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New York Mortgage Trust, Inc. (NYMT) Q3 2024 Earnings Call Transcript Summary

Futu News ·  00:23  · Conference Call

The following is a summary of the New York Mortgage Trust, Inc. (NYMT) Q3 2024 Earnings Call Transcript:

Financial Performance:

  • NYMT reported significantly enhanced earnings in Q3 with earnings per share at $0.36.

  • The portfolio grew $1 billion or 17% from the last quarter with a year-to-date growth of over one-third, leading to over $100 million in adjusted interest income, up 39% year-to-date.

  • Adjusted net interest income rose by 22% year-to-date, reaching $28.7 million in Q3.

  • Quarterly undepreciated earnings per share increased to $0.39. This was supported by valuation improvements on residential loan and bond portfolios and partially offset by losses in derivative instruments.

  • GAAP book value per share increased by 1.4%; however, adjusted book value per share decreased by 1.4% quarter-to-quarter.

Business Progress:

  • NYMT shifted focus to recurring earnings through higher coupon, short-duration credit loans and Agency RMBS, moving away from assets yielding low or no current interest.

  • Efforts in maintaining strong liquidity ($408 million by Q3 end), providing the company with ample opportunity to enhance quarterly earnings.

  • Disposed of six multifamily real estate assets, realizing $13.6 million in net gains.

  • Completed a total of six securitizations in various sectors throughout 2024, marking NYMT's most active year in terms of issuance.

Opportunities:

  • NYMT sees potential for earnings growth through continued strategic asset rotation and use of strong liquidity, with no near-term corporate debt maturities posing a threat.

  • Opportunities for portfolio growth and income boost from reinvestment into core strategies, facilitated by redemptions of nearly $300 million in multifamily mezzanine loans.

Risks:

  • Concerns over a slowing U.S. economy and its impact on various sectors, heightened U.S. debt levels potentially leading to market dislocations.

Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.

The above content is for informational or educational purposes only and does not constitute any investment advice related to Futu. Although we strive to ensure the truthfulness, accuracy, and originality of all such content, we cannot guarantee it.
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