Arbor Realty Trust, Inc. (NYSE: ABR), today announced financial
results for the first quarter ended March 31, 2019. Arbor
reported net income for the quarter of $22.7 million, or $0.26 per
diluted common share, compared to $26.2 million, or $0.42 per
diluted common share for the quarter ended March 31, 2018. Adjusted
funds from operations (“AFFO”) for the quarter was $35.5 million,
or $0.33 per diluted common share, compared to $21.4 million, or
$0.25 per diluted common share for the quarter ended March 31,
2018.
1
Agency
Business
Loan
Origination Platform
Agency Loan Volume (in thousands) |
|
Quarter Ended |
|
March 31, 2019 |
|
December 31, 2018 |
Originations: |
|
|
|
Fannie Mae |
$ |
546,886 |
|
$ |
1,067,230 |
Freddie Mac |
|
192,492 |
|
|
527,502 |
FHA |
|
1,110 |
|
|
15,549 |
CMBS/Conduit |
|
105,425 |
|
|
14,025 |
Total Originations |
$ |
845,913 |
|
$ |
1,624,306 |
|
|
|
|
Total Loan Sales |
$ |
1,101,766 |
|
$ |
1,653,421 |
|
|
|
|
Total Loan Commitments |
$ |
846,963 |
|
$ |
1,604,502 |
|
For the quarter ended
March 31, 2019, the Agency Business generated revenues of $47.2
million, compared to $84.4 million for the fourth quarter of 2018.
Gain on sales, including fee-based services, net was $16.4 million
for the quarter, reflecting a margin of 1.49% on loan sales,
compared to $18.7 million and 1.13% for the fourth quarter of 2018.
Income from mortgage servicing rights was $14.2 million for the
quarter, reflecting a rate of 1.68% as a percentage of loan
commitments, compared to $36.1 million and 2.25% for the fourth
quarter of 2018.
At March 31, 2019,
loans held-for-sale was $225.9 million which was primarily
comprised of unpaid principal balances totaling $222.9 million,
with financing associated with these loans totaling $222.7
million.
Fee-Based Servicing Portfolio
Our fee-based
servicing portfolio totaled $18.88 billion at March 31, 2019, an
increase of 2% from December 31, 2018, primarily a result of $845.9
million of new loan originations, net of $458.4 million in
portfolio runoff during the quarter. Servicing revenue, net was
$13.5 million for the quarter and consists of servicing revenue of
$25.8 million, net of amortization of mortgage servicing rights
totaling $12.3 million.
|
|
Fee-Based Servicing Portfolio ($ in thousands) |
|
|
As of March 31, 2019 |
|
As of December 31, 2018 |
|
|
UPB |
Wtd. Avg. Fee |
Wtd. Avg. Life (in years) |
|
UPB |
Wtd. Avg. Fee |
Wtd. Avg. Life (in years) |
Fannie Mae |
|
$ |
13,719,351 |
0.507 |
% |
7.6 |
|
$ |
13,562,667 |
0.513 |
% |
7.4 |
Freddie Mac |
|
|
4,515,829 |
0.303 |
% |
10.8 |
|
|
4,394,287 |
0.308 |
% |
10.8 |
FHA |
|
|
648,583 |
0.155 |
% |
19.6 |
|
|
644,687 |
0.155 |
% |
19.6 |
Total |
|
$ |
18,883,763 |
0.446 |
% |
8.7 |
|
$ |
18,601,641 |
0.452 |
% |
8.6 |
|
Loans sold under the
Fannie Mae program contain an obligation to partially guarantee the
performance of the loan (“loss-sharing obligations”). At March 31,
2019, the Company’s allowance for loss-sharing obligations was
$34.5 million, representing 0.25% of the Fannie Mae servicing
portfolio.
Structured
Business
Portfolio and Investment
Activity
- Originated 28 loans totaling $416.3 million, of which 23 were
bridge loans for $357.3 million
- Payoffs and pay downs on 26 loans totaling $279.5 million
At March 31, 2019, the
loan and investment portfolio’s unpaid principal balance, excluding
loan loss reserves, was $3.41 billion, with a weighted average
current interest pay rate of 7.05%, compared to $3.28 billion and
7.02% at December 31, 2018. Including certain fees earned and
costs associated with the loan and investment portfolio, the
weighted average current interest pay rate was 7.71% at March 31,
2019, compared to 7.66% at December 31, 2018.
