New York Mortgage Trust(US:NYMT)2025-08-01 20:53Investment Portfolio - As of June 30, 2025, the total investment portfolio amounted to $8,603,269,000, reflecting an increase of $338,604,000 from the previous quarter[271]. - The company acquired $914,732,000 in new investments during the quarter, while repayments totaled $558,534,000[271]. - The total investment securities available for sale and TBAs reached $5,119,765,000, reflecting an increase of $472,953,000 from the previous quarter[271]. - As of June 30, 2025, the total investment portfolio carrying value was $8,609,825, an increase from $7,392,338 as of December 31, 2024, representing a growth of approximately 16.5%[308][309]. - The company acquired approximately $503.7 million of Agency investments with an average coupon of 5.29% during the second quarter of 2025[305]. - The total investment securities portfolio increased to $6.88 billion as of June 30, 2025, compared to $5.28 billion as of December 31, 2024[381]. Residential Loans - Residential loans decreased to $2,826,644,000, down from $2,954,018,000, representing a reduction of approximately 4.3%[271]. - The company’s residential loans totaled $4,026,027 thousand as of June 30, 2025, an increase from $3,841,738 thousand as of December 31, 2024[365]. - The total unpaid principal balance of acquired residential loans was $2,918,904,000, an increase from $3,017,702,000 as of December 31, 2024[367]. - The company purchased approximately $78.0 million and $228.7 million of residential loans from Constructive during the three and six months ended June 30, 2025, respectively[370]. - The weighted average loan-to-value (LTV) at purchase for the acquired residential loans was 66% as of June 30, 2025, compared to 62% as of December 31, 2024[373]. - The current average FICO score at purchase increased to 791 as of June 30, 2025, from 767 as of December 31, 2024[373]. - The delinquency status showed that 92.4% of loans were current as of June 30, 2025, up from 91.2% as of December 31, 2024[369]. Financial Performance - The company generated net income attributable to common stockholders of $0.30 per share and earnings available for distribution of $0.42 per share for the first half of 2025, indicating continued momentum in portfolio growth and income generation[277]. - Interest income for the three months ended June 30, 2025, was $140,901, up 55.3% from $90,775 in the same period of 2024[313]. - Net interest income for the six months ended June 30, 2025, was $69,545, an increase of 88.5% compared to $36,907 for the same period in 2024[313]. - The Company reported a net income attributable to the Company of $8,546 for the three months ended June 30, 2025, compared to a net loss of $(15,589) in the same period of 2024, indicating a turnaround of $24,135[313]. - The yield on average interest-earning assets remained stable at 6.48% for both the three and six months ended June 30, 2025[301]. - Adjusted interest income for Q2 2025 was $132,479,000, an increase of approximately $48.4 million compared to Q2 2024[337]. - Adjusted net interest income for Q2 2025 was $40,108,000, compared to $27,334,000 in Q2 2024, reflecting a significant increase[337][338]. Leverage and Debt - As of June 30, 2025, the company's Recourse Leverage Ratio and Portfolio Recourse Leverage Ratio increased to 3.8x and 3.6x, respectively, from 3.0x and 2.9x as of December 31, 2024, primarily due to financing of highly liquid Agency RMBS[281]. - The company completed the issuance of $82.5 million of 9.125% Senior Notes due 2030 in January 2025, and $90.0 million of 9.875% Senior Notes due 2030 in July 2025, predominantly used to acquire targeted assets[282]. - Total liabilities included repurchase agreements with a carrying value of $(4,917,495) as of June 30, 2025, compared to $(4,012,225) at the end of 2024, indicating a rise in leverage[308][309]. - The company had $4.6 billion outstanding under repurchase agreements, with a weighted average interest rate of 4.49%[386]. - The average balance of repurchase agreements increased from $1.85 billion in December 2023 to $4.51 billion in June 2025[387]. Economic Environment - The U.S. economy grew at an annualized rate of 3.0% in Q2 2025, compared to a 0.5% decrease in Q1 2025, while inflation remains persistently above the Federal Reserve's target of 2%[287]. - The U.S. unemployment rate was 4.1% at the end of June 2025, down from 4.2% at the end of March 2025, with average hourly earnings rising 3.7% year-over-year[288]. - The Federal Reserve cut the target range for the federal funds rate three times in 2024 for a total reduction of 100 basis points, but uncertainty remains regarding future adjustments due to elevated inflation and economic conditions[289]. - The probability of a recession in the next twelve months was reported at 33% in July 2025, down from 45% in April 2025, reflecting improved GDP forecasts despite ongoing trade uncertainties[290]. Strategic Repositioning - The company is repositioning its business by opportunistically disposing of joint venture equity investments in multi-family properties[271]. - The company continues to execute its strategic repositioning, including the wind-down of multi-family joint venture equity investments, reducing exposure to $17.4 million as of June 30, 2025[279]. - The company executed a strategic repositioning by disposing of certain joint venture equity investments and acquiring assets to expand interest income levels[346]. Stockholder Returns - The company intends to make distributions to stockholders to comply with REIT status requirements and minimize corporate income tax[456]. - The company repurchased 231,200 shares of its common stock for a total cost of approximately $1.5 million, representing an average repurchase price of $6.50 per common share during the three and six months ended June 30, 2025[453]. - As of June 30, 2025, $188.2 million of the approved amount remained available for the repurchase of shares of the Company's common stock under the common stock repurchase program[453].