– Quarterly GAAP Earnings of $0.44 and Distributable Earnings (DE) of
$0.50 per Diluted Share –
– Undepreciated Book Value Per Share Increased
$0.96 Year-over-Year to $21.70 –
– $10.7 Billion
of Investment Activity in 2022, Including $5.3 Billion in CRE Lending –
– $1.2 Billion
of Investment Activity in the Fourth Quarter –
– Largest Commercial Mortgage REIT Balance
Sheet with Total Assets of $28.3
Billion –
– Liquidity of $1.1
Billion –
– Paid Dividend of $0.48 per Share –
GREENWICH, Conn., March 1,
2023 /PRNewswire/ -- Starwood Property Trust, Inc.
(NYSE: STWD) today announced operating results for the fiscal
quarter and year ended December 31, 2022. The Company's
fourth quarter 2022 GAAP net income was $140.0 million, or $0.44 per diluted share. Distributable Earnings
(a non-GAAP financial measure) was $160.5 million, or $0.50 per diluted share. The Company's full year
2022 GAAP net income was $871.5 million, or $2.74 per diluted share, and Distributable
Earnings was $726.3 million, or
$2.28 per diluted share.
"We built our unique multi-cylinder platform to perform through
economic cycles. We have the most diversified asset and liability
structure in our sector, which enabled us to once again generate
consistent returns in 2022. Our results were highlighted by
continued income growth in our Woodstar Fund investments,
which increased in fair value by $555.0 million this year alone and
contributed to record book value growth of 26% over the last two
years," commented Barry Sternlicht,
Chairman and CEO of Starwood Property Trust.
"We are well-positioned to take advantage of outsized investment
opportunities across our business lines in 2023, with strong
liquidity levels and access to significant sources of capital,
including $3.9 billion of
unencumbered assets which allow for incremental debt capacity and
$1.5 billion of unrealized gains in
our property portfolio which are available to be harvested to
create incremental liquidity. As we evaluate investing into
these outsized opportunities, we remain laser focused on protecting
our low leverage balance sheet," added Jeffrey DiModica, President of Starwood Property
Trust.
Supplemental Schedules
The Company has published supplemental earnings schedules on its
website in order to provide additional disclosure and financial
information for the benefit of the Company's stakeholders.
Specifically, these materials can be found on the Company's website
in the Investor Relations section under "Quarterly Results" at
www.starwoodpropertytrust.com.
Webcast and Conference Call Information
The Company will host a live webcast and conference call on
Wednesday, March 1, 2023, at 10:00 a.m.
Eastern Time. To listen to a live broadcast, access
the site at least 15 minutes prior to the scheduled start time in
order to register, download and install any necessary audio
software. The webcast is available at
www.starwoodpropertytrust.com in the Investor Relations
section of the website. The Company encourages use of the
webcast due to potential extended wait times to access the
conference call via dial-in.
To Participate via Telephone Conference Call:
Dial in at least 15 minutes prior to start time.
Domestic: 1-877-407-9039
International: 1-201-689-8470
Conference Call Playback:
Domestic: 1-844-512-2921
International: 1-412-317-6671
Passcode: 13735050
The playback can be accessed through March 15, 2023.
About Starwood Property Trust, Inc.
Starwood Property Trust (NYSE: STWD), an affiliate of global
private investment firm Starwood Capital Group, is a leading
diversified finance company with a core focus on the real estate
and infrastructure sectors. As of December 31, 2022, the
Company has successfully deployed $94
billion of capital since inception and manages a portfolio
of over $28 billion across debt and
equity investments. Starwood Property Trust's investment objective
is to generate attractive and stable returns for shareholders,
primarily through dividends, by leveraging a premiere global
organization to identify and execute on the best risk adjusted
returning investments across its target assets. Additional
information can be found at www.starwoodpropertytrust.com.
Forward-Looking Statements
Statements in this press release which are not historical fact
may be deemed forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended.
Forward-looking statements are developed by combining
currently available information with our beliefs and assumptions
and are generally identified by the words "believe," "expect,"
"anticipate" and other similar expressions. Although Starwood
Property Trust, Inc. believes the expectations reflected in any
forward-looking statements are based on reasonable assumptions, it
can give no assurance that its expectations will be attained.
