Financial Performance - For the nine months ended September 30, 2023, the net loss was $66.4 million, or $1.58 per share, compared to a net loss of $293.4 million, or $8.31 per share for the same period in 2022, indicating a significant improvement [141]. - For the three months ended September 30, 2023, the net earnings were $(80,132) thousand, resulting in a loss per share of $(1.68) compared to a net earnings of $10,249 thousand and a gain per share of $0.25 for the previous quarter [146]. - The nine months ended September 30, 2023, reported net earnings of $(66,353) thousand, with a loss per share of $(1.58), an improvement from $(293,379) thousand and a loss per share of $(8.31) for the same period in 2022 [146]. Interest Income and Expense - Interest income for the nine months ended September 30, 2023, was $128.0 million, an increase of 13.6% from $112.7 million in the same period of 2022 [141]. - Interest expense surged to $149.6 million for the nine months ended September 30, 2023, compared to $32.2 million in the same period of 2022, reflecting a substantial increase of 364.5% [141]. - The net interest income (expense) for the nine months ended September 30, 2023, was $(21.6) million, a decrease of 126.8% from $80.5 million in the same period of 2022 [141]. Derivative Instruments - Realized and unrealized gains and losses on derivative instruments for the three months ended September 30, 2023, included a gain of $142,042 thousand attributed to funding hedges [158]. - The company recognized a total of $194,253 thousand in gains on derivative instruments for the nine months ended September 30, 2023, with $67,133 thousand attributed to current periods [158]. - The company has reclassified certain expenses related to derivative instruments, impacting the presentation of net earnings and gains on derivative instruments [148]. Share Repurchase and Equity - The company repurchased a total of 373,041 shares at an aggregate cost of approximately $4.0 million during the nine months ended September 30, 2023, at a weighted average price of $10.62 per share [138]. - As of September 30, 2023, the company had issued a total of 13,190,039 shares under the March 2023 Equity Distribution Agreement for gross proceeds of approximately $129.8 million [134]. - The stock repurchase program has been authorized for up to 6,183,601 shares, representing approximately 18% of the company's outstanding shares as of October 2022 [137]. Economic Indicators - The advanced GDP reading for Q3 2023 was 4.9%, indicating strong economic resilience despite ongoing tightening by the Federal Reserve [220]. - Consumer spending remains robust, supported by a strong labor market and residual savings from pandemic-related stimulus [221]. - The Fed's dot plot indicated a funds rate 50 basis points higher at the end of 2024 compared to the previous estimate, reflecting a strong economy [223]. Agency RMBS Performance - Agency RMBS generated a return of -4.1% in Q3 2023, with the 30-year fixed rate sector returning -4.6% [226]. - The Agency RMBS sector underperformed both investment grade and sub-investment grade corporates in Q3 2023 [227]. - The actual balance sheet reduction of Agency RMBS trended below the cap during 2023 due to rising interest rates and slowed prepayment speeds [228]. Risk Management - The company utilizes derivative and hedging instruments to manage interest rate risk, which may affect future financial performance [151]. - The company may enter into interest rate swaps to protect its net interest margin against increases in short-term interest rates [241]. - The company faces liquidity risk due to financing long-term assets with shorter-term borrowings, which could lead to adverse changes in liquidity if the value of pledged Agency RMBS decreases [268]. Operating Expenses - Total operating expenses for the nine months ended September 30, 2023, were approximately $14.5 million, compared to $13.3 million for the same period in 2022, indicating an increase [187]. - The total expenses for the nine months ended September 30, 2023, were $14,467,000, compared to $13,261,000 in 2022, representing an increase of 9.1% [192]. Cash and Liquidity - Cash and cash equivalents stood at $158.6 million as of September 30, 2023, with cash flows generated from RMBS principal and interest payments totaling $353.4 million [216]. - As of September 30, 2023, the company had unrestricted cash and cash equivalents of $158.6 million and unpledged securities of approximately $5.1 million available for margin calls and corporate purposes [268]. Management and Governance - The management agreement with Bimini Advisors, LLC has been renewed through February 20, 2024, with automatic one-year extension options thereafter [188]. - The effectiveness of the company's disclosure controls and procedures was confirmed by the CEO and CFO as of the evaluation date [273].

