ATLANTA, Jan. 29, 2026 /PRNewswire/ -- Invesco Mortgage Capital Inc. (NYSE: IVR) (the "Company") today announced financial results for the quarter ended December 31, 2025. Update from John Anzalone, Chief Executive Officer "During the fourth quarter, financial conditions improved, underpinned by two interest rate cuts from the Federal Reserve, robust corporate earnings and strong economic growth. This supportive backdrop, along with lower interest rate volatility and broadening investor demand, drove notabl ...

Core Viewpoint - Invesco Mortgage Capital Inc. reported a challenging second quarter in 2025, with a significant economic return of (4.8)%, driven by market volatility and a decline in book value per share, despite maintaining a consistent dividend payout. Financial Performance - The company experienced a net loss attributable to common stockholders of $26.6 million, translating to a loss per share of $0.40, compared to a net income of $16.3 million and earnings per share of $0.26 in Q1 2025 [10][11]. - Total interest income decreased to $70.6 million from $73.8 million in Q1 2025, while total interest expense also fell to $52.9 million from $55.0 million, resulting in a net interest income of $17.7 million, down from $18.8 million [9][10]. - The average earning assets at amortized cost decreased to $5,078.9 million from $5,422.6 million, and average borrowings also declined to $4,577.6 million from $4,930.2 million [9]. Portfolio and Valuation - As of June 30, 2025, the company’s investment portfolio was valued at $5.2 billion, comprising $4.3 billion in Agency RMBS and $0.9 billion in Agency CMBS, with a debt-to-equity ratio of 6.5x, down from 7.1x at the end of Q1 2025 [3][10]. - The estimated book value per common share as of July 18, 2025, is projected to be between $7.99 and $8.31, reflecting a cautious near-term outlook for Agency RMBS but a favorable long-term outlook due to expected investor demand [4][10]. Dividends and Capital Activities - The company declared a common stock dividend of $0.34 per share, consistent with the previous quarter, to be paid on July 25, 2025 [22]. - During the quarter, the company sold 282,750 shares of common stock for net cash proceeds of $2.2 million and repurchased 96,803 shares of Series C Preferred Stock for $2.3 million [23][24]. Economic Return and Non-GAAP Measures - The economic return for the quarter was calculated as the change in book value per common share of ($0.76) plus dividends declared of $0.34, resulting in an economic return of (4.8)%, compared to a positive return of 2.6% in Q1 2025 [6][10]. - Earnings available for distribution per common share decreased to $0.58 from $0.64 in Q1 2025, indicating a decline in the company’s ability to generate income for distribution [10][43].