Orchid Island Capital(ORC) - 2025 Q3 - Quarterly Results

Estimated Third Quarter 2025 Results and October 2025 Dividend Announcement This section presents estimated Q3 2025 financial results, covering dividends, book value, net income, and total return on equity October 2025 Monthly Dividend Declaration Orchid Island Capital declared a $0.12 per share monthly dividend for October 2025, payable November 26, 2025, with the next dividend announcement on November 12, 2025 October 2025 Monthly Dividend Details | Metric | Value | | :--- | :--- | | October 2025 Monthly Dividend | $0.12 per share | | Payment Date | November 26, 2025 | | Record Date | October 31, 2025 | | Ex-dividend Date | October 31, 2025 | - The Company plans on announcing its next common stock dividend on November 12, 2025[2] REIT Distribution Requirements To maintain REIT status, the Company must distribute at least 90% of REIT taxable income annually, with undistributed income subject to taxes and no guarantee of future distributions - To qualify as a real estate investment trust ("REIT"), the Company must distribute annually to its stockholders an amount at least equal to 90% of its REIT taxable income[3] - The Company will be subject to income tax on taxable income that is not distributed and to an excise tax to the extent that a certain percentage of its taxable income is not distributed by specified dates[3] - The Company has not established a minimum distribution payment level and is not assured of its ability to make distributions to stockholders in the future[3] Shares Outstanding The number of common shares outstanding increased significantly from June 30, 2025, to October 15, 2025 Common Shares Outstanding | Date | Shares of Common Stock Outstanding | | :--- | :--- | | October 15, 2025 | 151,712,160 | | September 30, 2025 | 148,239,401 | | June 30, 2025 | 126,566,926 | Estimated Book Value Per Share Estimated book value per share as of September 30, 2025, was $7.33, based on preliminary $1,086.1 million equity and 148,239,401 shares outstanding, subject to review Estimated Book Value Per Share (as of Sep 30, 2025) | Metric | Value (as of Sep 30, 2025) | | :--- | :--- | | Estimated Book Value Per Share | $7.33 | | Preliminary Estimated Total Stockholders' Equity | ~$1,086.1 million | | Shares of Common Stock Outstanding | 148,239,401 | - These figures and the resulting estimated book value per share are preliminary, subject to change, and subject to review by the Company's independent registered public accounting firm[5] Estimated Net Income Per Share and Realized and Unrealized Gains Q3 2025 estimated net income per share was $0.53, including $0.37 per share from RMBS and derivative gains, with REIT taxable income considered a better dividend indicator than GAAP net income Estimated Net Income and Gains (Q3 2025) | Metric | Value (Q3 2025) | | :--- | :--- | | Estimated Net Income Per Share | $0.53 | | Estimated Net Realized and Unrealized Gains on RMBS and Derivative Instruments | $0.37 per share | | Total Dividends Declared | $0.36 per share | - The Company views REIT taxable income as a better indication of income to be paid in the form of a dividend rather than net income[6] - These figures are preliminary, subject to change, and subject to review by the Company's independent registered public accounting firm[6] Estimated Total Return on Equity Estimated total return on equity for Q3 2025 was 6.6%, derived from $0.36 per share in dividends and a $0.12 per share increase in book value from June 30, 2025 Estimated Total Return on Equity (Q3 2025) | Metric | Value (Q3 2025) | | :--- | :--- | | Estimated Total Return on Equity | 6.6% | | Total Return Per Share | $0.48 | | Dividends Per Share | $0.36 | | Increase in Book Value Per Share (from Jun 30, 2025) | $0.12 | Highlights of Estimated Results This section summarizes key estimated financial results for Q3 2025 and the October 2025 dividend, highlighting their preliminary nature - October 2025 Monthly Dividend of $0.12 Per Share of Common Stock[8] - Estimated Book Value Per Share as of September 30, 2025, of $7.33[8] - Estimated GAAP net income of $0.53 per share for the quarter ended September 30, 2025, including an estimated $0.37 per share of net realized and unrealized gains on RMBS and derivative instruments[8] - Estimated 6.6% total return on equity for the quarter ended September 30, 2025[8] - Estimated book value, net income and total