Angel Oak Mortgage REIT reported a net interest income of $9.5 million for the second quarter of 2024, a 47% increase year-over-year.
Net interest income for the first six months of 2024 was $18 million, the company reported, or 36% higher than net interest income of $13.3 million in the first six months of 2023.
This is representative of a Q2 2024 GAAP net loss of ($0.3) million, or ($0.01) per diluted share of common stock. Distributable earnings posted a loss of ($2.3) million, or ($0.09) per diluted share of common stock.
Angel Oak reported a GAAP book value of $10.23 per share of common stock as of June 30, down from $10.55 per share of common stock as of March 31. As of August 6, the company declared a dividend of $0.32 per share of common stock, which is expected to be paid on August 30 to common stockholders of record as of August 22.
Angel Oak Mortgage REIT CEO and President Sreeni Prabhu announced the Q2 2024 earnings, sharing in a statement that the company was proud to mark its fourth consecutive quarter of net interest income expansion.
“This performance underscores the momentum we carry as we deploy the proceeds of our $50 million senior unsecured notes issuance in July, which we expect to catalyze the next phase of growth for AOMR,” Prabhu was quoted. “With this additional capital, we intend to deliver further net interest income and earnings accretion, enabled by the purchase of additional newly-originated loans and the subsequent execution of profitable securitizations while maintaining our vigilant and methodical capital allocation and liquidity management strategy. We have demonstrated our ability to deliver consistent, sustained value creation and effectively manage capital, and we look forward to beginning our next phase of growth in the second half of 2024.”
During the quarter, Angel Oak contributed loans with a scheduled unpaid principal balance of approximately $299.8 million and a 7.4% weighted average coupon. This securitization reduced the company’s whole loan warehouse debt by $235.9 million, lowering financing costs by approximately 100 basis points compared to the financing cost prior to securitization.
