Exhibit 99.1 Ellington Financial Inc. Reports Second Quarter 2024 Results OLD GREENWICH, Connecticut—August 6, 2024 Ellington Financial Inc. (NYSE: EFC) ("we," "us," or "our") today reported financial results for the quarter ended June 30, 2024. Highlights • Net income attributable to common stockholders of $52.3 million, or $0.62 per common share. 1 ◦ $69.1 million, or $0.81 per common share, from the investment portfolio. ▪ $68.0 million, or $0.80 per common share, from the credit strategy. ▪ $1.1 million ...

p I te with Introduction Microsoft Excel API Companies that utilize leverage to lend have been battling higher borrowing costs and struggling to grow their earnings to keep up with higher interest rates. Fortunately, Ellington Financial's interest income has grown at a faster pace than its interest expense. Net interest income (interest income less interest expense) grew by $3.5 million or more than 10% to $31 million in the first quarter. Unfortunately, the increase in net interest income was more than off ...

Mortgage real estate investment trusts, or mREITs, have been a tough investment in this rate environment. One name that has held up in the space is Ellington Financial Inc. (NYSE:EFC), and it is well positioned for when rates normalize and the housing industry rebounds, in our opinion. We still like income names to comprise about 20% of your long-term portfolio. Within those long-term income holdings, we endorse having dividend paying names, blended with dividend growth, and/or high-yield. Now we got some b ...

Ownership and Acquisitions - As of March 31, 2024, Ellington Financial Inc. had an ownership interest of approximately 99.3% in its Operating Partnership[431]. - The company completed the acquisition of a controlling interest in Longbridge Financial, LLC on October 3, 2022, and a merger with Arlington Asset Investment Corp. on December 14, 2023[434]. Investment Portfolio - The investment portfolio includes residential mortgage-backed securities (RMBS), commercial mortgage-backed securities (CMBS), consumer loans, and asset-backed securities (ABS)[435]. - Agency RMBS assets consist primarily of whole pool and partial pool pass-through certificates, guaranteed by U.S. government agencies[441]. - The targeted asset classes include investments in U.S. and European markets, focusing on Agency RMBS, CMBS, consumer loans, and corporate CLOs[438]. - The company has a diverse array of financial assets, including investments in mortgage servicing rights and strategic investments in loan originators[440]. Financial Strategies - The company employs strategies to capitalize on market opportunities, adjusting asset allocations based on credit and liquidity trends[437]. - The strategies include opportunistic hedging of credit risk, interest rate risk, yield spread risk, and foreign currency risk, depending on market conditions[437]. - The company engages in TBA transactions to manage risks associated with investment strategies, utilizing these transactions as hedging instruments against interest rate and yield spread risks[465][466]. Loan and Mortgage Details - The majority of CMBS acquired utilize senior/subordinate structures, focusing on B-pieces for higher yields[445]. - As of March 31, 2024, all commercial mortgage loans held by the company were first-lien loans, with maturities ranging from one to ten years[448]. - The company focuses on acquiring smaller balance loans, typically less than $30 million, which are secured by real estate and may include personal guarantees from borrowers[449]. - The U.S. consumer loan portfolio consists of unsecured loans and secured auto loans, with ongoing purchases of newly originated consumer loans under flow agreements[450]. - The company is active in the market for residential non-performing loans (NPLs) and re-performing loans (RPLs), focusing on less-competitively-bid mixed legacy pools[459]. Financial Performance - Net income attributable to common stockholders for the three-month period ended March 31, 2024, was $26.9 million, with a net income per common share of $0.32[554]. - The company reported net interest income of $31.1 million for the three-month period ended March 31, 2024[554]. - Total other income for the same period was $44.5 million, which included realized and unrealized gains on financial derivatives of $33.8 million[554]. - The company reported a net income per common share of $0.61 for the three-month period ended March 31, 2024, down from $0.58 in the same period in 2023[556]. - For the three-month period ended March 31, 2024, total net income was $34,051,000, compared to $44,750,000 for the same period in 2023, representing a decrease of approximately 24%[603]. Interest Rates and Borrowing - The average cost of funds on secured financings increased to 5.78% for the three-month period ended March 31, 2024, compared to 5.69% for the previous period[519]. - The average borrowing rate on unsecured financings increased to 6.14% for the three-month period ended March 31, 2024, from 5.85% in the previous period[519]. - The company retained mortgage servicing rights associated with HMBS and proprietary reverse mortgage loans, contributing to its Reverse MSR-related Net Assets[503]. - As of March 31, 2024, total recourse borrowings amounted to $2,996.3 million, down from $3,510.9 million as of December 31, 2023, resulting in a debt-to-equity ratio of 1.9:1[514]. Market Conditions - The S&P CoreLogic Case-Shiller US National Home Price NSA Index increased by 0.5% in the first two months of 2024, following a 5.5% rise in 2023[474]. - U.S. real GDP grew at an estimated annualized rate of 1.6% in Q1 2024, down from 3.4% in the previous quarter, while the unemployment rate averaged 3.8% during the same period[474]. - The Federal Reserve maintained its target federal funds rate at 5.25%–5.50% in January and March 2024, indicating potential policy adjustments later in the year[474]. Asset Valuation - The fair value of the consolidated investment portfolio as of March 31, 2024, is $14,308,343,000, compared to $14,156,428,000 as of December 31, 2023, reflecting an increase of approximately 1.07%[533]. - The fair value of investments in unconsolidated entities totaled approximately $125.37 million as of March 31, 2024[492]. - The total fair value of Forward MSR-related investments was approximately $160.01 million[492]. Equity and Dividends - Equity increased by $17.5 million to $1.553 billion as of March 31, 2024, driven by net income of $34.1 million and net proceeds from common stock issuance of $26.9 million[552]. - Preferred stock dividends for the current period totaled $6,654,000, compared to $5,117,000 in the previous year[603]. Adjusted Distributable Earnings - Adjusted Distributable Earnings is calculated as U.S. GAAP net income adjusted for various components, providing a useful indicator of long-term financial performance and dividend-paying ability[598]. - Adjusted distributable earnings for the same period were $30,819,000, down from $35,990,000 in 2023, indicating a decline of about 14%[603]. - Adjusted distributable earnings attributable to common stockholders were $23,726,000 for the current period, down from $30,300,000 in the prior year[603].

