions, which include Federal and the state of Maryland, and concluded that there are no significant uncertain tax positions that would require recognition in the financial statements as of and for the year ended September 30, 2024. Open tax years are those that are open for exam by taxing authorities and, as of March 31, 2025, open Federal tax years include the tax years ended September 30, 2021 through 2024. The Fund recognizes interest and penalties, if any, related to unrecognized tax benefits as income tax expense in the Fund's Statement of Operations. During the six months ended March 31, 2025, the Fund did not incur any interest or penalties. The Fund has no examinations in progress and is also not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) The Fund's cash is held in accounts with balances which may exceed the amount of related federal insurance. The Fund has not experienced any loss in such accounts and believes it is not exposed to significant credit risk.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollar amounts at the date of valuation. Purchases and sales of securities and income and expense items denominated in foreign currencies are translated into U.S. dollar amounts on the respective dates of such transactions. The Fund does not isolate the portion of realized gains or losses and unrealized appreciation or depreciation resulting from changes in foreign exchange rates on securities from the fluctuations arising from changes in market prices of securities held. Reported net realized foreign exchange gains or losses arise from sales of securities, currency gains or losses realized

9<br>

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**[**TABLE OF CONTENTS**](#TOC)**

**REYNOLDS BLUE CHIP GROWTH FUND** 

**NOTES TO FINANCIAL STATEMENTS** 

**March 31, 2025 (Unaudited)(Continued)** 

between the trade and settlement dates on securities transactions and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund's books and the U.S. dollar equivalent of the amounts actually received or paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures ("ASU 2023-07"). ASU 2023-07 is intended to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses, allowing financial statement users to better understand the components of a segment's profit or loss and assess potential future cash flows for each reportable segment and the entity as a whole. The amendments expand a public entity's segment disclosures by requiring disclosure of significant segment expenses that are regularly provided to the chief operating decision maker, clarifying when an entity may report one or more additional measures to assess segment performance, requiring enhanced interim disclosures and providing new disclosure requirements for entities with a single reportable segment, among other new disclosure requirements.

Management has evaluated the impact of adopting ASU 2023-07 with respect to the financial statements and disclosures and determined there is no material impact for the Fund.The Fund operates as a single segment entity. The Fund's income, expenses, assets, and performance are regularly monitored and assessed by the Adviser, who serves as the chief operating decision maker, using the information presented in the financial statements and financial highlights

(2) Investment Advisory Agreement and Transactions With Related Parties —

The Fund has an investment advisory agreement (the "agreement") with the Adviser, to serve as investment adviser. The sole owner of the Adviser is Mr. Frederick L. Reynolds. Mr. Reynolds is also an officer and interested director of the Fund. Under the terms of the agreement, the Fund will pay the Adviser a monthly management fee at the annual rate of 1.00% of the daily net assets of the Fund.

The agreement further stipulates that the Adviser will reimburse the Fund for all expenses exceeding an annual rate of 2.00% of its daily average net assets (excluding interest, taxes, brokerage commissions and extraordinary items). The Fund is not obligated to reimburse the Adviser for any expenses reimbursed in previous fiscal years. No such reimbursements were required for the six months ended March 31, 2025.

The Fund has engaged Northern Lights Compliance Services, LLC ("Northern Lights") to provide compliance services including the appointment of the Fund's Chief Compliance Officer. Northern Lights was paid $14,605 for services provided for the six months ended March 31, 2025.

The Fund has adopted a Distribution and Service Plan (the "Plan") pursuant to Rule 12b-1 under the Act. The Plan provides that the Fund may incur certain costs which may not exceed a maximum amount equal to 0.25% per annum of the Fund's average daily net assets. Payments made pursuant to the Plan may only be used to pay distribution expenses incurred in the current year, and may be less than the maximum amount allowed by the Plan.