Factors that could cause actual results to differ materially
from the Company's expectations include, but are not limited to,
completion of pending investments and financings, continued ability
to acquire additional investments, competition within the finance
and real estate industries, availability of financing, the duration
and extent of the ongoing effects of the COVID-19 pandemic
(including variants and resurgences) and other risks detailed under
the heading "Risk Factors" in our Annual Report on Form 10-K for
the fiscal year ended December 31, 2022, as well as other
risks and uncertainties set forth from time to time in the
Company's reports filed with the SEC.
In light of these risks and uncertainties, there can be no
assurances that the results referred to in the forward-looking
statements contained herein will in fact occur. Except to the
extent required by applicable law or regulation, we undertake no
obligation to, and expressly disclaim any such obligation to,
update or revise any forward-looking statements to reflect changed
assumptions, the occurrence of anticipated or unanticipated events,
changes to future results over time or otherwise.
Additional information can be found on the Company's website at
www.starwoodpropertytrust.com.
Contact:
Zachary
Tanenbaum
Starwood Property Trust
Phone: 203-422-7788
Email: ztanenbaum@starwood.com
Starwood Property Trust, Inc. and
Subsidiaries
|
Condensed
Consolidated Statement of Operations by Segment
|
For the three months
ended December 31, 2022
|
(Amounts in
thousands)
|
|
|
Commercial
and
Residential
Lending
Segment
|
|
Infrastructure
Lending
Segment
|
|
Property
Segment
|
|
Investing
and Servicing
Segment
|
|
Corporate
|
|
Subtotal
|
|
Securitization
VIEs
|
|
Total
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income from
loans
|
$
344,104
|
|
$
50,133
|
|
$
—
|
|
$
1,161
|
|
$
—
|
|
$ 395,398
|
|
$
—
|
|
$
395,398
|
Interest income from
investment securities
|
30,138
|
|
557
|
|
—
|
|
23,079
|
|
—
|
|
53,774
|
|
(37,024)
|
|
16,750
|
Servicing
fees
|
138
|
|
—
|
|
—
|
|
13,319
|
|
—
|
|
13,457
|
|
(4,070)
|
|
9,387
|
Rental
income
|
1,793
|
|
—
|
|
23,708
|
|
6,726
|
|
—
|
|
32,227
|
|
—
|
|
32,227
|
Other
revenues
|
253
|
|
164
|
|
93
|
|
259
|
|
66
|
|
835
|
|
—
|
|
835
|
Total
revenues
|
376,426
|
|
50,854
|
|
23,801
|
|
44,544
|
|
66
|
|
495,691
|
|
(41,094)
|
|
454,597
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Management
fees
|
(166)
|
|
—
|
|
—
|
|
—
|
|
41,442
|
|
41,276
|
|
—
|
|
41,276
|
Interest
expense
|
199,191
|
|
29,706
|
|
11,517
|
|
7,484
|
|
47,947
|
|
295,845
|
|
(216)
|
|
295,629
|
General and
administrative
|
12,796
|
|
3,457
|
|
1,105
|
|
18,875
|
|
4,423
|
|
40,656
|
|
23
|
|
40,679
|
Acquisition and
investment pursuit costs
|
1,233
|
|
—
|
|
—
|
|
15
|
|
—
|
|
1,248
|
|
—
|
|
1,248
|
Costs of rental
operations
|
2,855
|
|
—
|
|
5,858
|
|
3,308
|
|
—
|
|
12,021
|
|
—
|
|
12,021
|
Depreciation and
amortization
|
1,614
|
|
77
|
|
8,155
|
|
2,949
|
|
—
|
|
12,795
|
|
—
|
|
12,795
|
Credit loss provision
(reversal), net
|
26,753
|
|
(219)
|
|
—
|
|
—
|
|
—
|
|
26,534
|
|
—
|
|
26,534
|
Other
expense
|
—
|
|
—
|
|
—
|
|
1
|
|
—
|
|
1
|
|
—
|
|
1
|
Total costs and
expenses
|
244,276
|
|
33,021
|
|
26,635
|
|
32,632
|
|
93,812
|
|
430,376
|
|
(193)
|
|
430,183
|
Other income
(loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in net assets
related to consolidated VIEs
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
