Financial Data and Key Metrics Changes - The company reported distributable earnings of $40.1 million or $0.39 per share, representing a 9.3% return on equity (ROE) [5][12] - The fully converted book value declined from $1,725 at the end of Q4 to $1,650, primarily due to trading losses in the agency ARM portfolio [12][13] - The net leverage decreased to 2.95 times, with recourse leverage at 1.3 times, while leverage on the core book remained at 2.5 times [13] Business Line Data and Key Metrics Changes - The total core portfolio ended the quarter at $4.6 billion, with a well-diversified book and only one loan on the watch list [7][8] - The company reduced its residential ARMs exposure by $2.6 billion during the quarter, ending with a principal balance of $1.9 billion [9][10] - The company closed $603 million in loan commitments during the quarter, with a net portfolio growth of $319 million [14][15] Market Data and Key Metrics Changes - The company experienced significant trading losses of $88.4 million related to the ARMs portfolio, with a hedging gain of $30 million, resulting in a net effect of $58 million [18] - The market value of the ARMs portfolio decreased from $4.6 billion at year-end to $1.9 billion by the end of Q1 [17][18] Company Strategy and Development Direction - The company is transitioning from residential ARMs to commercial loans, aiming for higher earnings potential and lower volatility [10][11] - The company plans to continue its active issuance in the CLO market, having closed its largest deal to date at $1.2 billion [8][15] - The focus remains on high-quality, newer vintage MultiFamily assets while exploring opportunities in non-MultiFamily sectors [22][23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the transition from ARMs to commercial real estate, expecting to liquidate the ARMs portfolio ahead of schedule [10][11] - The company noted a slowdown in transactional activity in the MultiFamily sector due to rising interest rates, leading to negative leverage [26][22] - Management highlighted a strong credit culture with no credit losses on loans originated over the past 22 quarters [23] Other Important Information - The manager, Benefit Street Partners, has been actively buying shares, spending approximately $21 million to purchase about 1.5 million shares [11] - The company plans to initiate a $65 million stock purchase program once the current program is completed, aimed at supporting the stock price [41] Q&A Session Summary Question: Market reception to higher rates and MultiFamily assets - Management noted a slowdown in transactional activity in the MultiFamily sector, with buyers experiencing negative leverage [26] Question: Drawdown schedule for outstanding commitments - The projected funding range for future commitments is between $45 million to $75 million, depending on project execution [28] Question: Collateral mix of origination activity - The company is looking to diversify into non-MultiFamily assets, including industrial and retail, while maintaining a focus on credit quality [30] Question: Impact of stock purchase plans on balance sheet - The company plans to support the stock as long as it trades below book value, focusing on maintaining shareholder value [41]