Under the Fund's organizational documents, each director, officer, employee or other agent of the Fund (including the Fund's investment manager) is indemnified, to the extent permitted by the Act, against certain liabilities that may arise out of performance of their duties to the Fund. Additionally, in the normal course of business, the Fund enters into contracts that contain a variety of indemnification clauses. The Fund's maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Fund that have not yet occurred. However, the Fund has not had prior claims or losses pursuant to these contracts and believes the risk of loss to be remote.

(3) Distributions to Shareholders —

Net investment income and net realized gains, if any, for the Fund are distributed to shareholders at least annually and are recorded on the ex-dividend date. Please see Note 5 for more information.

(4) Investment Transactions —

For the six months ended March 31, 2025, purchases and proceeds of sales of investment securities (excluding short-term securities) were $120,908,347 and $153,197,234, respectively. There were no purchases or sales of U.S. Government securities.

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**REYNOLDS BLUE CHIP GROWTH FUND** 

**NOTES TO FINANCIAL STATEMENTS** 

**March 31, 2025 (Unaudited)(Continued)** 

(5) Income Tax Information —

The following information for the Fund is presented on an income tax basis as of September 30, 2024:

---

| | |
|:---|:---|
| Tax cost of investments  | $43495016  |
| Gross tax unrealized appreciation | $25028311  |
| Gross tax unrealized depreciation | (3582662)  |
| Net unrealized appreciation/depreciation  | 21445649  |
| Distributable ordinary income  | 2054530  |
| Distributable long-term capital gains  | 3121916  |
| Other accumulated loss | (678574)  |
| Total distributable earnings | $25943521 |

---

The difference between the cost amount for financial statement and federal income tax purposes is due to wash sales. The tax character of distributions paid during the six months ended March 31, 2025 and the year ended September 30, 2024:

---

| | | | |
|:---|:---|:---|:---|
| **Six Months Ended March 31, 2025** | **Six Months Ended March 31, 2025** | **Year Ended September 30, 2024**  | **Year Ended September 30, 2024**  |
| **Ordinary Income**<br>**Distributions**  | **Long-Term Capital** <br>**Gains Distributions** | **Ordinary Income** <br>**Distributions** | **Long-Term Capital** <br>**Gains Distributions** |
| $2054535 | &nbsp;&nbsp;&nbsp;&nbsp; $3121924 | &nbsp;&nbsp; $— | &nbsp;&nbsp;&nbsp;&nbsp; $— |

---

The Fund designated as long-term capital gain dividend, pursuant to Internal Revenue Code Section 852(b)(3), the amount necessary to reduce the earnings and profits of the Fund related to net capital gain to zero for the tax year ended September 30, 2024.

As of September 30, 2024, the Fund had a late year ordinary loss of $678,574 and did not have a capital loss carryforward or post-October capital loss. The Fund used a short-term capital loss carryforward of $502,791.

(6) Subsequent Events —

Management has evaluated events and transactions after March 31, 2025 through the date that the financial statements were issued, and has determined that no additional disclosure or recognition in the financial statements is required.

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**REYNOLDS BLUE CHIP GROWTH FUND** 

**APPROVAL OF INVESTMENT ADVISORY AGREEMENT (Unaudited)** 

On November 13, 2024, the Board of Directors of Reynolds Funds, Inc. (the "<u>Directors</u>") approved the continuation of the investment advisory agreement for the Reynolds Blue Chip Growth Fund (the "<u>Fund</u>") with the investment adviser, Reynolds Capital Management, LLC (the "<u>Adviser</u>"). As part of the process of approving the continuation of the advisory agreement, the Directors reviewed the fiduciary duties of the Directors with respect to approving the advisory agreement and the relevant factors for the Directors to consider, and the members of the Board of Directors who are not deemed "interested persons" (as that term is defined by the Investment Company Act of 1940) of the Fund (the "<u>Independent Directors</u>") met in executive session to discuss the approval of the advisory agreement.

