Ladder Capital (LADR) Q1 2025 earnings summary

Executive summary

• Distributable earnings for Q1 2025 were $25.5 million, or $0.20 per share, with a 6.6% after-tax distributable ROAE and GAAP net income of $11.6 million.

• Over $800 million was invested in Q1, including $329 million in new loans and $521 million in AAA securities, with new loan originations outpacing payoffs.

• Liquidity remained strong at over $1.3 billion, including an $850 million undrawn unsecured revolver and $480 million in unrestricted cash.

• Dividend of $0.23 per share was declared, representing a 9.0% annual yield, and undepreciated book value per share was $13.66.

• Board authorized a $100 million share repurchase, increasing the prior authorization.

Financial highlights

• Q1 distributable earnings: $25.5 million ($0.20/share); return on equity: 6.6%; GAAP net income: $11.6 million.

• Undepreciated book value per share: $13.66; GAAP book value per share: $11.84 as of March 31, 2025.

• Dividend declared: $0.23 per share, paid April 15, 2025; dividend yield: 9.0%.

• Net operating income from real estate: $12.2 million in Q1; real estate operating income: $21.8 million.

• Securities portfolio up 37% from year-end to $1.5 billion, with a 5.7% yield.

Outlook and guidance

• Origination activity expected to exceed Q1 levels, with a focus on higher-yielding, senior secured loans and multifamily/industrial assets.

• Pipeline includes $250 million in new loans under application, with 70%+ expected in multifamily/industrial.

• Management remains focused on maintaining high liquidity, modest leverage, and a conservative capital structure.

• Plans to migrate from securities to loans as market conditions allow.

• No material changes to risk factors or forward-looking statements since the last annual report.