Financial Data and Key Metrics Changes - The company reported net income of $0.32 per share and adjusted distributable earnings (ADE) of $0.28 per share for Q1 2024, with the credit strategy contributing $0.48 per share of net income [14][18] - The total loan credit portfolio increased by 2% to $2.8 billion as of March 31, driven by larger residential transition loan and commercial mortgage bridge loan portfolios [22] - The recourse debt to equity ratio decreased to 1.8:1 at March 31, down from 2:1 at year-end, indicating improved leverage management [25] Business Line Data and Key Metrics Changes - The credit strategy generated $0.48 per share of GAAP net income, primarily from strong net interest income and gains on non-Agency RMBS [7][14] - The Agency strategy generated a modest $0.03 per share of GAAP net income, despite lower interest rate volatility [20] - Longbridge generated $0.10 per share of GAAP net income, although adjusted earnings were slightly negative after excluding certain gains [4][21] Market Data and Key Metrics Changes - The total long Agency RMBS portfolio declined by 22% sequentially to $663 million, reflecting a strategic shift towards higher yielding opportunities [23] - Longbridge originated $205 million across HECM and proprietary loans, a 22% decline from the previous quarter, with a shift in origination channels [24][50] Company Strategy and Development Direction - The company is focusing on expanding its proprietary reverse mortgage business and has initiated a securitization program for these loans [5][29] - There is an emphasis on capitalizing on opportunities in the commercial real estate sector, particularly through the acquisition of non-performing loans at discounts [28][32] - The company aims to balance near-term earnings growth with maintaining capital for opportunistic investments [61] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the potential for growth in closed-end seconds and HELOCs, driven by homeowners' substantial equity and low existing mortgage rates [6][43] - The company is well-positioned for a higher for longer interest rate environment, leveraging its hedging expertise and short-duration high-yielding loan portfolios [36][63] - Management expects Longbridge to contribute positively to ADE in the second quarter, with origination volumes ahead of projections [41][35] Other Important Information - The company completed its first non-QM securitization in 14 months, taking advantage of favorable market conditions [17] - The total economic return for the first quarter was positive at 2.1%, indicating a stable performance despite market challenges [26] Q&A Session Summary Question: Can you provide more details on sourcing closed-end seconds and HELOCs? - Management indicated that these products are primarily sourced from existing proprietary originator relationships, focusing on borrowers with agency first lien mortgages [66][85] Question: What is the company's comfort level regarding the dividend? - Management expressed confidence in maintaining the current dividend level, which is expected to remain stable for some time [69] Question: What is the company's strategy regarding regional banks' involvement in the RTL and commercial transitional space? - Management noted that regional banks lack the necessary expertise for heavy underwriting in this sector, which has allowed the company to maintain its competitive edge [73][74] Question: How does the company hedge against interest rate risks? - Management confirmed that they utilize a combination of interest rate hedges and credit hedges to mitigate risks associated with their portfolios [78][79]

Financial Performance - Net income attributable to common stockholders was $26915 thousand or $032 per share[6] - Adjusted Distributable Earnings was $237 million or $028 per share[30] - Book value per common share was $1369 after total dividends declared of $043 for the quarter[30] Portfolio Composition - Long credit portfolio was $280 billion, a 2% increase from the prior quarter[30] - Long Agency portfolio was $6626 million, a 22% decrease from the prior quarter[30] - Longbridge portfolio was $4410 million, a 20% decrease from the prior quarter, driven by the successful completion of an inaugural proprietary reverse mortgage loan securitization[30] Leverage and Capitalization - Recourse debt-to-equity ratio was 18:1, adjusted for unsettled purchases and sales[30] - Total debt-to-equity ratio was 83:1, including all non-recourse borrowings, which primarily consist of securitization-related liabilities[30] - Cash and cash equivalents of $1875 million, in addition to other unencumbered assets of $5445 million[30] Asset Allocation - Credit accounted for 82% of allocated equity, Agency 7%, and Longbridge 11%[41]

