Adamas Trust (ADAM) Q3 2026 earnings summary

Executive summary

• Rate and spread volatility drove a 19.00% quarterly economic return; GAAP book value fell 21.9% to $7.93/share and adjusted book value fell 19.6% to $8.88/share.

• EAD was $0.30/share, covering the $0.30 dividend for a seventh consecutive quarter; EAD per share rose 25% YoY.

• Unrealized fair-value losses drove a $171.0 million common-stockholder net loss; $299.0 million in derivative gains partly offset the impact.

• Repriced mortgage assets created investment opportunities; adjusted book value had risen ~4% through Oct. 26 as markets began to retrace Q3 declines.

Financial highlights

• GAAP net loss attributable to common stockholders was $171.0 million, or $1.89/share, versus net income of $32.7 million in Q3 2025.

• Unrealized net losses were $471.9 million, partly offset by $299.0 million of derivative gains.

• Net interest income was $48.8 million; adjusted net interest income was $51.5 million, up 2.4% QoQ.

• EAD was $27.0 million, or $0.30/share, versus $22.0 million, or $0.24/share, in Q3 2025.

Outlook and guidance

• Priorities include disciplined portfolio growth, scaling Constructive’s origination platform, prudent capital allocation and growing EAD.

• Management cited core-strategy investment returns in the mid-to-high teens; deployment and earnings contribution will depend on capital allocation and risk limits.

• Agency assets are expected to lead near-term portfolio growth as TBA shorts are reduced; allocations may become more balanced over time, while BPL Rental deployment may take longer in Q4.

• Liquidity and available financing were expected to meet requirements for at least 12 months; further financing may be pursued subject to market access and terms.