51,733
|
|
51,733
|
Change in fair value of
servicing rights
|
—
|
|
—
|
|
—
|
|
(2,734)
|
|
—
|
|
(2,734)
|
|
2,510
|
|
(224)
|
Change in fair value of
investment securities, net
|
16,837
|
|
—
|
|
—
|
|
(4,326)
|
|
—
|
|
12,511
|
|
(13,032)
|
|
(521)
|
Change in fair value of
mortgage loans, net
|
(24,669)
|
|
—
|
|
—
|
|
5,184
|
|
—
|
|
(19,485)
|
|
—
|
|
(19,485)
|
Income from affordable
housing fund investments
|
—
|
|
—
|
|
97,003
|
|
—
|
|
—
|
|
97,003
|
|
—
|
|
97,003
|
(Loss) earnings from
unconsolidated entities
|
(8,644)
|
|
1,351
|
|
—
|
|
370
|
|
—
|
|
(6,923)
|
|
(311)
|
|
(7,234)
|
Gain on sale of
investments and other assets, net
|
72
|
|
—
|
|
—
|
|
25,480
|
|
—
|
|
25,552
|
|
—
|
|
25,552
|
(Loss) gain on
derivative financial instruments, net
|
(126,837)
|
|
7
|
|
1,919
|
|
(2,027)
|
|
(968)
|
|
(127,906)
|
|
—
|
|
(127,906)
|
Foreign currency gain
(loss), net
|
116,021
|
|
253
|
|
(29)
|
|
—
|
|
—
|
|
116,245
|
|
—
|
|
116,245
|
Loss on extinguishment
of debt
|
(3)
|
|
—
|
|
—
|
|
(147)
|
|
—
|
|
(150)
|
|
—
|
|
(150)
|
Other loss,
net
|
(1,644)
|
|
—
|
|
(1,103)
|
|
—
|
|
—
|
|
(2,747)
|
|
—
|
|
(2,747)
|
Total other income
(loss)
|
(28,867)
|
|
1,611
|
|
97,790
|
|
21,800
|
|
(968)
|
|
91,366
|
|
40,900
|
|
132,266
|
Income (loss) before
income taxes
|
103,283
|
|
19,444
|
|
94,956
|
|
33,712
|
|
(94,714)
|
|
156,681
|
|
(1)
|
|
156,680
|
Income tax
benefit
|
11,517
|
|
5
|
|
—
|
|
1,002
|
|
—
|
|
12,524
|
|
—
|
|
12,524
|
Net income
(loss)
|
114,800
|
|
19,449
|
|
94,956
|
|
34,714
|
|
(94,714)
|
|
169,205
|
|
(1)
|
|
169,204
|
Net income
attributable to non-controlling interests
|
(4)
|
|
—
|
|
(24,219)
|
|
(4,955)
|
|
—
|
|
(29,178)
|
|
1
|
|
(29,177)
|
Net income (loss)
attributable to Starwood Property Trust, Inc.
|
$
114,796
|
|
$
19,449
|
|
$
70,737
|
|
$
29,759
|
|
$
(94,714)
|
|
$
140,027
|
|
$
—
|
|
$
140,027
|
Definition of Distributable Earnings
Distributable Earnings, a non-GAAP financial measure, is used to
compute the Company's incentive fees to its external manager and is
an appropriate supplemental disclosure for a mortgage REIT.
For the Company's purposes, Distributable Earnings is defined as
GAAP net income (loss) excluding non-cash equity compensation
expense, the incentive fee due to the Company's external manager,
acquisition costs for successful acquisitions, depreciation and
amortization of real estate and associated intangibles, any
unrealized gains, losses or other non-cash items recorded in net
income (loss) for the period and, to the extent deducted from net
income (loss), distributions payable with respect to equity
securities of subsidiaries issued in exchange for properties or
interests therein. The amount is adjusted to exclude one-time
events pursuant to changes in GAAP and certain other non-cash
adjustments as determined by the Company's external manager and
approved by a majority of the Company's independent directors.
Refer to the Company's Annual Report on Form 10-K for the year
ended December 31, 2022 for additional information regarding
Distributable Earnings.
Reconciliation of
Net Income to Distributable Earnings
|
For the three months
ended December 31, 2022
|
(Amounts in
thousands except per share data)
|
|
|
Commercial
and
Residential
Lending
Segment
|
|
Infrastructure
Lending
Segment
|
|
Property
Segment
|
|
Investing
and Servicing
Segment
|
|
Corporate
|
|
Total
|
Net income (loss)
attributable to Starwood
Property Trust, Inc.
