Appoints Jeffrey C. Walraven Interim Chief Financial OfficerBRANFORD, Conn., Dec. 13, 2024 (GLOBE NEWSWIRE) -- Sachem Capital Corp. (NYSE: SACH) (the “Company”), a mortgage REIT that specializes in originating, underwriting, funding, servicing, and managing a portfolio of loans secured by first mortgages on real property, announced today that it is appointing board of directors’ member and audit committee member Jeffrey C. Walraven, Interim Chief Financial Officer. Nicholas Marcello, the Company’s Chief Fin ...

Company Performance - Sachem Capital Corp. reported a quarterly loss of $0.13 per share, missing the Zacks Consensus Estimate of $0.09, and compared to earnings of $0.12 per share a year ago, representing an earnings surprise of -244.44% [1] - The company posted revenues of $14.79 million for the quarter ended September 2024, missing the Zacks Consensus Estimate by 1.75%, and down from $17.53 million year-over-year [2] - Over the last four quarters, Sachem Capital has not surpassed consensus EPS estimates, although it has topped consensus revenue estimates twice [2] Stock Performance - Sachem Capital shares have declined approximately 47.9% since the beginning of the year, contrasting with the S&P 500's gain of 25.5% [3] - The current consensus EPS estimate for the upcoming quarter is $0.09 on revenues of $15.44 million, and for the current fiscal year, it is $0.17 on revenues of $62.15 million [7] Industry Outlook - The Financial - Miscellaneous Services industry, to which Sachem Capital belongs, is currently in the top 28% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that industry performance can significantly impact individual stock performance [5][8]

Core Viewpoint - Sachem Capital Corp. has acquired a 20% membership interest in Shem Creek Capital, LLC for $5 million, with an option to acquire an additional 10% by early 2027, indicating a strategic investment in the private credit funds managed by Shem Creek [1][2]. Group 1: Investment Details - The acquisition amount for the 20% interest in Shem Creek Capital is $5 million [1]. - Sachem has invested approximately $47 million with Shem over the past four years, generating attractive double-digit returns with no losses to date [2]. - The investment in Shem Creek is expected to diversify Sachem's business model and expand its asset management capabilities [2]. Group 2: Company Overview - Sachem Capital Corp. operates as a mortgage REIT, focusing on originating, underwriting, funding, servicing, and managing a portfolio of loans secured by first mortgages on real property [3]. - The company provides short-term secured, nonbanking loans to real estate investors for property acquisition, renovation, and development [3]. - Sachem's primary underwriting criteria include a conservative loan-to-value ratio, with loans secured by first mortgage liens on real estate [3].

BirdImages/E+ via Getty Images Sachem Capital (NYSE:SACH) last declared a quarterly cash dividend of $0.08 per share, a 27.3% dip from is prior quarter and $0.32 per share annualized for a 13.28% dividend yield. The dividend cut was coming, flagged in my last article on the mortgage R.EIT. SACH has now shed 30% of its value over the last 1-year, led by a sustained dip in book value which stood at roughly $3.76 per share at the end of the fiscal 2024 second quarter. Critically, there might be more dividend c ...

BRANFORD, Conn., Aug. 26, 2024 (GLOBE NEWSWIRE) -- Sachem Capital Corp. (the "Company" or "Sachem Capital"), announced today that its Board of Directors (the "Board") has appointed Jeffery C. Walraven to the Board, effective August 21, 2024. Mr. Walraven will also stand for election at the Company's 2024 Annual Meeting of Shareholders. "We are pleased to welcome Jeffery Walraven to our Board," said John L. Villano, CEO and Chairman of the Board of Sachem Capital. "Jeff's deep experience in the real estate i ...