The average balance of
the Company’s loan and investment portfolio during the first
quarter of 2019, excluding loan loss reserves, was $3.34 billion
with a weighted average yield of 7.84%, compared to $3.23 billion
and 7.76% for the fourth quarter of 2018. The increase in average
yield was primarily due to an increase in LIBOR.
At March 31, 2019, the Company’s total loan loss
reserves were $71.1 million on five loans with an aggregate
carrying value before loan loss reserves of $131.3 million. The
Company also had two non-performing loans with a carrying value of
$2.5 million, net of related loan loss reserves of $1.7
million.
Financing
Activity
The balance of debt
that finances the Company’s loan and investment portfolio at March
31, 2019 was $3.13 billion with a weighted average interest rate
including fees of 5.22% as compared to $2.89 billion and a rate of
5.24% at December 31, 2018. The average balance of debt that
finances the Company’s loan and investment portfolio for the first
quarter of 2019 was $2.96 billion, as compared to $2.90 billion for
the fourth quarter of 2018. The average cost of borrowings for the
first quarter was 5.24%, compared to 5.12% for the fourth quarter
of 2018. The increase in average costs was primarily due to an
increase in LIBOR.
The Company is subject to various financial
covenants and restrictions under the terms of its collateralized
securitization vehicles and financing facilities. The Company
believes it was in compliance with all financial covenants and
restrictions as of March 31, 2019 and as of the most recent
collateralized securitization vehicle determination dates in April
2019.
Capital
Markets
The Company issued $90.0 million in aggregate
principal amount of 5.75% senior unsecured notes in a private
placement, generating net proceeds of $88.2 million after deducting
offering expenses. The notes are due in April 2024 and the proceeds
were used to make investments and for general corporate
purposes.
Dividends
The Company announced
today that its Board of Directors has declared a quarterly cash
dividend of $0.28 per share of common stock for the quarter ended
March 31, 2019, representing an increase of 4% over the prior
quarter dividend of $0.27 per share and 12% from a year ago. The
dividend is payable on May 31, 2019 to common stockholders of
record on May 23, 2019. The ex-dividend date is May 22, 2019.
As previously
announced, the Board of Directors has declared cash dividends on
the Company's Series A, Series B and Series C cumulative redeemable
preferred stock reflecting accrued dividends from March 1, 2019
through May 31, 2019. The dividends are payable on May 31, 2019 to
preferred stockholders of record on May 15, 2019. The Company will
pay total dividends of $0.515625, $0.484375 and $0.53125 per share
on the Series A, Series B and Series C preferred stock,
respectively.
Earnings
Conference Call
The Company will host
a conference call today at 10:00 a.m. Eastern Time. A live webcast
of the conference call will be available at www.arbor.com in the
investor relations area of the website. Those without web access
should access the call telephonically at least ten minutes prior to
the conference call. The dial-in numbers are (866) 516-5034 for
domestic callers and (678) 509-7613 for international callers.
Please use participant passcode 6079039.
After the live
webcast, the call will remain available on the Company's website
through May 31, 2019. In addition, a telephonic replay of the
call will be available until May 17, 2019. The replay dial-in
numbers are (855) 859-2056 for domestic callers and (404) 537-3406
for international callers. Please use passcode 6079039.
About Arbor
Realty Trust, Inc.
Arbor Realty Trust, Inc. (NYSE:ABR) is a
nationwide real estate investment trust and direct lender,
providing loan origination and servicing for multifamily, seniors
housing, healthcare and other diverse commercial real estate
assets. Headquartered in New York, Arbor manages a
multibillion-dollar servicing portfolio, specializing in
government-sponsored enterprise products. Arbor is a Fannie Mae
DUS® lender and Freddie Mac Optigo Seller/Servicer. Arbor’s product
platform also includes CMBS, bridge, mezzanine and preferred equity
lending. Rated by Standard and Poor’s and Fitch Ratings, Arbor is
committed to building on its reputation for service, quality and
customized solutions with an unparalleled dedication to providing
our clients excellence over the entire life of a loan.
