- 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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- 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).
- Agency RMBS repo markets remained stable with repurchase spreads around SOFR plus 20 basis points.
- Comprehensive loss for the quarter was $221.8 million or $2.13 per share including the accrual, and $21.9 million or $0.21 per share excluding it.
- For the first half of 2025, total economic return on book value was negative 10.3% including the accrual and positive 2.9% excluding it.
- Including the accrual, book value decreased to $12.14 per share.
- Mark-to-market gains and losses were lower by $93.4 million due to unfavorable market movements on MSR, swaps, TBAs, and futures, partially offset by positive movements on Agency RMBS.
- MSR financing included $1.8 billion outstanding borrowings across 5 lenders with $837 million unused capacity.
- Net interest and servicing income increased by $3.1 million driven by Agency RMBS portfolio growth and higher float income on MSR, partially offset by lower servicing fee income and higher financing costs.
- The company issued $115 million of 9.38% senior notes due 2030 to refinance 6.25% senior notes due 2026.
- The company took a loss contingency accrual of $199.9 million or $1.92 per share related to ongoing litigation from the termination of its management agreement with PRCM Advisers.
- Two reported a total economic return of negative 14.5% for Q2 2025 including a loss contingency accrual of $1.92 per share, and negative 1.4% excluding the accrual.
- Allowance for credit losses increased to $43 million or 1.08% of total loans from $41.6 million or 1.05%.
- Common equity Tier 1 was 13.77%, up from 13.47% last quarter.
- Efficiency ratio adjusted for certain costs was 54.54%, improved from 55.48% last quarter.
- Loan-to-deposit ratio was 83.3%, up from 81.2% last quarter but down from 87.9% a year ago.
- Mortgage banking income was slightly up quarter-over-quarter excluding MSR mark-to-market volatility.
- Net income was $21.8 million or $0.48 per diluted share in the second quarter.
- Net interest margin improved 22 basis points year-over-year and decreased 3 basis points quarter-over-quarter.
- Noninterest expense was $1.1 million less than prior quarter, with strong expense discipline.
- Noninterest income grew with wealth management fees up 11.7% and service charges on deposits up 11.2%.
- Return on assets was 1.53%.
- Return on average tangible common equity was 15.29%.
- Second quarter earnings were impacted by $531,000 MSR mark-to-market losses and $810,000 merger-related expenses.
- Tangible equity ratio increased by 49 basis points from last quarter to 10.83%, and by 144 basis points year-over-year.
- Tax equivalent efficiency ratio was 54.54%.
- Total loans increased by $58.4 million from last quarter, driven by construction and lease portfolios.
Dafinchi