Financial Performance - Net income attributable to common stockholders for Q1 2024 was $26.9 million, or $0.32 per common share, with $43.0 million from the investment portfolio[7] - Adjusted Distributable Earnings for Q1 2024 were $23.7 million, or $0.28 per common share[7] - Net income attributable to common stockholders for Q1 2024 was $40,943, compared to $26,915 in Q4 2023, reflecting an increase of approximately 52%[30] - Longbridge generated net income of $8.7 million for Q1 2024, despite a 20% sequential decrease in the portfolio to $441.0 million[15] - For the three-month period ended March 31, 2024, the total net income was $34,051,000, compared to a net income of $19,325,000 for the three-month period ended December 31, 2023, representing a 76% increase[53] - Adjusted distributable earnings attributable to common stockholders for the three-month period ended March 31, 2024, were $23,726,000, compared to $18,905,000 for the previous period, reflecting a 25% increase[53] - The earnings per share for common stockholders was $0.28 for the three-month period ended March 31, 2024, compared to $0.27 for the previous period, indicating a slight increase of 3.7%[53] Portfolio and Assets - The total long credit portfolio increased to $2.80 billion as of March 31, 2024, up from $2.74 billion at the end of 2023, driven by growth in residential transition loans and commercial mortgage bridge loans[9] - The Agency RMBS portfolio decreased by 22% quarter-over-quarter to $662.6 million, impacted by net sales and principal repayments[12] - Longbridge's proprietary reverse mortgage loans increased to $365,372 as of March 31, 2024, from $329,575 as of December 31, 2023, marking a growth of about 10.9%[23] - The total origination volume for new loans in Q1 2024 was $204,885, a decrease of 21.7% from $262,182 in Q4 2023[25] - The total equity of Longbridge rose to $1,553,156 as of March 31, 2024, compared to $1,535,612 at the end of 2023[26] - The company retained HMBS MSR Equivalent increased to $94,372 as of March 31, 2024, from $88,447 as of December 31, 2023, showing a growth of approximately 6.5%[23] Financial Ratios and Debt - The recourse debt-to-equity ratio was 1.8:1 as of March 31, 2024, adjusted for unsettled purchases and sales[7] - The recourse debt-to-equity ratio improved to 1.8:1 as of March 31, 2024, down from 2.0:1 at December 31, 2023, indicating a stronger equity position[26] - Longbridge's total borrowings decreased slightly to $13,184,958 as of March 31, 2024, compared to $13,358,848 at December 31, 2023[26] Income and Expenses - The company reported a weighted average share price of $0.32 for common stockholders in Q1 2024, up from $0.10 in Q4 2023[30] - The company incurred $5,491,000 in non-capitalized transaction costs and other expenses for the three-month period ended March 31, 2024, compared to $5,855,000 in the previous period, showing a decrease of 6.2%[53] - Total expenses for the quarter were $58,169,000, which included investment-related expenses of $9,555,000[33] Changes in Assets and Liabilities - Total assets decreased from $15,315,930,000 on December 31, 2023, to $15,132,600,000 as of March 31, 2024, representing a decline of approximately 1.2%[44] - Cash and cash equivalents decreased by 18.1%, from $228,927,000 to $187,467,000[44] - Total liabilities decreased from $13,780,318,000 to $13,579,444,000, a reduction of about 1.5%[44] - Total stockholders' equity increased from $1,517,071,000 to $1,533,459,000, reflecting a growth of approximately 1.1%[44] Gains and Losses - The company reported a realized loss of $30,139,000 and an unrealized gain of $95,464,000 during the quarter[33] - The company reported realized gains of $30,874,000 for the three-month period ended March 31, 2024, compared to $19,835,000 for the previous period, marking a 55% increase[53] - Unrealized losses for the same period were $(25,602,000), an improvement from $(14,114,000) in the previous period, indicating a reduction in losses by 81%[53] Future Outlook - The company plans to host a conference call on May 8, 2024, to discuss financial results for the quarter ended March 31, 2024[38]

(EFC) ...

Dragon ClawsEllington Financial (EFC) is a mortgage REIT that invests in residential and commercial mortgages. The company also carries a portfolio of consumer loans. Over a year ago, I wrote about the attractive investment in Ellington’s Series A preferred shares (NYSE:EFC.PR.A). Today, I’m suggesting that investors consider switching from the Series A shares to the Series E preferred shares (NYSE:EFC.PR.E). Other than the company’s common shares, Ellington Financial has seven different income securiti ...

OLD GREENWICH, Conn.--(BUSINESS WIRE)--Ellington Financial Inc. (NYSE: EFC) (the "Company") today announced that its Board of Directors has declared the following: (i) a monthly dividend of $0.13 per share of common stock, payable on April 25, 2024 to common stockholders of record as of March 29, 2024; (ii) a quarterly dividend of $0.421875 per share on the Company's 6.750% Series A Fixed-to-Floating Rate Cumulative Redeemable Preferred Stock, payable on April 30, 2024 to Series A preferred stockholders of ...