Safe Harbor
Statement
Certain items in this
press release may constitute forward-looking statements within the
meaning of the “safe harbor” provisions of the Private Securities
Litigation Reform Act of 1995. These statements are based on
management’s current expectations and beliefs and are subject to a
number of trends and uncertainties that could cause actual results
to differ materially from those described in the forward-looking
statements. Arbor can give no assurance that its expectations will
be attained. Factors that could cause actual results to
differ materially from Arbor’s expectations include, but are not
limited to, continued ability to source new investments, changes in
interest rates and/or credit spreads, changes in the real estate
markets, and other risks detailed in Arbor’s Annual Report on Form
10-K for the year ended December 31, 2018 and its other reports
filed with the SEC. Such forward-looking statements speak only as
of the date of this press release. Arbor expressly disclaims any
obligation or undertaking to release publicly any updates or
revisions to any forward-looking statements contained herein to
reflect any change in Arbor’s expectations with regard thereto or
change in events, conditions, or circumstances on which any such
statement is based.
1. Non-GAAP
Financial Measures
During the quarterly
earnings conference call, the Company may discuss non-GAAP
financial measures as defined by SEC Regulation G. In addition, the
Company has used non-GAAP financial measures in this press release.
A supplemental schedule of non-GAAP financial measures and the
comparable GAAP financial measure can be found on page 11 of this
release.
Contacts:Arbor Realty Trust, Inc.Paul Elenio, Chief Financial
Officer 516-506-4422 pelenio@arbor.com |
Investors:The Ruth GroupJanhavi
Mohite646-536-7026jmohite@theruthgroup.com |
|
|
Media:Bonnie Habyan, Chief
Marketing Officer516-506-4615bhabyan@arbor.com |
|
ARBOR REALTY TRUST, INC. AND
SUBSIDIARIES |
CONSOLIDATED STATEMENTS OF INCOME - (UNAUDITED) |
($ in thousands—except share and per share data) |
|
|
|
|
|
|
|
|
|
|
Quarter Ended |
|
|
|
|
March 31, |
|
|
|
|
2019 |
|
2018 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income |
|
$ |
71,277 |
|
|
$ |
51,612 |
|
Interest
expense |
|
|
41,865 |
|
|
|
33,387 |
|
|
Net interest income |
|
|
29,412 |
|
|
|
18,225 |
|
|
|
|
|
|
|
|
Other revenue: |
|
|
|
|
|
Gain on sales,
including fee-based services, net |
|
|
16,389 |
|
|
|
18,193 |
|
Mortgage servicing
rights |
|
|
14,232 |
|
|
|
19,634 |
|
Servicing revenue,
net |
|
|
13,552 |
|
|
|
9,547 |
|
Property operating
income |
|
|
2,803 |
|
|
|
2,910 |
|
Other income,
net |
|
|
(2,128 |
) |
|
|
2,878 |
|
|
Total other revenue |
|
|
44,848 |
|
|
|
53,162 |
|
|
|
|
|
|
|
|
Other
expenses: |
|
|
|
|
|
Employee
compensation and benefits |
|
|
31,764 |
|
|
|
29,494 |
|
Selling and
administrative |
|
|
9,761 |
|
|
|
8,915 |
|
Property operating
expenses |
|
|
2,396 |
|
|
|
2,796 |
|
Depreciation and
amortization |
|
|
1,912 |
|
|
|
1,846 |
|
Provision for loss
sharing (net of recoveries) |