|
$
114,796
|
|
$
19,449
|
|
$
70,737
|
|
$
29,759
|
|
$
(94,714)
|
|
$
140,027
|
Add /
(Deduct):
|
|
|
|
|
|
|
|
|
|
|
|
Non-controlling
interests attributable to Woodstar II Class A Units
|
—
|
|
—
|
|
4,691
|
|
—
|
|
—
|
|
4,691
|
Non-controlling
interests attributable to unrealized gains/losses
|
—
|
|
—
|
|
17,713
|
|
(1,788)
|
|
—
|
|
15,925
|
Non-cash equity
compensation expense
|
1,853
|
|
266
|
|
76
|
|
1,459
|
|
6,828
|
|
10,482
|
Management incentive
fee
|
—
|
|
—
|
|
—
|
|
—
|
|
14,465
|
|
14,465
|
Acquisition and
investment pursuit costs
|
(22)
|
|
—
|
|
(82)
|
|
(223)
|
|
—
|
|
(327)
|
Depreciation and
amortization
|
1,728
|
|
67
|
|
8,231
|
|
3,071
|
|
—
|
|
13,097
|
Interest income
adjustment for securities
|
4,434
|
|
—
|
|
—
|
|
7,601
|
|
—
|
|
12,035
|
Extinguishment of debt,
net
|
—
|
|
—
|
|
—
|
|
—
|
|
(247)
|
|
(247)
|
Income tax benefit
associated with unrealized fair value adjustments
|
(11,517)
|
|
(5)
|
|
—
|
|
(1,001)
|
|
—
|
|
(12,523)
|
Other non-cash
items
|
3
|
|
—
|
|
362
|
|
77
|
|
—
|
|
442
|
Reversal of GAAP
unrealized and realized (gains) / losses on:
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
24,669
|
|
—
|
|
—
|
|
(5,184)
|
|
—
|
|
19,485
|
Credit loss provision
(reversal), net
|
26,753
|
|
(219)
|
|
—
|
|
—
|
|
—
|
|
26,534
|
Securities
|
(16,837)
|
|
—
|
|
—
|
|
4,326
|
|
—
|
|
(12,511)
|
Woodstar Fund
investments
|
—
|
|
—
|
|
(97,003)
|
|
—
|
|
—
|
|
(97,003)
|
Derivatives
|
126,837
|
|
(7)
|
|
(1,919)
|
|
2,027
|
|
968
|
|
127,906
|
Foreign
currency
|
(116,021)
|
|
(253)
|
|
29
|
|
—
|
|
—
|
|
(116,245)
|
Loss (earnings) from
unconsolidated entities
|
8,644
|
|
(1,351)
|
|
—
|
|
(370)
|
|
—
|
|
6,923
|
Sales of
properties
|
—
|
|
—
|
|
—
|
|
(25,480)
|
|
—
|
|
(25,480)
|
Recognition of
Distributable realized gains / (losses) on:
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
(385)
|
|
—
|
|
—
|
|
5,197
|
|
—
|
|
4,812
|
Securities
|
—
|
|
—
|
|
—
|
|
(10,715)
|
|
—
|
|
(10,715)
|
Woodstar Fund
investments
|
—
|
|
—
|
|
10,887
|
|
—
|
|
—
|
|
10,887
|
Derivatives
|
15,279
|
|
64
|
|
3,240
|
|
(1,181)
|
|
(4,792)
|
|
12,610
|
Foreign
currency
|
222
|
|
34
|
|
(29)
|
|
—
|
|
—
|
|
227
|
(Loss) earnings from
unconsolidated entities
|
(8,616)
|
|
—
|
|
—
|
|
478
|
|
—
|
|
(8,138)
|
Sales of
properties
|
—
|
|
—
|
|
—
|
|
23,167
|
|
—
|
|
23,167
|
Distributable
Earnings (Loss)
|
$
171,820
|
|
$
18,045
|
|
$
16,933
|
|
$
31,220
|
|
$
(77,492)
|
|
$
160,526
|
Distributable
Earnings (Loss) per Weighted Average Diluted Share
|
$
0.53
|
|
$
0.06
|
|
$
0.05
|
|
$
0.10
|
|
$
(0.24)
|
|
$
0.50
|
Starwood Property Trust, Inc. and
Subsidiaries
|
Condensed
Consolidated Statement of Operations by Segment
|
For the year ended
December 31, 2022
|
(Amounts in
thousands)
|
|
|
Commercial
and
Residential
Lending
Segment
|
|
Infrastructure
Lending
Segment
|
|
Property
Segment
|
|
Investing
and Servicing
Segment
|
|
Corporate
|
|
Subtotal
|
|
Securitization
VIEs
|
|
Total
|
Revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income from
loans
|
$
1,058,326
|
|
$
150,230
|
|
$
—
|
|
$
9,965
|
|
$
—
|
|
$
1,218,521
|
|
$
—
|
|
$ 1,218,521
|
Interest income from
investment securities
|
102,125
|
|
3,681
|
|
—
|
|
99,043
|
|
—
|
|
204,849
|
|
(139,791)
|
|
65,058
|
Servicing
fees
|
558
|
|
—
|
|
—
|
|
54,836
|
|
—