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Financial Data and Key Metrics Changes - For Q2 2024, the company recorded revenue of approximately $15.1 million, a decrease from $16.3 million in the same quarter of the prior year [7] - Total operating costs and expenses for Q2 2024 were approximately $18.5 million, compared to approximately $10.3 million in the prior-year quarter [7] - The net loss attributable to common shareholders for Q2 2024 was approximately $4.1 million, compared to net income of approximately $4.8 million in the prior-year period [9] Business Line Data and Key Metrics Changes - Revenue from fee income related to loans was $2.1 million, reflecting a notable change from the comparable period in 2023 due to reduced origination volume [5] - The company modified or extended a total of 26 loans during the quarter, resulting in gross fee income of approximately $1 million [11] Market Data and Key Metrics Changes - The company added an additional CECL provision for credit losses of approximately $8.5 million, reflecting ongoing challenges in the commercial real estate market [8] - The allowance for credit losses for mortgages receivable stood at $14.4 million, approximately 3% of the unpaid principal balance [8] Company Strategy and Development Direction - The company is maintaining a prudent approach towards balance sheet management and lending activities, postponing earnings growth to protect capital [4] - The focus remains on single-family and multifamily residential assets in growing markets, with a selective approach to new loan originations [11] - The company aims to uphold liquidity management and be highly selective in underwriting until market conditions improve [14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the current environment, citing the need for patience until markets stabilize and capital availability improves [4] - The company anticipates that 2025 may present better opportunities for growth as current market conditions are challenging [22] Other Important Information - As of June 30, 2024, the company had total assets of $586.3 million, including $10.6 million in cash and cash equivalents [13] - The Board declared a quarterly dividend of $0.08 per share for shareholders of record as of July 29, 2024, reflecting a cautious approach to dividend distribution [10] Q&A Session Summary Question: Plans for refinancing the $34.5 million loan due in December - Management indicated they have approximately $30 million in cash on hand to address the loan maturity, which positions them well [15] Question: Interest rates for potential new debt issuance - Management noted that recent debt offerings were not accretive to the business model, leading to a cautious approach towards raising new debt [17] Question: Details on credit loss reserves - The increase in reserves was attributed to ongoing market conditions and asset valuation declines, with specific reserves against non-performing loans [18] Question: Dividend policy moving forward - Management stated that the dividend has been scaled down due to liquidity constraints, with hopes to return to a stronger dividend in the future [25] Question: Expectations for non-accrual loans and foreclosures - Management acknowledged a slight increase in non-accrual loans and foreclosures, but emphasized a cautious approach to managing these assets [21] Question: Future capital structure considerations - Management is considering a more deleveraged balance sheet and is focused on maintaining liquidity while being selective in new lending [32]

Sachem Capital Corp. (SACH) came out with a quarterly loss of $0.09 per share versus the Zacks Consensus Estimate of $0.11. This compares to earnings of $0.11 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of -181.82%. A quarter ago, it was expected that this company would post earnings of $0.09 per share when it actually produced earnings of $0.08, delivering a surprise of -11.11%. Over the last four quarters, the company has s ...

Introduction Yield to Maturity 11.88% 11.68% 11.75% 11.57% 8.23% 8.04% 6.07% 5.26% Sachem Capital Financial Results CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME PM Images Sachem Capital (NYSE:SACH) is a real estate investment trust that specializes in short-term mortgage loans to real estate investors. Recently, the company's shares experienced some volatility, related in part to the 27% reduction in its dividend. With common shares yielding just over 11%, income investors should consider one of many bab ...

Core Viewpoint - Sachem Capital Corp. has declared a quarterly dividend of $0.08 per share, payable on August 6, 2024, to shareholders of record as of July 29, 2024 [1] Company Overview - Sachem Capital Corp. operates as a mortgage REIT, focusing on originating, underwriting, funding, servicing, and managing a portfolio of loans secured by first mortgages on real property [3] - The company provides short-term secured, nonbanking loans to real estate investors for property acquisition, renovation, development, rehabilitation, or improvement, with a primary underwriting criterion of a conservative loan-to-value ratio [3] - Loans are secured by first mortgage liens on real estate and are personally guaranteed by the principal(s) of the borrower, with properties typically classified as residential or commercial real estate [3] - In addition to lending activities, the company also engages in opportunistic real estate purchases [3]