|
|
454 |
|
|
|
473 |
|
Provision for loan
losses (net of recoveries) |
|
|
- |
|
|
|
325 |
|
|
Total other expenses |
|
|
46,287 |
|
|
|
43,849 |
|
|
|
|
|
|
|
|
Income before
extinguishment of debt, income from |
|
|
|
|
|
|
equity affiliates and income taxes |
|
|
27,973 |
|
|
|
27,538 |
|
Loss on
extinguishment of debt |
|
|
(128 |
) |
|
|
- |
|
Income from equity
affiliates |
|
|
2,151 |
|
|
|
746 |
|
Benefit from
income taxes |
|
|
10 |
|
|
|
8,784 |
|
|
|
|
|
|
|
|
Net income |
|
|
30,006 |
|
|
|
37,068 |
|
|
|
|
|
|
|
|
Preferred stock
dividends |
|
|
1,888 |
|
|
|
1,888 |
|
Net income
attributable to noncontrolling interest |
|
|
5,468 |
|
|
|
8,991 |
|
Net income
attributable to common stockholders |
|
$ |
22,650 |
|
|
$ |
26,189 |
|
|
|
|
|
|
|
|
Basic earnings per
common share |
|
$ |
0.27 |
|
|
$ |
0.42 |
|
Diluted earnings
per common share |
|
$ |
0.26 |
|
|
$ |
0.42 |
|
|
|
|
|
|
|
|
Weighted average
shares outstanding: |
|
|
|
|
|
|
Basic |
|
|
85,151,878 |
|
|
|
61,842,336 |
|
|
Diluted |
|
|
107,869,511 |
|
|
|
84,699,735 |
|
|
|
|
|
|
|
|
Dividends declared
per common share |
|
$ |
0.27 |
|
|
$ |
0.21 |
|
|
|
|
|
|
|
|
ARBOR REALTY TRUST, INC. AND
SUBSIDIARIES |
CONSOLIDATED BALANCE SHEETS |
($ in thousands—except share and per share data) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
March 31, |
|
December 31, |
|
|
|
|
|
2019 |
|
2018 |
|
|
|
|
|
(Unaudited) |
|
|
Assets: |
|
|
|
|
Cash and cash
equivalents |
|
$ |
124,505 |
|
|
$ |
160,063 |
|
Restricted
cash |
|
|
291,865 |
|
|
|
180,606 |
|
Loans and investments, net |
|
|
3,323,778 |
|
|
|
3,200,145 |
|
Loans held-for-sale, net |
|
|
225,878 |
|
|
|
481,664 |
|
Capitalized
mortgage servicing rights, net |
|
|
277,639 |
|
|
|
273,770 |
|
Securities held to
maturity, net |
|
|
86,036 |
|
|
|
76,363 |
|
Investments in
equity affiliates |
|
|
28,444 |
|
|
|
21,580 |
|
Real estate owned,
net |
|
|
14,473 |
|
|
|
14,446 |
|
Due from related
party |
|
|
1,975 |
|
|
|
1,287 |
|
Goodwill and other
intangible assets |
|
|
114,764 |
|
|
|
116,165 |
|
Other assets |
|
|
108,368 |
|
|
|
86,086 |
|
Total assets |
|
$ |
4,597,725 |
|
|
$ |
4,612,175 |
|
|
|
|
|
|
|
|
|
Liabilities and Equity: |
|
|
|
|
Credit facilities
and repurchase agreements |
|
|
1,032,495 |
|
|
|
1,135,627 |
|
Collateralized loan obligations |
|
|
1,594,970 |
|
|
|
1,593,548 |
|
Debt fund |
|
|
68,304 |
|
|
|
68,183 |
|
Senior unsecured
notes |
|
|
211,001 |
|
|
|
122,484 |
|
Convertible senior
unsecured notes, net |
|
|
252,229 |
|
|
|
254,768 |
|
Junior
subordinated notes to subsidiary trust issuing preferred
securities |
|
|
140,434 |
|
|
|
140,259 |
|
Due to related
party |
|
|
261 |
|
|
|
- |
|
Due to
borrowers |
|
|
76,396 |
|
|
|
78,662 |
|
Allowance for
loss-sharing obligations |
|
|
34,518 |
|
|
|
34,298 |
|
Other
liabilities |
|
|
109,734 |
|
|
|
118,780 |
|
Total liabilities |
|
|
3,520,342 |
|
|
|
3,546,609 |
|
|
|
|
|
|
|
|
|
Equity: |
|
|
|
|
|
Arbor Realty
Trust, Inc. stockholders' equity: |
|
|
|
|
|
|
Preferred stock,
cumulative, redeemable, $0.01 par value: 100,000,000 |