Financial Performance - The book value per share decreased to $15.24 as of March 31, 2022, down from $16.75 as of December 31, 2021, reflecting a decline of about 9.0%[179] - The Company’s total stockholders' equity applicable to common stock was $677.9 million as of March 31, 2022, compared to $736.5 million as of December 31, 2021[179] - Interest income for Q1 2022 totaled $75.3 million, an increase of $33.1 million from $42.2 million in Q1 2021, driven by higher average carrying values of real estate debt and securities[215] - Net interest income for Q1 2022 was $52.8 million, compared to $30.9 million in Q1 2021, reflecting a significant increase in interest-earning assets[213] - Net interest income for the three months ended March 31, 2022, was $52.8 million, a decrease from $53.1 million for the three months ended December 31, 2021, reflecting a spread of 2.5% compared to 2.8%[218] - Distributable Earnings for the three months ended March 31, 2022, were $12.1 million, down from $26.6 million in the prior year[262] - Run-Rate Distributable Earnings for Q1 2022 were $40.1 million, compared to $26.6 million in Q1 2021[262] - The company reported a GAAP net income of $(22.5) million compared to $30.1 million for the same period in 2021[262] - The company reported a GAAP Common ROE of (7.2)% for Q1 2022, down from 11.8% in Q1 2021[262] Asset and Loan Portfolio - As of March 31, 2022, the total carrying value of commercial mortgage loans held for investment was $4,530.5 million, an increase from $4,211.1 million as of December 31, 2021, representing a growth of approximately 7.6%[182] - The value of the residential ARM Agency Securities portfolio decreased to $1.9 billion as of March 31, 2022, down from $4.6 billion as of December 31, 2021, indicating a reduction of approximately 58.7%[182] - The Company’s real estate securities, trading, measured at fair value, were valued at $1,949.3 million as of March 31, 2022, down from $4,566.9 million as of December 31, 2021[182] - The company held 166 commercial mortgage loans for investment and nine for sale, measured at fair value as of March 31, 2022[215] - The company has diversified its portfolio across various property types, including hospitality, multifamily, and office spaces[201] - The company has maintained a diversified loan portfolio across various property types, including office, multifamily, and hospitality[203] - The company has a significant focus on multifamily properties, with 70% of the total par value allocated to this sector[203] - The company has a significant focus on multifamily properties, with 30 out of 40 senior debts categorized under this type[206] Debt and Financing - Senior Debt 1 has a par value of $4.849 billion with an interest rate of 1 month LIBOR + 4.00% and an effective yield of 5.0%[201] - Senior Debt 2 has a par value of $57.075 billion with an interest rate of 1 month LIBOR + 5.19% and an effective yield of 6.2%[201] - The loan-to-value ratio for Senior Debt 1 is 77.0%, indicating a relatively high leverage[201] - The effective yield for Senior Debt 36 is 6.5% with a loan-to-value ratio of 87.4%, suggesting strong asset backing[201] - The effective yield on senior debt ranges from 3.0% to 9.5%, with an average yield of approximately 5.3%[203] - The loan-to-value (LTV) ratios for the senior debt portfolio vary, with the highest at 84.2% and the lowest at 53.9%[203] - The company is actively managing its debt portfolio, with a notable number of loans having LTV ratios above 70%[203] - The company expects to operate at a leverage level of between one to three times the book value of equity, with plans to use additional debt and equity financing as a source of capital[226] - The Company incurred $0.2 million of interest expense on a term loan with Sterling National Bank for the three months ended March 31, 2022, with an outstanding participation balance of $37.9 million[233] - The average interest rate on junior subordinated notes as of March 31, 2022, was 5.29%, with total borrowings outstanding of $98.62 million[233] Market and Investment Strategy - The company does not intend to continue investing in ARM Agency Securities or RMBS, focusing instead on reinvesting cash and proceeds into other segments[212] - Future outlook indicates a cautious approach to new debt issuance, focusing on maintaining favorable LTV ratios and effective yields[203] - The company is exploring opportunities for market expansion, particularly in the multifamily sector, to enhance its debt portfolio performance[203] - Future strategies may include further market expansion and potential acquisitions in the multifamily sector[206] Operational Expenses and Cash Flow - Total expenses from operations for Q1 2022 were $20.1 million, an increase from $11.9 million in Q1 2021, attributed to the Capstead acquisition and increased professional fees[215] - Net cash used in operating activities for Q1 2022 was $32.3 million, driven by a net loss of $22.5 million and net outflows of $74.2 million related to commercial mortgage loans[248] - Net cash provided by investing activities for Q1 2022 was $2,262.9 million, primarily from the sale of real estate securities totaling $2,190.1 million[248] - Net cash used in financing activities for Q1 2022 was $2,269.2 million, mainly due to net repayments on CMBS MRAs of $2,464.2 million[248] Shareholder Returns and Capital Management - The company declared a quarterly cash dividend of $0.355 per share on common stock and Series F Preferred Stock for Q1 2022, equivalent to $1.42 per annum[245] - The company's Board of Directors authorized a $65.0 million share repurchase program, effective after the completion of a $35.0 million program related to a merger[253] - The company raised $1.2 billion of capital through the issuance of BSPRT 2022-FL8 Issuer, Ltd. during the three months ended March 31, 2022[228] Risk Management - The company is exposed to credit risk, with default rates influenced by various economic factors, and manages this risk through careful underwriting[263] - The company must distribute at least 90% of its taxable income to maintain its REIT status, avoiding U.S. federal income tax on distributed income[250]

Franklin BSP Realty Trust, Inc. (NYSE:FBRT) Q4 2021 Earnings Conference Call February 24, 2022 10:00 AM ET Company Participants Lindsey Crabbe – Vice President of Investor Relations Richard Byrne – Chairman and CEO Jerry Baglien – Chief Financial Officer and Chief Operating Officer Mike Comparato – Head of Commercial Real Estate Conference Call Participants Steve DeLaney – JMP Securities Jason Stewart – Jones Trading Operator Good morning, and welcome to the Franklin BSP Realty Trust Fourth Quarter 2021 Ear ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 OR ☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to __________ Commission file number: 000-55188 FRANKLIN BSP REALTY TRUST, INC. (Exact name of registrant as specified in its charter) | --- | --- | --- | ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2021 OR ☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 000-55188 FRANKLIN BSP REALTY TRUST, INC. (Exact name of registrant as specified in its charter) Maryland 46-1406086 (State or Other Jurisdiction of Incorporation ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2021 OR ☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 000-55188 BENEFIT STREET PARTNERS REALTY TRUST, INC. (Exact name of registrant as specified in its charter) Maryland 46-1406086 (State or Other Jurisdiction of Incorpo ...

FRANKLIN TEMPLETON BENEFIT STREET CAPSTEAD R REALTY TRUST Franklin BSP Realty Trust formed through merger of Benefit Street Partners Realty Trust, Inc. and Capstead Mortgage Corporation July 26, 2021 Important Information ADDITIONAL INFORMATION ABOUT THE MERGER: In connection with the proposed merger, Benefit Street Partners Realty Trust ("BSPRT") intends to file a registration statement on Form S-4 with the SEC that will include a proxy statement of Capstead Mortgage Corporation ("CMO") and will also const ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q Securities registered pursuant to Section 12(b) of the Act: Title of each class Trading Symbol(s) Name of each exchange on which registered None (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2021 OR ☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 000-55188 BENEFIT STR ...

Capstead Mortgage Corporation (CMO) Q1 2021 Earnings Conference Call April 29, 2021 10:00 AM ET Company Participants Lindsey Crabbe - Manager, IR Phil Reinsch - President and CEO Robert Spears - EVP and CIO Lance Phillips - SVP and CFO Conference Call Participants Steve DeLaney - JMP Securities Jason Stewart - Jones Trading Operator Good morning, and welcome to the Capstead Mortgage Corporation First Quarter 2021 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions] ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2020 OR ☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to __________ Commission file number: 000-55188 BENEFIT STREET PARTNERS REALTY TRUST, INC. (Exact name of registrant as specified in its charter) | --- | ...