|
|
55,394
|
|
(15,035)
|
|
40,359
|
Rental
income
|
6,467
|
|
—
|
|
91,587
|
|
30,209
|
|
—
|
|
128,263
|
|
—
|
|
128,263
|
Other
revenues
|
504
|
|
451
|
|
245
|
|
11,258
|
|
69
|
|
12,527
|
|
(12)
|
|
12,515
|
Total
revenues
|
1,167,980
|
|
154,362
|
|
91,832
|
|
205,311
|
|
69
|
|
1,619,554
|
|
(154,838)
|
|
1,464,716
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Management
fees
|
592
|
|
—
|
|
—
|
|
—
|
|
154,959
|
|
155,551
|
|
—
|
|
155,551
|
Interest
expense
|
501,126
|
|
79,137
|
|
33,938
|
|
26,686
|
|
157,097
|
|
797,984
|
|
(863)
|
|
797,121
|
General and
administrative
|
52,701
|
|
14,187
|
|
4,069
|
|
85,478
|
|
18,777
|
|
175,212
|
|
288
|
|
175,500
|
Acquisition and
investment pursuit costs
|
3,634
|
|
3
|
|
7
|
|
(244)
|
|
—
|
|
3,400
|
|
—
|
|
3,400
|
Costs of rental
operations
|
7,833
|
|
—
|
|
21,868
|
|
14,414
|
|
—
|
|
44,115
|
|
—
|
|
44,115
|
Depreciation and
amortization
|
4,720
|
|
387
|
|
32,714
|
|
11,472
|
|
—
|
|
49,293
|
|
—
|
|
49,293
|
Credit loss provision,
net
|
39,780
|
|
6,877
|
|
—
|
|
—
|
|
—
|
|
46,657
|
|
—
|
|
46,657
|
Other
expense
|
1,251
|
|
—
|
|
55
|
|
8
|
|
—
|
|
1,314
|
|
—
|
|
1,314
|
Total costs and
expenses
|
611,637
|
|
100,591
|
|
92,651
|
|
137,814
|
|
330,833
|
|
1,273,526
|
|
(575)
|
|
1,272,951
|
Other income
(loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Change in net assets
related to consolidated VIEs
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
124,001
|
|
124,001
|
Change in fair value of
servicing rights
|
—
|
|
—
|
|
—
|
|
(2,051)
|
|
—
|
|
(2,051)
|
|
3,061
|
|
1,010
|
Change in fair value of
investment securities, net
|
11,818
|
|
—
|
|
—
|
|
(43,179)
|
|
—
|
|
(31,361)
|
|
29,157
|
|
(2,204)
|
Change in fair value of
mortgage loans, net
|
(352,412)
|
|
—
|
|
—
|
|
6,190
|
|
—
|
|
(346,222)
|
|
—
|
|
(346,222)
|
Income from affordable
housing fund investments
|
—
|
|
—
|
|
755,736
|
|
—
|
|
—
|
|
755,736
|
|
—
|
|
755,736
|
(Loss) earnings from
unconsolidated entities
|
(11,242)
|
|
3,982
|
|
—
|
|
2,871
|
|
—
|
|
(4,389)
|
|
(1,934)
|
|
(6,323)
|
Gain on sale of
investments and other assets, net
|
86,532
|
|
—
|
|
—
|
|
51,079
|
|
—
|
|
137,611
|
|
—
|
|
137,611
|
Gain (loss) on
derivative financial instruments, net
|
338,994
|
|
1,235
|
|
35,081
|
|
41,692
|
|
(82,987)
|
|
334,015
|
|
—
|
|
334,015
|
Foreign currency (loss)
gain, net
|
(96,651)
|
|
(317)
|
|
12
|
|
—
|
|
—
|
|
(96,956)
|
|
—
|
|
(96,956)
|
Loss on extinguishment
of debt
|
(209)
|
|
(469)
|
|
—
|
|
(507)
|
|
—
|
|
(1,185)
|
|
—
|
|
(1,185)
|
Other (loss) income,
net
|
(92,632)
|
|
—
|
|
(1,103)
|
|
—
|
|
—
|
|
(93,735)
|
|
25
|
|
(93,710)
|
Total other income
(loss)
|
(115,802)
|
|
4,431
|
|
789,726
|
|
56,095
|
|
(82,987)
|
|
651,463
|
|
154,310
|
|
805,773
|
Income (loss) before
income taxes
|
440,541
|
|
58,202
|
|
788,907
|
|
123,592
|
|
(413,751)
|
|
997,491
|
|
47
|
|
997,538
|
Income tax benefit
(provision)
|
69,199
|
|
12
|
|
—
|
|
(7,688)
|
|
—
|
|
61,523
|
|
—
|
|
61,523
|
Net income
(loss)
|
509,740
|
|
58,214
|
|
788,907
|
|
115,904
|
|
(413,751)
|
|
1,059,014
|
|
47
|
|
1,059,061
|
Net income
attributable to non-controlling interests
|
(14)
|
|
—
|
|
(172,598)
|
|
(14,927)
|
|
—
|
|
(187,539)
|
|
(47)
|
|
(187,586)
|
Net income (loss)
attributable to Starwood Property Trust, Inc.
