ARMOUR Residential REIT(ARR) - 2025 Q3 - Quarterly Results

Financial Performance - GAAP net income available to common stockholders was $156.3 million, or $1.49 per common share[5] - Distributable Earnings available to common stockholders totaled $75.3 million, representing $0.72 per common share[5] - Total economic return for Q3 2025 was 7.75%[5] Equity and Assets - Total stockholders' equity increased to $2.1288 billion, up from $1.6599 billion in Q2 2025[7] - The portfolio totaled $18.2 billion, primarily consisting of 97.9% Agency mortgage-backed securities[5] - Liquidity, including cash and unencumbered securities, was $1.1 billion[5] - Book value per common share rose to $17.49, a 3.5% increase from $16.90 at June 30, 2025[5] Income and Expenses - Economic interest income for Q3 2025 was $210.9 million, an increase from $182.2 million in Q2 2025, reflecting a growth of 15.0%[16] - Total interest income for average interest-earning assets increased to $210.2 million in Q3 2025, up from $180.9 million in Q2 2025, representing a 16.1% increase[16] - Economic net interest income for Q3 2025 was $91.5 million, with a net interest spread of 1.83%, compared to $82.2 million and 1.82% in Q2 2025[16] - The company reported an economic interest expense of $119.4 million in Q3 2025, compared to $100.0 million in Q2 2025, indicating an increase of 19.4%[16] Dividends - ARMOUR paid monthly cash dividends of $0.24 per share for common stock in Q3 2025, with future dividends subject to evaluation based on financial performance and market conditions[18] Leverage and Ratios - Debt to equity ratio was 7.78:1, indicating significant leverage in the company's capital structure[5] - ARMOUR's average interest rate on agency securities was 5.08% in Q3 2025, slightly up from 5.01% in Q2 2025[16] Asset Management - The average balance of interest-bearing assets increased to $16,662.9 million in Q3 2025 from $14,767.1 million in Q2 2025, a growth of 12.8%[16] - The company’s net interest income on interest rate swaps was $50.6 million in Q3 2025, compared to $46.3 million in Q2 2025, reflecting an increase of 5.0%[16] - ARMOUR's economic net yield on interest-earning assets was 2.17% in Q3 2025, slightly up from 2.16% in Q2 2025[16] Management - ARMOUR is externally managed by ARMOUR Capital Management LP, which is registered with the SEC[20]