In advance of the meetings, the Adviser sent detailed information to the Directors to assist them in their evaluation of the investment advisory agreement, and provided additional information at the meeting. This information included, but was not limited to, a memorandum from Fund counsel that summarized the legal standards applicable to the Directors' consideration of the advisory agreement; detailed comparative information relating to the Fund's management fees and other expenses of the Fund; information regarding fees paid and other payments; information on the Adviser's profitability; information about brokerage commissions; detailed comparative information relating to the Fund's performance; information about sales and redemptions of the Fund; information about the Fund's compliance program; and other information the Directors believed was useful in evaluating the approval of the advisory agreement.

All of the factors discussed by the Directors were considered as a whole, and were considered separately by the Independent Directors, meeting in executive session. The factors were viewed in their totality by the Directors, with no single factor being the principal or determinative factor in the Directors' determination of whether to approve the continuation of the investment advisory agreement. The Directors recognized that the management and fee arrangements for the Fund are the result of years of review and discussion between the Independent Directors and the Adviser, that certain aspects of such arrangements may receive greater scrutiny in some years than in others and that the Directors' conclusions may be based, in part, on their consideration of these same arrangements and information received during the course of the year and in prior years.

Prior to approving the continuation of the investment advisory agreement, the Directors and the Independent Directors in executive session considered, among other items:

&nbsp;&nbsp;&nbsp;&nbsp;• The nature and quality of the investment advisory
 services provided by the Adviser.

&nbsp;&nbsp;&nbsp;&nbsp;• A comparison of the fees and expenses of the Fund
 to other similar funds.

&nbsp;&nbsp;&nbsp;&nbsp;• A comparison of the fee structures of other accounts
 managed by the Adviser.

&nbsp;&nbsp;&nbsp;&nbsp;• Whether economies of scale are recognized by the
 Fund.

&nbsp;&nbsp;&nbsp;&nbsp;• The costs and profitability of the Fund to the
 Adviser.

&nbsp;&nbsp;&nbsp;&nbsp;• The performance of the Fund.

&nbsp;&nbsp;&nbsp;&nbsp;• The other benefits to the Adviser from serving
 as investment adviser to the Fund (in addition to the advisory fee).

The material considerations and determinations of the Board of Directors, including all of the Independent Directors, are as follows:

<u>Nature and Quality of Investment Advisory Services</u>

The Directors discussed with management the nature of the Adviser's investment process and the resources required to implement the process. They reviewed with the Adviser, the principal investment strategy of the Fund and the resources that the Adviser deploys to conduct research on target companies, and ensure compliance with the strategy.

The Directors considered the background and experience of Mr. Reynolds, and the expertise of, and the amount of attention given to the Fund by, Mr. Reynolds. They determined that Mr. Reynolds is qualified to manage the portfolio of the Fund, and that he devotes a majority of his time to managing the portfolio of the Fund. In addition, the Directors considered the quality of the material service providers to the Fund, who provide administrative and distribution services on behalf of the Fund and are overseen by the Adviser, and the overall reputation and capabilities of the Adviser.

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**REYNOLDS BLUE CHIP GROWTH FUND** 

**APPROVAL OF INVESTMENT ADVISORY AGREEMENT (Unaudited)(Continued)** 

Based on the above review and discussions, the Directors believe that the Adviser provides high quality services to the Fund. The Directors also concluded that they were satisfied with the nature, extent and quality of the investment advisory services provided to the Fund by the Adviser, and that the nature and extent of the services provided by the Adviser are appropriate to assure that the Fund's operations are conducted in compliance with applicable laws, rules and regulations.

<u>Comparative Fees and Expenses</u>

The Directors discussed with management the variables, in addition to the management fees, such as administrative and transaction fees, that impact costs to the shareholders of the Fund. Management reviewed with the Directors the comparison of the Fund's expense ratios to other similar funds. As part of the discussion with management, the Directors ensured that they understood and were comfortable with the criteria used to determine the mutual funds included in the Morningstar categories for purposes of the materials presented to them at the meeting.

The Directors noted that the Fund's advisory fee and net expense ratio are on the high end of the industry average. They determined that the research-intensive nature of advising the Fund justifies the advisory fee paid to the Adviser, and that taking this into account the advisory fee is within a reasonable range of comparable advisory fees. The Directors determined that given the small size of the Fund, the net expense ratio is within a reasonable range of comparable ratios.

