NEW YORK, Feb. 19, 2025 (GLOBE NEWSWIRE) -- New York Mortgage Trust, Inc. (Nasdaq: NYMT) ("NYMT,” the "Company,” "we,” "our” or "us”) today reported results for the three months and year ended December 31, 2024, respectively.
| Summary of Fourth Quarter and Full Year 2024: (dollar amounts in thousands, except per share data) | |||||||
| For the Three Months Ended December 31, 2024 | For the Year
Ended December 31, 2024 | ||||||
| Net loss attributable to Company's common stockholders | $ | (41,828 | ) | $ | (103,785 | ) | |
| Net loss attributable to Company's common stockholders per share (basic) | $ | (0.46 | ) | $ | (1.14 | ) | |
| Undepreciated loss(1) | $ | (39,800 | ) | $ | (91,759 | ) | |
| Undepreciated loss per common share(1) | $ | (0.44 | ) | $ | (1.01 | ) | |
| Comprehensive loss attributable to Company's common stockholders | $ | (41,828 | ) | $ | (103,781 | ) | |
| Comprehensive loss attributable to Company's common stockholders per share (basic) | $ | (0.46 | ) | $ | (1.14 | ) | |
| Yield on average interest earning assets(1) (2) | 6.57 | % | 6.54 | % | |||
| Interest income | $ | 118,253 | $ | 401,280 | |||
| Interest expense | $ | 91,542 | $ | 317,425 | |||
| Net interest income | $ | 26,711 | $ | 83,855 | |||
| Net interest spread(1) (3) | 1.37 | % | 1.33 | % | |||
| Book value per common share at the end of the period | $ | 9.28 | $ | 9.28 | |||
| Adjusted book value per common share at the end of the period(1) | $ | 10.35 | $ | 10.35 | |||
| Economic return on book value(4) | (3.56) | % | (10.88) | % | |||
| Economic return on adjusted book value(5) | (2.94) | % | (11.93) | % | |||
| Dividends per common share | $ | 0.20 | $ | 0.80 | |||
| (1) | Represents a non-GAAP financial measure. A reconciliation of the Company's non-GAAP financial measures to their most directly comparable GAAP measure is included below in "Reconciliation of Financial Information." |
| (2) | Calculated as the quotient of our adjusted interest income and our average interest earning assets and excludes all Consolidated SLST assets other than those securities owned by the Company. |
| (3) | Our calculation of net interest spread may not be comparable to similarly-titled measures of other companies who may use a different calculation. |
| (4) | Economic return on book value is based on the periodic change in GAAP book value per common share plus dividends declared per common share, if any, during the period. |
| (5) | Economic return on adjusted book value is based on the periodic change in adjusted book value per common share, a non-GAAP financial measure, plus dividends declared per common share, if any, during the period. |
Fourth Quarter 2024
- Purchased approximately $362.8 million of Agency RMBS with an average coupon of 5.55%.
- Purchased approximately $542.3 million of residential loans with an average gross coupon of 9.37%.
- Completed a securitization of residential loans, resulting in approximately $292.9 million in net proceeds to us after deducting expenses associated with the transaction. We utilized a portion of the net proceeds to repay approximately $271.6 million on outstanding repurchase agreements related to residential loans.
- Purchased approximately $2.2 billion of investment securities, including $1.5 billion of Agency RMBS with an average coupon of 5.69%.
- Purchased approximately $1.9 billion of residential loans with an average gross coupon of 9.93%.
- Sold three multi-family apartment communities held by joint venture equity investments which generated a net gain attributable to the Company's common stockholders of approximately $12.3 million.
- Sold or distributed equity interests in joint venture equity investments that owned ten multi-family apartment communities which generated a gain on de-consolidation attributable to the Company's common stockholders of approximately $5.7 million.
- Completed five securitizations of residential loans and a re-securitization of our investment in certain subordinated securities issued by Consolidated SLST, resulting in approximately $1.3 billion in net proceeds to us after deducting expenses associated with the transactions. We utilized a portion of the net proceeds to repay approximately $865.4 million on outstanding repurchase agreements related to residential loans and investment securities. We also redeemed two residential loan securitizations with an outstanding balance of approximately $193.3 million at the time of redemption.
- Completed the issuance of $60.0 million of 9.125% Senior Notes due 2029 in an underwritten public offering at par, resulting in approximately $57.5 million in net proceeds to us after deducting the underwriters' discount and commissions and offering expenses.
- Repurchased 587,347 shares of common stock for approximately $3.5 million at an accretive average repurchase price of $5.95 per common share.
- On January 14, 2025, we completed the issuance of $82.5 million in aggregate principal amount of our 9.125% Senior Notes due 2030 in an underwritten public offering. The total net proceeds to us from the offering of the notes, after deducting the underwriters' discount and commissions and offering expenses, were approximately $79.3 million.
- In February 2025, we completed a new securitization of residential loans resulting in approximately $74.2 million of net proceeds to us after deducting expenses associated with the transaction and redeemed a residential loan securitization with an outstanding balance of approximately $54.4 million at the time of redemption.
- On February 19, 2025, we announced that our Board of Directors approved extensions of our common stock repurchase program, under which $189.7 million of the approved amount remained available for repurchase, and our preferred stock repurchase program, under which $97.6 million of the approved amount remained available for repurchase. The expiration dates of both stock repurchase programs were extended from March 31, 2025 to March 31, 2026.