|
|
|
|
|
|
|
shares authorized; special
voting preferred shares; 20,487,544 and |
|
|
|
|
|
|
|
20,653,584 shares
issued and outstanding, respectively; 8.25% Series A, |
|
|
|
|
|
|
$38,787,500
aggregate liquidation preference; 1,551,500 shares issued and |
|
|
|
|
|
outstanding; 7.75%
Series B, $31,500,000 aggregate liquidation preference; |
|
|
|
|
|
1,260,000 shares issued and
outstanding; 8.50% Series C, $22,500,000 |
|
|
|
|
|
|
|
aggregate
liquidation preference; 900,000 shares issued and outstanding |
|
89,501 |
|
|
|
89,502 |
|
|
|
Common stock,
$0.01 par value: 500,000,000 shares authorized; 85,955,995 |
|
|
|
|
|
|
and 83,987,707 shares issued
and outstanding, respectively |
|
|
860 |
|
|
|
840 |
|
|
|
Additional paid-in
capital |
|
|
893,471 |
|
|
|
879,029 |
|
|
|
Accumulated
deficit |
|
|
(74,589 |
) |
|
|
(74,133 |
) |
Total Arbor Realty
Trust, Inc. stockholders’ equity |
|
|
909,243 |
|
|
|
895,238 |
|
|
|
|
|
|
|
|
|
Noncontrolling
interest |
|
|
168,140 |
|
|
|
170,328 |
|
Total equity |
|
|
1,077,383 |
|
|
|
1,065,566 |
|
|
|
|
|
|
|
|
|
Total liabilities
and equity |
|
$ |
4,597,725 |
|
|
$ |
4,612,175 |
|
|
|
|
|
|
|
|
|
ARBOR REALTY TRUST, INC. AND
SUBSIDIARIES |
STATEMENT OF INCOME SEGMENT INFORMATION- (Unaudited) |
(in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended March 31, 2019 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Structured Business |
|
Agency Business |
|
Other / Eliminations (1) |
|
Consolidated |
|
|
|
|
|
|
|
|
|
|
Interest
income |
|
$ |
65,809 |
|
|
$ |
5,468 |
|
|
$ |
- |
|
|
$ |
71,277 |
|
Interest
expense |
|
|
38,257 |
|
|
|
3,608 |
|
|
|
- |
|
|
|
41,865 |
|
|
Net interest income |
|
|
27,552 |
|
|
|
1,860 |
|
|
|
- |
|
|
|
29,412 |
|
|
|
|
|
|
|
|
|
|
|
Other revenue: |
|
|
|
|
|
|
|
|
Gain on sales,
including fee-based services, net |
|
|
- |
|
|
|
16,389 |
|
|
|
- |
|
|
|
16,389 |
|
Mortgage servicing
rights |
|
|
- |
|
|
|
14,232 |
|
|
|
- |
|
|
|
14,232 |
|
Servicing
revenue |
|
|
- |
|
|
|
25,834 |
|
|
|
- |
|
|
|
25,834 |
|
Amortization of
MSRs |
|
|
- |
|
|
|
(12,282 |
) |
|
|
- |
|
|
|
(12,282 |
) |
Property operating
income |
|
|
2,803 |
|
|
|
- |
|
|
|
- |
|
|
|
2,803 |
|
Other income,
net |
|
|
337 |
|
|
|
(2,465 |
) |
|
|
- |
|
|
|
(2,128 |
) |
|
Total other revenue |
|
|
3,140 |
|
|
|
41,708 |
|
|
|
- |
|
|
|
44,848 |
|
|
|
|
|
|
|
|
|
|
|
Other
expenses: |
|
|
|
|
|
|
|
|
Employee
compensation and benefits |
|
|
8,464 |
|
|
|
23,300 |
|
|
|
- |
|
|
|
31,764 |
|
Selling and
administrative |
|
|
4,421 |
|
|
|
5,340 |
|
|
|
- |
|
|
|
9,761 |
|
Property operating
expenses |
|
|
2,396 |
|
|
|
- |
|
|
|
- |
|
|
|
2,396 |
|
Depreciation and
amortization |
|
|
512 |
|
|
|
1,400 |
|
|
|
- |
|
|
|
1,912 |
|
Provision for loss
sharing (net of recoveries) |
|
|
- |
|
|
|
454 |
|
|
|
- |
|
|
|
454 |
|
|
Total other expenses |
|
|
15,793 |
|
|
|
30,494 |
|
|
|
- |
|
|
|
46,287 |
|
|
|
|
|
|
|
|
|
|
|
Income before
extinguishment of debt, income |
|
|
|
|
|
|
|
|
|
from equity affiliates and income taxes |
|
|
14,899 |
|
|
|
13,074 |
|
|
|
- |
|
|
|
27,973 |
|
Loss on