<u>Comparison of Fee Structures of Other Accounts</u>

The Directors inquired of management regarding the distinction between the services performed by the Adviser for separate accounts and those performed by the Adviser for the Fund. The Adviser noted that the management of the Fund involves more comprehensive and substantive duties than the management of institutional separate accounts. Specifically, the Adviser noted the following:

&nbsp;&nbsp;&nbsp;&nbsp;• The Adviser provides tailored investment advisory
 services to the Fund in order to accommodate the cash flow volatility presented by the purchases and redemptions of shareholders.

&nbsp;&nbsp;&nbsp;&nbsp;• With regard to the Fund, the Adviser attempts
 to serve the needs of thousands of accounts, ranging from direct accounts holding a few thousand dollars to the large omnibus accounts
 of intermediaries who in turn could service thousands of large and small accounts.

&nbsp;&nbsp;&nbsp;&nbsp;• The Adviser maintains a robust shareholder
 communication effort for the Fund to reach shareholders through direct contact, through intermediaries, or via the financial press.

&nbsp;&nbsp;&nbsp;&nbsp;• The Adviser coordinates with the Fund's
 Chief Compliance Officer and other service providers to ensure compliance with regulatory regimens imposed by Federal law and the Internal
 Revenue Code.

&nbsp;&nbsp;&nbsp;&nbsp;• Separate accounts do not require the same level
 of services and oversight.

The Directors concluded that the services performed by the Adviser for the Fund require a higher level of service and oversight than the services performed by the Adviser for separate accounts. Based on this determination, the Directors believe that the differential in advisory fees between the Fund and the separate accounts is reasonable and concluded that the fee rates charged to the Fund in comparison to those charged to the Adviser's other clients is reasonable.

<u>Economies of Scale</u>

The Directors discussed with management whether economies of scale are recognized by the Fund. They noted that as Fund assets grow, certain fixed costs are spread over the larger asset base, which may lead to some economies of scale. On the other hand, the Directors noted that many of the Fund's expenses are subject to diseconomies of scale. For example, the intermediary service fees generally increase as the Fund's assets grow.

The Directors concluded that given the size of the Fund, investment advisory fee breakpoints were not warranted at this time, as the Fund was not recognizing economies of scale.

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**REYNOLDS BLUE CHIP GROWTH FUND** 

**APPROVAL OF INVESTMENT ADVISORY AGREEMENT (Unaudited)(Continued)** 

<u>Costs and Profitability</u>

The Directors discussed the Adviser's profitability, as presented by Mr. Reynolds, and the impact of the intermediary service fees on the profitability. They also considered the resources and revenues that the Adviser has put into managing and distributing the Fund and concluded that the level of profitability realized by the Adviser from its provision of services to the Fund is reasonable.

<u>Performance</u>

Mr. Reynolds discussed the performance of the Fund for different time periods compared to various benchmark indices. The Directors noted that at each quarterly meeting, the Directors review reports comparing the investment performance of the Fund to various indices. Based on the information provided at this meeting and the information and quarterly discussions regarding the Fund's investment performance, the Directors believe that the Adviser manages the Fund in a manner that is materially consistent with its stated investment objective and style. The Directors noted that for the 12-month period ended September 30, 2024, the Fund outperformed its benchmark, the S&P 500 Index, and that the Fund only slightly underperformed the benchmark over the five- and ten-year periods, while having positive absolute performance over those periods. They concluded that the Fund's investment performance is good on an absolute and comparative basis, and that the Adviser continues to manage the Fund's portfolio in a manner that is advantageous to shareholders of the Fund.

<u>Fall-Out Benefits</u>

The Directors considered other benefits to the Adviser from serving as adviser to the Fund (in addition to the advisory fee). The Directors noted that the Adviser may derive ancillary benefits from its association with the Fund in the form of proprietary and third party research products and services received from broker dealers that execute portfolio trades for the Fund. The Directors determined that any such products and services have been used for legitimate purposes relating to the Fund by providing assistance in the investment decision-making process. The Directors concluded that the other benefits realized by the Adviser from its relationship with the Fund were reasonable.