return on equity amounts are preliminary, subject to change, and subject to review by the Company's independent registered public accounting firm[8] RMBS Portfolio Characteristics as of September 30, 2025 This section details the RMBS portfolio characteristics, including valuation, agency distribution, regulatory compliance, and repurchase agreement exposure RMBS Valuation Characteristics and Interest Rate Sensitivity As of September 30, 2025, the RMBS portfolio was 99.84% fixed-rate pass-through, with a 5.47% weighted average coupon and 328-month maturity, alongside detailed hedging instruments and modeled interest rate sensitivities RMBS Portfolio Composition (as of Sep 30, 2025) | Type | Fair Value ($) | % of Portfolio | Weighted Average Coupon | Weighted Average Maturity (Months) | | :--- | :--- | :--- | :--- | :--- | | Total Pass Through RMBS | 8,594,615 | 99.84% | 5.50% | 329 | | Total Structured RMBS | 14,180 | 0.16% | 3.25% | 213 | | Total Mortgage Assets | 8,608,795 | 100.00% | 5.47% | 328 | Modeled Interest Rate Sensitivity (Total Mortgage Assets & Hedges) | Scenario | Impact on Rate Shock Grand Total ($) | | :--- | :--- | | -50 BPS | (18,886) | | +50 BPS | (12,934) | - Hedge instruments include 3-Month SOFR Futures, 5-Year Treasury Future, 10-Year Treasury Future, 10-Year Ultra Treasury Future, 5-Year ERIS SOFR Swap Futures, and Swaps[12] RMBS Assets by Agency As of September 30, 2025, the Company's mortgage assets were predominantly issued by Fannie Mae (56.7%) and Freddie Mac (43.3%) RMBS Assets by Agency (as of Sep 30, 2025) | Agency | Fair Value ($ in thousands) | Percentage of Portfolio | | :--- | :--- | :--- | | Fannie Mae | 4,741,968 | 56.7% | | Freddie Mac | 3,614,112 | 43.3% | | Total Mortgage Assets | 8,356,080 | 100.0% | Investment Company Act of 1940 Whole Pool Test Results As of September 30, 2025, 92.2% of total mortgage assets were Whole Pool Assets, with 7.8% Non-Whole Pool, complying with the Investment Company Act of 1940 Investment Company Act of 1940 Whole Pool Test (as of Sep 30, 2025) | Asset Category | Fair Value ($ in thousands) | Percentage of Portfolio | | :--- | :--- | :--- | | Whole Pool Assets | 7,701,330 | 92.2% | | Non-Whole Pool Assets | 654,750 | 7.8% | | Total Mortgage Assets | 8,356,080 | 100.0% | Repurchase Agreement Exposure by Counterparty Total repurchase agreement borrowings were $8,006,978 thousand as of September 30, 2025, with a 4.33% weighted average repo rate and 39-day maturity, with J.P. Morgan Securities LLC as the largest counterparty Borrowings By Counterparty (as of Sep 30, 2025) | Metric | Value | | :--- | :--- | | Total Borrowings | $8,006,978 thousand | | Weighted Average Repo Rate | 4.33% | | Weighted Average Maturity | 39 days | | Largest Counterparty (J.P. Morgan Securities LLC) | $511,662 thousand (6.4% of Total Debt) | Company Information and Disclaimers This section provides company background, forward-looking statement disclaimers, and contact information About Orchid Island Capital, Inc. Orchid Island Capital, Inc. is a specialty finance company investing in leveraged Agency RMBS, focusing on traditional pass-through and structured products, managed by Bimini Advisors, LLC - Orchid Island Capital, Inc. is a specialty finance company that invests on a leveraged basis in Agency RMBS[9] - Its investment strategy focuses on traditional pass-through Agency RMBS and structured Agency RMBS[9] - The Company is managed by Bimini Advisors, LLC, a registered investment adviser[9] Forward-Looking Statements This press release contains forward-looking statements, particularly regarding distributions, which are not guaranteed, and investors should consult the Form 10-K "Risk Factors" section - This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws, including statements about the Company's distributions[10] - These forward-looking statements are based upon Orchid Island Capital, Inc.'s present expectations, but these statements are not guaranteed to occur[10] - Investors should refer to the "Risk Factors" section of the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2024, for further discussion of factors that could affect outcomes[10] Contact Information Provides contact details for Orchid Island Capital, Inc., including the contact person, address, and telephone number - Contact Person: Robert E. Cauley[18] - Address: 3305 Flamingo Drive, Vero Beach, Florida 32963[18] - Telephone: (772) 231-1400[18]