TPG RE Finance Trust(TRTX) - 2024 Q4 - Annual Results

Financial Performance - Net income attributable to common stockholders for Q4 2024 was $6.9 million, or $0.09 per diluted common share[7]. - Net income attributable to common stockholders for the year ended December 31, 2024, was $59,666,000, compared to $6,909,000 for the three months ended December 31, 2024[41]. - Distributable earnings before realized losses for Q4 2024 were $17.6 million, or $0.22 per diluted common share[7]. - Distributable earnings before realized losses from loan sales per common share, basic, was $1.08 for the year ended December 31, 2024, compared to $0.22 for the three months ended December 31, 2024[41]. - Interest income for the three months ended December 31, 2024, was $68,992,000, while interest expense was $44,312,000, resulting in a net interest income of $24,680,000[43]. - The company reported a net income of $10,682,000 for the three months ended December 31, 2024, compared to $6,381,000 for the same period in 2023[43]. - Total stockholders' equity as of December 31, 2024, was $1,114,041,000, down from $1,124,599,000 as of September 30, 2024[41]. - The book value per common share increased to $11.41 as of December 31, 2024, from $11.27 as of September 30, 2024[41]. - The weighted-average common shares outstanding, diluted, for the year ended December 31, 2024, was 79,888,044[41]. - The company declared dividends of $0.24 per common share for the three months ended December 31, 2024, consistent with the previous year[43]. Loan Portfolio and Performance - Total loan investment portfolio reached $3.4 billion with a weighted average all-in yield of 8.26%[7]. - The company originated two first mortgage loans with total loan commitments of $242.0 million during Q4 2024[7]. - Total loan repayments for the year ended December 31, 2024, amounted to $673.4 million, including $609.6 million of full repayments across 14 loans[7]. - Total loan originations for Q4 2024 reached $242.0 million, with a weighted average interest rate of Term SOFR + 3.33%[19]. - Total loan repayments in Q4 2024 amounted to $110.2 million, including full repayments of $94.7 million[19]. - The loan portfolio's weighted average loan-to-value (LTV) ratio was 63.1% as of December 31, 2024[18]. - The company reported an allowance for credit losses of $64.0 million, a decrease of $5.3 million from the previous quarter[26]. - The average risk rating for the loan portfolio remained stable at 3.0 as of December 31, 2024[24]. - The company experienced a realized loss on loan write-offs related to loan sales of $9,729,000 for the year ended December 31, 2024[41]. - The company evaluates the risk of all loans quarterly and assigns a risk rating on a 5-point scale, with "1" being very low risk and "5" indicating default/loss likely[50]. - The company classifies loans based on property types, including mixed-use and life science, with specific criteria for each classification[50]. Financial Position and Liquidity - The company maintained substantial liquidity with $320.8 million available, including $190.2 million in cash[7]. - Debt-to-equity ratio improved to 2.20x as of December 31, 2024, down from 2.53x a year earlier[7]. - The total financing capacity of the company is $4.0 billion, with an outstanding principal balance of $2.5 billion[30]. - The expected debt maturities indicate a significant portion of financing is due in 2026 and 2027[31]. - The total leverage ratio includes total outstanding borrowings plus nonconsolidated senior interests sold or co-originated, divided by total stockholders' equity at period end[49]. - The debt-to-equity ratio is calculated as total outstanding borrowings less cash, divided by total stockholders' equity at period end[49]. Financing and Investment Strategy - The company increased non-recourse, non-mark-to-market financing by $72.0 million during the year[7]. - The weighted average credit spread for non-mark-to-market financing is 2.00%[30]. - The company offers various loan categories, including bridge loans, light transitional loans, moderate transitional loans, and construction loans, each with specific funding conditions[49]. - The company focuses on properties with diverse tenancy and stable cash flow to mitigate risks associated with loan performance[50]. Company Overview - TPG RE Finance Trust, Inc. is a commercial real estate finance company that originates and acquires mortgage loans secured by institutional properties located in primary and select secondary markets[51]. - The company is externally managed by TPG RE Finance Trust Management, L.P., part of TPG Real Estate investment platform of global alternative asset management firm TPG Inc.[51]. - TPG RE Finance Trust, Inc. is listed on the New York Stock Exchange under the symbol TRTX[53]. - For more information, the company can be contacted through its investor relations team[53].