Financial Data and Key Metrics Changes - The total return for Q3 2023 was a negative 15.77%, with dividends paid at $0.48, unchanged from the previous quarter [4] - Net income for the quarter was a loss of $1.68 per share compared to income of $0.25 per share last year, and book value decreased over 20% from $11.16 to $8.92 [22] - Economic leverage ratio increased from 8.1 million to 8.5 million but was later reduced to about 7.4% [23][61] Business Line Data and Key Metrics Changes - The average coupon of the portfolio increased from 3.83% to 4.05%, and the realized yield rose from 3.81% to 4.51% [11] - The portfolio size was approximately $3.65 billion, down 18% from the average of Q3 [4] Market Data and Key Metrics Changes - The mortgage market has faced significant challenges, with spreads widening and volatility remaining high [27][28] - The primary-secondary spread is trending downward as mortgage originators attempt to maintain their ability to generate mortgages [10] Company Strategy and Development Direction - The company aims to diversify its portfolio across different coupon rates to avoid excessive concentration [18][30] - The focus is on maintaining high hedge levels due to rising funding costs and the current market environment [18][56] Management's Comments on Operating Environment and Future Outlook - Management expressed that the current mortgage market environment is challenging and expected to remain so [22][28] - There is a belief that a softening of the economy may occur, which could lead to better performance of certain securities [31][59] Other Important Information - The company raised about $80 million through its ATM program to enhance its portfolio [4][11] - Liquidity is currently at the low end of the range, around 30% to 40%, and efforts are being made to improve it [24][61] Q&A Session Summary Question: What is the strategy for diversification within the coupon stack? - The company plans to maintain a slight bias towards lower coupons due to their favorable characteristics, while also considering higher coupons for better carry [39][40] Question: Have there been any margin calls on repo funding this quarter? - The company experiences daily margin call activity, which is managed internally now [48] Question: What flexibility exists regarding the dividend? - The dividend was adjusted to align with earnings, and the current rate of $0.12 seems reasonable given the market conditions [50][68] Question: What is the current status of book value and economic leverage? - Book value has decreased significantly, and economic leverage is down to 7.4% from 8.5% [69]

8 Q3 2023 Earnings Supplemental Materials October 27, 2023 1 Disclaimers Forward-Looking Information This presentation contains forward-looking statements and information. Statements that are not hi ...

8 Q2 2023 Earnings Supplemental Materials July 28, 2023 1 Disclaimers Forward-Looking Information This presentation contains forward-looking statements and information. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. Forward-looking statements include statements preceded by, followed by or that include the words "may," "could," "would," "should," "believe," "expect," "anticipate," "plan," "estimate," "target," "project," "int ...

Orchid Island Capital, Inc. (NYSE:ORC) Q2 2023 Earnings Conference Call July 28, 2023 10:00 AM ET Company Participants Robert Cauley - Chairman and CEO Hunter Haas - CFO Conference Call Participants Matthew Erdner - JonesTrading Mikhail Goberman - JMP Securities Christopher Nolan - Ladenburg Thalmann Operator Good morning and welcome to the Second Quarter 2023 Earnings Conference Call for Orchid Island Capital. This call is being recorded today, July 28, 2023. At this time, the Company would like to remind ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 ☐ 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: 001-35236 Orchid Island Capital, Inc. (Exact name of registrant as specified in its charter) (State or ot ...

Orchid Island Capital, Inc. (NYSE:ORC) Q1 2023 Results Conference Call April 28, 2023 10:00 AM ET Company Participants Robert Cauley - Chairman and CEO Hunter Haas - CFO Conference Call Participants Jason Stewart - Jones Trading Mikhail Goberman - JMP Securities Christopher Nolan - Ladenburg Thalmann Operator Good morning and welcome to the First Quarter 2023 Earnings Conference Call for Orchid Island Capital. This call is being recorded today, April 28, 2023. At this time, the Company would like to remind ...

For the quarterly period ended March 31, 2023 Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 ☐ 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: 001-35236 Orchid Island Capital, Inc. (Exact name of registrant as specified in its charter) Maryland 27 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 ☐ 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: 001-35236 Orchid Island Capital, Inc. (Exact name of registrant as specified in its charter) Maryland 27-3269228 (I.R.S. Employer Identification ...

Orchid Island Capital, Inc. (NYSE:ORC) Q4 2022 Results Conference Call February 23, 2023 10:00 AM ET Company Participants Robert Cauley - Chairman and CEO Hunter Haas - CFO and CIO and Director Conference Call Participants Jason Stewart - JonesTrading Mikhail Goberman - JMP Securities Christopher Nolan - Ladenburg Thalmann Operator Good morning and welcome to the Fourth Quarter 2022 Earnings Conference Call for Orchid Island Capital. This call is being recorded today, February 24, 2023. At this time, the Co ...