|
$
509,726
|
|
$
58,214
|
|
$
616,309
|
|
$
100,977
|
|
$
(413,751)
|
|
$
871,475
|
|
$
—
|
|
$
871,475
|
Reconciliation of
Net Income to Distributable Earnings
|
For the year ended
December 31, 2022
|
(Amounts in
thousands except per share data)
|
|
|
Commercial
and
Residential
Lending
Segment
|
|
Infrastructure
Lending
Segment
|
|
Property
Segment
|
|
Investing
and Servicing
Segment
|
|
Corporate
|
|
Total
|
Net income (loss)
attributable to Starwood
Property Trust, Inc.
|
509,726
|
|
58,214
|
|
616,309
|
|
100,977
|
|
(413,751)
|
|
871,475
|
Add /
(Deduct):
|
|
|
|
|
|
|
|
|
|
|
|
Non-controlling
interests attributable to Woodstar II Class A Units
|
—
|
|
—
|
|
18,764
|
|
—
|
|
—
|
|
18,764
|
Non-controlling
interests attributable to unrealized gains/losses
|
—
|
|
—
|
|
143,769
|
|
(5,161)
|
|
—
|
|
138,608
|
Non-cash equity
compensation expense
|
7,966
|
|
1,246
|
|
285
|
|
5,616
|
|
25,072
|
|
40,185
|
Management incentive
fee
|
—
|
|
—
|
|
—
|
|
—
|
|
49,586
|
|
49,586
|
Acquisition and
investment pursuit costs
|
(381)
|
|
—
|
|
(324)
|
|
(392)
|
|
—
|
|
(1,097)
|
Depreciation and
amortization
|
4,919
|
|
348
|
|
33,005
|
|
11,959
|
|
—
|
|
50,231
|
Interest income
adjustment for securities
|
10,777
|
|
—
|
|
—
|
|
12,362
|
|
—
|
|
23,139
|
Extinguishment of debt,
net
|
—
|
|
—
|
|
—
|
|
—
|
|
(986)
|
|
(986)
|
Income tax benefit
associated with unrealized fair value adjustments
|
(64,616)
|
|
(7)
|
|
—
|
|
3,345
|
|
—
|
|
(61,278)
|
Other non-cash
items
|
88,194
|
|
—
|
|
1,498
|
|
355
|
|
—
|
|
90,047
|
Reversal of GAAP
unrealized and realized (gains) / losses on:
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
352,412
|
|
—
|
|
—
|
|
(6,190)
|
|
—
|
|
346,222
|
Credit loss provision,
net
|
39,780
|
|
6,877
|
|
—
|
|
—
|
|
—
|
|
46,657
|
Securities
|
(11,818)
|
|
—
|
|
—
|
|
43,179
|
|
—
|
|
31,361
|
Woodstar Fund
investments
|
—
|
|
—
|
|
(755,736)
|
|
—
|
|
—
|
|
(755,736)
|
Derivatives
|
(338,994)
|
|
(1,235)
|
|
(35,081)
|
|
(41,692)
|
|
82,987
|
|
(334,015)
|
Foreign
currency
|
96,651
|
|
317
|
|
(12)
|
|
—
|
|
—
|
|
96,956
|
Loss (earnings) from
unconsolidated entities
|
11,242
|
|
(3,982)
|
|
—
|
|
(2,871)
|
|
—
|
|
4,389
|
Sales of
properties
|
(86,610)
|
|
—
|
|
—
|
|
(51,079)
|
|
—
|
|
(137,689)
|
Recognition of
Distributable realized gains / (losses) on:
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
(73,406)
|
|
—
|
|
—
|
|
5,467
|
|
—
|
|
(67,939)
|
Securities
|
(3,102)
|
|
—
|
|
—
|
|
(20,443)
|
|
—
|
|
(23,545)
|
Woodstar Fund
investments
|
—
|
|
—
|
|
56,576
|
|
—
|
|
—
|
|
56,576
|
Derivatives
|
97,444
|
|
5
|
|
2,138
|
|
