KKR Real Estate Finance (KREF) Reports Q2 Loss, Lags Revenue Estimates

Core Insights - KKR Real Estate Finance (KREF) reported a quarterly loss of $0.53 per share, significantly worse than the Zacks Consensus Estimate of a loss of $0.16, marking an earnings surprise of -231.25% [1] - The company posted revenues of $30.17 million for the quarter ended June 2025, missing the Zacks Consensus Estimate by 2.55% and down from $40.43 million a year ago [2] - KKR Real Estate shares have declined approximately 12.1% year-to-date, contrasting with the S&P 500's gain of 7.2% [3] Earnings Outlook - The future performance of KKR Real Estate's stock will largely depend on management's commentary during the earnings call and the earnings outlook [4] - The current consensus EPS estimate for the upcoming quarter is $0.12 on revenues of $29.92 million, and for the current fiscal year, it is $0.33 on revenues of $121.86 million [7] Industry Context - The REIT and Equity Trust industry, to which KKR Real Estate belongs, is currently ranked in the top 38% of over 250 Zacks industries, indicating a favorable outlook compared to lower-ranked industries [8] - Another company in the same industry, Ellington Credit, is expected to report quarterly earnings of $0.21 per share, reflecting a year-over-year decline of 41.7% [9]