extinguishment of debt |
|
|
(128 |
) |
|
|
- |
|
|
|
- |
|
|
|
(128 |
) |
Income from equity
affiliates |
|
|
2,151 |
|
|
|
- |
|
|
|
- |
|
|
|
2,151 |
|
Benefit from
income taxes |
|
|
- |
|
|
|
10 |
|
|
|
- |
|
|
|
10 |
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
16,922 |
|
|
$ |
13,084 |
|
|
$ |
- |
|
|
$ |
30,006 |
|
|
|
|
|
|
|
|
|
|
|
Preferred stock
dividends |
|
|
1,888 |
|
|
|
- |
|
|
|
- |
|
|
|
1,888 |
|
Net income
attributable to noncontrolling interest |
|
- |
|
|
|
- |
|
|
|
5,468 |
|
|
|
5,468 |
|
Net income
attributable to common stockholders |
|
$ |
15,034 |
|
|
$ |
13,084 |
|
|
$ |
(5,468 |
) |
|
$ |
22,650 |
|
|
|
|
|
|
|
|
|
|
|
(1) Includes
certain income or expenses not allocated to the two reportable
segments. Amount reflects income attributable to the noncontrolling
interest holders. |
|
|
|
|
|
|
|
|
|
|
ARBOR REALTY TRUST, INC. AND
SUBSIDIARIES |
BALANCE SHEET SEGMENT INFORMATION - (Unaudited) |
(in thousands) |
|
|
|
|
|
|
|
|
|
March 31, 2019 |
|
|
Structured Business |
|
Agency Business |
|
Consolidated |
Assets: |
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
53,006 |
|
$ |
71,499 |
|
$ |
124,505 |
Restricted cash |
|
|
291,865 |
|
|
- |
|
|
291,865 |
Loans and investments, net |
|
|
3,323,778 |
|
|
- |
|
|
3,323,778 |
Loans held-for-sale, net |
|
|
- |
|
|
225,878 |
|
|
225,878 |
Capitalized
mortgage servicing rights, net |
|
- |
|
|
277,639 |
|
|
277,639 |
Securities held to maturity,
net |
|
|
10,000 |
|
|
76,036 |
|
|
86,036 |
Investments in equity
affiliates |
|
|
28,444 |
|
|
- |
|
|
28,444 |
Goodwill and other intangible
assets |
|
|
12,500 |
|
|
102,264 |
|
|
114,764 |
Other assets |
|
|
96,436 |
|
|
28,380 |
|
|
124,816 |
Total assets |
|
$ |
3,816,029 |
|
$ |
781,696 |
|
$ |
4,597,725 |
|
|
|
|
|
|
|
Liabilities: |
|
|
|
|
|
|
Debt obligations |
|
|
3,076,716 |
|
|
222,717 |
|
|
3,299,433 |
Allowance for
loss-sharing obligations |
|
- |
|
|
34,518 |
|
|
34,518 |
Other liabilities |
|
|
143,022 |
|
|
43,369 |
|
|
186,391 |
Total liabilities |
|
$ |
3,219,738 |
|
$ |
300,604 |
|
$ |
3,520,342 |
|
|
|
|
|
|
|
ARBOR REALTY TRUST, INC. AND SUBSIDIARIES |
Supplemental Schedule of Non-GAAP Financial Measures -
(Unaudited) |
Funds from Operations ("FFO") and Adjusted Funds from Operations
("AFFO") |
($ in thousands—except share and per share data) |
|
|
|
|
|
|
|
|
|
Quarter Ended |
|
March 31, |
|
2019 |
|
2018 |
Net income attributable to common
stockholders |
$ |
22,650 |
|
|
$ |
26,189 |
|
|
|
|
|
|
|
|
|
Adjustments: |
|
|
|
|
|
|
|
Net income attributable to noncontrolling interest |
|
5,468 |
|
|
|
8,991 |
|
Depreciation - real estate owned |
|
175 |
|
|
|
178 |
|
Depreciation - investments in equity affiliates |
|
126 |
|
|
|
125 |
|
|
|
|
|
|
|
|
|
Funds from operations
(1) |
$ |
28,419 |
|
|
$ |
35,483 |
|
|
|
|
|
|
|
|
|
Adjustments: |
|
|
|
|
|
|
|
Income from mortgage servicing rights |
|
(14,232 |
) |
|
|
(19,634 |
) |
Deferred tax benefit |
|
(4,168 |
) |
|
|
(13,320 |
) |
Amortization and write-offs of MSRs |
|
16,739 |
|
|
|
16,676 |
|
Depreciation and amortization |