32,591
|
|
214
|
|
132,392
|
Foreign
currency
|
(4,652)
|
|
58
|
|
12
|
|
—
|
|
—
|
|
(4,582)
|
(Loss) earnings from
unconsolidated entities
|
(10,798)
|
|
2,632
|
|
—
|
|
4,236
|
|
—
|
|
(3,930)
|
Sales of
properties
|
84,738
|
|
—
|
|
|
|
35,768
|
|
—
|
|
120,506
|
Distributable
Earnings (Loss)
|
$
709,472
|
|
$
64,473
|
|
$
81,203
|
|
$
128,027
|
|
$
(256,878)
|
|
$
726,297
|
Distributable
Earnings (Loss) per Weighted Average Diluted Share
|
$
2.22
|
|
$
0.20
|
|
$
0.26
|
|
$
0.40
|
|
$
(0.80)
|
|
$
2.28
|
Starwood Property Trust, Inc. and
Subsidiaries
|
Condensed
Consolidated Balance Sheet by Segment
|
As of
December 31, 2022
|
(Amounts in
thousands)
|
|
|
Commercial
and
Residential
Lending
Segment
|
|
Infrastructure
Lending
Segment
|
|
Property
Segment
|
|
Investing
and Servicing
Segment
|
|
Corporate
|
|
Subtotal
|
|
Securitization
VIEs
|
|
Total
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
$
68,593
|
|
$
31,153
|
|
$
31,194
|
|
$
39,023
|
|
$
91,098
|
|
$
261,061
|
|
$
—
|
|
$
261,061
|
Restricted
cash
|
18,556
|
|
31,133
|
|
981
|
|
5,259
|
|
65,143
|
|
121,072
|
|
—
|
|
121,072
|
Loans
held-for-investment, net
|
16,038,930
|
|
2,352,932
|
|
—
|
|
9,577
|
|
—
|
|
18,401,439
|
|
—
|
|
18,401,439
|
Loans
held-for-sale
|
2,763,458
|
|
—
|
|
—
|
|
21,136
|
|
—
|
|
2,784,594
|
|
—
|
|
2,784,594
|
Investment
securities
|
1,250,893
|
|
66,204
|
|
—
|
|
1,165,628
|
|
—
|
|
2,482,725
|
|
(1,666,921)
|
|
815,804
|
Properties,
net
|
463,492
|
|
—
|
|
864,778
|
|
121,716
|
|
—
|
|
1,449,986
|
|
—
|
|
1,449,986
|
Investments of
consolidated affordable housing fund
|
—
|
|
—
|
|
1,761,002
|
|
—
|
|
—
|
|
1,761,002
|
|
—
|
|
1,761,002
|
Investments in
unconsolidated entities
|
25,326
|
|
47,078
|
|
—
|
|
33,030
|
|
—
|
|
105,434
|
|
(13,542)
|
|
91,892
|
Goodwill
|
—
|
|
119,409
|
|
—
|
|
140,437
|
|
—
|
|
259,846
|
|
—
|
|
259,846
|
Intangible
assets
|
11,908
|
|
—
|
|
29,613
|
|
66,310
|
|
—
|
|
107,831
|
|
(39,058)
|
|
68,773
|
Derivative
assets
|
101,082
|
|
122
|
|
1,803
|
|
5,614
|
|
—
|
|
108,621
|
|
—
|
|
108,621
|
Accrued interest
receivable
|
151,852
|
|
9,856
|
|
863
|
|
1,105
|
|
5,120
|
|
168,796
|
|
(275)
|
|
168,521
|
Other
assets
|
170,177
|
|
3,614
|
|
54,313
|
|
12,929
|
|
56,444
|
|
297,477
|
|
—
|
|
297,477
|
VIE assets, at fair
value
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
52,453,041
|
|
52,453,041
|
Total
Assets
|
$
21,064,267
|
|
$
2,661,501
|
|
$
2,744,547
|
|
$
1,621,764
|
|
$
217,805
|
|
$
28,309,884
|
|
$
50,733,245
|
|
$
79,043,129
|
Liabilities and
Equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts payable,
