Ares mercial Real Estate (US:ACRE)2025-11-07 15:00Financial Performance - GAAP net income was $5 million, or $0.08 per diluted common share[12] - Distributable Earnings were $6 million, or $0.10 per diluted common share[12] - Excluding realized losses of $2 million or $0.03 per diluted common share, Distributable Earnings were $7 million, or $0.13 per diluted common share[12] - Book value was $521 million, or $9.47 per common share ($11.60 per common share excluding CECL reserve)[12] Portfolio & Balance Sheet - The company collected $162 million of repayments in 3Q 2025, bringing the YTD repayments to $498 million[12] - The company reduced office loans by $29 million QoQ to $495 million, a decrease of 6% QoQ and 26% YoY[12] - The company maintained a strong balance sheet with $173 million of available capital as of September 30, 2025, including $88 million of cash[12] - The company's total portfolio is $1.4 billion, comprised of loans held for investment and REO properties[15] CECL Reserve - The CECL reserve is $117 million, representing 9% of outstanding principal balance of loans held for investment[12,45] - 95% of the CECL reserve relates to risk rated 4 and 5 loans[46] - 90% of the CECL reserve relates to office and residential/condo loans[46] Ares Management Overview - Ares Management has approximately $596 billion in assets under management[22] - Ares Real Estate has $109 billion+ in Real Estate AUM[30]