<u>Conclusion</u>

After reviewing the materials provided for the meeting, management's presentation, as well as other information regularly provided at the Board's quarterly meetings throughout the year regarding the quality of services provided by the Adviser, the performance of the Fund, expense information, regulatory compliance issues, trading information and related matters and other factors deemed relevant by the Board, the Directors, including all of the Independent Directors, approved the continuation of the investment advisory agreement.

The Directors noted that all of the factors above were considered by the Board as a whole, and separately by the Independent Directors meeting in executive session. The factors were viewed in their totality by the Directors, with no single factor being the principal or determinative factor in the Board's determination of whether to approve the continuation of the investment advisory agreement.

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**REYNOLDS BLUE CHIP GROWTH FUND** 

**ADDITIONAL INFORMATION (Unaudited)** 

**Qualified Dividend Income/Dividend Received Deduction** 

The Fund designated 0.00% of dividends declared and paid during the year ended September 30, 2024 from net investment income as qualified dividend income under the Jobs Growth and Tax Relief Reconciliation Act of 2003.

Corporate shareholders may be eligible for a dividend received deduction for certain ordinary income distributions paid by the Fund. The Fund designated 0.00% of dividends declared and paid during the year ended September 30, 2024 from net investment income as qualifying for the dividends received deduction. The deduction is a pass through of dividends paid by domestic corporations (i.e. only equities) subject to taxation.

The percentage of taxable ordinary income distributions that are designated as short-term capital gain distributions under Internal Revenue Section 871(k)(2)(c) for the Fund was 0.00%.

**The below information is required disclosure from Form N-CSR:** 

**Item 8. Changes in and Disagreements with Accountants for Open-End Investment Companies.** 

There were no changes in or disagreements with accountants during the period covered by this report.

**Item 9. Proxy Disclosure for Open-End Investment Companies.** 

There were no matters submitted to a vote of shareholders during the period covered by this report.

**Item 10. Remuneration Paid to Directors, Officers, and Others of Open-End Investment Companies.** 

Remuneration paid to directors, officers, and others is included in the Statement of Operations under the line items "Directors' fees" and "Compliance fees and expenses" as part of the financial statements filed under Item 7(a) of the Form N-CSR.

**Item 11. Statement Regarding Basis for Approval of Investment Advisory Contract.** 

Statement regarding basis for approval of investment advisory contract is included within the financial statements filed under Item 7(a) of the Form N-CSR.

15<br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Financial Highlights are included within the financial statements filed under Item 7(a) of this Form.

**<u>Item 8. Changes in and Disagreements with Accountants for Open-End Investment Companies.</u>**

There were no changes in or disagreements with accountants during the period covered by this report.

**<u>Item 9. Proxy Disclosure for Open-End Investment Companies.</u>**

There were no matters submitted to a vote of shareholders during the period covered by this report.

**<u>Item 10. Remuneration Paid to Directors, Officers, and Others of Open-End Investment Companies.</u>**

Remuneration paid to directors, officers, and others is included in the Statement of Operations under the line items "Directors' fees" and "Compliance fees and expenses" as part of the financial statements filed under Item 7(a) of this Form.

**<u>Item 11. Statement Regarding Basis for Approval of Investment Advisory Contract.</u>**

Statement regarding basis for approval of investment advisory contract is included within the financial statements filed under Item 7(a) of this Form.

**<u>Item 12. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.</u>**

Not applicable to open-end investment companies.

**<u>Item 13. Portfolio Managers of Closed-End Management Investment Companies.</u>**

 

Not applicable to open-end investment companies.

**<u>Item 14. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.</u>**

Not applicable to open-end investment companies.

**<u>Item 15. Submission of Matters to a Vote of Security Holders.</u>**

Not applicable.

