New York Mortgage Trust Reports First Quarter 2025 Results

Core Insights - New York Mortgage Trust, Inc. reported a net income of $30.285 million for the first quarter of 2025, translating to a basic earnings per share of $0.33, a significant recovery from a net loss of $68.34 million in the same period of the previous year [2][37][41] - The company achieved an economic return on book value of 3.13% and an economic return on adjusted book value of 2.71% for the quarter [2][4] - The company completed the issuance of $82.5 million in senior notes, raising approximately $79.3 million in net proceeds, which will support its investment activities [6] Financial Performance - Interest income for the quarter was reported at $129.734 million, up from $83.892 million year-over-year, while interest expense increased to $96.636 million from $66.029 million [37][41] - The net interest income for the quarter was $33.098 million, compared to $17.863 million in the same quarter of the previous year [37][41] - The yield on average interest-earning assets was 6.47%, with a net interest spread of 1.32% [2][23] Investment Activities - The company purchased approximately $1.5 billion in Agency RMBS with an average coupon of 5.35% and $396.8 million in residential loans with an average gross coupon of 9.33% [7] - Two securitizations of residential loans were completed, resulting in net proceeds of approximately $326.3 million [8] - The company repurchased 231,200 shares of its common stock for a total cost of approximately $1.5 million, averaging $6.50 per share [9] Capital Allocation - As of March 31, 2025, the total investment portfolio carrying value was $8.270581 billion, with significant allocations in residential loans and investment securities [11] - The company reported total assets of $10.004055 billion, an increase from $9.217282 billion at the end of the previous year [35] Management Commentary - The CEO highlighted that the increased investment activity in the first quarter was a response to more attractive market conditions, leading to a substantial boost in earnings [10] - The management believes that the strengthened balance sheet will provide flexibility to capitalize on market dislocations and further grow earnings throughout the year [11]