|
2,564 |
|
|
|
2,255 |
|
Net loss (gain) on changes in fair value of derivatives |
|
2,465 |
|
|
|
(2,645 |
) |
Stock-based compensation |
|
3,756 |
|
|
|
2,545 |
|
|
|
|
|
|
|
|
|
Adjusted funds from
operations (1) |
$ |
35,543 |
|
|
$ |
21,360 |
|
|
|
|
|
|
|
|
|
Diluted FFO per share
(1) |
$ |
0.26 |
|
|
$ |
0.42 |
|
|
|
|
|
|
|
|
|
Diluted AFFO per share
(1) |
$ |
0.33 |
|
|
$ |
0.25 |
|
|
|
|
|
|
|
|
|
Diluted weighted average
shares outstanding (1) |
|
107,869,511 |
|
|
|
84,699,735 |
|
|
|
|
|
|
|
|
|
(1) Amounts are attributable to common stockholders and OP Unit
holders. The OP Units are redeemable for cash, or at the Company's
option for shares of the Company's common stock on a one-for-one
basis. |
|
|
|
|
|
|
|
|
The Company is presenting FFO and AFFO because management believes
they are important supplemental measures of the Company’s operating
performance in that they are frequently used by analysts, investors
and other parties in the evaluation of REITs. The National
Association of Real Estate Investment Trusts, or NAREIT, defines
FFO as net income (loss) attributable to common stockholders
(computed in accordance with GAAP), excluding gains (losses) from
sales of depreciated real properties, plus impairments of
depreciated real properties and real estate related depreciation
and amortization, and after adjustments for unconsolidated
ventures. |
|
|
|
|
|
|
|
|
The Company defines AFFO as funds from operations adjusted for
accounting items such as non-cash stock-based compensation expense,
income from mortgage servicing rights ("MSRs"), changes in fair
value of certain derivatives that temporarily flow through
earnings, amortization and write-offs of MSRs, deferred tax
(benefit) provision and the amortization of the convertible senior
notes conversion option. The Company also adds back one-time
charges such as acquisition costs and impairment losses on real
estate and gains (losses) on sales of real estate. The Company is
generally not in the business of operating real estate property and
has obtained real estate by foreclosure or through partial or full
settlement of mortgage debt related to the Company's loans to
maximize the value of the collateral and minimize the Company's
exposure. Therefore, the Company deems such impairment and
gains (losses) on real estate as an extension of the asset
management of its loans, thus a recovery of principal or additional
loss on the Company's initial investment. |
|
|
|
|
|
|
|
|
FFO and AFFO are not intended to be an indication of the Company's
cash flow from operating activities (determined in accordance with
GAAP) or a measure of its liquidity, nor is it entirely indicative
of funding the Company's cash needs, including its ability to make
cash distributions. The Company’s calculation of FFO and AFFO
may be different from the calculations used by other companies and,
therefore, comparability may be limited. |
|
|
|
|
|
|
|
|
Arbor Realty (NYSE:ABR)
Historical Stock Chart
From Aug 2024 to Sep 2024
Arbor Realty (NYSE:ABR)
Historical Stock Chart
From Sep 2023 to Sep 2024