**<u>Item 16. Controls and Procedures.</u>**

&nbsp;&nbsp;&nbsp;&nbsp;(a) The Registrant's Principal Executive Officer and Principal Financial Officer have reviewed the Registrant's disclosure controls
 and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the "Act")) as of a date within 90 days
 of the filing of this report, as required by Rule 30a-3(b) under the Act and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange
 Act of 1934. Based on their review, such officers have concluded that the disclosure controls and procedures are effective in ensuring
 that information required to be disclosed in this report is appropriately recorded, processed, summarized and reported and made known
 to them by others within the Registrant and by the Registrant's service provider.

&nbsp;&nbsp;&nbsp;&nbsp;(b) There were no changes in the Registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the Act)
 that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the
 Registrant's internal control over financial reporting.

**<u>Item 17. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies</u>**

Not applicable to open-end investment companies.

**<u>Item 18. Recovery of Erroneously Awarded Compensation.</u>**

Not applicable.

**<u>Item 19. Exhibits.</u>**

&nbsp;&nbsp;&nbsp;&nbsp;*(a)* (1) *Any code of ethics or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy Item 2 requirements through filing an exhibit.* Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) *Any policy required by the listing standards adopted pursuant to Rule 10D-1 under the Exchange Act (17 CFR 240.10D-1) by the registered national securities exchange or registered national securities association upon which the registrant's securities are listed.* Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[(3) *A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)).* Filed herewith.](rf-efp15889_ex99cert.htm)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) *Any written solicitation to purchase securities under Rule 23c-1 under the Act sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons.* Not applicable to open-end investment companies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) *Change in the registrant's independent public accountant. Provide the information called for by Item 4 of Form 8-K under the Exchange Act (17 CFR 249.308). Unless otherwise specified by Item 4, or related to and necessary for a complete understanding of information not previously disclosed, the information should relate to events occurring during the reporting period.* Not applicable to open-end investment companies.

 

&nbsp;&nbsp;&nbsp;&nbsp;*(b)* [*Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.* Furnished herewith.](rf-efp15889_ex99906cert.htm)

**SIGNATURES**

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

(Registrant) Reynolds
 Funds, Inc.

---

| | |
|:---|:---|
| By (Signature and Title) | /s/ Frederick L. Reynolds |
|  | Frederick L. Reynolds, Principal Executive Officer and Principal Financial Officer |

---

Date <u>5/29/2025</u>

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

---

| | |
|:---|:---|
| By (Signature and Title) | /s/ Frederick L. Reynolds |
|  | Frederick L. Reynolds, Principal Executive Officer and Principal Financial Officer |

---

Date <u>5/29/2025</u>

## Ex-99.Cert

**EX.99.CERT**

**<u>CERTIFICATIONS</u>**

I, Frederick L. Reynolds, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this report on Form N-CSR of Reynolds Funds, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report;

4. I am responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;5. I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | | |
|:---|:---|:---|
| Date: | 5/29/2025 | /s/ Frederick L. Reynolds |
|  |  | Frederick L. Reynolds |
|  |  | Principal Executive Officer and Principal Financial Officer |

---

## Exhibit 99.906

**EX.99.906CERT**

**<u>Certification Pursuant to Section 906 of the Sarbanes-Oxley Act</u>**

Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, each of the undersigned officers of the Reynolds Funds, Inc., does hereby certify, to such officer's knowledge, that the report on Form N-CSR of the Reynolds Funds for the period ended March 31, 2025 fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as applicable, and that the information contained in the Form N-CSR fairly presents, in all material respects, the financial condition and results of operations of the Reynolds Funds, Inc. for the stated period.

---

| |
|:---|
| /s/ Frederick L. Reynolds |
| Frederick L. Reynolds |
| Principal Executive Officer and Principal Financial Officer |
| Reynolds Funds, Inc. |

---

Dated: <u>5/29/2025</u>

This statement accompanies this report on Form N-CSR pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not be deemed as filed by Reynolds Funds, Inc. for purposes of Section 18 of the Securities Exchange Act of 1934.