Jason Serrano, Chief Executive Officer, commented: "During 2024, the Company's approach to earnings growth focused on strategically deploying excess liquidity to expand the balance sheet, with a goal of enhancing recurring income. Accordingly, the Company's portfolio grew by $2.2 billion, or 44%, driven primarily by acquisitions in liquid agency bond markets and higher-spread bridge loan markets. As a result, adjusted interest income rose 11% for the fourth quarter, contributing to year-over-year growth in adjusted interest income of 60%. The significant portfolio restructuring that began in 2022 and continued through this past year has provided us with an exciting opportunity to optimize returns and produce durable earnings in the years ahead."
Capital Allocation
The following table sets forth, by investment category, our allocated capital at December 31, 2024 (dollar amounts in thousands):
| Single-Family(1) | Multi- Family | Corporate/ Other | Total | ||||||||||||
| Residential loans | $ | 3,841,738 | $ | - | $ | - | $ | 3,841,738 | |||||||
| Consolidated SLST CDOs | (811,591 | ) | - | - | (811,591 | ) | |||||||||
| Investment securities available for sale | 3,206,499 | - | 622,045 | 3,828,544 | |||||||||||
| Multi-family loans | - | 86,192 | - | 86,192 | |||||||||||
| Equity investments | - | 74,774 | 38,718 | 113,492 | |||||||||||
| Equity investments in consolidated multi-family properties(2) | - | 151,210 | - | 151,210 | |||||||||||
| Equity investments in disposal group held for sale(3) | - | 19,504 | - | 19,504 | |||||||||||
| Single-family rental properties | 142,246 | - | - | 142,246 | |||||||||||
| Mortgage servicing rights | 21,003 | - | - | 21,003 | |||||||||||
| Total investment portfolio carrying value | 6,399,895 | 331,680 | 660,763 | 7,392,338 | |||||||||||
| Liabilities: | |||||||||||||||
| Repurchase agreements | (3,377,161 | ) | - | (635,064 | ) | (4,012,225 | ) | ||||||||
| Collateralized debt obligations | |||||||||||||||
| Residential loan securitization CDOs | (2,096,096 | ) | - | - | (2,096,096 | ) | |||||||||
| Non-Agency RMBS re-securitization | (70,757 | ) | - | - | (70,757 | ) | |||||||||
| Senior unsecured notes | - | - | (159,196 | ) | (159,196 | ) | |||||||||
| Subordinated debentures | - | - | (45,000 | ) | (45,000 | ) | |||||||||
| Cash, cash equivalents and restricted cash(4) | 115,926 | - | 208,948 | 324,874 | |||||||||||
| Cumulative adjustment of redeemable non-controlling interest to estimated redemption value | - | (40,675 | ) | - | (40,675 | ) | |||||||||
| Other | 138,012 | (1,864 | ) | (34,691 | ) | 101,457 | |||||||||
| Net Company capital allocated | $ | 1,109,819 | $ | 289,141 | $ | (4,240 | ) | $ | 1,394,720 | ||||||
| Company Recourse Leverage Ratio(5) | 3.0x | ||||||||||||||
| Portfolio Recourse Leverage Ratio(6) | 2.9x | ||||||||||||||
| (1) | The Company, through its ownership of certain securities, has determined it is the primary beneficiary of Consolidated SLST and has consolidated the assets and liabilities of Consolidated SLST in the Company's consolidated financial statements. Consolidated SLST is primarily presented on our consolidated balance sheets as residential loans, at fair value and collateralized debt obligations, at fair value. Our investment in Consolidated SLST as of December 31, 2024 was limited to the RMBS comprised of first loss subordinated securities and certain IOs issued by the respective securitizations with an aggregate net carrying value of $148.5 million. |
| (2) | Represents the Company's equity investments in consolidated multi-family properties that are not in disposal group held for sale. See "Reconciliation of Financial Information" section below for a reconciliation of equity investments in consolidated multi-family properties and disposal group held for sale to the Company's consolidated financial statements. |
| (3) | Represents the Company's equity investments in consolidated multi-family properties that are held for sale in disposal group. See "Reconciliation of Financial Information" section below for a reconciliation of equity investments in consolidated multi-family properties and disposal group held for sale to the Company's consolidated financial statements. |
| (4) | Excludes cash in the amount of $6.6 million held in the Company's equity investments in consolidated multi-family properties and equity investments in consolidated multi-family properties in disposal group held for sale. Restricted cash of $161.6 million is included in the Company's accompanying consolidated balance sheets in other assets. |
| (5) | Represents the Company's total outstanding recourse repurchase agreement financing, subordinated debentures and senior unsecured notes divided by the Company's total stockholders' equity. Does not include non-recourse repurchase agreement financing amounting to $11.0 million, Consolidated SLST CDOs amounting to $811.6 million, residential loan securitization CDOs amounting to $2.1 billion, non-Agency RMBS re-securitization CDOs amounting to $70.8 million and mortgages payable on real estate, including mortgages payable on real estate of disposal group held for sale, totaling $460.0 million as they are non-recourse debt. |
| (6) | Represents the Company's outstanding recourse repurchase agreement financing divided by the Company's total stockholders' equity. |
| Three Months Ended December 31, 2024 | |||||||||||||||
| Single-Family(8) | Multi- Family | Corporate/Other |
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