- Book value per share increased quarter-over-quarter to $13.49.
- Combined cash and unencumbered assets increased to about $920 million, more than 50% of total equity.
- Ellington Financial reported GAAP net income of $0.45 per share and adjusted distributable earnings (ADE) of $0.47 per share in Q2 2025.
- Leverage ratios remained stable with recourse debt-to-equity at 1.7:1 and overall debt-to-equity at 8.7:1 including securitizations.
- Longbridge segment contributed $0.13 per share to ADE, driven by strong origination volumes, securitization gains, and servicing income.
- Net interest margin (NIM) on the credit portfolio increased by 21 basis points, while the NIM on Agency decreased by 17 basis points.
- Portfolio size remained roughly unchanged quarter-over-quarter with growth in mortgage loan portfolios offset by securitizations and tactical sales.
- The company achieved an annualized economic return of nearly 14% and a total economic return of 3.3% for the quarter (non-annualized).
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- Brandywine Realty Trust reported a second quarter net loss of $89 million or $0.51 per share, including $63.4 million in impairments in the Austin portfolio.
- Capital ratio improved to 4.1%, below the 2025 business plan range, due to capital control and construction efficiencies.
- Deferred tenant improvement costs recognized were $5.5 million or $0.03 per share in CAD ratio; accrued but unpaid preferred dividends were $3.8 million or $0.02 per share.
- Development projects incurred $0.14 per share of negative carry, including $0.10 per share in noncash preferred charges.
- FFO contribution from unconsolidated joint ventures was negative $5.8 million, impacted by higher concessions at Solaris House during lease-up.
- FFO for the quarter was $26.1 million or $0.15 per diluted share, meeting consensus estimates.
- Interest expense was $0.5 million less than forecast due to capitalized interest.
- Mark-to-market was 2.1% on a GAAP basis and negative on a cash basis, with increased guidance ranges based on executed leases.
- Second quarter occupancy was 88.6% with 91.1% leased; Philadelphia occupancy was 93.5% and Austin occupancy improved due to asset sales.
- Agency RMBS modestly outperformed treasury hedges but underperformed swap hedges due to tightening swap spreads.
- Agency RMBS portfolio decreased 15% quarter-over-quarter due to risk management amid trade policy uncertainty.
- Debt-to-equity ratio decreased from 7.1x at the end of March to 6.5x at the end of June.
- Hedge notional declined from $4.5 billion to $4.3 billion, with hedge ratio increasing from 85% to 94%.
- Levered gross ROEs on higher coupons are in the low 20s, representing an attractive entry point for mortgage investors.
- Repurchase agreements collateralized by Agency RMBS and CMBS declined from $5.4 billion to $4.6 billion.
- Swap spreads tightened significantly, negatively impacting book value during the quarter.
- The $5.2 billion investment portfolio consisted of $4.3 billion in agency mortgages and $900 million in Agency CMBS.
- The economic return for the quarter was negative 4.8%, consisting of a $0.34 dividend per common share and a $0.76 decline in book value per common share.
- Cash rents increased by $4.6 million year-over-year, driven by investment volume and lease escalators.
- Interest expense remained flat year-over-year; weighted average diluted shares increased 7.5% to 46.8 million.
- Liquidity stood at approximately $760 million, including cash, revolver capacity, and escrowed forward equity proceeds.
- NAREIT FFO per share increased 0.8% to $1.19, and normalized FFO per share increased 3.4% to $1.22 compared to Q2 2024.
- Net income per share for Q2 2025 was $0.79, down 2.5% year-over-year.
- Secured debt was fully retired during the quarter, and net debt to adjusted EBITDA ratio was 3.9x, below target range.
- SHOP NOI grew 29.4% year-over-year to $3.8 million, with a 32.6% increase in SHOP common shareholder FAD contribution.
- Fixed charge coverage ratio was strong at 8.2x.
- Net debt to annualized normalized EBITDA remained low at 2x, with net debt to enterprise value at 12.3%.
- Normalized FAD increased 53.9% to $83.1 million, with a 16.2% increase per share to $0.43.
- Normalized FFO increased 58.2% year-over-year to $83.1 million in Q2 2025.
- Normalized FFO per share rose 19.4% to $0.43 per share.
- Quarterly dividend increased by 15.5% year-over-year while maintaining a comfortable payout ratio.
- Total revenues grew 63.3% year-over-year in Q2 2025.
- Average loans increased by an annualized 2.1% and customer deposits by 3.1% sequentially.
- Common Equity Tier 1 ratio stood at 11.3%, with tangible book value per share growing 17% year-over-year.
- Customer fees, excluding net credit valuation adjustment, grew by $10 million sequentially, with adjusted expenses declining by $1 million.
- Diluted earnings per share was $1.48, down from $1.63 in the prior quarter but up from $1.37 a year ago, impacted by credit valuation adjustments and elevated credit provisions.
- Efficiency ratio improved to 59.6%, reflecting positive operating leverage as revenue growth outpaced expense growth.
- Net charge-offs totaled $56 million or 37 basis points annualized, largely driven by a $50 million charge-off related to two specific C&I loans.
- Net interest margin expanded by 11 basis points sequentially to 3.28%, marking the seventh consecutive quarter of margin improvement.
- Provision for credit losses was $49 million, reducing allowance for credit losses by $7 million relative to prior quarter.
- Debt to net debt to adjusted EBITDA ratio improved to below 3 times, the lowest leverage level in company history, with interest coverage over six times.
- Expense growth in seniors housing operating portfolio was subdued at 0.2% year over year, contributing to margin expansion of 330 basis points to 30.7%.
- Liquidity increased to $9.5 billion with modest upcoming debt maturities.
- Long-term post-acute portfolio same-store NOI grew 2.7% year over year with EBITDAR coverage of 1.9 times.
- Net income attributable to common stockholders was $0.45 per diluted share.
- Senior housing operating portfolio posted 23.4% same-store NOI growth and 10% organic revenue growth driven by 420 basis points occupancy gains.
- Senior housing triple net portfolio same-store NOI increased 5.1% year over year with trailing twelve-month EBITDAR coverage at 1.19 times.
- Total portfolio same-store net operating income (NOI) increased 13.8% year over year, led by seniors housing operating portfolio growth exceeding 20% for the eleventh consecutive quarter.
- UK portfolio showed 27% same-store NOI growth and 600 basis points occupancy increase, reflecting strong demand and favorable positioning.
- Welltower Inc. reported strong second quarter 2025 financial results with normalized funds from operations (FFO) per diluted share of $1.28, representing 21.9% year-over-year growth.
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