Angel Oak Mortgage REIT Inc Reports Q2 2024 Financial Results

authorIntellectia.AI2024-08-06
7
AOMR.N
Illustration by Intellectia.AI

Angel Oak Mortgage REIT, Inc. Reports Q2 2024 Financial Results

Angel Oak Mortgage REIT, Inc. (NYSE: AOMR), a leading real estate finance company, announced its financial results for the second quarter of 2024.

Key Financial Metrics

Metric Q2 2024 Q2 2023 Q1 2024
Net Interest Income $9.5 million Not provided Not provided
GAAP Net Loss ($0.3 million) Not provided Not provided
Earnings Per Share (GAAP) ($0.01) Not provided Not provided
Distributable Earnings Loss ($2.3 million) Not provided Not provided
Earnings Per Share (Distributable) ($0.09) Not provided Not provided
GAAP Book Value per Share $10.23 Not provided $10.55
Economic Book Value per Share $13.16 Not provided $13.78

Interpretation : The company's net interest income increased significantly by 47% year-over-year for Q2 2024 and 36% in the first six months of 2024 compared to the same period in 2023, indicating strong operational performance. However, the company reported a GAAP net loss and a loss in distributable earnings per share. Both GAAP and Economic book values per share decreased from Q1 2024.

Operational Data

Operational Metric Q2 2024 Q1 2024 Q2 2023
Weighted Average Coupon 7.71% 7.11% 4.84%
Target Assets $1.9 billion Not provided Not provided
Residential Mortgage Whole Loans $158.9 million Not provided Not provided
Recourse Debt to Equity Ratio 1.2x Not provided Not provided

Interpretation : The weighted average coupon of the residential whole loans portfolio increased significantly year-over-year and quarter-over-quarter, indicating potentially higher income from these investments. Total target assets and residential mortgage whole loans were substantial.

Comments from Company Officers

Sreeni Prabhu, CEO and President, highlighted the fourth consecutive quarter of net interest income expansion, emphasizing its 47% growth from Q2 2023 to Q2 2024. Prabhu discussed the strategic use of the recent $50 million issuance to drive further growth and reiterated the company's objective to continue delivering consistent value through careful capital allocation and liquidity management.

Dividends

The company declared a dividend of $0.32 per share of common stock, which will be paid on August 30, 2024, to common stockholders of record as of August 22, 2024.

Forward Guidance

The earnings release did not explicitly mention forward guidance.

Stock Price Movement

Following the earnings release, the company's stock price experienced a slight decline, with a change of -0.04%.

Summary : While Angel Oak Mortgage REIT, Inc. showcased significant growth in net interest income, it faced challenges with a reported net loss and a reduction in book values per share. The company's strategic initiatives and recent capital actions reflect a focus on driving future growth and operational efficiency.

For further details, access the original release here .

Share