accrued expenses and other liabilities
|
$
146,897
|
|
$
20,656
|
|
$
11,716
|
|
$
46,377
|
|
$
73,353
|
|
$
298,999
|
|
$
—
|
|
$
298,999
|
Related-party
payable
|
—
|
|
—
|
|
—
|
|
—
|
|
41,186
|
|
41,186
|
|
—
|
|
41,186
|
Dividends
payable
|
—
|
|
—
|
|
—
|
|
—
|
|
151,511
|
|
151,511
|
|
—
|
|
151,511
|
Derivative
liabilities
|
21,523
|
|
105
|
|
—
|
|
—
|
|
69,776
|
|
91,404
|
|
—
|
|
91,404
|
Secured financing
agreements, net
|
10,804,970
|
|
1,042,679
|
|
789,719
|
|
543,256
|
|
1,342,074
|
|
14,522,698
|
|
(21,166)
|
|
14,501,532
|
Collateralized loan
obligations and single asset securitization, net
|
2,862,211
|
|
814,013
|
|
—
|
|
—
|
|
—
|
|
3,676,224
|
|
—
|
|
3,676,224
|
Unsecured senior
notes, net
|
—
|
|
—
|
|
—
|
|
—
|
|
2,329,211
|
|
2,329,211
|
|
—
|
|
2,329,211
|
VIE liabilities, at
fair value
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
50,754,355
|
|
50,754,355
|
Total
Liabilities
|
13,835,601
|
|
1,877,453
|
|
801,435
|
|
589,633
|
|
4,007,111
|
|
21,111,233
|
|
50,733,189
|
|
71,844,422
|
Temporary
Equity: Redeemable non-controlling interests
|
—
|
|
—
|
|
362,790
|
|
—
|
|
—
|
|
362,790
|
|
—
|
|
362,790
|
Permanent
Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Starwood Property
Trust, Inc. Stockholders' Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
stock
|
—
|
|
—
|
|
—
|
|
—
|
|
3,181
|
|
3,181
|
|
—
|
|
3,181
|
Additional paid-in
capital
|
2,124,496
|
|
683,258
|
|
(405,955)
|
|
(646,662)
|
|
4,051,950
|
|
5,807,087
|
|
—
|
|
5,807,087
|
Treasury
stock
|
—
|
|
—
|
|
—
|
|
—
|
|
(138,022)
|
|
(138,022)
|
|
—
|
|
(138,022)
|
Retained earnings
(accumulated deficit)
|
5,083,100
|
|
100,790
|
|
1,777,643
|
|
1,514,119
|
|
(7,706,415)
|
|
769,237
|
|
—
|
|
769,237
|
Accumulated other
comprehensive income
|
20,955
|
|
—
|
|
—
|
|
—
|
|
—
|
|
20,955
|
|
—
|
|
20,955
|
Total Starwood
Property Trust, Inc. Stockholders' Equity
|
7,228,551
|
|
784,048
|
|
1,371,688
|
|
867,457
|
|
(3,789,306)
|
|
6,462,438
|
|
—
|
|
6,462,438
|
Non-controlling
interests in consolidated subsidiaries
|
115
|
|
—
|
|
208,634
|
|
164,674
|
|
—
|
|
373,423
|
|
56
|
|
373,479
|
Total Permanent
Equity
|
7,228,666
|
|
784,048
|
|
1,580,322
|
|
1,032,131
|
|
(3,789,306)
|
|
6,835,861
|
|
56
|
|
6,835,917
|
Total Liabilities
and Equity
|
$
21,064,267
|
|
$
2,661,501
|
|
$
2,744,547
|
|
$
1,621,764
|
|
$
217,805
|
|
$
28,309,884
|
|
$
50,733,245
|
|
$
79,043,129
|
View original
content:https://www.prnewswire.com/news-releases/starwood-property-trust-reports-results-for-the-quarter-and-year-ended-december-31-2022-301759216.html
SOURCE Starwood Property Trust, Inc.